ADB Supports Integrated River, Lake Rehabilitation in PRC


BEIJING, PEOPLE’S REPUBLIC OF CHINA (12 May 2017) — The Asian Development Bank (ADB) today signed a loan and technical assistance facility to China Water Environment Group (CWE) to help restore water ecosystems and improve wastewater management in the central and western provinces of the People’s Republic of China (PRC).

The loan facility includes a dual currency dollar-yuan loan equivalent to $150 million from ADB’s ordinary capital resources and a $100 million complementary loan raised from participating banks, with ADB acting as lender of record. A $260,000 technical assistance funded from ADB-administered Water Financing Partnership Facility is supporting the enhancement of wastewater treatment standard and sludge management, as well as the improvement of energy efficiency in wastewater treatment process.

“Developing water infrastructure and wastewater management systems is a key element of the government’s plan to better manage water resources,” said Hisaka Kimura, East Asia Unit Head of ADB’s Private Sector Operations Department. “ADB’s collaboration with CWE is a great example of the benefits of public-private partnerships (PPP) with only a single concessionaire designing and implementing a comprehensive lake and river pollution prevention and rehabilitation program that involves multiple environmental interlocking facilities and services, which is a first for any ADB private sector intervention to date.”

Integrating greater operational efficiency, additional capital, and technical expertise in the water resources will help the country become cleaner and more resistant to water-related disasters. With water-related pollution and health issues becoming more pressing, the government is keen to engage more private sector players through PPPs.

The project will construct wastewater treatment plants and related works for the improvement of river and lake water quality in central and western PRC, with treatment capacity reaching 2.3 million tons of wastewater and 2,900 tons of sludge per day by 2024. ADB’s engagement will also help mobilize commercial cofinancing to the project.

ADB, based in Manila, is dedicated to reducing poverty in Asia and the Pacific through inclusive economic growth, environmentally sustainable growth, and regional integration. Established in 1966, ADB is celebrating 50 years of development partnership in the region. It is owned by 67 members—48 from the region. In 2016, ADB assistance totaled $31.7 billion, including $14 billion in cofinancing.