The Project has been designed to improve the quality of life of the residents of small towns in Lao PDR and to enhance the towns’ roles as economic, market, manufacturing, and service centers for their surrounding rural areas. It will contribute to the Government’s efforts to increase the percentage of the urban population with access to safe piped water to 80% by 2020. The Project aims to strengthen the overall water supply sector by supporting the establishment of the Water Supply Regulatory Committee (WSRC); assisting its secretariat, the Water Supply Authority (WASA), to carry out its sector regulatory functions; and helping the water supply utilities (PNPs) to become corporate entities under the Enterprise Law. The Project will provide support for business and financial management as well as efficient operation and maintenance to improve PNPs’ organizational performance and sustainability.

The Project will support the provision of piped water and sanitation services for an estimated 137,000 residents in 124 villages in 15 small towns. It is a sector investment project with the following outputs: (i) a stronger and more sustainable urban water supply sector; (ii) new and rehabilitated water supply systems in 15 small towns; (iii) improved drainage and public sanitation; (iv) enhanced community action and participation; (v) more gender equity in urban water and sanitation; and (vi) improved capacity for project implementation, operation, and maintenance.

LCG is the lead firm of the Joint Venture to provide Project Implementation Assistance and Capacity Development covering a) assisting PCU to implement water supply development and rehabilitation and improve drainage and community action and participation; b) assist PCU and PIUs to prepare detailed feasibility studies, sub-project appraisal reports, site investigations, topographical surveys, detailed engineering design, contract documentation, bid process, construction supervision and contract administration/management; c) strengthening sector planning, regulation and management of central government agencies.