China, People's Republic of: Fujian Soil Conservation and Rural Development II

Sovereign Project | 33439-013

Latest Project Documents

Project Results

 

301

kilometers of roads built or upgraded

 

13,000

new households connected to electricity

 

125,720

households with new or improved water supply

 

194,464

tCO2 equivalent per year in greenhouse gas emission reduction

 

12,066

hectares of land improved through irrigation, drainage and/or flood management

 

30

small and medium-sized enterprise loan accounts opened or end borrowers reached

 

47.90

MW installed energy generation capacity using conventional and renewable energy sources

The results data reported above are limited to ADB's core sectors, as defined under Strategy 2020 and tracked through indicators in the ADB Results Framework. For definitions of results indicators, please see the ADB Results Framework Indicators Definition.


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Project Name Fujian Soil Conservation and Rural Development II
Project Number 33439-013
Country China, People's Republic of
Project Status Closed
Project Type / Modality of Assistance Loan
Source of Funding / Amount
Loan 2082-PRC: Fujian Soil Conservation and Rural Development II
Ordinary capital resources US$ 80.00 million
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Drivers of Change
Sector / Subsector

Agriculture, natural resources and rural development - Agricultural policy, institutional and capacity development

Gender Equity and Mainstreaming
Description

The Project's goal is to narrow the income disparity between urban and rural households in fragile environments of Fujian. The purpose of the Project is to improve and diversify income opportunities of rural households in mountainous and coastal areas of Fujian.

The project scope comprises three components and include (a) soil conservation and integrated agriculture; (b) rural infrastructure; and (c) support services and project management. Following a sector-like approach, subprojects within components are selected according to the criteria agreed between Fujian Provincial Government (FPG) and ADB.

Project Rationale and Linkage to Country/Regional Strategy

The Government recognizes the need to address the widening gap in income and living standards between the urban and rural population. Serious poverty remains a major issue in the large number of rural counties and villages, where agriculture and agriculture-related primary processing remain the only main livelihood. The prospects of short-term financial gains often lead to unsustainable land use practices, which, in turn, cause serious land and environmental degradation. With steadily increasing disparity in income between the urban and rural population and the mountainous, erosion-prone terrain, the Fujian Government clearly saw the need to address the challenge to identify and apply the appropriate technology to arrest the ongoing soil erosion and at the same time ensure sustainable improvement of incomes and living standard in the poor rural communities.

The Government's long-term development goal is "to establish an all-around well-off society by maintaining steady economic growth and by continuously improving the people's living standards." Key agenda of the Government's reform program to attain this goal are raising rural incomes, and reducing economic and social inequalities between rural and urban residents and between progressive and less progressive regions. To raise rural incomes, the Government's agriculture sector strategy focuses on measures to increase farm productivity and value added, develop underutilized and waste land, diversify crop production, adopt integrated approaches to farming that are environment friendly, improve natural resource management, and preseve the environment to support sustainable agriculture development.

The Project fits into ADB's Country Strategy and Program (CSP) for 2004-2006 and the poverty partnership agreement signed in September 2003, which emphasize (i) following a broad-based and inclusive growth plan, (ii) making markets work better, (iii) fostering regional cooperation, and (iv) ensuring environmental sustainability. The major thrusts of ADB's operations in promoting equitable and inclusive growth will be those that, inter alia, will reduce regional inequalities and the urban-rural gap, and will enhance rural development, especially in fragile environments such as degraded land and where the rural poor are concentrated. Key interventions for rural development include (i) provision of rural infrastructure; (ii) promotion of income-generating activities, technologies, and services that ensure integrated ecosystem management and maximize vertical and horizontal linkages in a participatory manner; (iii) strengthening of rural financial mechanisms and institutions that harness local capacities; and (iv) support for measures that take advantage of the new opportunities for agriculture and agro-processing products resulting from the PRC's accession to the WTO.

Impact Narrowed income disparity between urban and rural households in fragile environments of Fujian.
Project Outcome
Description of Outcome Increased and diversified income opportunities of rural households in mountainous and coastal areas of Fujian.
Progress Toward Outcome Likely to be achieved.
Implementation Progress
Description of Project Outputs

1. Rehabilitated orchard farms and rehabilitated forest areas

2. Developed and improved aquaculture activities

3. Established agricultural markets

4. Developed and improved agroprocessing activities

5. Developed and improved integrated livestock farming activities

6. Rehabilitated and developed small hydropower schemes

7. Rehabilitated and developed rural water supply schemes

8. Rehabilitated and developed small-scale rural infrastructure

9. Established provincial project management office(PPMO) and municipality and county project management offices(PMOs)

10. Established extension, communication, and training activities

Status of Implementation Progress (Outputs, Activities, and Issues) As of 30 June 2012, all project activities were completed. In total, 103 subprojects were approved under the loan and all of them were largely completed. About 12,000 ha of tea, orchards, bamboo, and other corps were rehabilitated, and about 3,000 ha of protection forest on slopes over 25 and 203 ha of windbreak protection forest were planted under 24 subprojects. Under five aquaculture subprojects, 300 ha of sea shell culture, 120 ha of seaweed culture, and 1000 marine fish net cages were developed. 17 agro-processing subprojects were implemented to process agricultural, aquaculture, forest, and livestock produce, and six livestock farms were developed to rear and breed poultry, pigs, and goats. Three large wholesale markets and four small to medium-sized markets were built at strategic locations. About 201 km of rural road and 3.5 km of flood-control levees were rehabilitated and 7 small rural infrastructure units were improved under 18 subprojects. Nine small hydropower schemes with power generation capacities of 191 million kilowatt hours/year were built or rehabilitated. Small and medium sized water supply schemes were built and/or rehabilitated covering 25 townships through 17 water supply subprojects. One provincial project management office, seven prefecture project management offices, and 36 county project management offices were established. As of 30 March 2012, 990 courses were held to train about 39,300 participants in agricultural technical skills, project management, and social and environmental safeguards.
Geographical Location The project covers about 50 counties of Fujian province.
Safeguard Categories
Environment B
Involuntary Resettlement B
Indigenous Peoples C
Summary of Environmental and Social Aspects
Environmental Aspects

The Project is in environmental category B. Subproject approval will be subject to the selection criteria. An overall initial environmental examination (IEE) carried out during the preparation of the feasibility study for the Project, shows that subproject generic impacts are expected to be positive, especially for soil conservation and integrated agriculture. No significant adverse environmental impacts are anticipated from the other components, and a detailed environmental impact assessment is not required. Subproject IEEs for selected small hydropower schemes and integrated livestock development indicate that overall environmental impacts will continue to be positive and that the proposed interventions pose no threat to the social or ecological environment. To guide the environmental assessment of proposed subprojects and facilitate compliance with the Government s environmental requirements and ADB s Environmental Assessment Guidelines 2003 (including for dams and hydropower schemes), an EAF has been developed. Following clearance by FPG, the IEE, summary IEE (SIEE), and EAF will be posted on the ADB web site (Appendix 6 and Supplementary Appendix D.)

The EAF indicates that approval of all small hydropower subprojects and other components subprojects will be subject to approval of an environmental impact report (EIR) by FEPB or ADB11. EIRs will be prepared by an agency with environmental impact assessment (EIA) certifications in Fujian. EIRs will be prepared following PRC environmental laws and regulations. EIRs will include an environmental management plan (EMP) detailing mitigation measures, cost estimates, and a monitoring and enforcement plan. The design will incorporate measures to mitigate any minor impacts . The consultant for environmental analysis assigned to the PPMO will oversee monitoring of environmental impacts and compliance with EMPs

provided in the EIRs. FEPB and county EPBs will monitor PRC environmental compliance procedures. PRC dam safety standards will also be applied to all project dams.

Involuntary Resettlement

Among nine project subcomponents, five will require some minor land acquisition and little or no displacement of housing (e.g., small hydropower schemes). For subprojects with complete feasibility studies, permanent land acquisition will be 35 ha, including 4 ha of farmland, affecting about 97 households. About 24 ha will be needed temporarily during project

construction, including 3 ha of farmland, affecting 128 households. No houses will be demolished. Affected persons are estimated at 898. To mitigate these minor impacts and comply with ADB s policy on involuntary resettlement, an RPF was prepared and approved by the provincial Agriculture Department. For subprojects starting in the first year of the Project,

ADB has approved short resettlement plans, posted them and the RPF on the ADB web site, and circulated the plans and RPF to all affected townships and villages. For later subprojects, short will be prepared in accordance with the RPF and submitted to ADB for approval before any land acquisition or displacement. (See the RPF in Supplementary Appendix B.)

Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design During project preparation, needs and concerns of key stakeholders were solicited through a series of focus group discussions; consultation meetings and dialogue in selected counties, townships, villages, and rural enterprises; and interviews with 50 households. A participatory poverty assessment was supplemented with a sample survey of 600 households. Special attention was paid to poor beneficiaries, women s groups, and She households to ensure that their needs and concerns were understood and addressed.
During Project Implementation Consultations have been carried out at various levels.
Business Opportunities
Consulting Services A total of 132 person-months of domestic consulting services to be financed out of EA's own resources will be provided under the project. The consultants will be assigned to the PMO to provide assistance in market demand and economic analysis, social analysis, subproject design, and environmental analysis to facilitate subproject approval for financing. The consultant for environmental analysis will in addition be responsible for overseeing monitoring of environmental impacts and compliance with Environmental Management Plans (EMPs).
Procurement

Goods and services for ADB-financed contracts will be procured in accordance with ADB's Guidelines for Procurement. Major contracts for equipment valued at more than $500,00 equivalent will be undertaken by the PMO through ADB's ICB procedures. Smaller equipment packages of $500,000 equivalent or less each will be procured by the PMO following NCB procedures.

Civil works contracts estimated to cost more than $5 million equivalent will be carried out using ICB procedures while those of $5 million equivalent or less will be carried out using local competitive bidding (LCB) procedures in accorandance with PRC's Tendering and Bidding Law and related regulations. Local contractors have the necessary expertise, experience and capacity to undertake these contracts. However, in accordance with ADB's Guidelines for Procurement, foreign contractors may bid on contracts using LCB.

Civil works contracts with a value of $100,000 equivalent or less for rehabilitation of rural access roads and bridges, or for soil conservation and integrated agriculture development and aquaculture (involving construction of small buildings, sheds, cages, water tanks) and of other minor infrastucture rehabilitation activities will be implemented on a force account basis by IAs or through community participation in procurement.

Responsible ADB Officer Xin Shen
Responsible ADB Department East Asia Department
Responsible ADB Division PRC Resident Mission
Executing Agencies
Fujian Provincial Government (FPG)FJSWCO@PUB2.FZ.FJ.CNADB Loan Management Office
2/F 115th Guping Road, Fuzhou 350003
Fujian, PRC
Timetable
Concept Clearance 16 Jul 1999
Fact Finding 13 Jun 2002 to 09 Jul 2002
MRM 21 Nov 2002
Approval 28 Apr 2004
Last Review Mission -
PDS Creation Date 15 Nov 2006
Last PDS Update 28 Sep 2012

Loan 2082-PRC

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
28 Apr 2004 26 Oct 2004 18 Mar 2005 31 Dec 2010 30 Jun 2012 01 Sep 2012
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 263.11 Cumulative Contract Awards
ADB 80.00 28 Apr 2004 80.00 0.00 100%
Counterpart 183.11 Cumulative Disbursements
Cofinancing 0.00 28 Apr 2004 80.00 0.00 100%
Title Document Type Document Date
福建水土保持和农村发展二期 : 项目数据表 Translated PDS Oct 2013
Fujian Soil Conservation and Rural Development II Project Project/Program Completion Reports Jun 2013
Fujian Soil Conservation and Rural Development II Summary Poverty Reduction and Social Strategies Aug 2004

Safeguard Documents

See also: Safeguards
Title Document Type Document Date
Fujian Soil Conservation and Rural Development II Project: External Monitoring Report on Resettlement and Land Acquisition (July 2012) Social Monitoring Reports Jul 2012
Fujian Soil Conservation and Rural Development II: Environmental Monitoring Report (March 2011) Environmental Monitoring Reports Mar 2011
Fujian Soil Conservation and Rural Development II: External Monitoring Report on Resettlement and Land Acquisition Resettlement Plans Dec 2009
Fujian Soil Conservation and Rural Development II Project: External Monitoring Report on Resettlement and Land Acquisition (December 2009) Social Monitoring Reports Dec 2009
Fujian Soil Conservation and Rural Development II: Changting Tingzhou Resettlement Plan Resettlement Plans Apr 2007
Fujian Soil Conservation and Rural Development II: Jian Ning Shuicheng Water Supply Expansion Subproject Resettlement Plans Nov 2006
Fujian Soil Conservation and Rural Development II: Xianyou Dongxi Water Supply Expansion Subproject Resettlement Plans Apr 2006
Fujian Soil Conservation and Rural Development II: Gaotun Small Hydropower Development Subproject Resettlement Plans Apr 2005
Fujian Soil Conservation and Rural Development II: Meizhou Water Supply Subproject Resettlement Plans Jan 2005
Fujian Soil Conservation and Rural Development II: Environmental Assessment Framework Environmental Assessment and Review Framework Aug 2003
Fujian Soil Conservation and Rural Development II: Dahe Pig Breeding Farm Initial Environmental Examination Aug 2003
Fujian Soil Conservation and Rural Development II: Summary Initial Environmental Examination (Overall) Initial Environmental Examination Aug 2003
Fujian Soil Conservation and Rural Development II: Sancengji Hydropower Initial Environmental Examination Aug 2003
Fujian Soil Conservation and Rural Development II: Shouning Liuping Resettlement Plan Resettlement Plans Mar 2003
Fujian Soil Conservation and Rural Development II: Xiapu Xiachun Resettlement Plan Resettlement Plans Mar 2003
Fujian Soil Conservation and Rural Development II: Shouning Xidi Resettlement Plan Resettlement Plans Mar 2003
Fujian Soil Conservation and Rural Development II: Yongding Hulei Resettlement Plan Resettlement Plans Mar 2003
Fujian Soil Conservation and Rural Development II: Hanjiang Sancengji Resettlement Plan Resettlement Plans Mar 2003
Fujian Soil Conservation and Rural Development II: Shunchang Dagang Resettlement Plan Resettlement Plans Mar 2003
Fujian Soil Conservation and Rural Development II: Resettlement Framework Resettlement Frameworks Mar 2003
Fujian Soil Conservation and Rural Development II: Jiangle Wanlong Resettlement Plan Resettlement Plans Mar 2003
Fujian Soil Conservation and Rural Development II: Wuping Dongtian Resettlement Plan Resettlement Plans Mar 2003
Fujian Soil Conservation and Rural Development II: Nanjing Dongpai Resettlement Plan Resettlement Plans Mar 2003
Fujian Soil Conservation and Rural Development II: Wuping Qilingxia Resettlement Plan Resettlement Plans Mar 2003

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