World Bank allocates $1.5 million grant to Azerbaijan for water supply system development
The World Bank has provided a grant to Azerbaijan for the development of the 'Climate-Resilient and Efficient Water Supply' project. The agreement was signed between the State Water Resources Agency of Azerbaijan and the bank's representative office.
Yulduz Salimov2 min read
The World Bank has allocated a $1.5 million grant to Azerbaijan for the preparation of the 'Climate-Resilient and Efficient Water Supply' project. The corresponding agreement with the Project Preparation Trust Fund was signed on August 31, 2026, by Zaur Mikayilov, Chairman of the State Water Resources Agency of Azerbaijan (ADSEA), and Roland Price, World Bank Regional Director for the South Caucasus.
The funding is intended to support the development of a large-scale project to improve the water supply system in Baku. The funds will be directed toward conducting a feasibility study (FS), identifying priority investments, implementing digital solutions for water resource management, improving energy efficiency, and addressing water supply interruptions.
The grant fully covers the costs of consulting services in two main areas. Part 'A' includes the development of the feasibility study, an investment plan with a focus on digitalization and energy efficiency, and the preparation of tender documentation for future contractors. Part 'B' covers the preparation of framework documents in accordance with the World Bank's 10 environmental and social standards, as well as the implementation of the Environmental and Social Commitment Plan.
The implementation of activities under the grant is being carried out by ADSEA. For this purpose, a working group of eight experts specializing in environment, social issues, procurement, technical engineering, financial management, climate change, communications, and monitoring is being established within the agency.
The use of the grant funds is scheduled through December 31, 2027.
Source: report.az
