fbpx 52025-001: Yunnan Sayu River Basin Rural Water Pollution Management and Eco-Compensation Demonstration Project | Asian Development Bank

China, People's Republic of: Yunnan Sayu River Basin Rural Water Pollution Management and Eco-Compensation Demonstration Project

Sovereign (Public) Project | 52025-001 Status: Active

The project will improve the condition of water resources and the environment by (i) strengthening wastewater management and pollution control with innovative technologies and arrangements; (ii) improving water resources management with innovative information technologies; (iii) establishing eco-compensation mechanisms; and (iv) strengthening education, capacity, and public awareness for water pollution management. The project is envisaged to (i) play a demonstrative role for rural areas with water pollution; (ii) promote regional public goods by reversing the negative impacts of pollution; and (iii) reduce the risk of future epidemics, which is strongly required after the coronavirus disease (COVID-19) pandemic.

Project Details

Project Officer
Shen, Xin East Asia Department Request for information
Country
  • China, People's Republic of
Sector
  • Agriculture, natural resources and rural development
 
Project Name Yunnan Sayu River Basin Rural Water Pollution Management and Eco-Compensation Demonstration Project
Project Number 52025-001
Country China, People's Republic of
Project Status Active
Project Type / Modality of Assistance Loan
Source of Funding / Amount
Loan 3983-PRC: Yunnan Sayu River Basin Rural Water Pollution Management and Eco-Compensation Demonstration Project
Ordinary capital resources US$ 100.00 million
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Drivers of Change Gender Equity and Mainstreaming
Governance and capacity development
Knowledge solutions
Private sector development
Sector / Subsector

Agriculture, natural resources and rural development / Agricultural drainage - Forestry - Irrigation - Rural sanitation - Rural solid waste management - Rural water policy, institutional and capacity development - Water-based natural resources management

Gender Equity and Mainstreaming Effective gender mainstreaming
Description The project will improve the condition of water resources and the environment by (i) strengthening wastewater management and pollution control with innovative technologies and arrangements; (ii) improving water resources management with innovative information technologies; (iii) establishing eco-compensation mechanisms; and (iv) strengthening education, capacity, and public awareness for water pollution management. The project is envisaged to (i) play a demonstrative role for rural areas with water pollution; (ii) promote regional public goods by reversing the negative impacts of pollution; and (iii) reduce the risk of future epidemics, which is strongly required after the coronavirus disease (COVID-19) pandemic.
Project Rationale and Linkage to Country/Regional Strategy

The Yangtze River Economic Belt (YREB) covers nine provinces and two specially administered cities in the Yangtze River Basin. It accounts for more than 40% of the PRC's population and has 40% of the freshwater resources. It also serves as the drinking water source for 400 million people, provides 60% of the total fisheries production, has 20% of the total wetland area, and contributes about 45% of the PRC's economic output. The YREB has been earmarked as one of three key growth engines to ensure the PRC's future economic development.

The YREB has benefited from extensive development since the 1990s. Yet, economic growth in the middle and upper reaches of the Yangtze River Basin is lagging and below its potential capacity. The middle and upper reaches of the Yangtze River Basin still face significant development challenges because of (i) slow transformation for green development and economic diversification; (ii) limited integration of waterways, ports, and intermodal logistics; (iii) increasing pollution and pressure on natural resources; and (iv) weak institutional coordination for strategic planning. The YREB faces a growing imbalance between economic achievements and the quality of the environment. For example, since 1980, water pollution in the Yangtze River Basin has risen by 73% because of the discharge of waste; soil erosion, which is critical in small watersheds; and agriculture-related nonpoint source (NPS) pollution.

To address these challenges, the Government of the PRC formulated the YREB Development Plan, 2016-2030,6 which stipulates the prioritization of ecological protection and the promotion of green development as the guiding principle for the YREB development. In relation to this, the Asian Development Bank (ADB) and the government agreed to adopt a framework approach, providing about $2.0 billion of funding in the YREB during 2018-2020 to strategically program ADB's lending support for development initiatives in the YREB, prioritizing the following four areas: (i) ecosystem restoration,

environmental protection, and water resources management; (ii) green and inclusive industrial transformation; (iii) construction of an integrated multimodal transport corridor; and (iv) institutional strengthening and policy reform.

Zhaotong City of Yunnan Province has been selected to demonstrate water pollution reduction in the Sayu River Basin. Zhaotong has one district, one county-level city, and nine counties, of which the district and all counties are nationally designated poverty areas. Zhaotong has 1,336,700 poor people--the largest poor population in Yunnan (as of 2016). The Sayu River is a 186-kilometer long tertiary tributary of the Yangtze River. The Sayu River Basin, covering 3,558 square kilometers, is an important area for ecological protection in the upper Yangtze River Basin. It is the only centralized drinking water source in Zhaotong. Urban drinking water is primarily provided from the Yudong Reservoir. The entire Yudong Reservoir Basin is part of Ludian County and Zhaoyang District in Zhaotong. Water in the Sayu River Basin, including the Yudong Reservoir, is polluted because of (i) waste discharging in the Sayu River Basin, (ii) high sediment runoff into the Sayu River because of soil erosion, and (iii) agriculture-related NPS pollution. In many locations of the Sayu River, the water quality is worse than the Class III national standard, which is unfit for drinking. Local people living around the Sayu River Basin, particularly women and the poor, suffer from water pollution. Poor water quality also increases the time spent by women seeking clean water for their families.

Rural domestic wastewater, solid waste, and human and animal wastes pollute the water in the Sayu River Basin because of inadequate waste management. Rural domestic wastewater and solid waste contribute 27% of the chemical oxygen demand (COD), 9% of the total nitrogen, 16% of the total phosphorus, and 22% of the ammoniacal nitrogen (NH3-N) in the Sayu River. Human and animal wastes contribute 39% of the COD, 25% of the total nitrogen, 52% of the total phosphorus, and 48% of the NH3-N in the Sayu River. Since forest coverage in the Sayu River Basin is only 30.2% because of the expansion of farmland, which is significantly smaller than the 60% 70% appropriate for centralized drinking water sources, soil erosion is quite serious in this basin. About 57.9% of the Sayu River Basin is prone to soil erosion, providing 1.1 million tons of soil per year. High sediment runoff caused by soil erosion contributes 34% of the COD, 21% of the total nitrogen, 11% of the total phosphorus, and 18% of the NH3-N in the Sayu River. Water in the Sayu River Basin is further deteriorated by agriculture-related NPS pollution because of inadequate waste management systems, uncontrolled fertilizer

release, and outdated production systems. Agriculture-related NPS pollution (e.g., farmland solid waste and fertilizer) contributes 45% of the total nitrogen, 21% of the total phosphorus, and 12%

of the NH3-N in the Sayu River. It also contributes to climate change through direct and indirect emission of greenhouse gases. This situation may be aggravated by intensified and more frequent rainfall events induced by global climatic changes, which contribute to soil erosion and agriculture-related pollution to water systems.

Impact Quality of life and sustainable aquatic ecosystem in the Yangtze River Basin improved
Project Outcome
Description of Outcome Condition of water resources and environment in the Sayu River Basin improved
Progress Toward Outcome
Implementation Progress
Description of Project Outputs

Wastewater management and pollution control in the Sayu River Basin strengthened

Water resources management in the Sayu River improved

Eco-compensation mechanism for the Sayu River Basin established

Education, capacity, and public awareness for water pollution management strengthened

Status of Implementation Progress (Outputs, Activities, and Issues)
Geographical Location Zhaotong
Safeguard Categories
Environment A
Involuntary Resettlement A
Indigenous Peoples B
Summary of Environmental and Social Aspects
Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design
During Project Implementation
Responsible ADB Officer Shen, Xin
Responsible ADB Department East Asia Department
Responsible ADB Division PRC Resident Mission
Executing Agencies
Yunnan Provincial Finance Department Division of International Cooperation
[email protected]
Wuhuashan, Kunming Yunnan,
Peoples Republic of China
Zhaotong City Government
98th Street Chongyi, Zhaoyang District,
China
Timetable
Concept Clearance 16 Oct 2018
Fact Finding 25 Oct 2019 to 30 Oct 2019
MRM 02 Jul 2020
Approval 29 Sep 2020
Last Review Mission -
Last PDS Update 30 Mar 2021

Loan 3983-PRC

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
29 Sep 2020 21 Dec 2020 14 Apr 2021 31 Dec 2026 - -
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 234.61 Cumulative Contract Awards
ADB 100.00 29 Sep 2020 0.08 0.00 0%
Counterpart 134.61 Cumulative Disbursements
Cofinancing 0.00 29 Sep 2020 0.00 0.00 0%

Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.

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Evaluation Documents See also: Independent Evaluation

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Related Publications

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Tenders

Tender Title Type Status Posting Date Deadline
PROJECT MANAGEMENT SUPPORT CONSULTANT TEAM Firm - Consulting Closed 30 Apr 2021 03 Jun 2021
PACKAGE T6: EXTERNAL ENVIRONMENTAL MONITORING AGENCY Firm - Consulting Closed 03 Feb 2021 11 Mar 2021
PACKAGE T5: EXTERNAL RESETTLEMENT AND SOCIAL DEVELOPMENT MONITORING AND EVALUATION AGENCY Firm - Consulting Closed 03 Feb 2021 11 Mar 2021
INITIAL PROJECT MANAGEMENT SUPPORT (ENVIRONMENT) Individual - Consulting Closed 11 May 2020 24 May 2020
PROCUREMENT AND PROJECT MANAGEMENT Individual - Consulting Closed 11 May 2020 24 May 2020
INITIAL PROJECT MANAGEMENT SUPPORT (LAND ACQUISITION AND RESETTLEMENT AND SOCIL DEVELOPMENT) Individual - Consulting Closed 11 May 2020 24 May 2020

Contracts Awarded

No contracts awarded for this project were found