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1 PRC (P45506): PROPOSED GANSU JIUQUAN INTEGRATED URBAN ENVIRONMENT IMPROVEMENT PROJECT A. Project Background 1. the Proposed Pr

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1 PRC (P45506): PROPOSED GANSU JIUQUAN INTEGRATED URBAN ENVIRONMENT IMPROVEMENT PROJECT A. Project Background 1. the Proposed Pr 1 PRC (P45506): PROPOSED GANSU JIUQUAN INTEGRATED URBAN ENVIRONMENT IMPROVEMENT PROJECT A. Project Background 1. The proposed project aims to improve the living conditions of urban residents in Jiuquan Municipality in Gansu Province, People’s Republic of China (PRC) through improvements to urban environment and transport services. 1 The project will support river environment improvement works, urban roads, bridges and associated utility infrastructure, and institutional strengthening and capacity development of related urban environment and transport services. The project is included in the PRC’s country operations business plan (2011-2013) as a firm project in 2013. 2. Jiuquan. The project is located in Jiuquan in northwest Gansu Province, approximately 730 kilometers (km) northwest of provincial capital of Lanzhou. The population of the municipality is 1.2 million and that of the city is 464,000 in 2010, of which 248,000 live in urban area.2 Jiuquan city is spread over a low-lying plain on the banks of the Beidahe river between the southern limits of the Gobi desert and the northern range of Qilian mountain. Jiuquan is rich in natural resources and its key industries are renewable energy equipment, agricultural products processing and construction materials, with growing tourism development increasingly contributing to the city’s economic output. In the route of Hexi Corridor, Jiuquan has historically been an oasis of the ancient Silk Road and has a potential to serve as a vital artery for the relatively less developed northwestern region of the PRC and promoting regional economic integration with the Central Asia Regional Economic Cooperation countries. 3. Challenges. Jiuquan suffers from various urban environmental problems partly due to harsh natural environment proximate to the desert and partly due to lack of investment in key urban infrastructure. Jiuquan has a continental desert climate with constrained water resources and high evaporation. 3 The annual average precipitation is only 84 millimeters (mm) but significant run-off occurs from snow melt in the Qilian mountain range coupled with torrential rainfall during summer which at times causes seasonal flooding. Sand and dust being transported by frequent strong winds from the desert cause atmospheric pollution, high incidence of respiratory illness and productivity loss. 4 Long neglected Beidahe river faces ecological and environmental degradation, induces floods and droughts more frequently and severely than in the past, and subsequently affects the public environment, health and safety. Jiuquan’s increasingly congested urban roads experience road surface failures, and thus limit the city’s ability to play a connecting role along the Hexi Corridor. The project’s rationale is to address these urban development challenges, improve living conditions of urban residents and enable Jiuquan to optimize its development potentials. 4. River. To address the environmental problems and challenges, the project will support an integrated multi-functional river improvement approach comprising river training works, water 1 A project preparatory technical assistance (PPTA) is included, with details given in Appendix 4. 2 Jiuquan municipality comprises Suzhou district (Jiuquan city area), Yumen city, Dunhuang city, Jinta county, Guazhou county, Subei county and Akesei county. Gansu Provincial Government has a plan for economic integration of Jiuquan with its neighboring city of Jiayuguan, the details of which will be researched and analyzed as part of sector analysis during the project preparation. 3 Total available water resources are estimated at 3 billion cubic meter (m3) in Jiuquan, of which 2.6 billion m3 is from surface water and 0.4 billion m3 from groundwater. While less severe compared with the other cities along the Hexi Corridor, water scarcity in Jiuquan is evident particularly with its annual average evaporation of 2,140 mm. 4 Jiuquan Environmental Protection Bureau advises that the annual average of daily sand and dust deposits from the atmosphere is 22.93 ton per square kilometer per day (t/km2/d). In the case of the five-day sandstorm on 24-28 April 2011, 46,700 mu (about 31.1 km2) of farm land was affected with direct economic loss of CNY 15.65 million. 2 impounding structures, embankments and engineered wetlands, which will collectively reduce urban flood and drought risks, improve the river’s retention capacity and resilience to the climate change impacts, restore the ecological function of the river and its habitats, and provide a landscaped area for public amenity. The project will also support planting wind-breaking tree screens along the shoals and banks of Beidahe river which will provide natural windbreak to defend the city against sandstorms and enhance public amenity. The project will introduce a modern approach to irrigate the plantations from new impounding structures to be replenished during high run-off period and used for low flow conditions, which will contribute to enhancing efficiency of water use and conservation of water resources in Jiuquan.5 5. Roads. Roads serving the old part of the urban area have become increasingly congested and some were not well maintained and experience surface failures. Those roads also lack the provision of utility service mains resulting in inefficient supply to adjacent housing and commercial properties. The project will support the construction and reconstruction of urban roads and bridges, thereby relieving congestion on the existing road network and improving access to the main industrial employment areas and from farm to market for neighboring rural areas. Urban service delivery will also be improved by providing new municipal utility services mains to the areas along the roads. 6. Strategic fit. Through integrated urban environment improvement, the project will enhance the livability of Jiuquan. The project will also contribute to promoting balanced regional development in the PRC as well as in Gansu Province, thereby supporting the PRC’s Twelfth Five-Year Plan, 2011-2015. The project aligns with the PRC’s country partnership strategy of the Asian Development Bank (ADB).6 It conforms to ADB’s Water Policy7 and supports ADB’s water, urban and transport sector strategies.8 The project will build on ADB experience and lessons gained from the previous projects in Gansu, 9 urban development, water resources management and small and medium-sized cities’ development projects, and incorporate international practices on environmentally sound and sustainable river rehabilitation and transport investment. Given the harsh physical environment and scarcity of water resources in Jiuquan, the project will undergo thorough due diligence to ensure that the project-supported urban development will be sustainable in view of the carrying capacity of the natural system. Innovative features will be explored in designing river rehabilitation, water impounding structures, wetlands engineering, and tree screening plantations to maximize integrated environmental and social benefits and involve community participation. Roads and bridges will be designed to accommodate non-motorized transport and support low-carbon urban development. B. Impact, Outcome, and Outputs 5 At present, irrigation requirements for city landscaped areas and adjacent agriculture are met by pumping from groundwater. 6 ADB. 2008. Country Partnership Strategy: People’s Republic of China, 2008-2010. Manila. ADB’s existing strategy advocates efficient urban infrastructure, strengthening environmental management, supporting inclusive growth, and well balanced development. Environmentally sustainable, socially inclusive and regionally balanced urban development is expected to continue to be a focal area in the new country partnership strategy (2011-2015) that is under preparation. 7 ADB. 2001. Water for All: The Water Policy of the Asian Development Bank. Manila. The policy encourages water conservation, efficient water use, protection and rehabilitation of degraded forestlands, and wetland conservation and improvement. 8 Water Operational Plan (under preparation); Urban Operational Plan (under preparation); and ADB. 2010. Sustainable Transport Initiative: Operational Plan. Manila. 9 ADB has supported urban projects in Baiyin, Tianshui, Dingxi and Zhangye in Gansu Province. See footnote 15 for JMG’s efforts in building up linkages with these cities to learn their lessons and practices. 3 7. The expected project impact is improved living conditions in Jiuquan. The intended project outcome is improved urban environment and transport services in Jiuquan. Indicative project outputs are: (i) River environment improvement—(a) rehabilitating 13 km urban stretch of Beidahe river including river beds, shoals, weirs and embankments, (b) constructing water impounding structures with a total capacity of three million m3, (c) constructing engineered wetlands with a total area of 40 hectares (ha), (d) developing 400 ha of wind-break tree screens plantations, and (e) providing equipment for river environment maintenance; (ii) Urban roads, bridges and associated utility facilities—improving urban roads, bridges and related facilities by (a) constructing 8 km new road to serve north bank of Beidahe river, (b) rehabilitating 16 km existing arterial roads, (c) constructing and reconstructing two bridges, and (d) developing related utility facilities including, water supply, drainage, sewers, district heating pipes and energy-saving lighting; and (iii) Capacity development and institutional
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