More European support projects in water management

14 March 2011

The Environmental Investments Centre (EIC) finished the assessment of water management infrastructure applications and decided to finance 14 projects to the total amount of 43 million Euros. These financing decisions, together with the 59 applications already approved in two earlier rounds, cover more than 95% of the European Union Cohesion Fund support allocated for the measure.

The funds currently not covered by financing decisions will be currently left in reserve for possible additional works or increases in project expenses. There are concerns in the implementation of projects. "The economic recession has been a significant impediment, having reduced the capabilities of the beneficiaries and impaired the construction market," Leading Coordinator of Water Management, Tiiu Noormaa admitted. "Frequent contestations of procurement tenders have considerably delayed works in several projects and endangered the timely use of the allocated funds, but fortunately we can now see signs of the situation improving and hopefully the payments picking up", she said.

The Cohesion Fund has in the last three years financed 73 water management projects to the total amount of nearly 392 million Euros. At the end of the previous year, we saw the completion of the first project, which included the reconstruction of the water and sewerage piping and water treatment plants for the whole of Otepää City, the construction of a new waste water treatment unit and the improvement of an existing treatment unit.

The foundation Environmental Investments Centre (EIC) founded in May 2000 is the main mediator of environmental assistance and investments. EIC channels the proceeds from the exploitation of the environment into the development of environmental projects, acts as the implementing agency for the environmental projects funded by the European Regional
Development Fund (ERDF), the European Social Fund (ESF) and the Cohesion Fund (CF) and acts as the implementing agency for the Green Investment Scheme (selling the excess CO2 quota and mediating support). EIC also offers the option to apply for loans for the development of environmental projects.