Shandong Groundwater Protection Project (ADB-47047-002)

  • China
Where the impacts of the investment may be experienced.
Specific Location
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Financial Institutions
  • Asian Development Bank (ADB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Bank Risk Rating
Risk rating varies among banks and may refer only to the particular investment and not to the risk for the project as a whole. Projects marked 'U' have an 'Unknown' risk rating at the time of disclosure.
Voting Date
Jun 29, 2016
The estimate day the bank will vote on a proposed investment. The decision dates may change, so review updated project documents or contact the EWS team.
Government of People's Republic of China
The holder of the loan, grant, or other investment.
  • Infrastructure
  • Water and Sanitation
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
The categories of the bank investment: loan, grant, etc.
Investment Amount (USD)
$ 150.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Project Cost (USD)
$ 344.03 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please see updated project documentation for more information.
Primary Source

Original disclosure @ ADB website

Updated in EWS Jun 26, 2020

Disclosed by Bank Sep 28, 2016

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Project Description

The proposed loan for the Shandong Groundwater Protection Project will contribute to ensuring sustained groundwater supply for the agricultural sector in the Weifang-Zibo area. The project will serve as a demonstration of an integrated approach for environmental restoration of overexploited groundwater aquifers through improving allocation of water resources, retention of storm water, and rehabilitating the water environment. The project will protect groundwater quantity and quality in the area, safeguard a sustainable groundwater source for the agricultural sector, and contribute to improving food security in the PRC.

The project will have three outputs: (i) groundwater recharged and conserved, (ii) surface water allocation improved and monitored, and (iii) capacity development for water resources management enhanced. Demonstration activities will be implemented in Changle and Huantai counties, and Gaomi, Qingzhou, and Shouguang cities in Weifang and Zibo, which are representative for critical water-scarce conditions in intensive agricultural production bases in the Weifang–Zibo area.

Groundwater supply for the agricultural sector in the Weifang-Zibo area sustained

Consulting services will be required for (i) project management support, (ii) capacity development for water policy and conservation demonstration activities, and (iii) software development for the MIS in Huantai County. The outline terms of reference (TOR) for each of the three consulting services packages are described in section D.

The PMO will be responsible for engaging consultants. All consultants financed by ADB will be recruited according to ADB's Guidelines on the Use of Consultants (2013, as amended from time to time).

All procurement of goods and works will be undertaken in accordance with ADB's Procurement Guidelines (2015, as amended from time to time). Except as ADB may otherwise agree, the following process thresholds shall apply to procurement of goods and works.

Civil works contracts estimated to cost $25 million and above, and contracts for goods estimated to cost $3 million and above will be procured using international competitive bidding (ICB) procedures. Contracts for works and goods estimated to cost less than the ICB values but equal to $100,001 and above will be procured through national competitive bidding (NCB). NCB will be conducted in accordance with the PRC Tendering and Bidding Law (2000), subject to modifications agreed with ADB. Contracts for goods and works estimated to cost less than the above NCB values will be procured using shopping procedures. The relevant sections of ADB's Anticorruption Policy (1998, as amended from time to time) will be included in all procurement documents and contracts.

For NCB, the first draft English language of the procurement documents (prequalification, bidding documents, and draft contract) should be submitted for ADB's approval regardless of the estimated contract amount. Subsequent procurements are subject to post review. All ICB contracts are subject to prior review and ADB's approval of the procurement documents (bidding and contract) is required.

A procurement plan over the life of the project including the first 18-month procurement contract packages starting from July 2015 has been prepared and agreed with the PMO and the implementing agencies, which indicates procurement method, estimated costs of contracts, threshold and review procedures, goods, works, and consulting service contract packages, and NCB guidelines.

Investment Description

Government of China US$ 194.03 million

Contact Information

Shandong Provincial Government
People's Republic of China

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