Fiji has signed a $385million agreement with the Asian Development Bank to overhaul its aging water and wastewater systems, Finance Minister Professor Biman Prasad told Parliament yesterday.
He said the Healthy Oceans and Water Supply Improvement Project would address years of underinvestment in critical infrastructure.
“In Fiji, around 82 per cent of people have access to a water supply, but the critical matter is that only 28 per cent of the population is connected to the central sewerage system,” he said.
“That means 75 per cent of households rely on septic systems … wastewater infrastructure has been operating beyond capacity for many, many years, posing a major threat to our environment and our oceans.”
The project, running from 2026 to 2030, will be financed by a concessional $304m ADB loan with a 40-year term and 10-year grace period at one per cent interest, a $23m ADB grant for training, and a $59m government contribution.
Key components include:
n reducing water loss: funding a contract to cut non-revenue water in the greater Suva area from nearly 50 per cent to 20 per cent;
n Doubling Kinoya capacity: upgrading the Kinoya waste treatment plant to meet demand until 2035; and
n Regional training: creating a water and wastewater training program to build capacity across Fiji and the Pacific.
Prof Prasad said none of Fiji’s 11 water treatment plants were fully compliant, and almost half of the treated water was lost through leakage.
“This is a result of years of underinvestment and lack of proper asset maintenance, resulting in old, aged, and dying infrastructure.
He assured Parliament the borrowing was “within our fiscal targets and investment priority and is in line with the National Development Plan and the Water Sector Strategy 2050”.
