This demonstration project's components include water supply, municipal sewerage treatment, effluent treatment plant, road improvement, land development and telecommunications. In July 1995, USAlD approved twenty-five million dollars in finding support for the water supply and municipal sewerage components. They have proposed a new water supply system for the industrial district, which will increase the supply of water and should lower the cost per unit. As part of this new system, they expect the Tiruppur municipality to share a portion of the water and the costs. This discussion is ongoing, although the design for the proposed system has been completed and the system was to be bid in early 1997.