The World Bank Report No: ISR14843 Implementation Status & Results Bhutan Decentralized Rural Development Project (P087150) Public Disclosure Copy Operation Name: Decentralized Rural Development Project (P087150) Project Stage: Implementation Seq.No: 17 Status: ARCHIVED Archive Date: 04-Jun-2014 Country: Bhutan Approval FY: 2005 Product Line: IBRD/IDA Region: SOUTH ASIA Lending Instrument: Specific Investment Loan Implementing Agency(ies): Ministry of Agriculture and Forests Key Dates Board Approval Date 01-Mar-2005 Original Closing Date 30-Sep-2009 Planned Mid Term Review Date Last Archived ISR Date 06-Dec-2013 Effectiveness Date 15-Apr-2005 Revised Closing Date 30-Dec-2013 Actual Mid Term Review Date Project Development Objectives Decentralized Rural Development Project (P087150) Project Development Objective (from Project Appraisal Document) The objective of the proposed Project is to improve market access and increase agricultural output for rural communities in selected areas of Bhutan. Has the Project Development Objective been changed since Board Approval of the Program? Yes No Component(s) Component Name Component Cost Rural Infrastructure 7.52 Renewable Natural Resources Centers and Support for Improved Technologies and Marketing of 2.67 Rice, Maize and Potato Institutional Strengthening 1.01 Overall Ratings Public Disclosure Copy Previous Rating Current Rating Progress towards achievement of PDO Satisfactory Satisfactory Overall Implementation Progress (IP) Satisfactory Satisfactory Overall Risk Rating NA Moderate Implementation Status Overview With about eight months remaining for implementation, the project is well in course to achieve its development targets, mainly in the areas of food crop production (rice, maize and potato) and improvements in rural infrastructure (improvements in irrigation canals and rural roads). Satisfactory implementation progress is noted across all project components. The project (DRDP AF) has contributed to the improvement of 43.95 km of farm roads and 256.60 km of irrigation canals. Additionally, rehabilitation work for 17.6 km of farm road is Page 1 of 6 The World Bank Report No: ISR14843 underway. The average adoption rate of new rice varieties has improved to 55%, from 46%, that was reported in the earlier mission in September. During the last season itself, with project support, 9 CSBP groups across the country produced over 45 MT of quality maize seeds. And the majority of additional activities that were agreed to be undertaken with the reallocated funds, are completed successfully. Public Disclosure Copy Locations Country First Administrative Division Location Planned Actual Bhutan Chhukha Dzongkhag Chhukha Dzongkhag Bhutan Wangdue Phodrang Dzongkhag Wangdue Phodrang Dzongkhag Bhutan Dagana Dzongkhag Drukgyegang Bhutan Zhemgang Dzongkhag Nangkor Bhutan Chhukha Dzongkhag Chabchha Bhutan Dagana Dzongkhag Khiphisa Bhutan Trongsa Dzongkhag Nubi Bhutan Trongsa Dzongkhag Bjakteng Bhutan Tsirang Dzongkhag Kikhorthang Bhutan Tsirang Dzongkhag Beteni Bhutan Wangdue Phodrang Dzongkhag Ruepaisa Bhutan Wangdue Phodrang Dzongkhag Nahi Bhutan Zhemgang Dzongkhag Trong Results Project Development Objective Indicators Public Disclosure Copy Indicator Name Core Unit of Measure Baseline Current End Target Average time taken to walk to motorable road Text Value Average time = 6.5 hours 1.5 hours on average 1.5 hours on average Date 06-May-2005 30-Apr-2014 31-Dec-2014 Comments Achieved. Revised EOP date Source: Socio-economic Survey 2010 Page 2 of 6 The World Bank Report No: ISR14843 Increase in food crop production Text Value varies by crop (aggregate 75% (rice) and 15% increase above the index = 100) 55% (maize) baseline Date 06-May-2005 30-Apr-2014 31-Dec-2014 Public Disclosure Copy Comments The final updates for the Revised EOP date project will be available after the impact assessment study. Increase in cash crop production Text Value varies by crop (aggregate 20% to 266 % increase in 30% increase index = 100) potato production in targeted Geogs. Date 06-May-2005 30-Apr-2014 31-Dec-2014 Comments Increase was very high in Revised EOP date small non-traditional potato growing areas Direct project beneficiaries Number Value 0.00 16975.00 15200.00 Date 31-Dec-2005 30-Apr-2014 31-Dec-2014 Comments 8272 HHs have benefited Revised EOP date from improved infrastructure. 8703 HH benefited by extension services. Out of the total beneficiaries, 48%of them are female. Intermediate Results Indicators Indicator Name Core Unit of Measure Baseline Current End Target Farm roads constructed (km) Text Value 0 95.5 95.5 Date 06-May-2005 30-Apr-2014 31-Dec-2014 Comments Achieved during original Revised EOP date DRDP. No new construction under AF New irrigation channels constructed (km) Text Value 0 44.3 44.3 km (revised) Public Disclosure Copy Date 06-May-2005 30-Apr-2014 31-Dec-2014 Comments Achieved during original DRDP. No new construction under AF Irrigation channels rehabilitated (km) Text Value 0 449.6 393 (revised) Date 06-May-2005 30-Apr-2014 31-Dec-2014 Comments 193 km. were achieved during original DRDP. 256.6 kms. of Page 3 of 6 The World Bank Report No: ISR14843 main channels have been rehabilitated through AF. Timely submission of accurate FM accounts Text Value n/a 100% 100% Public Disclosure Copy Date 06-May-2005 30-Apr-2014 31-Dec-2014 Comments Financial reports are being submitted on time. Improved roads Number Value 0.00 61.55 15.00 Date 06-May-2005 30-Apr-2014 31-Dec-2014 Comments As of September 2013, 43.95 km of farm roads have been improved through AF. Additional 17.6 Km of road is being rehabilitated, expected to be complete by December 2014. Adoption of new rice varieties Percentage Value 0.00 55.00 25.00 Date 30-Apr-2014 31-Dec-2014 Comments Preliminary report of the Current rice technology impact assessment survey adoption rate is 35% but indicates that the adoption practically 0 for drought rate of new rice varieties resistant varieties. The target has improved between 55% - refers to the overall adoption 65%, with few geogs reporting rate of drought resistant and 100% adoption rate. Detail improved varieties. impact assessment report will be available by end of May 2014. Replacement of maize seeds. Percentage Value 0.00 80.00 80.00 Date 30-Apr-2014 31-Dec-2014 Comments During the last season, 9 CSBP groups across the Public Disclosure Copy country produced over 45 MT of quality maize seeds out of which National Seed Centre (NSC) procured about 35 MT of seeds, and supplied them to the farmers. Similarly, National Maize program supplied about 8 MT of Chaskharpa/Shafangma Ashom to 4 Dzongkhags (Dagana, Trashi Yangtse, Page 4 of 6 The World Bank Report No: ISR14843 Tsirang & Zhemgang) in disease affected areas through support of the project, which fulfills the target of 80% Public Disclosure Copy seed replacement in disease affected areas. Production of potato basic seeds Percentage Value 875.00 700.00 Date 30-Apr-2014 31-Dec-2014 Comments 338 tons of basic seeds were produced in the last season (Jan-Feb 2012). 50.25 tons of seeds was distributed to farmers on a 1:1 return basis. With the increase in area (NSC farm) under cultivation and no. of contract farmers for seed production, the total production is expected to exceed the target. Data on Financial Performance (as of 20-Feb-2014) Financial Agreement(s) Key Dates Project Ln/Cr/Tf Status Approval Date Signing Date Effectiveness Date Original Closing Date Revised Closing Date P087150 IDA-40400 Closed 01-Mar-2005 24-Mar-2005 15-Apr-2005 30-Sep-2009 30-Dec-2013 P087150 TF-98827 Effective 21-Mar-2011 21-Mar-2011 26-Apr-2011 30-Dec-2013 31-Dec-2014 Disbursements (in Millions) Project Ln/Cr/Tf Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P087150 IDA-40400 Closed USD 7.00 7.00 0.00 7.11 0.00 102.00 P087150 TF-98827 Effective USD 5.00 5.00 0.00 4.93 0.07 99.00 Public Disclosure Copy Disbursement Graph Page 5 of 6 The World Bank Report No: ISR14843 Public Disclosure Copy Key Decisions Regarding Implementation With the project coming to an end in December 30, 2014, the Project Management Team (PMT) has been requested to give utmost priority to timely completion of outstanding activities. The PMT has therefore been advised to speed up implementation and urgently identify those items that can be procured within the project life, and initiate procurement. An assessment survey that records the exact project impact on the ground, is planned to be commissioned by June 2014. The details of the impact assessment report will feed into the Implementation Completion and Results Report (ICR) that would be due fairly soon after the project ends. Restructuring History Level two Approved on 21-Dec-2010, Level 2 CD Decision on 12-Dec-2013 Related Projects P124075-Additional Financing for the Decentralized Rural Development Project Public Disclosure Copy Page 6 of 6