AC431 Integrated Safeguards Data Sheet (Updated) Section I - Basic Information Date ISDS Prepared/Updated: 11/14/2003 A. Basic Project Data ai-oni PDS) I.A.l. Project Statistics Country: CHINA Project ID: P075035 Project: Hai Basin Integrated Water and Environment Task Team Leader: Douglas C. Olson Management Project Authorized to Appraise Date: September 10, 2003 IBRD Amount ($m): Bank Approval: April 15, 2004 IDA Amount ($m): Global Supplemental Amount (Sm): 17.00 Managing Unit: EASRD Sector: General water, sanitation and flood protection Lending Instrument: Specific Investment Loan (SIL) sector (50%); Irrigation and drainage (50%) Status: GEF Grant Theme: Water resource management (P); Environmental policies and institutions (P); Pollution management and environmental health (P) I.A.2. Project Objectives (From PDS): The overall objective is to catalyze an integrated approach to water resource management and pollution control in the Hai River Basin in order to improve the Bohai Sea environment. Specifically, the Project will (i) improve integrated water and environment planning and management in the Hai Basin, (ii) support institutional aspects related to effective local, municipal/provincial, and basin-wide water and environment planning and management, (iii) enhance capacity building in water and environment knowledge management and implementation, and (iv) reduce wastewater discharges from small cities along the rim of the Bohai Sea. The Project is intended to demonstrate new technologies and management approaches, with the lessons learned applied throughout the Hai Basin and other basins boarding the Bohai and Yellow Seas. I.A.3. Project Description (From PDS): The Project will support the development of top-down and bottom-up mechanisms for integrated water and enviromnent management in the Hai Basin, based to the extent possible on existing institutional mechanisms. The Project will also promote development of new coordination mechanisms at all levels that will adopt practical and pragmatic methods to overcome current institutional barriers to integrated water and environment management. The key aspect is that the Project needs to have maximum incorporation of horizontal and vertical integration. Horizontal integration includes cross-sectoral cooperation and coordination of actions between water resources and environmental protection ministries/bureaus, as well as others including agriculture and construction ministries/bureaus. Vertical integration includes direct linking and constant interaction between the Central and Hai Basin component activities and the smaller jurisdictions of ZhangWeiNan subbasin, Tianjin municipality, and Beijing/Hebei counties components. The Project will be implemented in two phases. The two phased approach will permit a process of good planning followed by specific actions to affect real change. Parallel demonstration projects will test and demonstrate high priority actions that are clearly needed throughout the basin. The proposed Project includes four components: Component 1: Integrated Water and Environment Management (US$14.30). The Integrated Water and Environment Management (IWEM) will be divided into 3 subcomponents: (a) Strategic Studies at the central and Hai Basin levels; (b) integrated water and environment management planing; and (c) demonstration projects. All three of these subcomponents are very closely interrelated. The strategic studies would support and provide guidance to IWEM Plans (IWEMPs) and to the demonstration projects. 2 ISDS The demonstration projects would provide important practical input into the IWEMPs. There would be constant interaction between these subcomponents to ensure that they are all working together in an integrated manner. Component 2: Knowledge Management (US$6.51). The Knowledge Management (K1M) component will have 2 subcomponents: (a) KM Development; and (b) Remote Sensing and Evapotranspiration (ET) management systems. These subcomponents are very interrelated and need to be prepared and implemented in a coordinated manner. KM is the technical basis through which the Project will be implemented and all KM activities at all levels are grouped together in this component. Further, to ensure that this remains a needs-driven and not technology-driven component, significant attention will be given to the management of the component. Component 3: Tianjin Coastal Wastewater Management (IJS$4.75). The component would assist Tianjin address a set of critical water pollution control issues in the coastal area, particularly for activities closely related to the Second Tianjin Urban Enviromnent and Development Project (TUDEP2 - FY03), which directly provides an additional US$98.25 through associated parallel financing to this component. A Coastal Wastewater Management Study will cover institutional, financial, and technical studies for wastewater management programs. The Dagu Technical Assistance activity would assist the TUDEP2 on technical aspects related to the renovation and remediation of the 83 km-long Dagu Canal system which has served as the main wastewater canal for Tianjin City for fouir decades and which discharges directly into the Bohai Sea. The Dagu Catchment Industrial Pollution Control program will support an industrial pollution control and pre-treatment study, and improve monitoring and enforcement of discharges into Dagu canal. Control of industrial pollution is essential for the successful renovation of Dagu canal, and the proper operation of municipal collection and treatment systems. A Small Cities Financial Incentives program will be established to assist cities in meeting their financial obligations. Instead of providing construction subsidies, the basic concept is to provide output based aide to small cities during the early years of their service agreements with wastewater treatment companies. In order to receive these subsidies, however, the small cities must demonstrate they have: i) a functional wastewater treatment plant, ii) plans to develop a comprehensive collection system network; and iii) a comprehensive industrial pollution pre-treatment program within the network collection area. Component 4: Project Management, Monitoring and Evaluation, and Training (US$6.18). Hai Basin Project management would support coordinated and integrated actions by the Ministries/Bureaus of environmental protection and water resouirces at the various levels. All Project Management Offices (PMOs) would have Joint Expert Groups to assist the PMOs in coordination, review, supervision and in some cases execution of technical activities under the Project. The Central PMOs would be supported by an international expert panel with broad experience in water quality and quantity management, water and environment planning and knowledge management. The PMOs will also arrange international and domestic study tours and international and domestic training on a variety of topics related to IWEM, river basin management, knowledge management, "real" water savings and ET management, pollution control, water rights and well permits, wastewater treatment, wastewater canal clean up, wastewater reuse, ecological restoration, etc. The Project will also support PMO operations, monitoring and evaluation and other project management aspects mainly through counterpart funding. I.A.4. Project Location: (Geographic location, infoniation about the key environmental and social characteristics of the area and population likely to be affected, and proximity to any protected areas, or sites or critical natural habitats, or any other culturally or socially sensitive areas.) The Hai Basin is one of the most important basins draining into the Bo Hai Sea. Hosting the nation's capital, the basin plays a critical role in China's political, economic, and cultural activities. Industry and 3 ISDS agriculture are developed in the basin, and except for the water constraint there is significant potential for future development. Spread over four provinces: Hebei, Henan, Shandong, and Shanxi, and the municipalities of Beijing and Tianjin, the Basin is home to 117 million people and accounts for 15% of China's GNP. The Hai Basin includes the Hai River system, Luan River system and the rivers in the coastal area of Eastem Hebei. The Hai River system has a drainage area of approximately 320,000 km2. The Hai Basin is a Chinese hydrographic unit which includes the Hai river system, and a number of smaller river systems to the north and south which also drain into the Bo Hai Sea. These smaller systems are interconnected witlh the Hai river system through a system of canals. The Hai Basin is one of the most water stressed and polluted basins in China, and discharges directly into the globally significant Bo Hai Sea. B. Check Environmental Classification: C (Not Required) Comments: Although the Project has been determined to be a Category C, because the small civil works could have very limited enviromnental impacts, an Environmental Assessment (EA), an Environmental Management Plan (EMP), and a Resettlement Policy Framework (RPF) has been prepared, in order to ensure that any such impacts would be avoided, minimized, or mitigated. C. Safeguard Policies Triggered qi*om PDS) (click on 1l for a detailed desciption or click on the policy number for a brief description) Policy Triggered Environmental Assessment (OP 4.01, BP 4.01, GP 4.01) 0 Yes 0 No Natural Habitats (OP 4.04, BP 4.04, GP 4.04) 0 Yes 0 No Forestry (OP 4.36, GP 4.36) 0 Yes * No Pest Management (OP 4.09) 0 Yes 0 No Cultural Property (OPN 11.03) 0 Yes 0 No Indigenous Peoples (OD 4.20) 0 Yes 0 No Involuntary Resettlement (OP/BP 4.12) * Yes 0 No Safety of Dams (OP 4.37, BP 4.37) 0 Yes * No Projects in International Waters (OP 7.50, BP 7.50, GP 7.50) 0 Yes 0 No Projects in Disputed Areas (OP 7.60, BP 7.60, GP 7.60)* 0 Yes * No Section II - Key Safeguard Issues and Their Management D. Suntmary of Key Safeguard Issues. Pleasefill in all relevant questions. If information is not available, describe steps to be taken to obtain necessary data. II.D. 1a. Describe any safeguard issues and impacts associated with the proposed project. Identify and describe any potential large scale, significant and/or irreversible impacts. Specific actions to be included in the Demonstration Projects and IWEMPs, both under component 1, will be defined during the first and second year of project implementation. It is not possible at this time to specifically determine what these actions will be, but their overall purpose will be to improve water and enviromnent management in the counties where they will be implemented. The TORs for the IWEMPs and the demonstration project will require that altematives are evaluated in terms of economic, environmental, and social considerations with extensive stakeholder participation. These actions will include some small works for activities such as installation of measuring devices and monitoring stations, onfarm irrigation system improvements, land leveling, changes in agriculture practices, groundwater 4 ISDS recharge, wells, wastewater collection and treatment, and environmental restoration. Even though these activities are not likely to lead to significant negative environmental issues, an EA and an EMP, that addresses steps that will be taken to ensure that adequate environmental protection and mitigation measures are taken during the design and implementation of these works, has been prepared. Resettlement and land acquisition is also not anticipated under the Project. However, in case such resettlement or land acquisition would occur during Project implementation, the RPF that has been prepared would apply. The Small Cities Financial Incentives Programn under Component 3 (Tianjin Coastal Wastewater Management), will provide post-construction financial support to any eligible coastal small city in Tianjin that demonstrates reduction of pollution into the Bohai Sea, including those financed under TUDEP2. The Incentives Program will be carried out in accordance with an Operational Manual that is acceptable to the Bank and will define procedures and eligibility criteria, including environmental and resettlement aspects. No disbursements will be made until an Operational Manual has been prepared that is acceptable to the Bank, which will include environmental and resettlement criteria. The Project will further provide technical assistance for activities related to the TUDEP2, such as Dagu Canal rehabilitation and Small Cities wastewater management. For Small Cities wastewater treatment plants financed under TUDEP2, the enviromental and resettlement requirements will be covered under the EA, the EMP, and the RPF of TUDEP2. Enviromnental and resettlement requirements for other Small City wastewater treatment plants, not financed under TUDEP2, that apply for the Incentives Program will be covered under the Project EA, the EMP, and RPF. II.D. lb. Describe any potential cumulative impacts due to application of more than one safeguard policy or due to multiple project component. Significant potential cumulative negative impacts are not expected from the Project. II.D. lc Describe any potential long term impacts due to anticipated future activities in the project area. No potential adverse long termn negative impacts are expected from the Project. II.D.2. In light of 1, describe the proposed treatnent of altematives (if required) Not required. II.D.3. Describe arrangement for the borrower to address safeguard issues a) Re. Environmental Assessment (OP/BP/GP 4.01). To ensure the Project's compliance with Bank safeguard policies an EA and EMP was prepared to address potential environmental issues under component 1 and 3 (see II.D.l.a). b) Re. Involuntary Resettlement (OP/BP 4.12). It is not anticipated that the Project will finance activities resulting in involuntary resettlement or land acquisition, but in the event that during Project implementation it would be detennined that limited involuntary resettlement or land acquisition would result from the envisaged activities, a RPF was prepared. c) Re. Public Disclosure (BP 17.50). The Bank's disclosure policy (effective January 1, 2002) which states that the environment and social documents are to be individually disclosed locally and in the InfoShop has been followed. II.D.4. Identify the key stakeholders and describe the mechanisms for consultation and disclosure on safeguard policies, with an emphasis on potentially affected people. The key stakeholders of the Project would be fanners, farmer associations and cooperatives, water users 5 ISDS and polluters, all Project implementing entities, existing political/administrative entities (townships, counties, prefectures, municipalities, provinces, ministries) including their respective technical/administrative bureaus (water, environmental protection, agriculture, construction, etc.), and the entities with direct line responsibility for management, community based organizations and other related organizations. During Project preparation, a detailed consultation process was undertaken in two of the Project pilot counties that are representative of typical plain area and mountain area counties. This consultation involved identification of water resources, water environment, agriculture and income aspects. A specific problems analysis of water and environment conditions was undertaken in these counties and potential solutions were discussed with stakeholders. This consultation and problems analysis is illustrative of what will be done in each IWEMP county during the initial stages of IWEMP preparation. During the initial phase of Project implementation, IWEMPs for about 10 counties, the Tianjin Municipality, and a key subbasin (ZhangWeiNan) will be prepared and Demonstration Projects will be designed in detail. These activities will include consultation with these stakeholders through surveys and working sessions to ensure their adequate involvement and input. The TORs for these IWEMPs and Demonstration Projects include requirements for consultation and participation. Implementation of the IWEMPs and Demonstration Projects will also require significant participation, which will be defined in the IWEMPs and design of the Demonstration Projects. The IWEMPs will be designed to take into account all the different water uses and the entire range of threats to water quality including point and diffuse pollution sources. Farmers associations and cooperatives, as well as business and social groups will be consulted as a part of IWEMP preparation during the first phase of Project implementation. Mechanisms for their participation during IWEMP implementation will be defined in the IWEMPs. To the extent possible fanner Water User Associations (WUAs) will be established to facilitate preparation and implementation of the irrigated agriculture aspects of IWEMPs. The Chinese Government has provided assurances that wide stakeholder involvement will be promoted under particularly the IWEMP and Demonstration Projects sub-components. The TORs being prepared for these activities specifically address detailed needs for stakeholder involvement and adequate resources have been included in the IWEMP and Demonstration Projects budgets to cover these costs. E. Safeguards Classifieation (select in SAP). Category is determined by the highest impact in any policy. Or on basis of cumulative impacts fi-om multiple safeguards. Whenever an individual safeguard policy is triggered the provisions of that policy apply. [ ] SI. - Significant, cumulative and/or irreversible impacts; or significant technical and institutional risks in management of one or more safeguard areas [X] S2. - One or more safeguard policies are triggered, but effects are limited in their impact and are technically and institutionally manageable [ S3. - No safeguard issues [] SF. - Financial intermediary projects, social development funds, community driven development or similar projects which require a safeguard framework or programmatic approach to address safeguard issues. F. Disclosure Requirements Environmental Assessment/Analysis/Management Plan: Expected Actual Date of receipt by the Bank 11/7/2003 6 ISDS Date of "in-country" disclosure 11/5/2003 Date of submission to InfoShop 11/14/2003 Date of distributing the Exec. Summary of the EA to the Executive Not Applicable Not Applicable Directors (For category A projects) Resettlement Action Plan/.Framework: Expected Actual Date of receipt by the Bank 11/7/2003 Date of "in-country" disclosure 11/5/2003 Date of submission to InfoShop 11/14/2003 Indigenous Peoples Developmnent Plan/Framework: Expected Actual Date of receipt by the Bank Not Applicable Not Applicable Date of "in-country" disclosure Not Applicable Not Applicable Date of submission to InfoShop Not Applicable Not Applicable Pest Management Plan: Expected Actual Date of receipt by the Bank Not Applicable Not Applicable Date of "in-country" disclosure Not Applicable Not Applicable Date of submission to InfoShop Not Applicable Not Applicable Dam Safety Management Plan: Expected Actual Date of receipt by the Bank Not Applicable Not Applicable Date of "in-country" disclosure Not Applicable Not Applicable Date of submission to InfoShop Not Applicable Not Applicable If in-country disclosure of any of the above documents is not expected, please explain why. Si2ned and submitted by Name Date Task Team Leader: Douglas C. Olson 11/06/2003 Project Safeguards Specialists 1: Glenn S. Morgan/Person/World Bank 11/14/2003 Project Safeguards Specialists 2: Chaohua Zhang/Person/World Bank 11/11/2003 Project Safeguards Specialists 3: Approved by: Name Date Regional Safeguards Coordiniator: Glenn S. Morgan 11/14/2003 Comments Regional Safeguards Sector Director: Maria Teresa Serra 11/14/2003 Sector Manager/Director Mark D. Wilson 11/10/2003