The World Bank Horn of Africa - Groundwater Initiative (P169078) REPORT NO.: RES48155 RESTRUCTURING PAPER ON A PROPOSED PROJECT RESTRUCTURING OF THE HORN OF AFRICA - GROUNDWATER INITIATIVE APPROVED ON MAY 17, 2019 TO THE INTERGOVERNMENTAL AUTHORITY ON DEVELOPMENT (IGAD) WATER GLOBAL PRACTICE AFRICA EAST REGION Regional Vice President: Hafez M. H. Ghanem Country Director: Boutheina Guermazi Regional Director: Mark R. Lundell Practice Manager/Manager: Catherine Signe Tovey Task Team Leader(s): Victor Vazquez Alvarez, Tesfaye Bekalu Wondem The World Bank Horn of Africa - Groundwater Initiative (P169078) ABBREVIATIONS AND ACRONYMS ESF Environmental and Social Framework ESIA Environmental and Social Impact Assessment IGAD Intergovernmental Authority on Development The World Bank Horn of Africa - Groundwater Initiative (P169078) BASIC DATA Product Information Project ID Financing Instrument P169078 Investment Project Financing Original EA Category Current EA Category Approval Date Current Closing Date 17-May-2019 30-Nov-2021 Organizations Borrower Responsible Agency Intergovernmental Authority on Development (IGAD) IGAD Financing (in USD Million) FIN_SUMM_PUB_TBL SUMMARY Total Project Cost 0 Total Financing 0 Financing Gap 0 DETAILS -NewFin3 Project Development Objective (PDO) Original PDO To support selected IGAD countries prepare for the development and management of groundwater through strengthening knowledge systems, building their capacity and assessing the feasibility of specific investments. OPS_TABLE_PDO_CURRENTPDO The World Bank Horn of Africa - Groundwater Initiative (P169078) Summary Status of Financing (US$, Millions) Net TF Approval Signing Effectiveness Closing Commitment Disbursed Undisbursed TF-B0514 11-Jul-2019 11-Jul-2019 11-Jul-2019 30-Nov-2021 2.70 1.16 1.54 Policy Waiver(s) Does this restructuring trigger the need for any policy waiver(s)? No I. PROJECT STATUS AND RATIONALE FOR RESTRUCTURING 1. This project paper proposes a closing date extension for The Horn of Africa – Ground Water Initiative (P169078). The project was approved as a small recipient executed trust fund (RETF) on May 17, 2019 for US$2.7 million to the Intergovernmental Authority on Development (IGAD). The project development objective (PDO) is “to support selected IGAD countries prepare for the development and management of groundwater through strengthening knowledge systems, building their capacity and assessing the feasibility of specific investments.” The PDO is expected to be achieved through the financing of the following: Component 1: Expand the knowledge base on regional groundwater resources (US$500,000); Component 2: Strengthen capacities in groundwater development and management in IGAD member countries (US$500,000); Component 3: Maximize the benefits of groundwater to strengthen resilience to drought and economic development in the region (US$1,500,000); and Component 4: Project management, monitoring, and evaluation (US$200,000). 2. The project is accelerating major activities under Components 1 and 2. These include the finalization of knowledge management, capacity building, and need assessments in each member states, followed by national validation workshops and national trainings on groundwater management. The Juba-Shebele river basin model has been calibrated to reflect collected groundwater data. In addition, the 2nd and 3rd Steering Committee met to report and discuss project progress. The 2nd IGAD Water Forum is being prepared, although it was postponed from its original date in October 2021, to January 2022 in Entebbe, Uganda. 3. On Component 3, the main activity is the Feasibility Study of the Merti transboundary aquifer between Somalia and Kenya. The consulting firm assessing the Merti aquifer signed the contract on February 2021 and the work is currently ongoing. The Consultant has reported a delay in the progress of the work due to the security situation in the area and the time need to get clearances for fieldwork campaigns, and therefore has requested a contract extension of three months. IGAD has also recruited an environmental and social impact assessment (ESIA) consultant for the Merti study and is in the process of hiring an environmental and social safeguards specialist to be part of the IGAD team to help prepare the key ESF instruments for the Horn of Africa Groundwater for Resilience Program currently under preparation. The World Bank Horn of Africa - Groundwater Initiative (P169078) 4. IGAD requested an extension of the project closing date from November 30, 2021, to May 31, 2022, with no additional costs. For activities related to PDO indicator 1, on the regional groundwater assessment, delays occurred due to extra time needed to hire the hydrologist to run the database and the modelling exercise. For activities under PDO indicator 2, on the capacity needs assessment, the IGAD conference on groundwater and the study tour had to be postponed due to the high incidence of the COVID-19 in some of the member states. Finally, the Feasibility study on the Merti aquifer went through a long procurement process and the mobilization of the consultant in the field took considerable time due to the security situation in the area and need to get all the necessary clearances at regional and local levels. It is expected that all these activities can be completed by May 31st 2022. 5. Despite the delays, the project has performed well, with both IP and DO consistently rated MS or above. Overall risk to achieving the PDO remains Low. 6. In addition, the Bank agreed to the extension, provided that IGAD commit to preparing a concept note for the Horn of Africa Groundwater Information Center, and to have this proposal endorsed by IGAD member states so it can be implemented under the Horn of Africa Groundwater for Resilience Program. IGAD responded positively to this recommendation. The Concept Note, endorsed by the member states has been submitted to the Bank on November 15, and was found satisfactory. II. DESCRIPTION OF PROPOSED CHANGES 7. The proposed change consists of an extension of the project closing date from November 30, 2021, to May 31, 2022. This extension will allow IGAD to complete all project activities at no extra cost. Consequently, the end dates for the achievement of project objectives in the Results Framework have been moved from November 30, 2021 to May 30, 2022, together with the corresponding adjustments disbursement estimates. III. SUMMARY OF CHANGES Changed Not Changed Results Framework ✔ Loan Closing Date(s) ✔ Disbursement Estimates ✔ Implementation Schedule ✔ Implementing Agency ✔ Project's Development Objectives ✔ The World Bank Horn of Africa - Groundwater Initiative (P169078) Components and Cost ✔ Cancellations Proposed ✔ Additional Financing Proposed ✔ Reallocation between Disbursement Categories ✔ Disbursements Arrangements ✔ Change in Overall Risk Rating ✔ Safeguard Policies Triggered ✔ EA category ✔ Legal Covenants ✔ Institutional Arrangements ✔ Financial Management ✔ Procurement ✔ Other Change(s) ✔ Economic and Financial Analysis ✔ Technical Analysis ✔ Social Analysis ✔ Environmental Analysis ✔ IV. DETAILED CHANGE(S) OPS_DETAILEDCHANGES_RESULTS_TABLE RESULTS FRAMEWORK Project Development Objective Indicators PDO_IND_TABLE Ground water assessment for selected parts of the region prepared Unit of Measure: Number Indicator Type: Custom Baseline Actual (Current) End Target Action Value 0.00 0.00 1.00 Revised Date 14-Aug-2019 07-Feb-2021 31-May-2022 Capacity development needs assessment to develop and manage groundwater in the region prepared Unit of Measure: Number Indicator Type: Custom The World Bank Horn of Africa - Groundwater Initiative (P169078) Baseline Actual (Current) End Target Action Value 0.00 1.00 1.00 Revised Date 14-Aug-2019 07-Feb-2021 31-May-2022 Feasibility study on ground water potential aquifers prepared Unit of Measure: Number Indicator Type: Custom Baseline Actual (Current) End Target Action Value 0.00 0.00 1.00 Revised Date 14-Aug-2019 07-Feb-2021 31-May-2022 Intermediate Indicators IO_IND_TABLE Capacity development action plan to develop and manage ground water in the region prepared Unit of Measure: Number Indicator Type: Custom Baseline Actual (Current) End Target Action Value 0.00 1.00 1.00 Revised Date 14-Aug-2019 07-Feb-2021 31-May-2022 OPS_DETAILEDCHANGES_LOANCLOSING_TABLE LOAN CLOSING DATE(S) Original Revised Proposed Proposed Deadline TF Status Closing Closing(s) Closing for Withdrawal Applications TF-B0514 Effective 30-Nov-2021 31-May-2022 30-Sep-2022 OPS_DETAILEDCHANGES_DISBURSEMENT_TABLE DISBURSEMENT ESTIMATES Change in Disbursement Estimates Yes Expected Disbursements (In US$) Fiscal Year Annual Cumulative The World Bank Horn of Africa - Groundwater Initiative (P169078) 2019 0.00 0.00 2020 0.00 0.00 2021 0.00 0.00 2022 0.00 0.00 Note to Task Teams: End of system generated content, document is editable from here.