Pakistan: Khyber Pakhtunkhwa Cities Improvement Project

Sovereign (Public) Project | 51036-002

The proposed Khyber Pakhtunkhwa Cities Improvement Project will help provincial and city governments of Khyber Pakhtunkhwa Province (KPK) to improve the livability of five cities (Abbottabad, Kohat, Mardan, Mingora, and Peshawar) by (i) expanding physical investments in urban water, sewerage, solid waste disposal, and green infrastructure; and (ii) providing institutional support to improve service delivery and the performance of municipal companies. The project will benefit up to 3.5 million people in the five target cities of KPK. The project supports the government's development priorities, established in (i) the KPK Water Act (2020), (ii) the amended Local Government Act (2019), (iii) the Integrated Water Resource Management Strategy for KPK, and (iv) Pakistan's Nationally Determined Contributions (NDCs).

Project Details

  • Project Officer
    Nakamitsu, Kiyoshi
    Central and West Asia Department
    Request for information
  • Country
    Pakistan
  • Sector
    • Water and other urban infrastructure and services
Project Name Khyber Pakhtunkhwa Cities Improvement Project
Project Number 51036-002
Country Pakistan
Project Status Proposed
Project Type / Modality of Assistance Grant
Loan
Source of Funding / Amount
Grant: Khyber Pakhtunkhwa Cities Improvement Project
concessional ordinary capital resources lending / Asian Development Fund US$ 5.00 million
Loan: Khyber Pakhtunkhwa Cities Improvement Project
Ordinary capital resources US$ 380.00 million
Asian Infrastructure Investment Bank US$ 200.00 million
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Drivers of Change Gender Equity and Mainstreaming
Governance and capacity development
Knowledge solutions
Partnerships
Private sector development
Sector / Subsector

Water and other urban infrastructure and services / Urban flood protection - Urban hazardous waste management - Urban policy, institutional and capacity development - Urban sewerage - Urban solid waste management - Urban water supply

Gender Equity and Mainstreaming Gender equity
Description The proposed Khyber Pakhtunkhwa Cities Improvement Project will help provincial and city governments of Khyber Pakhtunkhwa Province (KPK) to improve the livability of five cities (Abbottabad, Kohat, Mardan, Mingora, and Peshawar) by (i) expanding physical investments in urban water, sewerage, solid waste disposal, and green infrastructure; and (ii) providing institutional support to improve service delivery and the performance of municipal companies. The project will benefit up to 3.5 million people in the five target cities of KPK. The project supports the government's development priorities, established in (i) the KPK Water Act (2020), (ii) the amended Local Government Act (2019), (iii) the Integrated Water Resource Management Strategy for KPK, and (iv) Pakistan's Nationally Determined Contributions (NDCs).
Project Rationale and Linkage to Country/Regional Strategy

Background. KPK is one of the four administrative provinces of Pakistan, located about 130 kilometers (km) northwest of Islamabad, the country's capital. KPK accounts for about 11% of Pakistan's gross domestic product with the fastest annual growth rate of about 5% among all four provinces over between 2000 and 2017. KPK has a population of around 32 million (50% women) but this is expected to reach about 58 million by 2035. By the same year, it is also estimated that 35% of KPK's population will be concentrated in cities, up from 16% in 2017. KPK's rapid urban population growth rate (approximately 3.4% per annum) is placing a tremendous strain on its cities. Inadequate infrastructure and limited capacity to manage municipal water, sanitation, and solid waste services are creating major health risks for the population and threatening the resilience of cities to the effects of climate change.

Issues. Basic urban services such as water supply, wastewater collection and treatment, storm water drainage, solid waste management (SWM), and green urban spaces (e.g., parks) have failed to meet the increasing urban domestic and commercial demand, leading to gradual degradation of the urban environment and living standards. Piped water is available to only 42% of the urban population, and typically for only 6 hours a day. Poor maintenance and leakages contribute to significant losses in piped water networks and contamination of the water supply. In 2014, 75% of supplied water in Abbottabad was unsafe for consumption, and in 2015, water loss in Peshawar was estimated at 67%. This adversely affects households' access to clean water supply, putting added burden on women who have to procure, store, and treat water. Operational sewerage systems serve less than 5% of urban areas, and where networks exist, they are poorly maintained and prone to overflow. Most wastewater moves via open drains, and there are no functional wastewater treatment plants in KPK. Wastewater and sewage are discharged, untreated, into surface water drains or agricultural land where they are used for irrigation purposes which poses a significant health risk to the local farmers and communities. SWM in KPK is poor due to lack of proper infrastructure, equipment, management, and technical capacity. Less than 30% of municipal solid waste produced is collected, and uncollected waste is typically burned, disposed of in drains, or used to fill low-lying land. As women are the primary managers of water, solid waste disposal and health hygiene at the household level, unreliable and inadequate water supply and sanitation services increase women's time poverty and drudgery, and restrict their ability to access economic opportunities and social benefits offered by urbanization. Pakistan is one of the top 10 countries with the highest mismanagement of plastic waste in the Asia and Pacific region. Cities in KPK are highly polluted with plastic waste trapped in rivers and drains. Furthermore, since there are no large scale and properly engineered sanitary landfills, collected waste is disposed of in open dumps, which lack controls to mitigate pollution of the surrounding environment. The overall green urban space allocation in KPK cites is estimated at 3.5%, which is below the recommended international norm of 15-20%. This is a missed opportunity to provide intrinsic environmental and aesthetic benefits to urban lives. The cities in KPK are highly vulnerable to disasters triggered by natural hazards and climate change. Since 2010, KPK has experienced at least four major floods due to extreme climate events, causing economic loss, physical damage of urban infrastructure, and health hazards. Additionally, the coronavirus disease (COVID-19) pandemic has revealed serious inadequacies in the current delivery models of public health, emphasizing the need to address the gaps in service delivery.

Institutional challenges. The Government of Khyber Pakhtunkhwa (GOKP) is promoting the decentralization and corporatization of municipal services to improve municipal services. In 2015, the GOKP established seven independent utility companies to take over the provision of water supply, wastewater, and SWM from local government institutions in seven primary cities in KPK. These water and sanitation services companies (WSSCs) are contracted under asset management arrangements. The WSSCs have begun introducing changes to improve operation by strengthening client relationships, increasing accountability in municipal services provision, and improving both quality and coverage of services through performance enhancement measures. Experience with such companies elsewhere in Pakistan have shown substantial improvement in urban services. The WSSCs in KPK are, however, relatively new and face a number of start-up challenges. Current tariffs are insufficient to sustain their operations, and the WSSCs require further assistance to improve the quality and coverage of their services. Furthermore, in the absence of technical and financial resources, the WSSCs have limited capacity to prepare and implement new projects, which ha contributed to the low quality of feasibility studies, safeguards, and engineering designs for their municipal operations. Although the WSSCs have started reforming tariffs to support cost recovery on a trial basis, they will require additional support to rationalize tariffs, improve revenue collection, and strengthen commercial performance. Women's participation in WSSCs is negligible, with only 1-2 women recruited at the junior administrative level positions, which restricts their ability to effectively engage with women clients. Overall, the WSSCs need support to (i) strengthen governance and develop sustainable business models; (ii) promote effective public-private partnerships; (iii) build capacity of WSSC staff; and (iv) turn into women-friendly organizations to improve their gender balance and better cater to the needs of their clients.

ADB's engagement. In November 2017, the Asian Development Bank (ADB), in partnership with the Urban Climate Change Resilience Trust Fund (UCCRTF) and Cities Development Initiatives for Asia, completed prefeasibility studies and climate change risk and vulnerability assessments. In March 2019, ADB and UCCRTF financed ADB's first project readiness financing facility (PRF) to complete (i) detailed engineering designs, (ii) government reform plans, (iii) advance procurement, and (iv) establishment and staffing of project management unit and city implementation units. Because of PRF, the proposed project meets all the project readiness requirements for immediate project implementation upon approval. ADB also processed a technical assistance to prepare medium- to long-term urban road maps and regional development plans with multiple innovations. In May 2020, ADB approved the allocation of the Asian Development Fund (ADF) 13 Thematic Pool resources that will enable the project to directly address SDG5 transformative gender agenda, especially in the areas of reducing unpaid care and domestic work, and ensuring women's access to economic and productive resources. The project will improve households' access to water and sanitation services, which will ease women's domestic work, as well as provide them with safe access to urban green spaces. The project will also facilitate institutionalization of gender-sensitive policies and programs to enable the recruitment and retention of female technical workers in WSSCs. The ADF 13 grant enables the project to go beyond its project scope to (i) provide women with scholarship and internship support and enlarge the pool of female technical and professional workers in urban governance and WSS sector, (ii) rehabilitate and upgrade the women's business development center in Kohat that will provide livelihood training and support to women entrepreneurs, (iii) establish a women's technical training center that will provide women with formal technical skills to enable them to gain employment in the sector, and (iv) facilitate the establishment of childcare facilities in WSSCs.

Alignment with strategies. The project supports the government's development priorities, established in (i) the KPK Water Act (2020), (ii) the amended Local Government Act (2019), (iii) the Integrated Water Resource Management Strategy for KPK, and (iv) Pakistan's Nationally Determined Contributions (NDCs). These strategy documents highlight the need to (i) improve spatial planning, (ii) address climate change, (iii) streamline municipal operation structures, and (iv) increase the role of public-private partnerships and (v) community involvement in urban planning. The project is aligned with ADB's operational priorities of (i) addressing remaining poverty and reducing inequalities, (ii) accelerating progress in gender equity, (iii) tackling climate change, building climate and disaster resilience, and enhancing environmental sustainability (iv) making cities more livable, and (v) strengthening governance and institutional capacity as outlined in ADB's Strategy 2030 and country partnership strategy, 2021-2025. The project is also aligned with ADB Action Plan for Healthy Oceans and Sustainable Blue Economies through its focus on circular economy (recycle and reuse) reducing riverine and marine plastic pollution and to the priorities identified under the country's the NDCs that include focus on use of renewable energy and building climate resilient infrastructure.

Impact Impact of the Project is improved livability and community health for environmental sustainability, and socio-economic development in urban areas of Khyber Pakhtunkhwa Province Pakistan.
Outcome By 2026, Residents in the five Khyber Pakhtunkhwa Province cities have improved access to sufficient, safe and affordable water sanitation, and hygiene services for health and livelihoods.
Outputs

Urban infrastructure and public spaces improved and expanded.

Institutional capacities of urban service providers, provincial government, and city governments strengthened.

Geographical Location Nation-wide, Khyber Pakhtunkhwa
Safeguard Categories
Environment A
Involuntary Resettlement A
Indigenous Peoples C
Summary of Environmental and Social Aspects
Environmental Aspects Safeguard due diligence assessment will be completed in late July 2020.
Involuntary Resettlement Safeguard due diligence assessment will be completed in late July 2020.
Indigenous Peoples Safeguard due diligence assessment will be completed in late July 2020.
Stakeholder Communication, Participation, and Consultation
During Project Design
During Project Implementation
Responsible ADB Officer Nakamitsu, Kiyoshi
Responsible ADB Department Central and West Asia Department
Responsible ADB Division Urban Development and Water Division, CWRD
Executing Agencies
Local Gov't, Elections and Rural Dev. Dept
Peshawar, Pakistan
Planning & Dev.Dept.,Gov't of Khyber Pakhtunkhwa
Peshawar, Pakistan
Timetable
Concept Clearance 26 May 2020
Fact Finding 05 Apr 2021 to 21 Apr 2021
MRM 01 Sep 2021
Approval -
Last Review Mission -
Last PDS Update 27 May 2020

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Safeguard Documents See also: Safeguards
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.

Title Document Type Document Date
Khyber Pakhtunkhwa Cities Improvement Project: Social Due Diligence Report Safeguards Due Diligence Reports Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Extension of JICA Water Treatment Plant and Gravity Water Supply Scheme (Abbottabad) Initial Environmental Examination Initial Environmental Examination Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Construction of Neighborhood Park, Mingora Environmental Management Plan Environmental Management Plans Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Kohat Solid Waste Management Facility Development Initial Environmental Examination Initial Environmental Examination Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Improvement of Water Supply System (Kohat) Initial Environmental Examination Initial Environmental Examination Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Landfill Site Kohat Land Acquisition and Resettlement Plan Resettlement Plans Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Integrated Solid Waste Management System and Landfill Site, Peshawar Corrective Action Plan Environment Compliance Audit Reports Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Pedestrianization of Market in Old City Center, Abbottabad Environmental Management Plan Environmental Management Plans Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Construction of Rorya Sewage Treatment Plant and Revamping of Sewerage System in Mardan Initial Environmental Examination Initial Environmental Examination Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Greater Water Supply Scheme Mingora Land Acquisition and Resettlement Plan Resettlement Plans Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Integrated Solid Waste Management System and Landfill Site, Mingora Corrective Action Plan Environment Compliance Audit Reports Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Development of Shimla Hill Sherwan Park, Abbottabad Environmental Management Plan Environmental Management Plans Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Development of Salhad Park (Abbottabad) Initial Environmental Examination Initial Environmental Examination Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Development of Bagh-e-Naran Park, Peshawar Environmental Management Plan Environmental Management Plans Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Access Route to Landfill Site Mingora Land Acquisition and Resettlement Plan Resettlement Plans Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Chuna Water Supply, Abbottabad Corrective Action Plan Environment Compliance Audit Reports Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Establishment of Women Business Development Center, Kohat Environmental Management Plan Environmental Management Plans Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Improvement of Water Supply System in Peshawar Initial Environmental Examination Initial Environmental Examination Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Development of Besai Park, Peshawar Environmental Management Plan Environmental Management Plans Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Pedestrianizing of the Old City Commercial Area, Abbottabad Resettlement Plan Resettlement Plans Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Land Acquisition and Resettlement Framework Resettlement Frameworks Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Development of Ring Road Green Belt - Mardan Environmental Management Plan Environmental Management Plans Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Construction and Improvement of Sewage Treatment System at Kohat Development Authority Township, Kohat Initial Environmental Examination Initial Environmental Examination Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Construction of Green Sports Complex, Kohat Environmental Management Plan Environmental Management Plans Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Mingora Greater Water Supply Scheme and Surface Water Treatment Plant Initial Environmental Examination Initial Environmental Examination Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Landfill Site Abbottabad Land Acquisition and Resettlement Plan Resettlement Plans Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Landscaping of Central Median N-45, MardanEnvironmental Management Plan Environmental Management Plans Aug 2021
Khyber Pakhtunkhwa Cities Improvement Project: Abbottabad Solid Waste Management Facility Development Environmental Impact Assessment Environmental Impact Assessments Jun 2021
Khyber Pakhtunkhwa Cities Improvement Project: Mardan Solid Waste Management Facility Development Environmental Impact Assessment Environmental Impact Assessments Jun 2021
Khyber Pakhtunkhwa Cities Improvement Project: Mingora Solid Waste Management Facility Development Environmental Impact Assessment Environmental Impact Assessments Jun 2021
Khyber Pakhtunkhwa Cities Improvement Project: Peshawar Solid Waste Management Facility Development Environmental Impact Assessment Environmental Impact Assessments Jun 2021
Khyber Pakhtunkhwa Cities Improvement Project: Mardan Solid Waste Management Facility Development Environmental Impact Assessment Environmental Impact Assessments Mar 2021
Khyber Pakhtunkhwa Cities Improvement Project: Mingira Solid Waste Management Facility Development Environmental Impact Assessment Environmental Impact Assessments Feb 2021
Khyber Pakhtunkhwa Cities Improvement Project: Abbottabad Solid Waste Management Facility Development Environmental Impact Assessment Environmental Impact Assessments Feb 2021
Khyber Pakhtunkhwa Cities Improvement Project: Peshawar Solid Waste Management Facility Development Environmental Impact Assessment Environmental Impact Assessments Feb 2021

Evaluation Documents See also: Independent Evaluation

None currently available.


Related Publications

None currently available.


The Access to Information Policy (AIP) establishes the disclosure requirements for documents and information ADB produces or requires to be produced in its operations to facilitate stakeholder participation in ADB's decision-making. For more information, refer to the Safeguard Policy Statement, Operations Manual F1, and Operations Manual L3.

Requests for information may also be directed to the InfoUnit.

Tenders

Tender Title Type Status Posting Date Deadline
Internal Auditor Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Information, Communication & Technology (ICT) Specialist Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Institutional Development Specialist Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Infrastructure Engineer (SWM) Individual - Consulting Active 17 Sep 2021 18 Oct 2021
GIS Officer Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Deputy Director (Landscape Architect) / Landscape Architect Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Training / Capacity Building Specialist Individual - Consulting Active 17 Sep 2021 18 Oct 2021
GIS Specialist Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Gender Coordinator / Officer Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Municipal Finance Specialist Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Finance & Account Officer (Reporting) Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Research Specialist Individual - Consulting Active 17 Sep 2021 18 Oct 2021
IT Officer Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Project Director Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Urban Planner Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Environment Specialist Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Communication Specialist Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Media and Communication Officer Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Director Project Development Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Legal Expert Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Municipal Finance Specialist Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Project Support Officer - Gender Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Community Engagement and Behavioral Change Expert Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Monitoring & Evaluation Officer Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Scholarships Program Specialist Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Monitoring & Evaluation Specialist Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Community Liaison Specialist Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Skills and Enterprise Development Specialist Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Wastewater Treatment Specialist Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Monitoring & Evaluation Specialist Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Director (Gender & Inclusion) / Gender Project Manager Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Director Compliance Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Training / Capacity Building Specialist Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Urban Planner Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Social Safeguard Specialist Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Admin Officer Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Social Safeguard Specialist Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Water Supply and Sanitation Specialist Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Director Reforms Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Finance & Account Officer (Accounting) Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Contract Admin / Management Officer Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Infrastructure Engineer (WATSAN) Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Capacity Development Specialist - Gender and Social Inclusion GESI (WASH and SWM) Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Smart City Specialist Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Director Finance and Administration Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Director Technical Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Procurement and Contract Management Specialist Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Environment Specialist Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Urban Development Specialist Individual - Consulting Active 17 Sep 2021 18 Oct 2021
M&E Officer Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Solid Waste Management Specialist Individual - Consulting Active 17 Sep 2021 18 Oct 2021
IT Officer Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Tourism Specialist Individual - Consulting Active 17 Sep 2021 18 Oct 2021
MIS Officer Individual - Consulting Active 17 Sep 2021 18 Oct 2021
Infrastructure Engineer (Wastewater Treatment) Individual - Consulting Active 17 Sep 2021 18 Oct 2021
51036-PAK: Khyber Pakhtunkhwa Cities Improvement Project [OCB/KPCIP/CW-03] Invitation for Bids Active 27 Aug 2021 12 Nov 2021
51036-PAK: Khyber Pakhtunkhwa Cities Improvement Project [OCB/KPCIP/CW-04] Invitation for Bids Active 27 Aug 2021 25 Nov 2021
51036-PAK: Khyber Pakhtunkhwa Cities Improvement Project [OCB-Goods-KPCIP-01] Invitation for Bids Active 27 Aug 2021 10 Nov 2021
51036-PAK: Khyber Pakhtunkhwa Cities Improvement Project [OCB/KPCIP/CW-02] Invitation for Bids Active 27 Aug 2021 28 Oct 2021
51036-PAK: Khyber Pakhtunkhwa Cities Improvement Project [OCB/KPCIP/01 Lots 1-5] Invitation for Bids Active 13 Aug 2021 12 Oct 2021

Contracts Awarded

No contracts awarded for this project were found


Procurement Plan

None currently available.