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Belarus: Supporting Green Urban Development in Small

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Belarus: Supporting Green Urban Development in Small United Nations Development Programme Country: Belarus PROJECT DOCUMENT Belarus: Supporting Green Urban Development in Small Project Title: and Medium-Sized Cities in Belarus UNDAF Focus area: Focus area 3: Environmental sustainability is increased. Expected UNDAF Outcome: Outcome 3.1 “National capacity to mitigate and adapt to climate change enhanced” Implementing Entity: UNDP Brief Description The objective of the Project is the growth of development of green urban development plans and pilot green urban development initiatives related to energy efficiency and sustainable transport in small and medium cities in Belarus. This objective will be achieved through 4 components: i) Development and adoption of green urban development plans; ii) Development of pilots on sustainable urban transport in Novopolotsk and Polotsk; iii) Development of pilots on energy efficiency in Novogrudok; and iv) Replication mechanisms for green urban development in Belarus. The Project will be implemented over a 5-year period and is expected to generate lifetime direct GHG emission reductions of 77.8 ktonnes of CO2 equivalent through improved urban transport efficiencies in the cities of Polotsk and Novopolotsk and 13.3 ktonnes of CO2 equivalent through energy efficiency pilots in Novogrudok municipality. Indirect emission reductions (top- down and bottom-up) will range from 25.2 to 231 ktonnes of CO2 equivalent. Programme Period: 2011 - 2015 Total resources required $ 15,526,420 Atlas Award ID: 00081828 Total allocated resources: $ 15,526,420 Project ID: 00090983 PIMS # 4981 Project Budget: Start date: 1 July 2015 GEF $ 3,091,000 End Date 30 June 2020 Parallel co-financing Management Arrangements NIM o UNDP ongoing project $ 3,000,000 PAC Meeting Date 4 December 2015 o MoNREP $ 150,000 o MoAC (IRUP) $ 300,000 o Municipalities $ 8,495,000 o EU Project in Polotsk $ 377,420 o NGO BTU $ 113,000 Ministry of Natural Resources and Environmental Protection of the Republic of Belarus: Mr. Andrei M. Kovkhuto Minister Date/Month/Year UNDP: Ms. Ekaterina Paniklova Deputy Resident Representative __________________________________________________________________________ Date/Month/Year UNDP Environmental Finance Services Page 1 Table of Contents Acronyms................................................................................................................................... 3 SITUATION ANALYSIS ............................................................................................................. 5 Context and Global Significance............................................................................................. 5 Barriers and Root Causes .....................................................................................................10 Barrier Analysis .....................................................................................................................11 Stakeholder Analysis.............................................................................................................14 Baseline Analysis ..................................................................................................................15 STRATEGY ..............................................................................................................................29 Project Rationale and Policy Conformity................................................................................29 Country Ownership: Country Eligibility...................................................................................30 Country Drivenness...............................................................................................................30 Design Principles and Strategic Considerations ....................................................................31 Project Objective, Outcomes and Outputs .............................................................................34 Key Indicators, Risks and Assumptions.................................................................................50 Cost Effectiveness.................................................................................................................53 Sustainability, Replicability and Impacts ................................................................................54 PROJECT RESULTS FRAMEWORK .......................................................................................56 TOTAL BUDGET AND WORK PLAN........................................................................................59 MANAGEMENT ARRANGEMENTS .........................................................................................64 Project Organization Structure...............................................................................................64 General .................................................................................................................................66 MONITORING FRAMEWORK AND EVALUATION ..................................................................69 LEGAL CONTEXT ....................................................................................................................72 Annex I: Risk Analysis.............................................................................................................75 Annex II: Detailed CO2 Calculations and Assumptions............................................................78 Annex III: Agreements.............................................................................................................89 Annex IV: Novogrudok SEAP Summary..................................................................................90 Annex V: Terms of Reference for Project Staff and Consultants .............................................92 Annex VI: Feasibility Study of Novopolotsk and Polotsk Pilots ................................................96 Annex VII: Feasibility Study of Novogrudok Pilot...................................................................120 Annex VIII: Description of UNDP Country Office Support Services in execution of the project “Belarus: Supporting Green Urban Development in Small and Medium-Sized Cities in Belarus” …………………………………………………………………………………………………….141 UNDP Environmental Finance Services Page 2 ACRONYMS Acronym Meaning APR Annual project review AWP Annual work plan BAU Business-as-usual BTOR Back-to-office report BTU Belarusian Transport Union CC Climate change CCM Climate change mitigation CDM Clean Development Mechanism CHP Combined heat and power CoM Covenant of Mayors CO Country office CP Country Programme CPAP Country Programme Action Plan CPD UNDP Country Programme Document DEE Department of Energy Efficiency of the State Committee for Standardization EE Energy efficiency EIAs Environmental Impact Assessments EMIS Energy management information system EOP End of Project EU European Union FY Fiscal year GDP Gross Domestic Product GEF Global Environment Facility GHG Greenhouse Gases GIZ German International Assistance GJ Gigajoules GUD Green urban development GUDP Green urban development plan HACT Harmonized Approach to Cash Transfers to Implementing Partners IE Implementing entity IRUP Belarusian Institute for Regional and Urban Planning kgoe Kilogram oil equivalent ktonnes Kilotonnes kWh Kilowatt hours LED Light emitting diode LULUCF Land use, land-use change and forestry M&E Monitoring and evaluation MDG Millennium Development Goals MJ Megajoules MoAC Ministry of Architecture and Construction MoE Ministry of Economy UNDP Environmental Finance Services Page 3 Acronym Meaning MoF Ministry of Finance MoNREP Ministry of Natural Resources and Environmental Protection MoT Ministry of Transport MPa Megapascal (a unit of pressure) Mt Million tonnes mtoe Million tonnes of oil equivalent MWh Megawatt-hour NGUDP National Green Urban Development Plan NIM UNDP’s National Implementation Modality NPD National Project Director PB Project Board PIR Project Implementation Report PMU Project Management Unit PPG Project preparation grant ProDoc UNDP Project Document QPR Quarterly progress report R&D Research and Development RCU UNDP Regional Coordination Unit RES Renewable energy sources RTA Regional Technical Advisor SBAA Standard Basic Assistance Agreement SEAP Sustainable Energy Action Plan SME Small-to-medium enterprise TA Technical assistance TJ Tera joules TOE Tons of oil equivalent ToR Terms of Reference UNDAF United Nations Development Assistance Framework UNDP United Nations Development Programme UNECE United Nations Economic Commission for Europe UNFCCC United Nations Framework Convention on Climate Change WB World Bank Currency Equivalents1 Currency Unit = Belarusian Ruble, BYR 1 USD = BYR 9,724 1 www.oanda.com (exchange rate effective March 1, 2014) UNDP Environmental Finance Services Page 4 SITUATION ANALYSIS Context and Global Significance 1. The Republic of Belarus is a landlocked country in Eastern Europe bordered by Russia, Ukraine, Poland, Lithuania, and Latvia with a population of 9.5 million. The capital city is Minsk and other major cities include Brest, Grodno, Gomel, Mogilev, and Vitebsk. Over forty percent of the 207,600 square kilometers of the country is covered in forests. The strongest economic sectors are service industries and manufacturing. The majority of the population lives in cities and the country is highly urbanized. The Government of Belarus is an Annex I Party to the UNFCCC since the year 2000 and is a Party to the Kyoto Protocol since 2005. The Government of Belarus also signed up to the Copenhagen Accord (2009) and pledged to
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