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The key plan objective of the Urban
Infrastructure Services Division is to provide basic
infrastructures to the existing 28 urban towns in a
consolidated and cost-effective manner. The other objectives
associated with the provision of infrastructures are
to, enhance institutional and management capacity of
the municipalities, ensure sustainability of the services
provided through development of sound fiscal policy
aiming at full cost recovery of operation and maintenance
through service charges.
The division, therefore is responsible
for providing technical backstopping to the Dzongkhags,
Municipal Corporations and the Project Units for the
development of the Urban Infrastructures in the Dzongkhags
and Municipal Corporations. The activities include design,
estimation and technical sanctions for water supply,
solid waste management, sewerage, footpath, drains and
other infrastructures for the urban centres. However
the Dzongkhags and Municipal Corporations are responsible
for the implementation of the activities. The division
also provides technical assistance to Urban Sector support
programme (USPS) funded by Danida, Urban Development
Project (UDP) under world bank assistance and Urban
Infrastructures Improvement project (UIIP) assisted
by ADB.
At present, three external
agencies are funding the urban sector in the areas of
institutional development and provision of infrastructures.
These donors are Danida, Asian Development Bank (ADB)
and World Bank. World Bank covers tens towns and Danida
and ADB provides support for the development of infrastructures
to 3 bigger towns, namely Thimphu, Phuntsholing and
Monger. There is no indication of continuing support
for provision of infrastructures in district towns by
ADB and World Bank beyond December 2004. However, Danida
in principal has agreed to continue their support. The
district towns identified for second phase of Danida
support are Tashigang, Gelposhing , Gelephu, Damphu
and Samtse. Other district towns do not have any support
from external donors. Their activities are limited to
the availability of fund in the Government
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