IFC Inks Agreement to Cut Water Loss and Enhance Water Sustainability in Jordan

ON 06/10/2024 AT 07 : 13 AM

IFC, a member of the World Bank Group, the Government of Jordan and Amman's water company, Miyahuna, on June 6 signed a collaboration agreement to support the company as it aims to reduce water loss across its distribution network, increasing water supply, and enhancing sustainability and climate resilience.

Limited water deliveries in some cities drive residents to use costly tankers, especially in summer, while a large amount of the water supplied to Amman is lost mostly due to old pipelines. This lost water does not generate revenue for the water company and is referred to as Non-Revenue Water (NRW).  IFC will work with the Government of Jordan and Miyahuna, a state-owned water utility, to reduce the country's high NRW rate.

IFC will work with both entities to co-develop a project that can attract private sector investments in the NRW space. The project will be then tendered competitively to optimize water-management efficiency and reduce water loss substantially across one third of Amman's area.

Jordan struggles as one of the world's most water-scarce countries. Increasing temperatures due to climate change further reduce water availability for each person, making every drop matter to the country.

Miyahuna currently supplies potable water to over 6 million residents of the Greater Amman region and the neighboring Zarqa, Madaba, and Balqa governorates, where half of Jordan's population resides. Population growth and influx of refugees took a toll on Jordan's water system.

This long-term project is aligned with the World Bank Group's strategy and with the government's target to reduce water loss by 2 percent a year.  IFC has been working with the government on defining opportunities for solutions financed by the private sector.