Projects

Project Information

Suzhou Creek Rehabilitation Project

Country and Location

People's Republic of China (PRC)

Project Description

The Project will help to reduce pollution and restore the water quality in the Suzhou Creek, and improve the environment, living conditions, and public health standards for the areas in Shanghai adjacent to the creek. The Project will also involve capacity-building and training for the executing agency. The Project consists of three parts:

Part A: Wastewater Management, consists of interceptor sewers, pumping stations, and a wastewater sewage treatment plant to remove polluted wastewater flows from Suzhou Creek and its tributaries.

Part B: Water Resources Management, comprises the construction of flow control structures on river tributaries, sediment dredging, installation of re-aeration equipment, and rehabilitation of channels to enable water quality to be improved and maintained through flushing, low-flow augmentation, and re-oxygenation.

Part C: Environmental Sanitation and Urban Renewal, covers the relocation and improvement of nightsoil and solid waste collection wharves and embankment reconstruction to improve environmental sanitation and promote urban regeneration and green space along the river banks.

Total Cost

The project cost is estimated at US$876.0 million equivalent, of which US$331.6 million (41 percent) is the foreign exchange cost, and US$544.4 million equivalent (59 percent) is the local currency cost.

Bank Assistance

The Bank will provide a loan of US$300 million to finance about 34 percent of the project cost.

Date of Approval

29 June 1999

Other Sources of Financing

The remaining funds will be provided through grants, budgetary appropriations and domestic loans.

Borrower

People's Republic of China

Executing Agency

Shanghai Suzhou Creek Rehabilitation and Construction Company

Procurement

Bank-financed equipment and materials will be procured in accordance with the Bank's Guidelines on Procurement. Major contracts for equipment and materials will be tendered through international competitive bidding (ICB) or international shopping (IS) procedures. Procurement for civil works contracts up to US$8 million equivalent will be carried out under local competitive bidding (LCB) procedures acceptable to the Bank.

Technical Assistance

The Government has requested the Bank to provide technical assistance (TA) to (i) design and implement market-based instruments (MBIs) for water quality management; (ii) strengthen institutional capacity; (iii) increase public awareness in environment; and (iv) improve water quality monitoring capabilities. About 21 person-months of international consultants and 34 person-months of local consultants would be needed. The TA cost is estimated at US$1,050,000 equivalent, comprising US$760,000 foreign exchange costs and US$290,000 equivalent local currency costs. The Bank will provide US$840,000 to cover the entire foreign exchange cost and part of the local currency cost, equivalent to US$80,000. The balance of local currency costs, equivalent to US$210,000 will be met by SMG through the provision of office accommodation, counterpart staff, surveys, and logistical support. Consultants will be selected in accordance with the Bank's Guidelines on the Use of Consultants.

Estimated Date of Completion

30 September 2004