China, People's Republic of: Developing a Low-Carbon Economy in Yunnan Province

Sovereign Project | 43051-012

Summary

In its long-term strategic framework 2008?2020 (Strategy 2020) , ADB has identified energy as a core operational sector and achieving environmental sustainability as a priority. ADB has introduced new initiatives (e.g. CEFPF) to augment its assistance to developing member countries for acquiring low-carbon technologies and implementing energy efficiency projects. ADB?s country partnership strategy for the PRC has also emphasized balanced and sustainable growth with more efficient uses of resources and more stringent protection of the environment. One of the key priorities of the 11th Five Year Plan (FYP) of the PRC is to improve energy efficiency by 20%, which is a flagship program of the PRC to address climate change and environmental challenges due to rapid economic growth. The TA has a close fit with both ADB's and PRC's priorities.

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Project Name Developing a Low-Carbon Economy in Yunnan Province
Project Number 43051-012
Country China, People's Republic of
Project Status Closed
Project Type / Modality of Assistance Technical Assistance
Source of Funding / Amount
TA 7442-PRC: Developing a Low-Carbon Economy in Yunnan Province
Climate Change Fund US$ 400,000.00
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Drivers of Change Governance and capacity development
Partnerships
Sector / Subsector Energy - Energy efficiency and conservation
Gender Equity and Mainstreaming No gender elements
Description
Project Rationale and Linkage to Country/Regional Strategy

In its long-term strategic framework 2008?2020 (Strategy 2020) , ADB has identified energy as a core operational sector and achieving environmental sustainability as a priority. ADB has introduced new initiatives (e.g. CEFPF) to augment its assistance to developing member countries for acquiring low-carbon technologies and implementing energy efficiency projects. ADB?s country partnership strategy for the PRC has also emphasized balanced and sustainable growth with more efficient uses of resources and more stringent protection of the environment. One of the key priorities of the 11th Five Year Plan (FYP) of the PRC is to improve energy efficiency by 20%, which is a flagship program of the PRC to address climate change and environmental challenges due to rapid economic growth. The TA has a close fit with both ADB's and PRC's priorities.

During the 2008 year end CPM, the PRC delegation requested ADB to provide this technical assistance (TA) for Yunnan Province to support its low carbon economy development. A reconnaissance mission (the Mission) from ADB visited Kunming, Yunnan Province during 4-8 May 2009 to discuss with the provincial officials from the Department of Finance of Yunnan Province (DFYP) and Yunnan Provincial Environmental Protection Department (YEPD) on the proposed TA. To match with TA resouces, both sides agreed to conduct the TA activities first in Kunming, capital city of Yunnan Province, which has about 28.2% of the provincial GDP and 30.2% of the provincial industrial production. Lessons learned in Kunming can be replicated to other cities in Yunnan. In 2006, five energy intensive industries consumed about 8.1 million TCE and accounted for about 85% of total energy consumption in Kunming. The Five Energy-intensive Industries are (i) iron and steel, consuming about 3.09 million TCE and accounting for about 33.7% of total energy consumption in Kunming; (ii) power generation, about 1.61 million TCE and 17.6%; (iii) chemical, about 1.49 million TCE and 12.3%; (iv) building material, about 1.04 million TCE and 11.4%; and (v) non-ferrous metal, 0.87 million TCE and 9.5% . The Mission and the provincial government agencies agreed to focus on these five energy-intensive industries, and reached a common understanding on the impact, outcome, scope of work, key activities and implementation arrangements of the TA.

Impact Promote sound economic development in Yunnan by introducing and applying widely the international best practice of the Low Carbon Economic methodology.
Project Outcome
Description of Outcome Low carbon economic development in PRC, analysis on capacity of Kunming municipality in adaptation and mitigation of climate change.
Progress Toward Outcome The TA activities have been completed and the consiltant's report has been submitted. A workshop on the New Energy City Program was held in early September 2012.
Implementation Progress
Description of Project Outputs The Project will develop the low carbon city strategy for Kunming covering the areas of carbon emission reduction in the sectors of industry, energy, transportation and architecture. The Project will also have prioritzed action plan for carbon emission reduction for Kunming.
Status of Implementation Progress (Outputs, Activities, and Issues) The TA activities have been completed and the final payments to the consultants have been made. The TA account will be closed after completing other TA closing requirements.
Geographical Location Kumming City, Yunnan Province
Summary of Environmental and Social Aspects
Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design General consultations have been conducted with the Ministry of Finance, Yunnan Provincial Government, and other relevant government agencies on the scope, outcome, and implementation plans of the proposed TA.
During Project Implementation The consultants are required to maintain close working relations with ADB and the EA/IA. Tripartite meetings among ADB, the EA/IAs, and the consultants have been held periodically to provide guidance to the consultants and to review their reports. Workshops and seminars have been conducted to collect comments on consultants' reports and also to disseminate main findings of the TA.
Business Opportunities
Consulting Services The TA will be carried out by a team of consultants with knowledge and experience in (i) economic and developmental analysis, (ii) energy technologies and energy savings measurement, (iii) environmental analysis, and (iv) enhancement of institutional capacities. The consultants will be engaged by ADB in accordance with its Guidelines on the Use of Consultants (2007, as amended from time to time). A consulting firm will be engaged using the quality (80% weighting) and cost-based (20%) selection method.
Responsible ADB Officer Woo Lee
Responsible ADB Department East Asia Department
Responsible ADB Division Energy Division, EARD
Executing Agencies
Yunnan Provincial GovernmentMr. Zhou Bo, Directorzhoubo@ynepb.gov.cn27, Xi Yuan Nan Lu, Kunming People's Republic of China
Timetable
Concept Clearance 15 Oct 2009
Fact Finding 20 Oct 2009 to 26 Oct 2009
MRM -
Approval 14 Dec 2009
Last Review Mission -
PDS Creation Date 15 Oct 2009
Last PDS Update 26 Sep 2012

TA 7442-PRC

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
14 Dec 2009 27 Jan 2010 27 Jan 2010 30 Apr 2011 28 Oct 2012 -
Financing Plan/TA Utilization Cumulative Disbursements
ADB Cofinancing Counterpart Total Date Amount
Gov Beneficiaries Project Sponsor Others
400,000.00 0.00 100,000.00 0.00 0.00 0.00 500,000.00 14 Dec 2009 395,477.45
Title Document Type Document Date
Developing a Low-Carbon Economy in Yunnan Province TA Completion Reports Jan 2013
Developing Low-Carbon Economy in Yunnan Province Technical Assistance Reports Dec 2009

Safeguard Documents

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Evaluation Documents

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