The Asian Development Bank (ADB) plans to provide $100 million loan for China to support the Xin’an River program, said the economic watchdog of Huangshan city, east China’s Anhui province.
The program has been included among alternative programs that will use the ADB loans between 2018 and 2020, the municipal Development and Reform Commission said, citing a statement jointly issued by the National Development and Reform Commission and the Ministry of Finance.
The program is intended for the ecological protection and green development of the river, which runs from Xiuning, a county in Huangshan, to Hangzhou, capital of neighboring Zhejiang province.
The river is where the country’s first inter-provincial ecological compensation program is carried out. In the pilot program, a fund worth 500 million yuan (about $83 million) is established per year for protecting the river.
If the water reaches the quality standard, the downstream Zhejiang will give Anhui 100 million yuan, if not, Anhui will give Zhejiang 100 million yuan. Regardless of the water quality, Anhui will receive 300 million yuan each year from the central government as compensation.
Nowadays the water quality of the river is rated as A, and the experience has been promoted in many other provinces.