ALBANIA
Intergrated Water & EcoSystems Management GEF
GEF Project Brief
Europe and Central Asia Region
ECSIE
Date: March 28, 2003
Team Leader:
Andreas Rohde
Sector Manager:
Motoo Konishi
Sector(s):
General water, sanitation and flood protection
Country Director:
Orsalia Kalantzopoulos
sector (100%)
Project ID:
P075156
Theme(s):
Biodiversity (P), Pollution management and
Focal Area:
M
environmental health (P), Other environment and natural
resources management (S)
Project Financing Data
[ ] Loan
[ ] Credit
[X] Grant
[ ] Guarantee
[ ] Other:
For Loans/Credits/Others:
Amount (US$m):
Financing Plan (US$m):
Source
Local
Foreign
Total
BORROWER/RECIPIENT
0.72
0.00
0.72
EC: EUROPEAN INVESTMENT BANK
0.00
6.64
6.64
GLOBAL ENVIRONMENT FACILITY
0.00
4.87
4.87
Total:
0.72
11.51
12.23
Borrower/Recipient:
GOV'T. OF ALBANIA
Responsible agency:
PIU
World Bank Water PIU
Address:
Rr. "Bajram Tusha", Lagja Nr 14, Durres, Albania
Contact Person:
Mr. Genci Gjeci, Director
Tel:
355 52 64184
Fax: 355 52 64184
Email: ggjeci@yahoo.de
Estimated Disbursements ( Bank FY/US$m):
FY
Annual
Cumulative
Project implementation period:
5 years
Expected effectiveness date:
Expected closing date:
OPCS PAD Form: Rev. March, 2000
GEF Project Brief (PAD)

A. Project Development Objective
1. Project development objective: (see Annex 1)
The main objective of the project is to assist the Government of Albania in improving the management of
uncontrolled wastewater discharging into international waters which is threatening the global significant
ecosystems along the coastline of Albania. The project will contribute to increase global environmental
benefits by: (i) reducing sewage pollution loads generated by urban settlement areas of the three coastal
cities Durres, Lezha and Saranda and (ii) promoting and improving the management of the tidal
Kune-Vain marshland (near Lezha).
The global environmental objective is to improve the health and habitat conditions of globally significant
marine and coastal ecosystems along the coastline of Albania in an integrated manner by significantly
reducing pollution from uncontrolled municipal wastewater generated by urban settlements of the three
coastal cities of Durres, Lezha and Saranda that are discharging into international waters and improving
the management of the tidal marshland of Kune Vain (near Lezha).
The objectives would be achieved through: (i) reduction of sewage pollution loads through the
development and establishment of low cost water treatment technologies (Constructed Treatment
Wetlands) producing environmental incremental benefits; (ii) promoting the establishment and improve
the management of the Kune-Vain protected marshland; (iii) develop a scheme for dissemination and
replication of project achievements.
2. Key performance indicators: (see Annex 1)
Progress towards the project objective will be measured by the following key performance indicators:
Reduction of pollution and improvement of the environmental conditions in the participating areas.
The effect on the significant ecosystem will be measured through the following ecological indicators:
(i) nutrient (Nitrogen/Phosphorus) removal, i.e., percentage reduction in nutrient loads in water
inflow and outflow; (ii) BOD
5 removal ratio in water inflow and outflow.
Increased number and size of endangered species population in the participating coastal areas and the
Kune-Vain marshland.
Implementation of a basic monitoring system of the coastal areas.
Preparation and implementation of an effective Management Plan for Kune-Vain natural reserve.
B. Strategic Context
1. Sector-related Country Assistance Strategy (CAS) goal supported by the project: (see Annex 1)
Document number:
24189-ALB Date of latest CAS discussion: July 31, 1998
The project is included in the CAS of 2002 that emphasized poverty alleviation and social cohesion as
the underlying conditions to assure sustainable development in Albania within a stable Southeast
European Region. Ensuring environmental sustainability and sustainable management of natural
resources are one of the main objectives of Albania's National Strategy for Social and Economic
Development (NSSED) that is the foundation for the new CAS.
The main emphasis of the on-going CAS consultation is on accelerating poverty alleviation in connection
with economic growth, improving governance, building capacity in the institutions, and improving
natural resource management. In promoting effective natural resource management, the projects supports
the NSSED and CAS goals. Also, in line with the decentralization strategy in the NSSED and CAS, this
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project will promote environment management at the local level by setting up transparent and inclusive
mechanisms at the municipality and community level for decision-making, implementation and
management of natural resources.
Also, the government is making an effort to highlight environmental-poverty linkages in the NSSED,
which emphasizes the need to reverse environmental degradation, rehabilitate heavily polluted areas that
jeopardize health, and ensure the sustainable use of natural resources. The National Environmental
Agency was upgraded in August 2002 to a Ministry of Environment, and an updated National
Environmental Action Plan was approved by the government in January 2002. Within this context, there
is an opportunity to strengthen the government's regulatory capacity, help the government demonstrate its
commitment to the environment through visible actions, and further increase public environmental
awareness.
1a. Global Operational strategy/Program objective addressed by the project:
The project is fully consistent with the Global Environment Facility (GEF) Operational Program No.12
(Integrated Ecosystem Management) with linkages to the Operational Programs No.2 (Coastal, Marine,
and Freshwater Ecosystems); No.9 (Integrated Land and Water Multiple Focal Area); and No.10
(Contaminated-Based).
In particular, the project entails:
abating pollution to international waters;
conserving and promoting biodiversity in coastal and marine ecosystems;
helping to protect and increase the habitat for endangered water birds, halophyte plants and other
species of coastal marshes;
restoring and preventing destruction of tidal marshland that are currently polluted at unsustainable
levels by untreated sewage;
avoiding difficult and costly restoration of tidal marshland in the future.
The coastal marshlands of Albania constitute one of the more important ecosystems of the Region, as
stated in GEF project "Conservation of Wetland and Coastal Ecosystems in the Mediterranean Region".
In particular endangered and endemic species as the Pygmy cormorant (Phalacrocorax pygmaeus), the
Mouse-ear bat (Myotis miotis) and the Otter (Lutra lutra) live in these habitats and should be considered
as flag species.
Water pollution which is caused by the inflow of untreated sewage is the main threat to these ecosystems.
The impact of the eutrophication on the marine communities (plankton, benthos, fish) relationships is not
monitored in Albania to the same level of detail as on the wetland communities. However it has been
pointed out that the coastal water pollution, particularly untreated waste waters, heavily affects Posidonia
oceanica meadows and the related communities (e.g. the endangered species Pinna nobilis, see Annex 3).
Regional GEF projects have focused part of their activities on the conservation of biodiversity of
Albanian wetlands and lagoons as the project Conservation of Wetland and Coastal Ecosystems in the
Mediterranean Region Project (UNDP) and the Lake Ohrid Conservation Project. Taking into
consideration the international relevance of these habitats, other GEF projects have been planned on
other Albanian wetlands as on the lake Prespa, and on the Karavasta lagoon. Very few activities have
been planned for the Albanian marine habitats. This is probably because of the scarcity of data and
information on these areas, although it is known that these habitats are inhabited by many live
endangered species (e.g. Monk Seal (Monachus Monachus) and Sea Turtle (Caretta Caretta)). Because
- 3 -

of the urgency of the situation from the environmental and health point of view, this project is focusing
on the planning of constructed wetlands for wastewater treatment to reduce the water pollution and
health risks and on wildlife management measures supporting the biological diversity of the following
wetlands/marine areas:
(i)
Kune-Vain Marshl
and and Coastal Area, Kanella Lake
(ii)
Durres Porta Romana and Rrushkull marine environment;
(iii)
Saranda bay and Ksamili bay;
All these areas are components of the network of Albanian Protected Areas, described in the document
"Biodiversity Strategy and Action Plan (BSAP)", approved by Government of Albania in the year 2000.
Although the project is presented in a separate path it has to be seen as an integral part of the recently
approved Municipal Water and Wastewater Project (MWWP).
The development objective of the
MWWP is to improve water supply and sanitation services through the introduction of a new incentive
based multi-city management contract designed to achieve financial viability in the participating water
utilities. The MWWP targets the same cities as this project with the addition of the city of Fier. The
private operator introduced under the MWWP will be responsible for the sustainable operation of the
proposed constructed treatment wetlands.
2. Main sector issues and Government strategy:
2.1 Background
The Albanian coastal region contains two geographic entities: the Adriatic and the Ionian Sea coastal
areas. The total length of coastline is about 429 km and the national waters confined to territorial waters
of 12 miles width. The continental shelf lies entirely within the exclusive zone. The shelf is wider in the
north (Adriatic sea), up to 25 miles across, and narrower in the south (Ionian sea), 2-3 miles width.
Beyond 25 miles, sea depth exceeds 1000 m in the international channel.
Wind patterns are variable in the coastal plain. In winter, the most frequent one blows from the Southeast
and in the summer season, the prevailing wind blows from the north-western direction. There are three
types of rather weak currents in the Adriatic sea: continuous currents, tidal currents, and wind-driven
currents. Strong winds persisting for a couple of days may create temporary currents running in the
opposite direction to steady and tidal currents.
The Adriatic coastal area (the northern part of the Albanian coast) is generally characterised by coastal
lowlands (alluvial plains) intersected by rivers, and flanked by hills along its upland boundary. The coast
is made of long sandy beaches, deltaic river mouths and lagoons. The coastal waters are shallow,
receiving water from the rivers and several drainage canals. At sea, the water depth increases slowly,
with first a sandy bottom with the associated biocenosis which becomes muddy with increasing depth.
On the sandy or muddy bottoms, the marine flora is scarce or occupies specific areas where currents or
waves have less action. The extensive seagrass beds of Posidonia oceanica are an important part of the
Albanian marine ecosystem, often occupying a considerable part of the littoral zone. Posidonia oceanica
and very well developed marine communities are found along Porto Romano bay and Shengjini bay
(adjacent to the Kune-Vain marshland). The underwater rocky bottoms at Rodoni and Lagji Capes
(Durres), and the eastern side of Vlora bay host patches of Posidonia oceanica.
- 4 -

2.2 Main Sector Issues
Water pollution is mainly generated by an increasing population concentrated along the Adriatic
coastline. It has caused considerable deterioration of the natural inland ecosystems and the biological
productivity of the coastal areas of Albania. This in turn is a serious threat to the biological diversity and
productivity of the natural habitats of the coastal wetlands, rivers and sea, as well as a potential risk to
public health. Indeed, in all towns sewage waters are discharged without any treatment, directly into
rivers or drainage canals, that in turn convey the untreated sewage directly into tidal marshlands or to the
nearby marine coastal zone.
The Government of Albania is facing one of the most challenging tasks in comprehensive water
management, dealing with water quality and ecological issues in estuaries and coastal waters and
therefore has decided to give particular priority to addressing the issues of wastewater management in
three coastal cities of Durres, Lezha and Saranda, and to improving the management of important natural
reserves, in order to protect the habitats of endangered species along the coastline of Albania.
2.3 Government Strategy
The Government of Albania recently endorsed the updating of the National Environmental Action Plan
(NEAP). The general objectives of the overall updating of the NEAP are aimed at identifying key
environmental problems, setting priorities and helping to develop a comprehensive national
environmental policy on the basis of a participatory approach.
The key environmental issues identified by the NEAP are:
surface water contamination, due to the lack of proper wastewater treatment and discharges of
untreated industrial and domestic wastewater;
loss of biodiversity caused by lack of proper management of natural resources (parks, forests,
protected areas, coastal resources, etc.);
soil erosion in terraced hillsides and in grazing areas, as well as deforestation due to uncontrolled
cutting of trees for heating supplies;
emissions of toxic gases and particulate from power plants and industrial facilities
In order to develop an environmental management policy it was recognized that the following areas of
intervention are key for the Government of Albania:
restructuring economic incentives to encourage and improved, efficient resource utilization;
preparing environmental legislation, including general and specific laws, and regulations on the
protection of the environment;
institutional strengthening of the Albanian environmental authorities and line ministries and
institutions, both at central and local level;
developing strategies to reduce the adverse effects of soil erosion and deforestation;
developing strategies to improve water management and reduce water pollution problems;
developing strategies to improve coastal zone and natural resource management;
developing strategies for the dissemination of environmental information to increase public
awareness.
Within this overall framework the Ministry of Environment has identified priority actions that can
significantly and rapidly contribute to the protection of the environment and control of impacts.
- 5 -

Specifically the measures will be aimed at: (i) developing institutional and regulatory framework in line
with work already progressing on institutional and legislative framework; (ii) strengthening the
institutions responsible for the environment; (iii) evaluating and identifying economic instruments to be
implemented in the field of environmental protection and impact mitigation;
(iv) assessing and
mitigating pollution at severe environmental hot spots; (v) developing demonstration projects on
mitigation of of soil pollution from chemicals and on natural resources management against
deforestation; and (vi) developing proposed public awareness actions, at both central and local level.
3. Sector issues to be addressed by the project and strategic choices:
The Integrated Water and Ecosystem Management Project will extend and deepen the ongoing
Government actions in the environmental sector.
The key strategic choices made during project
preparation were to:
Link the project with the currently ongoing Bank financed Municipal Water and Wastewater Project.
The project will provide the water utilities of three of the cities targeted by the MWWP with low cost
wastewater treatment facilities.
The private operator recruited under the MWWP will be
instrumental to develop capacity in the water utilities to use this environmental friendly wastewater
treatment technology. It is expected that this will contribute to the introduction of environmentally
sustainable wastewater treatment technology in other cities in the region. Furthermore, in order to
guarantee continuity between the two projects and optimization of resources a common PIU has been
established.
Address environmental issues in water sector reform by integrating close-to-nature wastewater
treatment options with management and monitoring of areas with globally important biodiversity. In
the present economic situation with an underdeveloped civil society, lacking a politically active and
environmental conscious elite to actively steer the country toward an environmentally conscious
development, it is unlikely that nature conservation will be sufficiently promoted in the near future.
Therefore it is important that present and future coastal zones and wetland conservation programs in
parallel with sanitation measures lay the ground for decentralized and financially self sufficient
management units with a strong involvement of local civil society. In this context, the project will
explore the possibility of introducing an innovative management scheme for Albanian wetlands by
building upon previous studies such as the EU PHARE financed Karavasta Lagoon ­ Wetland
Management Project. If successfully implemented, this should provide a model, which can be
adapted to particular requirements of other Albanian wetlands and sanitation needs.
Address broad environment sector reform issues by including a component for TA to improve the
management of natural Reserves. This in turn will develop opportunities for promoting protected
areas management and sustainable use of natural resources that is politically and financially justified
and socially sustainable.
Build national, regional and local capacity in assisting the Government in meeting its international
obligations on transboundary pollution and biodiversity conservation.
C. Project Description Summary
1. Project components (see Annex 2 for a detailed description and Annex 3 for a detailed cost
breakdown):
The project will assist the Government of Albania to: (i) reduce sewage pollution loads generated by the
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three coastal cities of Durres, Lezha and Saranda through the development and establishment of
environmentally-beneficial low cost wastewater treatment technologies; (ii) improve environmental
management and monitoring; (iii) promote nutrient reduction investments in other parts of Albania and
neighboring countries; and (iv) Project Management
Indicative
Bank
% of
GEF
% of
Component
Costs
% of
financing
Bank
financing
GEF
(US$M)
Total
(US$M)
financing
(US$M)
financing
1. Sewage Pollution Reduction
10.74
87.8
0.00
0.0
4.38
89.9
2. Environmental Management and Monitoring
1.20
9.8
0.00
0.0
0.20
4.1
3. Public Awareness and Replication
0.20
1.6
0.00
0.0
0.20
4.1
4. Project Management, Monitoring&Evaluation
0.09
0.7
0.00
0.0
0.09
1.8
Total Project Costs
12.23
100.0
0.00
0.0
4.87
100.0
Total Financing Required
12.23
100.0
0.00
0.0
4.87
100.0
All costs without taxes and duties which will be reimbursed by the Government. Estimated to be US$2.5 million
Component 1: Sewage Pollution Reduction (Total: US$10.74 million; GEF: US$4.38 million, EIB
(to be confirmed): US$5.64 million, GoA: US$0.72 million). This component represents an
innovative aspect of the proposed project and, if successful, has an high replication value throughout
Albania and the region. The component consists of two main parts: (i) the establishment of Constructed
Treatment Wetlands and related facilities; and (ii) the construction of the sewage main collectors
required to connect the current sewerage systems to the new treatment facilities.
The sites selected for the establishment of the Constructed Treatment Wetlands (CTW) have been
carefully considered through a process of public consultation that has involved local authorities, local
communities, civil society and sector ministries.
In consultation with the Ministry of Environment
specific criteria were established and each alternative site weighed according those criteria. Criteria
included: potential nutrient reduction capacity, land availability, distance from built-up areas, adequacy
of the site in terms of present and future needs, absence of physical constraints and proximity to sites for
discharging treated water.
Other sites, initially considered to be included in this project, were not
selected due to the lack of potential generation of global benefits, conflicts over land use or technical
implementation difficulties.
The GEF funds will support the creation of 92 ha of Constructed Treatment Wetlands (CTWs) in three
already identified sites in proximity of the urban areas of Durres, Lezha and Saranda. Mechanisms that
occur in these ecosystems (sedimentation, adsorption, flocculation, precipitation and biological
decomposition) decrease the concentration of polluting substances flowing through the wetlands and
reduce the impact of untreated wastewaters of urban origin on the international waterways and coastal
marshlands. The artificial wetlands offer the opportunity to realize a low cost wastewater treatment
systems that rely on natural processes and reduce the need for energy supply. The evaluation of
alternatives has been carried out through a multicriteria approach that included: environmental impacts,
project costs, local conditions, institutional framework, training and monitoring requirements, hydro
geological and health risks. Specifically the funds will enable the construction works for the three
facilities. The construction works will include civil works, equipment and construction of infrastructure
which will regulate water flows through the wetlands - allowing for controlled flooding that optimize
nutrient trapping and biodiversity restoration.
Financial support from the European Investment Bank (EIB) has been identified and will be confirmed
before appraisal. It will finance activities related to the construction of sewage collectors to connect the
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sewerage outflows of the three urban areas of Durres, Lezhe and Saranda to the constructed treatment
wetlands as well as to the enhancement of the pretreatment facilities to improve the overall performance
of the natural system. The construction of those sewerage infrastructures will halt the uncontrolled
sewage discharge directly into the coastal lagoon systems that is currently occurring and constitutes the
most relevant threat for the survival of the globally important coastal marine ecosystem and tidal
marshlands. Furthermore the EIB will support the establishment of a conventional treatment plant in the
Shengjini area. Shengjini represents an important natural ecosystem characterized by the precence of
marshlands, the Kanalla Lake and by a long beach with a litoral pine-wood on the coastal dunes. The
peculiar morphological configuration do not offer sufficient space for the creation of a CTW and
therefore the establishment of a conventional treatment system represents the more appropriate option for
this area.
The Government of Albania will contribute with the availability of the lands needed for the
establishment of the CTWs.
Component 2: Environmental Management and Monitoring (Total: US$1.2 million; GEF: US$0.2
million, EIB (to be confirmed): US$1.0 million). This component represent a valuable opportunity to
provide support in promoting a prototype initiative of environmental management of natural resources to
be extended in the future to other Albanian Protected Areas. The component will assist the Ministry of
Environment and the Ministry of Agriculture and Food in enhancing the management of Natural
Reserves as well as to strengthen the protection of coastal areas involved by intervention works under
this project.
Specifically the GEF funds will finance a program aimed to enforce an integrated and sustainable
management of the Kune-Vain wetland and Kenalla lake Protected Areas. The activities under this
component are aimed to integrate the conservation of the important tidal marshland with the sustainable
management of regional tourism and area's natural resources, through an innovative management system.
The program will address: (i) development of legislative framework for Kune-Vain Managed Area
(KVMA) implementation; (ii) institutional strengthening for KVMA Management Board and
Administration; (iii) development of the protected area Management Plan; (iv) implementation of the
KVMA Management Plan starting with the identified priority measures; and (v) strengthening
monitoring programs for water quality, biodiversity and socio-economic indicators within the protected
areas and the coastal zones involved in the project.
Component 3: Public Awareness and Replication (Total: US$0.2 million; GEF: US$0.2 million).
This component will help to raise awareness in the three cities of Saranda, Durres, and Lezha, on
the benefits of using Constructed Wetlands as biological wastewater treatments and promote its
adoption in other areas of Albania or other countries of the Mediterranean region, where existing
pollution loads are threatening coastal marine ecosystems and natural wetland systems critical for
globally important biodiversity.
To increasing the sustainability of the project and
achieve this goal the GEF will finance an
environmental education and communication program designed to address different stakeholders.
This will also include: a) environmental education activities for schools and local communities;
b) teacher's training and programs in the fields of Ecology and Environmental Science;
c) a
scheme for stakeholder participation in the management of the natural resources of Kune and Vaine; d) c
oordination with the communication activities undertaken, within the framework of the
Municipal Water Project, by the private operator and the municipalities
, aimed at building
- 8 -

consensus on the need to pay for water and sanitation services, and increase informed participation from
consumers.
The GEF funds will also finance the dissemination of the project's findings to other cities of the region
and investigations to expand the project's approach. The proposed project design has a high potential for
replication in Albania. Natural wastewater treatment using Constructed Wetlands may become a
demonstration area for similar projects in Albania as well as other developing countries of the
Mediterranean region.
Component 4: Project Management, Monitoring and Evaluation (Total: US$0.09 million; GEF:
US$0.09 million). This component will support a Project Implementation Unit (PIU) within the Ministry
of Territorial Adjustment and Tourism (MTAT) to coordinate, manage and monitor the activities under
the project. The project will use the current World Bank Water PIU which is already successfully
implementing the Water Supply Urgent Rehabilitation Project and the Municipal Water and Wastewater
Project. The PIU will have a central office in Durres and significant physical presence in the other cities
and will have full responsibility for: (i) procurement, financial management and disbursement related to
the activities funded by the GEF grant; (ii) financial management reporting of overall project; (iii)
monitoring-evaluation and reporting of overall project progress implementation; (iv) coordination with
central ministries and their regional and local branches.
A detailed description of the components is provided in annex 2.
2. Key policy and institutional reforms supported by the project:
The Government of Albania is investing considerable effort in developing laws and regulations to
address environmental issues.
The environmental legal framework is covered by a new Law "On
Environmental Protection" approved by the Parliament on September 2002.
A draft Law "On
Environment Impact Assessment" is currently in the Parliament for the final approval.
Within the
existent institutional framework the overall responsibility for managing and monitoring the natural
wetlands and coastal areas lies with the Ministry of Agriculture and Food. This is regulated by the new "
Protected Area Law" (n°8906 dated 6/6/2002), and "Protection of Marine Environment from Pollution"
(n°8905 dated 6/6/2002). The project will assist the Government of Albania to strengthen national,
regional and local administrations in managing natural protected areas - such as environmental
management planning, increased management capacity and the standardization of monitoring and
reporting procedures. Also, the project will help to improve coordination between the central, regional
and local governments, local communities and municipalities on the use of natural resources. It will also
help to develop processes to better involve the public in the decision-making process not only for project
activities but also for sustainable resource management and use within natural protected areas.
At the same time the Government of Albania assisted by the Bank and other donors is undertaking an
ambitious program of economic reforms, promoting a public-private partnership in key infrastructures,
mainly in the water supply and sanitation sector. The reform will lead to the establishment of a
pro-private sector participation (PSP) regulatory and policy framework at the state and municipal level
and the introduction of a PSP regime beneficial for the poor through the use of a Management Contract
(MC). The reform also aims at integrating wastewater management. Four major metropolitan areas,
including Durres, Lezha and Saranda, are involved in the reform process. The presence of the private
operator that will hand over responsibility in managing water systems in the above mentioned areas will
enable in turn to establish a proper operation and maintenance of the Constructed Treatment Wetlands to
be financed through this project.
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The Government of Albania has approved the important document "Biodiversity Strategy and Action
Plan (BSAP)". This document, granted by GEF, is an important step for Albania towards implementing
the Convention on Biological Diversity (CBD). More recently, in the frame of institutional reform, the
Directorate of Management of Albanian Protected Areas was established within the General Directorate
of Forests and Pasture (GDFP).
This Directorate in collaboration with other relevant agencies, in
particular with the Unit of Environmental Management Forest Project, is working to implement rules and
duties regarding management of the Protected Areas in Albania.
The very recent approval of the Law "On Protected Areas" (n°8906, 06/06/2002) opens up new
interesting opportunities for advanced and integrated management of protected areas, extending all over
the whole Albanian territory. Contacts and consultations are at present in progress between the Ministry
for Environment and the Ministry for Agriculture and Food, in order to define and agree on joint rules
and procedures for the Administration of Protected Areas in Albania, regulated by the Duties, Tasks
and Functions. The Law "On Protected Areas " will allow GoA to set up management of protected areas
by means of a Decree (By-Law act), including the definition of the program related economic financing
plan. The present project is a good opportunity to provide general recommendations and suggestions to
promote a prototype initiative of environmental management of natural resources, to be extended in the
future to other Albanian Protected Areas.
3. Benefits and target population:
At the global level, benefits will be increased through the reduction of transboundary pollution into the
Adriatic Sea which is currently endangering the numerous species hosted in the coastal and marine
environment. Based on the technical assessment of the nutrient trapping capacity of the constructed
treatment wetlands to be financed under this project, about 245 tons of Nitrogen and Phosphorous and
768 tons of BOD5 could be reduced annually. Significant global biodiversity benefits are expected. The
constructed wetlands represent a new natural habitat for flora and fauna and therefore increase the
biodiversity of the area. Also, they represent a continuity corridor with currently existing ecosystems, and
a buffer zone against the uncontrolled spread of the urbanization. Specifically the wetlands will have a
positive impact on:
Endangered marine ecosystems and habitats, in medium and infralittoral level (particularly
Shengjini-Lezha area, Porto Romano bay and Saranda bay);
Endangered coastal ecosystems: sand dunes, delta rivers (particularly Drini-Lezha), alluvial and wet
forests, lagoons ( Kune and Vaini) and coastal lakes (Kenalla);
Risks and adverse impacts on biodiversity. Some of the major adverse impacts have been: habitat
loss and fragmentation, damage (Porto Romano bay and Saranda bay) and degradation (Kenalla lake)
of habitats and ecosystems, loss of species or the threat of their extinction - i.e. the monk seal and the
sea turtle ranked by IUCN respectively as critically endangered and endangered, living in the waters
of Corfu Island, Saranda, Ksamili and Kakome bay; the mouse ear bat, the otter, the ferruginous
duck,
the
pygmy
cormorant,
and
the
pallid
harrier
living
in
Kune-Vain
marshland,
Durres-Rrushkull-Erzeni River Managed Natural Reserve, Butrinti lake area;
Protection of the Posidonia Oceanica meadows, particularly in the Shengjini- Lezha
and
Saranda-Ksamili area, but also in the Porto Romano and Lalzi bay. This in turn will have a positive
impact in protecting beaches from erosion as well as providing hatchery and nutrients for endangered
species.
Development of some algae populations (Ulva and Enteromorpha), particularly in Saranda bay,
Shengjini bay and Porto Romano bay;
Protection from eutrophication in the Saranda bay, Shengjini area and Kenalla lake;
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At the regional level the project will have a demonstration impact contributing to creation of additional
wetlands and protected areas along the coastlines of Albania and neighbouring countries. Additional
benefits result from sharing experiences with neighbouring countries on the use of constructed wetlands
for nutrient treatment, and on protected areas and wetlands management.
Also, the project will
contribute to developing regional natural resource management strategies and regional eco-tourism
opportunities. In addition, at national level there will be progress towards compliance with EU directives
and enhanced capacity of central, regional and municipal institutions to preserve and manage protected
areas and wetlands.
At the local level the principal beneficiaries from cleaner water resulting from nutrient reduction will be
Albanians living in the areas affected by the current damaged environment. In fact the local populations
will benefit from reduced health risk and odor nuisance from untreated wastewater. Also, the Albanian
population at large will benefit from improved water quality suitable for environmentally sound
recreational use at beaches and coastal areas and wetlands. In particular the improved water quality at
beaches will contribute to Albania's economic development by laying the foundation for further
development of the tourist sector. Apart from the above mentioned benefits to the general population and
the population in the area covered by the component (approx. 260,000), the poor will benefit especially
from the improvements because more of them than the average of the population, live close to open
ditches conveying untreated wastewater.
4. Institutional and implementation arrangements:
The outline of the institutional framework to be created for the management of the Kune-Vain Lagoon
has been agreed with the Ministry of Environment (MOE) and the General Directorate of Forestry and
Pastures (GDFP). At present, responsibility for protection and administration of the area lies with the
GDFP (under the Ministry for Agriculture and Food).
The very recent approval of the Law "On
Protected Areas" (n°8906, 06/06/2002) opens up opportunities
for an advanced and integrated
management of protected areas, Kune-Vain lagoon included. The Ministry of Environment has drafted a
decree in the framework of the above mentioned law that would transfer all "Hunting Reserves",
including Kune-Vain, into "Managed Reserves".
The objective of the Kune-Vain Managed Area
(KVMA) is conservation and sustainable management of the Kune-Vain wetland and the Kenalla lake,
with the goal of integrating the conservation of the important bird habitats with the sustainable
management of regional tourism and area's natural resources, through an innovative management system.
It is expected that the MOE will present the above mentioned decree to the Council of Ministers (CM) by
February 25, 2003 and CM approval is expected by March 14, 2003.
A second decree under the law "On Protected Areas", which is expected to be approved by the CM by
March 14, 2003 together with the decree mentioned above, will set the framework for creating an
administrative entity for each "Managed Reserve". This decree would allow the MOE and GDFP to
establish a new administration and management board for Kune-Vain.
This Board will include
representatives
from
key
ministries,
the
Districts
with
territory
within
the
Area,
the
Municipalities/Communes and a formal representation of the users of the KVMA. The KVMA Board
will be accountable for planning the management of KVMA and for establishing regulations on the use
of natural resources. The area will be separated into different zones with allowable activities defined for
each zone. The Management Board will act as a committee responsible for the selection of the most
suitable Management Plan. The Management Board will receive TA under the project to prepare the
Management Plan. The board will also coordinate definition of tasks, rules, planning processes and
operational procedures.
It is proposed that the administrative entity for the KVMA be established under the budget of the General
- 11 -

Directorate of Forestry and Pasture.
The responsibilities of the KVMA Administration will be to
introduce the new participatory protected area planning approach to the site, to build capacity within
local user groups and other stakeholders to implement protect activities, and to undertake monitoring and
regulatory functions. These responsibilities will be identified in the Management Plan which will be
prepared under the Project.
Consultations are at present in progress between the Ministry of Environment and the Ministry for
Agriculture and Food in order to define and agree on joint rules and procedures for the Administration of
Protected Areas in Albania. Also under discussion between the MoE and the General Directorate of
Forest and Pasture is the possibility to immediately stop the hunting in the area of Kune-Vain.
The overall coordination of the GEF funded Integrated Water and Ecosystem Management component
will be carried out by the Ministry of Territorial Adjustment and Tourism in close cooperation with the
Ministry of Environment and the Ministry of Agriculture and Food. The management of this component
will be entrusted to the existing Water PIU under the Ministry of Territorial Adjustment and Tourism. In
order to cover the non-engineering aspects of this project, the PIU will be strengthened by recruiting a
biologist/environmental engineer. The existing Water PIU will be responsible also for the financial
management and the procurement under the project.
The GEF grant will be forwarded by the Ministry of Finance to the Ministry of Territorial Adjustment
and Tourism. The works and goods procured under this component will be handed over to the General
Directorate of Forestry & Pastures (GDFP), the General Directorate of Fisheries (GDF) and the Ministry
of Environment for ecosystem management and monitoring, and for the CTWs to the water utilities.
The General Directorate of Forestry & Pastures (GDFP) and General Directorate of Fisheries (GDF) will
provide the Bank with annual monitoring and evaluation reports regarding the achievements under this
component. In addition the operator of the CTWs will conduct self-monitoring of the CTWs.
D. Project Rationale
1. Project alternatives considered and reasons for rejection:
During project preparation various design alternatives were considered and evaluated. These include:
CTW versus Conventional Wastewater Treatment Systems:
The option of conventional wastewater
treatment plants was considered. This proved to be unaffordable by the Government of Albania in its
current economic situation.
The preferred alternative, constructed treatment wetlands require
significantly lower construction and maintenance costs than wastewater treatment plants and thus offers
the opportunity to create a low cost municipal wastewater treatment system relying on natural processes
and reducing to the minimum the operational need for mechanical devices and energy supply.
This will also contribute to lower operation costs for the water utilities, making the process more
affordable for all the other utilities that will want to follow the example of the present project. Moreover,
constructed wetlands represent an additional natural habitat for globally endangered species as well as a
continuity corridor toward already existing ecosystems contributing to generate additional global
benefits. Also it is pointed out that constructed wetlands are not unable to coexist with conventional
wastewater treatment systems since they are widely used as tertiary stages of complete sewage treatment
systems. The flexibility they have in easily adapting layout and hydraulic characteristics will allow the
integration of the wetlands as part of a more complex and effective solution for future development.
Selection of Sites:
The sites selected for the establishment of the Constructed Treatment Wetlands
- 12 -

(CTW) have been carefully considered through a process of public consultation that has involved local
authorities, local communities, civil society and sector ministries. In consultation with the Ministry of
Environment specific criteria were established and each alternative site weighed according those criteria.
Criteria included: potential nutrient reduction capacity, land availability, distance from built-up areas,
adequacy of the site in terms of present and future needs, absence of physical constraints and proximity
to sites for discharging treated water. Other sites, initially considered to be included in this project, were
not selected due to the lack of potential generation of global benefits, conflicts over land use or technical
implementation difficulties.
- 13 -

2. Major related projects financed by the Bank and/or other development agencies (completed,
ongoing and planned).
Latest Supervision
Sector Issue
Project
(PSR) Ratings
(Bank-financed projects only)
Implementation
Development
Progress (IP)
Objective (DO)
Bank-financed
Water and Sanitation
Water Supply Urgent
S
S
Rehabilitation Project.
Municipal Water and
S
S
Wastewater Project.
Biodiversity
(GEF, World Bank) Albania
Biodiversity Enabling Activity
Completed
Other development agencies
Wetland Conservation
Conservation of Wetland and
Coastal Ecosystems in the
Mediterranean Region (GEF,
UNDP Regional Project)
Ongoing
Capacity building
Strategic Action Program for
the Mediterranean Sea (GEF,
UNDP Regional Project)
Ongoing
IP/DO Ratings: HS (Highly Satisfactory), S (Satisfactory), U (Unsatisfactory), HU (Highly Unsatisfactory)
3. Lessons learned and reflected in the project design:
Project design reflects the Bank's experience in the preparation and implementation of water and
ecosystem management programs in Europe and around the world. Some of the critical lessons learned
and applied in this Project's preparation recommend that:
The early involvement in project concept design of key stakeholders from across the water,
agriculture and environment sector as well as of local communities is essential in order to ensure
ownership, build lasting commitment and achieve successful project implementation. A participatory
approach has been implemented through a process of consultation that has represented an innovative
avenue to arrive to common understanding of the issues related to wastewater management and
environmental protection. This approach has, in turn, broadened the public consensus and helped in
selecting the most socially/politically/environmentally acceptable sites for the construction of the
wetlands in the three cities as well as promoting dialogue within the authorities for the management
of the natural protected areas.
The rationale, benefits and objectives of the project should be made known to all stakeholders
through effective public awareness programs. The benefits of sustainable wastewater treatment need
- 14 -

to be demonstrated and the results widely disseminated.
Maintaining support from central government working with the Ministry of Territorial Adjustment
and Tourism, Ministry of Environment and Ministry of Agriculture and Food, but emphasizing
decentralized responsibility for financial and local project management (for both CTWs and
Kune-Vain Managed Area) helps to build local ownership and sustainability of project activities.
The project needs to focus on activities which promote replication, sustainability and resource
mobilization beyond the life of the project. The replication of the project will be highly encouraged
extending the analysis to other potential sites suitable for wetlands construction, to reduce
wastewater effluent problems. The project will help to promote and eventually expand the use of
CTWs in areas where existing pollution loads are threatening ecosystems critical for biodiversity.
4. Indications of borrower and recipient commitment and ownership:
The Government through the Council of Ministers, the Ministry of Territorial Adjustment and Tourism,
the Ministry of Environment, the General Directorate of Forestry and Pastures and the water utilities and
municipalities of Durres, Lezha and Saranda have all indicated their full support of the project objectives.
To this end the above mentioned stakeholders have taken the following actions:
Law "On Environmental Protection" (2002), Draft Law "On Environment Impact Assessment",
Protected Areas Law (2002), Protection of Marine Environment from Pollution (2002).
The Ministry of Environment has drafted a decree that would transfer all "Hunting Reserves" into
"Managed Reserves". It is expected that the decree will be presented to the Council of Ministers at
the end of February.
The Ministry of Environment has prepared a decree to be submitted to the Council of Ministers in
order to set the framework for creating an administrative entity for each "Managed Reserve". It is
expected that the above mentioned decree will be approved by the end of March.
Consultations are in progress between the Ministry of Environment and the Ministry of Agriculture
and Food in order to achieve an immediate stop to hunting in the area of Kune-Vain.
The Executive Committee has awarded an incentive based multi city management contract to a
private operator. This will improve water supply and sanitation services and achieve sustainability in
the participating water utilities.
All the participating utilities have agreed to take over the accountability for the management of
constructed treatment wetlands.
All the municipalities have agreed to a substantial tariff increase for water supply services and have
introduced of a wastewater tariff.
The Government has a strong commitment to necessary sector reform and has requested the Bank's
assistance for developing a comprehensive National Water Supply and Sanitation Strategy and Water
Sector Action Plan.
5. Value added of Bank and Global support in this project:
The design of the proposed project has been tailored to support sector reforms, while responding to the
constraints in Albania. It is quite innovative in its approach and brings into fruition the sector expertise
that the Bank has accumulated in Albania and other developing countries. In particular the Bank has:
broad international experience in integrated water and ecosystem management;
the experience to coordinate closely with other donors and mobilize additional sources of funds; and
policy development expertise and experience in the design of institutional reforms in the water and
sanitation sector.
- 15 -

E. Summary Project Analysis
(Detailed assessments are in the project file, see Annex 8)
1. Economic (see Annex 4):
Cost benefit
NPV=US$ million; ERR = % (see Annex 4)
Cost effectiveness
Incremental Cost
Other (specify)
The objective of the project is to reduce the sewage pollution load from the three cities of Durres, Lezha
and Saranda in order to protect and improve the environmental conditions of coastal and marine habitats.
The great part of the ecosystems considered under the project have been ranked at international level
according with the Ramsar convention. The project supports the creation of constructed wetlands for
wastewater treatment as well as improved managemnt of the natural protected area of Kune Vain that has
globally significant biodiversity.
Two economic analysis have been carried out to demonstrate that this project is a worthwhile investment:
(i) an Incremental cost analysis and (ii) a cost-effectiveness analysis. The detailed Incremental Cost
Analysis is provided in Annex 11.
The first analysis utilizes the typical incremental cost assessment approach. The without-project scenario
can be summarized as follows:
Water pollution, mainly generated by the increasing population concentrated along the Adriatic coastline,
has considerably degraded the natural inland ecosystems and the biological productivity of the coastal
areas. This in turn represents a serious threat to the biological diversity of the natural habitats of the
coastal wetlands, rivers and sea water, as well as a potential risk to public health. Albania lacks any
wastewater treatment facility and existing raw sewage outfalls are located either directly on the seacoast,
on the bank of coastal rivers or on drainage ditches that after a short distance discharge directly into
globally significant tidal marshlands and/or the sea.
In the context of the described baseline scenario there are no current financial resources allocated by the
Government of Albania to create wastewater treatment facilities to reduce the pollution load of the global
ecosystem and therefore the incremental cost of achieving global benefits has been estimated equal to the
project cost of US$12.23 million.
GEF
EIB
GoA
Total
Sewage Pollution Reduction
4,380,000
5,640,000
720,000
10,740,000
Environmental
Management
and
200,000
1,000,000
1,200,000
Monitoring
Public Awareness and Replication
200,000
200,000
Project Management, M & E
90,000
90,000
Total
4,870,000
6,640,000
720,000
12,230,000
The expected global benefits of the proposed project is the improvement of the health and habitat of
globallly significant marine and coastal ecosystems along the coastaline of Albania by reducing pollution
from uncontrolled municipal wastwater generated by the urban settlements of the cities of Durres, Lezha
and Saranda that are discharging into the Adriatic sea and improving the managment of the tidal
marshland of Kune Vain near Lezha.
- 16 -

The second analysis compares the cost-effectiveness ratios of removing nitrogen and phosphorous
flowing in the Adriatic sea, defined as the ratio of cost (capital and operational and maintenance cost ) to
the volume of nitrogen and phosphorous removed during the life of the project ( a period of 20 years has
been assumed). The estimates of cost-effectiveness ratios are presented in the table below. The
cost-effectiveness ratios, based on the assumption presented in Annex 11, were found to be in the order
of US$2.5-1.0 per kilogram of nitrogen removed and US$ 9.2-3.8 per kilogram of phosphorous removed.
Since the cost per kilogram of nutrient removed for this project are expected to be lower compared to the
costs born in similar projects in the region, it is safe to say that the CTW construction will be
highly-effective for pollution reduction in the Adriatic sea.
Volume of nutrient removed for 1° year operation (2004) and 20° year operation (2023)
Coastal
Referenc
Estimate
Volume of nutrient removed
cities
e
population
(tons/years)
Year
CTW
operation
NitrogenPhosphorus
Durres
2004
150,000
87.5024.50
2023
250,000
276.0077.00
Lezhe
2004
18,000
10.502.90
2023
30,000
31.508.80
Saranda
2004
30,000
17.504.90
2023
60,000
65.5018.00
Cost-effectiveness during the life of the project (20 year operation from 2004 to 2023)
Durres
Lezhe
Saranda
Incremental effects
Total Nutrient removed in 20 years operation:
-(Nitrogen/N) (20 years/ton)
Tons
3,550
411
808
-(Phosphorus/Ph) (20 years/ton)
Tons
991
114
223
Abatement costs
Total incremental costs (capital and O&M cost)
US$
5,663,000 1,057,000
858,000
Abatement costs ton/Nitrogen
US$ per Tons
1,595
2,575
1,061
Abatement costs ton/Phosphorus
US$ per Tons
5,712
9,244
3,846
Cost Benefit
The technical analysis of EIRR clearly shows that Durres, Lezha and Saranda are highly acceptable. The
same conclusion can be made using ENPV as a yardstick. The sensitivity analysis stresses that the value
increase and the number of properties affected are the main determining variables in the project
outcomes. Significant alterations in project benefits and initial investments can be made for Durres and
Saranda without losing the objective of minimal ten percent EIRR, however, this extreme flexibility in
project benefits and investments does not hold for Lezha.
- 17 -

As said, the economic analysis only includes benefits at a local level and significant positive externalities
of the projects are foreseen in terms of global environmental benefits. The most important project benefit
is the increase in the value of real estate and as such the project is aligned with the notion that improved
water supply and sanitation are basic requirement for a sound and stable economic development of the
country as underpinned in the next section.
In summary, it can be said that the local economic benefits equal the local environmental benefits. The
regional, national and global environmental benefits are thus not included. The present calculation gives
only an impression of the significant environmental global benefits obtained with this project.
Cost-benefits
Durres
Lezhe
Saranda
eIRR (%)
21%
17%
32%
Sensitivity of eIRR
Very robust
Robust
Very robust
2. Financial (see Annex 4 and Annex 5):
NPV=US$ million; FRR = % (see Annex 4)
In terms of financial viability the project has to be seen as an integral part of the recently Bank approved
Municipal Water and Wastewater Project (MWWP).
The above mentioned project is designed to
introduce in Albania a new incentive based multi city management contract to improve water supply and
sanitation services and achieve financial viability in the participating water utilities. The wastewater
treatment facilities to be financed through the present GEF operation will be operated and maintained by
the water utilities targeted under the MWWP. This in turn will provide the sufficient soundness to make
this project affordable. The current situation shows that the four water companies are financially in poor
conditions, with working ratios between 1.4 and 2.6. The major financial problems in the four water
companies are caused by extremely low water tariffs and no existing sewerage tariffs, these are made
worse by especially low collection rates, combined with high operational and maintenance cost. Increase
of collection rates, tariff increases and a change in the tariff structure will be necessary to turn the four
companies into financially viable autonomous entities.
These are essential if the companies are to
recover the increasing operational and maintenance costs for the provision of water and sanitation
services and to contribute counterpart funds for investments. Due to the current financial situation of all
four water utilities, an immediate revenue increase leading to full cost recovery in the first year of project
implementation is not achievable. The draft financial analysis indicates that full cost recovery cannot be
achieved before year three of implementation. The financial gap at the beginning of the project has to be
bridged by declining state subsidies.
Fiscal Impact:
3. Technical:
The technical challenge is to design constructed treatment wetlands that maximize the positive impact on
globally important biodiversity by at the same time minimizing investment and operation costs.
In
addition a detail management enhancement concept for the natural wetlands will be developed during
- 18 -

project preparation.
4. Institutional:
4.1 Executing agencies:
The proposed project will be implemented jointly by the four water utilities and the Ministry of Public
Works and Tourism.
4.2 Project management:
This component will be implemented by the Ministry of Public Works and Tourism in close cooperation
with the Ministry of Food and Agriculture and the Ministry of Environment. The existing World Bank
Water PIU will be the implementing agency.
4.3 Procurement issues:
The Ministry of Public Works and Tourism will use the existing World Bank Water PIU as the
implementing agency.
The staff from the Ministry of Food and Agriculture and the Ministry of
Environment will be participating in writing Terms of Reference, evaluation of technical proposals and
supervision of environmental management and monitoring activities. All other tasks will be carried out
by the procurement experienced PIU staff. Therefore no major issues that requires special attention are
anticipated.
4.4 Financial management issues:
The PIU implementing the Water Supply Urgent Rehabilitation Project (WSURP) will be also
responsible for the financial management of the Municipal Water and Wastewater Project (MWWP) by
integrating the function of the CMU and Pilot RWSA into the PIU.
The implementation of the MWWP under the same PIU will allow the establishment of the financial
management system for this new project on the computerized system currently in use by the WSURP. In
other words, there will be a centralization of the financial management system within the same PIU that
will create synergy by sharing the same software, capitalizing on the skills of the accountant but although
maintaining the financial management systems of the two components separated.
The financial management arrangements for the WSURP are based on a computerized system of
accounting. This system has been implemented with the assistance of a consulting firm that has also
trained the accountant in the use of the system and of the financial management requirements of the
Bank. Since the beginning of the project, the accountant has significantly improved her skills and is now
handling all the accounting and disbursement transactions.
Based on this system, the PIU will open two Special Accounts for the MWWP. One for IDA funds
(Management Contract and Rural Pilot Components) and the other for the GEF funds (GEF Project).
Prior to appraisal the existing computerized system within the PIU will need to be customized - with the
assistance of a consulting firm - adapting the Chart of Accounts and the reporting, to the components of
the MWWP. The peculiarities for these three components will be:
Management contract component: Each of the participating water utilities will have to establish a
sound financial management system and the PIU/CMU, in addition of managing the Special Account
and project funds, will be responsible for managing the Revenue Account for each water utility.
- 19 -

GEF Project: The PIU will open a separate Special Account for the funds disbursed under this
project.
5. Environmental:
Environmental Category: B (Partial Assessment)
5.1 Summarize the steps undertaken for environmental assessment and EMP preparation (including
consultation and disclosure) and the significant issues and their treatment emerging from this analysis.
The project will finance the construction of low cost ecologically based wastewater treatment
technologies, with the major environmental objective to reduce the amount of nutrients discharged into
the Adriatic sea; making the project environmentally beneficial. The project will address global benefits
by reducing pollution in coastal areas and protecting the marine ecosystem from destruction.
Apart from earth embankments for the constructed treatment wetlands and earth dykes planned to protect
the CTW from the floods, no new physical structures of significant size will be built and no major
adverse environmental impacts are expected. Nonetheless, potential negative environmental impacts are
expected to be localized or able to be mitigated. Given the nature of the CTW's work, the project has
been classified as Environmental Category "B". In accordance with the Bank policy on Environmental
Assessment, the Ministry of Territorial Adjustment and Tourism in collaboration with the Ministry of
Environment is currently carrying out the Environmental Impact Assessment of the project. A
combination of quantitative and qualitative assessment techniques (ranging from desk-based analysis, to
water and social survey ) have been undertaken. The EA will reflect the environmental guidelines and
standards of IDA since such standard are not enacted yet in Albania. A detailed legislation and guideline
for Environmental Impact Assessment is under discussion in the Parliament, and is expected to be
approved by next year. The EIA will describe existing environmental conditions at the three project sites
(including climate, hydrology, soil and water quality, groundwater and biodiversity) and assess the
potential impacts on these conditions from implementation of the project, during the construction and
operation phases.
An Environmental Management Plan (EMP) will be prepared to identify mitigation measures and
monitoring activities that will address potential impacts and therefore provide an adequate safeguard for
environment. The EIA will analyze whether the proposed activities are in compliance with the
environmental requirements of both the Government of Albania and the Bank with the respect to
restoration developments of this nature.
5.2 What are the main features of the EMP and are they adequate?
An Environmental Management Plan (EMP) will be prepared prior to appraisal. The EMP will include
monitoring and mitigation activities for the three constructed treatment wetlands during project
preparation and implementation. The EMP will include: (i) a contingency plan to address problems that
could develop during facilities' construction and operation. The contingency plan will include measures
for determining and remediating nuisance conditions, addressing any toxicity observed in the wetland,
and dealing with construction, or operational errors, or unpredictable events; (ii) establishment of a
comprehensive monitoring program for potential dangers to the wetland ecosystem, such as
bioaccumulation, avian botulism and other avian diseases, vector problems, invasion of non-native plants
and animals, debris accumulation, and nuisance conditions; (iii) guidelines for sustainable management
of the water regimes in the wetlands, such as procedures in the event of accidental pollution, floods,
provision of optimal treatment capacity; (iv) soils removal and selection of suitable landfills for waste
disposal from the construction phase; (v) evaluation of flooding risks and implications for ground water
protection; (vi) environmental management guidelines for contractors; and (vii) procedures for sludge
removal and disposal.
5.3 For Category A and B projects, timeline and status of EA:
Date of receipt of final draft:
March 7, 2003
- 20 -

An Environmental Impact Assessment (EIA) for this project is currently under preparation and will be
finalized prior to appraisal. It will be reviewed and commented on by the ECA Safeguard Compliance
Unit.
5.4 How have stakeholders been consulted at the stage of (a) environmental screening and (b) draft EA
report on the environmental impacts and proposed environment management plan? Describe
mechanisms of consultation that were used and which groups were consulted?
The preparation of this project built first on the social assessment that was carried out for the Municipal
Water and Wastewater Project and included focus group meetings and a stakeholder workshops. In
addition a public consultation process involving central and local authorities, municipalities,
communities affected by the project, NGOs and local environmental specialists is currently on-going. As
described in other part of this document the participatory approach involves all the above mentioned
stakeholders. The aim is to increase awareness of environmental issues and build public consensus to
help
selecting the most environmentally acceptable solutions/sites for the construction of the
wetland in proximity of the three cities.
Also it is expected that consultation with beneficiaries will be on a continuous basis during project
implementation through public relations campaigns conducted by the private operator under the
Municipal Water and Wastewater Project.
The draft EMP will be distributed to relevant government bodies, institutions and NGOs. To facilitate
access of the EMP, copies will be distributed to local municipalities for public review and a newspaper
announcement will be made to inform about the key issues and the availability of the draft EMPF.
5.5 What mechanisms have been established to monitor and evaluate the impact of the project on the
environment? Do the indicators reflect the objectives and results of the EMP?
Environmental indicators will be monitored annually and obligations for implementation in accordance
with the 1993 Law on Environmental Protection and OP 4.01 will be included in the contract with the
private operator. Most likely, consultants (or NGOs) will be engaged to monitor project implementation
and conduct periodic environmental audit.
6. Social:
6.1 Summarize key social issues relevant to the project objectives, and specify the project's social
development outcomes.
Environmental problems in Albania, like in most other transition countries, still take a secondary
place in the order of priorities. The GEF-Integrated Water and Ecosystem Management Project,
by reducing land-based pollution from the three cities of Saranda, Lezhe and Durres and
introducing low cost ecologically based wastewater treatment technologies to protect, restore and
enlarge endangered coastal and marine habitats would put forward the idea of environmental
protection as a public good with significant social (health), and economic (eco-tourism) effects.
Thus the rationale behind using constructed wetlands for natural wastewater treatment should be
well communicated to and understood by the authorities and the public at large, since the long
term effects of environment-related activities affect the entire population.
A needs assessment was carried out to analyze the knowledge, attitudes, practices, and barriers to change
the views of all relevant stakeholders
. This involved segmenting audiences based on their position,
understanding actors' interests and framing the issues. This assessment helped design a public
consultation program and set the agenda for the discussion on the project activities.
- 21 -

The sanitary and environmental conditions of the communities living near the Chukka channel in
Saranda, and those living by the open-air sewerage canal in Durres are very poor. The
communities showed interest as they found out that the living conditions might improve as a
result of the project. In Durres the project will produce visible and tangible benefits in their
livelihood as the channel will be dried and the waste water redirected. A random sample of
inhabitants interviewed welcomed the initiative. Those inhabitants, mostly coming from the
Kosovo area, established their residence in an area, which belongs to the Ministry of Agriculture,
thus raising issues of land ownership.
In Saranda the Chukka channel community, comprised of several ethnic groups including
Albanians, Greeks and Gypsies lives in very difficult conditions, in proximity to a natural
wetland that provides potable water to the households and it does not get access to any public
service of the city of Saranda. The main concern of the community leaders was the proximity of
one of the proposed sites to their village.
During the communication assessment other issues raised by representatives of local authorities
were whether the capacity of the CTW would be in line with future population growth and the
location in compliance with urban development plans; how the problem of mosquito and odor
control would be handled; and what would be the advantages/disadvantages of investing in a
constructed treatment wetland system vis-à-vis a conventional system. In Lezha particular
concerns regarded the
advantages/disadvantages of the selected alternative; the issue of
landownership, the lifespan of the selected system as well as the treatment of the sewage waters
of the commune of Shengjin.
6.2 Participatory Approach: How are key stakeholders participating in the project?
The project is promoting a participatory approach through a process of consultation that will
represent an innovative avenue to arrive at a common understanding of the issues related to
wastewater management and environmental protection. This approach will, in turn, broaden the
public consensus and help selecting the most socially/politically/environmentally acceptable site
for the construction of the wetland in the three cities as well as promoting dialogue within the
Management Board for the management of the natural protected areas. Building consensus over
these issues ultimately will broaden constituencies support for the water sector reform program
currently put in concrete form in the National Water Supply and Sanitation Strategy of the
Albanian Government. By increasing public awareness on the issue of environmental protection
and ecosystem management, the consultations will make a major contribution to improve
environmental governance in Albania.
Three separate consultations - structured in two phases - have been held under the auspices of the
municipalities of Saranda, Lezha and Durres, organized around the following lines: 1) promoting
the use of man made wetlands for wastewater treatment; 2) promoting a dialogue among public
institutions and an effective collaborative decision making within the framework of the proposed
Management Board for the management of the natural protected areas of Lezha; 3) identifying in
a partecipatory manner the main issues of concern and possible areas of improvements.
Participants in the first phase included: a) local authorities (Inspectors of the Ministry of
Environment, General Directorate of Forestry and Pasture, Municipal Representatives, Water
Utilities) and Albanian experts; b) local communities affected by the project; c) local NGOs and
- 22 -

environmental specialists. Participants in the second phase include the self-selected
representatives from the three groups and the four level of decision making: 1)Council of
Territorial Adjustment, 2) Ministry of Environment, 3) Ministry of Territorial Adjustment and
Tourism, 4) local municipal authorities. Furthermore, during the implementation of the project, a
consultation process will be established to promote dialogue and build consensus between the
Management Board of the natural protected areas of Lezha and all the other involved
stakeholders for the preparation and selection of the most suitable Management Plan for the
natural protected areas of Lezha.
6.3 How does the project involve consultations or collaboration with NGOs or other civil society
organizations?
In addition to the participation of local NGOs, the National network of Environmental NGOs has
been involved in the process in order to guarantee a fair representations of the views and
concerns of civil society organizations. A meeting has been convened by the Ministry of
Environment, with authorities from the three cities to discuss issues raised by the members of the
network and inform the decision making process.
To increase transparency in government/civil society relations the Bank, within the Municipal
Water and Wastewater Project, is also assisting the MTAT to develop a public communication
program. The policy dialogue component of the program includes the creation of a public
information system for water and wastewater issues as a venue for input and comment by
stakeholders. Specifically, this entails a website, an information point in the Ministry as well as
in other major cities, support to central public information center, establishment of a hotline for
information on water, publicizing of tendering procedures.
6.4 What institutional arrangements have been provided to ensure the project achieves its social
development outcomes?
The Municipal Water and Wastewater Project will establish a Consumer Panel (CP) in each of
the four cities to enable the population, particularly the poor, to interact directly with
management about problems and opportunities. The CPs will help channel constructive
suggestions and feedback of consumers' specific needs to the utilities. CPs meetings'
findings/recommendations about improvement of service quality, affordability and other issues
would be communicated to all service users.
6.5 How will the project monitor performance in terms of social development outcomes?
The GEF project will be included in a public opinion research within the Municipal Water and
Wastewater Project that will be carried out to gauge public perception and understanding of the
government process, to assess what are the major concerns and priorities of the general public
regarding the involvement of the private sector in the provision of water services in Albania. This
will constitute the baseline to establish a Social Impact Monitoring & Evaluation system.
A series of polling will be carried out throughout the project to evaluate the social impact as well
as the public acceptance of the new system. In particular these attitudinal surveys will: 1)
identify, evaluate and monitor critical social indicators measuring the social impacts of the
project; 2) test and value public awareness, support, satisfaction and concerns towards the project
as well as perceptions of water services linked with health and environment (water quality); 3)
compare the value of water and wastewater services with other public services (continuity,
- 23 -

reliability, etc.).
7. Safeguard Policies:
7.1 Are any of the following safeguard policies triggered by the project?
Policy
Triggered
Environmental Assessment (OP 4.01, BP 4.01, GP 4.01)
Yes
No
Natural Habitats (OP 4.04, BP 4.04, GP 4.04)
Yes
No
Forestry (OP 4.36, GP 4.36)
Yes
No
Pest Management (OP 4.09)
Yes
No
Cultural Property (OPN 11.03)
Yes
No
Indigenous Peoples (OD 4.20)
Yes
No
Involuntary Resettlement (OP/BP 4.12)
Yes
No
Safety of Dams (OP 4.37, BP 4.37)
Yes
No
Projects in International Waters (OP 7.50, BP 7.50, GP 7.50)
Yes
No
Projects in Disputed Areas (OP 7.60, BP 7.60, GP 7.60)*
Yes
No
7.2 Describe provisions made by the project to ensure compliance with applicable safeguard policies.
Environmental Assessment:
An Environmental Assessment and Environmental Management Plan
(EMP) will be completed before project appraisal.
International Waterways:
The Government of Albania will notify the riparian countries about the
project.
F. Sustainability and Risks
1. Sustainability:
The project will achieve sustainability by promoting an integrated appraoch to management of
wastewaters and natural resources. The main purpose is to optimize the ecological, economic and social
benefits of the proposed interventions to better preseve the coastal and marine ecosystems.
Environmental sustainability will be achieved by physically reducing the discharges of nutrient into the
coastal lagoon system and sea, improving the monitoring of the ecosystem health (water quality and
biodiversity status), and implementing a management plan for the Kune Vain protected area. Institutional
sustainability will be achieved by working at local level with a wide range of stakeholders, building
capacity of the water utilities to manage the constructed wetlands, strengthening the capacity of the local
water quality monitoring institutions and the staff of the Kune Vain protected areas as well as working
with the local communities, farmers, and user groups. Financial and economic sustainability will be
achieved by introducing a private sector based management approach to water and wastewater utilities,
government financial support to protected areas as foreseen by the new legislation and by exploring other
economic instruments for management of the Kune Vain protected areas. The project builds on several
ongoing government programs and donor-supported projects that will help sustain the project activities.
1a. Replicability:
Replication of the project, extending the analysis to other potential sites suitable for the wetland
construction, to reduce wastewater effluent problems, is highly encouraged. The project will help to
promote and eventually expand the use of CTWs in areas where existing pollution loads are threatening
natural ecosystems critical for biodiversity. The proposed project has a high potential for replicability in
Albania. Natural wastewater treatment using constructed wetlands may become a demonstration area for
- 24 -

similar projects in Albania as well as other developing countries in the Mediterranean region. The
institutional framework created to strengthen the management of Kune-Vain should represent a model to
be replicated for the creation of new natural protected areas. The project will fund a
n environmental
education and communication program to build consensus on CTW and ensure the dissemination
of information in other areas of Albania and Mediterranean countries.
2. Critical Risks (reflecting the failure of critical assumptions found in the fourth column of Annex 1):
Risk
Risk Rating
Risk Mitigation Measure
From Outputs to Objective
Lack of continuing commitment from the
N
Regarded as low because the Government has
Government of Albania to the project
undertaken significant commitments in the
environmental sector. Continuing dialogue on
the benefits of pollution reduction and natural
areas protection.
Consumers unwilling/unable to pay for
S
1) Willingness-to-pay study shows that
water and wastewater services
willingness-to-pay is high and tariffs are
affordable
2) Private Operator is expected to launch
public awareness campaign
3) Metering in combination with adequate tariff
policy will allow poor customers to reduce
consumption and pay less
From Components to Outputs
Lack of commitment of local
M
Comprehensive protected areas Management
communities to protected areas regimes.
Plan will be prepared following a participatory
planning approach and mechanisms will be
established for stakeholders' consultation.
Strategies will be developed to prepare local
population for new job opportunities arising
throughout the project area.
Inadequate resources for management
M
The operation and maintenance of the CTWs
and maintenance of CTWs and the
will be handed over to the water utilities
protected areas.
involved in the Municipal Water and
Wastewater Project. Government of Albania is
making considerable commitment in addressing
environmental issues. Administrations will
receive support to develop fund-raising plans
for long-term financial sustainability
Inadequate donor co-financing of project
S
The project activities to be supported by
activities
project's cofinanciers will not have bearing on
the activities supported by the GEF grant, but
they are an integral part of the project.
- 25 -

Overall Risk Rating
M
Risk Rating - H (High Risk), S (Substantial Risk), M (Modest Risk), N(Negligible or Low Risk)
3. Possible Controversial Aspects:
The project is not considered controversial, since the proposed interventions have the support from local
communities and authorities. One possible controversial aspect is the potential indirect impact caused by
the community perception of restricted access to resources in the protected areas. Both the detailed
design of the treatment facilities and the development of protected areas management regime will be
done in close consultation with local stakeholders. The participatory planning approach that started
during the preparatory phase will continue during project implementation.
G. Main Conditions
1. Effectiveness Condition
2. Other [classify according to covenant types used in the Legal Agreements.]
H. Readiness for Implementation
1. a) The engineering design documents for the first year's activities are complete and ready for the
start of project implementation.
1. b) Not applicable.
2. The procurement documents for the first year's activities are complete and ready for the start of
project implementation.
3. The Project Implementation Plan has been appraised and found to be realistic and of satisfactory
quality.
4. The following items are lacking and are discussed under loan conditions (Section G):
I. Compliance with Bank Policies
1. This project complies with all applicable Bank policies.
2. The following exceptions to Bank policies are recommended for approval. The project complies
with all other applicable Bank policies.
Andreas Rohde
Motoo Konishi
Orsalia Kalantzopoulos
Team Leader
Sector Manager
Country Director
- 26 -

- 27 -

Annex 1: Project Design Summary
ALBANIA: Intergrated Water & EcoSystems Management GEF
\
Key Performance
Data Collection Strategy
Hierarchy of Objectives
Indicators
Critical Assumptions
Sector-related CAS Goal:
Sector Indicators:
Sector/ country reports:
(from Goal to Bank Mission)
Improve infrastructure
Framework developed for
Project Status reports
Government committed to
and create institutional
protection of natural
Project's Implementation
environmental
environments conducive
resources
Completion Report
sustainability.
to infrastructure
Enforcement of
Country reports
sustainability.
environmental regulations
improved
Promote environmental
Concrete decentralization
sustainability and
of environmental services
sustainable use of natural
to local government -
resources
quantified
Integration of
environmental
considerations in sectorial
policies - number of
environmental units
established - effectiveness
of environmental units
GEF Operational Program:
Outcome / Impact
Indicators:
OP12: Integrated Ecosystem
Management.
OP2: Coastal, Marine and
freshwater Ecosystem
OP9: Integrated Ecosystem
Management
Global Objective:
Outcome / Impact
Project reports:
(from Objective to Goal)
Indicators:
The global objective of the
Increased number and
Project Status reports.
No additional negative
project is to improve the
size of endangered
Project's Implementation
environmental impact will
health and habitat conditions
species population in the
Completion report.
occur in the project area,
of the global significant
participating coastal areas
Coastal Monitoring
e.g. oil spill from tanker.
ecosystems along the coastline
and the Kune-Vain
report.
Local and Central
of Albania, by significantly
marshland.
Kune-Vain Monitoring
Government are
reducing uncontrolled
report.
continuing their
wastewater discharged into
Decrease nutrient load to
commitment to
international waters and
the marine environment in
environmental protection
improving the management of
the project area and the
in the area.
- 28 -

the tidal marshland of
Kune-Vain tidal
Government honors their
Kune-Vain.
marshland as follows:
commitment to support
Nitrogen: 115 t/a
the water and wastewater
Phosphorus: 32 t/a
utilities in the
participating cities.
Management Contract
with Private Operator
successfully implemented
(under separate IDA
project).
Integrated Management
Project Status reports.
Commitment of all
Plan implemented for
Project's Implementation
stakeholders to implement
Kune-Vain Protected
Completion report.
Kune-Vain Management
Area.
Annual Kune-Vain
Plan continues.
Report.
Project Development Objective
The Project Development
Objective is to improve
Wastewater collection and
wastewater services in the cities
discharge in the
of Durres, Lezhe and Saranda.
(This objective will be achieved
participation cities
through the components financed
improved.
by EIB and the IDA credit for the
Albania - Municipal Water and
Wastewater Project.)
Output from each
Output Indicators:
Project reports:
(from Outputs to Objective)
Component:
Sewage Pollution Reduction
CTW constructed and
Project Status reports.
Government Counterpart
Component
operational.
Project's Implementation
funds provided in a timely
Removal efficiency of
Completion report.
manner.
Reduce sewage pollution
CTWs: 50 percent for
No flaws in design of
load into coastal areas
Total Nitrogen, and 25
CTW.
and Kune-Vain
percent for Total
Land provided by
marshland.
Phosphor.
Government in a timely
manner.
Environmental Management
and Monitoring Component
Prepare Management Plan
Management Plan
Project Status reports.
Incentives for rangers in
for the Kun-Vain wetland.
prepared and selected
Project's Implementation
place to participate in the
priority measures
Completion report.
training and stay in the
Improve environmental
implemented
job afterwards.
monitoring capacity in
Monitoring capacity
Sufficient monitoring
coastal areas.
strengthened in coastal
capacity available in the
Improve environmental
areas.
country, e.g. Tirana
monitoring capacity in
Monitoring capacity
University.
Kune-Vain Managed
strengthened in The
Area.
Kune-Vain Managed
- 29 -

Increase capacity to
Area.
manage the protected
All rangers trained.
Kune-Vain wetland.
Monitoring equipment
supplied.
Replication and Public
Awareness Component
Increase awareness for
Environmental Education
Project Status reports.
Replication potential
protecting the
and Communication
Project's Implementation
exists.
biodiversity in the
Program delivered.
Completion report.
Substantial number of
project area.
interested decision makers
Promote replication of
Replication Strategy
can be identified and
the project in other areas
developed and
mobilized.
of Albania and the
implemented.
region.
Information disseminated
to beneficiaries and
decision makers at
potential replication sites.
Workshop with decision
makers conducted.
Project Management
Component
Project Management,
PIU operational.
Project Status reports.
Operational support from
Monitoring and
Project progress reports
Project's Implementation
key government agencies
Evaluation established
delivered on schedule.
Completion report.
provided.
and operational.
Project Components /
Inputs: (budget for each
Project reports:
(from Components to
Sub-components:
component)
Outputs)
Budgets in US$:
Project Status reports.
High qualified PIU staff
Sewage Pollution Reduction
Project's Implementation
can be maintained at all
Incremental Cost:
Completion report.
times.
Wetlands
Main collectors
GEF:
Land acquisition
Wetlands:
Environmental Management 4,380,000
and Monitoring
Env. Manag./Monit.: 200,000
Replication:
Replication and Public
200,000
Awareness Component
Project Management:
90,000
Project Management
4,870,000
- 30 -

GoA:
Land acquisition:
720,000
720,000
EIB:
Main collectors:
4,300,000
Pretreatment:
640,000
Convent. Treat. Plant
700,000
Env. Manag./Monit.:
1,000,000
6,640000
Baseline:
IDA:
Management Contract which
includes the operation of the
sewage systems is financed by
IDA under the Municipal
Water and Wastewater Project
________
21,930,000
Total Project cost:
GEF:
4,870,000
GoA
720,000
EIB:
6,640,000
12,230,000
- 31 -

- 32 -

Annex 2: Detailed Project Description
ALBANIA: Intergrated Water & EcoSystems Management GEF
The detailed project description by component is provided in the main text.
Below is a description of the ecosystems that are part of the project.
1.
Global Significance of the Project Area
The Integrated Water Management Project concerns the water treatment by "naturalistic methods" in
three well identified areas, which experience high naturalistic values. Their peculiar features can be
express as follows
:
Lezhe/shengjin (Kune-Vaini lagoon): The endangered species living in the proposed Managed
Nature Reserve are: (i) the globally treatened Phalacrocorax pygmaeus (Pygmy cormorant); (ii)
Myotis-myotis (Mouse-ear bat); (iii) Rana balcanica and Rana lessonae (Frogs); (iv) Lutra-lutra
(Eurasian river otter).
Durres (Rrushkull lagoon): The area has been identified as Important Bird Area (IBA) for over
10,000 waterbirds.
Saranda Bay and Butrinti lake: 96 endangered species do occur in this area that are included in the
IUCN Red List of Threatened Animals.
Furthermore, these areas, already affected by pollution problems, represent the territories for further
residential settlement, agricultural activities and mainly potential touristic development. These are factors
to be taken into account in the project analysis and alternatives set up and selections, mainly concerning
the impact on the environment.
In particular, Durres area is progressively affected by a noticeable urban settlement, which is
experienced by an uncontrolled expansion. Former use of the plain had a prevailing agricultural
destination and a regular network of surface natural canals was built in order to allow surface run-off to
drain into a central main channel. This channel finally discharges at sea by means of a hydrovore, to keep
the plain dried during and after important rainfalls, due to the presence of a surface aquifer. The central
open channel is now the final receptor of all sewage waters of the Durres District, whose discharge at sea
can provoke pollution effects and damages to the marine environment in the area of Porto Romano. The
plain is limited eastward by the Erzeni River, westward by the system of coastal hills and northward by
the rather complex system of coastal wetlands and dunes of the Lalzi bay. All natural district is
threatened by the direct and indirect impacts provoked on all environmental components by the
advancing spreading of the uncontrolled urban settlement. The western side of the plain is characterized
by the older urban as well as industrial settlement, now completely idle, but land and surface aquifer
contamination represent major problems not yet solved. In the middle part of the plain embankments of
an old fishing pond still remain, which represent a physical constraint to the chaotic expansion of the
urban settlement. Being not the settlement advances suitably planned , the required infrastructures in
terms of roads, energy and water supply, sewage water collection, etc are completely lacking, which
implies a strong impact on soil, surface and underlying waters and a threat to the natural resources of the
marine as well as wetland ecosystems.
Saranda bay represents the most attractive coastal area of Albania , where eco-tourism potential is
higher and strategies of sustainable development can be profitably implemented in the short and medium
term, with an interesting return for the local economics. Coastal Zone Integrated Management (CZIM) of
Saranda District, extending to Butrinti Lake, Bistrica Spring and hydrographic catchments and existing
- 33 -

wetlands, can be put forward and implemented only if sanitation problems and waste water treatment and
protection of the natural and marine environment are accomplished. As a consequence an action plan
combining main sewage water trunk line (covered by PHARE Funds) with a waste water treatment by
naturalistic processes is highly envisaged, to preserve the marine environment from existing pollution
effects. The area identified for the construction of the artificial wetland is located in the proximity of the
Ceka canal, where several solutions can be proposed.
Lagoon of Kune-Vaini is an important Protected Area, of great naturalistic value. City of Lezhe, the
intensive agricultural activity developed in the alluvional area as well as the progressive population
increase and future settlements, represent potential threats to the natural equilibrium and to the
biodiversity preservation of the aquatic ecosystems. Indeed, the sewage waters of Lezhe directly
discharge into the surface waters of the Drini River, whose spreading at sea can affect the environmental
conditions of all the coastal zone surrounding the river mouth, and consequently the lagoon. Direct
effects of contamination of the lagoon waters can also occur by surface run-off of the agricultural fields
and a hydrovore, installed to keep the fields dried after rainfall events, can increase the contaminant's
flow. As a consequence the eutrophication process can arise sometime in the lagoon waters. A
coordinated intervention, combining the waste waters treatment of Lezhe sewage waters by an artificial
wetland, with the accomplishment of a network of natural "filter streep", in order to intercept the surface
drainage of waters of agricultural origin into the lagoon, should provide positive results for the
preservation and protection of the natural resources.
It is also necessary to mention the naturalistic site of Kanalla Lake, being a natural spring of karstic
waters existing at the toe of the hills, within the lagoon. This a typical transitional water body, highly
polluted for the direct discharge of sewage waters coming from the village of Shengjin.
In such a case the solution cannot adopt the peculiarities of the natural wetlands, being the lagoon itself a
protected area and therefore no artificial ponds can be built inside. Conventional water treatment plants
have to be proposed.
2.
General Description of the Albanian Marine Ecosystem
The Albanian coastal region contains two geographic entities: the Adriatic and the Ionian Sea coastal
areas. The total length of coastline is about 429 km and the national waters confined to territorial waters
of 12 miles width. The continental shelf lies entirely within the exclusive zone. The shelf is wider in the
north (Adriatic sea), up to 25 miles across, and narrower in the south (Ionian sea), 2-3 miles width.
Beyond 25 miles, sea depth exceeds 1000 m in the international channel.
There is no particular wind that prevails in the coastal plain. In winter, the most frequent one blows from
the Southeast and in the summer season, the prevailing wind blows from the north-western direction.
There are three types of rather low currents in the Adriatic sea: continuous currents, tidal currents, and
wind-driven currents. Strong winds persisting for a couple of days may create temporary currents running
in the opposite direction with respect to steady and tidal currents.
The Adriatic coastal area (the northern part of the Albanian coast) is generally characterised by coastal
lowlands (alluvial plains) intersected by rivers, and flanked by hills along its upland boundary. The coast
is made of long sandy beaches, deltaic river mouths and lagoons. The coastal waters are shallow,
receiving water from the rivers and several drainage canals. At sea, the water depth increases slowly,
with first a sandy bottom with the associated biocenosis which becomes muddy with increasing depth.
On the sandy or muddy bottoms, the marine flora is scarce or occupies specific areas where currents or
- 34 -

waves have less action. The extensive seagrass beds of Posidonia oceanica are an important part of the
Albanian marine ecosystem, often occupying a considerable part of the littoral zone. Posidonia oceanica
and very well developed marine communities are found along Porto Romano bay and Shengjini bay.
The underwater rocky bottoms at Rodoni and Lagji Capes (Durres), and the eastern side of Vlora bay
host patches of Posidonia oceanica.
Porto Romano and Rrushkull-Erzeni River Outlet (Durres Area)
The area of Porto Romano and Lalzi bay is a narrow, reclaimed part of the coastal plain. There are some
natural habitats left along the coastline, such as a belt of pine trees, temporary marshes, roadbeds and salt
marshes. In addition to the loss of large wetland parts by land reclamation, the quality of natural
environment of that area continues to deteriorate due to the input of the polluted Erzeni river
(contaminated mainly by sewage disposed upstream), direct discharge of untreated urban and industrial
wastewater in the Porto Romano bay, excessive felling of trees for fuel, and uncontrolled hunting and
fishing.The underwater rocky bottoms at Rodoni and Lagji Capes host patches of Posidonia oceanica.
The Lalzi bay with the Erzeni river mouth is an environmentally sensitive area. The coastline of the
Rodoni-Bishti i Palles Capes, of which 35 % are cliffs exposed to mild erosion stretching along both
capes. The remaining parts of this unit are alluvial beaches (actually, the Lalzi bay) of which 18 % is
exposed to erosion and 47 % to deposition. Any intervention altering the quantity of the material carried
by the Erzeni river will affect the littoral, generating new erosion processes. The Porto Romano bay also
is a section attacked by erosion.
Drini Outlet (Lezhe-Shengjin Area)
This unit has about 15 km of the coastline, from Shengjini harbour to the southern part of Vaini lagoon
(including the Drini river), oriented in N-S direction. The shore are sandy and sediment is coming both
from the Buna and Drini rivers transported by the longshore currents. The marine slope is gentle reaching
the 20 m isobath at average of 2.0 km offshore. Kenalla, Kune and Vaini lagoons are separated from the
shallow coastal waters by the narrow sandbars, low and mobile dunes, and the planted pine tree belt (
Pinus halepensis, Pinus pinea).
Posidonia oceanica meadows and Penaeus kerathurus populations are reduced due to the polluted
industrial and urban discharges into this area(
(1) Albania Coastal Zone Management Plan : Final Report - Phase
One, 1995.
1). The breeding grounds of Posidonia oceanica have also deteriorated because of changes in
the structure of the fishing fleet(
(2) Albanian Convention on Biological Diversity -1999.2). Fishing activities
occur in the coastal waters including the trawlers from Shengjini and small local fishing boats. As in
other places, the local population is collecting Bivalves along the shores.
The coastal wetlands of Drini river (Kenalla-Kune-Vaini lagoons) are a part of an environmentally
sensitive area. Inland of the Shengjini beach lies the Kenalla lake surrounded by a dike with the open
lake and a dried-up part with salinity tolerant vegetation. Through a pipeline, the urban sewage of
Shengjini is directly drained into the lake. Further south lies the Kune lagoon extending up to Drini river
mouth. The coastal reach in the northern part of Shengjini has presented an coastal erosion phenomena.
After that, until some 2.5 km south of Shengjini, the coast is relatively stable or slightly receding.
Saranda Bay and Ksamili Bay (Saranda Area)
The coastline of Saranda bay to Ksamili bay can be divided into several sections: the area including the
town of Saranda shows a recent development on the northern bluff near the entrance to the harbour; the
- 35 -

area south of Saranda where the cliffs are steep and cut with caves and intermittent sandy beaches; the
abandoned citrus plantations and deforested areas in the vicinity of Ksamili; the Ksamili islands, with
small sandy beaches, wind-sculpted maquis forests, and extensive Posedonia oceanica meadows
covering the shallow areas of the bay of Ksamili. The whole area from Ksamili Islands to Stillo bay
could be integrated in a protected and managed area with interconnected areas. In Ksamili bay and inlets,
a marina and environmentally sound resort place could be settled.
3.
General Description of Natural Wetlands Ecosystems
3.1
Kune­Vain Wetland and Kenalla Lake
The Kune­Vain wetland and Kenalla Lake or complex Kune­Vain lagoon represent one of the important
coastal Albanian wetland. Area of Kune­Vaini wetland and Kenalla lake represents a wetland area of
multiple ecological and economic values and uses, as provide fish and wildlife habitats, support complex
food web, absorb water to reduce flooding and damage from storms, provide erosion control, improve the
quality of water ed in particularly provide open space & aesthetic value. The Drini River is the longest
river of Albania, and the Kune-Vain lagoon complex has been built by the accumulation of the river
sediments. This area is comprised in the network of Albanian Protected Areas, as described in the
document "Biodiversity Strategy and Action Plan (BSAP)", approved by Government of Albania in the
year 2000. The delta of Drini is recognized internationally as an Important Bird Area (IBA) and a
Specially Protected Area (SPS) and represent the area of Kune-Western part of Kune lagoon, defined in
the network of Albanian Protected areas as Scientific Reserve, according to the 1st category of IUCN.
The site of delta of Drini is one of the most important areas of Albania for wintering waterbirds; the most
important site for the nesting of herons (Ardeidae), and potential breeding site for the cormorants.
including pygmy cormorant (Phalacrocorax pygineus). The other two parts of this lagoon complex,
Kenalla­Eastern part of Merxhani lagoonand Drini River Outlet with Ceka (part of Vain wetlands) and
Vaini wetlands are defined as Managed Nature Reserve, in according to the 4th category of IUCN.
Ecological Description of the Kune Lagoon and Kenalla Lake
The lagoon of Kune presents rich floristic and faunistic values. In the group of fauna are included:
vertebrates (animals, birds, reptiles, amphibian, fish) and non-vertebrates (mollusks, crustaceans). The
macrobenthos of this lagoon is characterized mainly by an intense growth of Annelids, Tubuliferae,
Hydroids and Carcinus aestuarii. Also this area is rich of the birds as Rallus aquaticus, Gallinula
chloropus, Nycticorax Ardeola ralloids. Besides the main other bird species are present (see Annex 10
and 17). The diversity of the species is higher compared with the other part of the ecosystem (Kune-Vain
lagoon and Kenalla lake). The micro algae biomass level indicates high quantity of phytoplankton with a
relatively great number of species). Some of the diatoms are determined Dinoflagellates are presented in
few species (see Annex 10 and Annex 17). Regarding flora and vegetation, they mainly consist of:
aquatic vegetation; hydro-hydrogrophylic vegetation; halophyl vegetation; the psamophyl or sandy-dune
vegetation; forest vegetation. The amphibian are represented mainly by Rana lessonae, Rana dalmatina,
Triturus vulgaris, Rana balcanicaetc. Different kinds of reptiles, usually threatened, can be mentioned,
like Sea turtle and Earth tortoise. The observation of fishery catches and hypoeutectic salinity gradient
divide Kune lagoon in three main sub areas corresponding to fish species in these sub area (see Annex
10). The main fish specie are the eurohaline species: (Sparus aurata) gilthead seabream, Dicentrarchus
labrax, Mugilidae spp., Anguilla anguilla etc.
Ecological Description of the Vain Lagoon
The lagoon of Vain presents rich floristic and faunistic values. In the group of fauna are included:
- 36 -

vertebrates (mammals, birds, reptiles, amphibian, fish) and non-vertebrates (mollusks, crustaceans). The
zooplankton was found on low quantity in general. The lagoon of Vain has vegetation similar to the
lagoon of Kune. More than half of the water surface is covered by flooded Phragmites communis beds
with Thypha latifolia, the banks are composed of sedge communities, riparian woods of black alder
galleries with Alnus glutinopsa, Populus alba, Ulmus campestris, Fraxinus angustifolia, Salix alba and
Quercus sp. which are replaced over time by pine plantations. Maquis is composed mainly of: Tamarix
parviflora, Cornus mass, Juniperus macrocarpa, Rubus ulmifolium, Ruscus aculeatus; the herbaceous
vegetation of the marshland is characterized by Cynadon dactylon, Dactylis glomerata, Agrostis sp.,
Phragmites communis, Juncus acutus, Salicornia fructicosa. The birds species observed in the lagoons
are: Phalocrocorax carbo sinensis, Nycticorax nycticorax, Egretta garzetta, etc (see Annex 10).
Regarding the mammals can be found in the area: Mustela nivalis, M. putorius and Vulpes vulpes. The
dominant fish species are Anguilla anguilla and Mugil cephalus, and this lagoon presents lower salinity
than Kune lagoon. Also are present in this lagoon, in the low quantity the other eurohaline species as: (
Sparus aurata) gilthead seabream, (Solea vulgaris) common sole, (Liza aurata) golden grey mullet, (Liza
saliens) leaping mullet, (Chelon labrosus) thicklipped grey mullet, (Dicentrarcus labrax) european
seabass, etc.
3.2
Rrushkulli­Erzeni River Outlet
The Rrushkulli-Erzani River Outlet area is situated in Lalzi bay, the central part of the Adriatic coast of
Albania, between Rodoni cape in the north and Bishti Palles cape in the south. It is boarded in the north
and east by a hilly ridge reaching a maximum height of 225 m, while in its south-east it continues with
the drained fields of Qerreti and Durresi, formerly salt marshlands. The catchments area of the Lalzi bay
is estimated at about 250 km2. Some parts of the area, close to the coast, are depressions reaching up to -
1.5 m. They are kept dry by the actively pumping water through the pumping station near Hamalla
village. The most of the area is occupied by the agricultural land, while the once well developed
hygrophilic flood plain forest has almost disappeared; some small spots of it are still present only along
the coastline north of Erzeni river mouth.
Sand dunes relatively well developed, halo-phyte and
hygro­phyte vegetation, and a planted pine forest can be found in this area. Waterbird and waterfowl
censuses of the last two years have identified this area as an important IBA (over 10000 waterbirds and
wetlands birds have been counted here). The Erzeni River Delta is important for migratory fish species
breeding in freshwater. Posidonia
meadows, Posidonia oceanica, and very well developed marine
communities are found along the rocky littoral and Porto Romano Bay.
Ecological Description of the Area
The area of Rrushkull-Erzeni River outlet is originated from the alluvial sediments of the Erzeni river,
which meanders across the area. The sub area Rrushkull­Hammalla lays in the Lalzi bay, from outlet
(mouth) of Erzeni river in the South to the overflow of the Tarini stream in North and in the East in some
cases, it lays for many kilometres, and it is limited from the agricultural land of the ex state agriculture
farm Sukth (Hamallaj, Rrushkull, Jubë). The terrestrial environment of this area presents these types of
habitats: sand dunes, salt tolerant vegetation, flood plain and pine forests, and wetlands/marshlands. Sand
dunes occupy a belt from 10 to 50 m in width along the entire coastline. There are two main types of the
dune vegetation: Plant community dominated by Cakile maritima, in the form of isolated spots, 4-5 m
distant from each other, closer to the shoreline. Plant community dominated by Elymus farctus, on the
well developed dunes, in which apart from the Dominant species, are present other species like;
Eryngium maritimum. Echinophora spinosa, Euphorbia paralias, etc. Salt tolerant vegetation is mainly
present in the left hand side of the Erzeni river mouth. This type of vegetation is characterized by
succulent plants like: Arthrocnemum fruticosum, A. perenne, Salicornia europaea, Halimione
portulacoides, Limonium vulgare, Inula crithmoides etc. The dominant species are Pinus pinaster and P.
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halepensis. This formation is generally not so dense and rather young. The area contains also some rare
and endangered plant species as: Quercus robur, Fraxinus excelsior, Juniperus oxycedrus, Matthiola
tricuspidata, Pancriatium maritimum, Quercus ilex, Adiantium capillus-veneris, Butomus umbellatus,
Salix triandra. The coastal area presents the important fishing site for Mugil sp., Liza sp., Dicentrachus
labrax, Umbrina. cirrosa, Lichia amia, Sparus sp., Alosa phalax, Anguila anguila and for crustaceans
Paeneus ceraturus and for bivalves Venus galina and Donax trunculus.
3.3
Butrinti Lake and Related Wetland Environment
This area includes Butrinti lagoon, Ksamil Island and Stillo Island and cape in the zone from Cape Qefali
to the Greek border. This area belongs to the District of Saranda and covers 35 km of coastline. The
relief is not very important with an altitude of 363 m at about 4.5 km of the coast east to Butrinti lake. In
Butrinti area, grey herons, gulls, egrets, ducks and snipes are seen on the mudflats and saltmarshes
bordering the mouth of the Butrinti canal and river up to 4 km inland. The phytoplankton population of
the lagoon is abundant and mainly composed of diatoms Cheatoceros sp., Cyclotella sp. and Peridinates
Prorocentrum sp. and Peridinium sp.. The accumulation of phanerogam Zostera noltii foliage is an
indication of its extensive presence within the lagoon. Balanidae are very common among Crustacea and
Mytilus galloprovincialis among Molluscs. The birds seen in the area are: Larus cachinnans, L.
argentatus, sparrows Passer hispaniolensis, P. montanus on the lake. While in marshland and the
mudflats at the estuary are reported marsh harriers Circus aeruginosus, Acrocephalus scirpaceus, etc.
Great concentrations of migratory birds occur in fall and winter, waders on the mudflats, saltern and in
the estuary of the channel while Anatids assemble in large colonies on the lake during the coldest
months. This area is also the richest of Albania for amphibians and reptiles. Otters have been recorded in
the lagoon. The terrestrial vegetations are characterized by associations of Caxilo xanthum italici (Caxile
maritima, Xanthium stumerium), Crithmo-Limonictum anfract. (Crithmum maritimum, Limonium
anfractus), associations of Crithmetum (Crithmum maritimum), associations of Ammophiletum
arundinaceae (Ammophila arerrari, Medicago marina, Echinophora spinosa), of Salicornictum
fructicosae (Arthrocnemetum fructicosum), Salicornictum radicentis (Arthrocnemum perenne), Juncetum
maritimi (Juncus maritimus), Juncetum acuti (Juncus acutus) and of Sporoboletum (Sporobolus pungeus)
.
4.
Surface Water Quality and Pollution Loads
During the study a water/wastewater and seawater quality examinations have been performed, in order to
confirm or adjust available water quality data. The examination mainly concerned raw sewage and
receptor water-bodies quality. The sea water quality have been investigated in terms of indices on water,
sediments and biota. The analyzed sewage samples taken at project's sites wastewater facilities can be
characterized as strong-moderate with typical domestic composition. The analyses and assessment of
existing studies, as well as the analyses performed during the study, show the degradation of the quality
of water resources by pollution from land-based activities (nutrients, pathogens and oxygen demanding
wastes), in the all coastal cities of Durres, Lezhe and Saranda. The results of the water/wastewater and
sea quality examinations are fully described in Annex 4. The expected wastewater pollution effects on
the marine environment are described in following paragraph 5.
5.
Wastewater Pollution Effects on the Ecosystem
Environment is an end user of water resources which poses therefore sometimes severe restrictions
particularly on the emission of wastewater from other water use sectors. High BOD loads and suspended
materials may influence biochemical and light conditions in the marine environment; industrial
micropollutants may be directly toxic for aquatic life and fish; and pollution from excess agrochemicals
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may have similar effects.
The marine ecosystem, though almost certainly damaged by uncontrolled wastewater emission of coastal
urban concentrations, industry and polluted rivers, is still generally in a reasonable condition and its
ecological and economic value may be considerable. Unfortunately, studies about the value and eventual
degradation of the marine ecosystem are rare and an overall inventory has never been executed. The
Biodiversity Action Plan has as a priority the mapping of the sea meadows with Posidonia oceanica and
the study of animal groups and plants, because of lows scale of knowledge of a considerable part of these
plants.
Little is known in Albania about marine environment along the Adriatic Coast and the effects of the
considerable pollution of the last 30 years, both by discharge into the sea of polluted river water and by
direct discharge of untreated urban and industrial wastewater. Except for smaller areas along the coast in
the vicinity of cities and industrial concentrations, inspection shows in general visually clear and
unaffected waters. However, systematic research on marine ecosystems and the effect of pollution has
never been executed.
The problem of pollution in the marine environment becomes ever more serious. Adriatic Sea is easily
exposed to pollution because of restricted water exchange and long shore lines. Areas with stagnant or
partly stagnant conditions are especially sensitive to pollution due to slow water exchange. Organic
wastes from communities and industries will cause an oxygen reduction process in the water. Oxygen is
utilised for oxidation of the organic matter and nutrients bound in the matter will be released. This
process will cause an increase of the primary plankton production in the area. This again will increase the
oxygen utilisation. A secondary oxygen reduction process will begin, where the new organic matter is
oxidised. This secondary oxygen reduction may require two to five times more oxygen than the primary
process. This secondary process is not accounted for in the conventional BOD techniques.
The enrichment of natural waters by nytriens (eutrophication), primarily nitrogen in marine waters but
also phosphorus, has been associated with incresed primary productivity and nuisance algal growth in
coastal zones and semi-enclosed and enclosed areas of seas. Increased loads of nutrients to coastal waters
have caused increasing eutrophication and the major sources of nutrients to coastal waters are from
sewage disposal. The primary production increases until the light penetration limits it. The consequences
of eutrophication can be incresead frequency of algal blooms (sometimes toxic), increased water
turbidity, slime production, oxygen depletion in deep waters and mass fish and benthic fauna kills. Signs
of such eutrophication can be observed in the Saranda bay, Shengjini and Kenalla. The relatively low
concentrations of dissolved oxygen in Saranda bay (approx. 7.63 mg/l), in Shengjini bay, Kenalla Lake
(approx.8.46 mg/l) and Drinit river (9.70 mg/l), are to be related to pollution by organic matter. Also the
results of the chemical analysis into the sea near the points of sewage discharge (see Annex 4)
demonstrate the presence of nitrites. Particularly in Saranda bay, Shengjini bay and Porto Romano bay, it
was observed(
(3) Kashta L. and Mio A., 1992-Tirana University.3) the development of some nitrofile algae
populations (Ulva rigida and Enteromorpha spp.), and this is an other demonstration of eutrophication in
this waters. Ammonia can be converted to organic nitrogen by these resident algae (Ulva,
Enteromorpha). Ulva blooms can become so luxuriant that the algal decay products are more unpleasent
than the sewage itself. Sewage pollution is directly responsible for the closure of many molluscan
shellfish growing areas in Europe. Sellfish can accumulate and retain pathogenic organisms and toxic
organic and inorganic substances present in the growing areas. During the last years mussel breeding was
practically stopped, both for internal organisational reasons, but above all because of the block on
exports imposed by the EC for sanitary reasons, in October 1994 for all living products of the fishery
sector. The main requirement for the export of live mussels to the EU is the setting up of a shellfish
monitoring system to guarantee the safety of bivalves harvested from water bodies. Currently Albania
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faces a ban due to a previous outbreak of cholera in live molluscs. This issue is now being addressed
through the development of a monitoring system to certify the areas on the Albanian coastline and the
marine waters that can harvest and export mussels. This is covered by EC/91/492 on placing live bivalves
on the EU market.
Posidonia oceanica meadows populations are reduced due to the polluted industrial and urban
discharges into this area, particurarly in the Shengjini- Lezha and Saranda-Ksamili area, but also in the
Porto Romano and Lalzi bay. This has been associated with an increase in water turbidity (Secchi disc.
1.25-1.50 m, Annex 4) reducing the amount of light exposure on the sea bed and this caused reduction in
the Posidonia oceanica beds over the last decades (Kashta L., 1998). In sea areas with a low nutrient
content a release of organic wastes may cause eutrophication of the surface water in the whole area. The
increased biological production may be beneficial to the surface water by increasing the fish yield, but it
can have serious effects on conditions in the deep water. Increased decaying organic matter there may
lead to oxygen deficiency and can destroyed bottom fauna. It seems to be very difficult for nature to
restore oxidising conditions when such a fertilisation cycle has started.
In Albania, the major types of endangered ecosystems and habitats are not only coastal (sand dunes, river
deltas, alluvial forests, lagoons, and coastal lakes), but also marine ecosystems at medium and infralitoral
level (
(1) Albania Coastal Zone Management Plan : Final Report - Phase One, 1995.1). The Posidonia meadows
represents an important ecosystem in the Adriatic Sea. The fundamental role played by the marine
phanerogam meadows and in particular by Posidonia, can be summarised in the following points:
stabilisation of the sea-bed through the development of an effective radical and stoloniferous apparatus;
reduction of the intensity of movements of water with consequent maintenance of coastal balance, thanks
to the softening effect of the "matte" and the layer of vegetation; high production of oxygen and organic
material by means of photosynthesis; direct and indirect source for numerous organisms and starting
point for a complete food web; habitat of choice for numerous commercially important species, such as
fish, cephalopods and crustaceans.
Information from all three project areas gives quite a clear picture of the organic load of the respective
coastal zones. In all the project areas the urban centres discharge sewage directly into the sea (Saranda,
Porto Romano-Durres and Shengjini bay) or into the wetlands (Kenalla ) or into the river (Drini-Lezhe)
at short distances from the sea and discharged sewage is not treated. The situation is particularly severe
in Saranda, Shengjini and Kenalla. In the city of Saranda, urban and industrial waste is discharged
directly in the central part of Saranda bay, and through the Cuka channel (
(2) According EU Phare
Program-"Emergency Measures-Saranda Water Supply and Sanitation"-see Annex 9
2) into the sea. The waste
plume spreads across the bay of Saranda, in a northern direction, polluting waters in front of Saranda.
These discharges of untreated domestic sewage can significantly add to the total loads of contaminants.
Due to the breakdown of organic matter, such discharges can cause immediate problems to marine life
from high oxygen demands in the water column and sediments and through toxic effects of ammonia. Of
immediate concern to humans is the presence of large numbers of pathogens that can cause illness and
disease. Also associated with the presence of pathogens is the potential contamination of seafood,
particularly shellfish, which in Saranda bay and Butrinti lagoon (mussel Mytilus galloprovincialis) and in
areas like Porto Romano, Lalzi and Shengjini (clams Chamelea gallina, Ruditapes decussatus etc) are
commercially very important for Albanian fishery.
Pollutants may affect reproduction in many different ways. Teratological development of embryos may
result in deformed or malfunctioning larvae which do not survive hatching. Reproduction may be
influenced by behavioural changes of the adults during the mating season. Their behaviour, the
- 40 -

production of eggs and sperm, the secretion of egg membranes, eggshells and production of egg nutrients,
may be all affected by changes of hormone function and enzyme activity. Changes in the ecosystem may
influence reproductive success when vitellogenesis is directly influenced by the availability of food. In
the coastal area of Shengjini bay (particularly northern part-Rana e hedhun), in Porto Romano and Lalzi
bay and near the Saranda and Ksamili bay there are very important areas for reproduction of some fish
species, first of all for sea bass (Dicentrarchus labrax).
6.
Synthesis of the Pollution Effects in the Project Areas
According the available data and observations, the pollution effects by uncontrolled and increased urban
wastewater discharges into the marine environment can provide negative consequences both at the
environmental level and to the institutional and economic ones.
A list of potential problems is put forward in the following:
endangered marine ecosystems and habitats, in medium and infralittoral level (particularly
Shengjini-Lezha area, Porto Romano bay and Saranda bay);
endangered coastal ecosystems: sand dunes, delta rivers (particularly Drini-Lezha), alluvial and wet
forests, lagoons ( Kune and Vaini) and coastal lakes (Kenalla);
risks and adverse impacts on biodiversity, and some of the major adverse impacts have been:
habitat loss and fragmentation, damage (Porto Romano bay, Shengjini and Saranda bay) and
degradation (Kenalla lake) of habitats and ecosystems, loss of species or the threat of their extinction
etc.;
reduction of the Posidonia oceanica meadows populations, particularly in the Shengjini- Lezha
and Saranda-Ksamili area, but also in the Porto Romano and Lalzi bay;
development of some algae populations (Ulva and Enteromorpha), particularly in Saranda bay,
Shengjini bay and Porto Romano bay;
observation of some eutrophication in the Saranda bay, Shengjini area and Kenalla lake;
probability to affect reproduction of the fish species (e.g. sea bass) in the marine ecosystems of
Shengjini bay (particularly northern part-Rana and hedhun), in Porto Romano and Lalzi bay and near
the Saranda and Ksamili bay, etc.;
negative consequences on the eco-tourism development;
delay for the implementation of the Coastal Zone Integrated Management and of the economic
development;
difficulties in implementing institutional strengthening measures in order to implement the
sustainability and biodiversity maintenance policies.
By Component:
Project Component 1 - US$ million
- 41 -

Additional GEF Annex 3: Incremental Cost Analysis
ALBANIA: Intergrated Water & EcoSystems Management GEF
Project Background
The aim of this project is to reduce the sewage pollution load from the 3 cities of Durres, Saranda, Lezhe
in order to protect and improve the environmental conditions of coastal and marine habitats. The great
part of the ecosystems considered by the project have been ranked at international level according with
the Ramsar convention. The project will support an integrated approach to ecosystem management based
on the reduction of nutrients through the construction of artificial wetlands for wastewater treatment, as
well as improved management of the protected area of Kune-Vain.
Sector Context and Baseline Scenario
Albania's water infrastructure is in urgent need of improvement, in technical short term rehabilitation and
in medium and long term technical and managerial improvements. Water quality could be improved
significantly with a reliable supply of chemicals. Under existing conditions excessive water losses have
resulted from lack of maintenance and repair and lack of metering and operational control. . Wastewater
treatment facilities do not exist in Albania and raw sewage is discharged untreated into sea and rivers.
Several causes for these conditions of Albania's water sector are:
Lack of revenues: Tariffs below the true cost of water and lack of tariff collection enforcement in the
last decade have significantly reduced the income of the water supply companies. Water and
sanitation systems have received virtually no maintenance in the last ten years.
Over consumption: Flat rates rather than metered consumption resulted in massive water waste and
also the collapse of the irrigation system has contributed to a sharp increase in water demand in the
last ten years. On top of this, a massive migration to urban centres, with illegal tapping and no
incentive to reduce water consumption, augmented the water sectors problems.
Inadequacy of the physical infrastructure: Due to the lack of appropriate materials/equipment and
insufficient consideration of the economic aspects in the design, the existing systems are expensive
to run and to maintain.
The Government of Albania (GoA) has embarked on a water sector strategy, that involves a two-tier
approach focusing in the short term on urgent repairs to the systems and on medium term program to
support sector reforms. Within this medium term program, the World Bank recently approved a US$ 21.9
million Municipal Water and Wastewater Project aiming at improving the water and sanitation services
in Albania.
Albania is characterized by the presence of very relevant coastal and marine ecosystems (lagoons,
hygrophilous forests, Posidonia meadows) where the biodiversity value is menaced by the presence of
urban settlements in the surroundings and the associated environmental impacts (in particular the
eutrophication of water due to the existing raw sewage outfalls). The coastal lagoon system of Albania
constitutes one of the most important wetlands of the Mediterranean Region. In particular endangered
and endemic species as the Pygmy cormorant (Phalacrocorax pygmaeus), the Mouse-ear bat (Myotis
miotis) and the Otter (Lutra lutra) live in these habitats and should be considered as flag species.
Water pollution mainly associated with the flow of untreated sewage is one of most relevant threats of
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these ecosystems which has considerably deteriorated the natural inland ecosystems and the biological
productivity of the coastal areas. Albania lacks of any wastewater treatment facilities and existing raw
sewage outfalls are located either directly on the seacoast, on the bank of coastal rivers or on drainage
ditches that after a short distance discharge directly into globally significant tidal marshlands and/or the
sea. This has the effect of upsetting the biological balance and also increases the subsequent
eutrophication phenomena of wetlands. It is also known that coastal water pollution with particular
reference to the untreated waste waters heavily affects Posidonia oceanica meadows and the related
communities (e.g. the endangered species Pinna nobilis).
The Government is committed to biodiversity conservation and the water sector is one of priorities at
national level in line with the Strategic Principles of the Albanian Biodiversity Strategy. However, urban
population is growing rapidly with increased pressure on
the quality of the surrounding water
ecosystems (sea, wetlands). The Government of Albania has very limited financial resources to create
wastewater treatment facilities.
As a consequence of the current course of action coastal areas will likely continue to be under the
growing pollution effects of uncontrolled and increased urban wastewater which can be described as
follows:
endangered marine ecosystems and habitats, in medium and infralittoral level (particularly
Shengjini-Lezha area, Porto Romano bay and Saranda bay);
endangered coastal ecosystems: sand dunes, delta rivers (particularly Drini-Lezha), alluvial and wet
forests, lagoons ( Kune and Vaini) and coastal lakes (Kenalla);
risks and adverse impacts on biodiversity, and some of the major adverse impacts have been:
habitat loss and fragmentation, damage (Porto Romano bay, Shengjini and Saranda bay) and
degradation (Kenalla lake) of habitats and ecosystems, loss of species or the threat of their extinction
etc.;
reduction of the Posidonia oceanica meadows populations, particularly in the Shengjini- Lezha
and Saranda-Ksamili area, but also in the Porto Romano and Lalzi bay;
development of some algae populations (Ulva and Enteromorpha), particularly in Saranda bay,
Shengjini bay and Porto Romano bay;
observation of some eutrophication in the Saranda bay, Shengjini area and Kenalla lake;
probability to affect reproduction of the fish species (e.g. sea bass) in the marine ecosystems of
Shengjini bay (particularly northern part-Rana e hedhun), in Porto Romano and Lalzi bay and near
the Saranda and Ksamili bay, etc.
negative consequences on the eco-tourism development;
delay for the implementation of the Coastal Zone Integrated Management and of the economic
development;
difficulties in implementing institutional strengthening measures in order to implement the
sustainability and biodiversity maintenance policies.
Regional GEF projects have focused part of their activities on the conservation of biodiversity of
Albanian wetlands and lagoons, like in the case of the Conservation of Wetland and Coastal Ecosystems
in the Mediterranean Region Project (Karaburun, Orikumi, and Narta habitats) and the Lake Ohrid
Conservation Project. Taking into consideration the international relevance of these habitats, other GEF
projects have been planned on other Albanian wetlands as on the lake Prespa, and on the Karavasta
lagoon. Very few activities have been planned for the Albanian marine habitats. This is probably
associated with to the scarcity of data and information on these areas, although live endangered species
as the Monk seal (Monachus monachus) and the Sea turtle (Caretta caretta) do occur in these areas.
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Global Environmental Objective
Based on the present economic situation and the lack of active environmental pressure groups, it is likely
that biodiversity conservation will not be sufficiently promoted in the near future. This project promotes
and expands the use of CTW's in areas where existing pollution loads are threatening natural wetland
systems critical for biodiversity.
The coastal cities of Durres, Lezhe, Saranda do not have any
wastewater treatment facilities, as such the project aims to capture global benefits by reducing land-based
pollution from the three cities and protect and restore endangered coastal and marine habitats by
introducing low cost ecologically based wastewater treatment.
The global objective of the GEF alternative is to improve the health and habitat conditions of globally
significant marine and coastal ecosystems along the coastline of Albania in an integrated manner by
significantly reducing pollution from uncontrolled municipal wastewater generated by human settlements
of the three coastal cities of Durres, Lezha and Saranda that are discharging into international waters and
improving the management of the tidal marshland of Kune Vain (near Lezha).
In order to achieve its objectives the GEF alternative will implement four main activities: (i) Sewage
pollution reduction through construction of low cost environmentally-friendly waste water treatment
facilities (CTW); (ii) environmental management and monitoring through improved monitoring of water
quality and biodiversity indicators and institutional strengthening of the Kune-Vain protected area
management administration; (iii) public awareness and replication and (iv) project management,
monitoring and evaluation.
The CTW provides a noticeable reduction of the pollution loads into the receiving water bodies, which
represents the major contribution to the protection and restoring actions in the endangered coastal zone
and marine habitats. According the analytical calculation, the following Removal Efficiency (RE%) are
expected: BOD 70%, and fecal coliform removal of 95%, studies show the CTW are effective at
removing nutrients such as nitrogen (Re=50%) and phosphorous (Re=25%). Tab. 1/a and 1/b provides an
estimation on the quality of waste water in case of implementation of the constructed wetlands according
with Project Preliminary Design. In Tab. 1/a are shown the Removal Efficiency (RE%)((*) RE% is the
ratio of the out-let concentration versus the in-let concentration of the wastewater pollutant.*) of the
CTW according to the "fully natural" wastewater treatment system (i.e. oxidation ponds interconnected
with a Free Water Surface system). Whereas in Tab.1/b are shown the Removal Efficiency (RE%)20.3/a
according
CTW wastewater treatment option with "mechanical aerated ponds" (i.e. aerated ponds
interconnected with a Free Water Surface system).
Table 1/a-Quality of wastewater in Durres, Lezhe, Saranda after project intervention on Project
CTW basic scheme-fully natural solution
Main Parameter
Assumed Sewage
Expected median
Expected median
Inlet concentration
of RE%
Outlet concentration
(mg/l)
(mg/l)
BOD
250-200
70%
75-60
N-total
60-50
50%
30-25
P-total
27-20
25%
20-15
Table 1/b-Quality of wastewater in Durres, Lezhe, Saranda after project intervention on Project
CTW option with aerated ponds
- 44 -

Parameter
Assumed Sewage
Expected median
Expected median
Inlet concentration
of RE%
Outlet concentration
(mg/l)
(mg/l)
BOD
250-200
85%
50-30
(range 30%-95%)
N-total
60-50
75%
15-10
(range 20%-80%)
P-total
27-20
65%
15-10
(range 20%-70%)
In addition, the GEF alternative is designed to improve management of wetlands and possibly restoring
precious habitats by strengthening the management of the Kune Vain protected area. The conservation
measures of the proposed GEF alternative are actions which are `additional' to the baseline. These
additional actions will complement existing and planned activities consistent with the Strategic
Principles of the Albanian Biodiversity Strategy and the implementation of the constructed wetlands.
Costs:
The total cost of the GEF alternative is estimated at US$ 12,230,000.
GEF
EIB
GoA
Total
Sewage Pollution Reduction
4,380,000
5,640,000
720,000
10,740,000
Environmental Management and
200,000
1,000,000
1,200,000
Monitoring
Replication Promotion
200,000
200,000
Project Management
90,000
90,000
Total
4,870,000
6,640,000
720,000
12,230,000
Benefits: The implementation of the GEF Alternative would provide the means to protect unique coastal
landscape and marine habitats, as well as restoring high priority wetlands (Kune-Vain) and several
habitats for important bird species. Benefits generated from the project would include those of local
nature such as protection of local and regional environmental resources and increased public awareness
of environmental issues as well as those of global nature such as reduction of nutrients in flow waters and
the protection of rare and unique ecosystem. The GEF grant has helped leverage funds from other donors
for additional activities.
Incremental Costs
The difference between the cost of Baseline scenario (US$ 21,930,000) and the cost of the GEF
Alternative (US$ 34,160,000) is estimated at US$ 12,230,000. This represents the incremental cost for
achieving sustainable global environmental benefits. Of this amount, the Government of Albania has
committed to finance US$ 720,000, while US$ 6,638,000 is leveraged from the European Investment
Bank. The amount requested form GEF is US$ 4,870,000.
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Table 4 - Incremental Cost Matrix
Component
US $
Domestic Benefit
Global Benefit
Sewage Pollution
Baseline:
Improvement in water and
Reduction
US$ 21,800,000
wastewater services, including
(through construction of
improved management of
artificial treatment
water utilities and
wetlands)
rehabilitation of existing water
infrastructure. Improvement in
wastewater collection will
have no significant impact on
nutrient reduction and
therefore environmental
deterioration of water and land
and their ecosystem will
continue.
With GEF Alternative:
Waste water treatment
US$ 32,540,000
through artificial wetlands
will yield significant nutrient
reduction and will help
restore endangered coastal
and marine habitats and
protect globally significant
biodiversity

2023
30,000
1,262,900
177.0031.508.80
Saranda
2004
30,000
700,800
98.0017.504.90
2023
60,000
2,628,000
368.0065.5018.00
Table 7 - Cost Effectiveness-Durres
Incremental effects
Total BOD 5 reduction (20 years/ton)
24.846
Total Nutrient reduction (Nitrogen/N) (20 years/ton)
3.550
(Phosphorus/Ph) (20 years/ton)
991
Abatement costs
US$
Lek (*1000)
Total incremental costs
5.663.000
792.820
Abatement costs ton/BOD5
228
32
Abatement costs ton/Nitrogen
1.595
223
Abatement costs ton/Phosphorus
5.712
800
Total annual cost per inhab (capital costs + M&O)
5,13
0,718
Investments per inhab.
38
5,285
Average Incremental Costs per cu m treated
0,04
0,006
Table 8 - Cost Effectiveness-Lezhe
Incremental effects
Total BOD 5 reduction (20 years/ton)
2.302
Total Nutrient reduction (Nitrogen/N) (20 years/ton)
411
(Phosphorus/Ph) (20 years/ton)
114
Abatement costs
US$
Lek (*1000)
Total incremental costs
1.057.000
147.980
Abatement costs ton/BOD5
459
64
Abatement costs ton/Nitrogen
2.575
360
Abatement costs ton/Phosphorus
9.244
1.294
Total annual cost per inhab (capital costs + M&O)
7,70
1,078
Investments per inhab.
59
8,221
Average Incremental Costs per cu m treated
0,06
0,009
Table 9 - Cost Effectiveness-Saranda
Incremental effects
Total BOD 5 reduction (20 years/ton)
4.539
Total Nutrient reduction (Nitrogen/N) (20 years/ton)
808
(Phosphorus/Ph) (20 years/ton)
223
Abatement costs
US$
Lek (*1000)
Total incremental costs
858.000
120.120
- 48 -

Abatement costs ton/BOD5
189
26,467
Abatement costs ton/Nitrogen
1.061
149
Abatement costs ton/Phosphorus
3.846
538
Total annual cost per inhab (capital costs + M&O)
3,77
0,528
Investments per inhab.
29
4,004
Average Incremental Costs per cu m treated
0,03
0,004
- 49 -

Additional GEF Annex 4: STAP Roster Technical Review
ALBANIA: Intergrated Water & EcoSystems Management GEF
STAP Review of the GEF Project component
GOVERNMENT OF ALBANIA: INTEGRATED WATER & ECOSYSTEMS MANAGEMENT
Richard Kenchington
RAC Marine Pty Ltd
PO Box 588
Jamison
ACT 2614
Australia
Scientific and technical soundness
The detail provided on the operational design of constructed treatment wetlands was limited, but the
scientific and technical basis of using wetlands to reduce the level of sewage pollution contaminants
flowing through to environmental waterways is sound. The project is linked with the Bank's Municipal
Water and Wastewater Project and addresses the critical issue of reducing nutrient pollution resulting
from untreated discharges from the cities of Durres, Lezha and Saranda. It makes an important
environmental linkage by also addressing the preparation and implementation of an effective
Management Plan for Kune-Vain natural reserve.
The basic premise is to implement environmentally sustainable natural wastewater treatment and link this
with improved management and monitoring of areas with globally important biodiversity. If successful it
will address an important element of the environment/poverty linkage and should contribute to building
national awareness of the importance and benefits of addressing environmental issues.
The proposal is also linked with the EU PHARE financed Karavasta Lagoon ­ Wetland Management
Project and the UNDP GEF project on Conservation of Wetland and Coastal Ecosystems in the
Mediterranean Region. It also links with the Mediterranean Action Plan (MAP) funded and coordinated
by the United Nation Environment Program (UNEP) and within MAP to the Program for the Assessment
and Control of Pollution in the Mediterranean Region More broadly, it builds upon and should extend the
practical demonstration of implementation and benefits of comparable pollution reduction projects being
undertaken in catchments draining into the Baltic and Black Seas.
Global environment benefits and costs
Nutrient pollution of enclosed seas has been identified as an environmental issue of global significance.
Major changes in the Adriatic Sea have been attributed to very high levels of eutrophication with impacts
on the habitats of endangered species and biological diversity generally. If this project achieves its
objectives it will have clear benefits in addressing a significant source of nutrient pollution of the
Adriatic Sea from Albania.
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The context of GEF goals and guidelines
The project clearly addresses the issues of surface water contamination within the context of
environmental-poverty linkages. It should bring early benefits through improvements to public health and
the living conditions of some of the poorest people.
With adequate attention to information and
education it should help to generate understanding of the social and economic importance of the benefits
of good environmental management.
The project is consistent with the objectives GEF Operational Programs No.2 Coastal, Marine, and
Freshwater Ecosystems; Number 8, "Waterbody Based Operational Program", which focuses "on
seriously threatened water-bodies and the most important trans-boundary threats to their ecosystems".
No.9 Integrated Land and Water Multiple Focal Area; No.10 Contaminated-Based and No.12
"Integrated Land and Water Multiple Focal Areas Operational Program". It applies the guidelines with
respect to incremental costs and the log-frame.
Regional Context
The project is important in the context of addressing eutrophication and other pollution related threats to
the Adriatic and Ionian Seas.
Replicability
This project builds on experience of projects addressing conservation and management of wetlands in
catchments draining into the
Black and Mediterranean Seas. It is replicating and extending this
experience in the socioeconomic context of the development of Albania. The clearly stated intention in
the design concept is that this will develop experience and capacity to replicate similar practices in other
catchments draining into the Adriatic and Ionian Seas. The proposal addresses survey and selection of
sites for replication.
Sustainability
The use of constructed treatment wetlands is part of a longer term strategy of progressing from the
current situation of discharge of untreated sewage into marine and riverine waterways to advanced water
treatment. It will bring some immediate environmental improvements.
In the longer term as the financial situation of the water cycle companies is stabilised the strategy
envisages investment in secondary treatment facilities with the constructed and natural wetlands
operating to provide advanced tertiary treatment with an increasing range of benefits from flows of
unpolluted waters. Progress beyond this project to the complete treatment cycle will depend on
community willingness to pay the consequent water and sewage charges. This in turn will depend upon
demonstration to the community and continuing appreciation by decision-makers of the economic,
environmental and social benefits of high quality management of water and sewage, and of
the
Kune-Vaine protected wetland.
Contribution to future strategies and policies
As discussed above, success with this project should contribute to the broader adoption of high quality
water and sewage management and protection of environmentally significant wetlands in Albania.
- 51 -

Involvement of stakeholders
The project proposal recognises that at this stage of its development:
"environmental problems in Albania, like in most other transition countries, still take a secondary
place in the order of priorities "
and that Albania:
"lacks a politically active and environmental conscious elite to actively steer the country toward an
environmentally conscious development".
To achieve extension needed to secure the long term benefits of this project will require:
"decentralized and financially self sufficient management units with a strong involvement of local civil
society."
A key element for the future is willingness to pay. In this case that will depend on awareness of the
social, economic and environmental benefits of water treatment and wetland management and of the
costs of failure to manage.
The proposal indicates that
"the rationale, benefits and objectives of the project should be made known to all stakeholders
through effective public awareness programs. The benefits of sustainable wastewater treatment need
to be demonstrated and the results widely disseminated."
There is no discussion of approaches to achieve this beyond:
" it is expected that consultation with beneficiaries will be on a continuous basis during project
implementation through public relations campaigns conducted by the private operator under the
Municipal Water and Wastewater Project."
There is no provision for community or school based education in this process and this is a significant
issue given the critical importance of developing the necessary understanding to achieve long term
willingness to pay. Other environmental projects have demonstrated the benefits of accelerating the
acceptance of information into communities through school children having good information and
discussing it within family groups and through encouragement of discussion through local activities in
the media, cultural and community groups.
Risk assessments
To the extent that I can judge, being unfamiliar with the field operating situation, the risks seem to be
reasonably discussed and I generally concur with the assessments. In particular the identification of
willingness to pay as a substantial risk suggests that, as discussed above, a more deliberate and costed
education strategy would strengthen to the proposal.
Costs
- 52 -

I have insufficient operational experience in the target area to make substantial comment on the detail of
funding allocations. However the budget for replication is very small $100K out of $5.5 million GEF or
almost $13 million total. Given that replication funding will in any case be used for identifying and
surveying additional sites for replication there is no effective provision for education in this item. It may
be subsumed under another heading but that is not apparent. In the light of comments above on the role
of school and community education in development of willingness to pay I would suggest that the design
team consider making clear provision for an education component of the program.
Conclusion
This is an important project addressing the issues of sewage pollution, wetland in ways that reasonably
reflect the operating constraints of the transitional status of Albania. Subject to adequacy of provisions
for education as a means to address immediate and longer term willingness to pay I recommend that it
should proceed.
R A Kenchington
RAC Marine Pty Ltd
1 March 2003
- 53 -

World Bank Response to STAP Reviewer Comments
The STAP Reviewer recognizes the importance of the project in addressing the issues of sewage
pollution in coastal areas and the Kune-Vain tidal marshland. He further concludes that the project
reasonably reflects the operating constraints of the transitional status of Albania. He points out the
important environmental linkage aimed to promote and improve the management of the natural protected
area of Kune-Vain. Also, he judges the risks assessment reasonably discussed and evaluated.
Nevertheless,
the STAP reviewer emphasizes the critical importance of developing the necessary
willingness to pay which in turn represent a key element for the future sustainability of the project. In
particular he points out the lack of an education component in the project that would help to develop the
necessary understanding towards the concepts of environmental protection and cost recovery and
therefore to strengthen the willingness to pay of the communities.
As correctly noticed by the STAP Reviewer this project is linked with the Bank's Municipal Water and
Wastewater Project (MWWP) of which is an integral part. The project benefits from the results of the
socio-economic analysis carried out and the institutional and implementation arrangements established
under the MWWP.
The MWWP aims to increase the sustainability of water supply and sanitation
services through the involvement of the private sector and the associated improvements in financial and
operational management. On the other hand the presence of a knowledgeable international operator will
contribute to create the local capacity in operating and managing the constructed treatment wetlands.
According to the social assessment the willingness to pay is high. Most households are willing to pay the
new tariff. In addition, almost all households are willing to pay the monthly fee to connect to the central
sewage system and to receive septic-tank cleaning service. Preliminary financial calculations show that
the wastewater treatment will increase the sewage tariff by only 2-5 cents/m3 and therefore will not have
a negative impact on the willingness to pay. Furthermore the MWWP pays attention in establishing
mechanisms that increase public awareness. Public communications activities, awareness campaigns on
water and sanitation services and the need to pay for them are part of the contractual obligations of the
operator. The project will also sponsor the establishment of a Consumer Panel (CP) to enable those who
use water to interact directly with the management and to channel constructive suggestions back to the
utilities.
The measures taken in the MWWP are to be considered a sufficient direct contribution to create the
required public awareness and to guarantee the understanding of the principles of sustainability also for
this project. Nevertheless the recommendations of the STAP Reviewer have been taken in consideration
and the PAD has been revised and, subject to the GEF approval, the replication promotion component
has been expanded to incorporate an education program aimed to accelerate the acceptance of the new
concept of sustainable management into communities through dissemination of information in the
schools and encouragement of discussion through local activities in the media, cultural and community
groups.
The STAP Reviewer questioned on the implementation of a basic monitoring system of the coastal areas.
Albania is among the contracting parties to the Barcelona "Convention for the Protection of the Marine
Environment and the Coastal Region of the Mediterranean", which revised in 1995 the "Convention for
the Protection of the Mediterranean Sea against Pollution" , of 1977, still in force. Albania and the other
contracting parties to the Barcelona Convention are also part of a comprehensive Mediterranean Action
Plan (MAP) funded and coordinated by the United Nation Environment Program (UNEP) which, among
others, has the objective to protect the Mediterranean Sea against chronic or accidental pollution. Under
the responsibility of the Secretariat of the Mediterranean Action Plan one of the activities implemented
- 54 -

under the MAP is the Program for the Assessment and Control of Pollution in the Mediterranean Region
(MED POL) for which a program to monitor marine pollution is carried out on regular basis for
identified pollution "hot spots". For Albania the Faculty of Natural Science of the University of Tirana
is implementing the program of collecting and analyzing environmental indicators.
In addition the
project will finance the establishment of a monitoring program for water quality, biodiversity and
socio-economic indicators within the protected areas and the coastal zones involved in the project.
The STAP Reviewer asked clarifications on the criteria and budget for the decision making mechanism
for the management of natural resources at the municipality and community level. According to the
action plan that the Government is implementing towards an integrated and sustainable management of
the protected areas, the Ministry of Environment and the General Directorate of Forestry and Pastures
will establish a new administration and management board for Kune-Vain. This Board will include
among others representatives of the Municipalities and Communes, civil society and a formal
representation of the users of the KV Managed Area. It is proposed that the administrative entity for the
KVMA should be established under the budget of the General Directorate of Forestry and Pasture.
- 55 -

Additional GEF Annex 13: Project Area Ecosystems
ALBANIA: Intergrated Water & EcoSystems Management GEF
1.
Global Significance of the Project Area
The Integrated Water Management Project concerns the water treatment by "naturalistic methods" in
three well identified areas, which experience high naturalistic values. Their peculiar features can be
express as follows
:
Lezhe/shengjin (Kune-Vaini lagoon): The endangered species living in the proposed Managed
Nature Reserve are: (i) the globally treatened Phalacrocorax pygmaeus (Pygmy cormorant); (ii)
Myotis-myotis (Mouse-ear bat); (iii) Rana balcanica and Rana lessonae (Frogs); (iv) Lutra-lutra
(Eurasian river otter).
Durres (Rrushkull lagoon): The area has been identified as Important Bird Area (IBA) for over
10,000 waterbirds.
Saranda Bay and Butrinti lake: 96 endangered species do occur in this area that are included in the
IUCN Red List of Threatened Animals.
Furthermore, these areas, already affected by pollution problems, represent the territories for further
residential settlement, agricultural activities and mainly potential touristic development. These are factors
to be taken into account in the project analysis and alternatives set up and selections, mainly concerning
the impact on the environment.
In particular, Durres area is progressively affected by a noticeable urban settlement, which is
experienced by an uncontrolled expansion. Former use of the plain had a prevailing agricultural
destination and a regular network of surface natural canals was built in order to allow surface run-off to
drain into a central main channel. This channel finally discharges at sea by means of a hydrovore, to keep
the plain dried during and after important rainfalls, due to the presence of a surface aquifer. The central
open channel is now the final receptor of all sewage waters of the Durres District, whose discharge at sea
can provoke pollution effects and damages to the marine environment in the area of Porto Romano. The
plain is limited eastward by the Erzeni River, westward by the system of coastal hills and northward by
the rather complex system of coastal wetlands and dunes of the Lalzi bay. All natural district is
threatened by the direct and indirect impacts provoked on all environmental components by the
advancing spreading of the uncontrolled urban settlement. The western side of the plain is characterized
by the older urban as well as industrial settlement, now completely idle, but land and surface aquifer
contamination represent major problems not yet solved. In the middle part of the plain embankments of
an old fishing pond still remain, which represent a physical constraint to the chaotic expansion of the
urban settlement. Being not the settlement advances suitably planned , the required infrastructures in
terms of roads, energy and water supply, sewage water collection, etc are completely lacking, which
implies a strong impact on soil, surface and underlying waters and a threat to the natural resources of the
marine as well as wetland ecosystems.
Saranda bay represents the most attractive coastal area of Albania , where eco-tourism potential is
higher and strategies of sustainable development can be profitably implemented in the short and medium
term, with an interesting return for the local economics. Coastal Zone Integrated Management (CZIM) of
Saranda District, extending to Butrinti Lake, Bistrica Spring and hydrographic catchments and existing
wetlands, can be put forward and implemented only if sanitation problems and waste water treatment and
- 56 -

protection of the natural and marine environment are accomplished. As a consequence an action plan
combining main sewage water trunk line (covered by PHARE Funds) with a waste water treatment by
naturalistic processes is highly envisaged, to preserve the marine environment from existing pollution
effects. The area identified for the construction of the artificial wetland is located in the proximity of the
Ceka canal, where several solutions can be proposed.
Lagoon of Kune-Vaini is an important Protected Area, of great naturalistic value. City of Lezhe, the
intensive agricultural activity developed in the alluvional area as well as the progressive population
increase and future settlements, represent potential threats to the natural equilibrium and to the
biodiversity preservation of the aquatic ecosystems. Indeed, the sewage waters of Lezhe directly
discharge into the surface waters of the Drini River, whose spreading at sea can affect the environmental
conditions of all the coastal zone surrounding the river mouth, and consequently the lagoon. Direct
effects of contamination of the lagoon waters can also occur by surface run-off of the agricultural fields
and a hydrovore, installed to keep the fields dried after rainfall events, can increase the contaminant's
flow. As a consequence the eutrophication process can arise sometime in the lagoon waters. A
coordinated intervention, combining the waste waters treatment of Lezhe sewage waters by an artificial
wetland, with the accomplishment of a network of natural "filter streep", in order to intercept the surface
drainage of waters of agricultural origin into the lagoon, should provide positive results for the
preservation and protection of the natural resources.
It is also necessary to mention the naturalistic site of Kanalla Lake, being a natural spring of karstic
waters existing at the toe of the hills, within the lagoon. This a typical transitional water body, highly
polluted for the direct discharge of sewage waters coming from the village of Shengjin.
In such a case the solution cannot adopt the peculiarities of the natural wetlands, being the lagoon itself a
protected area and therefore no artificial ponds can be built inside. Conventional water treatment plants
have to be proposed.
2.
General Description of the Albanian Marine Ecosystem
The Albanian coastal region contains two geographic entities: the Adriatic and the Ionian Sea coastal
areas. The total length of coastline is about 429 km and the national waters confined to territorial waters
of 12 miles width. The continental shelf lies entirely within the exclusive zone. The shelf is wider in the
north (Adriatic sea), up to 25 miles across, and narrower in the south (Ionian sea), 2-3 miles width.
Beyond 25 miles, sea depth exceeds 1000 m in the international channel.
There is no particular wind that prevails in the coastal plain. In winter, the most frequent one blows from
the Southeast and in the summer season, the prevailing wind blows from the north-western direction.
There are three types of rather low currents in the Adriatic sea: continuous currents, tidal currents, and
wind-driven currents. Strong winds persisting for a couple of days may create temporary currents running
in the opposite direction with respect to steady and tidal currents.
The Adriatic coastal area (the northern part of the Albanian coast) is generally characterised by coastal
lowlands (alluvial plains) intersected by rivers, and flanked by hills along its upland boundary. The coast
is made of long sandy beaches, deltaic river mouths and lagoons. The coastal waters are shallow,
receiving water from the rivers and several drainage canals. At sea, the water depth increases slowly,
with first a sandy bottom with the associated biocenosis which becomes muddy with increasing depth.
On the sandy or muddy bottoms, the marine flora is scarce or occupies specific areas where currents or
waves have less action. The extensive seagrass beds of Posidonia oceanica are an important part of the
- 57 -

Albanian marine ecosystem, often occupying a considerable part of the littoral zone. Posidonia oceanica
and very well developed marine communities are found along Porto Romano bay and Shengjini bay.
The underwater rocky bottoms at Rodoni and Lagji Capes (Durres), and the eastern side of Vlora bay
host patches of Posidonia oceanica.
Porto Romano and Rrushkull-Erzeni River Outlet (Durres Area)
The area of Porto Romano and Lalzi bay is a narrow, reclaimed part of the coastal plain. There are some
natural habitats left along the coastline, such as a belt of pine trees, temporary marshes, roadbeds and salt
marshes. In addition to the loss of large wetland parts by land reclamation, the quality of natural
environment of that area continues to deteriorate due to the input of the polluted Erzeni river
(contaminated mainly by sewage disposed upstream), direct discharge of untreated urban and industrial
wastewater in the Porto Romano bay, excessive felling of trees for fuel, and uncontrolled hunting and
fishing.The underwater rocky bottoms at Rodoni and Lagji Capes host patches of Posidonia oceanica.
The Lalzi bay with the Erzeni river mouth is an environmentally sensitive area. The coastline of the
Rodoni-Bishti i Palles Capes, of which 35 % are cliffs exposed to mild erosion stretching along both
capes. The remaining parts of this unit are alluvial beaches (actually, the Lalzi bay) of which 18 % is
exposed to erosion and 47 % to deposition. Any intervention altering the quantity of the material carried
by the Erzeni river will affect the littoral, generating new erosion processes. The Porto Romano bay also
is a section attacked by erosion.
Drini Outlet (Lezhe-Shengjin Area)
This unit has about 15 km of the coastline, from Shengjini harbour to the southern part of Vaini lagoon
(including the Drini river), oriented in N-S direction. The shore are sandy and sediment is coming both
from the Buna and Drini rivers transported by the longshore currents. The marine slope is gentle reaching
the 20 m isobath at average of 2.0 km offshore. Kenalla, Kune and Vaini lagoons are separated from the
shallow coastal waters by the narrow sandbars, low and mobile dunes, and the planted pine tree belt (
Pinus halepensis, Pinus pinea).
Posidonia oceanica meadows and Penaeus kerathurus populations are reduced due to the polluted
industrial and urban discharges into this area(
(1) Albania Coastal Zone Management Plan : Final Report - Phase
One, 1995.
1). The breeding grounds of Posidonia oceanica have also deteriorated because of changes in
the structure of the fishing fleet(
(2) Albanian Convention on Biological Diversity -1999.2). Fishing activities
occur in the coastal waters including the trawlers from Shengjini and small local fishing boats. As in
other places, the local population is collecting Bivalves along the shores.
The coastal wetlands of Drini river (Kenalla-Kune-Vaini lagoons) are a part of an environmentally
sensitive area. Inland of the Shengjini beach lies the Kenalla lake surrounded by a dike with the open
lake and a dried-up part with salinity tolerant vegetation. Through a pipeline, the urban sewage of
Shengjini is directly drained into the lake. Further south lies the Kune lagoon extending up to Drini river
mouth. The coastal reach in the northern part of Shengjini has presented an coastal erosion phenomena.
After that, until some 2.5 km south of Shengjini, the coast is relatively stable or slightly receding.
Saranda Bay and Ksamili Bay (Saranda Area)
The coastline of Saranda bay to Ksamili bay can be divided into several sections: the area including the
town of Saranda shows a recent development on the northern bluff near the entrance to the harbour; the
area south of Saranda where the cliffs are steep and cut with caves and intermittent sandy beaches; the
- 58 -

abandoned citrus plantations and deforested areas in the vicinity of Ksamili; the Ksamili islands, with
small sandy beaches, wind-sculpted maquis forests, and extensive Posedonia oceanica meadows
covering the shallow areas of the bay of Ksamili. The whole area from Ksamili Islands to Stillo bay
could be integrated in a protected and managed area with interconnected areas. In Ksamili bay and inlets,
a marina and environmentally sound resort place could be settled.
3.
General Description of Natural Wetlands Ecosystems
3.1
Kune­Vain Wetland and Kenalla Lake
The Kune­Vain wetland and Kenalla Lake or complex Kune­Vain lagoon represent one of the important
coastal Albanian wetland. Area of Kune­Vaini wetland and Kenalla lake represents a wetland area of
multiple ecological and economic values and uses, as provide fish and wildlife habitats, support complex
food web, absorb water to reduce flooding and damage from storms, provide erosion control, improve the
quality of water ed in particularly provide open space & aesthetic value. The Drini River is the longest
river of Albania, and the Kune-Vain lagoon complex has been built by the accumulation of the river
sediments. This area is comprised in the network of Albanian Protected Areas, as described in the
document "Biodiversity Strategy and Action Plan (BSAP)", approved by Government of Albania in the
year 2000. The delta of Drini is recognized internationally as an Important Bird Area (IBA) and a
Specially Protected Area (SPS) and represent the area of Kune-Western part of Kune lagoon, defined in
the network of Albanian Protected areas as Scientific Reserve, according to the 1st category of IUCN.
The site of delta of Drini is one of the most important areas of Albania for wintering waterbirds; the most
important site for the nesting of herons (Ardeidae), and potential breeding site for the cormorants.
including pygmy cormorant (Phalacrocorax pygineus). The other two parts of this lagoon complex,
Kenalla­Eastern part of Merxhani lagoonand Drini River Outlet with Ceka (part of Vain wetlands) and
Vaini wetlands are defined as Managed Nature Reserve, in according to the 4th category of IUCN.
Ecological Description of the Kune Lagoon and Kenalla Lake
The lagoon of Kune presents rich floristic and faunistic values. In the group of fauna are included:
vertebrates (animals, birds, reptiles, amphibian, fish) and non-vertebrates (mollusks, crustaceans). The
macrobenthos of this lagoon is characterized mainly by an intense growth of Annelids, Tubuliferae,
Hydroids and Carcinus aestuarii. Also this area is rich of the birds as Rallus aquaticus, Gallinula
chloropus, Nycticorax Ardeola ralloids. Besides the main other bird species are present (see Annex 10
and 17). The diversity of the species is higher compared with the other part of the ecosystem (Kune-Vain
lagoon and Kenalla lake). The micro algae biomass level indicates high quantity of phytoplankton with a
relatively great number of species). Some of the diatoms are determined Dinoflagellates are presented in
few species (see Annex 10 and Annex 17). Regarding flora and vegetation, they mainly consist of:
aquatic vegetation; hydro-hydrogrophylic vegetation; halophyl vegetation; the psamophyl or sandy-dune
vegetation; forest vegetation. The amphibian are represented mainly by Rana lessonae, Rana dalmatina,
Triturus vulgaris, Rana balcanicaetc. Different kinds of reptiles, usually threatened, can be mentioned,
like Sea turtle and Earth tortoise. The observation of fishery catches and hypoeutectic salinity gradient
divide Kune lagoon in three main sub areas corresponding to fish species in these sub area (see Annex
10). The main fish specie are the eurohaline species: (Sparus aurata) gilthead seabream, Dicentrarchus
labrax, Mugilidae spp., Anguilla anguilla etc.
Ecological Description of the Vain Lagoon
The lagoon of Vain presents rich floristic and faunistic values. In the group of fauna are included:
vertebrates (mammals, birds, reptiles, amphibian, fish) and non-vertebrates (mollusks, crustaceans). The
- 59 -

zooplankton was found on low quantity in general. The lagoon of Vain has vegetation similar to the
lagoon of Kune. More than half of the water surface is covered by flooded Phragmites communis beds
with Thypha latifolia, the banks are composed of sedge communities, riparian woods of black alder
galleries with Alnus glutinopsa, Populus alba, Ulmus campestris, Fraxinus angustifolia, Salix alba and
Quercus sp. which are replaced over time by pine plantations. Maquis is composed mainly of: Tamarix
parviflora, Cornus mass, Juniperus macrocarpa, Rubus ulmifolium, Ruscus aculeatus; the herbaceous
vegetation of the marshland is characterized by Cynadon dactylon, Dactylis glomerata, Agrostis sp.,
Phragmites communis, Juncus acutus, Salicornia fructicosa. The birds species observed in the lagoons
are: Phalocrocorax carbo sinensis, Nycticorax nycticorax, Egretta garzetta, etc (see Annex 10).
Regarding the mammals can be found in the area: Mustela nivalis, M. putorius and Vulpes vulpes. The
dominant fish species are Anguilla anguilla and Mugil cephalus, and this lagoon presents lower salinity
than Kune lagoon. Also are present in this lagoon, in the low quantity the other eurohaline species as: (
Sparus aurata) gilthead seabream, (Solea vulgaris) common sole, (Liza aurata) golden grey mullet, (Liza
saliens) leaping mullet, (Chelon labrosus) thicklipped grey mullet, (Dicentrarcus labrax) european
seabass, etc.
3.2
Rrushkulli­Erzeni River Outlet
The Rrushkulli-Erzani River Outlet area is situated in Lalzi bay, the central part of the Adriatic coast of
Albania, between Rodoni cape in the north and Bishti Palles cape in the south. It is boarded in the north
and east by a hilly ridge reaching a maximum height of 225 m, while in its south-east it continues with
the drained fields of Qerreti and Durresi, formerly salt marshlands. The catchments area of the Lalzi bay
is estimated at about 250 km2. Some parts of the area, close to the coast, are depressions reaching up to -
1.5 m. They are kept dry by the actively pumping water through the pumping station near Hamalla
village. The most of the area is occupied by the agricultural land, while the once well developed
hygrophilic flood plain forest has almost disappeared; some small spots of it are still present only along
the coastline north of Erzeni river mouth.
Sand dunes relatively well developed, halo-phyte and
hygro­phyte vegetation, and a planted pine forest can be found in this area. Waterbird and waterfowl
censuses of the last two years have identified this area as an important IBA (over 10000 waterbirds and
wetlands birds have been counted here). The Erzeni River Delta is important for migratory fish species
breeding in freshwater. Posidonia
meadows, Posidonia oceanica, and very well developed marine
communities are found along the rocky littoral and Porto Romano Bay.
Ecological Description of the Area
The area of Rrushkull-Erzeni River outlet is originated from the alluvial sediments of the Erzeni river,
which meanders across the area. The sub area Rrushkull­Hammalla lays in the Lalzi bay, from outlet
(mouth) of Erzeni river in the South to the overflow of the Tarini stream in North and in the East in some
cases, it lays for many kilometres, and it is limited from the agricultural land of the ex state agriculture
farm Sukth (Hamallaj, Rrushkull, Jubë). The terrestrial environment of this area presents these types of
habitats: sand dunes, salt tolerant vegetation, flood plain and pine forests, and wetlands/marshlands. Sand
dunes occupy a belt from 10 to 50 m in width along the entire coastline. There are two main types of the
dune vegetation: Plant community dominated by Cakile maritima, in the form of isolated spots, 4-5 m
distant from each other, closer to the shoreline. Plant community dominated by Elymus farctus, on the
well developed dunes, in which apart from the Dominant species, are present other species like;
Eryngium maritimum. Echinophora spinosa, Euphorbia paralias, etc. Salt tolerant vegetation is mainly
present in the left hand side of the Erzeni river mouth. This type of vegetation is characterized by
succulent plants like: Arthrocnemum fruticosum, A. perenne, Salicornia europaea, Halimione
portulacoides, Limonium vulgare, Inula crithmoides etc. The dominant species are Pinus pinaster and P.
halepensis. This formation is generally not so dense and rather young. The area contains also some rare
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and endangered plant species as: Quercus robur, Fraxinus excelsior, Juniperus oxycedrus, Matthiola
tricuspidata, Pancriatium maritimum, Quercus ilex, Adiantium capillus-veneris, Butomus umbellatus,
Salix triandra. The coastal area presents the important fishing site for Mugil sp., Liza sp., Dicentrachus
labrax, Umbrina. cirrosa, Lichia amia, Sparus sp., Alosa phalax, Anguila anguila and for crustaceans
Paeneus ceraturus and for bivalves Venus galina and Donax trunculus.
3.3
Butrinti Lake and Related Wetland Environment
This area includes Butrinti lagoon, Ksamil Island and Stillo Island and cape in the zone from Cape Qefali
to the Greek border. This area belongs to the District of Saranda and covers 35 km of coastline. The
relief is not very important with an altitude of 363 m at about 4.5 km of the coast east to Butrinti lake. In
Butrinti area, grey herons, gulls, egrets, ducks and snipes are seen on the mudflats and saltmarshes
bordering the mouth of the Butrinti canal and river up to 4 km inland. The phytoplankton population of
the lagoon is abundant and mainly composed of diatoms Cheatoceros sp., Cyclotella sp. and Peridinates
Prorocentrum sp. and Peridinium sp.. The accumulation of phanerogam Zostera noltii foliage is an
indication of its extensive presence within the lagoon. Balanidae are very common among Crustacea and
Mytilus galloprovincialis among Molluscs. The birds seen in the area are: Larus cachinnans, L.
argentatus, sparrows Passer hispaniolensis, P. montanus on the lake. While in marshland and the
mudflats at the estuary are reported marsh harriers Circus aeruginosus, Acrocephalus scirpaceus, etc.
Great concentrations of migratory birds occur in fall and winter, waders on the mudflats, saltern and in
the estuary of the channel while Anatids assemble in large colonies on the lake during the coldest
months. This area is also the richest of Albania for amphibians and reptiles. Otters have been recorded in
the lagoon. The terrestrial vegetations are characterized by associations of Caxilo xanthum italici (Caxile
maritima, Xanthium stumerium), Crithmo-Limonictum anfract. (Crithmum maritimum, Limonium
anfractus), associations of Crithmetum (Crithmum maritimum), associations of Ammophiletum
arundinaceae (Ammophila arerrari, Medicago marina, Echinophora spinosa), of Salicornictum
fructicosae (Arthrocnemetum fructicosum), Salicornictum radicentis (Arthrocnemum perenne), Juncetum
maritimi (Juncus maritimus), Juncetum acuti (Juncus acutus) and of Sporoboletum (Sporobolus pungeus)
.
4.
Surface Water Quality and Pollution Loads
During the study a water/wastewater and seawater quality examinations have been performed, in order to
confirm or adjust available water quality data. The examination mainly concerned raw sewage and
receptor water-bodies quality. The sea water quality have been investigated in terms of indices on water,
sediments and biota. The analyzed sewage samples taken at project's sites wastewater facilities can be
characterized as strong-moderate with typical domestic composition. The analyses and assessment of
existing studies, as well as the analyses performed during the study, show the degradation of the quality
of water resources by pollution from land-based activities (nutrients, pathogens and oxygen demanding
wastes), in the all coastal cities of Durres, Lezhe and Saranda. The results of the water/wastewater and
sea quality examinations are fully described in Annex 4. The expected wastewater pollution effects on
the marine environment are described in following paragraph 5.
5.
Wastewater Pollution Effects on the Ecosystem
Environment is an end user of water resources which poses therefore sometimes severe restrictions
particularly on the emission of wastewater from other water use sectors. High BOD loads and suspended
materials may influence biochemical and light conditions in the marine environment; industrial
micropollutants may be directly toxic for aquatic life and fish; and pollution from excess agrochemicals
may have similar effects.
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The marine ecosystem, though almost certainly damaged by uncontrolled wastewater emission of coastal
urban concentrations, industry and polluted rivers, is still generally in a reasonable condition and its
ecological and economic value may be considerable. Unfortunately, studies about the value and eventual
degradation of the marine ecosystem are rare and an overall inventory has never been executed. The
Biodiversity Action Plan has as a priority the mapping of the sea meadows with Posidonia oceanica and
the study of animal groups and plants, because of lows scale of knowledge of a considerable part of these
plants.
Little is known in Albania about marine environment along the Adriatic Coast and the effects of the
considerable pollution of the last 30 years, both by discharge into the sea of polluted river water and by
direct discharge of untreated urban and industrial wastewater. Except for smaller areas along the coast in
the vicinity of cities and industrial concentrations, inspection shows in general visually clear and
unaffected waters. However, systematic research on marine ecosystems and the effect of pollution has
never been executed.
The problem of pollution in the marine environment becomes ever more serious. Adriatic Sea is easily
exposed to pollution because of restricted water exchange and long shore lines. Areas with stagnant or
partly stagnant conditions are especially sensitive to pollution due to slow water exchange. Organic
wastes from communities and industries will cause an oxygen reduction process in the water. Oxygen is
utilised for oxidation of the organic matter and nutrients bound in the matter will be released. This
process will cause an increase of the primary plankton production in the area. This again will increase the
oxygen utilisation. A secondary oxygen reduction process will begin, where the new organic matter is
oxidised. This secondary oxygen reduction may require two to five times more oxygen than the primary
process. This secondary process is not accounted for in the conventional BOD techniques.
The enrichment of natural waters by nytriens (eutrophication), primarily nitrogen in marine waters but
also phosphorus, has been associated with incresed primary productivity and nuisance algal growth in
coastal zones and semi-enclosed and enclosed areas of seas. Increased loads of nutrients to coastal waters
have caused increasing eutrophication and the major sources of nutrients to coastal waters are from
sewage disposal. The primary production increases until the light penetration limits it. The consequences
of eutrophication can be incresead frequency of algal blooms (sometimes toxic), increased water
turbidity, slime production, oxygen depletion in deep waters and mass fish and benthic fauna kills. Signs
of such eutrophication can be observed in the Saranda bay, Shengjini and Kenalla. The relatively low
concentrations of dissolved oxygen in Saranda bay (approx. 7.63 mg/l), in Shengjini bay, Kenalla Lake
(approx.8.46 mg/l) and Drinit river (9.70 mg/l), are to be related to pollution by organic matter. Also the
results of the chemical analysis into the sea near the points of sewage discharge (see Annex 4)
demonstrate the presence of nitrites. Particularly in Saranda bay, Shengjini bay and Porto Romano bay, it
was observed(
(3) Kashta L. and Mio A., 1992-Tirana University.3) the development of some nitrofile algae
populations (Ulva rigida and Enteromorpha spp.), and this is an other demonstration of eutrophication in
this waters. Ammonia can be converted to organic nitrogen by these resident algae (Ulva,
Enteromorpha). Ulva blooms can become so luxuriant that the algal decay products are more unpleasent
than the sewage itself. Sewage pollution is directly responsible for the closure of many molluscan
shellfish growing areas in Europe. Sellfish can accumulate and retain pathogenic organisms and toxic
organic and inorganic substances present in the growing areas. During the last years mussel breeding was
practically stopped, both for internal organisational reasons, but above all because of the block on
exports imposed by the EC for sanitary reasons, in October 1994 for all living products of the fishery
sector. The main requirement for the export of live mussels to the EU is the setting up of a shellfish
monitoring system to guarantee the safety of bivalves harvested from water bodies. Currently Albania
faces a ban due to a previous outbreak of cholera in live molluscs. This issue is now being addressed
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through the development of a monitoring system to certify the areas on the Albanian coastline and the
marine waters that can harvest and export mussels. This is covered by EC/91/492 on placing live bivalves
on the EU market.
Posidonia oceanica meadows populations are reduced due to the polluted industrial and urban
discharges into this area, particurarly in the Shengjini- Lezha and Saranda-Ksamili area, but also in the
Porto Romano and Lalzi bay. This has been associated with an increase in water turbidity (Secchi disc.
1.25-1.50 m, Annex 4) reducing the amount of light exposure on the sea bed and this caused reduction in
the Posidonia oceanica beds over the last decades (Kashta L., 1998). In sea areas with a low nutrient
content a release of organic wastes may cause eutrophication of the surface water in the whole area. The
increased biological production may be beneficial to the surface water by increasing the fish yield, but it
can have serious effects on conditions in the deep water. Increased decaying organic matter there may
lead to oxygen deficiency and can destroyed bottom fauna. It seems to be very difficult for nature to
restore oxidising conditions when such a fertilisation cycle has started.
In Albania, the major types of endangered ecosystems and habitats are not only coastal (sand dunes, river
deltas, alluvial forests, lagoons, and coastal lakes), but also marine ecosystems at medium and infralitoral
level (
(1) Albania Coastal Zone Management Plan : Final Report - Phase One, 1995.1). The Posidonia meadows
represents an important ecosystem in the Adriatic Sea. The fundamental role played by the marine
phanerogam meadows and in particular by Posidonia, can be summarised in the following points:
stabilisation of the sea-bed through the development of an effective radical and stoloniferous apparatus;
reduction of the intensity of movements of water with consequent maintenance of coastal balance, thanks
to the softening effect of the "matte" and the layer of vegetation; high production of oxygen and organic
material by means of photosynthesis; direct and indirect source for numerous organisms and starting
point for a complete food web; habitat of choice for numerous commercially important species, such as
fish, cephalopods and crustaceans.
Information from all three project areas gives quite a clear picture of the organic load of the respective
coastal zones. In all the project areas the urban centres discharge sewage directly into the sea (Saranda,
Porto Romano-Durres and Shengjini bay) or into the wetlands (Kenalla ) or into the river (Drini-Lezhe)
at short distances from the sea and discharged sewage is not treated. The situation is particularly severe
in Saranda, Shengjini and Kenalla. In the city of Saranda, urban and industrial waste is discharged
directly in the central part of Saranda bay, and through the Cuka channel (
(2) According EU Phare
Program-"Emergency Measures-Saranda Water Supply and Sanitation"-see Annex 9
2) into the sea. The waste
plume spreads across the bay of Saranda, in a northern direction, polluting waters in front of Saranda.
These discharges of untreated domestic sewage can significantly add to the total loads of contaminants.
Due to the breakdown of organic matter, such discharges can cause immediate problems to marine life
from high oxygen demands in the water column and sediments and through toxic effects of ammonia. Of
immediate concern to humans is the presence of large numbers of pathogens that can cause illness and
disease. Also associated with the presence of pathogens is the potential contamination of seafood,
particularly shellfish, which in Saranda bay and Butrinti lagoon (mussel Mytilus galloprovincialis) and in
areas like Porto Romano, Lalzi and Shengjini (clams Chamelea gallina, Ruditapes decussatus etc) are
commercially very important for Albanian fishery.
Pollutants may affect reproduction in many different ways. Teratological development of embryos may
result in deformed or malfunctioning larvae which do not survive hatching. Reproduction may be
influenced by behavioural changes of the adults during the mating season. Their behaviour, the
production of eggs and sperm, the secretion of egg membranes, eggshells and production of egg nutrients,
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may be all affected by changes of hormone function and enzyme activity. Changes in the ecosystem may
influence reproductive success when vitellogenesis is directly influenced by the availability of food. In
the coastal area of Shengjini bay (particularly northern part-Rana e hedhun), in Porto Romano and Lalzi
bay and near the Saranda and Ksamili bay there are very important areas for reproduction of some fish
species, first of all for sea bass (Dicentrarchus labrax).
6.
Synthesis of the Pollution Effects in the Project Areas
According the available data and observations, the pollution effects by uncontrolled and increased urban
wastewater discharges into the marine environment can provide negative consequences both at the
environmental level and to the institutional and economic ones.
A list of potential problems is put forward in the following:
endangered marine ecosystems and habitats, in medium and infralittoral level (particularly
Shengjini-Lezha area, Porto Romano bay and Saranda bay);
endangered coastal ecosystems: sand dunes, delta rivers (particularly Drini-Lezha), alluvial and wet
forests, lagoons ( Kune and Vaini) and coastal lakes (Kenalla);
risks and adverse impacts on biodiversity, and some of the major adverse impacts have been:
habitat loss and fragmentation, damage (Porto Romano bay, Shengjini and Saranda bay) and
degradation (Kenalla lake) of habitats and ecosystems, loss of species or the threat of their extinction
etc.;
reduction of the Posidonia oceanica meadows populations, particularly in the Shengjini- Lezha
and Saranda-Ksamili area, but also in the Porto Romano and Lalzi bay;
development of some algae populations (Ulva and Enteromorpha), particularly in Saranda bay,
Shengjini bay and Porto Romano bay;
observation of some eutrophication in the Saranda bay, Shengjini area and Kenalla lake;
probability to affect reproduction of the fish species (e.g. sea bass) in the marine ecosystems of
Shengjini bay (particularly northern part-Rana and hedhun), in Porto Romano and Lalzi bay and near
the Saranda and Ksamili bay, etc.;
negative consequences on the eco-tourism development;
delay for the implementation of the Coastal Zone Integrated Management and of the economic
development;
difficulties in implementing institutional strengthening measures in order to implement the
sustainability and biodiversity maintenance policies.
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