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The government plans to invest 550mn soles (US$165mn) in potable water and sewerage infrastructure in drought-prone Ayacucho region, as President Pedro Pablo Kuczynski strives to boost public spending in water infrastructure.
About 350mn soles have already been committed to projects in Ayacucho, an area in the parched southeastern Andes, with an additional 200mn soles planned for the short term, the housing and construction ministry said.
Water regulator Otass also allocated 7mn soles to municipal water utility SedaAyacucho to improve water services for 440,000 residents of Huamanga and Huanta provinces, the ministry said in a statement.
"We're supporting the Quicapata and Matará potable water treatment plants to upgrade pumps, equipment and water pressure so Ayacucho residents have more hours of potable water service," housing minister Carlos Bruce said in the statement.
The southern Andean region was ravaged by drought late last year, a phenomenon blamed on climate change.
Kuczynski, who met with infrastructure investors at the APEC summit in Vietnam last month, has embarked on a 50bn-sol drive to extend potable water and sewerage services to 100% of the population by 2021.
In other water infrastructure news, state water utility Sedapal approved a technical study for a 117mn-sol potable water and sewerage project for a district on Lima's eastern outskirts, that was hit by record flooding earlier this year.
The project, which will benefit 18,000 shantytown residents in impoverished Carapongo district, will get underway in the first half of 2018, according to the company. The project involves 80km of pipelines, nine reservoirs, eight wells and 3,000 domestic connections.
"Sedapal's commitment is to accelerate projects and project execution so living standards improve," Sedapal CEO Edmer Trujillo said in a statement