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Project summary document

Project name:Krakow Plaszow II Project
Country:Poland
Project number:6116
Business sector:Municipal and environmental infrastructure
Public/Private:Public
Environmental category:B
Board date:31 October 2000
Status:Completed
Date PSD disclosed:
Date PSD updated:
5 May 2000
8 March 2006
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EBRD financing to improve Krakow waste-water treatment and help reduce river pollution [Press Release]
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Project description
and objectives:

Modernisation of mechanical treatment facility and construction of biological treatment facility at Plaszow waste-water treatment plant in Krakow, Poland. The extended investment programme will include the construction of sludge incinerator, main collector and recultivation of lagoons.

The principal objective is to modernise and extend Plaszow waste-water treatment plant so that it complies with Polish and EU effluent standards. The extended project also includes the construction of sludge incinerator, a collector, as well as rehabilitation of lagoons at Plaszow WWTP. The secondary objective is to assist in the improvement of MPWiK’s financial and operational performance through the preparation and implementation of a corporate development plan.

Transition impact:

The investment will improve the quality of effluent from Plaszow waste-water treatment plant. Plaszow is the main waste-water treatment plant in Krakow, the third-largest city in Poland, which was identified as an environmental "hot spot" under the Baltic Sea Environmental Programme. The project will also help Krakow to comply with the European Union’s environmental regulations, facilitating Poland’s accession to the EU.

The client:

Krakow Water Supply and Waste Water Treatment Company (MPWiK).

EBRD finance:

The EBRD provides a senior loan of €20.1 million. Co-financing of €55.3 million provided by the European Union’s Instrument for Structural Policies for Pre-Accession (ISPA) and Cohesion Fund. MPWiK’s cash flow would finance the remaining €9.8 million of the investment costs. Moreover, EU-PHARE financed efficiency enhancement programme for MPWiK with €0.5 million grant.

Total project cost:

€85.8 million.

Environmental impact:

Waste water from the majority of Krakow’s households and industry is directed to the Plaszow waste-water treatment plant (WWTP). This was designed in the 1970s for half of the currently required capacity and has only a mechanical treatment facility. As a result, about half of the received waste-water is discharged to Vistula River without any treatment, and the other half is only mechanically treated. Currently, effluent from Plaszow WWTP does not meet either Polish or EU environmental standards, contributing considerably to the pollution of the Vistula River and the Baltic Sea. The project is expected to have very strong environmental benefits, enabling MPWiK to comply with EU environmental directives. The project will substantially improve the water quality of the Upper Vistula River, which is the main source of drinking water for many Polish municipalities. Vistula River drains to the Baltic Sea, which as a closed sea has a very fragile aquatic environment. Krakow has been identified as a "hot spot" by the Baltic Sea Environment Programme, and improvement to Krakow’s sewage treatment is specifically included in the Transboundary Environmental Protection Programme to be implemented under the Helsinki Convention.

Technical
cooperation:

The EU’s Instrument for Structural Policies for Pre-Accession (ISPA) funded most of the technical assistance for the project preparation, and will also fund consultancy support services during implementation. Bank Financing form the EU Bangkok was provided to support financial due diligence and the implementation of the corporate development plan is also due to be financed from this source.

For consultant opportunities for projects financed by technical cooperation funds, visit procurement of consultants.

EBRD contact:

Tomasz Bartos, Operation Leader: bartost@ebrd.com

Procurement or tendering
opportunities:

Visit EBRD Procurement
Enquiries: Tel: +44 20 7338 6794; Fax: +44 20 7338 7472, Email: procurement@ebrd.com

General enquiries:

EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168; Fax: +44 20 7338 7380
Email: projectenquiries@ebrd.com


Project Summary Documents are created before consideration by the EBRD Board of Directors. Details of a project may change following disclosure of a Project Summary Document. Project Summary Documents cannot be considered to represent official EBRD policy.
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