EBRD 1 - Overview of Water Sector
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Presentation by Mr. David Tyler, Associate Director, Head of Project Preparation & Implementation, Sustainable Infrastructure Group, EBRD.
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EBRD 1 - Overview of Water Sector
- 1. Introduction Summary to Sector Overview • Water touches every aspect of development and it links with nearly every Sustainable Development Goal (SDG). Water is a prerequisite for economic growth; it supports healthy ecosystems, and is essential and fundamental for life itself • Our investments in the water sector typically include: • conventional and non-conventional drinking water systems, • centralised wastewater networks and treatment, • the management and safe disposal of wastewater sludge, • primary irrigation infrastructure; • flood management infrastructure etc. (a mix of capital and revenue intensive, above and below-ground infrastructure, often with long asset lives) I
- 2. The EBRD’s Water Sector Investments Summary • Solid investment in the sector with ABI typically between €200 million to €400 million and projects expanding from traditional drinking water and sanitation infrastructure, to desalination, primary irrigation, flood protection (reservoirs, dams) etc. • The EBRD’s projects can be truly transformational; of course activity in the sector differs by country with some of our Countries of Interest no longer actively involved; new lines of interest in the sector could re-establish future projects • In many cases the EBRD’s well-proven incremental approach to investment and capacity building enables an enduring and sustainable pathway to positive reform in the sector; this is especially true for Early Transition Countries II Water Pumps Disinfection Wastewater Pumps Wastewater Treatment Irrigation Pump
- 3. The EBRD’s Water Sector Investments SIG Investment Factsheet II The water sector has always been a consistent area of municipal investment Since 2008 the EBRD has invested around €4bn (TPV of €13.6bn) across 236 projects/sub-projects, averaging 15 projects per year; many are highly dependent on donor financing contributions to assure they’re affordable TI often ‘Green’, ‘Well Governed’ and/or ‘Competitive’ Our projects pipeline is increasingly diverse covering non-conventional, flooding and nature-based interventions Our investments in the water sector are transformative - 5 10 15 20 25 30 € - € 200 € 400 € 600 € 800 € 1,000 € 1,200 € 1,400 € 1,600 € 1,800 € 2,000 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 ABI Non-EBRD Amount EUR No of Projects
- 4. Challenges in the Water Sector Summary • Action in the water sector directly impacts the energy and food sectors; they’re inextricably linked but any sector dependent on water is also affected • Climate change will additionally amplify water related events; a future of increased flooding risk, greater water scarcity (for some water supply is already depleting) and water quality deteriorating • The investment needs to meet the ambitions of SDG6 - while also addressing the issues of legacy and unserviceable infrastructure - is substantive but is also compounded by low technical capacity of many clients which is common-place • There are often regulatory and governance barriers that also constrain the sector • Yet, the demand for water services increases as a result of growing economies, wealthier societies polarising on cities • Many fragile systems are further strained with mass displacements of people escaping conflicts and natural disasters III
- 5. Opportunities in the Water Sector Summary • Adopt more sustainable water management practices: o i) encourage better water conservation and efficiency through ‘demand-side’ interventions including water loss reduction, metering, price incentives etc., o ii) utilise waste streams (where it is cost efficient to do so), o iii) consider managing water resources in a more coordinated manner, o iv) embrace ‘blue’, ‘green’ infrastructure with conventional ‘grey’ including nature positive approaches o Apply latest, tested innovations including digitalisation that accelerate efficiency, performance and resilience gains o Implement energy generation, energy saving and energy management solutions o Facilitate increased use of the private sector o Rebuild infrastructure and systems in a more resilient, sustainable, and inclusive manner VI
- 6. Sustainable Water Management Practices Use of ‘Blue-Green’ Infrastructure with ‘Grey’ VI Sludge Treatment Sludge Disposal Grit & Screenings Blue-green infrastructure refers to an approach in the water sector that combines traditional "grey" infrastructure with natural or nature-based solutions that mimic or enhance the functions of natural ecosystems. It involves the use of natural features and processes to manage water resources and address water-related challenges. The term "blue" refers to water bodies, such as rivers, lakes, ponds, and wetlands, while "green" represents the use of vegetation and natural elements. Blue-green infrastructure aims to integrate and optimise the benefits of both natural and engineered systems for water management. Examples include: 1. Green Roofs and Walls 2. Permeable Pavements 3. Rain Gardens and Bio-swales 4. Constructed Wetlands 5. Floodplain Restoration 6. Urban Tree Canopy Benefits: • Improved Stormwater Management • Water Quality Improvement • Biodiversity and Habitat Enhancement • Climate Change Adaptation • Aesthetics and Recreation • Typically more cost-efficient
- 7. Case Studies GrCF2 W1- Chisinau River Bic Rehab. & Flood Protection (Moldova) VI Sludge Treatment Sludge Disposal Grit & Screenings EUR 8 million loan and grant funds to implement the first phase of interventions designed to mitigate the risk of the Bic River flooding; better safeguarding 2,100 people, properties and commerce from the negative impact of severe flooding which is expected to become more harmful through the predicted impact of climate change, specifically with more intense, short duration rainfall events. The project will additionally aid restoration of the natural environment and improve water quality of the river, which is essential for regenerating the river corridor. The Project will finance a set of integrated flood water management measures that collectively improve the management of urban-generated storm water run-off and its interaction with the Bic River; a blend of solutions that help reduce flooding risk through better attenuation and conveyance of rain and river water, ranging from i) restoring existing storm drains, ii) piloting sustainable urban drainage solutions (retrofitting of 90 rain gardens and 85 tree pits), iii) installation of flap valves, iv) purchase of a digital tools (topographic and asset surveys and a hydraulic model) to (v) the re-grading of river sections to increase capacity. o Ecologically sensitive high flow channel to accommodate storm water conveyance and a low flow channel that will improve the water quality o Use of nature based solutions that help the City to adapt to the increasing rainfall, aid air cooling though shading, and create habitats. Project Objectives Features Signed June 23
- 8. Public-Private Partnerships Location of the EBRD’s Desalination PPPs VI Sludge Treatment Sludge Disposal Grit & Screenings The EBRD has interest in 23 active projects currently in four countries with the potential to deliver >2 million m3/day of clean water for drinking water and irrigation collectively.
- 9. Conclusion V Sludge Treatment Sludge Disposal Grit & Screenings • Water is a critical, finite resource • The EBRD continues - through its investment in the sector - to make significant contribution to the ambitions of SDG6 creating more sustainable, resilient and liveable places in-spite of the challenges of increased demand and growing water scarcity • Our work in the water sector is transformational for the people, economies and environment they serve but to be enduring often require systemic reforms at the local, regional or national level also • Investments in the sector are typically complex (part of a wider system), capital and revenue intensive; the private sector will increasingly play its part (and we must continue to facilitate this) recognising that the invaluable role sovereign financing, MDB collaboration and donor support plays for many public entities to maximise impact • We shall continue as a ‘fast-follower’; diversifying our offerings in the water sector space, exploring irrigation opportunities, decarbonise the sector, apply resource recovery practices, to ‘blue-green-grey’ solutions and digitalisation, embracing an integrated systems-thinking approach where this adds value
- 10. Conclusion Looking Ahead (a strong pipeline of projects in the water sector) V Sludge Treatment Sludge Disposal circle diameter represents number of projects
Editor's Notes
- Green Roofs and Walls: Vegetation is used on rooftops and vertical surfaces to capture and retain rainwater, reduce stormwater runoff, and provide insulation. 2. Permeable Pavements: Porous or permeable surfaces, such as permeable concrete or pavers, allow rainwater to infiltrate into the ground, reducing surface runoff and promoting groundwater recharge. 3. Rain Gardens and Bioswales: These are vegetated areas designed to collect and absorb stormwater runoff. They use native plants and engineered soil to enhance infiltration, filter pollutants, and improve water quality. 4. Constructed Wetlands: These are engineered systems that mimic natural wetland ecosystems. They treat wastewater or stormwater by allowing it to flow through aquatic plants, microorganisms, and natural filtration processes, removing pollutants and improving water quality. 5. Floodplain Restoration: Restoring natural floodplains and wetlands can provide additional capacity for floodwater storage and reduce flood risk by allowing water to spread out over a larger area. 6. Urban Tree Canopy: Planting and preserving trees in urban areas help intercept rainfall, reduce runoff, improve air quality, and provide shade, reducing the urban heat island effect Stormwater Management: Blue-green infrastructure helps reduce stormwater runoff, prevent flooding, and manage urban drainage by capturing and storing rainwater, promoting infiltration, and slowing down water flow. 2. Water Quality Improvement: Natural filtration and biological processes in blue-green infrastructure systems can remove pollutants, sediment, and excess nutrients from stormwater and wastewater, improving water quality. 3. Biodiversity and Habitat Enhancement: Blue-green infrastructure provides habitat for wildlife, supports biodiversity, and enhances ecological connectivity in urban areas. 4. Climate Change Adaptation: Blue-green infrastructure can help cities adapt to the impacts of climate change by mitigating heat island effects, reducing the urban heat island effect, and providing resilience against flooding and extreme weather events. 5. Aesthetics and Recreation: Blue-green infrastructure enhances the visual appeal of urban areas, provides green spaces for recreation and relaxation, and improves the overall livability of cities. By integrating natural and engineered systems, blue-green infrastructure offers a more sustainable and resilient approach to water management, promoting ecosystem services, and improving the overall well-being of communities.
- 1. Resilient Infrastructure: Focus on constructing or retrofitting water infrastructure to withstand future shocks and stresses, such as extreme weather events, climate change impacts, or other disruptions. This can involve using climate-resilient materials, incorporating flood protection measures, ensuring redundancy in water supply systems, and implementing infrastructure designs that minimize vulnerability. 2. Sustainable Water Management: Emphasize sustainable water management practices that balance water demand and supply, prioritize water conservation and efficiency, and protect water resources. This can include promoting water reuse and recycling, adopting efficient irrigation techniques, implementing demand management strategies, and integrating nature-based solutions for water resource management. 3. Integrated Water Systems: Encourage the integration of different components of the water cycle, such as water supply, wastewater management, stormwater management, and water reuse. This holistic approach ensures optimal use of water resources, reduces wastage, and improves overall system efficiency. 4. Climate Change Adaptation: Incorporate climate change adaptation measures into water infrastructure and management plans. This can involve assessing climate risks, developing adaptive strategies, considering future climate projections in infrastructure design, and implementing measures to cope with changing precipitation patterns, sea-level rise, and increased frequency of extreme events. 5. Social Inclusion and Equity: Address social inequalities in access to safe water and sanitation services. "Build Back Better" in the water sector should prioritize reaching marginalized communities, ensuring equitable access to water services, and promoting community engagement and participation in decision-making processes. 6. Innovation and Technology: Harness the potential of innovative technologies and digital solutions to improve water management and service delivery. This can include the adoption of smart water metering, remote monitoring systems, data analytics for water resource management, and efficient water treatment technologies. 7. Capacity Building and Institutional Strengthening: Strengthen the capacity of water sector institutions, including utilities, regulatory bodies, and local authorities, to effectively manage and operate water systems. This involves training personnel, improving governance structures, enhancing financial management practices, and fostering collaboration and knowledge sharing among stakeholders. 8. Financial Sustainability: Ensure the financial sustainability of the water sector by promoting cost recovery mechanisms, exploring innovative financing models, and improving financial management practices. This can involve leveraging public-private partnerships, exploring water pricing mechanisms that incentivize conservation, and promoting investments in water infrastructure and services
- Green Roofs and Walls: Vegetation is used on rooftops and vertical surfaces to capture and retain rainwater, reduce stormwater runoff, and provide insulation. 2. Permeable Pavements: Porous or permeable surfaces, such as permeable concrete or pavers, allow rainwater to infiltrate into the ground, reducing surface runoff and promoting groundwater recharge. 3. Rain Gardens and Bioswales: These are vegetated areas designed to collect and absorb stormwater runoff. They use native plants and engineered soil to enhance infiltration, filter pollutants, and improve water quality. 4. Constructed Wetlands: These are engineered systems that mimic natural wetland ecosystems. They treat wastewater or stormwater by allowing it to flow through aquatic plants, microorganisms, and natural filtration processes, removing pollutants and improving water quality. 5. Floodplain Restoration: Restoring natural floodplains and wetlands can provide additional capacity for floodwater storage and reduce flood risk by allowing water to spread out over a larger area. 6. Urban Tree Canopy: Planting and preserving trees in urban areas help intercept rainfall, reduce runoff, improve air quality, and provide shade, reducing the urban heat island effect Stormwater Management: Blue-green infrastructure helps reduce stormwater runoff, prevent flooding, and manage urban drainage by capturing and storing rainwater, promoting infiltration, and slowing down water flow. 2. Water Quality Improvement: Natural filtration and biological processes in blue-green infrastructure systems can remove pollutants, sediment, and excess nutrients from stormwater and wastewater, improving water quality. 3. Biodiversity and Habitat Enhancement: Blue-green infrastructure provides habitat for wildlife, supports biodiversity, and enhances ecological connectivity in urban areas. 4. Climate Change Adaptation: Blue-green infrastructure can help cities adapt to the impacts of climate change by mitigating heat island effects, reducing the urban heat island effect, and providing resilience against flooding and extreme weather events. 5. Aesthetics and Recreation: Blue-green infrastructure enhances the visual appeal of urban areas, provides green spaces for recreation and relaxation, and improves the overall livability of cities. By integrating natural and engineered systems, blue-green infrastructure offers a more sustainable and resilient approach to water management, promoting ecosystem services, and improving the overall well-being of communities.
- 1. Resilient Infrastructure: Focus on constructing or retrofitting water infrastructure to withstand future shocks and stresses, such as extreme weather events, climate change impacts, or other disruptions. This can involve using climate-resilient materials, incorporating flood protection measures, ensuring redundancy in water supply systems, and implementing infrastructure designs that minimize vulnerability. 2. Sustainable Water Management: Emphasize sustainable water management practices that balance water demand and supply, prioritize water conservation and efficiency, and protect water resources. This can include promoting water reuse and recycling, adopting efficient irrigation techniques, implementing demand management strategies, and integrating nature-based solutions for water resource management. 3. Integrated Water Systems: Encourage the integration of different components of the water cycle, such as water supply, wastewater management, stormwater management, and water reuse. This holistic approach ensures optimal use of water resources, reduces wastage, and improves overall system efficiency. 4. Climate Change Adaptation: Incorporate climate change adaptation measures into water infrastructure and management plans. This can involve assessing climate risks, developing adaptive strategies, considering future climate projections in infrastructure design, and implementing measures to cope with changing precipitation patterns, sea-level rise, and increased frequency of extreme events. 5. Social Inclusion and Equity: Address social inequalities in access to safe water and sanitation services. "Build Back Better" in the water sector should prioritize reaching marginalized communities, ensuring equitable access to water services, and promoting community engagement and participation in decision-making processes. 6. Innovation and Technology: Harness the potential of innovative technologies and digital solutions to improve water management and service delivery. This can include the adoption of smart water metering, remote monitoring systems, data analytics for water resource management, and efficient water treatment technologies. 7. Capacity Building and Institutional Strengthening: Strengthen the capacity of water sector institutions, including utilities, regulatory bodies, and local authorities, to effectively manage and operate water systems. This involves training personnel, improving governance structures, enhancing financial management practices, and fostering collaboration and knowledge sharing among stakeholders. 8. Financial Sustainability: Ensure the financial sustainability of the water sector by promoting cost recovery mechanisms, exploring innovative financing models, and improving financial management practices. This can involve leveraging public-private partnerships, exploring water pricing mechanisms that incentivize conservation, and promoting investments in water infrastructure and services
- 1. Resilient Infrastructure: Focus on constructing or retrofitting water infrastructure to withstand future shocks and stresses, such as extreme weather events, climate change impacts, or other disruptions. This can involve using climate-resilient materials, incorporating flood protection measures, ensuring redundancy in water supply systems, and implementing infrastructure designs that minimize vulnerability. 2. Sustainable Water Management: Emphasize sustainable water management practices that balance water demand and supply, prioritize water conservation and efficiency, and protect water resources. This can include promoting water reuse and recycling, adopting efficient irrigation techniques, implementing demand management strategies, and integrating nature-based solutions for water resource management. 3. Integrated Water Systems: Encourage the integration of different components of the water cycle, such as water supply, wastewater management, stormwater management, and water reuse. This holistic approach ensures optimal use of water resources, reduces wastage, and improves overall system efficiency. 4. Climate Change Adaptation: Incorporate climate change adaptation measures into water infrastructure and management plans. This can involve assessing climate risks, developing adaptive strategies, considering future climate projections in infrastructure design, and implementing measures to cope with changing precipitation patterns, sea-level rise, and increased frequency of extreme events. 5. Social Inclusion and Equity: Address social inequalities in access to safe water and sanitation services. "Build Back Better" in the water sector should prioritize reaching marginalized communities, ensuring equitable access to water services, and promoting community engagement and participation in decision-making processes. 6. Innovation and Technology: Harness the potential of innovative technologies and digital solutions to improve water management and service delivery. This can include the adoption of smart water metering, remote monitoring systems, data analytics for water resource management, and efficient water treatment technologies. 7. Capacity Building and Institutional Strengthening: Strengthen the capacity of water sector institutions, including utilities, regulatory bodies, and local authorities, to effectively manage and operate water systems. This involves training personnel, improving governance structures, enhancing financial management practices, and fostering collaboration and knowledge sharing among stakeholders. 8. Financial Sustainability: Ensure the financial sustainability of the water sector by promoting cost recovery mechanisms, exploring innovative financing models, and improving financial management practices. This can involve leveraging public-private partnerships, exploring water pricing mechanisms that incentivize conservation, and promoting investments in water infrastructure and services