ADB Approves $106M to Advance Green and Smart Inland Waterway Transport in Anhui, PRC

The initiative marks a significant step toward modernizing the region’s logistics infrastructure and reducing emissions in one of China’s fastest-growing industrial hubs.

The Asian Development Bank (ADB) has approved a CNY755.64 million (US$106.05 million) loan to support the development of green, smart, and climate-resilient inland river ports and clean-energy shipping in Anhui Province, People's Republic of China (PRC). The initiative marks a significant step toward modernizing the region’s logistics infrastructure and reducing emissions in one of China’s fastest-growing industrial hubs.

Under the Anhui Province Green Port and Shipping Demonstration Project, the province will transition from traditional, diesel-powered inland shipping to a modern system powered by alternative fuels, smart logistics technologies, and resilient port infrastructure capable of withstanding extreme climatic events.

The project is expected to benefit approximately 1.17 million residents, including women, vulnerable populations, and individuals with disabilities, by improving transport efficiency, reducing logistics costs for businesses, and creating new employment opportunities—particularly in technical and green transport roles.

“This project demonstrates the powerful impact of integrating low-carbon transport with smart and green port development,” said ADB Country Director for the PRC Asif Cheema. “By aligning with China’s goals for high-quality, low-carbon development and ADB’s country partnership strategy (2021–2025), this project will contribute to both national progress and global climate solutions.”

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Why the Project Matters

Anhui Province has experienced rapid industrial expansion driven in part by its thriving electric vehicle and high-tech manufacturing sectors. However, the increase in freight volume has exposed infrastructure bottlenecks, including:

• Limited port handling capacity

• Lack of modern digital systems

• Heavy reliance on diesel-powered vessels

• Vulnerability to extreme weather events such as storms, rainfall surges, and flooding

These constraints have raised transportation costs, increased greenhouse gas emissions, and weakened supply chain resilience.

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Key Components of the Project

1. Green and Climate-Resilient Port Infrastructure

• Construction of energy-efficient inland river ports

• Flood-resilient structures and drainage systems

• Smart facility automation, energy monitoring, and port digitalization solutions

2. Clean-Energy Vessels and Green Shipping Corridors

• Procurement of clean-fuel container vessels to replace diesel fleets

• Piloting low-carbon shipping routes connecting logistics and manufacturing hubs

3. Social Inclusion and Employment Opportunities

At least 15% of skilled port jobs are expected to be filled by women, supported through:

• New professional training programs

• Gender-responsive hiring policies

• Inclusive design features for workers and port users

4. Knowledge Sharing and Institutional Strengthening

The project will support:

• Policy studies on alternative fuels and electrified vessel technology

• Green port management guidelines

• Training on climate finance, port technology, and resilience planning

• Knowledge exchanges with other provinces and ADB member countries to replicate successful models

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A Model for Sustainable Inland Transport

This initiative aligns with global climate goals, including the Paris Agreement, and supports China’s broader strategy to achieve carbon neutrality before 2060. It also contributes to ADB’s commitment to scale public and private investment in sustainable transport systems across Asia.

With work planned to accelerate between 2025 and 2030, the project is expected to:

• Significantly reduce logistics-related emissions

• Strengthen supply chain efficiency

• Expand green job markets

• Promote scalable inland waterway innovation across Asia