Kemin Water Sub-project

Overview
Project Summary Document
Environmental and Social Documentation
Procurement
Complaints

Overview

The provision of a sovereign loan of up to € 2 million under the Kyrgyz Water Sector Resilience Framework (KWRF) to support the modernisation of water supply infrastructure in the city of Kemin. The loan proceeds will be on-lent to the city of Kemin for the benefit of the Kemin water company. The loan will be co-financed by a EUR 2.0 million investment grant from an international donor or the EBRD Shareholder Special Fund.

Project ID 52267

Status Signed

Location

Kyrgyz Republic

Business Sector

Municipal Infrastructure

Notice Type

State

Project timeline

Exploratory
Passed Concept Review
Passed Structure Review
Passed Final Review
Board Approved
Signed
Implementing
Completed

Company Contact Information

Isakov Zhanybek Kerimbekovich
kemin-v@mail.ru
+996 703 773 885
81, Israilova street, Kemin city, Chuy region, Kyrgyz Republic

Project ID 52267

Status Signed

Location

Kyrgyz Republic

Business Sector

Municipal Infrastructure

Notice Type

State

Environmental Category

Approval Date

02 Apr 2024

Disclosure date

09 Apr 2024

As per section 1.4.2 (iii) of the Directive on Access to Information: "For Projects approved by Bank management where the Board of Directors has delegated the approval authority, the PSD shall be disclosed at the start of the relevant no-objection notification period to a member country of the Bank in accordance with Article 13 (iii) of the Agreement Establishing the EBRD."

Project description

Project objectives

The Sub-project will finance critical drinking water supply improvements in the city of Kemin, including the rehabilitation and extension of water network, supply and installation of water meters and testing equipment, reconstruction and new construction of reservoir, intake facilities and water disinfection unit, replacement of pumping equipment.

Transition impact

ETI Score:70

with the KWRF, the Sub-project will contribute to the following transition qualities:

Well-governed: introducing a standardized tariff methodology and standardized Public Service Contracts ("PSCs"), with well-defined KPIs, and by introducing the Stakeholder Participation Programme.
Competitive: through adopting Capacity Development Programmes ("CDPs"), supporting commercialization, enhancing metering and improving collection rates, strengthening water supply network and storage capacity, and increasing access to higher quality water.

Client information

KYRGYZ REPUBLIC SOVEREIGN

The borrower will be the Kyrgyz Republic, represented by the Ministry of Finance. The loan will be on-lent to the city of Kemin for the benefit of the Kemin water company.

EBRD Finance Summary

EUR 2,000,000.00

A sovereign loan of up to € 2 million to the Kyrgyz Republic. The loan will have a 15-year maturity, including a four-year grace period.

Total project cost

EUR 4,000,000.00

The Sub-project is financed from two sources: (i) an EBRD loan of up to € 2 million and (ii) a capital grant of up to € 2 million from an international donor or the EBRD Shareholder Special Fund.

Additionality

The Bank will provide long-term financing, which is presently not available from commercial banks.

A transparent and cost-reflective tariff methodology will be developed and delivered to the State Water Resources Agency (Agency) to support the standardization of the tariff setting and approval procedures.

The Bank will support the Company in achieving higher standards through its conditionalities (e.g., PP&R, ESAP, tariff increase and other covenants).

The CDP will improve the Company's institutional, operational, and financial capacity.

As part of the CDP, the Company will also make use of the EBRD expertise on higher inclusion and gender standards, enhancing women's economic opportunities as part of the Sub-project.

Environmental & Social Summary

The Sub-project have been categorized B under the 2019 Environmental and Social Policy. An Environmental and Social Audit/Review of the Company's current Environmental Health and Safety, and Social ("EHSS") management practices, operations and facilities, and an Environmental and Social Analysis of the proposed Priority Investments Program ("PIP") were carried out as part of the Feasibility Study by independent consultants. The Environmental and Social Due Diligence ("ESDD") showed that the proposed Sub-project will have a significant positive impact on health and the environment despite the Sub-project' inability to achieve full EU compliance in the short term. The human health implications of the shortfalls from the EU standards are assessed to be minor in comparison with the benefits of the PIP implementation, which aims to deliver a safer and more reliable water supply to the local population.

The Environmental and Social Action Plan ("ESAP") has been developed for the Company to bring it into compliance with national regulations and to meet the EBRD's Performance Requirements ("PRs"), where financially feasible. The ESAP will be included as part of the Loan Agreement and encompass necessary improvements in the Company's EHSS management and capacity, enhancement of water monitoring practices, refinement of chlorine handling procedures, formalization of HR practices, development of improved Occupational Health and Safety ("OHS") practices, implementation of fire safety and emergency response procedures and enhancement of solid waste management practices. Additionally, the Stakeholder Engagement Plan ("SEP") and Non-Technical Summary have been prepared and will be disclosed locally.

The Company will be monitored in terms of the environmental and social performance and implementation of the ESAP through annual E&S reports and visits when necessary.

Technical Cooperation and Grant Financing

The following technical cooperation (the "TC") assignments are envisaged as part of this Sub-project:

Pre-Loan Signing:

Feasibility Study including financial, technical, environmental, and social due diligence. The assignment cost € 460,000 (for 4 sub-projects) and was financed by the EBRD Shareholder Special Fund.

Post-Loan Signing:

Project Implementation Support. The TC will support the Project Implementation Unit with engineering design and approval, procurement, preparation and evaluation of tenders, contract award and administration, financial control, project management and reporting. The assignment's cost is estimated at up to € 400,000 to be financed by an international donor or the EBRD Shareholder Special Fund.
Corporate Development and Stakeholder Participation Programme. The assignment's cost is up to € 600,000 (for 4 sub-projects) to be financed by an international donor or the EBRD Shareholder Special Fund.

Non-TC: € 2.0 million investment grant from an international donor or the EBRD Shareholder Special Fund to co-finance capital investments.

Company Contact Information

Isakov Zhanybek Kerimbekovich
kemin-v@mail.ru
+996 703 773 885
81, Israilova street, Kemin city, Chuy region, Kyrgyz Republic

PSD last updated

09 Apr 2024

Understanding transition

Further information regarding the EBRD’s approach to measuring transition impact is available here.

Business opportunities

For business opportunities or procurement, contact the client company.

For business opportunities with the EBRD (not related to procurement) contact:

Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

For state-sector projects, visit EBRD Procurement:

Tel: +44 20 7338 6794
Email: procurement@ebrd.com

General enquiries

Specific enquiries can be made using the EBRD Enquiries form.

Environmental and Social Policy (ESP)

The ESP and its associated Environmental and Social Requirements (ESRs) set out the ways in which the EBRD implements its commitment to promoting “environmentally sound and sustainable development”. The ESP and the ESRs include specific provisions for clients to comply with the applicable requirements of national laws on public information and consultation, and to establish a grievance mechanism to receive and facilitate resolution of stakeholders’ concerns and grievances, in particular, about the environmental and social (E&S) performance of the client and the project. Proportionate to the nature and scale of a project’s environmental and social risks and impacts, the EBRD also requires its clients to disclose information, as appropriate, about the risks and impacts of projects or to undertake meaningful consultation with stakeholders and consider and respond to their feedback.

More information on the EBRD’s practices in this regard is set out in the ESP.

Integrity and compliance

The EBRD's Office of the Chief Compliance Officer (OCCO) promotes good governance and ensures that the highest standards of integrity are applied to all of the Bank's activities in accordance with international best practice. Integrity due diligence is conducted on all Bank clients to ensure that projects do not present unacceptable integrity or reputational risks to the Bank. The EBRD believes that identifying and resolving issues in the project assessment and approval stages is the most effective means of ensuring the integrity of Bank transactions. OCCO plays a key role in these protective efforts andhelps to monitor integrity risks in projects post-investment.

OCCO is further responsible for investigating allegations of fraud, corruption and misconduct in EBRD-financed projects. Anyone, either within or outside the Bank, who suspects fraud or corruption should submit a written report to the Chief Compliance Officer by email to compliance@ebrd.com. OCCO will follow-up all matters reported. It will review all matters reported. Reports can be made in any language of the Bank or of the Bank's countries of operation. The information provided must be made in good faith.

Access to Information Policy (AIP)

The AIP, which entered into force on 1 January 2025, sets out how the EBRD discloses information and consults with its stakeholders to promote better awareness and understanding of its strategies, policies and operations. Please visit the Access to Information Policy page to find out what information is available from the EBRD website.

Specific requests for information can be made using the EBRD enquiries form.

Independent Project Accountability Mechanism (IPAM)

If efforts to address environmental, social or public disclosure concerns with the Client or the Bank are unsuccessful (for example, through the client’s project-level grievance mechanism or through direct engagement with Bank management), individuals and organisations may seek to address their concerns through the EBRD’s Independent Project Accountability Mechanism (IPAM).

IPAM independently reviews project issues that are believed to have caused (or to be likely to cause) harm. The purpose of the mechanism is: to support dialogue between project stakeholders to resolve environmental, social and public disclosure issues; to determine whether the Bank has complied with its Environmental and Social Policy or the project-specific provisions of its Access to Information Policy; and where applicable, to address any existing non-compliance with these policies, while preventing future non-compliance by the Bank.

Please visit the Independent Project Accountability Mechanism webpage to find out more about IPAM and its mandate and how to submit a Request for review. Alternatively, contact IPAM by email at ipam@ebrd.com for guidance and more information on IPAM and how to submit a request.

Environmental and Social Documentation is not available for this project.

Selected procurement notices related to this project may be shown below. Further procurement opportunities related to this and other projects, if available, maybe be viewed in the EBRD Procurement Portal.

The EBRD's Environmental and Social Policy (ESP), Access to Information policy (AIP) and Project Accountability Policy (PAP) enable sound and sustainable development in its projects. The Independent Project Accountability Mechanism (IPAM) deals with complaints about environmental, social and disclosure matters related to the Bank’s investments.

No complaints about this project have been made so far.

Our story

How we invest in changing lives

What we offer for businesses

Search

Kemin Water Sub-project

Overview

Project timeline

Company Contact Information

Project description

Project objectives

Transition impact

Client information

EBRD Finance Summary

Total project cost

Additionality

Environmental & Social Summary

Technical Cooperation and Grant Financing

Company Contact Information

PSD last updated

Understanding transition

Business opportunities

General enquiries

Environmental and Social Policy (ESP)

Integrity and compliance

Access to Information Policy (AIP)

Independent Project Accountability Mechanism (IPAM)