China, People's Republic of: Henan Tian Lun Cleaner Energy Fuel Switching Project

Nonsovereign Project | 56203-001

Project Details

  • Project Officer
    Clancy, Shane
    Private Sector Operations Department
    Request for information
  • Country/Economy
    China, People's Republic of
  • Sector
    • Energy
Project Name Henan Tian Lun Cleaner Energy Fuel Switching Project
Project Number 56203-001
Borrower / Company Henan Tian Lun Gas Group Limited
Country / Economy China, People's Republic of
Location
Type or Modality of Assistance
Loan Ordinary capital resources USD 100.00 million Proposed
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Drivers of Change Governance and capacity development
Knowledge solutions
Partnerships
Private sector development
Sector / Subsector

Energy / Oil and gas transmission and distribution
Gender Equity and Mainstreaming Effective gender mainstreaming
Responsible ADB Department Private Sector Operations Department
Responsible ADB Division Infrastructure Finance Division 2
Responsible ADB Officer Clancy, Shane
Project Sponsor(s)
Description
Objectives and Scope The project will support a private sector company contributing to air pollution mitigation through coal-to-gas fuel switching as an augmentation to the Air Quality Improvement in the Greater Beijing-Tianjin-Hebei (BTH) Region-Henan Cleaner Fuel Switch Investment Program of the East Asia Department (EARD). The beneficial impacts of the project will support the efforts of Henan Tian Lun Gas Group Limited (HTL) to supply sustained last-mile city natural gas to underserved residential, commercial, and industrial end users across five subprojects in Qinghai, Shaanxi and Henan provinces. The project funds will support HTL extending last-mile pipeline networks to approximately 300,000 households, industrial and commercial end users displacing predominantly coal-based heating, cooking, and hot-water appliance energy consumption with a cleaner (i.e. less polluting and lower carbon footprint), uninterrupted piped natural gas alternative.
Linkage to Country/Regional Strategy The project addresses the first strategic priority of ADB's country partnership strategy for the PRC, 2021-2025, which calls for supporting environmentally sustainable development and health security through private sector solutions, including last-mile connectivity and cleaner fuels. The project is also compliant with ADB's 2021 Energy Policy, and is aligned with the PRC's Nationally Determined Contributions commitments to the United Nations Framework Convention on Climate Change.
Safeguard Categories
Environment B
Involuntary Resettlement B
Indigenous Peoples B
Summary of Environmental and Social Aspects
Environmental Aspects

The company and its subsidiaries have developed and implemented an EHS management system and procedures such as occupational health and environmental protection management, personnel protection equipment, training, gas source management, construction site safety management, high-risk work management, pipelines and ancillary facilities inspection, safety management for special equipment, handling for special maintenance situations, customer service manual, safe gas use for customers, and emergency response plans._Also, all subsidiaries have adequate management and support staff to oversee social and Environment, Health and Safety (EHS) related activities of the subprojects._Subsidiaries are required to submit monthly safety information form to HTL corporate which includes information on personnel qualifications, accidents, near-miss, user safety management and major identified EHS issues.

In compliance with the current national and local regulations, the subprojects are required to obtain a gas operation license and there is no need to prepare any environmental impact assessment nor apply for a construction license. All subprojects have already secured its respective gas operation license and project registration notice.
Involuntary Resettlement Only temporary economic displacement impacts are expected during pipeline laying. HTL will be required to develop an Environmental and Social Management System (ESMS) that will include screening procedures and resettlement planning policy in accordance with ADB SPS Safeguard Requirement 2.
Indigenous Peoples HTL will be required to incorporate into the ESMS adequate procedures to identify, assess and mitigate potential adverse project impacts on socio-cultural groups. Project activities are not expected to have significant impacts on the traditional socio-cultural beliefs and practices or livelihood systems of Indigenous Peoples. Only temporary economic displacement impacts are expected during pipeline laying. Project activities are not envisaged to result in commercial development of cultural resources and knowledge of distinct and vulnerable ethnic minority groups, displacement of such groups from their traditional land, or commercial development of any natural resources within customary land.
Stakeholder Communication, Participation, and Consultation HTL has established a grievance redress mechanism (GRM) procedure for the internal employees' grievances and developed a Customer Complaint Management Measure for the community grievances, which are applicable to each subproject. As per HTL's ESMS, the subsidiary will establish a site level GRM.
Timetable for assistance design, processing and implementation
Concept Clearance 26 Oct 2022
Credit Committee Meeting 26 Oct 2022
Approval -
Last PDS Update 21 Oct 2022

Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.

The Access to Information Policy (AIP) recognizes that transparency and accountability are essential to development effectiveness. It establishes the disclosure requirements for documents and information ADB produces or requires to be produced.

The Accountability Mechanism provides a forum where people adversely affected by ADB-assisted projects can voice and seek solutions to their problems and report alleged noncompliance of ADB's operational policies and procedures.

In preparing any country program or strategy, financing any project, or by making any designation of, or reference to, a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.

Safeguard Documents See also: Safeguards
Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.

None currently available.

Evaluation Documents See also: Independent Evaluation

None currently available.

Related Publications

None currently available.

The Access to Information Policy (AIP) establishes the disclosure requirements for documents and information ADB produces or requires to be produced in its operations to facilitate stakeholder participation in ADB's decision-making. For more information, refer to the Safeguard Policy Statement, Operations Manual F1, and Operations Manual L3.

Requests for information may also be directed to the InfoUnit.