The LA21 project continued in 3 cities and 1 county, covering the Municipalities of Brasov, Borsec, Bistrita, and the Mures County to prepare their Local Plans for Sustainable Development.
The main innovation in that phase was the further expansion of the project to county level through cooperation with the Mures County Prefecture.
Furthermore, the NCSD added a new dimension to the project, in 2005, through its partnership with the Canadian International Development Agency (CIDA) for the purpose of introducing the Integrated Environmental Assessment (IEA) practice in Romania.

The main achievements of that initiative consisted in:
- Building NCSD’s capacity to provide expert advice and evaluate the environmental impact and sustainability of government and NGO programmes as well as private sector projects.
- The beginning of IEA training provided by NCSD to 19 local NGOs and institutions.
- Enhanced cooperation with the private sector by carrying out an IEA training course for the ROMAQUA GRUP S.A. (Mineral water Company) in Borsec and other 10 private companies.