Integrated Development of Basic Urban Services in Provincial Towns Project

The issue of tariffs is complicated by (i) the high cost of servicing in some areas, particularly the ger area settlements; and (ii) the government's willingness to subsidize service tariffs. The project supported a dialogue between ADB and the government around urban service reform, tariff issues, the application and targeting of government subsidies, and the development of more transparent, efficient and equitable mechanisms for directing such subsidies in public services.