1. Project Summary and Relationship to China's Agenda 21 This project seeks to adjust city Overall Planning Strategy of Wujin city of Jiangsu province to construct the basic infrastructure and improve public services. It plans to optimise the industrial structure and to strengthen the administration of the city. It aims at building up a modern green city guided by high and new technologies with the tertiary industry as a leading sector. Efforts will be concentrated in building up green tourism and to improve the living conditions and environment in the city. It will become a model for the planning and construction of small and medium-sized cities in China. This project is based on the programme areas of 4B, 6C, 10A, 10B and 12A of China's Agenda 21, and is related to the programme areas of 7C, 10C, 10D, 12B and 19C.

2. Background Wujin city is located in the Yangtze River Delta Economic Development Zone and is in the junction of the river and the coast line. It is in the middle of Shanghai, one of the major metropolises of China, and Nanjing, the capital of Jiangsu province. It is also situated within the State Torch Zone of high technology in Suzhou, Wuxi and Changzhou. Wujin has several important transportation networks within the city, including the Yangtze River, Grand Canal, Shanghai-Nanjing Railway, Xinchang Railway, Shanghai-Nanjing Express Way and State Highways No. 312 and 104. In addition, the cityís Changzhou Airport has flights to several dozens of cities in China. Wujin has a total area of 1,583 square kilometres and a population of 1.22 million. In 1995, its GDP reached RMB 17.4 billion at 1990 price and received RMB 750 million tax income. It is among the top ten cities/counties with strong and comprehensive economy. Wujin has been in the urban area of Changzhou city throughout its history. It was approved by Jiangsu Provincial Government to build a new county town in 1994 and was approved for city status in 1995 by the State Council. In development of the new city, Wujin faces sustainable questions in Overall Planning Strategy including: demolishing natural villages and relocating peasants in the planned urban area, orderly movement and employment of rural labours, improvement of municipal administrative ability, completing infrastructure and public facilities, and adjustment of the industrial structure in the urban area. It needs support from the relevant authorities in order to obtain advanced technology, experience and capital through international cooperation. It is a vital strategy for China's urbanisation for the 21st century to develop small- and medium-sized cities vigorously. Two years ago, the establishment of the new urban area of Wujin city was among the priority programs from China's Agenda 21 as a demonstration project for the planning and construction of cities of medium-sized town. The development was recently listed in the Ninth Five-Year Plan for Economic and Social Development and Long-term Targets for the Year 2010 of Jiangsu province and Wujin city. Furthermore, it has been regarded as one of the three priorities for Wujinís future development. The development will speed up the construction of basic infrastructures and catalyse the economic development in the region. A total of RMB 500 million has been invested in the construction of the new urban areas since it was started two years ago. The investment was used to build basic infrastructure including main roads, underground pipelines, program-controlled telephone switchboards, power transforming station, water supply and TV broadcasting stations. It has obtained support and cooperation from international organisations and foreign governments: the Italian Government has provided technology and a loans for Wujin city to provide 200,000 cubic meters/day of gas; the Dutch Government has supplied technology and loan for a sewage treatment plant of 80,000 ton/day; the French Government is considering providine technology and loan for construction of water supply facilities using water from the Yangtze River, which provides the city with 200,000 tons of water per day and the Danish Government is co-operating with the city in the Green Wujin Project. Wujinís managers and technical staff have accumulated experience from this cooperation. This will provide a solid foundation for future cooperation.

3. Objectives

3.1 Long-term Objective To develop Wujin into a modern green city with comprehensive infrastructures and public facilities. It also plans to make appropriate adjustments in the development of population, resources, environment, economy and society. The project aims to optimise the industrial structure and improve the living conditions in the area.

3.2 Immediate Objectives * To complete a sustainable overall planning strategy for the city, to establish a municipal administrative network and to improve the administrative skills of the officials; * To complete infrastructure and public facilities of the new city, to set up a comprehensive service network and to establish self-sufficient communities; * To optimise the industrial structure. This will need the development of high technology industries and tourism resources. The project plans to increase the employment rate and urbanise the rural areas.

4. Outputs and Activities

4.1 Strengthening the administrative skills of the officials and the modernisation of the municipal administration * To establish a training center for sustainable development to carry out continuous education for administrative staff, especially the planning staff of the city. The training will ensure that the cities development is a sustainable one; * To invite domestic and foreign planning experts to evaluate the overall planning strategy. This will allow local officials to learn advanced administrative methods and revise the overall planning strategy; * To establish a database on the cityís population, economy, environment and society. Monitoring Indicators: overall planning strategy of the city; data and image systems of municipal management, training of over 50 senior municipal administrative personnel. Implementing Agency: Wujin Committee for Urban Administration

Time Schedule: June 1996 - December 1998

4.2 Completion of the cityís infrastructure and formation of a comprehensive public service system * To complete water supply facilities that draw 200,000 tons/day of water from the Yangtze River; * To complete a sewage treatment plant with a capacity of 80,000 tons/day; * To complete gas supply facilities that provide 200,000 cubic meters/day of gas using light oil; * To complete a garbage treatment station that will process 60 tons/day of garbage. Monitoring Indicators: 100% running water in urban area with quality up to the state standard of drinkable water, 100% concentrated treatment of sewage with outlet quality up to the state standard; 100% pipeline supply of city gas; 100% concentrated treatment of garbage. Implementing Agencies: Wujin Committee for Urban Administration, Wujin Committee of Construction, Wujin Water Supply Company

Time Schedule: January 1997 - December 2000

4.3 Planning and constructing of self-sufficient new communities according to the need of urbanisation. * To plan for establishing new communities in the 330 natural villages within the urban planning area; * To make policies that encourage peasants, villages, real-estate developers and foreign companies to participate in the construction of new communities; * To prepare the residents of the new communities for their new jobs and their new homes; * To establish and improve the pension scheme in the new communities. Monitoring Indicators: 50,000 personís settlement in self-sufficient new communities with 35% green land. Implementing Agency: Wujin Committee for Urban Administration

Time Schedule: January 1997 - December 2000

4.4 Optimisation of the industrial structure and catalyse the economic development of the city * To complete a high technology industrial park that concentrates on developing an information system, electric appliances, new energy, new materials and energy conservation technology; * To protect the Yimcheng, which is the best-preserved fortress in China with 2,800 years of history; * To develop the Gehu Lake, which is the second largest fresh-water lake in Jiangsu province. The project plans to build resorts with a water world and an underwater city. These resorts will develop tourism in the area, which would be the tertiary industry in the city. Monitoring Indicators: Industrial park that will bring RMB 1.2 billion GDP, which is composed of 70% of high technology industry. Establishment of 2 square kilometres of a tourist area. Implementing Agency: Wujin Committee for Urban Administration

Time Schedule: January 1997 - December 2000

5. Inputs

5.1 Chinese Inputs The inputs will be used to purchase equipment and land for building and construction. Local funds will comprise the major part of the Chinese inputs - the municipal government will raise funds. Efforts will be made to gain loans from the national authorities and loans from local banks.

5.2 International Inputs The inputs will be used to purchase advanced technology and equipment from abroad. The major source of the contribution is from direct foreign investment in the form of joint ventures. Foreign grants will be used in technical consultancy and personnel training of the project.

5.3 Budget The total capital needed for this project is US$ 116 million. The Chinese side will raise US$ 50.4 million from domestic resources, while foreign aid and investment will cover the other 65.5 million.

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Table 1. Budget by Item (in million US dollars)

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Table 2. Budget by Output (in million US dollars)

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6. Benefits Wujin will have developed 26 square kilometres of a new urban area by the year 2010. It will be a political, economical and cultural center with accessible transportation networks and modern infrastructure. 50,000 peasants will be relocated to the new urban area with new job opportunities. The new center will provide the 220,000 residents with a comfortable, tidy, clean, convenient and safe environment. The residents' living conditions will be improved remarkably. Rational adjustment of the cityís role in the surrounding area and an optimised industrial structure will accelerate its economic development. The total GDP of the urban area will reach RMB 3 billion by 2010 with an annual increase rate of 16%. The tertiary industry will produce 1.1 billion, accounting for 40% of the total GDP. The High Technology Industrial Park will increase trade and optimise the industrial structure. The project will train many technical and managerial personnel with understanding of sustainable development.

7. Risks Shortage of funds, ineptitude of the municipal administrative staff, lack of experience and the peasants' reluctance to relocate will affect the implementation of the project. These difficulties can be overcome through opening to the outside world, promoting foreign investment vigorously, enhancing training and education of administrative personnel and residents, making favourable policies and regulations, and speeding up economic development.

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