China, People's Republic of: Guizhou Rocky Desertification Area Water Management Project
The project is aligned with the following impact: livelihoods of people living in rocky desertification areas improved (Guizhou Provincial Government. 2011. Guizhou Provincial Master Plan for Water Resources Development, Ecological Improvement, and Rocky Desertification Management. Guiyang). The project will have the following outcome: rocky desertification area reduced. The project will have two outputs: (i) water resources conserved and (ii) environment, ecology, and land productivity restored.
East Asia Department
Request for information
China, People's Republic of
- Agriculture, natural resources and rural development
|Project Name||Guizhou Rocky Desertification Area Water Management Project|
|Country / Economy||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||Gender Equity and Mainstreaming
Governance and capacity development
Private sector development
|Sector / Subsector||
Agriculture, natural resources and rural development / Irrigation - Land-based natural resources management - Rural water supply services - Water-based natural resources management
|Gender Equity and Mainstreaming||Effective gender mainstreaming|
|Description||The project is aligned with the following impact: livelihoods of people living in rocky desertification areas improved (Guizhou Provincial Government. 2011. Guizhou Provincial Master Plan for Water Resources Development, Ecological Improvement, and Rocky Desertification Management. Guiyang). The project will have the following outcome: rocky desertification area reduced. The project will have two outputs: (i) water resources conserved and (ii) environment, ecology, and land productivity restored.|
|Project Rationale and Linkage to Country/Regional Strategy||
The project will help the Guizhou Provincial Government (GPG) reduce rocky desertification areas and improve the livelihoods of people living in rocky desertification areas by conserving water resources; restoring environment, ecology, and land productivity; and increasing resilience to climate change.
Rocky desertification is characterized by vegetation degradation, soil erosion, and bedrock exposure. It occurs in various countries and regions, including the Mediterranean and Dinaric karst regions of the Balkan Peninsula as well as the southwest region of the PRC on a large scale._In the PRC, rocky desertification is one of the most serious land degradation problems in karst areas spreading in the southwest, which has a population of 220 million and overlaps the Yangtze River Economic Belt. Karst area is susceptible to rocky desertification because of the low soil formation rate and high permeability of limestone. Where arable flat land and water are limited, originally vegetated karst areas are cultivated by removing vegetation and planting rain-fed crops which are less effective for soil conservation. Soil erosion control is not conducted in most cultivation areas. Such repeated unsustainable cultivation has increased the rocky desertification areas. Climate change is expected to increase temperatures and the frequency and intensity of extreme climatic events, including storms. This could exacerbate rocky desertification by exposing the soil surface to warming and evaporation, and by causing physical damage such as erosion. Rocky desertification reduces vegetation, soil, land productivity, and arable lands; increases natural disasters such as landslides and debris flows; and deteriorates ecology, increasing vulnerability to climate change and deteriorating people's livelihoods.
Guizhou is in the southwest PRC and has a population of 35 million, of which 36.1% is ethnic minority. Agriculture, forestry, and fishery account for 16.3% of Guizhou's gross domestic product (GDP) much higher than the PRC average of 9.2%. Crop production is the most important agricultural activity (10.4% of Guizhou's GDP and 64.0% of its agricultural, forestry, and fishery products). Guizhou's total area is 176,167 square kilometers, of which 92.5% is mountain or hilly area. It has 112,240 square kilometers of karst areas (63.7% of its total area). Guizhou is in the Yangtze River Economic Belt and is an important province to develop the southwest and far west regions. It has the biggest rocky desertification area in the PRC, at 30,237 square kilometers (17.2% of its total area and 25.2% of the total rocky desertification area in the PRC)._
Water is necessary to change unsustainable land use and restore vegetation in rocky desertification areas. In the southwest PRC, including Guizhou, rainfall concentrates during the rainy season and becomes floodwater that cannot be used._Porous limestone formations cannot capture and store much rainfall. Much of the water drains into rivers quickly through numerous short creeks and streams that run deep in valleys, or through deep aquifers (groundwater rivers) in limestone layers._Although annual precipitation in Guizhou (1,273 millimeters) is much higher than the PRC average (622 millimeters), the amount of annual water supply per person (272 cubic meters [m3]/person) is about 60% of the PRC average (447 m3/person). To capture sufficient water and distribute it to users in karst areas, and to change unsustainable land use and restore vegetation in rocky desertification areas, water storage facilities are essential.
Guizhou has the lowest GDP in the PRC at CNY26,444, which is 56.7% of the PRC average. The rural poverty ratio in Guizhou (18.0%) is much higher than the national rate (7.2%)._The poor population in rocky desertification areas accounts for 50.2% of Guizhou's total poor population. Rocky desertification is a main cause of the deterioration of livelihoods in Guizhou.
Livelihoods of people living in rocky desertification areas improved
|Description of Outcome||
Rocky desertification area reduced
|Progress Toward Outcome||Strong commitment and support from the Guizhou Provincial Government, the project management offices, project implementation units, and county governments on timely submission of required reports for ADB's review and approval; and implementation of project activities, particularly construction-related activities, according to agreed schedules to achieve outcome by 2025|
|Description of Project Outputs||
Water resources conserved
Environment, ecology, and land productivity restored
|Status of Implementation Progress (Outputs, Activities, and Issues)||
Based on midterm review mission conducted during 29 March-2 April 2021, the overall project progress is 34.8% against the elapsed project implementation period of 52.3% as of 31 December 2020. Construction of the Pingqiao Reservoir is estimated to be delayed by 27 months due to (i) delay in the acquisition of the dam site; (ii) delays in the procurements and constructions of temporary diversion tunnel, dam, spillway, and related structures and facilities; and (iii) the optimistic original schedule. The construction of Pingshan Reservoir is estimated to be delayed by 55 months due to (i) delay in updating the domestic resettlement implementation plan and the acquisition of the dam site, and (ii) the optimistic original schedule. The mission updated the overall project implementation schedule. Based on the updated schedule, it is likely that the loan closing date of 31 December 2023 needs to be extended by 2 years to 31 December 2025. The mission strongly informed the Guizhou Provincial Government (including the Finance Department and the project management office [PMO]) and the project implementation units (PIUs) that further delay in the construction of the reservoirs will not be allowed; and if it happens, it may cause the cancellation of the delayed activities and relevant loan amount.
Issue for guidance and recommendation: Closely monitor project implementation based on the updated schedules for project implementation and procurement, and the agreed follow-up actions so that project implementation will not be delayed anymore and the contract award and disbursement will be made in 2021 as agreed upon with the PMO.
Next steps: Update contract award and disbursement projections in eOperations system, and conduct a review mission in early 2022.
|Geographical Location||Guizhou Sheng|
|Summary of Environmental and Social Aspects|
|Environmental Aspects||The project is classified category A for environment because of the potential environmental impacts from the construction of the two reservoirs and water transfer facilities (para. 32). An environmental impact assessment, including an environmental management plan (EMP), was prepared in accordance with the SPS. The EMP includes mitigation and monitoring requirements and institutional responsibilities to ensure proper environmental management throughout construction and O&M. The environmental impact assessment, including the EMP, was disclosed on ADB's website on 19 December 2016.|
|Involuntary Resettlement||The reservoirs and water transfer facilities will cause significant resettlement impacts. A total of 2,261 households with 7,980 persons will be affected by permanent land acquisition, out of which 3,190 persons in 678 households will be physically relocated and resettled. A total of 534.3 ha of land will be affected permanently, including 13.0 ha of state land and 521.3 ha of collective land; 115.8 ha of collective land will be occupied temporarily; and 113,285.6 square meters of residential structures will be demolished. Resettlement plans have been prepared for Anlong and Nayong following the SPS and PRC laws and regulations, and were disclosed on the ADB website.|
|Indigenous Peoples||Ethnic minorities constitute 52% of the direct beneficiaries of the project. The EMP and resettlement plans address the adverse impacts of civil works, land acquisition, and resettlement. Other impacts will be mostly positive for ethnic minorities and other populations. Ethnic minority and social development plans were prepared in consultation with local stakeholders, including ethnic minorities, in accordance with the SPS; and have been disclosed to affected persons as well as on the ADB website.|
|Stakeholder Communication, Participation, and Consultation|
|During Project Design||Project information will be disclosed through ADB's and government's websites, meetings, interviews, focus group discussions, and community consultation meetings, in accordance with requirements of ADB's information disclosure policy. Main stakeholders are the different agencies of the GPG, ACG, and NCG, beneficiaries, APs, and participants in the project implementation. Stakeholder communication is also part of the EMSDPs and the GAP, and will be monitored accordingly.|
|During Project Implementation||Same as above.|
|Responsible ADB Officer||Kobayashi, Yoshiaki|
|Responsible ADB Department||East Asia Department|
|Responsible ADB Division||Environment, Natural Resources & Agriculture Division, EARD|
Guizhou Provincial Finance Department (GFD)
Guizhou Provincial Government (EA)
|Concept Clearance||29 Jan 2016|
|Fact Finding||19 Sep 2016 to 26 Sep 2016|
|MRM||02 Jun 2017|
|Approval||20 Sep 2017|
|Last Review Mission||-|
|Last PDS Update||23 Sep 2022|
|Approval||Signing Date||Effectivity Date||Closing|
|20 Sep 2017||31 Oct 2017||18 Dec 2017||31 Dec 2023||-||-|
|Financing Plan||Loan Utilization|
|Total (Amount in US$ million)||Date||ADB||Others||Net Percentage|
|Project Cost||338.81||Cumulative Contract Awards|
|ADB||150.00||31 Oct 2022||122.31||0.00||82%|
|Cofinancing||0.00||31 Oct 2022||73.98||0.00||49%|
|Status of Covenants|
|Rating||-||Satisfactory||Satisfactory||Partly satisfactory||-||Partly satisfactory|
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Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.
Evaluation Documents See also: Independent Evaluation
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ADB to Help Reduce Rocky Desertification in GuizhouADB's Board of Directors has approved a $150 million loan to help the Guizhou provincial government reduce its rocky desertification areas and improve people’s livelihoods.
|Contract Title||Approval Number||Contract Date||Contractor | Address||Executing Agency||Total Contract Amount (US$)||Contract Amount Financed by ADB (US$)|
|Supply and installation of equipment for a pump station for water transfer from Pingqiao Reservoir (Pingqiao Reservoir Pump Station Equipment and Installation)||Loan 3564||29 Dec 2021||Zhejiang Jiangneng Construction Co., Ltd | No. 658, 14th Floor, Haihua Plaza, Jianguo N Rd, Xiacheng District, Hangzhou, Zhejiang, People's Republic of China, Zip code: 310003||Guizhou Provincial Finance Department||3,332,724.63||3,329,848.52|
|Construction of water intake, water diversion facility, and related structure for Pingshan Reservoir (Pingshan Reservoir Intake Tower Construction and Irrigation Project)||Loan 3564||29 Dec 2021||China Railway No.5 Engineering Group Co., Ltd | 23 Zaoshan Road, Guiyang City, Guizhou Province, People's Republic of China, Zip code: 550003||Guizhou Provincial Finance Department||16,488,776.32||13,789,195.59|
|CONSTRUCTION OF WATER TRANSFER FACILITIES, INCLU- DING WATER DIVERSION TUNNEL AND METAL STRUCTURES 57.3KM FOR WATER TRANSFER FROM PINGQIAO RESERVOIR||Loan 3564||04 Dec 2019||SINOHYDRO CORPORATION ENGINEERING BUREAU 15 | GUIZHOU PROVINCE PEOPLE'S REPUBLIC OF CHINA CHINA,PEOPLE'SREP.OF||Guizhou Provincial Government||31,076,150.21||26,332,375.68|
|CONSTRUCTION OF SPILLWAY, ROADS, AND RELATED STRUCTURES AND FACILITIES FOR PINGSHAN RESERVOIR||Loan 3564||04 Nov 2019||CHINA RAILWAY NO.5 ENGINEERING GROUP CO., LTD | PEOPLE'S REPUBLIC OF CHINA CHINA,PEOPLE'SREP.OF||Guizhou Provincial Government||19,645,483.81||16,458,872.10|
|WATER AND ROCKY DESERTIFICATION MANAGEMENT CONSULTANT TEAM||Loan 3564||07 Aug 2019||BEIJING HAMONI ENGINEERING CONSULTING COMPANY | 1707 TOWER3 BEIJING INTERNATIONAL CENTER NO.38 DONG SAN HUAN BEI LU CHAOYANG CHINA,PEOPLE'SREP.OF||Guizhou Provincial Government||481,678.48||465,656.08|
|PINGSHAN RESERVOIR DAM SAFETY MONITORING SYSTEM CONSTRUCTION||Loan 3564||30 May 2019||POWER CHINA GROUP BEIJING ENGINEERING CORP. | PINGSHAN GUIZHOU PROVINCE CHINA,PEOPLE'SREP.OF||Guizhou Provincial Government||1,137,053.46||947,209.89|
|PINGQIAO RESERVOIR MONITORING SYSTEM CONSTRUCTION||Loan 3564||30 May 2019||GUIZHOU EAST CENTURY TECHNOLOGY CO., LTD. | PINGQIAO GUIZHOU PROVINCE CHINA,PEOPLE'SREP.OF||Guizhou Provincial Government||1,014,429.53||845,059.38|
|PS-CW-01 CONSTRUCTION OF DAM FOR PINSHAN RESERVOIR||Loan 3564||13 Dec 2018||SINOHYDRO CORPORATION ENGINEERING BUREAU 15 | PEOPLE'S REPUBLIC OF CHINA CHINA,PEOPLE'SREP.OF||Guizhou Provincial Government||33,844,743.15||28,573,996.24|
|CS-04 EXTERNAL RESETTLEMENT MONITORING AND EVALUATION AGENCY||Loan 3564||24 Nov 2018||NATIONAL RESEARCH CENTER FOR RESETTLEMENT | 1 XI KANG ROAD, NANJING, JIANGSU PROVINC CHINA,PEOPLE'SREP.OF||Guizhou Provincial Government||242,000.00||242,000.00|
|CS-05: PROJECT MANAGEMENT SUPPORT CONSULTANT TEAM||Loan 3564||29 Oct 2018||EASEN INTERNATIONAL COMPANY LTD. | R, 1810, NO. 450 OF CAOYANG ROAD, PUTUO DISTRICT, SHANGHAI, PRC CHINA,PEOPLE'SREP.OF||Guizhou Provincial Government||586,904.00||586,904.00|
|PQ-CW-01 CONSTRUCTION OF DAM, SPILLWAY, AND RELATED STRUCTURES AND FACILITIES FOR PINGQIAO RESERVOI||Loan 3564||24 May 2018||SINOHYDRO BUREAU 8 CO., LTD. | PRC CHINA,PEOPLE'SREP.OF||Guizhou Provincial Government||40,245,732.00||33,567,875.00|
|Title||Document Type||Document Date|
|Guizhou Rocky Desertification Area Water Management Project: Procurement Plan||Procurement Plans||Jan 2019|