Projects in the following places are likely to use the proceeds from IFC loan package:

1) Laibin, Guangxi Zhuang Autonomous Region, China

2) Beiliu, Guangxi Zhuang Autonomous Region, China

3) Dongguan, Guangdong Province, China

4) Lufeng, Guangdong Province, China

5) Xinyi, Guangdong Province, China

6) Maoming, Guangdong Province, China

7) Xuwen, Guangdong Province,

8) Xinfeng, Jiangxi Province, China

9) Jianyang, Sichuan Province, China

1) Address waste disposal issues and associated negative environmental externalities while increasing the use of renewable energy.

2) Support private player in the waste-to-energy sector and help promote competition in a market that remains dominated by state-owned enterprises.

3) Support frontier region development, including Guangxi, Jiangxi, and Sichuan Provinces.

1) Long-term partnership: continuing support of an existing client by providing access to financing and on-going expertise in the sector.

2) Resource mobilization: mobilization from international lenders.

This is a Category B project in accordance with IFC's Policy on Social and Environmental Sustainability because it will create a limited number of specific environmental and social impacts that can be minimized, avoided or mitigated by adhering to generally recognized performance standards, guidelines, or design criteria. The WtE facilities owned and/or operated by Canvest, and those currently in development have a limited footprint, use contemporary technology that meets performance standards established by the European Union (Directive 2010/75/EU and relevant Annexes/Amendments), and applicable WBG guidelines for incineration of MSW, to significantly improve on emissions performance of existing WtE facilities that are being upgraded by Canvest.

Key E&S issues associated with this investment include: the company's environmental and social management capacity; monitoring and performance of environmental, health and safety and social management systems; specifications and operating procedures for WtE facilities, including emission control equipment, performance and operational standards, and alignment with internationally recognized practices for the sector. Community acceptance of waste to energy facilities has been a contentious issue at some locations in China, making community engagement a key E&S risk that needs to be adequately managed by the company through the life of the project.