Nanjing, the capital of Jiangsu province, comprises 11 districts and 2 counties that straddle the lower reaches of the Yangtze River. It was a rapidly developing city at project appraisal in 2006. The 110 kilometer (km) long Qinhuai River, also known as the mother river of Nanjing, flows through its urban districts before joining the Yangtze River basin (YRB), the largest river basin in the People's Republic of China (PRC). By 2006, water quality in the lower 34 km of the Qinhuai River had significantly deteriorated, mainly because of wastewater discharge from the city. Inadequate wastewater collection and treatment facilities and urban drainage problems were behind the escalating wastewater discharge.
To address the situation, the PRC developed a basin management plan that provided a framework for water resources management in the YRB. The plan put in place several pollution control targets with specific targets to be developed by individual provinces and cities. The Nanjing Municipal Government (NMG) responded to the challenge by participating in the Yangtze River Basin water resources management initiative and investing in environmental infrastructure, including wastewater treatment, urban drainage, and river channel improvements, with the goal to achieve a wastewater treatment rate of 85% by 2011.
Against this backdrop, the Asian Development Bank (ADB) approved a $100 million loan for the Nanjing Qinhuai River Environmental Improvement Project in December 2006. The project was designed to (i) develop an effective and efficient wastewater collection and treatment system, (ii) alleviate urban flooding, (iii) reduce stagnant water in inland rivers, and (iv) establish an economical and environmentally sound disposal plan for the municipal sludge generated by wastewater treatment, drainage system desalting, and river dredging activities. Its envisaged impact was improved urban environment, public health, and quality of life in Nanjing City. Its intended outcome was improved management of the city’s surface water resources.
At completion, the project substantially achieved its planned outputs, with a few minor scope changes. Additional sewers were laid; pumping stations were upgraded; and water diversion systems were strengthened to improve wastewater interception and augment the river flow. New stormwater drains and outlets were installed in flood-prone areas. The river and its tributaries were likewise dredged to remove silt and stagnant water and improve flood storage capacity.
WTTPs were expanded and upgraded in accordance with NMG new regulations. A wetland park was built at the confluence of Yunliang River and Outer Qinhuai River, improving green space, water quality, flood storage, and habitat conservation. Construction of a sludge treatment facility was however cancelled because of the introduction of a new technology that allowed dewatered sludge to be incinerated for power generation. Construction of a sludge disposal facility was similarly dropped because of land issues and environmental concerns raised by local authorities and residents near the disposal site.
Substantial delivery of the planned outputs allowed the project to achieve its expected outcome, mostly according to targets. Pollutant discharge loads were reduced. Disruption and damage due to stormwater flooding declined from the baseline of 0.74 incidence per annum to 0.44 in 2009 and 0.37 in 2011. River flow augmentation, water replenishment, and other river improvements helped improve the ecological and environmental quality of the Inner Qinhuai and South Rivers.
While supporting the sustainable urbanization and economic growth of Nanjing, the project also catalyzed government and private investments in reducing pollution in the YRB. It spurred the implementation of the Nanjing Water Utility Long-Term Capital Finance in Commercial Markets, which helped develop a domestic currency bond market to support environmental improvements in Nanjing. It also became a model of cooperation between ADB's East Asia Department and Private Sector Operations Department in addressing environmental issues in the YRB.
The project was executed by the NMG, which established a project leading group to oversee implementation and a project management office to act as secretariat.
