US$12 million credit approved for Cayambe-Tabacundo irrigation system

In November 2004, considering that this work is priority for Pichincha province, a CAF technical commission visited the project site to structure a financing scheme by phases to use the built infrastructure and make progress toward completion of the work. On this basis, an "Immediate Investment Plan" was formulated for US$16.5 million for the first stage, of which CAF is today contributing US$12 million. The remaining US$4.5 million will be contributed by the provincial council, Pedro Moncayo municipality, the beneficiary communities and the users of the irrigation system.

The Cayambe-Tabacundo irrigation system, in addition to bringing 3,100 hectares into cultivation, will increase the supply of water for human consumption, create rural employment, develop a competitive agricultural and livestock industry, promote agro-export projects, reforest vulnerable areas and preserve the natural resources and environment of the project, as well as structuring a participative institutional scheme for the management and operation of the system.

In the first phase of the project, the intake will be built on the La Chimba River, consisting of a small dam 15 meter long and 4.30 meters high, a counter-regulation lagoon with 45,000 m3 capacity, building of five bridges along the main canal, secondary and tertiary distribution networks, bank protection works on the main canal, and environmental education activities.