A 510 million Japanese yen grant aid has been given by the Japanese government and Japan International Cooperation Agency (JICA) to assist the Water and Sanitation Agency (WASA) in Faisalabad with the installation of smart water meters and associated infrastructure.
At a ceremony in the nation’s capital, Japan and the Government of Pakistan signed a Grant Agreement under the “Economic and Social Development Program” and a “Exchange of Notes,” formalising the funding arrangement.
- Modernizing Water Management:
Residents of Faisalabad, the third-largest city in Pakistan, only receive water for roughly six hours per day, making it difficult to provide a steady supply. The existing system relies on a flat-rate billing model that charges a fixed tariff regardless of actual consumption, leading to inefficient water use and limiting WASA Faisalabad’s ability to reinvest in infrastructure.
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- Transitioning to Consumption-Based Billing:
WASA will be able to switch to a consumption-based invoicing system with the installation of smart water meters. By charging consumers based on their actual usage, this reform aims to not only encourage water conservation but also increase money production, which will enable additional improvements to the infrastructure supporting the water supply.
- Digital Transformation and Sustainability:
By embracing smart technology, this project supports the city’s digital transformation and aligns with Sustainable Development Goal 6 (SDG 6), which is focused on ensuring the availability and sustainable management of water and sanitation for all. Japanese officials have expressed optimism that the smart meters will bring tangible improvements to public health and overall living standards in Faisalabad.
- Project Implementation:
The grant agreement was formalized recently through the signing of the “Exchange of Notes” and a Grant Agreement under a broader Economic and Social Development Program between Japan and Pakistan. The project is expected to benefit thousands of households and serve as a model for similar infrastructure upgrades in other urban centers.
This significant financial and technological support from Japan underscores a deep commitment to sustainable urban development and highlights international cooperation aimed at addressing critical regional challenges.
It is anticipated that the initiative will improve public health, assist thousands of households, and encourage more sustainable and effective management of water resources in one of Pakistan’s most populated urban areas.