Greener Transport Connectivity for the Six Eastern Partnership Countries

Project Summary:

The objective of this grant is to promote green investment in transport connectivity and support the SIC countries in the Eastern Partnership to develop a green connectivity advantage that delivers improved outcomes on energy efficiency and transport sustainability.  

Six countries in the Southern Caucasus and Eastern Europe including Armenia, Azerbaijan, Belarus, Georgia, Moldova and Ukraine, are engaged in a joint initiative to improve connectivity, and to promote transport and infrastructure connections and increased mobility of passengers and goods. Recent increases in commodity prices and fluctuations in energy prices have further revealed the technological and structural weakness of these economies’ transport and connectivity systems, presenting an important opportunity for green freight and passenger transport. This KGGTF grant will support the development of an assessment model across the six countries, as well as an impact assessment of a number of green connectivity measures, the preparation of a user-friendly assessment tool, and the consideration of innovative financial instruments to implement those measures. Transforming the current system into a low-carbon, more energy-efficient and eco-friendly one will generate more opportunities for green growth and ultimately promote sustainable economic growth and development. 

List of Activities:

1. Connectivity and green impact assessment model (innovative multi country tool) - Strengthening Planning Capacity
2. Assessment of key policy measures to enhance connectivity, promote green transport and contribute to the NDCs’ using multi-country tool - Change in government expenditure or investments
3. User-friendly tool to simulate and visualize green transport measures - Development in Client governments policy, Development in WB strategy 
4. Innovative financial solution for implementation of green transport projects and policies - Mobilization of Development Partners’ resources 

Outcomes:

Output 1:

• A comprehensive multimodal assessment model including data on all transport modes and mechanisms of modal split and related externalities

Output 2:

• An assessment of specific measures in terms of their impact in improving connectivity, reducing GHG emissions and contributing to the NDC’s, as well as a set of policy recommendations for their implementation at the EaP level

Output 3:

• A visual tool designed to inform policy makers on the benefits of green connectivity measures

Output 4:

• A set of guidelines and recommendations on the design and implementation of green growth financing instruments

Outcomes:

• Improved efficiency:  The grant will assess the impact of a number of policy measures on the efficiency of the regional transport system and support the prioritization of green connectivity measures to promote modal shift towards greener modes to ensure efficient and sustainable regional transport system.
• Greater resilience: The policy measures and projects will focus on the long-term sustainability of investments though the promotion of policy measures and projects directly related to more resilient modes of transport.
• Increased competitiveness: The activity aims to achieve increased competitiveness, through better connectivity and access to alternative efficient logistic corridors. Better connectivity to Europe and Asia will enable economic development and integration in the European and global markets.

Collaboration with K-Partners and Others:

• Ministry of Land, Infrastructure and Transport (MOLIT)
• Korean Transport Institute (KOTI)
• European Investment Bank (EIB)
• European Bank for Reconstruction and Development (EBRD)
• Asian Development Bank (ADB)