Montenegro is seeking World Bank financing for the first phase of a water-security and climate-adaptation programme that could eventually involve around €200 million in investment, as the country faces average water losses of about 68% across its municipal networks.
First financing phase seeks $39.84 million
A financing application disclosed on Sept. 29 puts the requested amount for the programme’s initial phase at approximately $39.84 million. The wider programme is expected to continue through the mid-2030s and cover the rehabilitation of water networks, expansion of sewerage systems, improvements to rural water infrastructure and wastewater facilities.
High network losses create efficiency investment needs
Montenegro’s high level of non-revenue water adds a significant efficiency component to the investment programme. Around 68% of water entering municipal systems is estimated to be lost through network leaks, inaccurate meters or consumption that is not billed. The scale of these losses creates demand for smart metering, leak-detection systems, pressure management, hydraulic modelling, pumps, wastewater technologies and utility-management software.
Reducing losses would allow utilities to increase effective water availability without requiring an equivalent expansion of new water sources. Higher volumes of produced water reaching paying customers could also increase the share of supply that generates revenue for utilities.
Digital systems become part of infrastructure investment
The programme is expected to incorporate digital monitoring of utility performance, expanding the role of technology providers alongside traditional civil-engineering and construction contractors. Water utilities will require more detailed network information covering the points where water enters distribution systems, where it is consumed and where losses occur. This is expected to increase the role of sensors, software and asset-management platforms in infrastructure investment.
Wastewater infrastructure remains another investment area
Wastewater treatment represents another infrastructure gap. Less than half of generated wastewater volumes are currently treated, creating scope for investment in treatment facilities, pumping infrastructure and environmental monitoring alongside drinking-water network upgrades. The wider programme is expected to address sewerage and wastewater infrastructure as part of its investment scope.
World Bank review expected later this year
The World Bank is expected to consider the first financing phase later this year. For contractors and technology providers, the programme is expected to generate opportunities across multiple investment cycles rather than being limited to a single procurement process.
