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Project Agreement OFFICIAL DOCUMINra LOAN NUMBER 8153-CN Project Agreement (Waiter Conservation Project 11) between INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT and HEBEI PROVINCE SHANXI PROVINCE & NINGXIA HUI AUTONOMOUS REGION Dated s/ ,2012 PROJECT AGREEMENT AGREEMENT dated - ' , 2012, entered into between INTERNATIONAL BANK FDR RECONSTRUCTION AND DEVELOPMENT ("Bank") and HEBEI PROVINCE, SHANXI PROVINCE and NINGXIA HUI AUTONOMOUS REGION ("Project Implementing Entities") ("Project Agreement") in connection with the Loan Agreement ("Loan Agreement") of same date between People's Republic of China ("Borrower") and the Bank. The Bank and the Project Implementing Entities hereby agree as follows: ARTICLE I - GENERAL CONDITIONS; DEFINITIONS 1.01. The General Conditions (as defined in the Appendix to the Loan Agreement) constitute an integral part of this Agreement. 1.02. Unless the context recuires otherwise, the capitalized terms used in this Agreement have the meanings ascribed to them in the Loan Agreement or the General Conditions. ARTICLE H - PROJECT 2.01. Each of the Project Implementing Entities declares its commitment to the objectives of the Project. To this end, each of the Project Implementing Entities shall carry out the Proje-.t in accordance with the provisions of Article V of the General Conditions, and shall provide promptly as needed, the funds, facilities, services and other resources required for the Project. 2.02. Without limitation upon the provisions of Section 2.01 of this Agreement, and except as the Bank and the Project Implementing Entities shall otherwise agree, the Project Implementing Entity shall carry out the Project in accordance with the provisions of the Schedule to this Agreement and the PIP. For the avoidance of doubt, an amendment af6ecting only the Respective Part of the Project of a single Project Implementing Entity may be agreed in writing between the Bank and the relevant Project Implementing Entity only. ARTICLE I -- REPRESENTATIVE; ADDRESSES 3.01. The Representative of each of the Project Implementing Entities is the Governor or Vice Governor or s ach other person or persons as the Governor or Vice' Governor shall designate in writing. -2- '.02. The Bank's Address is: International Bank for Reconstruction and Development 1818 H Street, NW Washington, DC 20433 United States of America Cable: Telex: Facsimile: INTBAFRAD 248423(MCI) or 1-202-477-6391 Washington, D.C. 64145(MCI) 3.03. The Project Implementing Entities' Addresses are: For HEBEI: Hebei Provincial Finance Department 48 Zhonghuanan Street Shijiazhuang Hebei For SHANXI: Shanxi Provincial Finance Department 345 Yingze Street, Taiyuan City Shanxi For NINGXIA: Ningxia Provincial Finance Department 416 Jiefangxi Street, Xingqing District Yinchuan, Ningxia -3- AGREED at Beijing, Peo-le's Republic of China, as of the day and year first above written. INTERNATIONAL BANK FOR RECONSTRUCITON AND DEVELOPMENT By 74/lvW Authorized Representative HEBEI PROVINCE By Authorized Representative SHANXI PROVINCE By Authorized Representative 'NGXIA HUI AUTONOMOUS REGION By Authorized Representative -4- SCHEDULE Execution of the Project Section I. Implementation Arrangements 4. Institutional and Other Arrangements 1. Each Project Implementing Entity shall establish, no later than September 1, 2012, and maintain or cause to be maintained, throughout the period of Project implementation: (a) a Project leading group (PLG) at provincial level in each of the provinces, at municipal level in Hebei and Shanxi, and at each county level, included in its Respective Part of the Project, with composition and responsibilities acceptable to the Bank, to formulate Project-related policies, coordinate among relevant agencies and provide overall guidance on implementation of its Respective Part of the Project; and (b) a Provincial Project Management Office (PPMO) or a Municipal Project Management (MPMO, for Hebei and Shanxi), at the Provincial and Municipal levels, and a County Project Management Office each of the counties (County PMOs) included in its Respective Part of the Project, with composition and responsibilities acceptable to the Bank, with competent staff in adequate numbers, to organize, coordinate and implement Project activities. 2. Each Project Implementing Entity shall maintain, throughout the period of Project implementation, a mobile specialist team responsible for providing technical advice to the PPMO, and the County PMOs, under terms of reference and composition satisfactory to the Bank. 3. Each Project Implementing Entity shall not later than November 30 in each year, commencing November 3 D),2012, prepare and furnish to the Bank, for its review and comment, an annual work plan detailing the activities to be carried out the following year. B. Anti-Corruption Each Project Implementing Entity shall ensure that its Respective Part of the Project, including all Sub-projects, is carried out in accordance with the provisions of the Anti-Corruption Guidelines. -5- C. Subproject Preparation Each Project Implementing Entity shall, in accordance with the guidelines set forth in the PIP, prepare each Sub-project proposed to be included in its Respective Part of the Project as a Subproject and prepare and furnish to the Borrower a report, including, if applicable, a Resettlement Action Plan, in respect of said proposed Sub-project, for the Borrower's and the Bank's review pursuant to Part D.3 of this Schedule. 2. Eligibility Each investment Sub-project proposed for inclusion in a Project Implementing Entity's Respective Part o-_ the Project shall qualify as a Subproject eligible for financing out of the proceeds of the Loan only if said Project Implementing Entity has determined on the basis of an appraisal carried out in accordance with the PIP that: (a) the proposed Subproject includes: (i) selection of site-specific irrigation technology, agronomic and forestry and irrigation management measures; (ii) water balance studies; (iii) detailed engineering designs; (iv) a Subproject implementation plan; (v) a financing and repayment plan; and (vi) a mcnitoring and evaluation plan; (b) the proposed Subproject is technically and economically feasible; (c) the proposed SUbproject is in compliance with the Safeguards Instruments, and with all applicable laws and regulations of the Borrower and the Project [mplementing Entity relating to health, safety and environmental and social protection; and (d) if the Subproject would involve the resettlement of persons affected by said Subproject, it includes a plan for resettlement and compensation for all said persons which has been prepared in accordance with the Resettlement Policy Framework. D. Environmental Management; Resettlement, Safeguards 1. Each Project Implementing Entity shall: (a) ensure that all activities under its Respective Part of the Project shall conform to the Safeguards Instruments, and the environmental regulations and guidelines issued by the Borrower's Ministry of Environmental Protection from time to time and said Project Entity's Environmental Protection Bureau; and -6- (b) to that end, implement the EMP applicable to its Respective Part of the Project, in a manner satisfactory to the Bank. 2. Each Project Implementing Entity shall, not later than June 30 each year, commencing June 30, 2013, prepare and furnish to the Bank an annual monitoring report identifying groundwater, surface water and soil quality monitoring frequency and monitoring parameters for the monitoring of the environmental impact of its Respective Part of the Project, and providing preliminary information concerning monitoring sites, including specific identification of groundwater, surface water and soil quality monitoring sites for the first year of implementation of its Respective Part of the Project; 3. Each Project Implementing Entity shall: (a) ensure that all works to be carried out under its Respective Part of the Project shall be planned in accordance with the objective of avoiding, where feasible, any change in land or water use that would result in the involuntary loss by persons of shelter, of productive assets or access to productive assets or of income or means of livelihood; (b) to this end, ensure that its PPMO gives due attention to said objective in the preparation of annual works plans for its Respective Part of the Project pursuant to paragraph A.3. of this Schedule; and (c) if, during the preparation of any such plans, said PPMO determines that such change in land or water use would nevertheless be unavoidable, ensure that said PPMO takes the following actions, and shall confirm to the Bank that said actions have been taken, prior to the commencement of any such works: (i) prepare a resettlement action plan on the basis of policies, planning principles, institutional arrangements and design criteria acceptable to the Bank and set forth in the Resettlement Policy Framework, so as to improve the living standards and production levels of said persons, and furnish said action plan to the Project Implementing Entity and, if more than 200 persons are involved, to the Bank, for approval; and (ii) carry out such resettlement action plan as shall have been approved by the relevant Project Implementing Entity (and the Bank, if more than 200 persons are affected). 4. Whenever required pursuant to the Resettlement Policy Framework, each Project Implementing Entity shall proceed to have a Resettlement Action Plan: (i) prepared in form and substance satisfactory to the Bank; (ii) except as otherwise agreed with the Bank, submitted
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