Government has signed a US$12.4 million loan agreement and a US$300 000 grant agreement with the CARICOM Development Fund (CDF) to finance its Country Assistance Programme. This is the first time that Government has received loan and grant financing from the CDF.
The agreements were signed yesterday by Prime Minister Mia Amor Mottley and the Chief Executive Officer of the CDF, Rodinald R. Soomer, at Parliament. The Chairman of the Board of the Barbados Water Authority (BWA), David Wright, and BWA Board Secretary, Marlowe Fenty, were also signatories to the agreements on behalf of the BWA. Minister in the Ministry of Finance, Ryan Straughn, and Minister in Economic Affairs and Investment, Senator Chad Blackman, were present at the signing.
The loan funds will be used to co-finance activities required to support the Reduce, Re-use, Recycle Climate Resilience Wastewater Systems Project, also known as the 3R CReWS Project, which is being funded by a US$39.39 million grant from the Green Climate Fund. The 3R-CREWs project will serve as a practical demonstration for climate resilient water and wastewater management, treated wastewater reuse and aquifer recharge through the enhancement of wastewater treatment. The grant funding from the CDF will go towards supporting the project management capacity of the Barbados Water Authority.
It is expected that the project will be executed over a two-year period by the Barbados Water Authority, which will be responsible for the overall financial management and implementation of the programme.
The CDF’s contribution to the project will directly support the aquifer recharge and renewable energy infrastructure components of the project. More specifically, under the CDF funding arrangement, 9.0 kilometres of pipeline will be installed to transport treated wastewater from the Bridgetown Sewage Treatment Plant at Lakes Folly, St. Michael, to provide water to farmers for agricultural purposes. The CDF loan funds will also be used to replace approximately 0.65 kilometres of sewage force main from the River Lift Station to the Bridgetown Sewage Treatment Plant, and for the installation of backup generators at lift stations as well as one megawatt of solar photovoltaic systems at the Belle Plantation, including the preparation of the site.
CDF has a mandate of supporting regional cohesion through technical and financial assistance to CARICOM Member States across several priority areas, including environmental resilience and climate action.
According to the CDF, the contribution is a significant milestone, as it is the first funded project in Barbados, and sees itself as a key partner of the Government of Barbados in urgently “mobilising much-needed climate finance” to address critical vulnerabilities. “We stand ready to support the Government with its national climate resilience agenda,” the CDF said. (BGIS)
