China Agenda for Water Sector Strategy for North China Public Disclosure Authorized Summary Report
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Report No. 22040-CHA China Agenda for Water Sector Strategy for North China Public Disclosure Authorized Summary Report May 9, 2002 Rural Development and Natural Resources Unit East Asia and Pacific Region Public Disclosure Authorized u Public Disclosure Authorized Public Disclosure Authorized Document of the World Bank CURRENCY EQUIVALENT (As of January 1, 2002) Currency Unit = Yuan (Y) US$1.00 = Y 8.3 Y 1.00 = US$0.12 FISCAL YEAR January I - December 31 WEIGHTS AND MEASURES Metric System ACRONYMS AND ABBREVIATIONS 3-H Hai, Huai and Yellow River Basins mg milligram 3-HMS 3-H Modeling System MR Main Report (Volume 2) AAD Accumulated Annual Damage mu Chinese unit for area (I ha = 15 mu) ARI Average Recurrence Interval MWR Ministry of Water Resources AusAID Australian Agency for International NIHWR Nanjing Institute of Hydrology and Water Development Resources Bcm Billion Cubic Meters O&M Operation and Maintenance BOD Biological Oxygen Demand P25 25 percent probability of flow BOT Build-Operate-Transfer P50 50 percent probability of flow BWUs Beneficial Water Uses P75 75 percent probability of flow CAD Comprehensive Agricultural Development P95 95 percent probability of flow Class (I-V) Water quality class PPI Private Sector Participation in Infrastructure COD Combined Oxygen Demand RBCM River Basin Commission CRAES Chinese Research Academy for RBCN River Basin Council Environmental Science RSFS Rapid Sand Filtration System DC Developing Country SDPC State Development Planning Commission EPB Environmental Protection Bureau SEPA State Environmental Protection FPF Fisheries, Pasture, Forestry Administration GDB Groundwater Database SIDD Self-Financing Irrigation and Drainage GDP Gross Domestic Product District GIWP General Institute of Water Resources and S-N South-North Transfer, Eastern and Middle Hydropower Planning and Design Route GMA Groundwater Management Area S-N-E South-North Transfer, Eastern Route GMP Groundwater Management Plan SOCAD State Office of Comprehensive Agricultural GMU Groundwater Management Unit Development GW Groundwater SOE State-Owned Enterprise ha Hectare SY Sustainable Yield IC Industrialized Country TDS Total Dissolved Solids ID Irrigation District TVE Township and Village Enterprise IPPDI Irrigation and Power Planning Design WB World Bank Institute WLS Working Level Standard IWHR Institute of Water and Hydropower Research WPM-DSS Water Pollution Management Decision km Kilometer Support System I liter WRB Water Resources Bureau LIS Large Irrigation Scheme WSC Water Supply Company m meter WTO World Trade Organization m3 Cubic Meter WUA Water User Association Mcm Million Cubic Meters WWTP Wastewater Treatment Plant Vice President Jemal-ud-din Kassum, EAP Country Director Yukon Huang, EACCF Sector Director Mark D. Wilson, EASRD Task Manager Daniel J. Gunaratnam, Consultant Preface ..................................................................... v Acknowledgments ..................................................................... vi Executive Summary ..................................................................... vii i. imJKVOUC IU% L LVI .................................................................................................... ; A. The Purpose of the Study .................................................................... 1 B. Ilie % ral Study Co.nclusionU ..................................................................... I C. The Study Work Program .................................................................... 2 LD. VLllUUlUyan UIIU UULLUI VI oIf .XhJ L .................................................................... 2 E. Focus on the 3-H Basins .................................................................... 7 2. THE CHANGING ECONOMY AND SOCIETY AFFECTING THE WATER SECTOR ......... 8 A . Tntroduction ..................................................................... B. Background on the Economy .................................................................... 8 C. BackgrAlundr~~~~~~~~~~~~~~. on Socil2 Trpntlc Affecting W.atr Resources.9BakronooSoia Trnd. ^ErigWtrRsl............................................................... D. The Future Economy in the 3-H Basins .................................................................... 10 FP Titiirp-SRnriAl Trp-nd. I' F. ...9 Soc-ia! ............................................................................................. 1 3. WATER RESOURCES AND ISSUES ............................ ............. ,.. 14 A. Introduction ........................................ 14 B. Water Resources and Withdrawals ........................................ 14 C. Floods and Flood Control in China ........................................ 18 D. Current Flood Control in China ........................................ 19 E. Water for Agriculture ........................................ 21 F. Water Pollution ......................................... 24 G. Depleted Groundwater Resources ......................................... 32 H. Present Situation on Water Sector Management ......................................... 35 I. Investment in the Water Sector and Private Sector Participation ............................................... 36 4. SUFFICIENT WATER FOR ALL .................................................... 39 A. Introduction ................................................... 39 B. Water Demand Projections ................................................... 39 C. Water Supply Projections ................................................... 44 D. Water Balances in the Future ................................................... 47 E. Economic Value of Water and of Water Shortages ....................... ............................ 51 F. Action Plan for Balancing Supply and Demand ................................................... 54 5. FLOODS AND FLOOD D AMAGE....................................................... 59 A. Introduction ................................................... 59 B. Summary of the Current Flood Control Strategy ................................................... 59 C. Level of Protection (Flood Standard) ................................................... 59 D. Appropriate Standards for Food Protection ................................................... 60 E. Development of Flood Protection Methodology .................................................... 61 F. Action Plan for Flood Control ................................................... 63 -e&vv ITY1UIYyW"5 101% Y.IfTb A T YTe U. saUrrlLD rV%JW rvIJLt%LJlS ............................................................................... ,,,.....,,,,,,,.,........,,.,., 0;f A. Introduction ................................ 65 LB. ImpliCabouIoa uI ss v ater andU LaTU .^n................................ U6 - ii- C. Implications of WTO Accession .......................................................... 66 D. Implications for Food Security .......................................................... 68 E. Irrigation with Improved Institutions and Water-Saving Measures .......................................... 69 F. Agricultural Action Plan .......................................................... 75 7. CLEAN WATER FOR ALL .......................................................... 77 A. Introduction .......................................................... 77 B. Current Water Pollution Control in 3-H Basins .......................................................... 77 C. The Need for Modeling with a knowledge-Based System ........................................................ 80 D. Action Plan Prioritization .......................................................... 81 E. Projected load generations under the."business as usual" scenario ...................... .................... 81 F. Options for Additional Pollution Loads Reductioris .......................................................... 84 *G.Coastal Zone Water Quality .......................................................... 89 H. Cost of Government Program (Base Case) and Action Plan (Program 3)................................ 94 8. WASTEWATER REUSE .......................................................... 99 A. Introduction .......................................................... 99 B. Situation in China and the 3-H Basins .......................................................... 100 C. Potential Wastewater Reuse Applications .................... ...................................... 101 D. Regulations for Reuse .......................................................... 103 9. GROUNDWATER .......................................................... 105 A: Introduction .......................................................... 105 B. Action Plan for Competent Groundwater Management .......................................................... 105 C. Action Plan for Wastewater Reuse ...................................-.--.--.-.------------------.----.--.----.----------. 107 10. INSTITUTIONAL MANAGEMENT .110 A. Introduction .110 B. Water Resource Management in China .110 C. Basic Institutional Issues .................................................. 110 D. Water Supply Allocations .................................................. 111 E. Basin Management Functions of River Basin Councils .................................................. 113 F. Groundwater Management .................................................. 113 G. Regulation and Enforcement .................................................. 113 H. Environmental Standards for Water Quality .............. ...................................