Brussels, 17/10/2006 (Agence Europe) - The European Investment Bank (EIB) has approved a loan of €925 over 25 years to Águas de Portugal (AdP) for investments in eleven regional public utilities serving half the inhabitants of the country, some five million people. A first tranche loan contract of €300 million was signed in Lisbon on 13 October.
The investment throughout Portugal cover bulk water supply and waste water collection and treatment to meet the goals set by EU environmental legislation and in line with the national water plan covered by the Community Support Framework. Improving the quality of groundwater, rivers and coastal areas will result in lower risks to public health. In addition to rapidly removing the use of sceptic tanks as sewage disposal facilities, the investment will enhance recreational surface waters and lower the supply costs of potable water. Overcoming deficiencies in water quality and water supply interruptions will contribute to strengthening economic activity, particularly tourism, and will help reduce work-related health hazards. In terms of the implementation strategy, a combination of public and private sector services will foster the modernisation of the Portuguese water industry by extending know-how and efficient water and sanitation operating systems. All schemes are scheduled to be in operation by the end of 2009. (ol)