R2CF Buzau sub-project

Location:

Romania

Project number:

42129

Business sector:

Municipal and environmental infrastructure

Notice type:

Public

Environmental category:

B

Approval date:

18 Mar 2011

Status:

Repaying

PSD disclosed:

31 Jan 2011

Translated version of this PSD: Romanian

Project Description

The EBRD is considering to provide up to €10 million alongside up to €76 million from EU Cohesion Funds, as well as the funding from the local and state budget to finance €99 million regional water investment programme of the SC Compania de Apa SA Buzau.. The investment programme will improve the quality of drinking water and expand wastewater collection and treatment in 5 municipalities of Buzau County in line with the relevant EU water and wastewater legislation. As a result of the project, more than 200,000 inhabitants in the project area will have access to safe water supply and sanitation services.

The €10 million loan project is a sub-project of the €200 million Framework approved by the Bank to co-finance projects in Romania’s water and wastewater sector alongside EU Cohesion Funds.

Transition Impact

The sub-project will support environmental improvements, efficiency gains from continued regionalisation of water and wastewater services and transfer of commercial and managerial skills in water and wastewater operations to less-developed localities in Buzau County.

The Client

SC Compania de Apa SA Buzau is a new EBRD client, but it has already undergone significant reforms with EU ISPA funded projects. SA Buzau provides water and wastewater services in most towns of Buzau County.

The Company is now expanding into neighbouring localities within Buzau County.

EBRD Finance

€10 million loan for Buzau Sub-Project.

Project Cost

€99 million for Buzau Sub-Project.

Environmental Impact

The project addresses the first phase of investments (priorities) of Buzau County’s Plan for water and wastewater development.
Several key figures of the project indicating direct benefits for the population and for the environment include:

  • More than 40 per cent of the population of Buzau County (total population approx 500,000 inhabitants) will benefit from improved water and sewerage services due to the project;
  • Water supply network in Ramnicu Sarat, Nehoiu, Pogonaele, and Patargaele will be extended by 23.4 per cent;
  • 2 new water treatment plants will be built in Pogonaele and Patargaele;
  • 1 water treatment plants will be rehabilitated in Nehoiu;
  • Wastewater collection network in Ramnicu Sarat, Nehoiu, Pogonaele, and Patargaele will be more than doubled from 94 km to 192 km;
  • 20 per cent of the wastewater network operated by the Company will be rehabilitated;
  • 3 new wastewater treatment plants will be built in Nehoiu, Pogonaele, and Patargaele;
  • 2 wastewater treatment plants will be rehabilitated in Buzau and Ramnicu Sarat.

The project is designed to meet compliance with the EU Drinking Water Directive and Urban Wastewater Directive in the project area. As well, the project is in line with the EU Water Framework Directive. The present project is part of the Sectoral Operational Programme for Environment for which a Strategic Environmental Assessment was carried out, in line with SEA Directive.

According to the project application for EU funds, Buzau County will prepare an Environmental Monitoring Plan (EMP) to be in place during the operational stage. The EMP will address issues related to the extent and frequency of monitoring and measurements, procedures for laboratory analyses and implementation procedures.

Technical Cooperation

TC funding was approved for the overall Framework at €1.3 million, including:

  • €700,000 for performance benchmarking, operational improvements and efficiency programmes;
  • €380,000 for institutional strengthening in the sector;
  • €120,000 for environmental assessments; and
  • €100,000 for financial and legal due diligence.
 

Business opportunities

For business opportunities or procurement, contact the client company.

For state-sector projects, visit EBRD Procurement: Tel: +44 20 7338 6794
Email: procurement@ebrd.com

General enquiries

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

Public Information Policy (PIP)

The PIP sets out how the EBRD discloses information and consults with its stakeholders so as to promote better awareness and understanding of its strategies, policies and operations. Please visit the Public Information Policy page below to find out how to request a Public Sector Board Report.
Text of the PIP

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