[Albania] EU and France Pledge EUR 118 Million to Upgrade Durrës Sewage System: Wastewater Plant to Be Expanded to 350,000 Population Equivalent, Treatment Coverage to Rise from About 20% to 85%, with 100,000 Additional Residents Connected

2026年9月9日, the European Union, the French Development Agency (AFD) and Albania jointly marked the official launch of Phase I of the project in Durrës. The financing package totals EUR 1.18亿, including an EU grant of EUR 8500万 and an AFD sovereign loan of EUR 3340万; the wastewater treatment plant will be expanded to 35万 population equivalent, 10万 additional residents will be connected to the sewer network, sewage collection and treatment coverage will increase from about 20% to 85%, and construction is expected to start in 2027年.

A port city on the Adriatic coast is becoming one of the largest municipal wastewater investment projects in the Western Balkans.

2026年9月9日, the European External Action Service (EEAS), the French Development Agency (AFD) and Albania's Ministry of Infrastructure and Energy jointly marked the official launch of Phase I of the project in Durrës. AFD Chief Executive Officer Christophe Lecourtier, French Ambassador to Albania Catherine Suard, and Ritva Heikkinen, Head of Cooperation at the EU Delegation to Albania, inspected the project site together with Albania's Minister of Infrastructure and Energy Enea Karakaçi and Mayor of Durrës Emiriana Sako.

How the EUR 1.18亿 Is Structured

The structure of this investment is quite clear — a typical "EU grant + sovereign loan" combination:

• EU grant — EUR 8500万, provided through the Western Balkans Investment Framework;
• AFD sovereign loan — EUR 3340万, provided by the French Development Agency;
• Total — EUR 1.18亿.

According to the EEAS, this is "one of the largest EU grant investments in Albania to date." The implementing entity is Albania's Ministry of Infrastructure and Energy, working together with the National Water Supply and Sewerage Agency (AKUK).

The grant accounting for more than 70 percent is the most prominent feature of this project. For Western Balkan countries, the funding gap for municipal wastewater infrastructure has long existed, and the grant window provided by the EU accession process has turned projects that were "wanted but unaffordable" into executable projects. This also provides a clear order signal for international water companies — funding is not the problem; capability is the threshold.

What the Project Aims to Achieve

The core indicators of the project can be summarized in three phrases: expand capacity, raise coverage, connect new users.

• Treatment capacity — the Durrës wastewater treatment plant will be expanded to 35万 population equivalent (described on site by the AFD CEO as "serving up to 34万 people");
• Coverage rate — sewage collection and treatment coverage will increase from about 20% to 85%, meeting EU standards;
• Connected population — 10万 additional residents will be connected to the sewer network.

From 20% to 85%, this is not a simple equipment upgrade, but an almost from-scratch rebuilding of the city's sewage collection and treatment system. For a tourist city, this means the nearshore water quality along the Adriatic coastline will be substantially improved.

AFD Chief Executive Officer Christophe Lecourtier said at the project site: "We are very proud to launch this flagship project in Durrës, which will significantly improve wastewater management in one of Albania's most important cities and tourist destinations. By upgrading the wastewater treatment plant to serve up to 34万 people, expanding the scope of collection and treatment, and bringing services closer to EU standards, this investment will bring tangible benefits to citizens, public health and the protection of the Adriatic coast."

Why Durrës: Chapter 27 of the Accession Negotiations

The policy background of the project deserves separate explanation — it serves Albania's alignment with Chapter 27 (Environment) in its EU accession negotiations.

The EU environmental acquis has long imposed requirements on member states regarding municipal wastewater treatment, with the core including the Urban Waste Water Treatment Directive's provisions on collection and treatment coverage for sensitive water bodies and built-up areas. For candidate countries, the environment chapter is one of the most difficult chapters in the negotiations and also one of the most investment-intensive: it is not merely a matter of aligning legislative texts, but requires substantial physical infrastructure investment.

The advancement path of the Durrës project also confirms this point. According to EEAS, the project entered the implementation phase following two earlier EU–France–Albania preparatory projects, with the preparatory work having brought the scheme to a technically mature state. In other words, from feasibility study and design to the finalization of the financing package, it went through a relatively long cycle.

Construction is expected to start in 2027年. For international companies interested in participating, the year or so between now and the start of construction is a critical window for technical solution alignment and prequalification.

Three Observations on the Western Balkans Market

Placing the Durrës project in a regional perspective, there are three points worthy of attention for Chinese water companies and research institutions.

• The financing structure is replicable — "EU grants + sovereign loans from bilateral development agencies" is the standard formula for municipal environmental infrastructure in the Western Balkans, covering multiple cities in Serbia, North Macedonia, Montenegro, Bosnia and Herzegovina, and other countries. Understanding the management rules and procurement procedures of grants is more important than mere price competition.
• Demand is concentrated in pipeline networks and coverage rates — The target of raising coverage from 20% to 85% means that pipeline networks account for an extremely high proportion of the construction volume. This differs from the historical domestic path of "emphasizing plants over networks"; European projects place the collection system on an equal footing with the treatment plant from the very beginning.
• Standard alignment is a prerequisite for market entry — The project explicitly requires "meeting EU standards," and design, equipment, and operational indicators must all satisfy EU environmental acquis requirements. For Chinese equipment and EPC companies, standard and certification alignment is the first threshold for entering this market, and also an investment with the greatest long-term value.

From a broader perspective, the municipal wastewater contracts being released in batches across the Western Balkans complement the market cycles of the Middle East and Southeast Asia. The depth of understanding of financing structures, standards systems, and procurement rules in different regional markets is becoming a dividing line in the competitiveness of international water companies.

What It Means for Us: TIANYI TECH's Assessment

TIANYI TECH has long served municipal and industrial park wastewater treatment and reclaimed water reuse clients. In observing municipal wastewater projects supported by multilateral funding such as Durrës, we offer three assessments for our clients' reference: First, "coverage rate targets" are replacing "treatment capacity" as the primary indicator in project tendering, and integrated delivery capability for pipeline networks and plants will be the core competitiveness. Second, low-carbon and energy self-sufficiency requirements are ubiquitous in such projects, and energy-efficient processes and clean energy support such as photovoltaics should be incorporated into the design from the solution stage. Third, standard alignment requires advance planning — the earlier the technical standards and certification alignment for the target market is completed, the better positioned one will be to seize opportunities during the project window.

About TIANYI LIMITED: TIANYI TECH is deeply engaged in the field of wastewater treatment and reclaimed water reuse, committed to providing efficient, low-carbon, and sustainable water treatment solutions for municipal and industrial clients.