Enshi Upstream Environment Rehabilitation Project (RRP PRC 47048)

DEVELOPMENT COORDINATION

A. Major Development Partners: Strategic Foci and Key Activities

1. The Asian Development Bank (ADB) began support for urban sector and multisector development in the People’s Republic of China (PRC) in 1992. Of the 39 loans totaling $4.5 billion, seven projects were for urban and multisector projects in Hubei province targeting urban infrastructure, urban transport, storm water and wastewater management, pollution control, and environment improvement. The Hubei Enshi Qing River Upstream Environment Rehabilitation Project is the first project financed by ADB in Enshi city.

2. Hubei provincial government has signed agreements for foreign loans with a total contracted amount of more than $1.4 billion for projects (including technical assistance projects) with ADB, the World Bank, and foreign governments. These involve infrastructure, urban transport, highways, hydro power, and environment improvement. ADB and the World Bank are the two main agencies supporting urban development and environment improvement. Other bilateral agencies are providing smaller-scale and more sector-specific lending assistance.

Major Development Partners Development Amount Partner Project Name Duration ($ million) Multisector ADB Preparing the –Wanzhou Railway Project 2002–2003 0.25 (TA) ADB Wastewater and Stormwater Management 2005–2006 0.70 Project (TA) ADB Hubei Urban Pollution Control and 2010–2012 0.60 Environmental Management (TA) ADB Hubei Integrated Urban Environment 2012–2013 0.75 Improvement Project (TA) ADB Hubei–Yichang Sustainable Urban Transport 2012–2013 0.90 Project (TA) ADB Hubei Huangshi Urban Pollution Control and 2013–2017 100.00 Environmental Management Project (Loan) ADB Hubei–Yichang Sustainable Urban Transport 2013–2018 150.00 Project (Loan) WB Hubei –Xiangfan Highway Project 2002–2007 250.00 WB Hubei Hydropower Development in Poor Areas 2002–2011 105.00 Project WB Hubei Shiman Highway Project 2004–2009 200.00 WB Urban Environment Improvement 2008–2014 84.00 Project WB Hubei Yiba Highway Project 2009–2015 150.00 WB Hubei Urban Transport Project 2012–2017 100.00 ADB = Asian Development Bank, TA = technical assistance, WB = World Bank Source: Asian Development Bank estimates.

B. Institutional Arrangements and Processes for Development Coordination

3. ADB is committed to sharing sector information and experiences in partnership with its developing member countries and other development agencies. In line with its support for the 2005 Paris Declaration and the 2008 Accra Agenda for Action, ADB has been harmonizing its policies, procedures, and practices with its key development partners through parallel 2 implementation structures, technical working groups, and joint missions. In addition, ADB has been supporting global and regional efforts to enhance aid effectiveness.

4. In the PRC, the central government mainly coordinates development assistance. All development partners are requested to align their operations to support the implementation of a national development strategy as set out in the PRC's 12th Five-Year Plan, 2011–2015 for social and economic development and approved by the People's Congress. ADB's resident mission in the PRC also plays a key role in harnessing lessons learned in project design, implementation, and monitoring to be shared with other partners.

C. Achievements and Issues

5. Since 1992, coordination with major development partners has been strengthened to support the PRC's 5-year plans, strategic master plans, public awareness and education, financial and institutional strengthening, Millennium Development Goals, and other development results in urban development and multisector initiatives.

D. Summary and Recommendations

6. The project team will coordinate with other development partners during project implementation. Strengthening development coordination in the PRC is expected to minimize transaction costs, maximize responsiveness, solve policy issues more systematically, provide greater support for institutional strengthening and capacity building, and increase accountability to achieve greater development impact.