1. Air Quality Management Related Programs of ADB in the People’s Republic of China Ashok Bhargava Asian Development Bank PRC Development Partners’ Coordination Meeting for Clean Air 27 September 2006

2. Outline of Presentation IntroductionIntroduction Summary of ADB Activities with AQM related components in the PRCSummary of ADB Activities with AQM related components in the PRC Summary of ADB Activities with AQM related components in the projects pipelineSummary of ADB Activities with AQM related components in the projects pipeline

3. Introduction (1) One of the priorities according to the Country Strategy Program Update (2006-2008) for ADB’s operations in the PRC is promoting environmental improvement and clean developmentOne of the priorities according to the Country Strategy Program Update (2006-2008) for ADB’s operations in the PRC is promoting environmental improvement and clean development ADB’s past activities related to AQM in PRC have focused on cleaner production and energy efficiency, controlling transboundary air pollution – dust and sandstorms and controlling acid rainADB’s past activities related to AQM in PRC have focused on cleaner production and energy efficiency, controlling transboundary air pollution – dust and sandstorms and controlling acid rain These activities were in the form of lending and non- lending activities – regional technical assistances (RETA), project preparatory technical assistances (PPTA), and advisory technical assistances (ADTA)These activities were in the form of lending and non- lending activities – regional technical assistances (RETA), project preparatory technical assistances (PPTA), and advisory technical assistances (ADTA)

4. Introduction (2) ADB’s experience on projects with AQM components can be summarized based on the focus or components of the projects, i.e.: General UAQM projectsGeneral UAQM projects Mobile sources of air pollutionMobile sources of air pollution Stationary sources of air pollutionStationary sources of air pollution Transboundary air pollutionTransboundary air pollution Climate change and greenhouse gas abatementClimate change and greenhouse gas abatement Health impacts of air pollutionHealth impacts of air pollution

5. ActivityPeriod Goals and achievements Clean Air Initiative for Asian Cities RETA 6016 2001 to 2005 Strengthened PRC stakeholders involvement in AQM regional initiativesStrengthened PRC stakeholders involvement in AQM regional initiatives Included a case study on Xi’an on developing sustainable urban transport indicators as part of the Partnership for Sustainable Urban Transport in AsiaIncluded a case study on Xi’an on developing sustainable urban transport indicators as part of the Partnership for Sustainable Urban Transport in Asia Better Air Quality in Asia RETA 6144 2003- 2007 Established the PRC Project Office with staffs focusing on building the air quality management network in the PRC in close cooperation with SEPAEstablished the PRC Project Office with staffs focusing on building the air quality management network in the PRC in close cooperation with SEPA The initial members of the CPO are Changsa, Chengdu, Chongqing, Guangzhou, Guiyang, Hangzhou, Harbin, Luoyang, Tianjin, Qingdao, and UrumqiThe initial members of the CPO are Changsa, Chengdu, Chongqing, Guangzhou, Guiyang, Hangzhou, Harbin, Luoyang, Tianjin, Qingdao, and Urumqi Rolling out Air Quality Management in Asia RETA 6291 2006 to 2007 Strengthening of knowledge management on AQMStrengthening of knowledge management on AQM Policy development and investment identificationPolicy development and investment identification Regional ADB activities with a PRC component on General AQM

6. ActivityPeriod Goals and achievements Reducing Vehicle Emissions in Asia RETA 5937 2000 to 2002 Provided regional workshops and policy dialogues where PRC stakeholders were representedProvided regional workshops and policy dialogues where PRC stakeholders were represented An action plan to strengthen I/M in Chongqing was developedAn action plan to strengthen I/M in Chongqing was developed Xi’an Urban Transport Project PRC Loan 2024 2003 to 2008 Formulated an action plan for AQM and vehicle emissions control which included mobile emission inspection system, urban transport model with bus priority corridor scheme, & provision of CNG infrastructureFormulated an action plan for AQM and vehicle emissions control which included mobile emission inspection system, urban transport model with bus priority corridor scheme, & provision of CNG infrastructure Gansu Roads Development Project PRC Loan 2125 2004 to 2010 Include policy recommendations and projects on reducing vehicle emissionsInclude policy recommendations and projects on reducing vehicle emissions ADB activities in PRC with a component on controlling vehicle emissions (1)

7. ActivityPeriod Goals and achievements Application of Public- Private Partnerships in Urban Rail-Based Transportation PRC PPTA 4724 2006 Includes enhancement of mobility and reduced traffic congestion and pollution in cities through effective implementation of urban rail-based transportation systemsIncludes enhancement of mobility and reduced traffic congestion and pollution in cities through effective implementation of urban rail-based transportation systems ADB activities in PRC with a component on controlling vehicle emissions (2)

8. ActivityPeriod Goals and achievements Shanxi Environment Improvement Project PRC Loan 1715 1999 to 2005 Finance measures to solve air pollution in Taiyuan, Datong and YangquanFinance measures to solve air pollution in Taiyuan, Datong and Yangquan TA to develop air pollution permit trading system and modify the existing pollution levy systemTA to develop air pollution permit trading system and modify the existing pollution levy system Liaoning Environmental Improvement Project PRC Loan 2112 2004 to To improve efficiency and reliability of gas and central heating supplyTo improve efficiency and reliability of gas and central heating supply Closure of small coal-fired boilersClosure of small coal-fired boilers Acid Rain Control and Environmental Improvement Project PRC Loan 1890 2001 to Finance investments to improve air quality in Guichi, Huangshan, Tongling and WuhuFinance investments to improve air quality in Guichi, Huangshan, Tongling and Wuhu ADB activities in PRC with a component on controlling stationary sources of air pollution (1)

9. ActivityPeriod Goals and achievements Gansu Clean Energy Development Project PRC Loan 2032 2004 to 2008 The project include the increased access to clean energy and closure of old, coal-fired power plantsThe project include the increased access to clean energy and closure of old, coal-fired power plants Coal Mine Methane Development Project PRC Loan 2146 2005 to 2009 Provide effective and efficient coal mine methane (CMM) and coalbed methane (CBM) production, capture, and use by applying the latest technologiesProvide effective and efficient coal mine methane (CMM) and coalbed methane (CBM) production, capture, and use by applying the latest technologies Energy Development Strategy for the Inner Mongolia Autonomous Region PRC ADTA 4511 2005 to 2006 Provide policy recommendations and measures to mitigate negative impacts of accelerated development of the energy sector on environment ADB activities in PRC with a component on controlling stationary sources of air pollution (2)

10. ActivityPeriod Goals and achievements Preparing the Inner Mongolia Autonomous Region Environmental Improvement Project PRC PPTA 4584 2005 to present Increasing natural gas transmission and utilization and augmented central heating systems to facilitate closure of small inefficient coal-fired boilersIncreasing natural gas transmission and utilization and augmented central heating systems to facilitate closure of small inefficient coal-fired boilers Gansu Baiyin Urban Development PRC PPTA 4818 2006 to present Providing improved living standard and air quality due to improved district heating servicesProviding improved living standard and air quality due to improved district heating services ADB activities in PRC with a component on controlling stationary sources of air pollution (3)

11. ActivityPeriod Goals and achievements Acid Rain and Emission Reduction in Asia, Phase II RETA 5702 1997 to 2000 TA emphasized the transfer of the RAINS-Asia model in major institutions involved in decision-making to control acid rain causing emissionsTA emphasized the transfer of the RAINS-Asia model in major institutions involved in decision-making to control acid rain causing emissions Transboundary Environmental Cooperation in Northeast Asia RETA 5865 1999 to 2002 TA emphasized particulate control technology, monitoring system and action plans for control of air emissions on existing power plantsTA emphasized particulate control technology, monitoring system and action plans for control of air emissions on existing power plants Prevention and Control of Dust and Sandstorms in Northeast Asia RETA 6068 2002 to 2006 regional cooperation mechanism for prevention and control of dust and sandstormCreated a regional steering committee (PRC, Mongolia, Japan, and Republic of Korea) and 4 partner international institutions (ADB, UNEP, UNESCAP, and UNCCD) to promote a regional cooperation mechanism for prevention and control of dust and sandstorm ADB activities in PRC on controlling transboundary air pollution

12. ActivityPeriod Goals and achievements Capacity Building for the Implementation of the Kyoto Protocol and the Clean Development Mechanism RETA 5861 1999 to 2001 Provided trainings and preparation of a technical manual for preparing GHG abatement projects for the CDMProvided trainings and preparation of a technical manual for preparing GHG abatement projects for the CDM Promotion of Renewable Energy, Energy Efficiency, and Greenhouse Gas Abatement Projects RETA 5972 2001 to 2006 Provided policy assessments and environmental valuation of projects, country and pre-feasibility studiesProvided policy assessments and environmental valuation of projects, country and pre-feasibility studies ADB activities in PRC focusing on Climate Change and Renewable Energy (1)

13. ActivityPeriod Goals and achievements Opportunities for the Clean Development Mechanism in the Energy Sector PRC ADTA 3840 2002 to 2005 Provided training workshops, developed strategic action plans and policy recommendations for CDM projects, including a handbook for small scale CDM-supported projectsProvided training workshops, developed strategic action plans and policy recommendations for CDM projects, including a handbook for small scale CDM-supported projects Energy Efficiency Initiative - Transport, Energy Efficiency and Climate Change RETA 6261 2006 to present Providing assessment of impacts of on-road transportation on GHG emissions and provided necessary abatement measuresProviding assessment of impacts of on-road transportation on GHG emissions and provided necessary abatement measures ADB activities in PRC focusing on Climate Change and Renewable Energy (2)

14. Summary of ADB Activities in the Pipeline with AQM-related Components in PRC

15. ADB activities in the Pipeline with AQM- related components (1) Activity Goals and/or objectives AQM Impacts Clean Coal Technology and Clean Energy Development PRC PPTA Prepare an investment project that will introduce and use environment-friendly advanced clean coal technologies Reduction of emissions from coal- fired power plants and other coal-using industriesReduction of emissions from coal- fired power plants and other coal-using industries Coal Bed Methane Project II PRC PPTA To prepare an investment project that will increase the production, capture, and use of methane in association with underground coal mining and as a result improve mine safety, reduce greenhouse gas emissions, and reduce the use of coal Reduction in the use of coal would lead to less CO 2 emissionsReduction in the use of coal would lead to less CO 2 emissions

16. ADB activities in the Pipeline with AQM- related components (2) Activity Goals and/or objectives AQM Impacts Hefei Urban Environment Improvement PRC PPTA Provide a more efficient city road network and improve vehicular traffic flows and consequently vehicle emissions Reduction of vehicle emissionsReduction of vehicle emissions Climate change potential from less fuel consumptionClimate change potential from less fuel consumption Biomass Renewable Energy National Strategy PRC ADTA Promotion of affordable, environmentally sound, and sustainable BRE through a set of policy and implementation recommendations required for the rapid promotion of sustainable BRE—covering institutional, financial, and technical aspects at the national, provincial, and local levels Climate Change mitigation potential of BRE useClimate Change mitigation potential of BRE use Biofuels use can lead to reduced criteria air pollutant emissionsBiofuels use can lead to reduced criteria air pollutant emissions

17. ADB activities in the Pipeline with AQM- related components (3) Activity Goals and/or objectives AQM Impacts Transport Information System PRC ADTA Provide assistance to the Ministry of Communications to develop a national Intelligent Transport Systems (ITS) standard for the step-by step development of ITS in PRC Efficient flow of vehicular flow through advanced traffic management systems would lead to reduced vehicle emissionsEfficient flow of vehicular flow through advanced traffic management systems would lead to reduced vehicle emissions Mitigation of Transboundary Air Pollution from Coal-fired Power plants in North East Asia Promote regional cooperation in reducing emissions from coal-fired power plants in Northeast Asia Reducing emissions from coal-fired power plants will reduce air pollution pressure from affected urban areasReducing emissions from coal-fired power plants will reduce air pollution pressure from affected urban areas

18. Looking Ahead A Study on Interprovincial Acid Rain Control– Technical Assistance is being processed in ADBA Study on Interprovincial Acid Rain Control– Technical Assistance is being processed in ADB It will be part of the e-Asia and Knowledge Partnership Fund established by ADB and the Korean GovernmentIt will be part of the e-Asia and Knowledge Partnership Fund established by ADB and the Korean Government

19. Thank you! For More Information: E-mail: Web site: www.adb.org