AMC to set up Rs. 829 crore STP and tertiary treatment plant

Ahmedabad: The Ahmedabad Municipal Corporation (AMC) is planning to construct a sewage treatment plant (STP) and a tertiary treatment plant at a project cost of Rs. 829 crore. The STP, designed with a capacity of 240 MLD (million litres per day), will manage sewage from the eastern sector of the city, while the 160 MLD tertiary treatment plant is aimed at treating water from factories in the Narol-Dani Limda areas.

The project is based on the hybrid annuity model (HAM) of financing. AMC also plans to procure tertiary treated water from contractors at Rs. 40 per kilolitre (kl) and sell it to industries at a subsidized rate of Rs. 30 per kl, giving a subsidy of Rs. 10 per kl.

Water treated at the plant will be supplied to local factories at Rs. 30 per litre, aiming to diminish reliance on bore wells and preserve water resources. The replacement of the outdated 106 MLD Pirana plant with the proposed 240 MLD facility is part of AMC’s initiative to enhance efficiency and meet growing demand.

AMC will have to purchase a minimum of 152 MLD of tertiary treated water, accounting for 95% of the plant’s output, and supply 160 MLD of sewage water to the plant. Failure to meet these obligations will require AMC to compensate the contractor for operations and maintenance over a 15-year period.

Currently, there is no proposed funding from the Central or State governments for the new 240 MLD plant. However, for the proposed 160 MLD tertiary treatment plant, AMC is expected to receive around 30% of the cost, approximately Rs. 152-153 crore, under the Amrit-2.0 scheme by the central government.

Additionally, the Gujarat Water Supply and Sewerage Board will contribute Rs. 53.50 crore, covering 50% of the costs for the network infrastructure required to transport treated water from the tertiary treatment plants to factories in Narol-Danilimda. AMC will also allocate an equal amount of Rs. 53.50 crore towards this crucial infrastructure development. DeshGujarat

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