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Igarape 40 Cleanup, Manaus

GEF ID 2136
Region Americas
Project Contacts
Tranche Funding

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  General Information:
Project Type Full Size Project
Project Status PDFA
 
GEF characteristic:
Operational Programme OP9 - Integrated Ecosystem and Resource Management
Focal Area International Waters
GEF Allocation to project 9.00M US$
Total Cost of the project: 28.00M US$
 
  Partners:
Countries: Brazil
Lead Implementing Agency Inter-American Development Bank
Other Implementing Agency International Bank for Reconstruction and Development (WB)
Executing Agencies Mexico National Water Commission (CNA)
Project Description:

The rationale of the project is to restructure an existing public-private partnership around the objective of cleaning up Igarape 40, one of the most polluted tributaries of the Rio Negro (Amazonas), and to find the optimal balance between public (municipal / state), private and external (like GEF) sources of financing necessary to achieve rapid impact through accelerated investments (with respect to present concession agreements with Aguas de Amazonas, a subsidiary of Suez Environment). The state and municipality have already allocated public resources to various clean up actions (e.g. removal of solid waste floating in the igarap?) but in insufficient amounts due to budget constraints and with limited results; there is today a strong case in favor of external support to fill the following gaps, on which the proposed project would focus: (1)improving dialogue among stakeholders (state, municipality, Aguas do Amazonas, communities, industries), including on the appropriate pollution standards and treatment levels; and improving planning and coordination of their actions at the "igarap? basin" level. (2)accelerating domestic wastewater collection and treatment investments by financing the incremental costs due to the acceleration. Such support could take various forms that would still be compatible with the overall respect of the concession contract (e.g. temporary subsidy to fill a tariff gap created by the acceleration of the sewerage investment program, financing contingent to the ability to pay of the beneficiaries during and after a transition period leading progressively to a full cost recovery tariff level, etc.). (3)improving environmental compliance in the Industrial District and reinforcing the environment regulatory capacity of the state (IPAAM), therefore contributing to reduce industrial pollution discharges in the igarap?. The project will have the following specific "additional" impacts: (1)create the missing synergies / coordination between stakeholders (including constructive dialogue on pollution standards in particular on heavy metal pollution) (2)improve pollution monitoring and control capabilities of the state and municipality; (3)accelerate sanitation investments in the I40 basin, beyond initial contractual arrangement of Aguas do Amazonas; (4)develop an innovative model and financing scheme applicable to public-private partnerships in sanitation elsewhere in the world - one of the most complex issues that came out in recent discussions (Johannesburg, Kyoto) on reaching the Millennium Development Goals in sanitation.