WABAG, the project owner for Kolkata Metropolitan Development Authority's Hybrid Annuity Model (HAM) concession, has achieved financial close for the sewage treatment infrastructure project. The INR5.75 billion (US$ 78.30 million) concession agreement under the Namami Gange programme administered by the National Mission for Clean Ganga (NMCG) includes engineering, supply and construction of new sewage treatment plants and renovation of existing sewage treatment plants, rehabilitation of pumping stations and other associated infrastructure in Kolkata. With a cumulative wastewater treatment capacity of 187 MLD (megaliters per day), the project aims to reduce the discharge of untreated sewage into the Holy Ganga from the state of West Bengal by 15 percent.

WABAG will execute Engineering, Procurement and Construction (EPC) portion of this project over 24 months followed by O&M of 15 years. EPC portion of the project is to be funded by a mix of NMCG Grant, Equity, and Debt. 40 percent of EPC cost will be funded by NMCG grant while 60 percent will be funded by a mix of debt and equity. 

The project debt requirement will be funded by a consortium of International Finance Corporation (IFC) and Tata Cleantech Capital Limited (TCCL). WABAG has also signed an investment partner agreement with Kathari Water Management Private Limited (Kathari Water’), a wholly-owned subsidiary of EverSource Capital, fund manager for Green Growth Equity Fund (GGEF).