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World Bank approves the restructuring of the Integrated Coastal Zone Management and Clean-up Project Albania

April 1, 2010

TIRANA, April 1, 2010 -- The World Bank Board of Directors approved on March 22nd the restructuring of the Integrated Coastal Zone Management and Clean-up Project (ICZMCP).  The restructuring of this project was discussed and agreed upon with the Government of Albania.

The restructured project will focus on support for critical infrastructure for improving environmental and sanitary conditions essential for long term coastal development and tourism. It reflects changes in the original economic, financial, and technical environment specific to the original design of the Project and addresses design and implementation issues raised in the Inspection Panel Investigation Report for the Project.

The revised objective of the project is to assist the Government of Albania in developing, on a sustainable basis, tourism in the South Albania coast by improving critical public environmental infrastructure and municipal services.

More specifically, the Project will continue to support investments for (i) clean-up of the hazardous waste site in Porto Romano; (ii)construction of one municipal landfill to serve the municipality of Saranda and one transfer station in Himare to support improved solid waste management; (iii) reconstruction of port facilities in Saranda to allow access of cruise liners in order to facilitate passenger access to the Southern Coast; (iv) water supply and wastewater investments in the city of Saranda; (v) community-based investments in coastal villages; and (vi) protected areas management of Butrint National Park.

The restructured project will be implemented under the direct responsibility of the Ministry of Public Works, Transport, and Telecommunications. The original total project cost was US$38.5 million. It includes US$17.5 million from International Development Association (IDA), US$ 2.23 million in Japan Policy and Human Resources Development grant co-financing, a US$3.11 million grant from the Netherlands, US$ 2.6 million grant from the Austrian Government, US$0.95 million from the Global Environment Facility (GEF), US$5.7 million from the Government of Albania, and US$1.26 million from local community contributions. Approximately 23 percent of the total project funds provided by the International Development Association (IDA) have been disbursed. A grant from the European Commission closed on June 30, 2009, with final a disbursement of US$1.8 million.

Media Contacts
In Tirana
Ana Gjokutaj
Tel : (355-42)280 655
In Washington
Michael Jones
Tel : +1-(202) 473-2588