Today, the most acute issues in the system of communal infrastructure are high wear and tear of networks and unsatisfactory condition of WWTP that provide quality treatment of wastewater. In total, 68 out of 89 cities in the country require new construction, modernisation and reconstruction of WWTP.

Within the Concept of development of housing and communal infrastructure for 2023-2029, it is planned to implement projects on construction and modernistion of WWTP in 68 cities at the expense of own funds of water utilities, budget financing, loans from international financial organizations (IFI) under the state guarantee of the Government, PPP, bonded loans of quasi-public sector entities.

The European Bank for Reconstruction and Development (EBRD) was one of the first IFIs provided a loan to Aqtobe Su-Energy Group JSC for the modernisation of the WWTP in Aktobe to improve the environmental situation in the region.

The project provides for the introduction of modern wastewater treatment technologies and improvement of wastewater quality in accordance with the standards of Kazakhstan and the EU.

On March 15, EBRD signed a Loan Agreement, a tripartite agreement signed with the Ministry of Industry and Construction of the Republic of Kazakhstan and the Akimat of Aktobe Oblast, and a subsidy agreement (Project Agreements).

Zan Hub acted as a legal advisor to the EBRD on legal analysis of the financed market (Bankability), regulation of natural monopolies, subsidization of IFI loans, state guarantee procedures, as well as other issues related to the legislation of the Republic of Kazakhstan. It should be noted that Zan Hub was directly involved in the development and negotiation of Project Agreements with the government authorities and the Borrower.

The project was carried out by the firm's partner Madiyar Bekturganov, lawyers: Kuanysh Abzhanov, Tatyana Veryovkina, Yenlik Muratova.

See more: https://www.ebrd.com/news/2024/ebrd-finances-largest-municipal-project-in-kazakhstan-to-date.html