The Project consisted of three components: (i) Component A: the construction of Jiangxi provincial natural gas transmission system and its supporting facilities to supply the natural gas from the national pipelines to the distribution companies; (ii) Component B: the development of facilities for improving gas management system in the Province, including, Component B1 urban gas distribution infrastructure development and Component B2, emergency storage and peak demand management; and (iii) Component C: project management and capacity building to support construction supervision, studies, training, project preparation, and other project related costs. At completion, all the three components were successfully commissioned. As a result of the Project, Jiangxi’s intra-provincial gas transmission network expanded from 1,192.27 to 3,176.61 kilometers, increasing piped gas access from 55% to 100% of counties. The expansion brought about 0.69 billion cubic meters to previously underserved counties in 2024, contributing to a substantial avoidance of harmful emissions.

The objective of the Project was, through expanding the provision of natural gas as a clean, efficient and convenient energy source, to promote sustainable economic development of Jiangxi Province with improved environmental footprints and to improve the local residents’ quality of living with improved conditions of urban environment. In addition to achieving significant reduction of harmful emissions (CO2, NOx, SO2, solid particulates), the Project has managed to build the Province’s capacity for developing and managing the natural gas supply system. The proposed NDB loan through the modality of Project Loan was used by the Government of the People’s Republic of China for on-lending to the People’s Government of Jiangxi Province for development of the natural gas transmission system in Jiangxi.

The Project was implemented over 6 years. Jiangxi Provincial Natural Gas Group Co., Ltd was the Project Implementation Agency. Contractors for the Project were selected through a competitive and transparent bidding process.

The Project has contributed to (i) significant reduction of harmful emissions (CO2, NOx, SO2, solid particulates) in Jiangxi Province; (ii) enhanced living quality of the local residents from improved conditions of urban environment; (iii) greener energy mix of Jiangxi Province; (iv) filling the gap for the energy supply shortage; (v) promoting sustainable economic development of Jiangxi Province. The Project is categorized as Category “A” in accordance with the NDB Environmental and Social Framework as well as China’s environmental impact assessment regulations, due to environmental and social impacts including resettlement of local residents, local ecology effects, and vibration/dust impacts on nearby communities. NDB has monitored the Project closely and engaged with the Project Implementation Agency during implementation. Considering the potential community safety risk of facilities failure, gas leaks and possible explosions during the operation stage, mitigation measures were in place to address the concerned impacts and the risks. These impacts were also mitigated by adherence to requirements of E&S country system.

The total cost of the Project at completion amounted to around USD 1,116 million. The costs were financed by the NDB loan of USD 254 million and the remaining amount by Jiangxi Provincial Natural Gas Group Co., Ltd and domestic banks.