Ghaziabad Secures ₹150 Crore Through India’s First Certified Green Municipal Bond for Sewage Treatment Project (TSTP).

In April 2025, under the Swachh Bharat Mission-Urban (SBM-U), Ghaziabad Nagar Nigam (GNN), the municipal corporation of Ghaziabad, Uttar Pradesh (UP), has successfully raised ₹150 crore through India’s first certified Green Municipal Bond (GMB).

      - The capital raised will be used for the construction of a 40 Million Liters per Day (MLD) Tertiary Sewage Treatment Plant (TSTP) located in Indirapuram, Ghaziabad.

      - Ghaziabad Nagar Nigam raised Rs. 150 crore through India's first certified Green Municipal Bond, offering an 8.1% annual coupon rate. The bond is listed on the BSE Bond Platform and supports the construction of a Tertiary Sewage Treatment Plant (TSTP) in Ghaziabad.

      - Green Municipal Bonds are fixed-income instruments issued by local governments to fund environmentally sustainable projects, such as water conservation, waste management, and pollution control, promoting urban development while supporting environmental goals.

Main Point :-   (i) The ₹150 crore Green Municipal Bond, backed by both the Government of India (GoI) and the Government of Uttar Pradesh, was issued by Ghaziabad Nagar Nigam under the Swachh Bharat Mission-Urban (SBM-U). The Tertiary Sewage Treatment Plant (TSTP) project follows the Hybrid Annuity Model (HAM), with 40% funding from the municipality and 60% from private partners, reinforcing fiscal responsibility through a Public-Private Partnership (PPP) approach.

      (ii) The TSTP, inaugurated by UP Chief Minister Yogi Adityanath in January 2022, aims to reduce groundwater extraction by supplying treated wastewater for industrial use, aiding in water conservation. The plant employs advanced membrane-based filtration technologies like microfiltration, ultrafiltration, nanofiltration, and Reverse Osmosis (RO). A robust 95 km pipeline network facilitates the delivery of treated water to 1,400+ industrial units, helping them shift from freshwater to recycled water sources.

(iii) With a treatment capacity of 40 MLD (Million Litres per Day), the plant has signed contracts to supply 9.5 MLD to over 800 industries. The total project cost is around ₹320 crore, of which ₹150 crore was successfully raised through India’s first certified Green Municipal Bond. In recognition of its sustainable water reuse model, Ghaziabad received the Best Municipal Treated Water Reuse Award at the 19th Water Digest World Water Awards 2024–25.
About Uttar Pradesh (UP)