Application Title PPF - Green City Pilot (GCP) Feasibility Study … · 2020-02-06 · GREEN CLIMATE FUND | PAGE 0 OF 2 Request for Support from the Project Preparation Facility (PPF)

Application Title PPF - Green City Pilot (GCP) Feasibility Study

Country/ Region Rwanda

Accredited Entity Ministry of Environment

Approval Date 28 August 2019

GREEN CLIMATE FUND | PAGE 0 OF 2

Request for

Support from

the Project

Preparation

Facility (PPF)

Application Title PPF - Green City Pilot (GCP) Feasibility Study

Country(ies) Rwanda

Accredited Entity Ministry of Environment

Date of first submission/

Version number

February 2018

Version 1

Date of current submission/ version number

[2018-09-10] [V.5]

Please submit the completed form to [email protected], using the following naming convention in the subject line and the file name: “PPF-[Accredited Entity]- [Country]-yyyymmdd”

2017

mailto:[email protected]

Project Preparation Facility GREEN CLIMATE FUND | PAGE 1 OF 67

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Notes

• The PPF supports the development of projects and programmes and enhance their quality at

entry into the Fund’s pipeline. With a view to enhancing the balance and diversity of the project

pipeline, the PPF is designed to especially support Direct Access Entities for projects in the

micro-to-small size category. International Accredited Entities seeking project preparation

support from the PPF are encouraged to do so especially for LDCs, SIDS and African countries

where no Direct Access Entity is accredited. All Accredited Entities are encouraged to articulate

counterpart support for project preparation within their requests for support from the PPF.

• A PPF submission should include below documents:

1. PPF request (this form)

2. PPF No-Objection letter1

3. Concept Note

• Please copy the National Designated Authority (ies) when submitting this PPF request.

• Requests for support from the PPF should be submitted at the same time or following submission

of a GCF Concept Note for a project or programme.

• Further information on GCF PPF can be found on GCF website Project Preparation Facility

Guidelines.

1 Please note that the PPF No-Objection Letter is different from the Funding Proposal No-Objection Letter. PPF No-Objection Letter template can be downloaded from here.

https://www.greenclimate.fund/documents/20182/574715/Letter_to_GCF_02_-_No-objection_letter_for_the_Project_Preparation_Facility__PPF_.docx/86485d1f-1311-4efe-b47d-b653b0fb5c5c

http://www.greenclimate.fund/documents/20182/574712/Form_01_-_Concept_Note.docx/18570723-5f7c-44c9-aacb-8c68fe99fce8

https://www.greenclimate.fund/documents/20182/574766/Guidelines_-_Project_Preparation_Facility_Guidelines.pdf/f8b62701-a9ca-4b1e-9e23-e67f1b88abd4

https://www.greenclimate.fund/documents/20182/574766/Guidelines_-_Project_Preparation_Facility_Guidelines.pdf/f8b62701-a9ca-4b1e-9e23-e67f1b88abd4



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2 See here to download the Concept Note template. 3 Template for PPF No-Objection Letter can be downloaded here.

A. Executive Summary

Accredited Entity (AE)

Primary contact:

Name: Fatina Mukarubibi,

Position: Permanent Secretary, Ministry of Environment

Email: [email protected]

Tel: +250 252 582 628

Full Office address: KG 220 St. Kigali, Rwanda

Secondary contact:

Name: Bright Ntare,

Position: Programme Manager, Fund for Environment and Climate Change (FONERWA)

Email: [email protected]

Tel: +250 788353486

Full Office address: KG 7 Ave, P.O Box 7436 Kacyiru, Kigali, Rwanda

Has a Concept Note2 been submitted in association with this request for support from the PPF?

Yes ☒ No ☐

If yes, please indicate Project/Programme title: (Requests for support from the PPF should be submitted at the same time or following submission of a GCF Concept Note for a project or programme)

Has a No-Objection Letter3 been submitted for this request for support from the PPF?

Yes ☒ No ☐

(Please note that a PPF No-Objection Letter is a requirement for the submission of this request)

Total Cost

Total cost of Project Preparation activities: US$ 3,675,800. Amount requested from the PPF: US$ 950 000, plus 8.5% accreditation fee ($1,030,750.00). Counterpart funding from the AE*: US$ 2,630,800.

* Co-financing (already agreed) provided by KfW and the German Government.

Anticipated Duration Number of months to implement the Project Preparation activities: 20 months

Summary of the request for Project Preparation support

The Rwanda Green City Pilot (GCP) aims to pilot innovative strategies to develop a low carbon and climate resilient neighbourhood, kick start the large scale 'home grown' building material production industry and ensure future development capacity. It aims to create jobs and skills for Rwandans in a new green economy. Rwanda is seeking a Project Preparation Facility (PPF) grant to undertake the design of the masterplan for the development of the overall Green City Pilot projected to cover 620 HA, as well as to identify and undertake the feasibility studies for climate resilient and low carbon elements that will subsequently support a specific funding proposal to the Green Climate Fund (GCF) that is critical to catalysing the realization of Rwanda’s GCP vision. The planned activities for the PPF grant include:

• developing a comprehensive urban masterplan for the Green City Pilot;

• preparing tender documents for detailed architectural and infrastructure service designs for the implementation of a first phase (18 ha) pilot project as part of the GCP;

• Identifying a suitable investment project/programme for GCF to catalyse the Green City Pilot, undertaking the detailed design, vulnerability and gender, ESIA, economic and financial, legal services and project implementation assessments for the completion and submission of a GCF funding proposal.

http://www.greenclimate.fund/documents/20182/574712/Form_01_-_Concept_Note.docx/18570723-5f7c-44c9-aacb-8c68fe99fce8



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4 The PPF can provide support within the following project preparation activity areas:

i. Pre-feasibility and feasibility studies ii. Environmental, social and gender studies iii. Risk Assessments iv. Identification of programme and project level indicators

Other activities of direct relevance for Direct Access Entities that the PPF can support are as follows: v. Pre-contract services, including the revision of tender documents vi. Advisory services and/or other services to financially structure a proposed activity vii. Other project preparation activities, where necessary, and with sufficient justification

B. Description of Project Preparation Activities

Outputs and Activities

(Please select Activity Areas4, activities, and deliverables

as needed)

Month

(Please shade the implementation period from the starting month of the Output and Activity in the schedule. Please also indicate the

month of completion of each deliverable with “X” in the corresponding cell)

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The PPF is to fund a number of closely interlinked and interdependent components to prepare the overall Green City Pilot Masterplan and develop a GCF proposal for a specific bankable project to catalyse the GCP. The activities are:

• MasterPlan Preparatory Activities,

• International Urban and Architectural Design Competition (Masterplan),

• To identify and prioritise climate resilient and low carbon investments from the Masterplan and undertake the detailed feasibility design for a GCF funding proposal

Full details of each task are in Annex 1.

Activity and deliverable 1:

PPF activity area: Pre-feasibility, feasibility studies and project design

Masterplan Preparatory Activities. This component

will develop the framework conditions for the subsequent implementation of the GCP project and inform the masterplan. Relevant government policies and planning requirements, infrastructure requirements, housing market, banking sector and housing finance conditions, construction systems and materials and GCP site-specific technical assessments will be assessed and subject to recommendations. Financial modelling tools developed by IFC will be reviewed and updated. In addition, green utility supply systems and sustainable development standards will be defined for the GCP project and a design competition brief will be developed based on findings and recommendations from the assessment. It includes

• Assessment of policy and housing finance framework and assistance to refining policies

• Revision of planning instruments, technical and engineering reports of project site

• Commissioning of technical surveys and studies

• Development of green urban and housing standards for the urban and architectural design competition

• Assessment of GCP project implementation mechanism considering stakeholder interests

• Preparation of Environmental & Social Impact

Assessment (ESIA) and strategic environmental and

social assessment (SESA)

• Development of project and housing financing models

The outputs are 1) development of an implementation framework and 2) development of a competition brief for an international urban planning and architectural design competition for the GCP project.

X


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Urban and Architectural Design Competition (Masterplan). Key activities under this component are

the facilitation of an international urban and architectural design competition for the green city development responding to international standards and best practices. The competition is expected to take place in the second quarter of 2018 and will deliver a selection of green master plans for Kinyinya Hill (620 ha) complemented by sub-area detailed plans for selected areas of the site (greenfield affordable housing neighbourhood of 130 ha owned by RSSB; low-density ecosystem site of 70 ha; upgraded neighbourhood of 10 ha; light-industrial park of 10 ha), including the design of green housing typologies, community services and commercial facilities; and an integrated concept for sustainable utility services delivery for Kinyinya Hill. The competition will be adjudicated by a jury of national and international luminaries and renowned experts in their respective fields of expertise. The winning competitor shall be invited to detail his/her submission (urban, infrastructure and architecture) for an 18 ha parcel of the RSSB site to construction tender stage (see also Component 3) which will also include a specific GCF project component. This includes:

• Launch and competition phase

• Adjudication of competition

• Award of competition

• Consolidation and publication of entries

• Preparation and facilitation of international workshop and presentation of awards

The output is the organisation, facilitation, documentation and presentation of the international design competition for the GCP project.

X


PPF activity area: Other project preparation activities

GCF proposal development.

This component will focus and develop the full Green Climate Fund proposal to catalyse the Green City Pilot development. It will use the masterplan to identify bankable projects that focus on climate resilience (adaptation) and the incremental costs of low carbon and green infrastructure. The identification of a specific project or programme will then be taken forward to a GCF full proposal. The GCF full proposal is likely to be centred on the development of climate resilient and low carbon infrastructure for the site, and/or pilots/demonstration and enabling activities, and it will provide the foundation for subsequent phases of the GCP development. This includes

• Analysis and studies (6 months, 1-6).

• Development of proposal concept and costings (4 months, 7 – 10).

• Completion of full proposal, costing and supporting documents (four months, 11 – 15).

The outputs are a full proposal and supporting information, which will be submitted to GCF from the Ministry of Environment. This proposal will align to the existing Ministry of Environment Accreditation Status.

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Support to Feasibility Study. This activity will provide

support to Government and other relevant agencies and stakeholders for the implementation of the GCP Feasibility Study. This also includes collaboration with Higher-learning institutions, CSOs, Private Sector on support measures. The expected results are related to the ability of Government and stakeholders to implement the GCP.

X

Activity and deliverable 5: Detailed design


Design Management Procurement and Tender Documents. This component includes the management

for the procurement of detailed designs and construction tender documents (buildings and infrastructure) for the development phase (18 ha) within the 130 ha site owned by RSSB. The detailed designs will be undertaken by the winning architecture firm of the competition and are based on their winning submission. The PPF activities will include the tender documents for this design, which will be undertaken by the winning architecture firm (forming a national partnership for the elaboration of the detailed design in order to ensure sustainability and continuity).

The output of the third component is the facilitation and quality control of detailed designs and tender documents for the realisation of a first phase (18 ha) pilot project.

X

Estimated time for submission corresponding full Funding Proposal to the GCF

20 months for submission of initial proposal.

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C. Justification of the Project Preparation Request

(Please provide rationale for the AEs’ need to receive GCF Project Preparation fund to strengthen the funding proposal..)

Rwanda is one of the most vulnerable countries in the world to climate change. High levels of poverty, a shortage of land and rapid population growth combined with Rwanda’s hilly topography are creating huge pressures on its natural resources. As one of the poorest countries in the world, Rwanda does not have the necessary financial resources to adopt the programmes of action needed to deliver national priorities for green growth and climate resilience set out in the EDPRS II, the Green Growth Strategy and other policies and programmes. As an LDC and climate vulnerable country, Rwanda lacks the financial resources to adequately address climate threats and support low carbon growth. The vulnerability and financing needs of the country and population are high as evidenced by the recently prepared Vulnerability Index. Specifically, poverty levels in Gasabo District, the potential site of the green city pilot (GCP) are high compared to the levels of the two other districts in Kigali, with 23.4% and 11.3% of the population living below the poverty line or in extreme poverty respectively (EICV4).

Significant momentum for sustainable cities in Rwanda has been demonstrated through multiple partnerships aimed to ensure that Rwanda’s cities development is increasingly responsive to green growth and climate resilience. GGGI supported a National Roadmap for Green Secondary City Development and is partnering with AfDB on building local capacity for management of faecal sludge as a waste management strategy in green city development. GGGI is also serving as a delivery partner to the GCF Readiness Programme for green city development in the predominantly rural setting of Nyagatare District. In addition, the GEF-7 allocation to Rwanda will support sustainable city program with a view to implement the current national urbanization policy and strategy. IFC is supporting Rwanda Social Security Board (RSSB) to finance low cost housing project owned by and the private sector housing project owned by Horizon Construction are complementary initiatives in the project intervention area in which KFW investments will complement the GCF funds planned to make a strong case for green city development. A GCF contribution is therefore crucial to build on the progress and partnerships Rwanda has made so far on green growth to introduce innovative and transformative Green City Pilot, in time catalysing private sector investment. The development will be the first site in Rwanda dedicated towards strictly green development. The entire Kinyinya hill will be a green pilot that showcases the mix of built spaces, green spaces, and technological inputs in water and waste management, climate resilience and renewable energy. The 6.2 sq km (620 ha) site is approximately 1% of the total Kigali city area (730 sq km) and will demonstrate green urban development with the highest achievable international green rating.

The Masterplan (Feasibility) Study marks an important milestone in the development of the Green City Pilot. Considering the significance and scope of the GCP project, and the fact it is the first of its kind in Rwanda, a thorough and comprehensive plan must be undertaken in order to both enable the successful implementation of the pilot project and its future replication to secondary cities. The involvement of the Green Climate Fund is critical to implement the GCP pilot in Rwanda through:

• Designing the Green City Pilot in the required holistic and integrated manner: Advanced and detailed planning is needed to guide and manage the complex process of integrated and holistic urban planning for the Green City pilot. The Feasibility Study will ensure that the overall development is in line with green building standards, affordable housing guidelines and, more importantly, the overall sustainable urban planning of the Green City Pilot. GCF funding will enable the immediate coordinated and integrated piloting of the GCP as a showcase for green city development. While relevant policies have served as a basis for the conception of the green city pilot, lessons learned from its implementation will also be instrumental in informing further and refining policies for the greater and growing urbanization in Rwanda.

• Reducing transaction costs: The comprehensive and inclusive planning will significantly reduce transaction costs through the establishment of a favourable framework and the provision of an urban master plan and detailed area plans for the GCP project area. This reduces the risk related to extensive design work and specifies various green housing and communal building typologies and land-use plans. Furthermore, the implementation of the comprehensive vision of a Green City into small separate investment projects, which tend to focus on single sectors such as water, energy, mobility, is facilitated. Altogether, the reduction of transaction costs, amongst others, will enable a prompt and effective implementation for subsequently attracting private sector capital and donor funding for infrastructure projects.

• Informing scaling up of a green city development: In the process of replicating and expanding the Green City Pilot, the urban master plan, detailed area plans and housing typologies will inform detailed planning of the green secondary cities, enhance the scaling up of the modalities of sustainable urban city planning for country-level


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implementation. The GCF funding will kick-start the demonstration of practical and integrated green city development and the immediate information of the wider national development agenda as well as unlocking potential for replication and scaling up, thus facilitating a paradigm shift.

• Implementing a flagship project: The Feasibility Study is crucial for the development and implementation of the climate resilient and green infrastructure components to kick-start the GCP. This will mark an important step in the development of the subsequent project. As the pioneering project it will give the green light for the overall development of the Green City.

• Increasing ownership and viability of Green City Pilot: GCF funding for preparatory activities will strengthen ownership and engagement of relevant stakeholders and provide favorable framework conditions which are a prerequisite for the successful implementation of the overall project. In addition, the international competition provides the opportunity for the GCP project to become highly visible nationally, regionally and internationally. This will draw entries from renowned design offices facilitating state-of-the-art urban, infrastructure and architectural design works that are necessary for a successful replication of the GCP leading to a paradigm shift. It is expected that the GCF support and the high international visibility will enable the leveraging of subsequent co-financing from private investors and donors for the subsequent scale up of the Green City Pilot.

This application is seeking a Project Preparation Facility (PPF) grant to undertake the design of the masterplan for the development of the overall Green City Pilot, as well as to identify and undertake the feasibility studies for a GCP climate resilient and low carbon investment in a funding proposal to the Green Climate Fund (GCF).

GCF funding will ensure the feasibility and design for the Green City Pilot masterplan overall is undertaken with the required holistic and integrated manner. The funding will help reduce transaction costs through preparing implementable projects, which will be taken through to full proposal submission. The funding will develop a specific bankable project for the GCF Full Proposal including the necessary vulnerability and gender, ESIA, economic and financial, legal services and project implementation assessments, to allow the completion and submission of a full GCF proposal. This will build the foundation for the implementation of the overall flagship project overall.

Counterpart funding (already agreed) is being provided by Co KfW on behalf of the German Federal Ministry of Economic Cooperation and Development (BMZ).

D. Implementation Arrangement

(Please include information on implementation arrangements for proposed Project Preparation activities.

Oversight and Coordination of Feasibility Study (Ministry of Environment)

The implementing entity for the Green City Pilot project, and thus for the PPF grant, is the Ministry of Environment. The AE, MoE will be responsible for ensuring any sub-grantees meet the capacity required for performing requested tasks. The implementation of the Feasibility Study (the PPF grant) will be overseen and managed by the Fund Management Team (FMT) of FONERWA on behalf of MoE. FONERWA is a specialized organ. Article 139 of the Rwandan constitution defines specialized organs as Institutions that the Government of Rwanda puts in place to resolve priority issues affecting the country, for the case of FONERWA its climate change. Article 3 of law establishing fonerwa states that FONERWA has legal personality and enjoys administrative and financial autonomy5.

The MoE, is the entity that is responsible for, among other things, monitoring and reporting to the GCF and/or an entity designated by the GCF on the use of the PPF grant and related matters. FONERWA will execute the following activities on behalf of MOE using MoE’s procurement rules:

- Undertake the execution of the overall project and project activities using the finances from the PPF grant and the co-financing (from KfW)

- Manage the procurement process for the consultants for the feasibility study, in line with Government of Rwanda procurement rules in adherence to MoE procurement policy and procedures;

- Monitor project progress and report to MoE to ensure the necessary reporting to GCF by MoE; - Maintain financial records and ensure accounts for GCF and bilateral German funds, and organise the audits

for the GCF PPF,

5 LAW Nº 39/2017 OF 16/08/2017 ESTABLISHING THE NATIONAL FUND FOR ENVIRONMENT AND DETERMINING ITS MISSION,

ORGANISATION AND FUNCTIONING; Official Gazette nº Special of 18/08/2017.


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- Liaise with the responsible line ministry (Ministry of Environment), relevant stakeholders (Ministry of Infrastructure, Rwanda Housing Authority, Ministry of Local Government, City of Kigali, Rwanda Social Security Board, HORIZON Construction, Development Bank of Rwanda (BRD), the Institute for Energy and Environmental Research (ifeu), IFC and KfW regarding the undertaking of the Feasibility Study,

- Prepare and implement inter-institutional arrangements for the set-up of the GCP and ensure collaboration among key stakeholders and landowners,

- Supervise work of the Consultants, review man months used against output produced, - Oversee undertaking of the Feasibility Study and its consistency with national government policies (Green

Growth and Climate Resilience Strategy, Economic Development and Poverty Reduction Strategy, Affordable Housing Strategy, National Housing Policy, Kigali City Master Plan etc.),

- Support the Consultant with all the information, documents, maps, aerial photographs etc. in his/her possession and necessary for the completion of his services,

- Ensure that the Consultant has all necessary permits to obtain further documents, maps and aerial photographs,

- Provide necessary technical guidance to the Consultant regarding implementation of the four main activities, specifically with regard to the preparatory activities for the implementation of a Green City Pilot project,

- Monitor progress and evaluate project outputs. - Ensure the submission of the GCF Full proposal on behalf of the NIE.

Collaboration

KFW and IFC are supporting the GoR through close collaboration with FONERWA and RSSB, respectively to realize the vision of GCP. The GoR has put in place a technical oversight team led by the RHA that includes FONERWA, REMA, City of Kigali, RSSB and Horizon who are considered primary stakeholders in the 620 Ha site in Kinyinya to guide the implementation of the GCP. The collaboration will be guided by the MoU signed by the relevant policy oversight Ministries that include MININFRA, MoE and MINALOC as well as RSSB and Horizon who have planned initial projects in the area. Thus, there will be need to a coordinated approach to sharing of information and aligning and synchronizing of all activities in consideration of a holistic and integrated sustainable urban development project.

Contractual Arrangements

FONERWA will manage the GCP masterplan and GCF funding proposal development in support of MoE, the accredited entity. The design consultancy will be contracted using Government of Rwanda procurement processes, specifically using MOE procurement policies and procedures. However, as the project involves co-financing from KfW, it will also be ensured that the tender process will follow KfW guidelines for international, open competitive bidding as provided for under the Rwanda procurement procedures. Additional support will be provided to FONERWA with the support of a Tender Agent, financed through KfW special funds. The tender agent will help FONERWA with the tender process for the selection of the Consultant, including drafting of the ToR.

KfW Support

As part of the co-financing contribution from KfW, there will be additional support, with monitoring and supervision to ensure compliance with KfW Guidelines, rules and procedures. This support will be provided by a KfW Project Manager at the KfW Country Office in Kigali, Rwanda, with support from KfW Headquarters in Frankfurt, Germany. The KfW Headquarters will provide oversight and backstopping services as well as technical advice through experienced experts in the area of environment and social, environment and climate, urban development and engineering. While FONERWA will lead the procurement of all goods and services for the project, using GoR (MoE) procurement processes, there will be support to ensure they also comply with KfW procurement guidelines on international competitive bidding. KfW will provide support to ensure the adherence of submitted documents with KfW procurement guidelines and all KfW fiduciary, environmental and social standards. FONERWA will be required to receive a no-objection from KfW for the tender documents of the Feasibility Study prior to any contracting.

Masterplan and Feasibility Study (Consultant)

The Feasibility Study will be undertaken by an international consultancy firm working closely with National Consultants. This consultant will be procured using Government of Rwanda procurement processes. The Consultant will undertake preparatory activities and studies (the masterplan) for the implementation of the Green City Pilot project and develop the brief for an international design competition. They will facilitate and prepare the documents for the international urban and architectural design competition for the design of a green master plan for the designated project area (Kinyinya Hill in Kigali, 620 ha), selected sub-are detailed plans and building typologies as well as an integrated sustainable utility services concept for the site. The Consultant will manage the detailed design process for construction tender documents (urban facilities, infrastructure and buildings) - undertaken by the winning


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architecture firm - for a first development phase (18 ha) within the 130-ha site owned by RSSB. The Consultant will provide assistance to FONERWA and other relevant agencies and stakeholders to enable the implementation of the GCP project and the overall management of the Feasibility Study. They will also identify and develop a bankable investment project or programme from the overall design work, and will prepare a Ministry of Environment Green Climate Fund Full Proposal (with supporting costing and documents) for an initial infrastructure project for the GCP (in line with existing Ministry of Environment accreditation status).

Detailed ToR for the Consultants are presented in Annex I. These were developed by FONERWA with the support of a Tender Agent that is financed by the German Federal Ministry of Economic Cooperation and Development (BMZ).

External Quality Control

External quality control will be provided by ifeu in cooperation with several universities and research institutes in Germany and Rwanda, as part of an academic cooperation agreement with KfW (not included in the PPF funding). The role and responsibility of ifeu is:

- Ensure external quality assurance to the development of the Feasibility Study, including the participation in all relevant workshops and in the jury as part of the architectural competition,

- Provide technical guidance and inputs regarding green infrastructure (criteria, data, methods) to the Feasibility Study,

- Participate in a platform for knowledge exchange involving university students.

E. Budget6 Details and Disbursement Schedule

Detailed budget was removed due to confidential information

6 “Sub-total cost” must be provided for each activity, and broken down by the “cost categories” (e.g. Consultants, Travel,

Equipment, Training & workshops, Others). Please provide sufficient breakdown of costs to enable effective review. -

Annex 1: Detailed Terms of Reference

Consulting Services for the

“Green City Kigali”

Feasibility Study / Implementation Framework

1 INTRODUCTION

In response to the recommendations of the Green Growth strategy, the Government of

Rwanda (GoR) has declared the development of sustainable cities and villages and to pilot a

green city development as a blueprint for secondary cities and to initiate a paradigm shift

towards green urbanisation, a thematic priority area in the Economic Development and Poverty

Reduction Strategy (EDPRS II) for the years 2013 – 2018 [2].

Rwanda’s Fund for Environment-FONERWA has secured funds from the German Government

through KfW Development Bank (Financial Cooperation, FC) through the Green Climate Fund

(GCF) Readiness Programme of the German Ministry for Economic Development and

Cooperation (BMZ) to undertake a Feasibility Study for the Green City Pilot project (GCP) in

Kigali.

The Ministry of Environment (Rwanda) has applied for additional funding for the Feasibility

Study through GCF’s project preparation facility (PPF) towards the Green City Pilot, Kigali.

FONERWA will act as Programme Executing Agency (service provider for the GCF

components) of the Feasibility Study and the winning bidder will be contracted by FONERWA.

KfW and FONERWA in consultation with the International Finance Corporation (IFC) and the

Rwanda Social Security Board (RSSB), have agreed to collaborate to support the Government

of Rwanda (GoR) to realize the vision of a GCP, thus sharing of information and aligning and

synchronizing of all activities in consideration of a holistic and integrated sustainable urban

development project.

Eventually, the GCP project is expected to serve as urban development model that links

affordable housing with climate change adaptation and mitigation measures and sets

standards for similar sustainable urban developments in Rwanda.

Consulting Services for – Kigali Green City - Feasibility Study

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2 BACKGROUND

Rwanda has seen significant economic development in recent years. Long-term vision, good

governance and economic growth have made it attractive to foreign investors and ecotourism

has taken off. Agricultural production has doubled since 2007, improving food security, mining

has been privatised and contributes 38% of export earnings, and industry and services are

expanding, providing off-farm jobs for the growing population. Development is supported by

increasing access to electricity, now at approx. 20%, and 2,300km of fibre optic cables recently

laid across the country. Parliament has the highest percentage (60%) of women in the world

and over 95% of children enrolled in primary school in 2009. Ten years after joining the East

Africa Community, Rwanda is contributing to development in the region.

But Rwanda’s future socio-economic development is uncertain as its population grows and the

climate changes, causing pressure on land, water, food and energy resources. Rwanda has

the highest population density in Africa, and the population is growing at 2.8% per year. It is

predicted that the population will more than double from 11 million today to 26 million by 2050,

with a population density of 987 people per square kilometre. Urbanisation is increasing, at

4.4% per year, with over 1 million people living in the capital city, Kigali. As pressure on the

land increases, urbanisation will increase and urban centres will expand. If this urbanisation is

properly managed and coupled with industry and services, it can be an instrument for wealth

creation. Alternatively, there is a risk of urban slums developing and creating associated health

and social problems. Job creation, education, health care and social protection are all needed

to address population growth, while urban areas must be high density and resource efficient

to support a growing skilled workforce.

According to the National Strategy on Climate Change and Low Carbon Development (Green

Growth and Climate Resilience) [1] published in October 2011 by GoR there are a few ‘big

wins’ that if implemented, will make a significant impact on adaptation, mitigation and economic

development and are likely to produce the greatest return on investment for Rwanda as they

impact the whole economy in the long term. High density walkable cities have been identified

as one of the three big wins, as the growing population and increasing urbanisation will result

in an increase in urban area in Rwanda. If this is not achieved in a high-density manner,

Rwanda will face unprecedented levels of urban sprawl, partly due to hilly terrain. This forces

people to travel greater distances than necessary, with motorised transport resulting in GHG

emissions and air pollution. Designing high density cities with corridors for pedestrians and

cyclists and green public spaces, would reduce the need for energy intensive transport,

improve quality of life and reduce the risk of flooding. Not only will this reduce GHG emissions

and oil dependency, but also reduce the burden of transport costs to citizens. It also has

adaptation benefits, as reduced urban sprawl limits the development of housing on steep

slopes which are vulnerable to flooding and landslides.’

Environmentally sustainable, climate resilient and green economic growth is an established

development priority of the Government of Rwanda. Since 2005, Rwanda has worked to

operationalise a sustainable financing mechanism in order to achieve these objectives, known

as the Environment and Climate Change Fund – FONERWA. As a national basket fund,

FONERWA is both an instrument to facilitate direct access to international environment and


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climate finance, as well as to streamline and rationalise external aid and domestic finance.

Rwanda’s Green Fund is a ground-breaking environment and climate change investment fund.

It is the engine of green growth in Rwanda and serves as an example for what is possible - in

Africa and around the world.

The fund invests in the best public and private projects that have the potential for

transformative change and that align with Rwanda’s commitment to building a strong green

economy. The Green Fund also provides expert technical assistance to ensure the success of

its investments.

The National Urbanisation Policy (2015) advocates for an integrated urban planning and

management in order to achieve resource efficient and compact growth. It further underlines

the efficient use of land and strategic investment phasing based on green economic

development principles. The Economic Development and Poverty Reduction strategy (EDPRS

2) includes a priority on green urbanization involving six secondary cities. The strategy also

promotes a “green economy” approach to economic transformation which favours the

development of sustainable cities and villages. Key innovations include piloting a green city

and attracting investors in green construction, and GoR intends to enhance these innovations

by reinforcing partnerships that are crucial to implementing the Green City Pilot in Kigali.

To this end, a Memorandum of Understanding (MoU) between the relevant stakeholders7 has

been signed. It brings together partners to work toward integrated green concepts at scale that

can serve as a nucleus for a Green City Pilot in Kinyinya Hill in the City of Kigali. The purpose

of the MoU is to set out obligations and responsibilities of the parties as well as terms and

conditions for implementation of the Green City Pilot in Kinyinya. Specific objectives of the

MoU are:

a) To confirm Kinyinya location in Gasabo District as the site for the GCP in the City of

Kigali;

b) To work together towards successfully implementing the GCP in Kinyinya; and

c) To guide and facilitate green investments flows using the GCP in Kinyinya as the critical

entry point.

In response to the above-mentioned scenario FONERWA with the financial support of KfW will

undertake a feasibility study for the development of the green city pilot at Kinyinya Hill and to

initiate the paradigm shift towards green urbanization in Ruanda.

7 Ministry of Infrastructure, Ministry of Natural Resources, Ministry of Local Government, City of Kigali, Rwandan Housing Authority, Rwandan Environment Management Authority, Fund for Environment and Climate Change, Rwanda Social Security Board, Horizon Group Limited


13

3 OBJECTIVE, RESULTS and INDICATORS

The Objective of the Feasibility Study / Project is the development of a model community in

Kinyinya Hill/Kigali (620 ha) as a showcase for sustainable, lively, affordable and poverty-

oriented green urban mixed-used development8 which can be replicated in other parts of

Rwanda and the wider region.

The Project Outcome is that a climate-resilient and green Urban Master Plan is available for

the Green City Pilot (GCP) site (Kinyinya Hill), that a 18ha model parcel of Kinyinya Hill is ready

for development, including all approvals and planning documents required for implementation

and that a bankable investment project for the Green Climate Fund is developed (for the

accredited entity, MoE formely MINIRENA).

The expected Project Outputs are that

• The feasibility assessment for the Green City Pilot project has been carried out which

includes the definition of urban design guidelines and a design brief for an urban and

architectural competition;

• An urban and architectural design competition has that is efficiently delivered a climate-

resilient and green Urban Master Plan for Kinyinya Hill, Sub-area Detail Plans, housing

and community facility typology designs; and an urban development plan and building

designs for the 18ha model parcel;

• The winning design firm has been commissioned to prepare detailed designs for the

18ha model parcel;

• The detailed designs for all urban, infrastructure and architectural works and related

tender documents required for the development of the 18ha model parcel have been

prepared and are ready for implementation; and

• The development of a Green Climate Fund (GCF) Funding Full Proposal and

supporting studies for a project component of the Green City Pilot is completed and

submitted to the GCF.

The Project is considered successful according to the "success indicators" specified in the

Result Matrix (see Annex A-1) if, based on the approved detailed designs and complete tender

documents, all required approvals for the development of the 18 ha model parcel have been

issued by the City of Kigali and other relevant Rwandan authorities, and if a GCF Full Proposal

has been submitted to the GCF.

8 According to Wikipedia ‘Green development is a real estate development concept that carefully

considers social and environmental impacts of development. It is defined by three sub-categories: environmental responsiveness, resource efficiency, and community and cultural sensitivity.’


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4 DESCRIPTION of the PROJECT

Implementation Structure

The GCP project consists of three Phases (subject of this tender). For a tentative

Implementation Schedule please refer to Annex A-2.

Phase A, a Feasibility Assessment Phase, Phase B a Competition Phase and Phase C a

Detailed Design Phase. For funding reasons, Phases A and B will be contracted under one

contract and Phase C under a separate contract, but to the same consulting firm. Consultants

shall submit one technical proposal covering all three Phases, however submit a combined

staffing schedule and financial proposal for Phases A and B; and a separate staffing schedule

and financial proposal for Phase C.

During the Feasibility Assessment Phase (Phase A) the Consultant will undertake a feasibility

assessment of Kinyinya Hill as site for the green city pilot;

During the Competition Phase (Phase B) the Consultant will prepare, facilitate and document

an international urban planning and architectural design competition for the design of the green

Urban Master Plan for Kinyinya Hill (620 ha) and its related green utility services systems,

including concepts for sub-area plans, housing and community facility typology designs and

an urban development plan and related building designs for an 18 ha model parcel, based on

the results of the Feasibility Assessment Phase. It will also include the preparation of the Full

Proposal to the GCF; and

During the Detail Design Phase (Phase C) the Consultant will manage and monitor the detailed

design and preparation of tender documents by the winning design firm for the development

of the 18-ha model parcel.

Stakeholder Structure

In its role as Programme Executing Agency of the Feasibility Study, acting on behalf of

MINIRENA as the accredited entity to the GCF, FONERWA will engage one international

consulting firm (Consultant) with a national partner firm / national expert with two contracts to

support undertaking of the Feasibility Study of the GCP project. One contract for the Feasibility

Assessment and the Competition Phase and a separate contract for the Detailed Design

Phase.

FONERWA will also contract the winning design firm of the international urban planning and

architectural design competition, under separate funding, to undertake the detailed design and

preparation of tender documents for the development of the 18-ha model parcel mentioned

under above.

KfW will provide grant funding for the Feasibility Study – FONERWA will report to KfW on the

progress and outcome of the activities undertaken under the FS.

The Rwandan Social Security Board (RSSB) as the owner of the 18-ha model site will

collaborate within the framework of the GCP project with IFC, FONERWA and KfW.

The Project Target Group is the lower-middle and middle-income population of Kigali, who will

benefit from the development of sustainable and affordable housing as part of a low-emission,


15

energy-efficient, climate-friendly and livable new urban area in Kigali. This component will also

establish the basis for a more sustainable, affordable and poverty-oriented green urban

development in secondary towns and thus make a significant impact on climate adaptation &

mitigation, as well as on socio-economic development in Rwanda.

Project Site

The proposed site for the GCP project is known as ‘Kinyinya Hill’ in Kigali (Figure 1 below)

which is situated approx. 6.5km or a 15-minute drive to the north-east of the central business

district of Kigali. The site is characterised by readily developable land, a sizable government-

owned treed parcel, agricultural and village community areas and social housing communities.

The subject site is naturally defined by the topography and its surrounding wetlands and

measures approx. 620 ha. Main access from the city to the site is from the south through the

districts of Nyarutarama and Remera. A detailed description of the proposed project site can

be found in Annex A-3.

Figure 1: Google Earth image of ‘Kinyinya Hill’ in relation to Kigali City Centre

Planning Principles

When preparing his offer, preparing the competition brief and during the implementing of the

Feasibility Study the Consultant shall consider at least the planning principles shown in Annex

A-4 which are meant to highlight and describe a variety of aspects or components of the entire

development. While at the time of the FS only financing for a small portion (18 ha) of the GCP

at Kinyinya Hill has been secured, the Consultant must consider in his conceptual approach


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the entire site (620 ha) and the urban, environmental and financial opportunities which arise

from such a project.

5 SCOPE of WORKS

In all parts of this ToR wherever term “Consultant”, “Implementation Consultant” or “Feasibility

Study Consultant” is mentioned, it shall be understood as the association or consortium formed

between the International Consultant and the National Consultant or national experts to

undertake the Feasibility Study.

In all parts of this ToR wherever term “Green City Pilot (GCP)” project is used, it shall be

understood as the “Green City Kigali” project, the preparation of which is the subject of this

tender. Wherever the term “Project” is used, it shall be understood as the GCP. While the term

“Feasibility Study” in most cases entails the analysis of whether a project is feasible or not, the

notion of this Feasibility Study is to develop a concept of “how” the “Green City Pilot” project

can be implemented. Bidders shall bear in mind that the list of tasks and activities contained

in these ToR shall not necessarily be considered as the complete and comprehensive

description of the Consultant's duties. It is rather the Consultant's responsibility to verify the

scope of services, the suggestions regarding the personnel set-up, and the tentative

implementation schedule, etc. - and to extend, reduce or amend the list wherever it is deemed

necessary according to his own professional judgment and the knowledge acquired during

preparation of his proposal. As a matter of principle, it is understood that the Consultant will

ensure that all activities necessary to fulfil the objectives of the Feasibility Study are performed

as described in these ToR.

Project Phases and Tasks

Activities to be undertaken under the Project can be divided into three main phases and consist

of five main tasks:

Contract 1:

Phase A: Feasibility Assessment (5 months + 2 months reviews & approvals)

Task 1: Development of an implementation framework for the “Green City Pilot”

project and the Kinyinya Hill climate-resilient and green Urban Master Plan

Phase B: Design Competition (5 months + 2 months reviews & approvals)

Task 2: Urban Planning and Architectural Design Competition

Task 3: Preparation of Green Climate Fund (GCF) funding proposal for submission

by FONERWA.

Task 4: Support to FONERWA and Management of Feasibility Study, is an ongoing

activity during the Feasibility Assessment Phase and the Design Competition Phase.

Contract 2:

Phase C: Detailed Design (7 months + 2 months reviews & approvals)

Task 5: Management and Supervision of Detailed Design Activities

Contract 2 is an option to become valid in case the Consultant has performed Contract 1 to

the satisfaction of the employer.


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In the following, the five main tasks are broken down into sub-tasks:

Contract 1

5.1 Task 1 Development of an implementation framework for the “Green City Pilot” project and the Kinyinya Hill climate-resilient and green Urban Master Plan

5.1.1 Assessment of policy and planning requirements

Introduction

Considering that the GCP project is the first of its kind in Rwanda, a review of relevant

government policies, planning instruments and frameworks in which a green urban

development can take place is required. A significant number of legal frameworks and policies,

studies and reports are available and need to be considered. Key legal framework documents

applying to the project site (Kinyinya Hill) with regard to urban - as well as architectural planning

– are published by the Government of Rwanda by Official Gazettes regulating land use, human

habitation, economic zoning, urban planning and building regulations and building for disabled.

Further regulations may apply which have not been mentioned here and shall be considered

by the Consultant, if relevant.

Following documents issued by the Rwandan Government provide an overall high-level

understanding of applicable policies and guidelines and will be made available to pre-qualified

consultants for download at following link:

https://www.dropbox.com/sh/e8c1nchiwolzg1j/AACMjHxzDgQ0YzZIgo2VyefOa?dl=0

• Economic Development and Poverty Reduction Strategy 2013 EDPRS II

• National Housing Policy

• Proposed Affordable Housing financing Scheme May 2017 Strategy

• Rwanda Green Growth Strategy

• Rwanda National Urbanization Policy 2015

• Special Economic Zone Policy 2010

• Supporting Affordable Housing Policy Note UDF

Tasks

The Consultant shall review policies and planning frameworks concerning their relevance for

the project. Where deemed necessary assistance shall be rendered to FONERWA and other

relevant agencies in developing and/or refining required policies to enable its implementation.

Expected results

• Findings gained through the document review find entry into the implementation

framework of the “Green City Kigali” project to ensure that it can be implemented. The

consultant shall submit the implementation framework.

5.1.2 Assessment of technical and project site-specific planning documents

and surveys and commissioning of additional surveys, if required

Introduction


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In 2007, the Ministry of Infrastructure developed a Master Plan for the Kigali City area in

cooperation with architects, urban planners and engineers. The Master Plan is based on the

detailed analysis of the existing situation in 2006. Detailed area plans and more overarching

topics such as transportation were added from 2007 to 2013. The Masterplan and related

documents are available for download at:

http://www.masterplan2013.kigalicity.gov.rw/Downloads/

Several studies have been conducted with special relevance to the Project site itself.

Considered most relevant is the Kigali Sub Area Plans for Kinyinya (as a of the Kigali

Masterplan) and “Towards a Green City Development for Rwanda”, conducted by FONERWA.

A detailed design study for the area located south of the Deutsche Welle site was conducted

by the “CACTUS” project and is currently under revision. Documents can be obtained from the

CACTUS project through the developer “HORIZON Limited”.

Annex A-4 provides a list of Planning Principles to be reviewed and complimented by the FS

consultant in discussions with relevant stakeholders and governing bodies of the project site.

Tasks

Revision of existing planning instruments, technical and engineering reports, surveys and

investigations applicable and available for the Kinyinya Hill site. If deemed necessary,

commissioning of additional technical surveys and studies required (e.g. geotechnical and

topographic) as basis for the urban design and architectural design competition and the

detailed design phase of the project. Such studies shall especially provide information for

possible green utility services supply options. A reimbursable amount EUR 25,000 shall be

foreseen in the financial proposal by the consultants to commission relevant studies.

Urban development parameters, such as overall targeted population, targeted proportions of

urban uses, targeted densities for various residential uses and targeted income groups Urban

development parameters have been streamlined with existing and legally binding urban- and

architectural guidelines such as existing master plans and building codes and standards shall

be defined. Key figures shall ensure implementability and be discussed and confirmed by the

concerned authorities including infrastructure providers and local housing-market analysts.

Additional calculations shall be provided for commercial and industrial use, showing the

economic viability of investments. Any binding figures from applicable Rwandan standards or

regulations especially with regard to providing affordable and social housing, while offering a

variety of housing types and meeting the cultural and socio-economic needs of the population

shall be included, but also general minimum building spacing, maximum building heights,

population intake of schools and health facilities etc.

Expected results

• Findings gained through the document review shall find entry into the implementation

framework of the GCP project to ensure that it can be implemented.

• Additional required surveys and studies have been undertaken.

• An abstract of the findings has been included in the competition brief (Task 2) and

provide the participants with required baseline information of the project site.


19

• Compilation of an Urban Design Project Handbook summarising the planning rules and

requirements contained in the Kigali City Master Plan 2013 and its sub-documents for

the Kinyinya Hill site which define the design framework. The Urban Design Project

Handbook shall be included in the competition brief.

5.1.3 Infrastructure availability and readiness assessment

Introduction

The standard array of utilities includes power (electricity), water, waste-water management

systems, and ICT-telecommunications, some of which are available at Kinyinya Hill. Some of

the systems may be sufficient for use under the GCP project – other might require upgrading

or replacement to achieve the objective of a sustainable development.

Tasks

Investigate the modes and conditions of infrastructure provision of the City of Kigali and other

concerned private providers for the Kinyinya Hill and beyond. Provide guidelines for urban

designers and utilities engineers of the competition for the design of cost efficient

infrastructures. Investigate on available capacities. Electrical power, potable and waste water

as well as storm water drainage and discharge and solid waste collection/disposal must be

covered. Relate available capacities to the project size and its estimated population and

compile a report on the findings (infrastructure availability and readiness report) stating any

insufficient capacities. Discuss the results with the concerned authorities.

Expected results

• An abstract of the findings shall be included in the competition brief and participants

shall be provided with required baseline information of the project site so that the

competitors have required information to develop an integrated “green” supply concept

for Kinyinya Hill.

5.1.4 Market analyse (green) construction systems and construction materials

Introduction

In order to facilitate Rwandans living in rural areas the opportunity to accessible, sustainable

and affordable local construction materials to accelerate housing sector in the country, the

Government of Rwanda in collaboration with development partners such as SKAT (Swiss

Resource Center and Consultancies for Development), Hydraform and others backing local

authorities with the objective to support:

• People gaining home ownership by using low cost construction materials;

• House construction in planned rural settlement sites (imidugudu);

• Promoting densification and complying with approved land use;

• Use of construction materials produced in the country;

• Skills development in the local construction sector.

Tasks


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Analysis of the Rwandan construction market and commonly available building materials and

related building methods/systems in terms of availability, carbon-footprint and availability of

skilled workmanship. Propose the introduction of new materials and building systems if

considered of higher efficiency and mid-term availability. Outline necessary steps and

investments to introduce new materials and technologies. Compile a catalogue of available

and proposed building systems including related materials as a basis for the design of cost-

efficient and “green” buildings.

Analyze “climate-resilient and green” technologies, standards/certifications and concepts

applicable at the project site. The report shall outline local availability as well as options of

introducing non-available technologies to the local market and the related necessary

preconditions. “Climate-resilient and green” technologies should refer to the production of

building materials and- systems, architectural design, building construction and/or to technical

infrastructures on the household and urban level with special emphasis on sustainability,

climate change resilience, self-sufficiency, self-sustaining and low carbon emission. Cost

indications and Green House Gas (GHG) emission saving potentials shall be given wherever

possible.

Expected results

• (Green) Construction Systems & Material catalogue

• An abstract of the findings shall be included in the competition brief and provide the

participants with required baseline information.

• Relevant information for the GCF application (see 5.3).

5.1.5 Housing typology catalogue & market analysis

Introduction

Compliance of proposed concepts for infrastructure systems and housing and building

typologies with norms and standards of the Rwandan society and Government regulations

must be at the forefront of any design considerations. Being a community in transition,

suggested concepts must be anchored in the Rwandan context of today while keeping

tomorrow in mind and remembering that different social groups have different expectations.

Capturing this delicate balance and describing it for the participants of the design competition

is an important task of the Feasibility Study.

Tasks

Review available studies on the subject.

Provide an analysis of the Rwandan housing market to define target income groups of

housings. Also provide market analysis for commercial and industrial uses. The analysis shall

provide the base for urban design key-figures.

Analyze typical Rwandan residential housing typologies in light of their applicability and

“climate-resilient and green” properties within the project framework with special emphasis on

building systems and standards/certifications used, usability on different slope conditions,

density achievable, cultural aspects and market-acceptance. The aim of the analysis is to lay


21

the ground for the design of well-accepted, low-carbon footprint and efficient housing types for

various site and density conditions for the Project site.

Expected results

• Rwandan housing market analysis to define target income groups of the GCP

• Housing Typology catalogue

• An abstract of the findings shall be included in the competition brief and provide the

participants with required baseline information of the project site.


5.1.6 Sustainable development standards for the GCP project – ecological and

social

Introduction

In Rwanda, green building practices are being spearheaded by the Ministry of Environment

(MoE), Rwanda Housing Authority (RHA) and the Ministry of Infrastructure (MININFRA)

together with the Global Green Growth Institute (GGGI) and the Rwanda Green Building

Organisation (RwGBO), which is a member of the World Green Building Council. RwGBO,

together with experts from the Singapore Building and Construction Authority GGGI and RHA,

is currently developing a green building certificate, which will serve as an implementation

instrument of the green construction regulations component of the recently adopted Building

Code, expected to be ready for implementation in 2018. The green building certification is

based on rating systems for energy efficiency and environmental performance of buildings.

A healthy mixture of different uses within the site is the key to an economically and socially

well-working neighbourhood. The site shall therefore include residential, commercial and light

industrial uses. Community level facilities, such as social-, health- and educational facilities as

well as recreational areas, such as sporting facilities and open (park) areas, will complement

the mix. As general approach, residential areas shall allow and promote small scale

businesses such as small offices / home offices, small retail and convenient stores and even

small trades while being compatible to the overarching residential idea, providing a lively

environment to promote socio-economic growth and reducing mobility requirements of the

population.

Tasks

While taking into account the green building certificate currently under development the FS

Consultant shall develop Green development standards for the GCP project (urban planning,

utility services delivery & buildings, housing standards). The standards shall be agreed upon

with utility providers and relevant stakeholders and must be aligned with international and

Rwandan green standards and allow for replication in other projects and form the basis for the

competition brief.

The study shall also include an assessment and describe a possible concept for a ‘healthy

mixture’ for an economically and socially well-working neighbourhood.

Expected results


22

• Sustainable development standards for the GCP project (urban planning, social

planning, utility services delivery & buildings) have been defined and agreed upon with

utility providers and relevant stakeholders;

• An abstract of the findings is included in the competition brief and provide the

participants with required baseline information.

5.1.7 GCP implementation approach

Introduction

There are advantages that can be availed in a large-scale development, but are lost in smaller

developments, even one as big as the RSSB parcel (130 ha). The Feasibility Study shall show

the benefit of scale of the development of the larger site. Therefore, the entire Kinyanya Hill

shall be considered under the Feasibility Study as project site, even though plans for the

development of the CACTUS and the 18 ha RSSB development are underway.

A key initial challenge will be to get the individual owners to work in a collaborative way rather

than going it their own way at their own schedule. This task, to a large extend, is of a political

nature and must to be tackled by FONERWA or other relevant stakeholders. It is expected that

the results of the Feasibility Study will demonstrate to all landowners and stakeholders the

mutual benefit of working together under one collaborative umbrella.

There are at least 3 landowners on the Kinyinya site. Some of the landowners have already

invested capital to develop their parcels. At least one, the CACTUS development of HORIZON

is advanced in its design of the 13 hectares under its direct control plus another potential 11

hectares on an adjoining parcel. Concrete plans to develop a parcel of 18 ha of the RSSB site

are also currently underway. A consortium (Special Purpose Vehicle/SPV) consisting of key

stakeholders, namely RSSB, RHA, Rwandan Development Bank (BRD), Bank of Kigali and a

private developer has been set-up to develop the parcel.

Tasks

Under the Feasibility Study the Consultant shall discuss and assess options for the most

feasible GCK project implementation approach, be it a Master Developer, a Special Purpose

Vehicle (SPV) or any other mechanism.

Looking ahead to the realization of the GCP project the idea of “master developer” is put

forward which may have a very appropriate application to a large and complex project such as

this. The master developer would control all aspects of a future project, manage the detail

design and construction phases by coordinating the work-product of multiple sub-developers

(developers in-charge of various neighbourhoods) and other contracted parties. Perhaps most

important of all, the master developer acts a CEO of the holistic venture, providing leadership,

transparency and accountability. The master developer would either be chosen though some

kind of executive selection process or by tender.

Expected results

• Recommendations on the most feasible implementation approach and the way forward

shall be presented in the mid-term Feasibility Study report.


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• Drafting of ToR for the selection of Master Developer, SPV or other implementation

body, should such approach be supported.

5.1.8 Housing finance framework and mortgage markets in Rwanda

Introduction

There are about 14 commercial banks in the Rwandan financial sector today. All of them are

licensed to offer mortgage loans to the general public. However, not all of them have mortgage

lending departments. A key measurement of the depth of housing finance markets is the ratio

of mortgage debt outstanding to a country’s gross domestic product (MDO-to-GDP). Well

developed countries have ratios in the twenty percent to seventy percent range. This generally

means that volumes of mortgage lending are high relative to total banking assets and financial

sector activity, and high volume typically means that there is sufficient free and unfettered

competition in lending. Many of the countries of sub-Saharan Africa most ripe for financial

sector development have MDO to GDP ratios in the range of one percent (or less) to five

percent. This end of the development spectrum is typically characterized by limited competition

in the primary market, lack of mortgage market standardization, and dearth of bankable

housing stock.

The mortgage debt outstanding in Rwanda is not reported however, informal and very rough

estimates of total mortgage debt outstanding (MDO) in Rwanda today place the total around

US$100 million. This represents about 1.25 percent of GDP.

It is no surprise that mortgage lending penetration as measured by the MDO to GDP ratio is

low. This is typical in emerging market countries. It is generally the result of low income per

capita and the need for long term funds in order to invest in mortgages.

The willingness and ability of the banking system to originate an adequate volume of mortgage

loans or other financial instruments for long-term housing finance needed to provide end user

financing to purchasers of all homes will be an important factor to the successful development

of the housing sector in Rwanda.

Tasks

Following tasks are to be undertaken:

1. Review of planning frameworks and policies, studies and reports concerning (green)

housing finance framework and mortgage markets in Rwanda, including a description

of the legal framework to mortgage lending as well as alternative instruments for

housing finance in Rwanda;

2. Definition of the Target Group (What are the income and loan level ranges relevant for

the targeted income segments? What is the current size of the market? What is the

consumer appetite? Tradition and risk-appetite to finance housing through loans rather

than gradual saving? Should the inclusion of social housing be considered to respond

to the poverty-orientation of the project while also targeting middle-income

households?).

3. A brief analysis of the Rwandan financial sector (demand and supply) should be

undertaken in order to understand, why the market is limited and why mortgage interest


24

rates are so high and what could be done to bring them down (short term, medium

term, long term). In this regard, the local banks should also be asked for their opinion.

4. Identify banks of financial institutions that have mortgage and/or alternative housing

finance portfolios and banks or financial institutions that are currently interested or

planning for entry in the near term to offer home loan products. In this context seek

clarification what the obstacle to preventing business are;

5. Draw a short comparison with alternative markets in neighbouring countries and the

financial products offered there;

6. Analysis of the financial sector in Rwanda with a strong focus on available housing

finance products, broken down by financial institutions offering such products:

a. Term to maturity;

b. Equity required (minimum down payment or maximum loan-to-value ratio);

c. Interest rate;

d. Collateral required;

e. Amounts (min & max);

f. Other requirements;

g. History of housing finance;

h. Challenges;

i. Percentage of housing finance in total lending;

7. Examine the capacity of the banking system to be the final investor in housing finance

originated and examine the capacity of other investors in the financial sector to be an

off-taker of mortgage loans produced by the banking system. Also, assess whether

loans with long-term tenors can be offered.

Expected results

• Analysis of the current state of the mortgage market in Rwanda;

• Analysis of potential impediments to full-scale lending for purchase of homes against

the security of a borrower’s home;

• Analysis of the pricing structure of mortgage loans;

• Analysis of the capacity of the financial sector in Rwanda to absorb for long-term

investment mortgage loans to be originated to support Green City Kigali and the

housing finance market in general recommendations to address any shortfalls in

capacity, which includes (but not exclusively) lending capacities for sustainable and

affordable housing);

• Recommendations of ways to reduce the high interest rates charged on mortgage

loans and how to increase maturities;

• Relevant information for the GCF application (see 5.3)

5.1.9 Assessment of policy initiatives that can stimulate the production of

affordable housing solutions targeted at lower income households

Introduction


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One of the big challenges in any developing country is providing affordable housing to its

citizens. Many countries in sub-Saharan Africa have housing and mortgage markets that are

struggling to develop efficient and effective delivery mechanisms that can effectively address

persistent national housing deficits. Typically, mortgage lending lags the growth of other

consumer banking services because such lending thrives on long-term funding, enabling

environments in terms of property rights, and enforcement of defaulting loans, all of which are

typically difficult to establish in emerging markets. To boot, long-term investor sectors –

whether insurance firms, private pension funds, endowment funds, mutual funds and others –

are generally not yet firmly established. In a similar fashion, housing markets and construction

of new housing stock, particularly affordable housing, lag in development because most would-

be purchasers need long-term mortgage financing to complete their acquisitions. To be sure,

lack of urban planning and lagging investment in infrastructure contribute significantly to this

state of affairs.

Many households and individuals at the lower rungs of the socio-economic ladder cannot

afford a decent home at any price and find themselves ignored. Any national housing strategy

that strives to address all elements of the housing sector and, in particular, help families and

individuals improve their economic well-being, must cater to families and individuals for whom

homeownership is not yet a viable option (or might never be a viable option). Providing home

ownership opportunities is simply not enough. Rwanda must consider alternative tenure

options and foremost among them is rental housing.

Enabling alternative Housing Tenure Options

The rental option addresses the difficulty that many families have in accumulating enough

capital for a down payment of at least 20 percent of the purchase price of a home. Further,

many young people and young households just beginning to climb the personal wealth ladder

are not yet ready for homeownership; to encourage such young professional to stay in Rwanda

or to attract such young professionals to return to Rwanda, the GoR must make rental housing

available in large quantities. Ideas that do this without creating market distortions are worthy

of consideration.

At present, Rwanda has a housing deficit of almost 345,000 units projected through 2022, of

which over half are needed in the affordable housing sector. According to the Final Report of

the Housing Market Demand, Housing Finance and Housing Preferences for the City of Kigali,

affordable housing is split into two groups, Quintile 1 “Social Housing” and Quintile 2

“Affordable Housing”. Combined, these two groups account for the greatest supply shortage.

Sixty-seven percent (67%) of the dwellings needed fall into these two quintiles, with Q1

covering 12.62% of the future units and Q2 comprising over half of the housing deficit at

54.11%. These two groups are excellent candidates for rental housing. Given the nature of

the lowest income brackets, the Q1 market traditionally requires the greatest subsidy from the

government with Q2 demanding relatively less assistance. Alternative financing, including the

involvement of the private sector, can fund the establishment of a healthy, long-term,

affordable rental housing market. If put into place effectively, this will eliminate the majority of

housing subsidies needed in these quintiles, thereby resulting in less budgetary strain on the

government for future housing needs.


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Addressing the Problem

The consultant should direct an effort to shape a range of financial and regulatory solutions to

enable Rwanda to attract private sector investment in multi-family rental housing development.

The goal is to develop the financial and regulatory structure necessary to establish a strong

rental housing platform, replicating within Rwanda appropriate versions found in developed

economies around the world, thereby creating opportunities for private sector investment in

(affordable) rental housing.

The primary objective will be to leverage the limited resources of the Rwandan public sector

by engaging Rwanda’s corporate and banking communities to allow for financially sound, well-

designed, mixed income housing production attractive to a range of populations. By creating

environments that are both attractive and affordable, this effort will contribute to stabilizing and

strengthening the economic base of Rwanda’s primary and secondary cities.

This initiative will be a collaborative effort, drawing upon the expertise of Rwanda’s decision

makers, developers, investors, lawyers, bankers, and academics, together with housing

finance experts, to identify achievable solutions. The consultant should engage local expertise

consisting of senior level tax, legal and policy professionals with the expertise and willingness

to help guide/mentor the process.

Goals for an achievable Solution

• Leverage the limited resources of the Rwanda public sector and allow for financially

sound, well-designed mixed income rental housing production.

• Provide a range of housing options to underserved Rwanda citizens including young

families, municipal employees, elderly, handicapped, etc.

• Provide the financial modelling needed to demonstrate cost/benefit and replicability.

Tasks

There is a unique window of opportunity to address the national challenge of establishing a fair

and economically sound structure for the finance and development of affordable/workforce

rental housing in Rwanda. This can be accomplished by engaging the private sector in the mix

and significantly leveraging public resources through financial incentives.

The consultant should function as an expert consultant working collaboratively with the City of

Kigali, Ministry of Infrastructure (MINIFRA), and the Rwanda Housing Authority to lead the

feasibility phase in identifying potential options

This effort will identify the specific regulatory/legislative issues that need to be addressed

(obstacles and opportunities) in adapting both existing financing products within the Rwanda

public/private financing sectors as well as new options. Particular attention will be paid to the

changing conditions in the current Rwanda financial and credit markets and the most suitable

organizational framework.

The Consultant will:

• Identify and replicate best practices for Rwanda finance structure.

• Develop financial models reflective of Rwanda real estate/finance standards.


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• Make suggestions on the required restructuring of legislation to enable tax credits and/or

other financial incentives.

Analysis of the best Practices in Rwanda:

a. Low-Income Housing Tax Credits (LIHTC)

i. Prepare detailed outline of the structure for adapting the US Low-Income Housing

Tax Credit (LIHTC) Program in Rwanda;

ii. Identify key legal/regulatory obstacles/issues;

iii. Prepare financing models on actual demonstration development sites in Rwanda;

iv. Prepare cost/benefit analyses based on actual Rwandan sites.

b. Bond Financing

i. Review existing legal, regulatory components of Rwanda’s current municipal bond

financing structure;

ii. Identify constraints and limitations on its use as an affordable/workforce housing

financing tool;

iii. Propose options to improve utilization.

c. Philanthropic/Social Impact Investment/Private Sector

i. Identify philanthropic sector models of social investment and Program Related

Investments (PRI’s) in affordable/workforce housing internationally;

ii. Identify the feasibility of establishing Land Trusts/Land Banks;

iii. Identify philanthropic entities and funds interested in social impact investment,

PRI’s in Rwanda.

d. Government Sector

i. Identify the strengths and weaknesses of the current government financed housing

programs in Rwanda;

ii. Identify the existing government programs as well as new initiatives that can best

be used to support rental housing finance;

iii. Work with the City of Kigali, Ministry of Infrastructure (MINIFRA), and the Rwanda

Housing Authority to address required regulatory changes—create strategic

alliance with government decision makers.

e. Private Sector

i. Meet with Rwanda real estate developers, bankers and members of the investment

community and community leaders to present investment options for participation

in affordable/workforce housing development;

ii. Identify specific investment underwriting criteria;

iii. Structure informational meetings and opportunities for input.

Expected results

Prepare a report summarizing the recommendations and required action steps for

implementation, including the need for any legislative initiatives.

The objective of this stage will be the structuring of the financial models and associated

regulatory and legislative initiatives necessary to support the economic feasibility of an

affordable/workforce housing development budget and operating pro forma.

The report will detail the financial structures together with concrete policy recommendations

for the regulators and legislators. It will describe requirements for the establishment of public

policies and the associated legislation needed to engage private investors and offer specific

investment opportunities to maximize the potential of public/private financing initiatives. In


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addition, the regulations necessary to support the successful implementation of the financing

will be developed. The goal is to provide a range of housing options serving a variety of income

levels.

5.1.10 Financial estimations, projections and modelling

Introduction

The following tasks require financial estimations and projections which should be carried out

by the consultancy finance team. These calculations involve the use of financial modelling

techniques. Assumptions used by the modeller must be clearly spelled out and documented

so as to allow for follow-up examination and review. During Part 1 of the study the finance

team shall develop modelling templates for the future Green City Kigali project to a) define key

financial parameters as benchmark information for the design competition and b) to undertake

financial modelling of the submitted entries of the design competition. It is also noted that the

financial analysis will form part of the information that is needed for the financial viability

analysis of the GCF full proposal (see 5.3) and advise on the financial structuring for the GCF

full proposal.

Tasks

Following tasks are to be undertaken:

1. Review the findings of the IFC-funded feasibility study, if available;

2. Overall financial analysis and profit/loss calculations of the project, including the

internal rate of return (IRR) based upon a “base-case” scenario which incorporates:

a. “green” measures for utilities;

b. “green” building components and building technologies;

c. Modern neighbourhood urban design coupled with a range of housing typologies

which incorporate higher density housing production;

3. sensitivities which consider a variety of “green” utility services, which could also result

in trade-offs between the use “green” technologies and affordability;

4. sensitivities stemming from pricing of a range of neighbourhood and housing designs

and typologies;

5. provide scenarios on how financing for the project can be achieved including financing

through a Green Bond against the Climate Bond Initiative’s Climate Bond Standards,

assessing the feasibility of such option, the required steps and the type of Green Bond

and illustrative terms for potential Green Bond issuance; and

6. which pre-conditions must be met to achieve viability in a variety of recommended

financial structures;

7. what is the minimum amount of equity and what are recommended levels of equity

needed to make the project qualifiable for the variety of financing instruments

recommended.

8. What is the component-cost breakdown of the key elements of housing production and

the production of non-housing elements;


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9. Assess the financial structuring options for the GCF proposal, in line with the

accreditation entity accreditation status.

Expected results

• Projected profit analysis of the project from the perspective of the Master Developer;

• Component cost breakdown of the key elements of housing production and of all other

elements in the spectrum of cost items needed to deliver the entire Green City Kigali

project;

• Develop spreadsheet model that can be used as a basis to arrive at the Internal Rate

of Return for affordable housing investments;

• Internal Rate of Return analysis of the entire project and for the 18 ha first development

phase of the 130 ha RSSB site;

• Affordability and willingness to-pay analysis;

• Cost estimate for 18 ha site;

• Financing scenarios which include the Green Bond option;

• Options for the financial structuring for the GCF proposal; and


5.1.11 Environmental and Social Impact Assessment (ESIA) including Gender

analysis and report

Introduction

Strategic Environmental Assessment (SEA) as part of the policy tools will be carried out to

better guide policy and planning through inclusion of environmental considerations to inform

strategic decisions and build consensus on development priorities. At project level, an

Environmental and Social Impact Assessment (ESIA) must be carried out. These will, to a

great extent; involve consultations with local and regional authorities, local businesses,

community organisations and local community members and representatives living in Kinyinya

Hill and adjacent areas, considering rural-urban linkages, further urban sprawl, agro

businesses and light-industry to be established in the area of intervention and well seek to

meet international standards. The study shall provide an evaluation of both the direct and

indirect impacts of the GCP project on the society, economy and environment of the area and

shall describe how environmental and social impacts are managed. It shall provide a process

to ensure that local communities are consulted.

Special attention must be given to parts of the site where members of the community are

currently earning a livelihood through agricultural activities, such as the RSSB site (130 ha).

Tasks

Prepare a Strategic Environment and Social Assessment (SESA) and an Environmental and

Social Impact Assessment (ESIA) Report for the Kinyinya Hill Project site (620 ha) and an

Environmental Management and Implementation Plan (EMIP) for the first development phase

(18 ha) within the 130-ha site owned by RSSB. This document must comply with regulations

of the Government of Rwanda and the World Bank safeguard policies. It is also noted that this


30

ESIA will form part of the submission to the GCF proposal (see 5.3) and thus consideration of

the GCF environmental and social safeguard criteria is needed to ensure the analysis will

deliver the necessary assessment to comply with a GCF full proposal.

Prepare a Gender Analysis and Report. The purpose of this gender analysis is to ensure

adequate and appropriate attention is paid to gender issues across and within project. It should

ensure the project proposal design is informed by a thorough understanding of gender roles,

power relations and dynamics, and disaggregation of women’s and men’s specific roles,

responsibilities, knowledge, needs, interests, and priorities in order for women’s rights and

gender equality to be increasingly enhanced. The report will identify specific measures are

included to promote the active participation of women in decision-making processes and

ensure project outcomes of the GCP project contribute to greater equality between women

and men, contribute to women’s empowerment). It is also noted that the gender analysis will

form part of the submission to the GCF proposal (see 5.3), and needs to provide the

information for a subsequent Gender Action Plan9.

Expected results

• A Strategic Environment and Social Assessment (SESA) and an Environmental and

Social Impact Assessment Report has been prepared for the Kinyinya Hill Project site

(620 ha) and relevant safeguards been put in place, as required.

• An Environmental Management and Implementation Plan (EMIP) for the first

development phase (18 ha) within the 130-ha site owned by RSSB is available prior to

the start of the construction tender and relevant safeguards been put in place, as

required.

• Relevant SESA and ESIA information and annexes for the GCF application (see 5.3)

• A Gender analysis and report, including GCF compliant Gender Action Plan. The

gender assessment should be translated into a dedicated set of activities to address

the gender risks and opportunities identified, and to maximize climate and development

co-benefits. These activities are elaborated in a Gender Action Plan (project

components that contribute to promoting greater gender equality and to addressing

women’s and men’s needs) for the first development phase (18 ha) within the 130 ha

site owned by RSSB.

5.1.12 Resettlement Action Plan (RAP)

Introduction

As result of the GCP project involuntary resettlement, loss of assets, impairment of livelihood,

or physical relocation of individuals, households, or communities may occur. Where

resettlement is required the Consultant shall approach resettlement as an opportunity for

promoting sustainable development through improvements to the economic and social well-

being of affected people.

9http://www.greenclimate.fund/documents/20182/574712/Form_09_-_Gender_Assessment_and_Action_Plan_Template.pdf/3f4b8173-fbb2-4bc7-9bff-92f82dadd5c0


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Special attention must be given to parts of the site where members of the community are

currently earning a livelihood through agricultural activities, such as the RSSB site (130 ha).

Tasks

Based on findings of the ESIA a Resettlement Action Plan shall be prepared by the Consultant

in line with regulations of the Government of Rwanda and the World Bank safeguard policies.

It is expected that the focus of the plan will lay on the first development phase (18 ha) within

the 130-ha site owned by RSSB.

Expected results

• A Resettlement Action Plan has been prepared for at least the first development phase

(18 ha) within the 130-ha site owned by RSSB and required actions have been

undertaken prior to the start of construction.

5.1.13 Mid-term Feasibility Study Report

Findings of Task 1 shall be compiled in a Mid-term Feasibility Study Report. The report shall

describe the activities undertaken by the Feasibility Study Consultant, summarise the findings

of the feasibility assessment and how the conclusions have formed the basis for the proposed

pilot project implementation approach, the climate-resilient and green urban Master Plan

considerations, the financial modelling and the selection of the planning and design criteria.

The report shall include a brief outline of competition brief and the suggested approach for the

facilitation of the international design competition.

The Mid-term Feasibility Study Report requires approval by FONERWA and KfW.

Task 2 Urban Planning and Architectural Design Competition

5.2.1 Development of competition brief for the international urban planning and

architectural design competition for the Green City Pilot project at Kinyinya Hill

and selection of international jury

Introduction

A comprehensive competition brief for the international design competition shall be developed

based on results of Task 1 and attract internationally renowned design firms to take part in the

competition. Competitors are to design a Kinyinya Hill climate-resilient and green urban Master

Plan (620 ha) and selected detailed Sub-Area Detail Plans for at least four different zones.

Entries must include housing typologies, community services buildings (including public

spaces) and commercial facilities and an integrated concept for sustainable utility services

delivery for Kinyinya Hill. A jury comprising national and international luminaries and renowned

experts in their respective field of expertise to adjudicate the competition will be proposed by

the Consultant and FONERWA for approval by KfW.

By means of an international urban and architectural design competition, to be held as part of

the Feasibility Study, the Kinyinya Hill climate-resilient and green Urban Master Plan for an

integrated utility services supply concept and a variety of urban designs, detailed housing and


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building typologies and community facilities shall be developed for the future Green City Pilot

project.

Tasks

Based on findings of the tasks described above the Feasibility Study Consultant shall develop

the design brief for the international urban development and architectural competition based

on the findings of the work undertaken under Task 1 above. The competition brief must

describe the framework conditions of the Green City Pilot project through written and pictorial

means, so that international design offices, with perhaps limited experience in Rwanda or East

Africa, are interested to participate in the competition. The brief must describe the criteria

according to which the entries of the urban and architectural design competition will be

adjudicated. The definition of minimum standards for “green” measures for utilities, building

components and technologies to which the participants of the competition need to adhere to

is only one key aspect but also includes mode of presentation and submission of entries.

To ensure the success of the competition, the design brief must be well written, unambiguous

and as informative as possible clearly setting out the requirements but enabling the competitor

freedom of design interpretation.

Expected results

• A competition brief has been developed defining the rules, deliverables timelines of the

competition.

• An international jury has been selected to adjudicate the design competition.

5.2.2 Preparation of design competition, launch & management of competition

Introduction

The FS Consultant shall organize, manage and facilitate the international design competition

as laid out in the design brief and following internationally recognized rules.

The competition shall be run as an open public competition. The direct invitation of selected

design firms can be considered.

The competition shall deliver a Master Plan for Kinyinya Hill (620 ha) showing urban

development concepts, land-use, density considerations and in sync with the green utility

service supply infrastructure concepts proposed. Sub-Area Plans shall be developed for

selected urban areas to further illustrate the urban development concept defined in the Master

Plan. Architectural designs shall be provided for a number of housing and building typologies

as specified in the design brief. The level of detailing of the urban- and architectural competition

submissions shall be defined by the FS Consultant. The prize money of approx. USD 200 000

shall be awarded to the first five winners approx. according to the following key: (USD 80 000,

USD 50 000, USD 30 000, USD 24 000, USD 16 000).

The winning competitor shall be invited to detail his submission (urban, infrastructure &

architecture) for an 18 ha parcel of the RSSB site to construction tender stage.

In total following amounts have been estimated for the design competition and the opening

event, which will be funded out of a separate fund:


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EUR 225,000 – prize money including costs for jury;

EUR 110,000 – opening event;

EUR 125,000 - 3d model of 620 ha site incl. virtual 3d modelling;

EUR 100,000 - Media presence & publications & PR & GCP website

Tasks

As the competition is expected to lead to the commissioning of the remaining urban-,

infrastructure and architectural design works, the FS Consultant shall calculate a realistic

budget for the overall GCP project and the 18 ha parcel. Competitors must base their design

submissions and their fee proposals on this budget. The extent of the post-competition options

to develop the submission to realization stage, must be stated in the design brief, as well as

whether further progression of the project will be subject to successful funding, planning

applications etc. The terms under which the winning firm will be engaged must also be defined.

To harmonize the detailed design process, it is intended to commission the wining firm to also

undertake the urban-, and infrastructure detailed designs in addition to the architectural

detailed designs for the 18 ha parcel. To this end the competition shall be restricted to design

firms who are technically capable of delivering all technical design components design work to

realization stage, including relevant tender documents. Suitable qualification criteria for the

engineering component are to set in the competition conditions. Participating competitors must

proof that they are capable to provide qualified detailed engineering designs for infrastructures

and buildings in case their competition proposal is awarded with the first place. Competitors

may provide the required qualification i.e. in-house or through sub-consultants. To ensure the

sustainability of the GCP project, the winning design firm must partner with a Rwandan

company for the detailed design phase of the GCP project.

A clear timetable defining deadlines of the completion must be published as part of the

competition brief.

It shall be also stated who will be excluded from entering or assisting a competitor with their

submission. This would usually include members of the judging panel, the client body and the

competition organizers and also extend to members of their family, close business associates

and employees. The competition shall exclusively involve anonymous submissions. Clear

instructions are to be given to applicants of how anonymity will be ensured and how the authors

of short-listed or prize-winning schemes, will subsequently be identified. Internationally

recognized rules of fairness, transparency and fraud prevention shall apply. Copyright issues

shall be clarified by the FS Consultant in the design brief of the competition, allowing suitable

public presentation of results as well as commissioning of the additional design works to the

winner. Considering a gap between contracting the winning designer and notifying competitors

about results and lifting anonymity is advisable (see EU public procurement legislation).

The competition shall be published in relevant national and international media and on a

dedicated website to host the briefing materials such as photos, site plans and guidelines. The

GCP website (see paragraph 5.5.2 below for details) will create an identity for the project.

Social media shall be used as a means to create interest for the website and to increase


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publicity for the competition. In addition, relevant design offices shall be directly invited to the

competition.

A designated contact for interested participants shall be provided, having delegation and

responsibilities to respond to queries and to clarify on technical issues of the competition

process. Sufficient resources shall be assigned to manage and administer the competition. A

qualified specialist may be appointed to act as a competition coordinator.

Competitors shall be given the opportunity to visit the site and/or attend an open briefing

session, as well as being able to raise questions on the design brief. A document summarizing

responses to all questions must be circulated to all applicants in writing by email.

At the end of the of the submission period the FS Consultant shall compile all submissions.

Expected results

The competition receives national, regional and international attention and draws entries from

renowned design offices. While preparing the competition brief the FS Consultant shall keep

in mind that entries shall include virtual 3d models, which can be projected during the award

and launch event and serve as a basis for a physical model of the winning entry. The expected

deliverables of the urban- and architectural design competition have been defined and include

the following components, but are not limited to:

a. Vision and Programming: A description of the designers’ urban development vision of

the climate-resilient Green City Pilot project through texts, graphics and photographs.

The document shall describe how the submission responds to requirement of the

competition brief. The programming part shall elaborate on the proportions of urban

uses proposed, proposed community facilities, health- and educational facilities

proposed and shall describe the socio-economic composition of the targeted population

and related income groups. Descriptions shall be backed by suitable calculations and

research data analysis. A suitable phasing plan for the implementation of the Green

City Kigali project shall also be included.

b. Master Plan Kinyinya Hill (620 ha) including an integrated concept for sustainable utility

services delivery: The Master for Kinyinya Hill must show the proposed urban uses in

terms of a zoning map or sketch plan with respect to the existing Kigali city Master

Plan. The site plan shall include proposed building structures, contour lines and main

road networks as an overlay. The plan shall show a summary of the land use areas in

ha and % of the overall site. Residential uses shall indicate density in DU/ha. The

Master Plan shall be accompanied by an illustrative larger area plan as an overlay of

an aerial image including nearby areas, showing how Kinyinya Hill is embedded into

wider area. The plan shall show major landmarks and traffic connectors. A second

overlay shall show the proposed integrated concept for sustainable utility services

delivery of the site that comprises green systems and improved climate resilience.

c. Open Space / Green Structure Plan: An open space / green structure plan showing the

interconnection of green areas of different designations. It shall provide a clear

impression of the inter-linkage of green areas with walk- and cycle paths as well as the

intensity of human land-use, i.e. starting from golf courses and public parks as an


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example of maximum human land-use, up to eco-reserved percolation areas with

limited access to the public for rainwater retention purposes. The FS Consultant shall

stipulate a suitable classification of areas including their intended uses to ensure

comparability of the competition results.

d. Transport: A climate-resilient and green transportation plan including roadway

classifications, accessible public transport network and cycle- as well as walkways. It

shall be accompanied by a concept for typical road- and pathway sections, basic

transportation calculations on basis of the projected population density and projected

use of transportation means as well as concepts for the integration of storm-water

drainage.

e. Utilities: Network plans of all projected climate-resilient and green utilities including

basic calculations for the technical dimensioning. Utilities requirements shall be

summarized by phases to facilitate the later planning processes during implementation.

Designs of typical infrastructures required shall be provided including technical

dimensioning and calculations.

f. Storm-Water: A storm-water drainage-, retention- and percolation plan including a

reliable concept for water re-use, based on realistic calculations. Designs of typical

infrastructures required shall be provided including technical dimensioning and

calculations, taking into account climate change risks and vulnerability assessment

results.

g. Sub-area Detail Plans: Sub-area Detail Plans shall be developed for areas considered

typical and/or of major importance for the realization of the overall development

concept. The competitors shall provide illustrations of typical building designs,

community services and commercial facilities and urban- and neighbourhood

situations. 3d illustrations and graphics shall provide clear impressions of the planned

urban context. For the following four selected areas of Kinyinya Hill detailed sub-area

plans shall be prepared:

• the greenfield affordable housing neighbourhood of 130 ha owned by RSSB;

• the Deutsche Welle site of 70 ha;

• a typical existing neighbourhood of 10 ha; and

• a light-industrial park of 10 ha.

h. Building Designs for 18 ha parcel: Typical designs of housing typologies, community

services and commercial facilities shall be developed for the 18 ha RSSB-owned

parcel. The level of detailing shall be equivalent to ‘preliminary design stage’ and allow

the jury to properly assess the green design approach underlying the design. The

winning entrant shall base the detailed design on these typologies. The designs shall

be based on a preliminary cost calculation, considering local construction prices.

Where housing typologies for affordable housing units are developed the square meter

price must not exceed USD 300 (reference to be provided), to trigger the Government

subsidy for affordable housing, which covers the provision of basic infrastructure costs

to a project. At least the following


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• 3 typology designs medium-low density residential

• 3 typology designs medium-high density residential

• 2 typology designs high density residential

• 2 typology designs for 3 communal facilities

• 2 typology designs for 5 education / health facilities

The competitors shall describe the construction system and materials to be allowed,

taking into account their potential to strengthening climate resilience and their

ecological value. The climatic/ecological performance of proposed buildings shall be

demonstrated by applying the IFC edgebuildings tool (www.edgebuildings.com) or any

other suitable tool. The tool to be applied shall be defined by the FS Consultant during

the preparation of the competition brief.

i. Development & Design Guidelines: Where the competitor proposes to deviate from the

parameters defined in the Kigali City Master Plan for the Kinyinya Hill site, design

guidelines suitable for the formulation of legally binding regulations, including setback

areas, building height regulations etc. are to be submitted.

5.2.3 Pre-validation and adjudication of competition submissions

Introduction

The consultant shall pre-validate all submission in regards to their compliance according to the

requested deliverables and the design brief of the competition. Non-compliant submission shall

be excluded from the competition. The FS Consultant shall comment on the submissions and

provide additional support to the jury especially in regards to the Rwandan context in order to

ensure financial feasibility and general implementability of the design results.

Tasks

Pre-validate submission, select and invite suitable jury members, organize travel and

accommodation incl. venue of the jury meetings and support the jury in understanding the

specific Rwandan context, if necessary, to ensure feasibility of the winning designs in all

regards.

The competition will be adjudicated by a jury of national and international luminaries and

renowned experts in their respective field of expertise. In their proposal the Consultant shall

suggest possible jury members. The judging panel shall consist of at least three jury members

and a maximum of seven, out of which one member is appointed as the jury chair.

The composition of the judging panel will need to reflect the subject of the competition and the

design disciplines sought. Design professionals should be drawn from the wider project’s

stakeholder groups together with recognized industry specialists. In the competition brief the

composition of the judging panel should be named, or where this is not possible, the

organizations from which the representatives will come from. Continuity should be maintained

throughout the competition process, with the same panel members being involved in initial

opening through to the selection of a winner. If any member of the panel is unable to continue

to act, the right should be reserved to substitute an alternative member. In his proposal the FS

Consultant shall suggest possible members of the jury.

http://www.edgebuildings.com/


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It is considered advisable that the jury shall have the delegated authority by FONERWA to

select the winner of the competition. It should be made clear if the judging panel’s remit is to

identify a preferred scheme only; which will then be subject to ratification by another party (e.g.

a Governing Body or other stakeholders of the project). This shall be duly evaluated and

agreed with all relevant stakeholders by the FS Consultant at early stage to ensure a smooth

progress of the post-competition phase including commission of the additional detailed design

works and the required funding to execute those works.

Expected results

• Documentation of the pre-validation, with comments of the Consultant on feasibility of

the entries in relation to the Rwandan context; facilitation of jury meetings and related

protocols.

• Clarification of the role of the jury and the post-competition process. Clarification of

funding for the additional urban- and architectural design works to be commissioned to

the awarded design office and the extend of works required for execution by the

competition winner.

5.2.4 Documentation of competition and presentation of awards and Kinyinya

Hill Master Plan

Introduction

The jury’s award and the results of the competition shall be documented professionally by the

FS Consultant and presented at an international workshop at Kigali, presenting the GCP

project to the national, regional and international public, developers, industry experts and

financing agencies. The workshop shall be announced publicly at international level and

participants who show interest shall be invited explicitly. The consultant shall ensure sufficient

response to the event on the GCP website, local, regional and international media and shall

compile an adequate brochure for general distribution.

Tasks

Prepare documentation of the competition with all submissions incl. pre-validation process,

comments of the consultant on feasibility, jury protocols and award. A physical model of the

winning entry shall be prepared by the Consultant and presented to the public in a suitable

facility, which could possibly be purpose-built and / or a mobile installation to be taken to

various locations within Kigali or secondary cities.

Organize the public workshop and launch event, invite public media and provide press

information. Present the competition results on the GCP website, compile a brochure covering

the project and the design competition results targeting the general public providing also

information on the overall concepts of the GCP and its significance for every citizen.

It is expected that the FS Consultant presents in his proposal a detailed concept for the

workshop and the launch event including suggestions on physical and virtual models of the

competition entries to be presented at the launch event. An amount of up to EUR 560,000 to

cover all costs relating to the public workshop and launch event, including the physical and

virtual 3d models, publications and the GCP website has been foreseen.


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Expected results

• At least the five first-placed designs are presented as virtual models (3d glasses, or flat

screen) and the winning design as a physical model in a suitable location;

• The wider public is aware of the design competition and the project as a whole;

• The Kinyinya Hill Master Plan is presented to the public.

5.2.5 Final Feasibility Study Report

In addition to the documentation of the design report the Consultant shall present a Final

Feasibility Study report consolidating findings of all tasks undertaken. The report must be

approved by FONERWA and KfW.

Task 3 Support to FONERWA for preparing a Green Climate Fund (GCF) funding

proposal for the GCP project

5.3.1 Green Climate Fund funding proposal

Introduction

Funding for this Feasibility Study has been secured by FONERWA from the German

Government through KfW Development Bank (Financial Cooperation, FC) under the GCF

Readiness Programme of the German Ministry for Economic Development and Cooperation

(BMZ). Following from this, a funding proposal for submission to the Green Climate Fund, for

a major component of the GCP project, shall be prepared.

At the current time, the exact component is not yet known, but it is likely that it will relate to a

public infrastructure component of the first 18ha (first phase) of the affordable housing

development (of 130ha). This is likely to involve a GCF proposal to provide funding to fund/co-

finance the infrastructure costs of the development, as the proposal will need to comply with

the accreditation status of the Accredited Entity (ME formerly MINIRENA) which is for project

management only, up to $50 million (including co-financing).

This task will therefore have to identify a bankable project – of up to $50 million (grant and co-

finance) – and complete the Full Proposal form and the necessary costing annex and

supporting document and submit this to GCF. It will also need to include time to address any

queries that are raised by GCF on the project during proposal review.

The task objective is to complete and submit a GCF Full Proposal form and annexes, submitted

from FONERWA on behalf of Ministry of Environment to the GCF. This will need to include:

• Completion of the GCF Full Proposal Form.

• Annex 2 with a full activity based costing.

• Detailed design documents to support the proposal.;


39

• Economic appraisal, Financial model and Financial structuring;

• Environmental and Social Impact Assessment (ESIA) including gender analysis;

• Legal analysis;

• Commercial, management and project implementation arrangements.

• Documented stakeholder engagement and consultation activities.

• Response to GCF comments and queries during review.

Tasks

The Consultant shall support FONEWRA by leading the preparation and completion of a Full

GCF Proposal for a bankable project component (expected to be up to $50 million), based on

the findings of the studies undertaken during the FS (Feasibility Study, Environmental and

Social Management Plan, Resettlement Action Plan, Gender Analysis and Action Plan).

It will develop the analysis to ensure coverage for development of a Full GCF Proposal, leading

the form completion and supporting information for submission to the GCF. This task will be

undertaken in close consultation with the relevant national designated authority and with due

consideration of the GCF’s Investment Framework and Results Management Framework.

The funding proposal should demonstrate how the proposed projects or programmes will

deliver against the GFC’s investment criteria and achieve part strategic impact. To this end the

Consultant shall initially:

• Review the GCF Investment Framework & Priorities (incl. impact and paradigm shift

potential), sustainable development potential and actual needs of the country; e.g. in

terms of scale and intensity of vulnerability to climate change);

• Review the GCF Performance Measurement Framework (Identification of

programme/project-level indicators) with reference to potential climate change

mitigation and adaptation measures that are envisaged for the GCP project component;

• Review the GCF Risk Management Principles (e.g. scope of risk assessments;

environmental, social and gender impact assessments) and any other relevant

documents (incl. Financial Model, etc.).

• Review the latest GCF funding proposal template and guidelines to ensure that all

required information and Annexes (e.g. Integrated Financial Model, ESMP, Gender

Analysis and Action Plan, etc.) required under the GCF funding proposal are provided

by the Consultant in the framework of this Feasibility Study.

• Review recent GCF project funding approvals and reflect feedback and comments from

the GCF-Board and the Technical Advisory Committee when preparing the funding

proposal for GCP.

• Develop a bankable project for a Full Proposal and agree this with the Accredited Entity,

FONERWA and relevant stakeholders.

The Consultant will then develop a Full GCF Proposal10 for this project including:

10 The current form is available at http://www.greenclimate.fund/how-we-work/funding-projects/fine-print


40

• Complete the general sections of the GCF proposal form (introduction and summary,

A1, C1, C2, C3, C4) as well as the sections on value added (D1) and exit strategy (D2)

as well as compiling annexes with the design (from previous tasks).

• Use the information from task 5.1 to complete the sections on the financial market

markets overview (B3 and C5) and required Regulation, Taxation and Insurance (C6)

• Develop the project implementation arrangements (including for C7) and procurement

plan. This will include all commercial, management and implementation arrangements,

including for co-financing. This will be used to complete the form on F.4. Financial

Management and Procurement and to provide a project management manual for the

project, as well as letters of confirmation from co-financing partners.

• Assess the mitigation and adaptation benefits of the project (and complete E1 of the

form) including a quantified analysis of the emission saving (of carbon) from the project

(and complete GCF indicator E1.2). The analysis of carbon savings needs to use

methods that are recognised by the GCF and documented in the form (IPCC

recommended).

• Develop quantified indicators – in line with GCF indicator categories – for other aspects

of the project). (E1.2) (H.1.1. Paradigm Shift Objectives and Impacts at the Fund level).

• Develop the argument on how the project meets GCF key criteria, completing relevant

areas of the form (E.2. Paradigm Shift Potential: E.3. Sustainable Development

Potential: E.4. Needs of the Recipient; E.5. Country Ownership)

• Use the information from 5.1 to undertake the detailed financial model, including the

IRR of the relevant components and complete the GCF form (F.1. Economic and

Financial Analysis) and provide the supporting financial model required for the GCF

submission.

• Develop the financial structing of the project, to ensure it is compliant with the

accreditation status of the accredited entity and to ensure the project meets the criteria

for GCF investment (B1 and B2). This will include analysis of the financial viability, how

the choice of financial instrument(s) will overcome barriers and achieve project

objectives, and leverage public and/or private finance (B1), co-financing, leveraging

and mobilized long-term investments (E6.2). This will require analysis of sources of

finance including co-financing (GCF finance, private sector leveraging, public sector

co-finance), the modality of finance and instruments (grant, concessionary loans, etc.),

expenditure flows (including taxes), and timetable for each sub-project and for the

Project as a whole. This should include the modality of finance between Grant, Service

Provision, Loan and the Financial conditions attached to each source of finance

(tenor/duration, times of disbursement, conditionality, interest rates etc.).

• Extend the financial model to an economic appraisal. This should include the valuation

of non-market benefits, and should include an economic analysis (a social cost benefit

analysis), estimating benefit to cost ratios or a net present value for the project

components, for the GCF form.


41

• Use the information from 5.1 to complete the SESA and ESIA sections and gender

analysis (F.3. Environmental, Social Assessment, including Gender Considerations)

and produce a separate Gender Action Plan (GCF compliant).

• Develop the detailed costing for the proposal, including a detailed line by line costing

and work plan, in line with GCF requirements (activity based budgeting) using the GCF

templates (Annex 2).

• Undertake a cost-effectiveness analysis for the emissions reductions from the project,

and complete E.6. Efficiency and Effectiveness, including E.6.1. Cost-effectiveness

and efficiency, but also to use the analysis to complete the other cost sections of the

GCF form (E.6.2. Co-financing, leveraging and mobilized long-term investments, E.6.3.

Financial viability; E.6.4. Application of best practices).

• Estimate and complete the indicators for E.6.5. Key efficiency and effectiveness

indicators, as well as co-financing leveraging.

• Use the information from 5.1 and other material to develop the G.1. Risk Assessment

Summary and G.2. Risk Factors and Mitigation Measures

• Ensure the necessary supporting documents are included (see Section I of the GCF

proposal form).

• Ensure the stakeholder engagement and consultation from previous tasks are compiled

and used to complete the stakeholder requirements of the GCF (E.5.3. Engagement

with NDAs, civil society organizations and other relevant stakeholders) (including the

supporting documents of consultation).

• Respond to queries identified during the GCF proposal review process.

The consultant is expected to lead the proposal development and completion of the form, and

to manage the financial and economic analysis, as well as the budget compilation and analysis

process, as well as to ensure the completion of the supplementary information for a GCF Full

Proposal submission.

They would also be expected to contribute to the responses to any queries identified during

the GCF review process.

Expected results

• A completed GCF Full Proposal developed according to the latest GCF requirements

has been prepared and submitted including required Annexes.

Task 4

Support to FONERWA and Management of Feasibility Study

5.4.1 Support to FONERWA and GCP stakeholders

Introduction


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The GCP project has already attracted attention beyond the boundaries of Rwanda and also

on national level the number of stakeholders in the Government, the development partners’

community, the private sector and civil society organizations and obviously, the target group,

is quite significant. Being a first of its kind in Rwanda, activities surrounding the planning and

implementation of the GCP will require that support is rendered to stakeholder involved in the

project.

Tasks

The FS Consultant shall render support to FONERWA and other relevant agencies and

stakeholders for the implementation of the GCP Feasibility Study. Where identified, and within

the expertise available, the FS Consultant shall render trainings and support to the relevant

stakeholders in the framework of the FS. If support measures are identified which go beyond

the scope of the FS, especially in preparation and realisation of the GCP project, the FS

Consultant shall identify these needs for capacity development and document them in relevant

progress reports.

The FS Consultant will ensure that all activities necessary to fulfil the objectives of the

Programme are performed as described in these ToR and that experts and other services

shown in his offer are made available as and when required.

Expected results

• The objectives and outputs of the FS have been achieved and experts have been

deployed as and when required;

• FONERWA and relevant stakeholders are enabled to implement the GCP within the

scope of the FS; additional needs have been identified and communicated for possible

funding through other sources;

• Formalised cooperation with stakeholders.

5.4.2 Collaboration with Higher-learning institutions, CSOs, Private Sector on

support measures

Introduction

A landmark project, such as the GCP, provides excellent opportunities for civil society

organisations, universities, research institutes and the private sector to contribute to the project

in cash and kind receiving national, regional and international attention in return.

To this end a cooperation with “ifeu” (www.ifeu.de) and several universities and research

institutes in Rwanda and Germany, with ongoing urban research projects in Rwanda, is in

preparation. It was considered that the team of international and national experts will act as

external quality assurance to the development of the feasibility study, including the

participation in workshops and as possible jury members of the architectural competition. A

Summer School on the GCP topic for Master and PhD students and seminars within the

curriculum of the School of Architecture could be organised which would provide crucial input

by students and Rwandan professors on the Rwandan context for the FS while GCP

considerations would enrich the curriculum at the School of Architecture. A cooperation with

other institutions or other civil society organisations is possible and shall be considered by the

FS Consultant in his proposal.

http://www.ifeu.de)/


43

The launch of the GCP design competition, the related award ceremony and the subsequent

exhibition of the result of competition, could offer great opportunities for corporate sponsoring

and free advertisement of the GCP, through the private sector. The combination of a

professional GCP website and a well-conceived media campaign in social and print media, will

further promote the concept.

Tasks

The FS Consultant shall make himself available to provide expert input for workshops and the

Summer school or similar events through presentations or brief seminars. The Consultant is

encouraged to harness the expertise and experience of local and international universities and

research institutes while implementing the FS. Planning workshops with stakeholders (kick-off

and mid-term) should be seen as an opportunity to cross-check suggested concepts with the

research and teaching professionals.

Considering the tasks stipulated under 5.2.4 Documentation and presentation of awards and

the opportunities which arise by involving national and regional private sector firms, such as

commercial banks, airlines or others, it is expected that the Consultant presents a professional

event and / or marketing manager as part of his team.

Expected results

• A cooperation with universities, research institutes and/or civil society institutions has

been established.

• A cooperation with private sector firms and civil society institutions has been

established to promote the GCP.

• A professional website and social media presence has been established.

Contract 2

Task 5

Management and Supervision of Detailed Design Activities

5.5.1 Facilitation and quality control of detailed designs and tender documents for the

realisation of a first phase (18 ha) pilot project

Introduction

The competition is expected to lead to the commissioning of the winning design firm in

partnership with a Rwandan firm to carry out all urban-, infrastructure and architectural design

works required for the 18-ha parcel, to tender stage. Activities to be undertaken shall be based

on the information provided in the design brief.

Tasks

The FS Consultant shall manage the detailed design process for construction tender

documents (buildings & infrastructure) for a first development phase (18 ha) within the 130 ha

site owned by RSSB. The detailed designs will be undertaken by the winning firm of the

competition and are based on the winning submission of the firm. Activities are, but are not

limited to:


44

• Support FONERWA during negotiations with the winning office and the preparation and

signing of contract documents with the winning design firm;

• Facilitate the interaction by the winning designs firm and its Rwandan partner in

communicating with all relevant stakeholders;

• Assist FONERWA and the design firm in obtaining and / or undertaking specialist

studies required in the framework of the detailed design phase. An amount of up to

EUR 800,000 will be made available to undertake such studies;

• Support the design firm during financial modelling of proposed designs;

• Scrutinize technical designs and tender documents for quality, correctness and

completeness;

• Ensure compliance of designs and tender documents with relevant rules and

regulations;

• Ensure that designs receive required approval by relevant authorities.

Expected results

• Detailed designs (infrastructure, urban and architectural);

• Complete tender documents for the construction tender of the 18 ha site.


45

6 STAFFING REQUIREMENTS

Bidders (likely to be a cooperation between an international and national consulting firm) must

offer both highly qualified and experienced international staff and equally important, qualified

and experienced local (Rwandan) staff.

The envisaged consulting services are to be provided by a multidisciplinary team of experts

and support staff with a strong profile in the field of urban planning and sustainability utility

service delivery and housing finance and undertaking Feasibility Studies. Preferably, experts

should be experienced in managing Financial Cooperation projects. Efficient and experienced

management and backstopping staff shall be made available to supervise the team at home

base and abroad. Fluency in written and spoken English and working experience in East Africa

and especially in Rwanda are of importance. The ability to communicate ideas freely and

easily, is essential for key team members. In his proposal, the Consultant has to show how to

safeguard close communication with the different stakeholders involved in the Project.

For budgeting purposes, approx. 45 person-months are assumed for the international team

members and 52 expert months for the national team members for Project Phases A and B

(Contract 1) and 11 and 11 person-months for Phase C (Contract 2) respectively. It is expected

that either the international Team Leader or the national Deputy Team Leader are Urban

Planners and / or Urban Development Specialists with sound understanding of urban planning

policies of green urban development projects. A further set of activities for the GCF proposal

development and submission is expected to involve 15 person-months for the international

team and 4 person-months for the national team members under Contract 1.

In his technical proposal, the Consultant shall clearly define the period of work and the number

of international and national experts, stating role and responsibility of each team member. For

contracting reasons, the Consultant shall submit combined Staffing and Implementation

Schedules for Project Phases A and B and separate Staffing and Implementation Schedules

for Phase C, preferably offering the same staff for both Phases. Further, the Consultant shall

submit a combined Financial proposal for Project Phases A and B and a separate Financial

proposal for Phase C. For the financial evaluation, the combined amount will be considered.

The following list of qualified and experienced experts shall be critically reviewed by the

Consultant and adjusted to meet the proposed implementation methodology.

The international Senior Urban Planner / Urban Development Specialist (Team Leader)

must have:

• At least a Master's Degree in urban planning or a similar field of expertise with experience

in the field of urban planning;

• At least fifteen years of project-relevant professional experience of which not less than five

years as Team Leader;

• Experience in and managing multidisciplinary Feasibility Studies;

• Experience in the management of international development partner-funded projects

preferably projects of the German Financial Cooperation;

• Working experience in East Africa; working experience in Rwanda is considered an asset;

• Experience in sustainable design shall be a prerequisite;


46

• Excellent knowledge of relevant computer programmes;

• Be fluent in English.

The international Senior Economist and Housing Finance Expert must have:

• At least a Master's Degree have advanced degrees in business administration, with

specialties in project finance, real estate financing, project management, or financial

modelling; CFA certification is advantageous but not required in their relevant field of

expertise;

• At least ten years of project-relevant professional experience in analysing large-scale

housing development projects and mixed-use real estate development projects; financial

modelling; project finance; green finance experience with bank lending for large-scale

construction projects and experience with the issuance of capital markets debt securities

and Green Bonds to finance large-scale projects;




The international Senior Affordable Housing Expert must have:

• At least a Master's Degree

• At least ten years of project-relevant professional experience in Low-Income Housing Tax

Credit/Bond Financing, Public-Private Partnerships, Rural and Urban Development and

Affordable Rental Housing Feasibility Analysis including: Market, Technical, Financial and

Organizational Feasibility;

• Be familiar with Residential Construction and Development Management including ;

Environmental Studies and Architectural Guidelines and Design;




The international Senior Architect must have:

• At least a Master's Degree in architecture;

• At least ten years of project-relevant professional experience in neighbourhood planning

and (affordable) housing development;





The international Specialist Engineers (energy; water/sanitation; transport; solid waste;

civil engineering) must have:

• At least a Master's Degree in their relevant field of expertise;

• At least ten years of project-relevant professional experience in sustainable utility services

delivery of urban projects in their field of expertise;


47




The international Social and Environmental specialist must have:

• At least a Master's Degree in their relevant field of expertise;

• At least ten years of project-relevant professional experience in undertaking ESIA;

• Experience in sustainable design is desirable;

• Working experience in East Africa understanding the social and cultural norms and needs

of the beneficiaries; working experience in Rwanda is considered an asset;

• Excellent knowledge of relevant World Bank / IFC standards and codes;


The national Senior Urban Planner / Urban Development Specialist (Deputy Team

Leader) must have:

• At least a Master's Degree in urban planning or a similar field of expertise with experience

in the field of urban planning;

• At least ten years of project-relevant professional experience of which not less than five

years in Rwanda in urban development projects and managing multidisciplinary Feasibility

Studies;


• Experience in management of international development partner-funded projects is

considered an asset;

• Excellent knowledge of relevant national standards and codes and computer programmes;


The national Senior Architect must have:

• At least a Bachelor's Degree in architecture;

• At least five years of project-relevant professional experience in neighbourhood planning

and (affordable) housing development;




The national Specialist Engineers (energy; water/sanitation; transport; solid waste; civil

engineering) must have:

• At least a Bachelor’s Degree in their relevant field of expertise;

• At least seven years of project-relevant professional experience in sustainable utility

services delivery of urban projects in their field of expertise;




48

The national Social and Environmental Expert must have:


• At least seven years of project-relevant professional experience, showing an

understanding of the social and cultural norms and needs of the beneficiaries;

• Experience in sustainable design is desirable;

• Excellent knowledge of relevant World Bank / IFC and national standards and codes;


The national Gender Expert must have:


• At least seven years of project-relevant professional experience, showing an

understanding of the gender-related and social and cultural norms and needs of the

beneficiaries;

• Excellent knowledge of relevant World Bank / IFC and national standards and codes;


The Event Manager must have:

• At least 10 years of experience in preparing, organising and facilitating high-level events,

workshops and product launches. Marketing skills and experience of working in the

(international) corporate sector and fund-raising skills are highly desirable;

• Excellent knowledge of multimedia and presentation software and other relevant computer

programmes;


The international GCF Proposal Co-ordinator must have:

• At least a degree in their relevant field of expertise;

• At least ten years of experience in proposal and project design and implementation, with

knowledge on climate change mitigation and adaptation;

• Strong communication skills (excellent command of spoken and written English is a must),

• Good analytical and inter-personal skills;

• Familiarity with GCF’s policies and procedures;

• Knowledge of Rwandan context and relevant experience of designing projects in Rwanda

is preferred.

•

The international GCF Project Management and Implementation Arrangement Expert

must have:

• At least a degree in their relevant field of expertise (project management, business studies,

finance);

• At least ten years of experience in project management;

• Strong communication skills (excellent command of spoken and written English are a

must),


49

• Expertise, experience and understanding of the Rwandan context, in particular the

workings of Government (local, sector and national level) and it’s public financial

management systems,

• Knowledge and experience on M&E and management systems

• Strong communication skills (both written and verbal) (excellent command of spoken and

written English are a must),

• Relevant experience of projects in Rwanda is preferred.

The legal services teams must have:

An international Legal Expert with the following expertise:

• A degree or similar education in law;

• At least 10 years of working experience;

• Experience in working with Multi-lateral Organisations procedures and/or with other

International Financing Institutions;

• Proven working experience in the fields of contract law;

• Excellent command of spoken and written English;

• Relevant experience of projects in Rwanda and familiarity with GCF is preferred.

A national Legal Expert with the following expertise:

• At least a degree or similar education in law;

• At least 10 years of working experience;

• Good knowledge of the legal procedures as governed by the Rwanda legislation,

especially the legal framework under which Government institutions operate;

• Strong analytical and inter-personal skills;

• Good capacity to communicate with people having different backgrounds and positions as

well as with local and national authorities;


• Experience of projects in Rwanda.

• Experience in working with Multi-lateral Organisations procedures and/or with other

International Financing Institutions is preferred;

The GCF proposal financial structuring and financial and economic appraisal team must

have:

For the international Finance / Economist:

• At least a Master’s degree in Economics, Finance or Business Planning;

• At least 10 years of working experience in developing countries

• Experience on financial structuring for projects;

• Experience of preparing economic (CBA) and financial appraisal (IRR) for projects

• Strong analytical and inter-personal skills;

• Excellent communication and team-working skills and excellent command of spoken and

written English;

• Experience of projects in Rwanda and experience of working on GCF proposals is

preferred.


50

For the National Economist:

• At least a Master’s degree in Economics, Finance or Business Planning;

• At least 10 years working experience;


• Experience of projects in Rwanda.

7 DURATION OF THE PROJECT

It is expected that the duration of Feasibility Phase and the Competition Phase (Contract 1)

will be six months each, with services to commence in the third quarter of 2018. The duration

of the Detailed Design Phase (Contract 2) is expected to take seven months, with services

commencing with the contracting of the winning design firm. Contract 2 is to be seen as an

option to become valid in case the consultant has performed Contract 1 to the satisfaction of

the employer.

The Tentative Implementation Plans of the Project in Annex A-2 shall be critically reviewed by

the Consultant as part of his offer. The required input by the Consultant during the review,

approval and contracting periods of reports and documents by the PEA and KfW within the

Project phases will be rather limited, however, the Consultant shall maintain his logistical set-

up (provisions for office space, transport etc.) during this time which should also be covered

by the financial proposal / contract.

The appointment of the Consultant will follow the KfW "Rules for Appointment of Consultants

for financial cooperation with partner countries" which can be found at following weblink:

https://www.kfw-entwicklungsbank.de/Download-Center/PDF-Dokumente-

Richtlinien/Consulting-E.pdf


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8 REPORTING for MONITORING

In addition to the Mid-term Feasibility Study Report to be submitted at the completion of Task

1 and the submission of the Feasibility Study Report at the completion of Task 3 and any other

specialist report prepared as part of the Feasibility Study, the Consultant shall submit following

reports to FONERWA and KfW:

Inception Report

An Inception Report shall be prepared by the Consultant and submitted to FONERWA and

KfW as softcopy, four weeks after commencement of services. The report shall present a

situation analysis in comparison to the situation presented in the ToR and essential findings of

the initial Project phase. The Consultant shall also discuss challenges identified and propose

suitable solutions and necessary action to be taken by the Consultant, FONERWA, KfW, or

other stakeholders. If applicable, a revised work programme and staffing schedule and any

information of importance for the implementation of the Project, shall be discussed.

Short Monthly Progress Reports (SMR)

The SMRs shall be prepared jointly by the Consultant and FONERWA and be short and

concise and shall highlight the following issues on a monthly basis:

• Staff assignments of the Consultant;

• Progress achieved;

• Important issues / problems encountered;

• Suggested solutions and necessary action to be taken by Consultant, FONERWA, KfW

and / or other stakeholders.

Final Report

At the conclusion of the Detailed Design Phase the Consultant shall present a brief final report

in which a résumé of the services provided is presented with the respective documentation.

The final version shall be presented to FONERWA and KfW within four weeks of having

received the comments on the draft from FONERWA and KfW.


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9 CONTRIBUTION by the PEA

FONERWA will provide adequate office space to the Implementation Consultant for the

duration of the Feasibility Study. The office will be equipped with furniture and have access to

internet.

FONERWA will support the Consultant with all the information, documents, maps, aerial

photographs, etc. in his possession and necessary for the completion of his services, free of

charge, for the duration of the project;

FONERWA will ensure that the Consultant has all the necessary permits to obtain further

documents, maps and aerial photographs and will support the Tenderer in obtaining all the

necessary working permits, residence permits and import licences.

List of Annexes to the ToR

Annex A-1 - Results Matrix “Green City Kigali” - Feasibility Study

Annex A-2 - Tentative Implementation Schedule

Annex A-3 - Project Site Description

Annex A-4 - Planning Principles

Annex A-5 - List of Reference Documents

Annex A-1

Results Matrix

“Green City Kigali” - Feasibility Study

Summary Success indicators Verification sources Assumptions / Risks

Development Objective

Iincreased resilience against the consequences of climate change and ensured sustainable socio-economic development of Rwanda

Do not fill in Do not fill in Do not fill in

Project Objective

Development of a model community in Kinyinya Hill/Kigali (620 ha) as a showcase for sustainable, affordable and poverty-oriented green urban development that can be replicated in other parts of Rwanda and the wider region.

Do not fill in Do not fill in Do not fill in

Module Objective (Project Outcome)

The RSSB/IFC 18 ha parcel11 as part of the GCP project is ready for implementation.

All required approvals for the development of the 18 ha parcel have been issued by the City of Kigali and other relevant Rwandan authorities, based on the approved detailed designs and complete tender documents.

Gazetted permits and authorizations

Reports of FONERWA

Assumptions regarding Project Objective

1. The entire GCP project area (620 ha) is available for development through investment, especially the 130 ha site owned by RSSB.

Major Risks regarding Project Objective

1. If the RSSB/IFC site/funding is not available, the RSSB/IFC 18 ha parcel cannot be realized and hence another “parcel” has to be identified.

2. If the GCF funding and additional funds of private developers are not available, the

11 This parcel is within the 130 ha site owned by RSSB.


55


Project Objective has to be adjusted accordingly.

3. If the GCP project area (620 ha) is not available, the Project Objective cannot be achieved. This means that the KfW/PPF FS has to be adjusted.

4. If the 130-ha site owned by RSSB is not available, the size of the Project and the Project Objective have to be adjusted accordingly.

A suitable Full Proposal is submitted to the Green Climate Fund for the initial implementation project

Approval from the GCF PPF review process and submission to the board.

PPF review and approval for submission

1. A suitable project is identified for a Full GCP

proposal.

2. The financial structure of the projects aligns to

the accreditation status and allowable financial

cap of the Accredited Entity.

3. The Full Proposal can be completed with the

information obtained in Phase A and B of the

project.

Project Output

• The Feasibility Study has been carried out.

• The urban planning and architectural competition has been carried out.

• Detailed designs (infrastructure, urban and architectural) are in place.

• Complete tender documents for the construction tender of the 18 ha site are in place.

• Full GCF Proposal and supporting documentation is completed.

FS Report including documentation of the design competition.

Detailed designs and complete tender documents are elaborated according to specifications and within the estimated time frame.

Reports of the FS Consultant

Reports of FONERWA

Assumptions regarding Project Outcome

1. The Feasibility Study (FS) financed by IFC is available.

2. The Architectural Design Competition as part of the FS financed by BMZ through KfW and PPF/GCF (“KfW/PPF FS”) has been successfully completed and the design brief is in place.

3. The following outputs of the “KfW/PPF FS” are available:

a. Master Plan Kinyinya Hill (620 ha) including an integrated concept for sustainable utility services delivery

b. Geo-technical, topographic and other required surveys

c. Open Space / Green Structure Plan


56


d. Transportation plan

e. Network plans of all projected green utilities

f. Storm-water drainage-, retention- and percolation plan

g. Sub-area Detail Plans

h. Housing and community facility typology designs

i. Urban development Plan and Building Designs for 18 ha parcel

j. Development & Design Guidelines

Major Risks regarding Project Outcome

1. If the Feasibility Study (FS) financed by IFC is not available, the content of the “KfW/PPF FS” has to be adjusted accordingly.

2. If the PPF/GCF facility is not available, the content of the “KfW/PPF FS” has to be adjusted acoordingly.

(Key) Activities in the Module

• Undertaking of the Feasibility Study

• Commissioning of the winning design firm.

• Elaboration of detailed designs for all urban, infrastructure and architectural design works required for the 18 ha parcel by the winning design firm.

• Elaboration of tender documents for all urban, infrastructure and architectural design works required for the 18 ha parcel by the winning design firm, based on the approved design documents.

Do not fill in Do not fill in

Assumptions regarding Project Output

1. The winning design firm is adequately supported by FONERWA and the FS consultant.

2. The designs receive required approvals by relevant Rwandan authorities.

3. There is close interaction/communication between the winning designs firm, FONERWA and all relevant stakeholders

Major Risks regarding Project Output

No major risks are seen in this regard.


57

Annex A-2

Tentative Implementation Schedule: Phases A & B

CONTRACT

PROJET PHASE

1 2 3 4 5 6 7 8 9 10 11 12 13 14

1 TASK 1: Development of Implementation Framework for the GCP project

5.1.1 Assessment of policy and planning requirements

5.1.2 Assessment of technical and project site-specific

5.1.3 Infrastructure availability and readiness assessment

5.1.4 Market analyse (green) construction systems and construction materials

5.1.5 Housing typology catalogue & market analysis

5.1.6 Sustainable development standards for the GCP project

5.1.7 GCP implementation approach

5.1.8 Housing finance framework and mortgage markets in Rwanda

5.1.9 Assessment of policy initiatives stimulating production of affordable housing solutions for lower income households

5.1.10 Financial estimations, projections and modelling

5.1.11 Environmental and Social Impact Assessment (ESIA)

5.1.12 Resettlement Action Plan (RAP)

5.1.13 Mid-term Feasibility Study Report

Reviews, approvals & contracting by PEA and KfW

2 TASK 2: Urban Planning and Architectural Design Competition

5.2.1 Development of competition brief & selection of competition jury

5.2.2 Facilitation of design competition

5.2.3 Pre-validation and adjudication of competition submissions

5.2.4 Documentation of competition, presentation of competition entries and Kinyinya Hill Master Plan

5.2.5 Feasibility Study Report incl. Kinyinya Hill Master Plan


3 TASK 3: Support to FONERWA in preparing a Green Climate Fund (GCF) funding proposal

5.3.1 Support to FONERWA in preparing a Green Climate Fund (GCF) Funding Proposal for the GCP project

5.3.2 Completion and submission of GCF Full Proposal

4 TASK 4: Support to FONERWA for management of Feasibility Study

5.4.1 Support to FONERWA for management of Feasibility Study

5.4.2 Financial and technical monitoring & reporting of projects by FONERWA

Reporting for Monitoring

Inception Report

Short Monthly Reports

Final Report

Phase A Phase B

Contract 1

PROJECT MONTH

TASKS


58

Tentative Implementation Schedule: Phase C

CONTRACT

PROJET PHASE

15 16 17 18 19 20 21 22 23

5 TASK 5: Supervision and Management of Detailed Design Phase

5.5.1 Supervision and management of detailed designs and tender documents of the first 18 ha pilot project

Detailed designs and tender documents for 18ha pilot project site


Reporting for Monitoring

Short Monthly Reports

Final Report

Phase C

Contract 2

PROJECT MONTH

TASKS

Annex A-3

Project Site Description

The proposed site for the GCP in Kigali is known as ‘Kinyinya Hill’ and is situated approx. 6.5km or a

15-minute drive to the north-east of the central business district of Kigali (Figure 1) and is characterised

by readily developable land, a sizable government-owned treed parcel, agricultural and village

community areas and social housing communities. The subject site is naturally defined by the

topography and its surrounding wetlands and measures approx. 620 ha. Main access from the city to

the site is from the south through the districts of Nyarutarama and Remera.

Figure 1: Google Earth image of Kinyinya Hill in relation to Kigali City Centre

The site has a number of main parcels whose owners and sizes are shown in Table 1 below:

Parcel Approx. Size (ha)

1 Deutsche Welle Radio (GOR) 70

2 Cactus development (HORIZON) 13

3 Rwanda Social Security Board (RSSB) 130

4 Existing Social Housing 11

5 Other 396

Total all parcels 620

Table 1: Main parcels at Kinyinya Hill

The most dominate site is probably the former compound of Deutsche Welle Radio (Figures 2 & 3)

which is situated across the crown of the Kinyinya Hill. The 70ha site contains the highest number of

mature trees in Kigali and is home to more than 50 species of birds and other animals rarely seen

anymore close to the capital. The Deutsche Welle site is accessible from the central hub of the area

which located to the west of the Deutsche Welle compound and which is the commercial centre of the

district. Existing housing in Kinyinya Hill is dominated by single-storey buildings. To the north of the

commercial hub and across the crown of the hill and on the northern slopes of the hill a social housing

scheme of approx. 11 ha is situated, consisting of one storey housing units.

Adjacent to the south of the Deutsche Welle compound a vacant and moderately sloped plot of approx.

13 ha is situated, which is designated for the CACTUS development to be built by HORIZON, one of

the largest construction contractors in Rwanda. West of the Deutsche Welle compound, an inclined

area of 130 ha on the southern slopes of the hill is owned by RSSB and will be the location for the 18

ha first development phase.

Figure 2: Kinyanya Hill site and road access

Figure 3: Kinyanya Hill main land parcels

Remaining areas of the project site are characterized by common rural housing settlements which are

in urban transformation. Agriculture is still generally common and mining of clay and brick production is

found on the northern foot of the hill adjacent to the wetland. Population density and building standards

found are gradually higher on the north-eastern side along the road to Ngara. Also a few villa-type

settlements as per current Rwandan lower standards are found here.

The topography of the site varies between 1 390 m above sea-level along the wetlands at the foot of

the hill and up to 1 495 m at its highest point. The crown of the hill is characterized by fairly flat areas

with slopes varying between 0 to 10% around the hilltop, and slopes of 10-20% along the flanks. At the

base of Kinyanya Hill slopes of 20-30% are common and exceed 40% is some areas (Figure 4).

Figure 4: Topographic situation of Kinyanya Hill

Annex A-4

Planning Principles

The Green City Pilot project in Kigali must embody diversity and the best of technology in many different

meanings and set standards for future green urbanisation projects in Rwanda: (i) housing and

community facility types, urban designs for many socio-economic classes, (ii) opportunities for various

kinds of employment (unskilled, semi-skilled, skilled) and within an easy commuting distance from

residences, (iii) landscaping that addresses environmental issues and creates a low-carbon and self-

sustaining urban setting; (iv) utilization of new emerging technologies for the provision of power,

treatment of wastes of various kinds and has close to zero negative impact on the environment; (v)

showcase the production of building materials and building technologies that have close to zero

negative impact on the environment in their manufacture; (vi) create a seed entrepreneur opportunity,

via the large scale real estate development, for domestic industries in the building components and

materials sector; (vii) lower energy consumption in everyday living and working; (viii) demonstrate the

importance of real estate development in large-scale estates enabling power and waste solutions,

security and maintenance solutions that are affordable and impact lives in a positive way in response

to the growing demand for green investment12.

The Planning Principles presented in the following shall be reviewed by the Consultant and discussed

with relevant stakeholders and governing bodies and shall be complimented by the Consultant:

a. Rwandan context: while the Government of Rwanda has shown a great commitment towards

Green Growth and actively promotes its implementation, the Rwandan people at large might not

yet embrace these concepts at the same level as the Government. Being a community in

transition, also from a cultural and economic point of view, suggested concepts must be

anchored in the Rwandan context of today while keeping tomorrow in mind. Participatory

consultations with potential beneficiary groups must be undertaken to understand the Rwandan

concept and to confirm assumptions made under the Project;

b. Guiding document: The Kigali City Master Plan 2013 in its current version is the guiding

document for the development of the GCP site. However, where deemed necessary for the

benefit of the overall project, variations can be considered but shall be discussed and receive

approval by the City of Kigali and other relevant stakeholders prior to their application.

c. Site integration: The project site contains two large parcels which are either vacant (RSSB) or

close to vacant (Deutsche Welle). A significant part of the site houses existing communities –

some more established than others – some more densely inhabited than others. The aim of the

study is to develop an integrated master plan across the entire site combining both, green fields

developments and retrofitting of existing communities as concepts developed under the study

shall act as blueprints for new, but also existing, communities in Rwanda.

d. Financial viability: A key aspect for the success of the GCP and its components, will be their

financial viability. Development concepts presented must be based on realistic financial

assumptions be financially viable and be tested in the financial model, either the IFC model or

a model to be developed by the FC Consultant. Financial viability of the overall project stems

from the financial viability in the development of discrete components of this large, multi-faceted

12 According to Investopedia ‘green investments’ are traditional investment vehicles (such as stocks, exchange-traded

funds and mutual funds) in which the underlying business(es) are somehow involved in operations aimed at improving the environment

project. For example, it must be demonstrated that the low-density and some medium-density

residential sections can be developed on a profitable basis, that housing units can be designed,

built and sold profitably, while medium-high density residential sections can be constructed for

less than USD 300 selling price to trigger the GoR’s affordable housing subsidy for the provision

of basic infrastructure services. While doing so the aspect of cross-subsidizing shall also be

considered. Similarly, but separately, it must be demonstrated that the same is true for

commercial and industrial zones within the project. All of these zones can certainly be sub-

divided and offered (tendered) to developer-builders, if such an approach is deemed worthy.

Investors may choose to invest at the top level of the project and by so doing take the risk (and

earn the reward) of all pieces of development, or choose to invest in particular zones or even in

sub-zones.

A more difficult opportunity is in the less obvious income-generating features of Kinyinya Hill that

are important for the entire development Green City Pilot to succeed. These are: education,

health, public spaces and other community facilities.

Even less obvious, but quite critical to quality of live in GCP and ongoing value of the real estate

and individual properties, are support functions such as transport (within and to points outside

the boundaries of the project), landscaping, waste management, utilities, security and small

commercial canters. Perhaps a “condo”, homeowners’ association, or community tax can be

levied and collected to provide these services via a mandated property management company

to be qualified and selected by the Master Developer initially, and afterwards by the Kinyinya

Hill governance authorities.

No matter how the investment architecture of GCP project is ultimately structured, adequate

returns of investment capital must be provided. Typically, the returns various investors will be

looking for depend in great measure on the perceived risk involved.

e. Mixed Use: A healthy mixture of different uses within the site is the key to an economically and

socially well-working neighbourhood. The site shall therefore include residential, commercial

and light industrial uses. Community level facilities, such as social-, health- and educational

facilities as well as recreational areas, such as sporting facilities and open (park) areas, will

complement the mix. See the Kigali City Masterplan of 2013 and its sub-area plans for detailed

description of the mixed-use approach and specific area assignments.

f. Mixture of Social Groups: Social intermixture is generally recommended for the urban well-being

of a community. The Kigali Masterplan therefore proposes a mixed neighbourhood including

single family residential schemes up to medium rise residential districts. Existing social housing

schemes shall be well integrated on the architectural- as well as on the socio-economic level.

g. Density: Density values shall vary for residential areas around 70 to 460 dwelling units (DU) per

ha as proposed by the Kigali City Masterplan 2013.

h. Residential Housing: Designated areas for residential housing in the Kinyinya Hill Master Plan

to be developed under this FS, shall include single family housing, mixed single family housing

and low rise housing schemes. Single villa typologies, terraced housing, row house types as

well as townhouses are considerable up to a total of 3-6 stories in densified areas. However,

the general average shall be 1-2 stories. As per a preliminary estimate, a maximum of

competition up to 33,000 housing units may be leading to a total permanent population of close

to 130,000 people, but may also be much lower and vary as per proposed Master Plan and

development approach. Drilling-down, there should be a mixture of housing typologies and a

mixture of offerings at various pricing points. While neighbourhoods within each zone can be

broadly created by home size and value, socio-economic considerations must be addressed

which would create ladders for families to move-up as they grow and improve earning power

and family size, all the while living and working within the same community.

Special consideration must be given in providing housing to meet the requirements of the

affordable and social housing needs as defined by the National Housing Policy and the

Affordable Housing Policy.

As general approach, residential areas shall allow and promote small scale businesses such as

small offices / home offices, small retail and convenient stores and even small trades while being

compatible to the overarching residential idea, providing a lively environment to promote socio-

economic growth and reducing mobility requirements of the population.

i. Commercial Areas and Light Industrial Zones: these areas are designated to retail shopping,

small and medium trades, offices and light production industries. The community would tap into

any commercial opportunities and would be able to access employment opportunities in the

offices and light industrial zones within close proximity to their residential base. Light industrial

zones may house any non-disturbing production industries such as non-polluting / non-noise-

emitting industries and workshops.

j. Urban agriculture / agri-businesses: Large parts of the communities in Kinynya generate income

through farming. Within the holistic urban and environmental development approach

opportunities for urban agriculture and highly productive agribusinesses shall be considered as

one form of local income while keeping the limitation and price of limited land in mind.

k. Education, Health and other Community Facilities: Educational, Health and other community

structures are to be incorporated in the residential and commercial zones, as appropriate and

per Kigali City Master Plan. Cultural facilities may be included as desired. Schools should be in

close proximity / in walking distance to residential neighbourhoods to provide minimal travel

distance from home to school and shall consider the population density within their intake radius.

Higher education and university campuses can be incorporated in commercial and even light

industrial areas, if required. Special community facilities to support the existing rural population

at site in performing the necessary rural-to-urban transformation shall be considered, such as

communal kitchens, slaughterhouses and washing facilities. Such special facilities have to be

embedded into the specific neighbourhoods, proximity wise as well as on the ownership level.

Community sporting facilities, club- and administration houses may foster the linkage between

different socio-economic groups.

l. Light Industrial Zones can provide substantial employment opportunities to the residents of the

community with the important advantage of quick, easy and inexpensive commuting. Consistent

with the vision of the Ministry of Trade and Industry, these could be tax-free zones for fabrication

of products intended for export. Light industrial zones accommodate non-polluting and non-

disturbing industrial uses, not effecting nearby residential- or recreational uses. The possible

linkages and opportunities of these zones to the close by Kigali Special Economic Zone (KSEZ)

to the north west shall be considered.

m. Landscaping: Landscaping becomes an integral part within a green city development. It has to

satisfy not only aesthetical needs, but also a lot of ecological, environmental and technical

requirements. Landscape architects shall be charged with making the Kinyinya Hill community

as ecological valuable and climatically attractive as possible while providing sustainable

solutions to storm water drainage, and “green” transport (see item “p”). Properly planned and

planted vegetation of appropriate kind is not only important for the senses, but provides

significant air cleaning capabilities at local level and ecological niches for wildlife. Most flowers,

shrubs and trees shall be indigenous requiring minimal watering by state-of-the-art irrigation

systems driven by sustainable storm water retention and harvesting systems, that use rain water

in the most efficient manner possible.

n. Utilities: The standard array of utilities includes power (electricity), water, waste-water

management systems, and ICT-telecommunications. Systems installed for the Kinyinya Hill

community shall take advantage of the economics of scale which arise from this new

development in applying innovative, “green” and possible stand-alone / decentralized utility

supply systems which have a proven environmental and economical advantage over

conventional systems. The design should enable the conduits for these services as unobtrusive

(hidden from sight) as possible, but with thought given in the design for easy and inexpensive

maintenance and upgrading. Alternative energy systems, such as a biogas network for cooking

and heating use may complement the standard energy sources. See item “q” for reference to

employing green technology for utilities.

o. (Solid) waste management: Management of waste includes garbage collection and disposal

(both human and industrial), collection of waste water, cleansing it and re-using it within the

community in a variety of useful applications (reduce – reuse – recycle). The waste management

aspect of life includes re-cycling a wide range of materials. Further, waste management

includes treatment, recycling and/or harmless disposal of human waste. Applications of waste

products – human and animal – to generate power (biomass & fertilizer), and the Kinyinya Hill

community should strive to recycle these kinds of organic waste in productive applications. See

item “q”.

p. Transport within the community and between the community and points outside: A goal of

“green” communities is to de-emphasize the use of the car within the bounds of the community

and beyond and as stipulated in the Rwanda’s Green Growth Strategy. An attractive urban

landscape can induce most of its population to prefer a walk or the bicycle over a car ride.

Transport links from the community to important destinations in Kigali at large must be well

designed by urban planners in consultation with the municipality considering the context of the

overall city’s transport system to ensure attractiveness and efficiency. A suitable hierarchical

network of roads, bicycle paths and footpaths enforces the shift from motorized individual traffic

to “green” traffic further. Travel time by foot may become a fraction of the time needed by car

through short-cut walkways, properly paved, secure, safe and enjoyable to walk and well

planned in their course. Pathways for walking/jogging and separate pathways for biking should

connect all zones, but should be more prevalent in the residential and recreational areas.

Considerations for the elderly or people with impairments shall also be considered. Proximity of

communal facilities and business areas to housing areas will further entice residents to walk

rather than using motorized transport options.

The anticipated size of the Kinyinya Hill development, once completed, allows to consider

commercially viable alternatively powered means of transport, such as e-mobility concepts,

along routes within the neighbourhood, which connect to hubs along arterial transport routes to

downtown Kigali or other business centres as such the light rail which currently in discussion for

implementation. Car or bicycle-sharing models or community bus services could also be

considered.

q. “Green” (sustainable) energy supply and potential for independence through off-grid

technologies: the ultimate “green” goal for any community is to be self-sufficient and self-

sustaining in all its power and water needs. Ideally, energy production should be carbon-neutral

and as efficient as possible, meaning using as little power as possible and to generate maximum

new power at the same time. It is generally well-understood that even today’s best technology

cannot satisfy all needs around the clock. Therefore, an optimal solution is one which employs

a variety of technologies in order to supply energy needs according to peak demands with only

minimal requirements for national grid supplemental service. Waste is not waste but a resource.

Therefore, one of the key technologies to consider, besides solar and wind energy, could be

anaerobic digestion biomass generators using on-site waste products. Since Kinyinya Hill is not

a rural setting, but an urban environment, the organic material must be sourced from household

and light industrial waste, including human waste from within the community. In searching for

the best power generation solution, one approach might be to mandate a technology company

with a track record in multiple green solutions to design a comprehensive power-solution, install

it and operate it on-site under a long-term BOT contract.

r. Energy Efficient Buildings: Aside from residential structures, the project is concerned about the

office parks, light industrial buildings, and community structures such as schools, community

centres, houses of worship, clinics and hospitals, and other buildings. Energy-efficient buildings

consider both the embodied energy required to extract, process, and transport and install

building materials as well as the operating energy to provide services such as heating, cooling,

and powering equipment and eventually, also the energy required to break done a building and

to recycle and dispose of its components. The design and construction of energy-efficient

buildings are supported by building design standards that consider appropriate siting and

orientation; natural ventilation and cooling; solar access; water capture, treatment, and reuse;

improving operating efficiency; reducing reliance on non-renewable energy sources; and the

incorporation of alternative renewable energy sources. Building codes ensure that minimum

standards are achieved, but are subject to adequate enforcement. Verification and rating

systems such as those issued and facilitated via green building councils and systems such as

the Leadership in Energy and Environmental Design (LEED) and the Building Research

Establishment Environmental Assessment Method (BREEAM) add to this by providing a

marketable element to the built environment that can help promote its financial viability. Further,

the various tiers of the rating and verification system provide a market-based instrument that

encourages more than just doing the minimum.

s. Sourcing (green) building components, materials and labor of all skill types: the large scale of

the Kinyinya Hill development, once fully developed, might be enough to encourage

entrepreneurs and private equity capital providers to set up production plants for key building

materials and components in Rwanda and in Kigali. The prospective lowering of costs stemming

from domestic production, reduced transport costs, and opportunity to infuse green production

techniques and materials stand to be significant. See item “Error! Reference source not

found.” below. Development of such industries and skilled workers in the construction trades,

in engineering disciplines and in mechanized construction devices stands to be boost to the

national economy. Setting up a standard catalogue of “green” construction materials and related

building systems including standard construction detailing would kick-start such process.

t. Employment opportunities: There are potentially many new avenues for growth of employment

opportunities within or because of the development of Kinyinya Hill. See item “s”. Kinyinya Hill

is expected to comprise zones for low-rise office parks, small commercial centers and light

industrial facilities all of which will offer employment opportunities, particularly for residents of

Kinyinya Hill itself. Being able to work near where one lives and thereby significantly reduce the

cost and time of commuting and reducing GHG is a meaningful improvement in quality of life

and must be a factor in urban planning and resilience.

u. Financing the project for construction and for end-user long-term financing: While at the time of

the FS only financing for a small portion (18 ha) of the entire GCP at Kinyinya Hill is likely, the

Consultant must consider the opportunity of a large-scale development such as this one to utilize

and showcase important financing tools. These include: (a) financing development and

construction phases through banking syndicates as a way of spreading credit risk and providing

opportunities for even small banks to participate; (b) using the local and regional capital markets

as financiers through the issuance of structured debt instruments such as medium terms notes;

(c) end-user financing will provide high volume of mortgage originations on both the residential

and commercial sides, and this will lead to (d) opportunity to created pools of mortgages and

mortgage-related securities suitable for investment by institutional investors with long-term

horizons. The Consultant shall apply the financial modelling systems for the entire site but also

the first development phase of 18 ha of the 130 ha RSSB site.

Although SACCOs have a very regulated structure and normally can develop housing under

limited and stringent guidelines and offer end-user financing only to those homes they develop,

their involvement for housing finance shall be investigated.

v. Financing the community for everyday operations and maintenance of community structures: all

property owners and renters will be called upon to make monthly or quarterly dues payments to

a homeowners’ association or property management company. These payments will be used

to maintain and service the many facilities and urban services of Kinyinya Hill, as detailed below

in item “w”.

w. HOA (homeowners’ association) or active management of the community: The overall

community clearly needs active management. A known vehicle in Rwanda is a HOA, which is a

management group, which substitutes and compliments urban services that a municipality /

district administration cannot (yet) supply and Kigali is not there yet. The HOA needs (i)

professional and full-time management; (ii) revenues to cover its expenses, most notably from

an assessment paid to the HOA by residents and businesses in the development; (iii) a legal

basis on which to operate, with teeth in the law which enables the HOA to enforce collections.

One of the main duties of the HOA will be to see to the safe and uninterrupted operation of the

water supply, energy- and waste management solutions of the development (items “o” and “q”).

Other duties include (a) upkeep and maintenance of all common areas such as transport

vehicles and roadways, (b) safety and security within the bounds of the community, and (c)

finance duties such as revenue collection, accounting and audit with full transparency, and

payment of expenses including the people working for the HOA.

x. Sustainable neighbourhoods: While the Rwanda’s Green Building Organization is in the process

of developing a green construction guideline with support of the Global Green Growth Initiative

(GGGI) which are expected to be approved by the Ministry of Infrastructure by the end of 2017,

green urban design guidelines do not exist. Under the Project the Consultant must suggest

green urban design guidelines compliant with the Rwandan context to be applied for the GCP

and which can later be formalised and become law.

Please submit the completed form to [email protected], using the following name convention in the subject line and file name: “CN-[Accredited Entity or Country]-YYYYMMDD”

Project/Programme Title: Green City Pilot

Country(ies): Rwanda

National Designated Authority(ies) (NDA):

REMA

Accredited Entity(ies) (AE): Ministry of Environment

Date of first submission/ version number:

[2016-08-31] [V.1]

Date of current submission/ version number

[2018-07-16] [V.4]

mailto:[email protected]

PROJECT / PROGRAMME CONCEPT NOTE Template V.2.2

Notes • The maximum number of pages should not exceed 12 pages, excluding annexes.

Proposals exceeding the prescribed length will not be assessed within the indicative service standard time of 30 days.

• As per the Information Disclosure Policy, the concept note, and additional documents provided to the Secretariat can be disclosed unless marked by the Accredited Entity(ies) (or NDAs) as confidential.

• The relevant National Designated Authority(ies) will be informed by the Secretariat of the concept note upon receipt.

• NDA can also submit the concept note directly with or without an identified accredited entity at this stage. In this case, they can leave blank the section related to the accredited entity. The Secretariat will inform the accredited entity(ies) nominated by the NDA, if any.

• Accredited Entities and/or NDAs are encouraged to submit a Concept Note before making a request for project preparation support from the Project Preparation Facility (PPF).

• Further information on GCF concept note preparation can be found on GCF website Funding Projects Fine Print.

http://www.greenclimate.fund/how-we-work/funding-projects/fine-print/#p_p_id_56_INSTANCE_4CvAHaIYKHcJ_

PROJECT / PROGRAMME CONCEPT NOTE Template V.2.2 GREEN CLIMATE FUND | PAGE 1 OF 4

A. Project/Programme Summary (max. 1 page)

A.1. Project or programme ☐ Project

☒ Programme

A.2. Public or private sector

☒ Public sector

☐ Private sector

A.3. Is the CN submitted in response to an RFP?

Yes ☐ No ☒

If yes, specify the RFP: ______________

A.4. Confidentiality1 ☐ Confidential

☒ Not confidential

A.5. Indicate the result areas for the project/programme

Mitigation: Reduced emissions from:

☐ Energy access and power generation

☐ Low emission transport

☒ Buildings, cities and industries and appliances

☐ Forestry and land use

Adaptation: Increased resilience of:

☐ Most vulnerable people and communities

☐ Health and well-being, and food and water security

☒ Infrastructure and built environment

☐ Ecosystem and ecosystem services

A.6. Estimated mitigation impact (tCO2eq over lifespan)

Not known

A.7. Estimated adaptation impact (number of direct beneficiaries and % of population)

Not known

A.8. Indicative total project cost (GCF + co-finance)

Amount: USD 50 000 000

A.9. Indicative GCF funding requested

Amount: USD 50 000 000

A.10. Mark the type of financial instrument requested for the GCF funding

☒ Grant ☐ Reimbursable grant ☐ Guarantees ☐ Equity

☐ Subordinated loan ☐ Senior Loan ☐ Other: specify___________________

A.11. Estimated duration of project/ programme:

a) 5 years:

b) repayment period, if applicable:

A.12. Estimated project/ Programme lifespan

5 years.

A.13. Is funding from the Project Preparation Facility requested?2

Yes ☒ No ☐

Other support received ☐ If so, by

who:

A.14. ESS category3

☐ A or I-1

☒ B or I-2

☐ C or I-3

A.15. Is the CN aligned with your accreditation standard?

Yes ☒ No ☐ A.16. Has the CN been shared with the NDA?

Yes ☒ No ☐

A.17. AMA signed (if submitted by AE)

Yes ☒ No ☐

If no, specify the status of AMA negotiations and expected date of signing:

A.18. Is the CN included in the Entity Work Programme?

Yes ☒ No ☐

A.19. Project/Programme rationale, objectives and approach of programme/project (max 100 words)

This CN is submitted for a project/programme as part of an integrated Green City Pilot (GCP) in Kigali, Rwanda. The GCP will deliver on high-level national policies and strategies to promote accelerated growth and development, based on the principles of low carbon, climate resilient (LCCR) growth. The pilot will demonstrate the viability of Green Cities in Rwanda, and their replicability for the proposed development of Green Secondary Cities at the national level. The initial GCF project/programme and the wider GCP pilot development will make a significant contribution to achieving national climate compatible development priorities and has strong country ownership.

1 Concept notes (or sections of) not marked as confidential may be published in accordance with the Information Disclosure Policy (Decision B.12/35) and the Review of the Initial Proposal Approval Process (Decision B.17/18). 2 See here for access to project preparation support request template and guidelines 3 Refer to the Fund’s environmental and social safeguards (Decision B.07/02)

http://www.greenclimate.fund/documents/20182/184476/GCF_B.12_32_-_Decisions_of_the_Board___Twelfth_Meeting_of_the_Board__8_10_March_2016.pdf/020edfa1-53b2-4abf-af78-fccf5628db2a

http://www.greenclimate.fund/documents/20182/751020/GCF_B.17_18_-_Review_of_the_initial_proposal_approval_process.pdf/559e7b1c-7f34-44dd-9eff-8fa235714312

http://www.greenclimate.fund/gcf101/funding-projects/project-preparation/#step-2-submit-a-ppf-application

http://www.greenclimate.fund/documents/20182/24943/GCF_B.07_11_-_Decisions_of_the_Board_-_Seventh_Meeting_of_the_Board__18-21_May_2014.pdf/73c63432-2cb1-4210-9bdd-454b52b2846b


B. Project/Programme Information (max. 8 pages)

B.1. Context and baseline (max. 2 pages) Describe the climate vulnerabilities and impacts, GHG emissions profile, and mitigation and adaptation needs that the prospective intervention is envisaged to address. Rwanda experiences high levels of climatic variability and natural hazards due to the current climate and the influence of El Niño – Southern Oscillation (ENSO) events. It is particularly affected by heavy rainfall, and combined with the hilly terrain, this leads to frequent floods and landslides. Furthermore, the climate of Rwanda is already changing and impacts are increasing. Meteorological observations show that the temperature of Rwanda has increased strongly over recent decades, with around 1.4°C of warming and there is increasing rainfall intensity, which is increasing flood and landslide risk. Analysis of the global climate modelsi project that there will be further increases in temperatures and increases in the number of hot days in the future, as well as increases in the intensity of heavy rainfall. All of these changes are likely to exacerbate the impacts of current climate variability in Rwanda in urban areas, as well as lead to new risks. Rwanda has high sensitivity to climate change and low adaptive capacity. At the same time, Rwanda is undergoing rapid urbanization and is formulating new long-term urban plans today, that will lock-in development patterns for decades. It is critical that these new land-use plans and developments are built to include climate resilience within their design. While current levels of greenhouse gas emissions in Rwanda are lowii, rapid urban development in Rwanda will lead to a major increase in future years. The choices of spatial planning, building material use and design, as well as energy and transport systems, will therefore affect the future emission pathways for all of the major cities. This project will address these issues and has the potential to deliver a transformational change by altering the green urban development of the country at a key transition point, and by doing so, deliver increase resilience and significant GHG emission reductions relative to a BAU scenario. Please indicate how the project fits in with the country’s national priorities and its full ownership of the concept. Is the project/programme directly contributing to the country’s INDC/NDC or national climate strategies or other plans such as NAMAs, NAPs or equivalent? If so, please describe which priorities identified in these documents the proposed project is aiming to address and/or improve. The Government of Rwanda launched its Green Growth and Climate Resilient Strategy (GGCRS) in 2011. This set out the target of becoming a developed climate-resilient, low-carbon economy by 2050, and included a focus on low carbon and climate resilient urban development. This was advanced in the National Economic Development and Poverty Reduction strategy (EDPRS 2) which included a priority on green urbanization. This has been reflected in national and sector development strategies, policies and plans. The National Urbanisation Policy (2015) advocated for integrated urban planning and the efficient use of land and strategic investment phasing based on green economic development principles. The strategy also promotes a “green economy” approach to economic transformation which favours the development of sustainable cities and villages. Key innovations include piloting a green city (as in this proposal). The new (2018) National Strategy for Transformation - the new medium term economic development plan - also stresses the need for urbanization to be climate resilient and low carbon. Most recently, Rwanda’s NDCiii includes Adaptation Programme 6: Integrated approach to Sustainable Land Use Planning and Management (Action A6.1: Employ an integrated approach to planning and sustainable land use management) and it has a series of Mitigation Programmes of relevance to the Green City Pilot, including Programme 3: Energy efficiency and demand side management, Programme 4: Efficient resilient transport system and Programme 5: Green industry and private sector development. Describe the main root causes and barriers (social, gender, fiscal, regulatory, technological, financial, ecological, institutional, etc.) that need to be addressed. Urban growth in Rwanda is currently 9% per year, most of it in the capital, Kigali. However, the landscape of Rwanda is predominantly hilly and the high levels of climate variability and increasing climate change lead to a continual problem of floods and landslides, with high damage costs, especially as house building materials, design and planning are of low quality. It is critical that new land-use and urban plans are therefore built with the future climate in mind, ensuring they are resilient. This involves decisions on siting and site design, planned interventions to remove flood and landslide risk, and building design to address rising temperatures and other risks. Furthermore, as a remote and landlocked country, Rwanda is heavily reliant on high cost, high carbon imports of construction materials (with very high levels of embodied carbon). There is therefore a major opportunity to develop


home grown construction materials, which use green design and low carbon materials - as well as reduced embodied carbon from lower transport – to provide the material for this construction expansion and enhance local green jobs. Similarly, with increasing urbanization, and power connection targets, there will be a sharp increase in electricity demand and emissions. There are a set of renewables that can be used – on-grid and off-grid in urban areas– to provide clean electricity. Finally, with increased urbanisation, there is a need to develop a green public transport system, at housing site, and connecting to the surrounding amenity and employment hubs. While there are major benefits from green urban development, there is currently low awareness on climate risks as well as resilient and low carbon design, which means development is following a business as usual pathway. As well as information failures, there are also risk perceptions around the introduction of new climate resilient designs and low carbon development, which are a major barrier, compounded by the lack of demonstration sites. Furthermore, public agencies require additional funding, technical support and capacity development in order to take advantage of positive Government position on green growth and create the incentives for low carbon and climate resilient development. This project will address these barriers and will promote best available design and technologies, which have the potential for cost effective replication and scale up. Indeed, there is a direct scale-up planned through extension to green secondary city programme across Rwanda. Where relevant, and particularly for private sector project/programme, please describe the key characteristics and dynamics of the sector or market in which the project/programme will operate. In line with the Accreditation status of the MoE, the project is focused on the public sector, and its role in creating the enabling environment for public and private low carbon and climate resilient urban development.

B.2. Project/Programme description (max. 3 pages)

Describe the expected set of components/outputs and subcomponents/activities to address the above barriers identified that will lead to the expected outcomes. The Government of Rwanda (GOR), through its accredited entity the Ministry of Environment, is submitting this revised concept note to the Green Climate Fund (GCF) to finance an initial project/programme as part of an integrated Green City Pilot (GCP) in the Kinyinya Hill, Gasabo District, Kigali. The GCP will deliver on high-level national policies and strategies and will promote accelerated growth and development based on the principles of low carbon, climate resilient (LCCR) growth. It will demonstrate the viability of Green Cities in Rwanda, and their replicability for the proposed development of Green Secondary Cities at the national level, helping to deliver the objectives for green growth in the new national development plan (National Strategy for Transformation, 2018 – 2024). The design and feasibility of the overall GCP development will commence in the near future with an urban masterplan (submitted as part of a PPF request). The masterplan is critical to the green city development as it will identify investment opportunities for climate resilient and low carbon elements that will subsequently support a specific GCF funding proposal that focuses on climate resilience (adaptation) and the incremental costs of low carbon and green infrastructure, that respond to Rwanda and GCF investment criteria. The GCF proposal is likely to be centred on the development of climate resilient and low carbon infrastructure for the site, and/or demonstration and enabling activities, that provide the foundation for subsequent phases of the GCP development. The funding of this initial project will kick-start the overall green city programme (the GCP and the green secondary cities) and will deliver the paradigm shift towards urban green growth in Rwanda. The overall GCP aims to develop a green city development within the framework of the Green City Concept of the Kinyinya Hill and will capture all of the key 'Pillars of Green and climate resilient Urbanism' as defined by the National Roadmap for Green City Development policy. It is a viable plan for a replicable pilot, that can be implemented across the country starting with the 6 secondary cities that are already identified to build on the green city pilot outputs, in the typical 'hillcrest to wetland' landscape of Rwanda. It contains all of the key concepts that are fundamental to the creation of an effective green urban centre; 'a city' with green, low carbon and climate resilient housing, infrastructure, land use, mixed use, amenities, workplaces and industry. The pilot will be used to draw lessons and scale up with a paradigm shift towards low-emission and climate-resilient development, e.g. with resilient planning approaches and green building standards. GCF’s involvement in this project will catalyze the intervention of subsequent private sector investors as well as public sector partners, unlocking green growth and kick-starting the scale up of the Green Cities Strategies to the rest of the country through the green secondary cities programme: as such it represents a major window of opportunity to move Rwanda to a new green and climate resilient development pathway. The GCP development will therefore demonstrate innovative strategies to develop a low carbon and climate resilient neighbourhood, initiate a large scale 'home grown' building material production industry, and ensure capacity building and job creation for Rwandans in a new green economy.


In terms of rationale, please describe the theory of change and provide information on how it serves to shift the development pathway toward a more low-emissions and/or climate resilient direction, in line with the Fund’s goals and objectives. Climate smart urban development is a necessity for Rwanda. Given the hilly terrain and high climate variability, Rwanda already experiences major climate related impacts (notably from floods and landslides), which are exacerbated in urban areas due to the high population density. Climate change is already leading to rising temperatures and increasing the intensity of heavy rainfall, and these risks will continue to rise sharply in future years. At the same time, Rwanda is formulating new long-term urban plans today, that will lock-in development patterns for decades (if not longer). It is critical that new land-use plans are therefore built with the future climate in mind. This involves decisions on site design and selection, building design to address rising temperatures and other risks and planned interventions to remove flood and landslide risk. Similarly, urban development in Rwanda will lead to a major increase in greenhouse gas emissions. The choices of spatial planning, building material use and design, transport systems, etc. made now will affect the future emission pathways for all major cities. There is therefore an opportunity to shift these plans towards a low carbon trajectory at this critical point in urban policy formulation and city development planning. To demonstrate the concept of low carbon and climate resilient urban development, the Government of Rwanda is promoting the Green City Pilot Concept for the Kinyinya Hill in Kigali. This will address the barriers discussed above, addressing information barriers and overcoming risk perceptions, providing a clear demonstration effect, as well as providing the technical assistance and capacity building to enable the public sector to catalyze green urban development. Describe how activities in the proposal are consistent with national regulatory and legal framework, if applicable. The overall alignment with national strategy was set out above. At the detailed level, the City of Kigali (CoK) will provide the Construction Permit for all types of buildings in the development. There is an advanced on-line Building Permit system, with a guaranteed fast response time (30 days). In a desire to simplify the building permitting process in to a 'One Stop' application, the City combined 'Planning permission' (which examines urban, town planning, demographic and amenity issues according to the CoK 2013 Masterplan) with ‘Building Regulations' (which deals with building construction and performance standards). The CoK 2013 masterplan provides a zoning system available online with a table of guidelines for each zone. The Rwanda Standards Board (RSB) (www.rsb.gov.rw) provides permits for low carbon construction materials. This will allow the use of the materials in Rwanda and for export to East Africa. Describe in what way the Accredited Entity(ies) is well placed to undertake the planned activities and what will be the implementation arrangements with the executing entity(ies) and implementing partners. The Ministry of Environment – the accredited entity - will lead in the overall management, reporting and supervision of the project with GCF. In Rwanda, FONERWA (the national fund for Environment and Climate Change) is the primary vehicle through which environment and climate change finance is channelled, programmed, disbursed and monitored in Rwanda and therefore FONERWA will execute the project.

FONERWA will establish a Programme Management Unit (PMU) that will be housed within the Fund Management Team of FONERWA. Activities will be implemented using the Ministry of Environment existing management and financial systems. FONERWA will coordinate delivery of the programme outputs.

The GCF activities will be overseen by a Steering Committee chaired by the Ministry of Environment. The Steering Committee will serve as the project coordination and decision-making body and will ensure it delivers its outputs and achieves its outcomes. The Committee will periodically review progress and evaluations, facilitate implementation (ensuring the necessary resources and support are provided in a timely manner) and provide guidance to the PMU. The Steering Committee will reflect the multi-sectoral nature of the project, and will include senior-level representatives from GoR and partner organisations, as well as civil society. The Steering Committee will meet every 6 months to review progress and approve work plans, budgets and any major changes in implementation.

The activities and funding will be programmed through the PMU and will be executed through relevant Government partner organisations, in line with relevant mandates. This will include MININFRA, Rwanda Housing Authority (RHA) and REG as well as Ministry of Trade and Industry (MINICOM).

To increase uptake and scale up of the pilot interventions the PMU will ensure that results are communicated through Sector Working Groups (SWGs). The SWGs provide a forum for dialogue that includes development partners who provide support in the sector as determined by the GoR division of labour. These groups build synergies in policy formulation and implementation. The PMU will regularly report results to the SWGs and provide inputs as a measure for continuous improvement of delivery.


Please provide a brief overview of the key financial and operational risks and any mitigation measures identified at this stage. The GoR has existing protocols and guidance for financial and operational risk and these will be applied in the project. The key environmental and social risks have been considered below. A full environmental and social impact assessment will be undertaken during the design phase.

Risk Proposed Mitigation Measure

Environmental Risks

Increased Storm water run-off Increased use of soft drainage and flow attenuation, leading to increased percolation of groundwater Aquifer depletion

Soil Erosion As above, plus use of trees and other plants to anchor soil in place. During construction, stored soil to be covered and kept moist to avoid wind erosion.

Aquifer pollution Improved sanitation; Thin-film Aerobic digester Faecal Wastewater Treatment plant replaces pit latrines

Air pollution Green urban design promotes decreased use of vehicles; therefore less emissions. Also, new housing units use electricity for cooking and lighting, not wood.

Loss of forest cover Green urban design stresses the use of trees for natural shading, plus provision of public spaces. Overall, the master plan shows an increase in tree cover

Social Risks

Loss of livelihood Scheme creates 760 new jobs. Also, agriculture is concentrated in lower wetlands, where production can be intensified. Overall, more jobs are created

Loss of land Land can be capitalised and used in part payment for housing units, or substituted for land in new agricultural zones.

B.3. Expected project results aligned with the GCF investment criteria (max. 3 pages)

The GCF is directed to make a significant and ambitious contribution to the global efforts towards attaining the goals set by the international community to combat climate change, and promoting the paradigm shift towards low-emission and climate-resilient development pathways by limiting or reducing greenhouse gas emissions and adapting to the impacts of climate change. Provide an estimate of the expected impacts aligned with the GCF investment criteria: impact potential, paradigm shift, sustainable development, needs of recipients, country ownership, and efficiency and effectiveness. Impact potential The GCP project will use easily developable land in close proximity to the main economic hubs of the capital city and is ideal as economically sustainable site that contains two mature 'eco-systems' (the Deutsche Welle and the wetland). There is a major opportunity to develop this site in a way which reduces GHG emissions, builds climate resilience, and protects and enhances ecosystems. For example, there is the potential for the introduction of resilient 'eco system' infrastructure (ecosystem-based adaptation) - from the hill to wetland - that will limit urban heat island effect, reduce erosion, minimize landslide risk and control storm water. This will be complemented with the use of resilient land-use plans (for individual buildings and the overall development), taking into account site topography and climate risks, to reduce risks of lock-in (under climate change) and the use of climate resilient building design and materials, for both households, public buildings and business buildings to minimize heat and extreme weather risks, linked to the development of green housing standards, Similarly, there are opportunities to reduce the current carbon intensive building materials in use in Rwanda with low carbon alternatives and develop housing and spatial designs that reduce emissions. The choices of spatial planning, building material use and design, transport systems, will affect the future emission pathways for all major cities. The Green City Pilot will therefore demonstrate low carbon urban development. The mitigation impacts will be benefits achieved from conservation and enhancement of the forest carbon sinks at the site, reducing the carbon costs of construction through the use of local low carbon construction materials, reducing emissions by minimizing energy demand through passive design and energy saving infrastructure reducing emissions from use of renewables and minimizing water expenditure through water sensitive installations and rainwater collection and reducing road emissions achieved from reduced transportation due to walkability and proximity to amenities and use of a hybrid transport system. Quantification of direct and indirect beneficiaries of the GCP will be further carried out during the masterplan analysis (linked to the PPF application), but include populations in the vicinity, as well as those vulnerable to flooding


downstream. It is highlighted that with 57,000 inhabitants, Kinyinya is the most populated sector of the most populated district of Rwanda. The GHG benefits of the pilot will also be quantified during the masterplan analysis, though early analysis has found that there are large emission reductions possible through the introduction of low carbon and local production of building materials. Paradigm shift The Green City Pilot will make a significant contribution to Rwanda’s Green Growth and Climate Resilient Strategy (2011), by demonstrating the viability of Green urban activities. The pilot will be used to draw lessons and scale up with a paradigm shift towards low-emission and climate-resilient development, e.g. with resilient planning approaches and green building standards. The project will also catalyze the intervention of subsequent private sector investors as well as public sector partners, unlocking green growth and kick-starting the scale up to the rest of the country through the green secondary cities programme: as such it represents a major window of opportunity to move Rwanda to a new green and climate resilient development pathway. The GCP will provide a demonstration of effective resilient and green urban centres (with green housing, infrastructure, mixed use, amenity, workplaces and industry) and will be used to inform master-planning for the national planning process for the Green Secondary Cities in the run up to the third phase of Rwanda’s Economic development strategy (NTS – 2018 to 2024). To help ensure this, proposed project has components on knowledge and capacity building and will use the learning from the GCP to help inform the subsequent national scale up of green urbanization. The project includes measures to transfer and mainstream the knowledge generated and lessons learned and ensure that the necessary capacity is developed within local and national institutions. This will ensure benefits that go beyond the lifetime of the project and achieve transformative effects. Sustainable development The project is anticipated to have major economic, social and environmental benefits. These include the growth of competitive low carbon industries from the demonstration of affordable, low carbon housing sector, with skills, livelihood and income benefits from the development and the subsequent scale-up. The project a specific focus on gender and 43% of the jobs created on the project will be for women. It will also lead to reduced fatalities, injuries losses and damage costs associated with the greater resilience to extreme weather events, and reduced floods and landslides. There are estimated benefits from stabilised slopes and reduced erosion, increased forest cover and biodiversity, improved soil quality, water retention capacity, reduced urban heat island effect, reduced likelihood of flooding and improved air quality through reduced traffic. Needs of recipients As one of the poorest countries in the world, Rwanda does not have the financial resources to adopt the programmes of action needed to deliver national priorities for green growth and climate resilience set out in the EDPRS II, the GGCRS and the NDC. There is high potential to shift Rwanda to LCCR development pathway but this will require investment of resources. The upfront investment costs needed to shift Rwanda toward more climate resilient green growth are a significant barrier for pursuing these development pathways: a GCF contribution is therefore crucial to build on the progress Rwanda has made so far on green growth and take this forward, and to catalyze private sector investment to deliver financially sustainable solutions. Whilst National Budget contributions currently facilitate a step by step delivery of LCCR development, GCF funding will enable the immediate coordinated and integrated piloting of proposed interventions, thereby i) enabling rapid delivery of green growth impacts, ii) demonstrating practical and integrated low carbon development in a key location and iii) providing immediate information with which to inform the wider national development agenda, with a particular ability to influence the planning, design and development of the next six year development strategy (the NTS). It is also highlighted that the specific location of the GCP, in Gasabo district, has high poverty levels compared to the two other district sin Kigali, with 26% and 13% of the population living below the poverty line or in extreme poverty respectively, compared to approximately 9% and 3% for the rest of Kigali (EICV3). Country ownership It is stressed that there is extremely high country ownership for the GCP. Indeed, the need for this project was directly identified in the GGCRS (2011) including supporting integrated approaches to sustainable land use planning and management as well as integrated water resource management and planning; diversifying energy sources with


promoting green technology; green industry and private sector development; developing low carbon peri-urban systems; sustainable forestry; and disaster management. The planned interventions in the GCP project will contribute to a number of priority areas in the national development plan including supporting and promoting: the establishment of financing and supply options for affordable housing; green urbanisation and the promotion of green innovation in industrial and private sectors; integrated approach to land use and human settlements; critical skills and attitudes for service and industrial sectors. The focus on Integrated and Sustainable Land Use Planning, Energy efficiency, Efficient resilient transport systems and Green industry and private sector development are also all priority programmes in Rwanda’s NDC. Efficiency and effectiveness The exact cost-effectiveness ($/tCO2) of the project will be assessed during the masterplan phase (and full GCF proposal preparation). Nonetheless, the available literature indicators that the low carbon pathways proposed, including the use of high quality bricks and renewable energy would be cost effective. The economic present value and financial rate of return will be assessed in detailed with the use of an extended economic appraisal and financial modelling analysis during the masterplan and GCF proposal preparation. However, it is expected that the project will have a high economic return. Existing urban development in Rwanda has high costs and this is leading to affordability issue. The replacement of these high cost pathways with more effective and efficient green development and locally produced materials has the advantage of reducing costs and creating environmental benefits, thus leading to a high financial rate of return and a high economic benefit. As an example, recent analysis in Rwanda has highlighted that the shift to new brick production with higher efficiency processes would lead to high IRR (14%), positive benefit to cost ratios (3:1) and good cost-effectiveness ($1/tCO2). Similarly the economic benefits of resilient housing developments, in reducing risk of damage (which are expected to increase under climate change) have been found to be highly positive (NPV).

B.4. Engagement among the NDA, AE, and/or other relevant stakeholders in the country (max ½ page)

Please describe how engagement among the NDA, AE and/or other relevant stakeholders in the country has taken place and what further engagement will be undertaken as the concept is developed into a funding proposal.

Consultations have been carried out at the policy level with the Minister of Environment in order to brief and obtain guidance about the Green City Pilot, who subsequently requested for consultation through presentation at the Senior Management meeting of the Ministry of Environment. A validation workshop was also carried out following studies, to which multiple stakeholders (including civil society) were invited. Other consultations were carried out with various stakeholders including regulators to define densification issues, the Integrated Water Resources department to address storm water issues. The masterplan (feasibility phase) and the GCF full proposal preparation will undertake extensive stakeholder consultation, with a wide and diverse group of Government, private sector and civil society stakeholders, and will include consideration of gender including a full Gender Action Plan.

C. Indicative Financing/Cost Information (max. 3 pages)

C.1. Financing by components (max ½ page)

Please provide an estimate of the total cost per component/output and disaggregate by source of financing.

The cost and financial details of the overall Green City Pilot will be developed as part of the masterplan and this will also develop the costs and financial details of the GCF funded project.

Component/Output

Indicative cost

(USD)

GCF financing Co-financing

Amount

(USD)

Financial Instrument

Amount

(USD)

Financial Instrument

Name of Institutions

GCP 50 000 000 50 000 000 Grant

Indicative total cost (USD)

50 000 000

For private sector proposal, provide an overview (diagram) of the proposed financing structure. Not applicable


C.2. Justification of GCF funding request (max. 1 page)

Explain why the Project/ Programme requires GCF funding, i.e. explaining why this is not financed by the public and/ or private sector(s) of the country. Rwanda is one of the most vulnerable countries in the world to climate change. High levels of poverty, a shortage of land and rapid population growth combined with Rwanda’s hilly topography are creating huge pressures. The expected impacts on climate change in Rwanda are well documented in the national communications to UNFCCC and the recent climate vulnerability analysis. Climate change impacts will combine with anthropogenic factors to significantly damage Rwanda’s growth and development with implications for peace and stability in the country as well as the region. Indeed, the future economic cost of climate change in Rwanda will be large – estimated at an additional impact of 1% of GDP each year even by 2030iv. Urgent action is needed to deliver the national strategies that have been developed by the Government, such as the GCP. Rwanda’s commitment to tackling climate change is recognized worldwide and there is strong ownership of the development and green growth agenda. Rwanda has established a strong and effective policy framework to deal with climate change. All the necessary policies and legal frameworks are in place including a national climate fund that can absorb, disburse and monitor interventions to tackle climate change. There is high-level ownership and commitment to adapting to the effects of climate change and Rwandan institutions, and the MoE have excellent experience from implementing a number of projects that support adaptation. In terms of mitigation, the Government has enshrined low carbon growth in its policy framework across Government and has made significant efforts to build awareness at the local level. With a small but fast-growing economy, there is a window of opportunity for Rwanda to adopt low carbon and climate resilient development pathways that would be challenging for more developed countries. There is a need to ensure the development of building design and urban layout take account of increasing climate risks, otherwise development pathways will lock in high damage related losses. Alongside this, there is a significant risk that, without the necessary support, growth of key sectors such as construction will follow the business as usual high carbon route to development. Early action is needed to incentivize the production and use of low carbon materials and technologies in construction to encourage a more sustainable route for the growth of this sector and the economy more widely. There is therefore a timely opportunity to support and stimulate low carbon and climate resilient development pathways in Rwanda’s urban development. Describe alternative funding options for the same activities being proposed in the Concept Note, including an analysis of the barriers for the potential beneficiaries to access to finance and the constraints of public and private sources of funding. As highlighted above, as an LDC, Rwanda lacks the financial resources to adequately address climate threats and support low carbon growth. The cities receive relatively low levels of budget support and the limited availability of public and private funds highlights the need for additional external finance. At the same time, Rwanda has demonstrated success in terms of its institutional capacity to absorb and manage climate finance. Rwanda’s good progress towards high fiduciary management standards, its commitment to service delivery and its strong track record of effective and efficient budget execution demonstrate it is at an advanced stage of climate finance readiness. Justify the rationale and level of concessionality of the GCF financial instrument(s) as well as how this will be passed on to the end-users and beneficiaries. Justify why this is the minimum required to make the investment viable and most efficient considering the incremental cost or risk premium of the Project/ Programme (refer to Decisions B.12/17; B.10/03; and B.09/04 for more details). The justification for grants and reimbursable grants is mandatory. All interventions in the proposal will be designed to maximise the use of GCF grant finance and comply with the principles set out in Annex III to decision B.05/07. In line with GCF guidance (B_10_06) grant elements will be tailored to i) the incremental cost or the risk premium required to make investments viable, i.e. to meet the additional costs of green investment, provide longer-term finance or to create incentives for behavioural change (so far as is required to make activities financially viable, or to overcome risk perceptions) ii) for demonstration effect, i.e. where there is clear demonstration effect in relation to new technology, approach or market, which if needed, is then further supported by TA to ensure scale-up iii) to cover technical assistance, or iv) to meet the additional costs of climate action that would otherwise not be available, particularly for resilience (adaptation) activities for vulnerable groups. In all cases, the interventions will be designed to address barriers and create the enabling environment for mitigation and adaptation, to leverage on existing public and private finance, and to ensure there is no distortion or displacement of existing public or private sector funds. In the case of private sector proposal, concessional terms should be minimized and justified as per the Guiding principles applicable to the private sector operations (Decision B.05/07).


Not applicable .

C.3. Sustainability and replicability of the project (exit strategy) (max. 1 page)

Please explain how the project/programme sustainability will be ensured in the long run and how this will be monitored, after the project/programme is implemented with support from the GCF and other sources.

GCF’s involvement at the early stages of the Green City Pilot will create the incentive for the subsequent scale up of finance for the overall development. To further ensure the sustainability in the long run, the project has a number of additional activities. First, it builds capacity within the relevant implementation organisations to ensure country ownership and the sustainability of the project. Second, it has activities on addressing barriers and creating the enabling environment for change, thus it will alter the incentives for the sector and organisations (including market-based approaches and engagement of the private sector) to ensure activities scale up after the funding period. The intention is for GCF’s input to help create a self-sustaining economic model using the principles of green development which, one it has gained its initial momentum, will be replicated across the country. In particular, this replicability and scalability will be delivered through the planned lessons and link to the master planning for the national planning process for the Green Secondary Cities programme.

For non-grant instruments, explain how the capital invested will be repaid and over what duration of time.

D. Supporting documents submitted (OPTIONAL)

☐ Map indicating the location of the project/programme

☐ Diagram of the theory of change

☐ Economic and financial model with key assumptions and potential stressed scenarios

☐ Pre-feasibility study

☐ Evaluation report of previous project

☐ Results of environmental and social risk screening

Self-awareness check boxes

Are you aware that the full Funding Proposal and Annexes will require these documents? Yes ☒ No ☐

• Feasibility Study

• Environmental and social impact assessment or environmental and social management framework

• Stakeholder consultations at national and project level implementation including with indigenous

people if relevant

• Gender assessment and action plan

• Operations and maintenance plan if relevant

• Loan or grant operation manual as appropriate

• Co-financing commitment letters

Are you aware that a funding proposal from an accredited entity without a signed AMA will be reviewed but

not sent to the Board for consideration? Yes ☒ No ☐

i World Bank Climate change Knowledge Portal (2018). http://sdwebx.worldbank.org/climateportal/index.cfm?page=country_historical_climate&ThisRegion=Africa&ThisCCode=RWA ii Rwanda Sectoral Analysis: Assessment of Sectoral Opportunities for the Development of Nationally Appropriate Mitigation Actions

(NAMAs) in Rwanda. June 2015 iii REMA (2017). DETAILED IMPLEMENTATION PLAN FOR THE NATIONALLY DETERMINED CONTRIBUTIONS (NDCs) OF RWANDA. Republic of Rwanda, September, 2017. iv Stockholm Environment Institute (2009). Economics of climate change in Rwanda