Attachment 12 IEE.pdf

DCN: 2011-ALB-005

Albania / PLGP IEE 1

INITIAL ENVIRONMENTAL EXAMINATION

USAID/ALBANIA

PLANNING AND LOCAL GOVERNANCE PROGRAM

A. PROGRAM AND ACTIVITY DATA

PROJECT NAME: Planning and Local Governance Program

(PLGP)

ASSISTANCE OBJECTIVE:

Governing Justly and Democratically

PROGRAM AREA:

Good Governance

COUNTRY: Albania

ORIGINATING OFFICE

Democracy and Governance Office

DATE: June 17, 2011

IEE AMENDMENT:

Yes No

DCN OF ORIGINAL IEE:

PURPOSE OF AMENDMENT:

IMPLEMENTATION START:

FY 2011

IMPLEMENTATION END:

FY 2016

LOP AMOUNT:

$8,500,000

AMENDMENT FUNDING AMOUNT:

CONTRACT/AWARD # IF KNOWN:

Environmental Media and/or Human Health Potentially Impacted (check all that apply):

None Air Water Land Biodiversity Human health Other

Environmental Action Recommended (check only one—the highest level action):

Categorical Exclusion: Positive Determination:

Negative Determination: Deferral:

Neg. Deter. with Conditions: Exemption:

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B. BACKGROUND AND ACTIVITY/PROGRAM DESCRIPTION

Program Objective: The Planning and Local Governance Program (PLGP) will facilitate decentralization in Albania and better functioning and more accountable municipalities.

The PLGP will promote constructive dialogue between the central and local governments, assure efficient functioning and adequate financing, and reinforce the internal operations of local government units. In addition the PLGP will provide training and technical assistance to manage territorial planning in order to strengthen the ability of local governments to plan and manage urban and regional growth in compliance with EU standards.

Program Overview: PLGP will focus of four components:

1. Support GoA Decentralization Policy.

PLGP will provide technical assistance to the GoA on decentralization policy and legal reforms. The project will engage national and local government officials, civil society organizations and other stakeholders on how to implement reforms such as revenue distribution, changes in the basis of local finance, and analysis and refinement of laws and regulations related to decentralization.

2. Provide training and technical assistance to improve the efficiency, transparency, and accountability of local government operations, such as taxes and fees.

Local governments improve their performance, accountability, transparency, and ability to involve citizens in decision making. PLGP will assist selected municipalities in improving the collection of taxes, fees, and other local sources of financing; in applying IT solutions to improve administrative efficiency;

3. Provide training and technical assistance to improve management of local services, as required by EU environmental standards

PLGP will provide training and technical assistance to the Government of Albania (GoA) on meeting EU standards to optimally plan and manage public utilities consistent with EU standards.. This will be done through the provision of technical assistance and training to help local government water/wastewater utilities’ supervisory boards understand their responsibilities and strengthen their oversight of service policy.

4. Provide training and technical assistance to improve planning capabilities at all levels of government, thereby strengthening management of urban/regional growth and service delivery.

PLGP will provide technical assistance and training to strengthen the capabilities of the GOA and local governments to plan and manage urban and regional growth in compliance with the EU standards. This will be done by building capacities at the local and central level to implement the newly adopted law “On Territorial Planning” the purpose of which is to:

1. Provide a sustainable development of the territory through the rational use of the land and natural resources;

2. Protect the natural resources, such as land, and particularly, the agricultural land, air, water, forests, flora, fauna, and landscapes;

3. Encourage the appropriate actions for the protection, restoration and quality improvement of natural and cultural heritage, and to preserve diversification of landscape and biodiversity.

Albania / PLGP IEE 3

C. COUNTRY AND ENVIRONMENTAL INFORMATION (BASELINE INFORMATION)

Geography and Topography: Albania has a total of 28,750 square kilometers and shares a 173-kilometer border with Montenegro, a 114-kilometer border with Kosovo to the north, a 151-kilometer border with Macedonia to the east, and a 282-kilometer border with Greece to the south and southeast.

Its coastline is 427 km long consisting of the sandy Adriatic coast (273 km) and the rocky Ionian coast (154 km). The lowlands of the west face the Adriatic Sea and the strategically important Strait of Otranto, which puts less than 100 kilometers of water (Ionian Sea) between Albania and Italy. Seventy percent of the country that is mountainous is rugged and often inaccessible. The remainder is an alluvial plain. About 30% of the territory is between 0 and 300 m, 42% from 300-1,000 m and 8% higher than 1,500 m.

Climate and Agro-ecological Zones: Like other Mediterranean countries, Albania has characteristically warm, dry summers and mild, wet winters. However, local climatic variation is considerable from one region to another due to different topography. The coastal plains have a Mediterranean climate with hot and dry summers, and frequent thunderstorms. Winters are wet and mild; freezing temperatures are rare.

In the mountains the summer precipitation is higher than on the lowlands, with higher daytime temperatures and cooler nights. The winters can be quite severe in the mountains with heavy snowfall, thunderstorms and snow cover lasting for long periods of time. Three agro-ecological zones are:

1) The lowland zone is situated alongside the Adriatic Sea with plains ranging from 50 to 200 m above sea level and dominated by alluvial soils. About 80% of annual rainfall of about 900- 1200 mm is concentrated during the October – March period. This zone favors good cultivation of most crops although irrigation is necessary during summer.

2) The hill zone is between the lowland and mountain zones at altitudes from 100 to 900 m and average rainfall is about 800 mm/year. Field crops and fruit trees are grown in the hill zone.

There is also low forest and shrubs.

3) The mountain zone has warm summers and cold winters, with more than 100 days per year with frost. Annual rainfall is from 900-1,500 mm with considerable snow. Cereals, especially wheat, barley and rye are grown, and fruits. In this zone forests and pastures dominate.

Water Resources: Albania is rich in water resources, including rivers, groundwater, lakes, lagoons and seas. The hydrographic basin of which Albania forms a part covers 43,305 square kilometers, of which 28,748 square kilometers lie within its boundaries. Albania shares Shkodra Lake and Buna River with Montenegro, Drini River (the largest river of Albania) with Kosovo, the Black Drini River and the lake of Big Prespa with Macedonia, and Vjosa River and Prespa lake with Greece. The rivers generally begin in mountainous areas with steep slopes and have an average flow ratio between the wettest and the driest months of around ten. Their regime is torrential. In general, river flows are the highest in winter or early spring during the wet season. The rivers carry large quantities of solid matters: an estimated 2,659 kg/second on average.

Flora and Fauna: The mountainous topography produces a zonation of flora and fauna. The dry lowlands are occupied by a bush-shrub association known as maquis, in which hairy, leathery leaves reduce transpiration to a minimum. There are some woods in the low-lying regions, but larger forests of oak, beech, and other deciduous species begin at 910 m. Black pines and other conifers are found at higher elevations in the northern part of the country. There are few wild animals, even in the mountains, but wild birds still abound in the lowland.

Forest and woodland account for 38% of the country's land use. Deforestation is one of the major environmental problems in Albania. Rural poverty, especially during the economic collapse in 1997, caused severe forest damage by illegal logging. The forests around villages are generally the most damaged and degraded. The majority of these are oak forests that are known for their rich biological diversity. The villagers continue to over-exploit the forest through unmanaged cutting in order to secure wood for heating or cooking. Over-grazing by animals, mainly goats, is another cause for degradation of forests and grasslands.

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Soil and Land Use: Albania is mountainous with more than 75% of its area being hills and mountains.

Twenty-four percent of the total territory is agricultural land, 36% forest, 16% pastures and meadows, and 24% unproductive land, urban land, inland waterways. The soils of Albania are divided into four groups according to their altitudes:

a. Grey-brown soils occur at altitudes up to 600 m, including the zone of coastal lowland and hills, which make up about 15% of the country. Seventy percent of these soils are under cropping. There are 84,000 hectares of alluvial soil and 15,000 hectares of saline soils in the lowland zone.

b. Brown mountainous soils are located in the interior of the country, at altitudes from 600 to 1000 m and make up 38% of the total area and 40% of the arable land.

c. Grey forest soils occur at altitudes from 1,000 to 1,800 m and account for 15% of the total land area of which 10% is cultivated.

d. Mountain meadow soils at altitudes of 1,600 – 2,600 m make up 10% of the country area.

Inappropriate cultivation and poor soil conservation practices have caused soil degradation.

Approximately 200,000 hectares have been affected in this way, most of it in the potentially highly productive coastal zones. A considerable amount of pasture was converted to crops and the pasture area has decreased from 700,000 hectares in the nineteen-sixties to about 400,000 hectares today, resulting in reduced fodder supply and an increase in marginal arable land.

Population and Urbanization: According to the National Institute for Statistics, the population of Albania in 2005 was estimated at 3.14 million with a composition of about 95% Albanians, 3% Greeks, and the remaining 2% comprised of Vlachs, Bulgarians, Serbs and Roma. About 43% of the population lives in the urban areas. Administrative units consist of the capital, Tirana, 64 other municipalities, and 309 communes that govern groups of villages. Tirana’s population is about 279,000. Other important towns include Durres, 72,400; Shkoder, 71,200; Elbasan, 69,900; and Vlora, 61,100. According to the United Nations, Albania’s annual population growth rate for 2000–2005 is 0.68% with a higher rate of 2% in the urban areas. The population density in 2002 was 109 per square kilometer.

Urban Planning. Over the last decades Albania experienced unmanaged land development in prime urban areas and along some parts of the coast. The recently approved Law on Territorial Planning of 2009 and its secondary legislation, which will become effective in September 2011, provides a comprehensive integrated approach that goes beyond urbanism and land management, which have guided planning in Albania in recent years (See Annex 1). The Law takes into account social and economic issues. This entails significant regular coordination vertically within the public sector – between levels of government – and horizontally – among all stakeholders in government, business and society at large. This approach is in compliance with the European Standards and constitutes an important challenge for Albania that will require, among other things, a strong and lasting commitment to the proposed reforms. While facing numerous environmental issues and challenges, as an aspiring country to join EU, the Government of Albania is closely working with relevant EU entities to compile the Environmental legislations and policies in compliance with EU standards. This is required by the stabilization/association agreement, as a prerequisite for membership application.

The Law on Territorial Planning of 2009 and its secondary legislation establish solid rules for landuse and provide a stable legal framework for all the involved stakeholders.

The purpose of this Law” is to:

1. Provide a sustainable development of the territory through the rational use of the land and natural resources;

2. Protect the natural resources, such as land, and particularly, the agricultural land, air, water, forests, flora, fauna, and landscapes;

3. Encourage the appropriate actions for the protection, restoration and quality improvement of natural and cultural heritage, and to preserve diversification of landscape and biodiversity;

4. Create conditions for ensuring the preservation of ecosystems bio diversities, the natural above

Albania / PLGP IEE 5 and underground resources, and the natural and cultural assets, balancing of the effects of residential systems and the economic activities, and the protection and development of green areas and other cultivable areas.

As mentioned above, the Law imposes a number of new requirements on both national and local governments. Current capacity to comply with the requirements is lacking at both levels. Assistance is required to develop the institutional structures necessary for establishing workable systems in place.

Because the Central Government Institution created by law : the National Territorial Planning Agency (NTPA) currently is mandated to control regional and national aspects of land development, it needs support to develop internal management processes and put in place the capacity to support local governments and harmonize sectorial land planning. The same applies at the local level.

Mandatory Strategic Environmental Assessments: Article 48 of the Law on Territorial Planning stipulates that each planning instrument shall be subject to a strategic environmental assessment, and in accordance with environmental requirements and European and international standards.

1. Strategic environmental assessment is carried out during the process of drafting of land use plans and prior to approval of the planning instrument;

2. Coordination and consultation with interested parties and public hearing on strategic environmental assessment are carried out in compliance with terms and procedures provided with this law or with the environmental legislation according to the following criteria:

a) Implementation of terms and procedures provided with this law or with the environmental legislation, when specified namely in one of them;

b) Only the longer term applies for different terms provided with this law and with the environmental legislation.

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D. EVALUATION OF ACTIVITY WITH RESPECT TO ENVIRONMENTAL IMPACT

POTENTIAL AND IDENTIFICATION OF MITIGATION MEASURES

1. Component 1 – Support GOA Decentralization Policy The interventions planned to be continued under this component do not involve activities which may result in environmental impacts. The illustrative activities are elaborated below.

Table 1 . Illustrative activities under Program Component One: Support GOA decentralization policy, and Potential Environmental Effects

Illustrative Activities

Potential Environmental Effects

1.1 Deliver a study on the procedures and criteria used

by the GOA in the allocation of competitive local government grants. The study will include recommendations on how to improve the criteria, ways to optimally collaborate with local governments, and how to ensure transparency of the grant process.

The study will propose specific activities with measurable results that AGRP will integrate into its annual work plans.

This kind of activity is technical assistance and training with no effect on the environment.one

None anticipated

1.2Assist the Albanian Parliament, the GOA and local governments on improving communication and collaboration around decentralization of local governance

None anticipated

1.3 Assist the Albanian Parliament, the GOA and local

governments on improving policies, legislation and processes that affect local government functions and finances.

None anticipated

1.4 Assist the GOA with strengthening interaction and

communication with local governments, civil society groups, and other stakeholders – in drafting and implementing legislation, policies, and processes to improve revenue distribution, local finances, and local governance.

None anticipated

1.5. Assist in clarifying and strengthening the

transparency of the financing mechanism by publishing in advance a set of clear, transparent procedures for the evaluation of these mechanisms.

None anticipated

1.6 Assist local governments and civil society groups in

developing forums for citizens to express common concerns, participate in community decisions that affect them, and hold local government accountable for implementing decisions.

None anticipated

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2. Component 2 – Provide training and technical assistance to improve the efficiency, transparency, and accountability of local government operations, such as taxes and fees The interventions planned to be continued under this component do not involve activities which may result in environmental impacts. The illustrative activities are elaborated below.

Table 2. Illustrative activities under Program Component Two: Provide training and technical assistance to improve the efficiency, transparency, and accountability of local government operations, such as taxes and fees, and Potential Environmental

Effects

2.1Deliver a study on improving local government collection of taxes and on increasing tax revenue. The study will propose specific activities with measurable results that the contractor will integrate into its annual work plans.

None anticipated

2.2 Deliver an action and training plan for targeted

local governments -- to develop IT solutions to improve local government functions such as financial operations, human resources and procurement functions. This plan will include provisions on purchasing information and communications technology (ICT) hardware and software; cost-sharing ideas; and a plan for designing and delivering relevant training.

None anticipated

2.3 Procure ICT hardware and software to help local

governments with such as financial operations, human resources and procurement functions.

None anticipated

2.4 Assist local governments to implement IT

solutions that interconnect them with key government agencies.

None anticipated

2.5 Assist local governments on ways to increase

efficiency and transparency of their operations.

None anticipated

2.6 Assist local governments in raising citizen

awareness of local government functions, citizen rights and responsibilities in the community, and how to increase citizen (including civil society groups) participation in local government decision-making.

None anticipated

2.7 Assist municipal council member on understanding

and developing skills needed to optimally perform their functions.

None anticipated

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3. Component 3 -- Provide training and technical assistance to improve management of local services, as required by EU environmental standards The interventions planned to be continued under this component may result in environmental impacts.

Improperly sited or operations of water, sewerage and solid waste facilities can pose significant effects on the environment. These effects include the spread of disease through improper treatment of water and wastewater and solid waste. The can result in releases of contaminated discharges to land, water and air adversely affecting human health and wildlife. The illustrative activities are elaborated below.

Table 3: Illustrative activities under Program Component Three: Provide training and technical assistance to improve management of local services, as required by EU environmental standards, and Potential Environmental Effects

3.1 Deliver a study on ways to improve management

and oversight of selected public utilities to provide services and functions. The study will propose specific activities, guidance and best practices -- with measurable results -- that the contractor will integrate into its annual work plans.

Improperly sited or operations of water, sewerage and solid waste facilities can pose significant effects on the environment. These effects include the spread of disease through improper treatment of water and wastewater and solid waste. The can result in releases of contaminated discharges to land, water and air adversely affecting human health and wildlife.

3.2 Assist the selected local governments on

developing skills, roles, and knowledge needed to effectively oversee public utilities/jointly owned utilities to provide services such as water and waste management.

Same as above

3,3 Assist supervisory boards of the jointly owned companies on developing skills, roles, and knowledge needed to optimally perform their functions.

3.4 Assist local government on developing skills and

knowledge needed to approve business plans with policies for financial integrity and independence

Same as above

3.5 Assist the GOA and local governments on ways to

ensure that laws, policies, procedures and services are consistent with EU standards.

3.7 Assist local governments developing skills needed

to write proposals on accessing relevant EU funding sources for pre-accession.

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4. Component 4--Provide training and technical assistance to improve planning capabilities at all levels of government, thereby strengthening management of urban/regional growth and service delivery. The interventions planned to be continued under this component may result in environmental impacts. The environmental impacts associated with changes in land use are many. Poor management of land resources can result in soil erosion and loss of fertility, increase impermeable cover leading to vulnerability of urban areas to flooding, creation of industrial zones can lead to increased pollution of land, water and air resulting in adverse impacts to human health and the environment, loss of agricultural land to urban areas can result in resettlement of rural populations, conversion of forests and undisturbed land areas can result in biodiversity loss and threats to endangered, threatened or protected species. The illustrative activities are elaborated below.

Table 4. Illustrative activities under Program Component Four: Provide training and technical assistance to improve planning capabilities at all levels of government, thereby strengthening management of urban/regional growth and service delivery, and Potential Environmental Effects

4. Deliver a study within the first three months to determine how to carry out this component. The study will include an evaluation of the National Territorial Planning Agency (NTPA)’s capacity to implement the legally mandated functions by the Law “On Territorial Planning.” The study will propose specific activities, guidance and best practices -- with measurable results -

- that the contractor will integrate into its annual work plans for this component.

The environmental impacts associated with changes in land use are many. Poor management of land resources can result in soil erosion and loss of fertility, increase impermeable cover leading to vulnerability of urban areas to flooding, creation of industrial zones can lead to increased pollution of land, water and air resulting in adverse impacts to human health and the environment, loss of agricultural land to urban areas can result in resettlement of rural populations, conversion of forests and undisturbed land areas can result in biodiversity loss and threats to endangered, threatened or protected species.

4.2 Assist NTPA to develop skills and knowledge

needed to develop strategic plans as well as action plans with measurable results.

4.3 Assist the NTPA to develop a conceptual

framework for the National Territorial Plan, in accordance with the Territorial Planning Law and implementing regulations.

Same as above

4.4 Assist selected local government planning

departments on developing skills and knowledge to develop territorial plans in accordance with the Law on Territorial Plans.

Same as above

4.5 Assist local government planning departments on

developing skills and knowledge needed to review and update plans through the use of Geographic Information System (GIS).

Same as above

4.6 Assist civil society groups, businesses and other

NGOs in improving their participation in and oversight of territorial planning.

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E. RECOMMENDED ENVIRONMENTAL ACTION

1. Recommended Environmental Threshold Determinations:

Categorical Exclusion

A Categorical Exclusion is recommended for Components 1 and 2 pursuant to 22 CFR 216.2(c)(2) (i) for education, technical assistance, or training programs except to the extent such programs include activities directly affecting the environment (such as construction of facilities, etc.);

Negative Determination with Conditions:

A negative determination with conditions is recommended for activities in Component 3--Provide training and technical assistance to improve management of local services, as required by EU environmental standards and Component 4--Provide training and technical assistance to improve planning capabilities at all levels of government, thereby strengthening management of urban/regional growth and service delivery.

2. Conditions

a. Capacity building under Component 3 shall include training for local government water/wastewater utilities’ supervisory boards to optimally plan and manage public utilities in accordance with applicable EU environmental standards.

b. Capacity building under Component 4 shall include training for national and local planning authorities to effectively implement Article 48 of the Law on Territorial Planning pertaining to Mandatory Strategic Environmental Assessments. This shall include capacity building on strengthening local and national land use planning to address applicable European environmental standards.

3. Mitigation Measures

Before they are delivered to trainees, all applicable technical assistance materials, stipulated by the conditions in Section E.2., shall be prepared with the assistance of qualified environmentally-sustainable land use specialists. Records of this environmental input shall be documented.

4. Monitoring and Reporting

a. The Contracting Officer’s Technical Representative (COTR), with the support of the Mission Environmental Officer (MEO), is responsible for monitoring compliance of activities by means of field inspections and reviews of records.

b. If at any time the project is found to be out of compliance with the IEE, the COTR shall immediately notify the MEO who in turn shall notify the Bureau Environmental Officer (BEO).

c. Implementing partners shall report on environmental compliance requirements as part of their routine project reporting to USAID.

d. A summary report of Mission’s compliance relative to this IEE shall be sent to the BEO on an annual basis, normally in connection with preparation of the Mission’s annual environmental compliance report required pursuant to ADS 203.3.8.5 and 204.3.3.

e. The BEO or his/her designated representative may conduct site visits or request additional information to ensure compliance with this IEE, as necessary.

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F. MANDATORY INCLUSION OF ENVIRONMENTAL COMPLIANCE REQUIREMENTS IN

SOLICITATIONS AND AWARDS

Appropriate environmental compliance language shall be included in solicitations and awards for this activity with an appropriate level of funding and staffing to satisfy the environmental compliance requirements set forth in this IEE. Environmental mitigation and monitoring requirements shall also be included in solicitations and awards.

Adherence to the conditions set forth in this IEE shall be included as PMP Indicator.

Implementing partner will incorporate conditions set forth in this IEE in to their work plans and an indicator for environmental compliance shall be included as part of the project’s performance monitoring plan.

G. LIMITATIONS OF THE IEE:

This IEE does not cover activities involving:

1. Classes of actions normally having a significant effect on the environment pursuant to 22 CFR 216.2(d)(1):

i. Programs of river basin development;

ii. Irrigation and water management;

iii. Agricultural land leveling

iv. Drainage projects

v. Large scale agricultural mechanization

vi. Resettlement Projects

vii. New land development

viii. Penetration road building and road improvement

ix. Power plants;

x. Industrial plants

xi. Potable water and sewerage projects

2. Activities affecting endangered species, introducing exotic species;

3. Activities resulting in wetland or biodiversity degradation or loss;

4. Support to extractive industries (e.g. mining and quarrying).

5. Support for activities that promote timber harvesting;

6. Activities involving support for regulatory permitting;

7. Activities involving privatization of industrial or infrastructure facilities;

8. Activities supporting project preparation, project feasibility studies, engineering design, to in support of any activity listed in 22 CFR 216.2(d)(1);

9. Assistance for the procurement (including payment in kind, donations, guarantees of credit) or use (including handling, transport, fuel for transport, storage, mixing, loading, application, cleanup of spray equipment, and disposal) of pesticides or activities involving procurement, transport, use, storage, or disposal of toxic materials. Pesticides cover all insecticides, fungicides, rodenticides, etc. covered under FIFRA – ‘Federal Insecticide, Fungicide, and Rodenticide Act’;

10. Procurement or use of genetically modified organisms (GMOs);

11. DCA or GDA programs.

Any of the above actions would require an amendment to the IEE approved by the E&E Bureau Environmental Officer (EE/BEO).

H. REVISIONS:

Pursuant to 22 CFR 216.3(a) (9), if new information becomes available that indicates that activities covered by the IEE might be considered “major” and their effect “significant,” or if additional activities are proposed that might be considered “major” and their effect “significant,” this environmental threshold decision will be reviewed and, if necessary, revised by the Mission with concurrence by the BEO. It is the responsibility of the USAID COTR/AOTR to keep the MEO and BEO informed of any new information or changes in the activity that might require revision of the IEE.

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I. RECOMMENDED ENVIRONMENTAL ACTION

1. Recommended Environmental Threshold Determinations:

A Categorical Exclusion is recommended for Components 1 and 2 pursuant to 22 CFR 216.2(c)(2)(i). A negative determination with conditions pursuant to 216.3(a) (2) (iii) is recommended for Components 2 and 4.

USAID Approval of Recommended Environmental Threshold Decision:

Distribution:

IEE File Mission Environmental Officer

Annex:

Annex 1: Law on Territorial Planning of 2009 (English translation)

Approval :

Joseph Williams, Mission Director

Date

Andrew Maybrook, Program Office

Kristaq Jorgji, Mission Environmental Officer

Suzana Cullufi Preparer

Concurrence:

Barbara R. Britton E&E Bureau Environmental Officer

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REPUBLIC OF ALBANIA

THE PARLIAMENT

L A W

No.10 119, dated 23.4.2009

ON

TERRITORIAL PLANNING

Pursuant to Articles 78 and 83, point 1, of the Constitution of the Republic of Albania, and upon the proposal of the Council of Ministers, THE PARLIAMENT

OF THE REPUBLIC OF ALBANIA,

DECIDED:

CHAPTER I

GENERAL PROVISIONS

Article 1

Goal

The purpose of this law is:

a) to provide a sustainable development of the territory through the rational use of the land and natural resources;

b) to appraise the current and perspective potential of territory development at the national and local level, based on the balance of natural resources, economic and human needs, and public and private interests, by coordinating the following:

i) protection of natural resources, such as land, and particularly, the agricultural land, air, water, forests, flora, fauna, and landscapes;

ii) establishment and provision of buildable territories organized in a harmonized and functional manner by giving priority to housing opportunities for all the economic and social classes, creation of adequate physical infrastructure to encourage investments to perform economic, social and cultural activities, simplification of access to public services and facilities, to transport and to infrastructure, including here the adapted territories;

iii) encouragement of economic, social and cultural life at the national and local level;

iv) provision of sufficient supply resources, particularly the vital ones;

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v) ensuring conditions for life safety and public health conditions, public order and national security;

vi) promotion of balanced regional development, in order to ensure a constant distribution of population in the country, based on distribution of resources;

c) to encourage the appropriate actions for the protection, restoration and quality improvement of natural and cultural heritage, and to preserve diversification of landscape and biodiversity;

ç) to facilitate the right of use and development of properties in compliance with the planning instruments and laws on environment;

d) to establish proper and fair conditions and equal opportunities for housing, economic and social activities for all social categories, economic and social cohesion and enjoyment of property rights;

dh) to ensure that the national and local planning authorities design and update planning instruments on a regular basis and compliant to the market requirements and social needs;

e) to ensure that the planning authorities coordinate their planning activities with a view to promoting harmonized and integrated territory planning;

ë) to ensure that, on the basis of the legislation on construction, safety regulations are enforced to ensure people’s life and health safety from buildings and construction works.

Article 2

Scope

The scope of this Law is to set forth the key principles, responsibilities, rules and procedures for territorial planning.

Article 3

Definitions

The terms, as applied in this law, shall have the following meaning:

1. “Territorial planning” – an inter-disciplinary activity intended to plan land use, and establish the conditions for the development of territory and buildable natural structures on it.

2. “Planning instruments” – the policies, the plans and the regulations that apply generally to a territory, to a part of it, or to a type of development.

3. “Binding instrument” – a planning instrument, or those parts of it, which set forth binding rules to be implemented or observed by public or private persons.

4. “Guiding instrument” – a planning instrument, or those parts of it, which are of a non-binding nature.

5. “Territorial Policies” – herein referred to as ‘policies’, the overarching territory planning act, which helps implement the programs and activities of the field, in order to achieve identified objectives and goals.

6. “Territorial Plan”, herein referred to as “plan”, an officially approved planning instrument that contains explanatory text, diagrams and maps, which constitute a single and indivisible aggregate, which applies to all planning actions and solutions.

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7. “Regulation” – the instrument that contains rules governing land existing and future use and development. The regulation shall set out norms and standards for the development, and contain explanations on the procedures so as to ensure that the proposals put forward by the public and private sector with regard to development comply with the goals and targets of the territory plans.

8. “Uniform regulations” – regulations adopted by the Council of Ministers, setting forth unified rules for the form and structure of the national or local planning and development control instruments.

9. “Development control regulations” – regulations adopted by the planning authorities to discipline development control based on effective planning instruments. They are adopted on the basis of the uniform regulations, and apply at the national and local level.

10. “Planning model regulations” – planning regulations adopted by the Council of Ministers, which are intended to foster territory planning and sustainable development.

They are enforceable by the local planning authorities in default of and until the latter adopt the local planning and development control instruments for their administrative territory.

11. “National planning” – the planning intended for all or a part of the national territory.

12. “Local planning” – the planning intended for all or a part of the local territory, and covers territories coming within the jurisdiction of the municipality, commune and Region.

13. “Cross-local planning” – the planning at a local level, which is intended for, or is effective in all or a part of the territory of two or more local government units.

14. “Integrated planning” – the planning in the course of which the shared interests of the national and local planning authorities are harmonized into a planning instrument.

15. “NTPA” – National Territory Planning Agency established under Article 9 of this Law.

16. “Territory” – according to the case and the jurisdiction of the responsible planning authorities shall be:

a) national: the geographic ground, underground, water and air space, including the definite international extent of the coastal area, which matches to the state border of the Republic of Albania;

b) local: the geographic ground, underground, water and air space, which matches to the territorial and administrative divisions of the local government units, pursuant to the law.

17. “Adapted territory” – the territory, which provides safe, equal and independent use for all the persons, including the disabled or special groups, which are in need of technical solutions or special equipments.

18. “Planning authorities” – the public institution bodies, at the national and local level, which have specified territorial planning responsibilities in accordance with the effective legislation, and exercise them based on this Law.

19. “Inspection authorities” – those authorities specified under Law no. 9780 of 16 July 2007, “On construction inspection.”

20. “Central Construction Technical Archive” – a public institution incorporated into the archive network of the Republic of Albania under Law no. 9154 of 6 November 2003, “On archives.”

21. “Issues of national importance in territorial planning” – those issues that, under legislation, are identified with or related to national public interests, which have an impact on, or are affected, by territory development/conservation.

22. “Joint powers authority” – a committee, board, agency, institution or enterprise, established by two or more local planning authorities and/or national planning authorities, so as to perform or comply with joint tasks or responsibilities, in accordance with the provisions of this Law.

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23. “Work” – each and every building, digging, demolishing, expansion, repair or renovation activity or process, and woodcutting.

24. “Structure” – each and every facility, built or installed on the territory, which is solidly or permanently established and, as per the case, includes the land in, on, and under which the structure is located.

25. “Development” – carrying out of any works in the territory intended to modify the use of land and structures on it, the sub-division or merge of parcels, the building of new structures, and the modification in the existing structures.

26. “Use of land or structures on it” – the development allowed under an effective planning instrument, which has been undertaken or is suggested to be undertaken by a developer.

27. “Land use change” – current land use replacing former land use, the beginning of land use or resumption of land use after period of no use, or same or different use added to former land use, which is still on despite a new land use.

28. “Non-compliant use” – the existing or proposed use of land or structure on it, which does not comply with the Land Use Regulation requirements, or its amendment, at the moment of its coming into effect.

29. “Entitlement with regard to development” – uses and/or intensity of construction allowed for a parcel, under the planning instruments.

30. “Public infrastructure” – the aggregate of existing or planned networks, installations and structures on the territory, the aim of which is to provide public services in the areas of transport, power, water administration, telecommunications, education, health, waste management and environment protection, administration of natural and cultural resources, national and civil defense and defense against fire, and the administration of networks, installations and other structures of public use. Public infrastructure has a national or local character, and is constructed with public or private investment.

31. “Development control” – the review process on the basis of which the responsible planning authority conducts an assessment and makes a decision whether a development application, or a development, complies with the binding specifications contained in planning instruments, building regulations, and other specific conditions set for carrying out the development, or the conditions laid down in the effective legislation.

32. “Development application” – the application, which is submitted to the responsible planning authority to allow development.

33. “Preliminary declaration of works” – the notification submitted to the responsible planning authority for works exempted from permits, under the specifications contained in this Law and the by-laws promulgated pursuant to it.

34. “Development permit” – the act of approval of entitlement with regard to development upon an application.

35. “Building permit” – the act of allowing works intended for the development of land or the structure on it.

36. “Silent approval” – the execution of an act, or the exercise of a right in the event that the relevant decision or position is not taken by the responsible or relevant planning authority within the time-line stipulated in the relevant provisions of this Law, unless otherwise defined by it.

37. “Use permit” – the act of allowing use and/or occupancy of the developed land or structure for which the work has been carried out.

38. “Unauthorized development” – any work performed without an authorization in compliance with this Law and the by-laws pursuant to it.

39. “Special development control instruments” – the instruments, which are adopted and enforced by the planning authorities to ensure a public interest. The special development

Albania / PLGP IEE 17 control instruments consist of:

a) “Development freeze” – as per the case, temporarily banning the development, or postponing the development permit application review across the overall territory, or across a part of it, for one type, for a number of types, or for each and every type of development, so as to preserve the territory at issue during the period of drafting a planning instrument.

b) “Public easement” – a lien or title imposed on real property for public use and for the benefit of a specific public interest. It shall not preclude uses of real property, or a part of it, which do not impair the enjoyment of the public easement.

c) “Public land reservation” – the act taken by a planning authority, which targets a limited number of private real properties, or a part of them, for a specific public purpose or interest that restricts or excludes the development of land and structures on it.

d) “Right of transfer” – the right to transfer a real property right from a local government unit to the benefit of the State for the purpose of making public or private investment to the benefit of the national public infrastructure.

e) “Right of preference” – the right a planning authority enjoys under the meaning of this Law to be preferred, in terms of succession, before each and every private person for purchasing at market value a private real property, which is subject to purchase and located in an area of preference that is of critical importance to achieving or protecting a specific public interest.

f) “Right of require purchase” – the right enjoyed by an owner of private real property, which is not subject to public real property reservation, to officially notify the responsible planning authority in the administrative territory in which his/her property is located, for the purpose of purchasing this property.

40. “Zone” – a part of the territory with special, or similar, existing or planned characteristics or uses of the land and structures on it, in accordance with the land use regulations.

41. “Parcel” – the real property registered in the register for immovable property.

42. “Sub-division” – the division of a parcel into two or more parcels for purposes of development, in accordance with the manner set forth in the planning instruments.

43. “Merge” – the consolidation of two or more parcels into a single one.

44. “Territory planning register”, hereinafter the register, shall mean a public electronic and paper inventory, into which data on land, planning acts and draft acts, development applications, and development, building or use permits, the legal rights or restraints stemming from them, as well as studies or other documents of interest to the public, are entered and managed, as defined by Chapter V of this Law, independently of the national and local authorities.

45. “Geographic Information System”, hereinafter referred to as GIS, shall mean a computerized information system for registration of information, based on geographical coordinates arranged into a digital map, serving to the collection, update, modification, storing, processing, depositing, researching and retrieving information on geographic facilities, the characteristics thereof, and other data on the land, aiming at providing interactive solutions or solutions assisting in decision-making, related to the tasks of designing, modeling, analysis, research, management and other objectives regarding a given geographic space.

46. “GIS database” – collection and registration of geographic coordinates’ data, which are regularly collected and organized in a systemized and methodical manner, and ordered into individual strata of maps that are prepared using digital means, in line with the GIS

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47. “Stakeholder” – any private physical or legal person and any public authority or its body, that has an interest in, or that may be affected by the development in the territory, or by a specified planning or development control instrument.

48. “Public hearing” – an open meeting, which is organized at appropriate venues by the planning authority, based on the public notification effective for the stakeholders and/or the overall or sensitive public, so as to solicit their objections and proposals on the draft of the planning or development control instrument, prior to decision taking.

49. “Public notification” – preliminary notification, delivered in sufficient time and by each and every effective means, of stakeholders and/or the overall public about the time, venue and purpose of public hearing, as defined by this Law.

50. “Objection” – the presentation of an opposing opinion in relation to the planning solutions, or a presumption regarding failure to respect the legal and sub-legal provisions in the course of the planning process.

51. “Management of development” – the guidance by means of administration, supervision, analyzing and planning of the development in a territory, or specified parts of it, on the basis of natural, economic and human resources, in accordance with the stipulations contained in this Law. Direction of development is the responsibility of all the levels of communal/municipal, Region and national government.

Article 4

Principles of Territorial Planning

Territory planning shall be based on the following principles:

a) The sustainable economic and social development, which, on the basis of a methodology built on social, economic and cultural studies and forecasts, helps chart the vision for the future territory development while taking into consideration the strategic development alternatives, and ensure for the existing and future generations a high quality environment, balanced and harmonised economic development, economic and social cohesion, rational use of natural, human and material resources, development and preservation of natural and cultural heritage;

b) The horizontal and vertical coordination between the national and local planning authorities and the stakeholders, which helps ensure that the planning instruments are adopted in compliance with the planning instruments enacted by the other authorities, and that help harmonize the public and private, national and local interests;

c) The diversification, which ensures the designing of planning instruments based on the diversity of human and material needs and resources, the diversity of economic activity and the diversity of natural and cultural heritage;

ç) The binding planning for all the planning authorities, as defined by this Law, which helps ensure the development of territory and allocation of the public financial resources, as well as the performance of the private initiative based on the planning instruments only, according to the levels of authorities and powers conferred under legislation, and stipulates that, aside from the exceptions set forth in this Law, each and every work, irrespective of their type and destination, should be carried out pursuant to and in compliance with the planning instruments, at a national, cross-local and local level;

d) The continuation, which helps ensure that modification in planning instruments shall be made by maintaining those components of the planning instrument the

Albania / PLGP IEE 19 substance of which has not been affected;

dh) The transparency, which helps ensure that the planning instrument has been designed and adopted through active and accurate informing and timely consultation, and…