Islamabad: May 14, 2025 – A signing ceremony for the Grant Agreement, Exchange of Notes and Record of Discussion between the Governments of Pakistan and Japan regarding Economic and Social Development Program for Provision of Smart Water Meters for improved water supply in Faisalabad City was held in the Ministry of Economic Affairs.
The Government of Japan has approved an amount of JPY 510 Million (US$ 3.50 Million) for the said Grant through JICA under the Japanese Economic and Social Development Program.
The installation of around 8000 smart water meters in Faisalabad will not only enhance the efficiency of water usage and distribution, but also contribute to better demand management, conservation of precious water resources and financial sustainability of WASA Faisalabad.
This grant aligns with the Government of Pakistan’s vision for improved urban governance and environmental sustainability and we are confident that it will serve as a model for replication in other cities as well.
The Exchange of Notes were signed and exchanged by Dr. Kazim Niaz, Secretary, Ministry of Economic Affairs and Mr. AKAMATSU Shuichi, Ambassador Extraordinary and Plenipotentiary of Japan to the Islamic Republic of Pakistan on behalf of their respective governments.
Dr. Kazim Niaz, appreciated the Government and people of Japan for their valuable support with the assurance of extending all necessary facilitation to ensure successful implementation of the project and for more meaningful cooperation between the two sides.
Mr. AKAMATSU Shuichi, Ambassador Extraordinary and Plenipotentiary of Japan to the Islamic Republic of Pakistan assured the commitment of his Government to work closely with the Government of Pakistan to further strengthen the friendly ties and bilateral cooperation.
Mr. Miyata, JICA Pakistan Chief Representative of JICA Pakistan Office stated, “We hope that the smart water meters will promote digital transformation (DX) of the water supply and improve water services in Faisalabad.”
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In Faisalabad, the third most populous city in Pakistan, WASA Faisalabad is responsible for providing water services. However, the residents are unable to enjoy sufficient water services, and water is only available for about six hours a day. One of the reasons is that the water tariff is a flat rate system in which the water tariff does not change regardless of how much water customers use, which leads to customers wasting water. As a result, WASA Faisalabad’s water tariff revenue has not increased, making it impossible to renovate or expand facilities.
Through technical cooperations and other grant aid projects, Japan has been supporting WASA Faisalabad in expanding water supply for shifting from a flat rate system to a metering rate system in which water charges are based on the amount of water consumption through the installation of water meters to increase water revenues.
This programme will provide 8,400 smart water meters to WASA Faisalabad, promoting WASA Faisalabad’s shift to a metering rate system, establishing an efficient bill collection system and water distribution system, and achieving digital transformation of water supply in Faisalabad. This programme will contribute to improving water services in Faisalabad, and ultimately to improving the public health and living environment of citizens, and the realization of SDGs Goal 6 “Ensure availability and sustainable management of water and sanitation for all.”