Accra, Nov. 12, GNA - Ghana Water Company Limited (GWCL) and the Ballast Nedam BV of the Netherlands on Friday signed works contract agreements for the rehabilitation and expansion of the Cape Coast water supply system.

The project, which is to cost 38.5 million Euros, involves the rehabilitation of the existing water supply plant and construction of a new one to end the annual shortage of water experienced by residents of Cape Coast and surrounding areas.

Mr. Samuel Lamptey, Managing Director of GWCL, signed for Ghana, while Mr. Adri Verwej, Commercial Manager, for Ballast Nedam signed for his company.

The works would involve the dredging of the reservoir and the installation of a new plant on River Pra. It is expected to meet the water needs of the population up to 2025.

Alhaji Mustapha Idriss Ali, Minister of Works and Housing, said the project held the key to resolving the perennial water problems in the municipality.

He appealed to residents of the area to bear with occasional inconvenience, such as the diversion of traffic and digging of trenches by the contractor, that they would experience. Mr Lamptey said all communities on the route from River Pra, where the plant was to be located, would be supplied with water. He appealed to Cabinet and Parliament to expedite action in approving the contract so that the project could commence in February, next year.

Mr. Rene Kottman, Chairman of Ballast Needam, said the company was sure to execute the project on schedule.