Home
Projects Project Information Documents
| Loan Name | Fuzhou Environmental Improvement Project | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Country | China,People'sRep.of | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Loan Number | 2176 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Project Number | 35340- 01 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Fund Source/Amount[Approved] |
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Thematic Classification |
Environmental Sustainability
Economic growth |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Project Outcome | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Description of Outcome | Reduced environmental contamination in the Fuzhou urban area and strengthened capacity in water resource and wastewater management. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Implementation Progress | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Description of Project Outputs | Completion of sewer networks and pumpting stations
2. Rehabilitation of selected inland creeks 3. Land acquisition and resettlement 4. Introduction of effective operating regime 5.Strengthened private sector participation, policies, and procedures Component D: Capacity Building. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Status of Implementation Progress (Outputs, Activities and Issues) | Component A: Yangli Phase 2 Sewer Networks. Component A will expand the Yangli WWTP service area from 29 km2 to about 53 km2. The population served is anticipated to increase from 650,000 at Appraisal to 1.1 million in 2020. Upon completion, the sewer service coverage for the Yangli system will increase from 60% to 90% by 2009. This component is anticipated to construct 253.25 km of new sewers, rehabilitate 27 km of existing sewers, and upgrade one pumping station. To date, nine civil works contracts (YGII-01 to 09) and two materials contract (YGIIG-01 and YGIIG-02) have been approved by ADB and awarded. The 9 civil works contracts already awarded cover 223 km (out of 253.25 km) and approximately 200 km of the work has been completed. Detailed design for the remaining sewers in one last civil contract is processing satisfactorily in accordance with the implementation program. There is one materials contract still outstanding. One equipment procurement package is undergoing tendering procedures.
The Review Mission of 21-27 July 2009 was advised that of the poor performance of the contractor for Contract YGII-03 citing the lack of proper construction management and inadequate resources and equipment, resulting in protracted delays despite repeated promises to improve the situation. As a result, FWECDC has decided to initiate contract determination, instigate a claim for damages and to re-tender the uncompleted works. The same contractor is also responsible for YGII-01 which after much delay is now substantially complete. As the contractor?s performance has been unsatisfactory FWECDC is also considering claiming for damages. The Mission visited the YGII-01 and YGII-03 construction sites and observed the lack of proper organization and safety within the site as well as the poor quality of works completed by the contractor. The Mission concurred with the actions being taken by FWECDC to determine Contract YGII-03. Based on the current situation and progress, the construction of this Component will be completed by 31 December 2010. Component B: Lianban Sewer Networks. Component B relates to the Lianban WWTP service area on Nantai Island, covering 69.31 km2 with a projected population of 800,000 in year 2020. Upon completion, the sewer service coverage for the Lianban system will increase from 30% to 80% in 2010. The Component now involves construction of 150 km, of new sewers, rehabilitation of 76 km of existing sewers, and construction of 3 pumping stations. In addition, one more pumping station is required but is not included in the ADB funded Project and is locally funded. In total there are 8 civil works contracts and 4 materials and equipment contracts in this component. To date, 6 civil works contracts (LG-01, 02, 03, 05, 06 and 07) and two materials contracts (LGG-01 and 02) have been approved by ADB. The 6 civil works contracts cover 91 km of sewer construction and 28 km of which has been completed. The new city master plan on Nantai Island and the proposed light rail system have some effect on Component B. For Contract LG-05 the contractor can accept the changes and delays caused without additional claims. The construction of LG-05 is progressing smoothly. For LG-03, FWECDC and the contractor have mutually agreed to determine the contract as the changes would be too significant to be absorbed into contract variations. ADB has agreed to determine Contract LG-03, details and formalities are being amicably worked out, and FWECDC is working on the re-tendering. The same contractor for YGII-01 and YGII-03 mentioned above is also responsible Contract LG-01. Similarly for his poor performance FWECDC has decided to initiate contract determination and demand for claim for damages. FWECDC will formally lodge a complaint on the contractor to ADB and report on this contractual matter by end July 2009. Taking account of the current situation and progress the original completion date of Component B of December 2009 will be delayed to December 2010. The Mission visited some construction sites and urged FWECDC to exercise proper management and organization and work alongside with the contractors to achieve good quality of work and minimize further delays. The effectiveness of the ADB investment on Component B is dependent on FMG proceeding with the construction of the proposed Lianban WWTP in a timely manner. This WWTP is being constructed using the BOT procurement modality and is outside the ADB funded project, however, assurances on timely implementation of the BOT were obtained at loan negotiations documented in the Loan Agreement. The Mission was advised that the BOT contract has now been awarded and the contractor is proceeding with the detailed design work. Construction has commenced in July 2009 and will be completed by the end 2010. Component C: Nantai Island Inland Creek Rehabilitation. This Component is to support the planned urban development program for Nantai Island. The Component is to (i) rehabilitate 12 interconnected inland creeks with a combined length of about 48 km; (ii) dredge and/or excavate 3.63 million tons of earthwork; (iii) construct varying widths of stone-lined rectangular channels and a rubber dam; and (iv) rehabilitate 4 existing flood gates. The objective is to achieve a higher flow capacity by river dredging and canalization. Land acquisition in accordance with the original resettlement plans (RPs) was approved by the Land Resources Department at the end of 2007. In the second half of 2007, FMG appointed a consultant to formulate a city master plan for Nantai Island. The design and implementation of a large part of Component C was to some degree potentially affected by this master planning initiative, and thus implementation was delayed. The city master planning study has now been substantially completed, and the recommendations have been formally adopted by FMG. The impact of the master plan on the Project will be much less than initially anticipated. FUVCDC is therefore proceeding with the implementation of the Component. Under Component C, 4 out of the total 14 civil contracts have been awarded and the award of 1 further contract is forthcoming. The two latest contracts were tendered after the updated RP for Puxia river was approved by ADB in April 2009. Although construction has commenced, the implementation of the actual resettlement and construction progress in Longjin and Yuejin rivers has been slow. The Mission held detailed discussions with FPMO, FUVCDC and the CDG resettlement staff in order to assess a realistic time schedule for Component C?s completion. An achievable and realistic schedule was agreed upon and the Mission urged all parties to adhere strictly to the schedule to ensure completion by end December 2011. FMG, CDG, FPMO, FWECDC and FUVCDC assured the Mission that they would work and coordinate closely with the relevant agencies to expedite project implementation in keeping with the updated implementation schedule. The Mission conducted a site visit to Longjin, Yuejin and Puxia rivers and noted the good quality of construction works and the marked environmental improvement with the completed works. However, the Mission urged FWECDC and the CDG resettlement officers that the debris resulting from house demolition (from either Component C or other adjacent projects) need to be removed immediately to prevent clogging of rivers and further degradation of the living environment along these rivers. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Linkage to Country/Regional Strategy | Wastewater management in the PRC provides numerous opportunities to reduce water pollution, protect water resources, promote sustainable economic development, promote public-private partnerships in urban infrastructure, and improve the living conditions and public health of urban residents, including the poor. The Government needs assistance to achieve the Millennium Development Goals for environmental sustainability, and to half the proportion of people without sustainable access to safe drinking water and basic sanitation by 2015.
Over the past decade, the Government has shifted fundamentally towards a market-based approach, enterprise provision in the delivery of infrastructure services, and a more integrated approach to urban management. The PRC policies incorporate the need for complementary reforms to support investment, particularly from the private sector, in urban infrastructure. Improvements in service delivery through investment in wastewater systems are increasingly being matched by financial, governance, and enterprise reform; public education; awareness; and social responsibility. Although much progress has been made, the Government believes the pace of change needs to be accelerated. Investment in wastewater management systems is still urgently needed. Moreover, the socioeconomic surveys demonstrate that the general public is becoming increasingly concerned about the impact of wastewater pollution, and are willing to pay for wastewater treatment and envirohmental improvement. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Geographical Location | Entire city of Fuzhou. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Safeguard Categories
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Environment | A | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Summary of Environmental and Social Issues |
Poverty Reduction and Social Strategy:
Contribution of the sector/subsector to reduce poverty in the People's Republic of China (PRC): Provision of clean water and improvement in sanitation will reduce pollution in open urban waterways, improve living conditions, and decrease the incidence of waterborne diseases. Flood protection, through improvements to the inland creeks and associated pumping facilities, will create a better living environment for the residents, particularly the poor living along the waterways in Fuzhou. Increasing employment by encouraging the development of new high-technology enterprises is at the core of the strategy for developing infrastructure on Nantai Island and promoting sustainable development in Fuzhou. The Project supports poverty reduction directly and indirectly through job creation and promotion of sustainable economic development in areas where the poor are particularly likely to gain, such as tourism development. Due to their higher vulnerability to pollution, the poor will benefit from improvement in living conditions and environmental quality. Poverty Analysis: The Project will benefit an urban population of 1.85 million through the provision clean water and improved sanitation. Within the beneficiary population, about 109,700 persons (or 7.7%) are classified as poor, according to the weighted average local urban poverty line of CNY2,640 per year. The Project will improve sewage services and sanitary conditions, contribute to a reduction in morbidity and mortality rates of waterborne diseases, and savings in associated medical costs and loss of working days. The loss of agricultural production can be reduced through the improved quality of irrigation water. Improving water quality from Class V to Class III will support the development of the water-based tourism industry, providing another source of employment in the local communities. The Project will support an increase in visitors by 260,000 per year and a revenue increase of CNY350 million per year from tourism. Less pollution and improved water quality of the receiving water bodies will lower the cost of treatment for Fuzhou's existing and future water supply plants, which will be passed on to the consumers. Socioeconomic losses from severe water logging and flooding can be prevented. Flooding causes about CNY146.22 million of industrial and/or commercial, agricultural, and private property losses once every 5 years. The Project will help avoid these losses. The improved environment will contribute to a better atmosphere for investment. Participation Process: Stakeholder Analysis: Project planning and design involved qualitative and quantitative analyses directly involving project beneficiaries. These analyses used participatory methods to identify the local poor population and the provisions that might meet their needs better. Public consultation and/or participation was an element of the project design and planning. Participatory rapid appraisal involved beneficiaries and affected people. A community participation and awareness program will be formulated and implemented to serve as an ongoing consultation mechanism with the involvement of all stakeholders. Participation Strategy: Consultation with people affected by the Project will continue throughout project implementation. Consultations will be carried out regularly to ensure that the Fuzhou Project Management Office, Fuzhou Water Environment Construction and Development Company, and Fuzhou Urban Visual Construction and Development Company understand and address the evolving needs and expectations of the users. Consultations also will help increase public awareness of the Project and increase the social acceptance of user fees and charges. Public awareness and health education campaigns will be carried out. Gender Development: Strategy to Maximize Impacts on Women: To maximize the project benefits, women will be given priority for jobs generated by the Project. Women's needs and interests also will be represented in the project implementation. About 40% of the jobs will be filled by women and the poor. Women will be mobilized to play a role in the public awareness and education program of the Project. The public awareness and education program of the Project and the Clean River Program for Urban Poor in Nantai Island will promote the participation of women in managing and maintaining proposed clean river programs on Nantai Island. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Consultations Planned or Carried Out |
A Review Mission (the Mission) for the Project comprising Theresa Villareal, Urban Development Specialist, Madhumita Gupta, Social Development Specialist (Resettlement) and Asela Arago, Project Analyst visited Fuzhou City, Fujian Province, People's Republic of China (PRC) from 21 to 24 November 2006 to conduct review of the Project. The Mission reviewed the status of implementation arrangements of the Project and held meetings with the Fuzhou Municipal Government (FMG), the Executing Agency (EA) for the Project; Fuzhou Project Management Office (FPMO); Fuzhou Urban Visual Construction Development Company (FUVCDC) and Fuzhou Water Environment Construction and Development Company (FWECDC), the project implementing agencies and stakeholders. The Mission also visited project sites for the sewer network and creek rehabilitation.
A Review Mission was fielded 23-30 August 2007 to review the status of project implementation, focusing on resettlement, procurement and disbursement, consultant recruitment, project performance monitoring and evaluation and loan covenants. A Midterm Mission was fielded 3-14 March 2008 to undertake review of the project focusing on physical implementation, resettlement, procurement and disbursement, capacity building and consulting services, project performacne monitoring and evaluation and loan covenants. A review mission was fielded in 17-21 November 2008. Special loan administration review was fielded by the Resettlement Specialist on 27-28 March 2009. Review mission will be fielded 20-28 July 2009 |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Responsible ADB Officer |
Maria Theresa Jaramillo Villareal |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Responsible ADB Department |
East Asia Department |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Responsible ADB Division |
Urban and Social Sectors Division, EARD |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Executing Agencies |
Fuzhou Municipal Government Mr. Zhongde Lin Director of Fuzhou Development and Reform Commission & Fuzhou Project Management Office No. 21 Douxi Road, Fuzhou FJ, China Linzhongde333@126.com |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Timetable | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Concept Clearance | 19 Jun 2001 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Fact-finding | 15 Apr 2004 to 30 Apr 2004 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Appraisal | 15 Sep 2004 to 28 Sep 2004 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Board Approval | 29 Jul 2005 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Last Review Mission | 21 Jul 2009 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
© 2008 Asian Development Bank
Privacy | Terms of Use |
Top of page
|