The World Bank Report No: ISR8227

Implementation Status & Results Urban Development Project (P075730)

Operation Name: Hunan Urban Development Project (P075730) Project Stage: Implementation Seq.No: 13 Status: ARCHIVED Archive Date: 27-Oct-2012 Country: China Approval FY: 2005

Public Disclosure Authorized Product Line:IBRD/IDA Region: EAST ASIA AND PACIFIC Lending Instrument: Specific Investment Loan Implementing Agency(ies): -Zhuzhou- (CZT) Economic Integration Office Key Dates Board Approval Date 16-Sep-2004 Original Closing Date 31-Dec-2010 Planned Mid Term Review Date 01-Dec-2008 Last Archived ISR Date 20-Feb-2012 Public Disclosure Copy Effectiveness Date 16-Aug-2005 Revised Closing Date 31-Oct-2012 Actual Mid Term Review Date 16-Jan-2009

Project Development Objectives Project Development Objective (from Project Appraisal Document) The objective of the project is to foster greater integration in the Changsha-Zhuzhou-Xiangtan (CZT) Region of Hunan Provincethrough support for a carefully selected set of priority investments to address specific regional needs in a sustainable manner. Has the Project Development Objective been changed since Board Approval of the Project?

Yes No Public Disclosure Authorized Component(s)

Component Name Component Cost CORRIDOR 157.89 CHANGSHA WASTEWATER 59.88 ZHUZHOU CLEAN COAL 4.38 ZHAOSHAN SCENIC AREA 8.50 TECHNICAL ASSISTANCE 4.88

Overall Ratings Previous Rating Current Rating

Public Disclosure Authorized Progress towards achievement of PDO Moderately Satisfactory Moderately Satisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Satisfactory Overall Risk Rating

Implementation Status Overview Public Disclosure Copy Despite long delays during and major restructuring during the implementation of the project, the investments have fostered economic development and integration of the Changsha Zhuzhou Xiangtan (CZT) Region. These impacts should, however, not be overstated as this project was a part of a much larger effort by the Hunan Province, lead by the Leading &

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Coordination Commission for the Construction of CZT “Resource-saving & Environment-friendly Society” Reform & Experimental Zone (Hunan Provincial CZT RES Office), which managed this project. The most apparent impacts of this project can be observed in areas where investments have been completed for a while, such as Xiangtan and the Zhuzhou urban areas. The flood protection assets financed by the project have induced new developments in previously high risk flood areas. The road infrastructure is helping to improve the connectivity between cities and the integration of the region, although a few critical links are still missing, and some of which will be completed after the closing of the loan. The project financed wastewater treatment plant is operating close to its expanded capacity of 160,000m3/day and with the completion of the sewage pipelines to a new development zone, further expansion is needed and already planned by the operator.

The project has made considerable progress over the last 3 months, especially after the above average rainy season in Hunan this year. A number of works are still ongoing and might not be fully completed by the closing of the loan, but should be completed by the end of this year with counterpart funding, these include the rehabilitation of embankments along the Xingang flood canal in Changsha, the rehabilitation of sewage network in Furong and Kaifu Districts in Changsha, and the Leidashi Flood Retention Wall in Zhuzhou. Most road infrastructure will be completed by the end of the loan closing date and close attention should be given to construction quality and the hand-over process.

Public Disclosure Copy Locations Country First Administrative Division Location Planned Actual China Hunan Zhuzhou Shi

China Hunan Xiangtan Shi

China Not Entered Xiang Jiang

China Hunan Changsha Shi

China Hunan Zhaoshan Shi

Results

Project Development Objective Indicators Indicator Name Core Unit of Measure Baseline Current End Target Foster greater economic integration in the CZT Text Value 0 2 meetings annually to Region discuss CZT economic integration issues. Date 30-Sep-2004 30-Jun-2012 31-Oct-2012 Comments Many more meetings have been held at the regional level this year.

Intermediate Results Indicators Public Disclosure Copy

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Indicator Name Core Unit of Measure Baseline Current End Target Corridor component - Length of embankment Text Value 0 61.4km 61.4 km strengthened to required standard Date 30-Sep-2004 30-Jun-2012 31-Oct-2012 Comments The target value is revised from 72 to 55 km for 2010, and 61.4km for 2012. This was due to the fact that embankment to be strengthened is 61.4km; and the length of road to be constructed on top of the dyke

Public Disclosure Copy is 72 km. Corridor component - Length of scenic road Text Value 0 38.4km 72 Km constructed Date 30-Sep-2005 30-Jun-2012 31-Oct-2012 Comments While only 38.4km have been completely finished and are operational, almost all remaining works are either final asphalt layer or signs. Changsha wastewater - Construction of Text Value 0 43.85km 43.84km network Date 30-Sep-2004 30-Jun-2012 31-Oct-2012 Comments Changsha wastewater - Percentage sewage Text Value 0 65% 58% treated in Changsha Date 30-Sep-2004 30-Jun-2012 31-Oct-2012 Comments Original target has been met through the construction of a wastewater plant with a capacity of 120,000 m3/day. The end target willhave to be revised as more wastewater treatment plants are being constructed in Changsha and the capacity of the Bank constructed treatment plant is also being expanded. The new targets will be established during the next mission when additional details are available on the

Public Disclosure Copy other treatment plants being constructed.

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Institutional strengthening and Implementation Text Value 0 56 53 Assistance - Cumulative awarded contracts Date 30-Sep-2004 30-Jun-2012 31-Oct-2012 Comments All TA contracts have been awarded. Institutional strengthening and Implementation Text Value 0 5 I/O 5 I/O Assistance for CMDC - Recommendations (R), Date 30-Sep-2004 30-Jun-2012 31-Oct-2012 Approvals (A), and Implementation/Operation (I/O) Comments The final target was 5 I/O which was met in 2010. Institutional Strengthening and Implementation Text Value 0 5 I/O 5 I/O Assistance - CZT EIO Management: Date 30-Sep-2004 30-Jun-2012 31-Oct-2012

Public Disclosure Copy Recommendations (r), approvals (a), and implementation/opertion (i/o) Comments The final target was 5 I/O which was met in 2010.

Data on Financial Performance (as of 09-Oct-2012)

Financial Agreement(s) Key Dates Project Ln/Cr/Tf Status Approval Date Signing Date Effectiveness Date Original Closing Date Revised Closing Date P075730 IBRD-47510 Effective 16-Sep-2004 18-Oct-2004 16-Aug-2005 31-Dec-2010 31-Oct-2012

Disbursements (in Millions) Project Ln/Cr/Tf Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P075730 IBRD-47510 Effective USD 172.00 172.00 0.00 154.17 17.83 90.00

Disbursement Graph Public Disclosure Copy

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Key Decisions Regarding Implementation The PMO and PIUs will closely supervise the works and ensure they are delivered on-time and at the agreed quality standard. Final payments should only be provided after proper inspection of work and hand-over to the operators and responsible agencies. Only the works completed by the closing date of October 31, 2012, will be eligible for Bank financing and loan financed retention fees should be replaced with a bank guarantee or other suitable security.

As part of project completion, the PIUs and cities need to work towards the preparation of the Implementation Completion Report (ICR). The experience and lessons learned from this project should be summarized in this report. The preparation of the ICR will be coordinated by the PMO and should summarize overall outcomes of the project. The first draft ICR will be prepared by mid January and the mission is planned to visit Hunan in March 2013. The PMO, consultants and PIUs have started the preparation and collection of data on the impacts of the project to date and some lessons learned from original design to actual implementation.

Restructuring History Level two Approved on 25-May-2010

Related Projects There are no related projects. Public Disclosure Copy

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