1. Project Summary and Relationship to China's Agenda 21 This project seeks to map out a sustainable development plan at the county/city level, and to further the implementation of a demonstration project for sustainable development. A plan for capacity-building and development using a system of indicators at the county level to promote economic, social and environmentally sustainable development in Dafeng city can also provide a model for sustainable development at the county level for the rest of China. This project is based on programme areas 10B, 11E, 12B, 14F and 15A of Chinas Agenda 21, and is related to programme areas 3B, 6A, 6B, 20B and 20D.

2. Background There are over 2,300 counties in China, where the economic and social development is the basis of national development. Thus sustainable development at the county level is the prerequisite for sustainable development at the national level. However, due to lack of experience, the work of implementing a comprehensive sustainable development strategy at the county level has not been carried out. It is therefore necessary and urgent to select some representative counties to carry out comprehensive experiments of sustainable development. Dafeng city lies in the middle of Jiangsu province, bordering on the Yellow Sea and with a total area of 2,367 square kilometres, It has 90 thousand hectares of farmland, and a population of 740,000. There are 18 towns and 11 townships under its jurisdiction. Dafeng is at the initial stage of industrialisation and urbanisation. In 1995, its national income per capita reached 6,216 RMB Yuan. The ratio turnover for the primary, secondary and tertiary industries is 37%, 39% and 24%; its economic output is 19th highest in Jiangsu province, which has a leading position in China. 35% of the population is urbanised and this is increasing at a rate of about 2%. Dafeng city is rich in natural resources. It has a 109 kliometres of coastline and a tidal-flat area of 1,013 sq. kliometres. The tidal-flat area provides habitat for rare animals on the verge of extinction, such as David's deer and red-crowned cranes and for more than 200 other animal species. Dafeng city has a convenient transportation system. The airport is only 50 kliometres from the downtown area; national highway No. 204 runs across the city. A 10-thousand-ton Harbour and the Xin-Chang Railway, which passes through the area, are under construction. Many state departments have conducted experiments in Dafeng city and achieved positive results and experiences. But the city also faces some new problems that have become potential threats to carrying out the sustainable development strategy: the irrational use of natural resources such as farmland, water and the tidal-flat areas for industrial development; lack of unified planning and systematic and comprehensive quantitative measurement standards for sustainable development at the county level; insufficient infrastructure and decrease of environmental quality in the process of urbanisation; and the need for acceleration of intensive agricultural production. The selection of Dafeng city as an experimental base for carrying out sustainable development planning and demonstration in key economic areas will provide a prototype for counties whose economic and social development is at the intermediate stage, and will accelerate the process of China's sustainable development. Sustainable development experiments in Dafeng are fully supported by China's Agenda 21 for cities at the county level and is in accord with the "Ninth Five-Year Plan" and ìthe Long-range Goal of the Year 2010" of the state and local governments. Dafeng city has listed sustainable development in its "Ninth Five-Year Plan" as a key strategy. Dafeng city was identified as an ecological construction demonstration area by the State Environment Protection Bureau in 1987. The State Science and Technology Commission, State Planning Commission and the State Commission for Restructuring Economy set up Chinas first comprehensive experimental zone of ìnational social development at the county level in Dafeng city. The Food and Agriculture Organisation of the United Nations (FAO) and the Ministry of Agriculture named Dafeng city " the experimental county for sustainable rural and agricultural development" and the national experimental county for ecological agricultural" respectively. Dafeng has also conducted research on a system of indicators for social development in cities and townships at the county level, and drafted and begun to carry out items of priority in the key fields of sustainable development.

3. Objectives

3.1 Long-term objective Working out the sustainable development plan and demonstration in key areas of economic development for Dafeng; solving some of the urgent problems on population, resources, environment and development; promoting development which is economically, socially and environmentally sustainable; and providing a model for sustainable development at the county level in China.

3.2 Immediate Objectives * To map out an overall plan and an indicator system for sustainable development in Dafeng; * To carry out the capacity building for sustainable development in Dafeng; * To carry out the key areas demonstration project of sustainable development in Dafeng.

4. Outputs and Activities

4.1 Presenting an overall plan for sustainable development of Dafeng and working out an indicators system of sustainable development * To evaluate the current situation of economy, society, population and environment in Dafeng; * To study and identify the key areas of sustainable development in Dafeng city; * To work out Dafeng city Century Agenda 21 Action Plan on the basis of extensive participation of all social levels; * To perfect a sustainable development indicator system, and performing an inventory and evaluation of the sustainable development situation in Dafeng. Monitoring Indicators: Dafeng city Century 21 Agenda Action Plan, Dafeng city Sustainable Development Indicator System. Implementing Agency: Dafeng Municipal Government

Time Schedule: November 1996 - December 1998

4.2 Capacity building for sustainable development in Dafeng * To set up an organisation for co-ordination and management of sustainable development to evaluate and mobilise the necessary talents, skills, science and technology, and information; * To work out and perfect policies and systems of sustainable development; * To expand the vocational-technical education centre of Dafeng city from the present 30 classes to 60 classes; * To set up a long-distance education centre across the entire city to carry out education in science and technology, laws and regulations, and knowledge and consciousness of sustainable development. Monitoring indicators: set up Dafeng city Agenda 21 Administration Office; design and implement ìDafeng city Standard of Changes for Resource Utilisation", ìDafeng city Household Registration Management Reform Plan", and ìDafeng city Industrial Structure Adjustment Plan"; 98% of middle school graduates (both senior and junior middle school) have more than two years vocational-technical training; and peoples awareness and ability to participate in sustainable development are strengthened. Implementing Agency: Dafeng Municipal Government.

Time Schedule: November 1996 - December 1998

4.3 High-efficiency agriculture demonstration projects * To expand the pollution-free fruit and vegetable production base from the present 3,300 ha. to 6,600 ha. and to carry out hot-bed construction and research on IPM and pollution-free cultivating technology; * To expand the water-saving and pollution-free high quality rice production base from the present 3,000 ha. to 6,600 ha., carry out river system construction and research on the selection and cultivation of improved breeds and comprehensive, pollution-free treatment and control of paddy rice; * To expand the Spirulina production base from the present 20,000 sq. meters to 120,000 sq. meters and construction of a 100,000 sq. meters concrete cultivation pool; * To expand the Dongsha shoal shellfish protection and cultivation base from the present 2,000 ha. to 13,200 ha.. Monitoring Indicators: produce each year 80 thousand tons of pollution-free fruits, 300 thousand tons of pollution-free vegetables, 30 thousand tons of pollution-free high quality rice, 150 tons of standard Spirulina powder and 150 thousand tons of shellfish products. Implementing Agency: Dafeng Municipal Government Time Schedule: November 1996 - December 1998

4.4 Sustainable utilisation of tidal flat resources and biodiversity conservation * To expand the tidal flat Davids deer park from 1,000 ha. to 6,600 ha., to increase the amount of infrastructure and performing research on animal protection; * To expand the tidal flat forest from 4,000 ha. to 13,200 ha., to plant Italian poplar and setting up a middle density fibreboard factory with an annual production of 15 thousand cubic meters, and to use the tree branches as raw material; * Tidal flat micao grass ecocycle project. To expand the tidal flat micao grass area from 3,300 ha. to 13,200 ha., to increase the annual production of the natural beverage factory which uses micao grass as raw material from 20 tons to 100 tons. The production waste can be used as the feed for the 10 thousand head pig-raising farm and the dung of the pigs is returned to the grassland; * To use the present 2,000 ha. shrimp pool to cultivate disease-resistant South American white shrimps and to carry out research on large-area breeding. Monitoring Indicators: the number of Davidís deer increases to above 600, red-headed crane in the core protection area above 500 and more than 20 other kinds of wild animals are well protected. Produce 15 thousand cubic meters of middle density fibreboard each year; plant 13,200 ha. rice-grass; and produce 50 thousand tons of South American white shrimps each year. Implementing Agency: Dafeng Municipal Government Time Schedule: January 1997 - December 2000 4.5 Demonstration projects for clean production * To formulate the development plan and regulation for the 5.85 km2 Dafeng Eco-industrial Garden; * To expand the production of low-noise vortex compression engines; * To import advanced warm and cold forging equipment and technology from abroad to produce car equiangular universal-joint precision forging parts; * To treat the wastewater of Dafeng Brewery. Monitoring Indicators: Development Plan for Dafeng Eco-Industrial Garden; 50,000 units of low-noise vortex compressors annually; 18,000 tons of cold forging parts each year; and zero-discharge from Dafeng Brewery. Implementing Agency: Dafeng Municipal Government Time Schedule: November 1996 - December 1998 4.6 Key projects of the cityís infrastructure * To construct partial harbour wharves and a 5 km sea embankment and to build two 5,000 tons break-bulk berths; * To carry out a feasibility study on an energy efficient, low pollution, co-generation 2 x 300 MW coal-fired power plant on the seaside; * To import advanced equipment and technology and to establish a groundwater works in the urban area with a daily capacity of 50,000 m3, including 15 km main pipes of more than 75 cm and 5 km main pipes of less than 75 cm; * Import advanced equipment and technology and establish a sewage treatment plant with a capacity of 100 thousand m3/d, including two primary stage and ten secondary stage sewage pumping stations, and 40 km sewage discharge main pipes of more than 90 cm. Monitoring Indicators: two 5000-ton harbour wharves; the design documents for a 2 x 300 MW power plant; a water works with a daily production of 50 thousand cubic meters of water and a sewage treatment plant with a daily treatment capability of 100 thousand cubic meters. Implementing Agency: Dafeng Municipal Government Time Schedule: November 1996 - December 2000

5. Inputs

5.1 Chinese inputs Chinese input will be used for domestic experts and other personnel, travel expenses, office equipment, research results and information, demonstration projects, supporting facilities and operating expenses.

5.2 International Inputs International input will be used for recruiting domestic and overseas experts, co-operative research, introduction of technology and equipment and foreign investment in demonstration projects.

5.3 Budget The total capital needed for this project is US$ 128.2 million. The Chinese side will raise US$ 73.5 million from domestic sources; foreign input will cover the other US$ 54.7 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 Upon completion of this project a sustainable development plan for Dafeng city will be formulated, the sustainable development capability will be increased and a group of sustainable development demonstration projects will be set up. The city will take on new characteristics of economic prosperity, healthful environment, balanced ecology and social progress. It will become a model of sustainable development for areas of the same type and will promote the development of those areas, thereby accelerating the process of Chinas sustainable development.

7. Risks As this project is exploratory in nature there is no pattern to follow, which causes certain difficulties for the implementation. But foreign experience and lessons, theory and practice can be used as a frame of reference. Another unfavourable factor is that international assistance or co-operation funds are not in place as expected. In order to ensure the overall implementation, we will try our best to seek international co-operation and the participation of domestic experts to develop a county area sustainable development pattern with local characteristics, using foreign experience as point of reference.

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