ADB is helping upgrade the provincial highway and rural roads in Hulunbeier, a fast-growing area in the Inner Mongolia Autonomous Region of the People’s Republic of China. The project will also improve the cross-border points to facilitate trade between the PRC and Mongolia. It will support community-based sustainable tourism and environmental conservation, such as an eco-cultural trail.
|Project Name||Inner Mongolia Road Development 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||Governance and capacity development
|Sector / Subsector||
Transport - Road transport (non-urban)
|Gender Equity and Mainstreaming||Effective gender mainstreaming|
|Description||Inner Mongolia Autonomous Region (IMAR) is the third largest administrative region of the PRC in terms of land area and is well endowed with natural resources. As a result of mining, IMAR's economy has been growing rapidly, with gross domestic product increasing at 18% per annum from 2003 to 2011. The proposed project is located in Hulunbeier, one of the fast growing areas of IMAR. Hulunbeier is a vast area of 253,000 square kilometers which is very sparsely populated (fewer than 4 million inhabitants). It borders PRC's Heilongjiang province, the Russian Fedeatin, and Mongolia. Its economy depends heavily on resource extraction industries (coal, oil, and various minerals), animal husbandry, trade with the Russian Federation and to a lesser extent Mongolia, and a developing tourism industry.|
|Project Rationale and Linkage to Country/Regional Strategy||It is designed to support the government's Western Region Development Strategy and Northeast Region and other Old Industrial Bases Revitalization Strategy. It is in line with ADB objectives in the PRC Coutnry Partnership Strategy (2011-2015) and its focus on road safety, rural roads, environmental conservation, and cross border transport aligns it with the core objetives of ADB's Sustainable Tranport Initiative.|
|Impact||Efficient, inclusive, and safe movement of people and goods in IMAR and across the borders of Russian Federation and Mongolia|
|Description of Outcome||Safe and efficient road transport network that supports environmental conservation and sustainable tourism|
|Progress Toward Outcome||to be assessed at completion review.|
|Description of Project Outputs||
1. Highway upgrading and road safety improvements
2. Upgrading of rural roads
3. Cross border transport improvement and trade facilitation
4. Support for community-based sustainable tourism and environmental conservation
5. Institutional strengthening and capacity building
|Status of Implementation Progress (Outputs, Activities, and Issues)||
All agreed actions during a review mission in July 2016 were achieved or being achieved. The project implementation progress achieved as of 31 December 2016 is summarized as below.
(i) output 1: being implemented smoothly. The HPMO confirmed this output will be completed on time.
(ii) output 2: being implemented smoothly. The HPMO confirmed to complete all five rural roads before October 2017.
(iii) output 3: being implemented smoothly. The HPMO confirmed to complete all two rural roads before October 2017.
(iv) output 4: No major issues.
(v) output 5: The 2017 capacity building plan has been submitted to the government for approval in Q4 2016. The EA is considering organizing more domestic trainings since overseas trainings were limited by the government.
|Summary of Environmental and Social Aspects|
|Environmental Aspects||According to the Project Administration Manual and the project environment impact assessment (EIA) report, the Project will involve a set of institutions to secure a sound environment management and to implement the project environment management plan (EMP). ADB mission reviewed the institutional setup for environment management within the executing agency and the project management office (PMO) and confirmed that PMO has a unit (i.e. general office) to oversee the implementation of safeguards.|
|Involuntary Resettlement||Four resettlement plans were prepared for S203, two port roads, and three rural roads during the project preparation. According to those resettlement plans, the project will permanently acquire a total of 15,680 mu of land (mostly grassland), which partially affects the livelihood of 202 herder's households with 792 people. A total of 3,045 mu land will be temporarily used during construction. The project will also relocate 175 m2 of residential houses and partially affect a cement factory.|
|Indigenous Peoples||The project is classified as category A for the indigenous peoples safeguard. The ethnic minority population in the project area is mainly Mongolian representing 31.9% of the total population. An ethnic minority development plan (EMDP) was prepared to ensure the equitable sharing of project benefits and propose measures to mitigate adverse impacts for the Mongolian community within the project area. It was noted that a small number of Mongolian herders are affected by land acquisition and this will be addressed by resettlement plan. In terms of gender development, the project is categorized as effective gender mainstreaming. A project gender action plan was prepared to promote women's participation and gender equality.|
|Stakeholder Communication, Participation, and Consultation|
|During Project Design|
|During Project Implementation|
|Consulting Services||to be determined|
|Procurement||to be determined|
|Responsible ADB Officer||Zhang, Wen|
|Responsible ADB Department||East Asia Department|
|Responsible ADB Division||PRC Resident Mission|
Inner Mongolia Autonomous Region Department of Transport
No. 68 Dizhiju S. Street Saihai District, Hohhot, China
|Concept Clearance||16 Nov 2012|
|Fact Finding||19 Nov 2012 to 29 Nov 2012|
|MRM||19 Mar 2013|
|Approval||08 Oct 2013|
|Last Review Mission||-|
|Last PDS Update||13 Mar 2017|
|Approval||Signing Date||Effectivity Date||Closing|
|08 Oct 2013||17 Dec 2013||01 Apr 2014||30 Jun 2018||-||-|
|Financing Plan||Loan Utilization|
|Total (Amount in US$ million)||Date||ADB||Others||Net Percentage|
|Project Cost||502.11||Cumulative Contract Awards|
|ADB||200.00||08 Oct 2013||159.97||0.00||80%|
|Cofinancing||0.00||08 Oct 2013||99.85||0.00||50%|
|Approval||Signing Date||Effectivity Date||Closing|
|08 Oct 2013||02 Jan 2014||02 Jan 2014||30 Jun 2015||30 Jun 2016||-|
|Financing Plan/TA Utilization||Cumulative Disbursements|
|0.00||500,000.00||0.00||0.00||0.00||0.00||500,000.00||08 Oct 2013||429,549.40|
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