The World Bank is preparing to approve a US$268.8 million loan for a new water and sanitation project in the Philippines, targeting the provinces of Bohol and Siargao – two of the country’s most popular tourist destinations, according to an official project brief released by the multilateral on 7 February.
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Called the Philippines Accelerated Water and Sanitation Project in Selected Areas (AWSPSA), the project is slated for board consideration by 30 March and aims to expand access to safely managed water and sanitation services while strengthening local utilities.
Bohol, located in Central Visayas, recorded 1.43 million visitors last year amid a growing water supply problem that has already affected local residents and businesses.
World Bank’s project will install a water system in Bohol’s Loboc River that is expected to supply 60,000 cubic metres of potable water daily, enough to serve a city and seven municipalities when combined with upgraded distribution, the document read.
Siargao, a rising global surf and eco-tourism hub in the Minadanao island group’s Surigao City, has also suffered from persistent water supply issues, with many areas lacking reliable piped systems and dependent on fragile groundwater sources as tourism grows.
The project will finance new water sources, treatment facilities, transmission and distribution lines, storage and service connections, as well as a centralised water quality testing laboratory in Surigao City.
Plans also include fecal sludge and septage management facilities, aiming to curb pollution risks linked to inadequate wastewater treatment in tourism hotspots. Improved water quality and sanitation are expected to bolster Siargao’s reputation as a sustainable tourism destination and protect surrounding marine ecosystems.
Jolo, Sulu in Mindanao is another priority area of the project. The upgrading and protection of spring sources there is to deliver 18,000 cubic metres of potable water daily, a 56-kilometer distribution network is to be replaced, and storage tanks for more than 12,000 households will be built and installed.
Beyond a basic water supply, about US$13 million of the project will fund water, sanitation and hygiene facilities in schools, daycare centres and health facilities, many of which also double as evacuation centers during disasters.
Another US$13 million will support institutional reforms and capacity-building to improve the long-term viability of water utilities and local governments. The scheme is also earmarking US$28.6 million for project management and technical assistance, including supervision, contract administration and specialised technical support.
World Bank documents classify the project’s environmental and social risks as “substantial,” citing potential impacts on biodiversity, protected areas, labour conditions and resettlement, but these will be managed through an environmental and social management framework and site-specific safeguards plans, it said.
