||Taiyuan-Zhongwei Railway Project
||China, People's Republic of
|Project Type / Modality of Assistance
|Source of Funding / Amount
|Loan 2274-PRC: Taiyuan-Zhongwei Railway Project|
|Ordinary capital resources
||Inclusive economic growth
|Drivers of Change
||Governance and capacity development
Private sector development
|Sector / Subsector
- Rail transport (non-urban)
|Gender Equity and Mainstreaming
|| Some gender elements
||The main objective of the Project is to remove a constraint to sustainable economic growth that will help to increase standards of living and to reduce poverty in the project area. This will be achieved by providing affordable railway transportation in the unserved, less developed areas to create conditions necessary for developing local resources and generating employment and income enhancing opportunities. The Project comprises: (i) constructing 520 kms double track electrified standard gauge Class I railway between Taiyuan and Dingbian, 232 kms single track from Dingbian-Zhongwei, and 192 kms single track from Dingbian to Yinchuan, (ii) constructing 41 new railway stations complete with facilities, (iii) a safety component which includes providing modern technology and equipment for management information system, operational safety equipment, and mechanized maintenance of track, and capacity building of staff including training, (iv) e-governance and management information system (MIS), (v) providing training on the use and maintenance of the modern equipment, (vi) land acquisition and resettlement, (vii) protecting the environment and mitigating adverse environmental effects, (viii) providing consulting services for construction supervision, monitoring and evaluation, marketing and business development, and (ix) strengthening institutional capabilities.
|Project Rationale and Linkage to Country/Regional Strategy
||The project is included in the Country Strategy and Program Update (2005-2007) approved on 29 September 2004. The Project is (i) the first eas-west railway line linking Shanxi, Shaanxi, and Ningxia provinces; and (ii) the shortest east-west corridor linking Beijing, Huanghua, Qingdao, and other major cities and ports in the east to Yinchuan, Zhongwei, Lanzhou, and Urumqui in the west on its way to Kazakhstan. The proposed alignment for the TZR is 100-500 km shorter than the existing route passing through the Longhai and Baolan railway lines. Traversing Shanxi, Shaanxi Provinces, and Ningxia Autonomous Region, the proposed railway line will connect with the Beijing-Shenzhen, Qingdao-Shijiazhuang, Qinhuangdao-Tianjin main lines in the east; and Baotou-Wuhai-Lanzhou, Baotou-Suide-Xi'an, and Urumqui-Wuwei-Zhongwei, main lines in the west. The Project will also help to promote regional cooperation, as this is the shortest east-west corridor linking the PRC to Europe.
||Improved transport system in the region that supports socioeconomic development and the western development strategy.
|Description of Outcome
||An efficient, safe, reliable, affordable, and environmentally friendly railway transport system is developed in the region.
|Progress Toward Outcome
||The project started trial-operation on 11 January 2011, which is about 5 months earlier than the appraisal estimate. Currently, passenger trains of 18 pairs and freight trains of 30 pairs are scheduled for the trial operation.
|Description of Project Outputs
Railway infrastructure and associated facilities improved along the Taiyuan-Zhongwei railway corridor.
Employment opportunities generated for poor and vulnerable groups to raise incomes and living standards, and reduce poverty.
Corporate governance promoted.
Institutional capacity of the Project Company strengthened.
|Status of Implementation Progress (Outputs, Activities, and Issues)
The overall project progress is about 99% complete. MOR's preliminary check on construction quality was completed on 26 December 2010 and the operational safety assessment was completed on 30 December 2010. The project started trial-operation on 11 January 2011.
The Engineering Management Unit coordinates the environment management and supervises contractors for their compliance with environment management as required in the environment management plan (EMP). All contractors also set up responsible unit or office to look after the environment management. Beijing OASIS is engaged as the external environment monitor to oversee the EMP implementation as well as the monitoring program. The Yellow River Soil and Water Conservation Monitoring Center is engaged to monitor soil erosion induced by construction activities along the alignment. The Xi'an Yellow River Engineering Supervision Company is engaged to supervise the implementation of soil erosion control plan.
51.37 million person days of employment opportunities were provided, 5.98 million person-days of employment opportunities were provided to local poor families which generated income of CNY25.69 million.
Tai-Zhong-Yin Railway Company was established to manage and operate the project railway; and develop and implement adequate and transparent business
development mechanisms, and accounting and reporting systems.
The component for institutional strengthening has not been conducted.
||Central part of Shanxi Province & Northwest of Shaanxi & Ningxia Province
|Summary of Environmental and Social Aspects|
The Project is classified as ADB environmental category A. TSDI prepared an environmental impact assessment (EIA) for the proposed project, which was approved by State Environmental Protection Administration. MOR endorsed the summary environmental impact assessment (SEIA), which was circulated to ADB s Board of Directors and uploaded on the ADB website on 15 February 2006 (Supplementary Appendix E).
Potential adverse environmental impacts include (i) noise and vibration impacts on adjacent residents; (ii) soil erosion from cut and fill activities; (iii) disturbance of historical, cultural, and archaeological sites; (iv) impact on surface water quality of adjacent waterways; and (v) public health and safety.
The EIA concluded that the adverse environmental impacts can be successfully mitigated through the use of best practices and appropriate technologies. Implementation of the environmental management, mitigation, and monitoring programs included in the EIA will ensure compliance with ADB and government environmental guidelines and procedures. Internal and
external monitoring and audits will be conducted to ensure that standards and regulations are followed. An independent monitoring agency will be hired to carry out external monitoring and evaluation work during implementation.
||The project railway alignment will cross more than 550 villages in 20 counties and 2 urban districts from Taiyuan to Zhongwei and Yinchuan. An estimated 4,656 hectares (ha) of land will be permanently acquired, of which 42% is dryland, 36% is irrigated farmland, 8% is orchard, 3% is vegetable plots, 3% is woodland, and 8% is wasteland/desert. The Project will also temporarily occupy 1,872 ha for TZR construction activities and access; the amount has been reduced by utilizing existing railway lands. An estimated 428,395 square meters (m2) of structures will be affected, of which 81% are residential structures and other farm structures, 13% are sheds, 5% are factory buildings/workshops, and 1% are school buildings. Based on the PRC standard for impact assessment, about 11,803 will lose all their land and agricultural livelihoods and 11,956 will have their houses demolished. Since the railway will only require a narrow corridor, it is estimated that the average loss of land per household would be 15%, which means the number of partially affected people would be about 78,687; and those losing more than 25% would be about 8,000. Land acquisition and resettlement impacts were minimized by aligning the railway away from urban areas, village centers, and other facilities, where possible, based on consultations with communities.
||The Project area includes 619,400 people with ethnic minority nationalities, which represent 9.6% of the project area's population. The main ethnic group in the project area is Hui, who are descendants of Muslim traders that settled in Ningxia (which is now an autonomous region). About 2,000 will be affected by land acquisition and resettlement. Investigations revealed that the Hui villagers were integrated with the Han and shared the same socioeconomic conditions. Since some of the affected minority villages are poor, specific provisions are included in the RP for livelihood training, employment on construction, access to rural credit, assistance with house construction, and social security. The Project includes a social development action plan (SDAP) to enhance benefits for poor or vulnerable people in the project area. Hui minorities are included as a target group in the SDAP.
|Stakeholder Communication, Participation, and Consultation|
|During Project Design
||Various public consultation and participation activities have been conducted for the project and the role of each stakeholder is identified. MOR, Third Survey and Design Institute (TSDI), the project preparation technical assistance consultants, and ADB missions have had formal and informal consultations with local communities and government agencies through meetings, surveys, household interviews, written communications, and workshops, totaling 15,150 people.
|During Project Implementation
||The ADB loan will finance 10 person-months of international consulting services to strengthen institutional, marketing, and business development functions of the Project Company. The consultants will be recruited using the quality- and cost-based method and simpliefied technical proposal, in accordance with ADB Guidelines on the Use of Consultants. The Government will engage and finance qualified domestic consultants for (i) detailed project design, (ii) preparation of technical specifications, (iii) construction supervision, (iv) consruction quality assurance, (v) environmental supervision and management, (vi) monitoring and evaluation of the resettlement plan, and (vii) socioeconomic impact assessment, evaluation of poverty reduction, and project performance monitoring.
||ADB will finance procurement of materials and equipment for the Project, following ADB Guidelines for Procurement. The civil works will be procured under local competitive bidding procedures. Equipment will be procured under international competitive bidding or international shopping or direct purchase.