|Project Name||Anhui Huainan Urban Water Systems Integrated Rehabilitation Project|
|Country||China, People's Republic of|
|Project Type / Modality of Assistance||Loan
|Source of Funding / Amount||
|Strategic Agendas||Environmentally sustainable growth
Inclusive economic growth
|Drivers of Change|
|Sector / Subsector||
Agriculture, natural resources and rural development - Water-based natural resources management
Water and other urban infrastructure and services - Urban flood protection - Urban sewerage
|Gender Equity and Mainstreaming||Effective gender mainstreaming|
|Project Rationale and Linkage to Country/Regional Strategy||
The Huainan municipality of Anhui province located at the midstream of Huai River is a main coal base of the People's Republic of China (PRC) and also an important industrial area of Anhui province. It has an area of 2,596 square kilometers (km2), of which urban area is 1,566.4 km2; and a population of 2.46 million. Through the implementation of two key development strategies the Hefei Economic Circle and the Urban Integration of Hefei and Huainan, the economic development of the Huainan municipality has been making great progress. However, rapid economic development has resulted in heavy pollution load, particularly wastewater, to existing urban water systems in the Huainan municipality, including urban water channels and lakes, which have been clogged with sludge and severely polluted. The urban water systems also do not have sufficient capacity for flood control, and the Huainan municipality suffers flood damage once in 2 years on average. The Huainan municipal government (HMG) has been implementing various activities to improve the urban water systems, including improvement of wastewater treatment systems, annual dredging of urban water channels and lakes, public awareness raising to reduce garbage dumping, partial improvement of urban water channels and drains to increase flood flow capacity associated with road improvements, preparedness for and emergency response to floods, and post flood recovery. Although much improvement has been made, the Huainan municipality still has fundamental problems, including (i) insufficient wastewater treatment systems; (ii) wastewater inflow into urban water channels and lakes, sludge sediment, and water quality deterioration; and (iii) insufficient flood control capacities of urban water channels and other flood control facilities.
To facilitate the development of the Huainan municipality, the Huainan Municipality Master Plan for 2010 2020 was prepared by the HMG and approved by the provincial and central governments. The master plan sets targets for 2020 for wastewater treatment (treatment rate of more than 90%), water environment (water quality in the urban water systems improved to class IV or above of the PRC water quality standards), and flood management (flood frequency in the urban area reduced from 1/2 years to 1/20 years). To implement components of the master plan related to the urban water systems, the HMG made a request to the Asian Development Bank (ADB) for investment and assistance for the Anhui Huainan Urban Water Systems Integrated Rehabilitation Project. The proposed project was included in ADB's country operations business plan 2012 2014 and the 2013 lending pipeline for the PRC.
The PRC's 12th Five-Year Plan (2011 2015) supports the long-term goal of building a harmonious and moderately prosperous (xiaokang) society through livelihood improvement, and regionally balanced and environmentally sustainable growth. ADB's country partnership strategy for the PRC for 2011 2015 supports the government's overarching strategic goal of building a xiaokang society by focusing on three strategic pillars: inclusive growth, environmentally sustainable growth, and regional cooperation and integration. The proposed project is fully consistent with the PRC's 12th Five-Year Plan and ADB's country partnership strategy by improving urban water environment, public health, and quality of life.
ADB has been conducting projects for wastewater treatment, urban development, and flood and water resources management in the PRC and other countries, and lessons learned from those projects will be reflected in the project design adding values to the project. A main value to be added to the project by ADB will be promotion of international best practices of nonstructural measures for water environmental improvement.
|Impact||Improved urban water environment, public health, and quality of life for urban residents in Huainan|
|Description of Outcome||Improved management of surface water resources in Huainan|
|Progress Toward Outcome||Improvement of Long Lake pump station to increase its flood control capacity is ongoing.|
|Description of Project Outputs||
1. Improvement of wastewater collection
2. Improvement of urban water environment and flood management
3. Improvement of urban lake environment
4. Project management and capacity development
|Status of Implementation Progress (Outputs, Activities, and Issues)||
Improvement of one pump station is ongoing, while other construction activities are delayed by incomplete land acquisition issues.
A civil works contract for construction of a flood diversion channel will be awarded at the end of 2015.
An external resettlement monitor has been engaged by the PMO in Sept 2015 and the first semiannual resettlement monitoring and evaluation report will be submitted to ADB by 31 December 2015.
A consulting firm for the asociated technical assistance was recruited and the consultant team was fielded on 11 March 2015. The consultant team will make recommendations for improvement of the draft Huainan Municipality Integrated Drainage (Storm Water) and Waterlogging Plan, draft Huainan Municipality Flood Control Plan, draft Huainan Municipality Drainage (Sewage) Plan by July 2016.
|Environmental Aspects||The environmental impact assessment report prepared for the project is based on the domestic environmental impact assessment report, as well as the consultant's report on the project preparatory technical assistance; and complies with the environmental policy of the People's Republic of China and Asian Development Bank's (ADB's) Safeguard Policy Statement. It concludes that the project will have substantial positive environmental and socioeconomic benefits resulting from (i) improved urban water channels, lakes, and Huai River; (ii) improved management of water and ecology in the lakes; and (iii) improved flood management. Environmental concerns of the project include construction impacts on air, noise, and water quality; solid waste; and disturbance to some water birds. These will be prevented or minimized to acceptable levels through the implementation of an environmental management plan with adequate mitigation and monitoring arrangements. The plan includes a detailed training program to ensure the Hhuainan municipal government has adequate capacity to manage and monitor environmental impacts and risks. The environmental impact assessment report was disclosed on ADB website on 28 May 2013.|
|Involuntary Resettlement||The project will acquire a total of 126 hectares of land; 248 hectares will be occupied temporarily. The project will demolish 17,257 square meters of housing and 780 square meters of small business shops. It will affect 2,075 people, 1,451 of these will lose more than 10% of their productive assets and/or be physically displaced. The Huainan municipal government (HMG), with the assistance of consultants engaged under the project preparatory technical assistance, prepared a resettlement plan in line with Asian Development Bank's (ADB's) Safeguard Policy Statement (2009) and related laws and regulations of Huainan Municipality, Anhui Province, and the People's Republic of China. The HMG has endorsed the resettlement plan and disclosed the relevant information to affected people. The resettlement plan was also disclosed on ADB website. The HMG will fully finance CNY292.1 million of land acquisition and resettlement costs. The ADB loan will finance the costs for semiannual external resettlement monitoring and evaluation. The HMG has experience in conducting land acquisition and resettlement for foreign-funded projects and has the capacity to implement the resettlement plan for this project.|
|Indigenous Peoples||Indigenous peoples will not be affected or benefit from the project.|
|Stakeholder Communication, Participation, and Consultation|
|During Project Design||Public consultation was carried out by the executing agency during the preparation of project design documents. Further consultation through workshops and a stakeholder analysis were also carried out during the implementation of the project preparatory technical assistance.|
|During Project Implementation||
Consultation during design of the project and participation during implementation with activities, such as a public-hearing process for adjusting wastewater collection fees, will involve more than 600 households. The project management office (PMO) and a pilot community will develop a community participation manual. These processes are reflected in the consultation and participation (C&P) plan, gender action plan (GAP), social action plan (SAP), loan assurances, design and monitoring framework, and project administration manual (PAM), with appropriate budget for consulting services under the project and an associated technical assistance.
A community environmental supervision and flood management team (CESFMT), comprising three community members including at least one female member, will be established in each of the eight pilot communities. CESFMTs will increase the environmental awareness of community residents to eliminate improper disposal of solid waste and waste dumping into urban water channels, and make community residents aware of the flood warning system and flood response plan.
During detailed design and implementation of each project output, the C&P plan will be implemented, including the participation of stakeholders in detailed design and disclosure of relevant information, consultation on resettlement programs with affected persons and disclosure of the resettlement plan, disclosure of the environmental impact assessment plan, disclosure of wastewater and solid waste treatment plants and their structure, disclosure of construction programs and relevant information, increase of public environmental awareness and public health knowledge, holding of a hearing for water and wastewater tariff increases, development and disclosure of community participation manual, and participation in and disclosure of the flood warning and management program.
|Consulting Services||Consultants will be required for the promotion of international best practices of nonstructural measures to improve water environment, and project management support and capacity development. All consultants will be hired following ADB's Guidelines on the Use of Consultants (2010, as amended from time to time).|
|Procurement||All ADB-financed procurement will be conducted following ADB's Procurement Guidelines (2010, as amended from time to time). A procurement agency will be hired to conduct procurement on behalf of the implementing agencies.|
|Responsible ADB Officer||Baochang Zheng|
|Responsible ADB Department||East Asia Department|
|Responsible ADB Division||PRC Resident Mission|
Anhui Provincial Finance Bureau
World Bank Loan Division
No. 238, Funanxi Road, Hefei, Anhui
230061 People's Republic of China Huainan Municipal Govenment
Municipal Government Building,
Huainan Municipality, Anhui Province
232001 People's Republic of China
|Concept Clearance||25 Jun 2012|
|Fact Finding||03 May 2013 to 13 May 2013|
|MRM||04 Jul 2013|
|Approval||25 Oct 2013|
|Last Review Mission||-|
|Last PDS Update||24 Sep 2015|
|Approval||Signing Date||Effectivity Date||Closing|
|25 Oct 2013||17 Dec 2013||24 Feb 2014||31 Mar 2020||-||-|
|Financing Plan||Loan Utilization|
|Total (Amount in US$ million)||Date||ADB||Others||Net Percentage|
|Project Cost||343.30||Cumulative Contract Awards|
|ADB||150.00||25 Oct 2013||18.44||0.00||12%|
|Cofinancing||0.00||25 Oct 2013||14.87||0.00||10%|
|Status of Covenants|
|Approval||Signing Date||Effectivity Date||Closing|
|25 Oct 2013||19 Nov 2013||19 Nov 2013||07 Aug 2015||13 Jun 2016||-|
|Financing Plan/TA Utilization||Cumulative Disbursements|
|0.00||500,000.00||125,000.00||0.00||0.00||0.00||625,000.00||25 Oct 2013||130,930.00|
|Status of Covenants|