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Jaakko Henttonen, NDEP Manager EBRD St Petersburg Brussels 15 June 2011

Northern Dimension Environmental Partnership “Who are we and with whom we work”. Jaakko Henttonen, NDEP Manager EBRD St Petersburg Brussels 15 June 2011. ► Belarus and Russia need more effective municipal wastewater treatment.

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Jaakko Henttonen, NDEP Manager EBRD St Petersburg Brussels 15 June 2011

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  1. Northern Dimension Environmental Partnership “Who are we and with whom we work” Jaakko Henttonen, NDEP ManagerEBRD St Petersburg Brussels 15 June 2011

  2. ►Belarus and Russia need more effective municipal wastewater treatment

  3. 40% of Belarus within the Baltic Sea catchment area; 7% of phosphorous load Western Dvina Vitebsk ● ● Poletsk Neman Minsk ● ● Grodno Bug ● Brest

  4. NDEP – who with who • Grants by NDEP Support Fund established by Contributors and Donors; • Loans by International Financing Institutions • Parallel grants by Bilateral partners • Counterpart funding by Public investing institutions, usually Municipal enterprises

  5. Northern Dimension Environmental Partnership (NDEP) – key points • NDEP is recognised as effective model for international cooperation based on co-financing structure by loans, grants and local funds; started 2001;extended until 2017 • NIB, EBRD, NEFCO, EIBare the Implementing Agencies of NDEP projects to provide the inevitable loans for financial packages and to prepare project concepts • NDEP delivers real projects - €117 million committed for 23 non-nuclear projects leveraging €3.5 billion in total investment. • Due to intensive project development new funds are being sought by Assembly recommendation

  6. Common issues for EU Strategy for Baltic Sea Regions and NDEP • NDEP makes a link with non-member countries • Ecological objective: Reduction of nutrient inputs into Baltic Sea from regions outside of EU • Further cooperation with Russia following adoption of the HELCOM National Implementation Plan • Development of co-financed real projects with Belarus • Ensuring adequate funds for priority actions

  7. London 2 December 2011 London • 11 May 2011 London 16 June 2011 St Petersburg

  8. NDEP: Environmental Benefits Once implemented, the current portfolio of NDEP projects will deliver the following pollution reductions to the Baltic and Barents Sea Areain tonnes per annum: • Phosphorous by 2,300 t/a HELCOM targets: Russia - 2,500 t/a, Belarus - 1,740 t/a • Nitrogen by 7,600 t/a HELCOM targets: Russia - 6,970 t/a, Belarus - 29,756 t/a • Biochemical Oxygen Demand (BOD) substance by 34,600 t/a • CO2 emissions by 318,500 t/a To achieve similar nutrient reductions in any of the Nordic countries, the investment costs would be three to five times higher.

  9. NDEP Objectives for 2011 (1) In Russia • For wastewater treatment focus on smaller municipalities following Russian National Implementation Plan for the BSAP • Projects for energy efficiency highly required and emphasized also in Russia/EU context; DH and public buildings as primary client sectors with great savings potentials • Solid waste management lacking investments; recycling, reuse and collection of landfill gases underdeveloped

  10. NDEP – objectives for 2011 (2) In Belarus • Belarus joined NDEP in 2009 with a pledge of EUR 1 million. • The NDEP contributors agreed in Dec 2010 to support projects in Belarus with EUR 6 million grant, credits involved amount to EUR 40 million • HELCOM targets for phosphorous reductions for Belarus: 1,740 t/a. NDEP projects in Vitebsk, Grodno and Brest will result in reductions of 336 t/a for P-total • Baranovich, town of 165,000 population produces 32 tonnes of P-load per year. In comparison, Stockholm Water servicing 1.2 million people produces 16 t/a • A separate envelope for contributions for Belarus will be created within the NDEP Support Fund

  11. St Petersburg Neva Program € 186.9m

  12. Kaliningrad Water and Wastewater Rehabilitation - €110m Equity Loans Grants

  13. Other benefits • Prevention of further deterioration of municipal systems and services and associated adverse environmental and social impacts • Transfer of modern project and investment planning, financing and management skills • Paradigm shift from budgetary funding to self-financing through full cost recovery

  14. For more on NDEP… Please contact: Jaakko Henttonen,NDEP Fund Director EBRD RO, Nevsky Prospekt 25, St Petersburg Tel. +7 812 7035531; Fax: +7 812 703 55 26 Email: henttonj@ebrd.com OR Ewa Manik, Fund Implementation Analyst EBRD, One Exchange Square, London EC2A 2JN Tel. +44 207 338 7196, fax +44 207 338 7486 Email: manike@ebrd.com Or visit: www.ndep.org www.ebrd.com www.nib.int www.nefco.org

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