Release date: 19 September 2017
Promoter – Financial Intermediary
PUBLIC ENTITY(IES)Location
Description
The project afforests 1,947 ha of bare and degraded lands and rehabilitates 7,882 ha of existing, low quality forests. The planted and rehabilitated forests will develop into diverse habitats that sequester CO2 and store carbon. They also improve biodiversity, soil and water protection and air quality in the erosion prone area.
Objectives
The project contributes to establishing sustainable and diversified forest ecosystems and landscaping on heavily degraded lands and by rehabilitating low quality forests. The project targets primarily environmental benefits and externalities to sequester and store carbon, to improve air and fresh water quality and to improve biodiversity in the adjacent area. In order to improve financial feasibility, the project will also include the production of marketable products including bamboo, tea leaves, timber, pomegranate fruits, bamboo shoots, and camellia seeds for edible oil. These products will be offered on the local market in the Anhui Province.
Sector(s)
- Agriculture, fisheries, forestry - Agriculture, forestry and fishing
Proposed EIB finance (Approximate amount)
EUR 40 million
Total cost (Approximate amount)
EUR 81 million
Environmental aspects
The Environmental Protection Department of Anhui Province has concluded, in accordance with national laws and policies, that an environmental impact assessment (EIA) is not required for the project. The project area is fragmented to small entities and forestry activities are not allocated to biologically valuable or protected areas. In order to ensure proper consideration of biodiversity and other environmental values in project implementation, EIB requires that an environmental management plan is in place prior to the project implementation. Afforestation, rehabilitation and tending activities increase forest cover and carbon stocks, landscape quality, water retention capacity in soil, soil organic material content and biodiversity in the area.
Procurement
The Bank will require the promoter to ensure that the project is implemented in accordance with the Bank's guide to Procurement.
Status
Approved - 20/11/2017
Disclaimer
Before financing approval by the Board of Directors, and before loan signature, projects are under appraisal and negotiation. The information and data provided on this page are therefore indicative.
They are provided for transparency purposes only and cannot be considered to represent official EIB policy (see also the Explanatory notes).