OFFICIAL World Bank Office, Beijing 10 CUMENTS * W A 4 AL April 4, 2014 Ms. Zou Jiayi Director General International Department Ministry of Finance Sanlihe, Beijing, 100820 People's Republic of China China: GEF Second Liaoning Medium Cities Infrastructure Project (TF057757) Amendment to the Grant Agreement Dear Ms. Zou, We refer to the Global Environment Facility ("GEF") Grant Agreement between the People's Republic of China (the "Recipient") and the International Bank for Reconstruction and Development (the "World Bank"), acting as an implementing agency of the GEF, dated September 19, 2007, as amended on May 24, 2012 (the "Grant Agreement"), for the Second Liaoning Medium Cities Infrastructure Project. We also refer to the letter from Mr. Chen Shixin, Deputy Director General, International Department, Ministry of Finance dated August 7, 2013, as well as to recent discussions between the Recipient and the World Bank teams, requesting the World Bank to extend the closing date of the above-referenced grant from December 31, 2013 to December 31, 2014 and to make certain amendments to the Grant Agreement. We are pleased to inform you that the World Bank concurs with the request, and accordingly the Grant Agreement is hereby amended as follows: 1. Parts D.2, D.3 and D.4 of Schedule 1 to the Grant Agreement are amended to read as follows: "2. Public Utility Management: Providing technical assistance with respect to: (i) a capacity building program for public utility functions in water for Yingkou, Anshan, Panjin, Haicheng and Fushun cities, and wastewater for Panjin and Gaizhou cities; (ii) data collection and development of an information management system for Anshan, Yingkou, and Haicheng urban water distribution networks; and (iii) studies on ecology service function and basin ecology compensation mechanism of Dahuofang reservoir. 3. Solid Waste Master Planning: Providing technical assistance to Fushun, Yingkou EDZ, Gaizhou and Panjin for solid waste management planning and its implementation with respect to: (i) development of solid waste master plans; (ii) institutional development; (iii) landfill site assessment and engineering design; (iv) procurement assistance; (v) landfill construction supervision; and (vi) training of personnel for effective operation of solid waste management systems. Ms. Zou Jiayi Page 2 April 4, 2014 4. Water Pollution Control Management: Providing technical assistance to Panjin and Gaizhou for water pollution control management, including: (i) institutional development and financial sustainability; (ii) wastewater master planning; (iii) industrial water pollution control; and (iv) sludge management." Except as specifically amended in this letter, all other terms and conditions of the Grant Agreement shall remain in full force and effect. Please confirm your agreement to the foregoing on behalf of the Recipient by countersigning and dating the corresponding form of confirmation set forth below, and returning one fully countersigned original of this letter to us. The above amendment to the Grant Agreement shall become effective as of the date of this letter upon receipt by the World Bank of a duly countersigned original of this letter by the authorized representative of the Recipient. Yours sincerely, Klaus Rohland Country Director, China CONFIRMED: PEOPLE'S REPUBLIC OF CHINA By: Name: 4 X,'n/p, Title: V efor oeiueral P-fr Kaf' Inv Date: 4arf aI dl . oLuI Copy to: Mr. Zhou Zhongxuan Executive Vice-Governor People's Government of Liaoning Province P.R. China