Water and wastewater demonstration projects for small urban areas in Chile

Several large-scale projects to control pollution in major urban centers and major industries are currently receiving assistance from the World Bank and the Inter- American Development Bank, and the government is working to provide communities of all sizes with potable water free from bacterial contamination. But little is being done to control improper wastewater discharges in smaller communities. Government funds for this purpose are likely to remain quite limited, apart from a substantial subsidy program that helps water users pay the tariffs to cover wastewater treatment costs. USAID is financing feasibility studies and providing subsequent loan guarantees for up to four demonstration projects to show how private initiative can solve the water quality problems of such communities. This report discusses how these demonstration projects should be designed and how priorities should be set in the event that not all four can be funded together, and develops a detailed scope of work for each of them. (Author abstract)