[Ulaanbaatar, January 20, 2023]
The Ger Area Cost Containment Sub-Activity is being implemented under the Water Sector Sustainability Activity, as part of the Mongolia Water Compact between the Government of Mongolia and the Millennium Challenge Corporation ("MCC"). The sub-activity supports efforts to curtail the high costs that USUG bears for providing water through the system of water kiosks in the ger area of Ulaanbaatar.
To reduce the direct costs associated with delivery and sale of water, 182 manually operated pipe-fed kiosks in the ger areas of seven districts of Ulaanbaatar city will be converted to automatic “smart” kiosks” that operate longer hours at lower cost. As a result of the project, USUG’s all pipe-fed kiosks will be automated, leading to improved convenience of access to water in ger areas.
The open, international procurement of "Supply and installation of ger area smart water kiosk upgrade" was successfully organized in 2022 by the independent Procurement Agent in compliance with the MCC’s Program Procurement Guidelines. A total of five bids was submitted in this procurement, each phase of which, including the development of technical specifications and tender documents and bid review process, was closely reviewed and approved by the MCC. Among bid submissions, HTL LLC’s bid was the highest evaluated bid and MCA-Mongolia and HTL LLC has signed the contract.
MCA-Mongolia and HTL LLC jointly organized the kick-off meeting on Friday, January 20, 2023. Representatives from the Millennium Challenge Corporation's Resident Country Mission, MCA-Mongolia, "Tetra Tech" MCA-Mongolia’s Program Management Consultant, USUG' relevant departments and divisions including Engineering Policy Department, Operations Control Department, Administration Department, Information Technology and Automation Unit, and Pipe-fed Kiosk Division, as well as contractor HTL LLC, attended this kick-off meeting.
During the meeting, HTL team presented its detailed work plan, covering technical approach and planned activities for "Supply and installation of ger area smart water kiosk update" project to the stakeholders and received the feedbacks and recommendations. USUG team stated that they will provide all necessary data and information and will collaborate closely with the contractor at water kiosk sites during the upgrade. The contractor will complete the conversion and upgrade of 182 water kiosks in about two years, and will provide required maintenance and support service during the hardware warranty period and the software service agreement.
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This $462 million project is a partnership between the American and Mongolian people made possible by $350m in MCC grant funding and the $111.76m contribution from the Government of Mongolia which demonstrates their commitment to working together to achieve economic growth and poverty reduction in Ulaanbaatar. The Mongolia Water Compact is funding major infrastructure projects, including the construction of new wellfields and two large plants - an Advanced Water Purification Plant and Wastewater Recycling Plant which will be the first of their kind in Mongolia. In addition, the Compact will invest in policy measures to create a financially and environmentally sustainable future for the water sector of Ulaanbaatar. By 2026, the water system in Ulaanbaatar will have been expanded to deliver 80% more drinking water, allowing for the city’s future expansion.