Lake Peipsi is the largest transboundary lake in Europe, which is shared between Estonia and Russia. Both countries influence the environmental situation of the lake. From the RU side the biggest problem is currently the contamination of Lake Peipsi due to the poor wastewater treatment. On the Estonian side one of the factors that influences the environmental condition of the lake is the lack of harbours, which could receive waste generated by water craft users. Existing harbours do not meet the environmental requirements and the needs of watercraft users. Beside of that, there are currently no appropriate places around Lake Peipsi, where it would be possible to lift out ships to the shore for repairs and maintenance. The project foresees a number of actions for tackling the abovementioned problems. The scope of activities for the RU side will cover construction of wwtps in Gdov and Palkinsky areas, the reconstruction of wwtps in Pskov city and Pskovsky area, the construction of sewage network in Pechory area. Also on the RU side, an inspection will be carried out in 16 areas in the Lake Peipsi basin in order to find out, which is the current condition of wwtfs. Based on inspection, Feasibility Study (Studies) aiming at improvement of wwtfs will be prepared, which provide information of required financial resources and possible sources of financing. On the bases of Feasibility Study (Studies) also recommendations for the special regional ecological programme "Pure water of the Pskov region 2012 -2017" concerning improvement of the wastewater treatment system of the LkP basin will be elaborated. To solve problems on the Estonian side 3 harbours will be constructed in Tartu, Mustvee and Räpina and the dock in Kallaste, as well as facilities for mooring of watercrafts, for ship reparation and maintenance, reception of cargo residues and ship-generated waste will be arranged. By constructing/reconstructing wwtps and wwtfs, constructing harbours/dock, the project improves environmental situation, creates workplaces, establishes preconditions for the development of water related tourism and increase in water related traffic, encourages entrepreneurship and development of tourism related businesses (e.g. rent of watercrafts, accommodation, feeding etc) and thereby contributes to the socio-economic development of the Lake Peipsi area. Expected Results: Expected results in Estonia 1) Facilities for mooring of watercrafts established (ca 104 mooring places depending on the size of the water craft-Tartu 44,Mustvee 40,Räpina 20), 2) Facilities for ship reparation andmaintenance established in Kallaste harbour, 3) Reception of cargo residues and ship-generated waste arranged in 4 harbours, 4) Additional workplaces in harbours/dock after project implementation [ca 15 directly related to harbour/dock, ca 8 accompanying by the end of 2014 (Räpina 1 direct,4 accompanying;Tartu 4 direct,2 accompanying; Kallaste 5 direct, 2 accompanying,Mustvee 5 direct)). Expected results in Russia 1) The total amount of harmful substances (e.g.phosphorous,nitrogen,BOD5,suspended solids) discharged with the ww.into the waterbodies in LkP basin (rivers Gdovka,Pachkovka,Velikaya and Mnoga) decreased, 2) Information about the technical condition of the wwtf. acquired, 3) Estimates of required financial resources drawn up and possible sources of its financing defined, 4) Special regional ecological programme "Pure water of the Pskov region 2012 -2017" concerning improvement of the ww. treatment system of the LkP basin updated.