fbpx 52325-001: Secondary Cities Environment Improvement Project | Asian Development Bank

Viet Nam: Secondary Cities Environment Improvement Project

Sovereign (Public) Project | 52325-001 Status: Proposed

The project is aligned with the following impact: livability of secondary cities in Dak Nong, Binh Thuan and Ninh Thuan provinces enhanced. The expected outcome will be access to urban environmental infrastructure and services in Gia Nghia, Phan Thiet and Phan Rang Thap Cham improved. Project outputs include: (i) urban environmental infrastructure improved, and (ii) institutional effectiveness, planning capacity and policy and regulatory environment improved.

Project Details

Project Officer
Ishii, Satoshi Southeast Asia Department Request for information
Country
  • Viet Nam
Sector
  • Water and other urban infrastructure and services
 
Project Name Secondary Cities Environment Improvement Project
Project Number 52325-001
Country Viet Nam
Project Status Proposed
Project Type / Modality of Assistance Loan
Source of Funding / Amount
Loan: Secondary Cities Environmental Improvement Project
Ordinary capital resources US$ 175.00 million
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Drivers of Change Gender Equity and Mainstreaming
Governance and capacity development
Knowledge solutions
Partnerships
Sector / Subsector

Water and other urban infrastructure and services / Other urban services - Urban flood protection - Urban sewerage - Urban solid waste management

Gender Equity and Mainstreaming Effective gender mainstreaming
Description The project is aligned with the following impact: livability of secondary cities in Dak Nong, Binh Thuan and Ninh Thuan provinces enhanced. The expected outcome will be access to urban environmental infrastructure and services in Gia Nghia, Phan Thiet and Phan Rang Thap Cham improved. Project outputs include: (i) urban environmental infrastructure improved, and (ii) institutional effectiveness, planning capacity and policy and regulatory environment improved.
Project Rationale and Linkage to Country/Regional Strategy

Since the Doi Moi (reforms) in the late 1980s, Viet Nam has maintained rapid economic growth, averaging over 6.5% annually during 1991 2015. The country's economic transition from agriculture to industry and service sectors closely links with its urban growth and associated demographic distribution. In 2018, 34.5% of the country's population lived in cities as compared with 19.5% in 1990. By 2025, the urban population will reach 52 million, accounting for 50% of the country's population and contributing to more than 70% of the national Gross Domestic Product (GDP).

Viet Nam's urbanization is uneven. The five first-tier centrally administered cities generate more than half the GDP from Vietnamese cities, more than 37% of export turnover, and more than 56% of gross national budget revenues despite accounting for only 20% of the population and 3% of the land area.

The government's urban development strategy is focused on achieving a balanced and strategic growth by establishing transport corridors and a network of urban centers across the country. The strategy envisages secondary cities as development hubs of the subregion. The government targets that, by 2025, (i) 90% of urban population has access to water supply, (ii) urban road area accounts for 15 25% of the urbanized area, (iii) 90% of municipal waste is collected and treated, and (iv) wastewater is treated in accordance with stipulated standards.

Access to urban services in secondary cities. With an increasingly urban economy, urban services in Viet Nam are critical for promoting inclusive growth by providing basic infrastructure for businesses and households, creating jobs, safeguarding the surrounding environment, and reducing exposure to flooding and other extreme events. In Viet Nam's secondary cities, less than 60% of households are connected to a potable water supply system and only 10% of their urban wastewater is treated by a centralized system. The lack of proper stormwater management limits the drainage systems capacity and exacerbates flood impacts. More than 40% of municipal solid waste is neither collected or improperly treated.

Service delivery constraints in secondary cities. Technical, institutional, and financial constraints causing these service delivery gaps include: (i) inadequate quantity and quality of service coverage and underperforming urban environmental infrastructure assets; (ii) unclear responsibilities among service providers, lack of technical capacity for asset management, and inadequate public investments management; and (iii) inability to charge and collect full cost of services, limited own source revenues and dependency on the central and/or provincial governments for fiscal transfers, and imbalance expenditure patterns including investment expenditures accounting for smaller share as compared with recurrent expenditures while not enough financing being provided for operations and maintenance (O&M).

Provincial capitals of Gia Nghia (Dak Nong province), Phan Thiet (Binh Thuan province) and Phan Rang Thap Cham (Ninh Thuan province) were selected due to their regional development constraints. Their economies are primarily agriculture-based and particularly vulnerable to climate change. Although opportunities for mineral resources-based, manufacturing and service industries are gradually emerging, these underdeveloped provinces struggle to find greener development pathways to transform their agriculture-based economy to that of industry and service sectors-based economy.

Impact Livability of secondary cities in Binh Phuoc, Dak Nong, Binh Thuan and Ninh Thuan provinces enhanced
Outcome Access to urban environmental infrastructure and services in participating cities improved
Outputs

Urban environmental infrastructure improved

Institutional effectiveness and policy environment improved

Geographical Location Gia Nghia, Phan Thiet, Thanh Pho Phan Rang-Thap Cham
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 Ishii, Satoshi
Responsible ADB Department Southeast Asia Department
Responsible ADB Division Viet Nam Resident Mission
Executing Agencies
Binh Phuoc Provincial People's Committee
Road 6/1, Tan Phu Ward, Dong Xoai Town
Binh Thuan Provincial People's Committee
137 Le Hong Phong Street, Phan Thiet
City, Binh Thuan Province
Dak Nong Provincial People's Committee
23/3 Street, Nghia Duc Ward, Gia Nghia
Town, Dak Nong Province
Ninh Thuan Provincial People's Committee
No. 283 Thong Nhat St., My Huong Ward
Phan Rang town
Ninh Thuan
Timetable
Concept Clearance 17 Apr 2019
Fact Finding 09 Nov 2020 to 13 Nov 2020
MRM 01 Mar 2021
Approval -
Last Review Mission -
Last PDS Update 02 Sep 2019

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.

The Access to Information Policy (AIP) recognizes that transparency and accountability are essential to development effectiveness. It establishes the disclosure requirements for documents and information ADB produces or requires to be produced.

The Accountability Mechanism provides a forum where people adversely affected by ADB-assisted projects can voice and seek solutions to their problems and report alleged noncompliance of ADB's operational policies and procedures.

In preparing any country program or strategy, financing any project, or by making any designation of, or reference to, a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.

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.

None currently available.

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

No tenders for this project were found.

Contracts Awarded

No contracts awarded for this project were found

Procurement Plan

None currently available.