Water Quality Protection Project - under WB-GEF Strategic Partnership for Nutrient Reduction in the Danube River and Black Sea

The Neretva River is important to the economy of BiH and the regional environment. It is the largest river draining the Adriatic karst zone and is one of the most beautiful and picturesque rivers in south eastern Europe. Its estuary, the Neretva Delta, is one of the few remaining Mediterranean wetlands. The Neretva is 225 km long, out of which 203 km is on the territory of B-H and the last 22 km on the territory of the Croatia. The Bosnia River originates in BiH and flows to Sava River into the Danube. The majority of the Bosnia from the Miljacka mouth into the Bosna into the Sava, and also of great economic importance to both countries. Urban growth and industrial, agricultural and power development have had a negative impact on the ecology of the Neretva basin, in particular the Delta wetlands. Untreated municipal wastewater from communities along the Neretva (population of the Neretva catchment area is 350, 000 out of which 115,000 is in urban areas along the River) is responsible for about a third of the Neretva and its tributaries being classified as polluted. Industrial wastewater from metal processing industries in the Mostar area, harbor operations in the Delta and intensive farming along the river banks have also contributed to the pollution. Project's aim is to improve water quality in the Neretva drainage basin and Bosnia river basin through: (a) the development of a water quality management plan to be used as a guide for future water management decisions in each basin; (b) the establishment of a Joint Bosnian/Croatian Commission with coordination from Montenegro to implement the plan; and (c) the development and implementation of high priority, low cost water capital investments in sewage treatment to accompany the IDA opeation. This project has two parts: one for $4. 35 mil GEF and another for $4.15 GEF. This one, for Mostar and the Neretva Basin, will be submitted to Council while the other part will be submitted under the Danube/Black Sea Basin Partnership Fund. Bank argues they must be kept together due to the client, the water utility. Expedited review procedures would then be waived in this case since both parts (money for one already approved in Danube/Black Sea Partnership) would go to Council. Only $4.15 in new GEF funding would be sought, though. (updated December 14, 2005)