China, People's Republic of: Gansu Environmentally Sustainable Rural Vitalization and Development Project
The project aims to demonstrate innovative, low-carbon, and environmentally sustainable rural development models in Gansu Province by supporting the use of renewable energy, sustainable agriculture practices, and high-level technology. The project will explore a carbon credit scheme and new practices to sustain and propagate the low-carbon interventions, strengthen governments' institutional capacity for green governance and private sector engagement, and diversify employment opportunities beyond agriculture.
East Asia Department
Request for information
10 October 2022
China, People's Republic of
- Agriculture, natural resources and rural development
|Project Name||Gansu Environmentally Sustainable Rural Vitalization and Development 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
|Sector / Subsector||
Agriculture, natural resources and rural development / Agricultural policy, institutional and capacity development - Agricultural production - Forestry - Land-based natural resources management - Rural market infrastructure
|Gender Equity and Mainstreaming||Effective gender mainstreaming|
|Description||The project aims to demonstrate innovative, low-carbon, and environmentally sustainable rural development models in Gansu Province by supporting the use of renewable energy, sustainable agriculture practices, and high-level technology. The project will explore a carbon credit scheme and new practices to sustain and propagate the low-carbon interventions, strengthen governments' institutional capacity for green governance and private sector engagement, and diversify employment opportunities beyond agriculture.|
|Project Rationale and Linkage to Country/Regional Strategy||
Gansu Province is located in the northwest People's Republic of China (PRC). The project area is part of the Yellow River Ecological Corridor (YREC), which comprises the PRC's second largest river basin. 70% of the population lives in underdeveloped rural areas with rural incomes around one-third of those for urban households. The urban-rural gap has resulted from several factors, such as the semi-arid climate and mountainous terrain, increasing climate change impact, and little engagement with private sector. Constrained future economic growth is causing out-migration of young people.
The Government of the PRC (the government) designated rural vitalization as a national priority in the National Strategic Plan for Rural Revitalization (2018-2022). ADB supports it under the Memorandum of Understanding agreed with the government in 2018. The government has also committed to carbon dioxide (CO2) emissions peaking before 2030 under the Paris Agreement, and recently announced targeting carbon neutrality by 2060. The expected key government priorities under the 14th Five-Year Plan include reducing carbon intensity and formulating an action plan for carbon emissions to peak before 2030. The project will contribute to achieving these two key government priorities of rural vitalization and carbon peaking/neutrality.
The YREC program prioritizes ecological protection and promote high-quality green development over the Yellow River basin. The proposed project is part of the YREC program and supports the approach through (i) institutional strengthening to enhance green governance, (ii) demonstration of innovative approaches and technologies to achieve low-carbon rural vitalization in semi-arid environments, and (iii) development and sharing of knowledge.
About 44,000 farmers and other rural residents, including about 16,000 women, in the project demonstration areas are expected to benefit directly from the project. There will be a much larger number of indirect beneficiaries as the sustainable rural vitalization initiatives are replicated in other areas of the province. Development results include environmental restoration such as reforestation integrated into economic activities, and sustainable agricultural practice leading to improved living conditions of rural households, including women, through the creation of new employment opportunities, strengthened resilience to climate and disaster risks, reduced water and soil pollution, and increased capacity of rural residents to engage with the private sector and use emerging business models and high-level technology.
ADB's involvement will add value to the project in a number of ways. It will maximize the role of green and low-carbon development in the rural vitalization program in Gansu province, and will ensure that a prominent role is given to institutional strengthening, which will contribute to sustainability.
The project incorporates innovative aspects such as the use of carbon credits for rural development to support sustainable agriculture and fostering entrepreneurship and building the capacity of farmers to transition to green market-oriented business practices.
Low-carbon transition, carbon sequestration, and sustainable rural development in rural areas promoted, and rural ecosystems protected and restored
|Description of Outcome||
Climate-resilient and sustainable rural economic diversification and mitigation of climate change demonstrated in Gansu Province
|Progress Toward Outcome|
|Description of Project Outputs||
Institutional capacity for green governance and private sector engagement enhanced
Sustainable and climate-resilient agricultural development measures and practices enhanced
Sustainable low-carbon rural development measures and facilities installed
Environmentally degraded areas protected and restored
|Status of Implementation Progress (Outputs, Activities, and Issues)|
|Summary of Environmental and Social Aspects|
|Stakeholder Communication, Participation, and Consultation|
|During Project Design|
|During Project Implementation|
|Responsible ADB Officer||Sakai, Atsumasa|
|Responsible ADB Department||East Asia Department|
|Responsible ADB Division||EASI|
Gansu Provincial Government
|Concept Clearance||12 Aug 2021|
|Fact Finding||18 Apr 2022 to 23 May 2022|
|MRM||05 Aug 2022|
|Approval||10 Oct 2022|
|Last Review Mission||-|
|Last PDS Update||10 Oct 2022|
|Approval||Signing Date||Effectivity Date||Closing|
|10 Oct 2022||02 Dec 2022||12 Jan 2023||31 May 2029||-||-|
|Financing Plan||Loan Utilization|
|Total (Amount in US$ million)||Date||ADB||Others||Net Percentage|
|Project Cost||319.29||Cumulative Contract Awards|
|ADB||150.00||05 Jan 2023||0.00||0.00||0%|
|Cofinancing||0.00||05 Jan 2023||0.00||0.00||0%|
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ADB Project to Help Demonstrate Climate Resilience in Gansu, PRCADB has approved a $150 million loan to help demonstrate sustainable rural economic diversification and climate change mitigation in Gansu Province in the People’s Republic of China.
No tenders for this project were found.
No contracts awarded for this project were found
|Title||Document Type||Document Date|
|Gansu Environmentally Sustainable Rural Vitalization and Development Project: Procurement Plan||Procurement Plans||Aug 2022|