Financing for31 projects that will benefit priority regions and municipalities
The Inter-American Development Bank (IDB) and the Japan International Cooperation Agency (JICA) announced plans to support the development of 31 sustainable and efficient systems for managing solid waste in Peru.
The program will benefit priority areas in the departments of Puno, Piura, Ancash, Tumbes, Apurímac, Ica, Huánuco, Puerto Maldonado, San Martin, Junín, Lambayeque, Loreto, Ayacucho, Amazonas, Lima and Pasco. The IDB will finance eight projects (in Huamanga, San Juan Bautista, Bagua, Yauyos, Andahuaylas, Chancay, Pozuzo y Oxampa) with a $15 million loan approved by its Board, while JICA is expected to finance 23 projects under the planned co-financing jointly designed by IDB and JICA.
"This program will help municipalities promote eco-efficiency in priority areas of recycling and safe disposal," said Carmiña Moreno, the IDB project team leader. "This, in addition to the treatment and recycling of domestic wastewater, will help Peru to move forward on a path of sustainable development."
The program also supports development initiatives, sanitation, and water resources management. It deals with solid waste disposal through the construction of infrastructure for the collection and disposal of municipal solid waste and institutional strengthening of the national and subnational government units in legal, regulatory, and technical issues. Support will also be provided to formalize waste pickers.
In the case of the 8 projects financed by the IDB, the program will result in the efficient processing and disposal of a total of 23,000 tons per day of municipal solid waste, thereby reducingits environmental impact.
By 2021, Peru's government expects that 100 percent the country’s municipal waste will be safely disposed and recycled. Completion of this project will result in the reduction of at least 432 tons per day of municipal solid waste in the eight project areas and increase public waste storage capacity from 22 percent to 90 percent.
The IDB loan has an expiration date of September 15, 2024, with a single payment, and a variable interest rate based on LIBOR. Peru will provide $3.5 million in local counterpart funds.
- Mildred Rivera