The Narrative report covers the period of April 2015 – May 2016 for the Joint EU / UNDP / UNECE Project “Supporting Kazakhstan’s transition to a Green Economy model”, which is being implemented under Project Number: DSI – ASIE/2014/355 – 664. The project is funded by the European Union. Munkhtuya Altangerel __________________________ Deputy resident Representative, UNDP in Kazakhstan Rassul Rakhimov __________________________ Programme Analyst, Sustainable development/Urbanization unit Gulzhamal Issayeva __________________________ Project Manager, Sustainable development/Urbanization unit NARRATIVE REPORT ACRONYMS UN United Nations UNDP United Nations Development Programme EU European Union UNECE United Nations Economic Commission for Europe CWR Committee on Water Resources GoK Government of Kazakhstan WHO World Health Organization EIB European Investment Bank DoA Description of Action NPD National Project Director IDB Islamic Development Bank OECD Organization for Economic Co-operation and Development OSCE Organization for Security and Co-operation in Europe GE Green Economy ToR Terms of References NGO Non-Government Organization CAREC Central Asia Regional Environment Centre IWRM Integrated Water Resources Management IFI International Finance Institution GGI Green Growth Indicators GGGI Global Green Growth Institute COP Conference of Parties EECCA Eastern Europe, Caucasus and Central Asia SEA Strategic Environmental Assessment SGP/GEF Small Grant Programme/Global Environment Facility SM Social Media VCS Visibility and Communication Strategy ToT Training of Trainers BID Boost Industrial Development 2 NARRATIVE REPORT TABLE OF CONTENTS Executive Summary ............................................................................................................... 4 Outcome 1 Water Governance in line with Green Economy requirements .......................... 5 Outcome 2 Increased Efficiency of Water Use .................................................................. 13 Outcome 3 Establishing a Modernized Environmental Governance System ..................... 20 Outcome 4 Highly Visible and Replicable Pilot Actions, Focusing on Water Resources and Climate Change, with Demonstrable Effects at Local (Region, City, District) Level ... 23 Communication and Visibility Activities ................................................................................. 37 ANNEXES Annex A – Annual Work Plan Annex B – “Improving Transboundary Water Management” seminar report Annex C – “Russian-Kazakh meeting on Ural and Kigach” seminar report Annex D – Report on review of Economic Instruments in the field of water supply and disposal in the republic of Kazakhstan Annex E – Calendar plan on a roadmap for reform in one pilot basin Annex F – Report on Business Models for multipurpose water infrastructure in the Republic of Kazakhstan Annex G – The minutes of the Evaluating committee meeting on “Competitive bidding of business plans to demonstrate a model for sustainable urban agriculture” Annex H – Report on the 1st technical workshop with recommendations to pilot projects concept Annex I – Report on the 2nd Technical Workshop with recommendations to pilot projects Terms of references 3 NARRATIVE REPORT EXECUTIVE SUMMARY This report provides an overview about the state of implementation of the project for the period from April 2015 – May 2016. The project provides a valuable contribution to the water sector in Kazakhstan’s way towards Green Growth as it purposely addresses all of the sectors of society, i.e. the state sector, the private sector as well as civil society. Similarly, all of three key dimensions of sustainable development in the water sector are addressed by the project: Economy (Water as an Engine for Growth); Environment (Protection and Conservation of Water Resources) and Development (Water for an Improved Quality of Life). A key challenge for this project is to demonstrate the benefits of green growth approaches through pilot infrastructure projects. This involves addressing institutional, legislative, and governance issues, in addition to technical and financial hurdles and promoting innovative approaches. Collaboration and partnerships among key actors and stakeholders allows to display key lessons of the successful operation of multipurpose “green” and sustainable water management. The project design put particular emphasis on creating synergies among the project partners, the four outcomes and all of the activities of the project. Beyond organizational coherence, activities under the various results are being shaped in such way that they can multiply the impact of certain activities and thus contribute to the future sustainability of the project. This applies in particular on the selection and design of the three pilot projects. A series of dialogues were held with the beneficiary, the donor and the participating organizations leading to a through integration of the project with initiatives of the Kazakh government and the aspirations of the Kazakh civil society. In addition, the private sector became a part of those dialogues. The project was thus truly embedded in the national and international context. A highlight of the period under review was the process of selecting and design of pilot projects as foreseen in activity 4.1., i.e. 1. Integration of green growth ideas in the construction of centralized water supply and water discharge in rural areas in the Almaty region; 2. Re-equipment and Operation of Multifunctional Hydraulic Structures in the Aktobe region; 3. Demonstration of the new technologies in irrigation: - Development of Urban Agriculture for Astana; - Prospects of Oasis Irrigation in Desert and Semi-desert regions in Kazakhstan. Special attention was given for the promotion of the joint efforts of the UN system and the European Union to support the integration of Green Economy principles into the water sector of Kazakhstan. The role of the EU as a donor of the project was clearly indicated through all of the PR activities. Moreover, this joint UN-EU project was promoted outside of the country, through holding side-events at international fora such as the Ministerial conference of the Environment for Europe process and the Astana Economic Forum. 4 NARRATIVE REPORT 5 NARRATIVE REPORT OUTCOME 1: WATER GOVERNANCE IN LINE WITH GREEN ECONOMY REQUIREMENTS Development of Water Governance for a Green Economy: Water has always played a central role in societies and it is a key driver of growth and poverty alleviation. It is a source of production, growth, and prosperity. Water security is the main aim of investment in water. Investment in water drives green growth, the green growth in its turn drives the investment in water. Investment in the governance of water resources ensures water security as it becomes a driver of green growth and a prerequisite for investments. RESULT 1.1: TRANSBOUNDARY WATER MANAGEMENT The Description of Action foresees: Activity 1.1.1. Training courses on international water legislation. Activity 1.1.2. Development of the review and recommendations on the policy of Kazakhstan for Trans-boundary water cooperation. Activity 1.1.3 Assessment of the situation in the transboundary Ural River and Kigach canal. During the review period, in consultation with the beneficiary, i.e. the Committee for Water Resources of the Ministry of Agriculture, the project team started a series of activities in line with the Description of Action, recommendations from the inception process and the work plan: Training seminar on the «Improvement of transboundary water resources management in the Republic of Kazakhstan» was held on December 7-8, 2015 in partnership with the Scientific Research Center “Green Academy”, in Astana; The Center for Water Initiatives Support was identified as a national partner to carry out the activity 1.1.3 (assessment in Ural and Kigach transboundary basins), necessary experts were identified and contracted; Detailed work plan and terms of reference for consultants for the preparation of the review of transboundary waters and transboundary water cooperation for Kazakhstan has been developed and agreed upon; Two bilateral expert meetings were held on the Ural River (February 17, 2016 in Uralsk) and the Kigach Canal (February 24, 2016 in Atyrau); Assessments of the Ural River and Kigach canal were initiated in January 2016, and their preliminary findings were presented on May 30, 2016 at the NPD SC meeting in Borovoe. Activity 1.1.1. Training courses on international water legislation Implemented in the reporting period (April 2015-May 2016): The first training seminar on “Improving Transboundary Water Management” was held on December 7-8, 2015, in Astana. The event was organized to expand the understanding of international water law, transboundary water management policies in the Republic of Kazakhstan, and activities of joint management bodies as well as opportunities for further development of water cooperation. International experts provided an overview of international water law, experience of international basin 6 NARRATIVE REPORT commissions from the Sava and Danube rivers, approaches to reform the International Fund for Saving the Aral Sea (IFAS), experiences from the implementation of the UNECE Water Convention and the UNECE Convention on the Transboundary Effects of Industrial Accidents. A separate session was dedicated to the experiences of Kazakhstan in furthering bilateral water cooperation. The target group included national decision makers and technical experts involved