ISDS THE WORLD BANK GROUP AWorfd Frce of Poverty InfoShop Integrated Safeguards Data Sheet (Updated) Date ISDS Prepared/Updated: 05/28/2002 24177 Section I - Basic Information May 28, 2002 A. Basic Project Data Country: BRAZIL Project ID: P058503 Project: Amazon Region Protected Areas (GEF) Task Team Leader: Claudia Sobrevila Authorized to Appraise Date: May 15, 2002 IBRD Amount ($m): Bank Approval: October 7, 2002 IDA Amount ($m): Managing Unit: LCSEN Sector: VY - Other Environment Lending Instrument: Specific Investment Loan (SIL) Status: Lending I.A.2. Project Objectives: The overall objective of the Amazon Region Protected Areas Program (ARPA) is to expand and consolidate protected areas (PAs) in the Amazon region of Brazil. The proposed project would be the first Phase of a 10 year ARPA program. The specific objectives of Phase #1 (the proposed project) are: (a) create 18 million hectares in new protected areas (9 million hectares of "strict protection" PAs and 9 million hectares of "sustainable use" PAs); (b) Consolidate 7 million hectares of existing "strict protection" PAs, in addition to 9 million hectares of the newly created "strict protection" PAs, (c) Establish and operate ani endowment fund for protected areas. (d) Establish a biodiversity monitoring and evaluation system at the PA and regional levels. I.A.3. Project Description: Component 1: Creation of New Protected Areas This component would finance jche creation of 18 millions hectares of new PAs (9 million hectares of "strict protection" PAs and 9 million hectares of "sustainable use" PAs). The areas will be created following strict selection criteria and participatory methodology described in details in the project document. The major activities under this component are: (a) the collection of biological, social and economic data in the Amazon Region in order to select new protected areas to be created based on existing information, databases and up-dated satellite images; (b) the preparation of studies, consultations and proposals for creating new PAs. These studies will include environmental and social studies carried locally, land tenure assessments, local consultations to present the proposal for the decrees and submitting the decree for publication; (c) the on-the-ground establishment of new PAs once they have been declared. This activity will include demarcation procedures, implementation of land tenure plans and land acquisition where needed, preparation of basic protection plans, construction of the minimum infrastructure and purchase of riinimal equipment and personnel training. It is expected that 10 new 2 ISDS protected areas would be established on the ground. The full implementation of these areas will be' part of Component 2. This component will be implemented by MMA, IBAMA, States/municipalities (for state or municipal PAs) and FUNBICI. Component 2: Consolidation (of Protected Areas This component will support acitivities in a minimum of 10 new "strict protection" PAs (approximately 9 million hectares) and 12 existing "strict protection" PAs (7 million hectares). The criteria for selection of these PAs included the following: absence of overlap with Indigenous Lands, ecological representation, geographical distribution, existence of potential partnerships with local NGOs, and degree of threat. The major activities to be supported include: a) demarcation and land regularizations, including land tenure assessments, baseline land registry surveys, ground surveys, private property infrastructure surveys, and mapping. A detailed land acquisition plan will be prepared and government funds will be used to finance land purchase where needed; b) basic protection activities, including infrastructure, equipment and core staff to secure services of protection and community outreach, before the preparation and implementation of management plans; c) preparation and implementation of a management plans (MPs) for new and existing PAs; d) community participation for the establishment and consolidation of PAs. The activities will include, the establishment and/or operation of PAs Councils and partnerships with 'NGOs for PA management, among others; e) training program to strengthen the administrative and financial management of PAs. IBAMA, the States and Municipalities (for state and municipal PAs) anid FUNBIO will be responsible for this component Component 3: Long Term Sustainability of Protected Areas This component will support the establishment of an Endowment Fund for the PA system in the Amazon region, the Protected Areas Fund (FAP). The main activities under this sub-component are: a) creation of an administrative, financial, and legal structure for FAP; b) support to recurrent costs of existing PAs; and c) fundraising strategy for capitalization of the FAP. The PAs of Strict Protection consolidated by the Project and that have clearly defined administrative needs can be supported with resources from FAP for covering recurrent costs. The PAs of sustainable use (Resex and RDS) will be eligible for receiving support from FAP for surveillance and enforcement activities in their intangible areas. Strict eligibility criteria for the protected areas that will enter the program have been set and will be part of an Operational Manual to be agreed before the project Grant is effective. In addition, this component will support the preparation of studies and sub-projects aimed at defining and testing adequate revenue-generating mechanisms for PA sustainability. A total of 10 sub-projects would be supported. FUNBIO will be responsible for the implementation of this component and the administration of FAP. Component 4: Protected Area Monitoring This component will support the establishment of a biodiversity monitoring system and analysis of new and existing PAs. The project monitoring would include information on: (a) biodiversity status (key indicator groups), (b) pressure on ecosystems (levels of threat), (c) water resources and climate, (d) island effect (levels of connectivity), and (e) management effectiveness. The monitoring system will target five existing PAs and will incorporate the newly created PAs as they are implemented. This component will support training activities for PA staff at ground level and central agencies (IBAMA and state environmental agencies) on data collection and implementation of the biodiversity monitoring system, as well as dissemination activities aimed at preparing local communities to access and to provide information relevant to PA monitoring. IBAMA and FUNBIO will be responsible for this component. 3 ISDS Component 5: Project Coordination and Management This component would support the overall coordination of the various components in MMA, IBAMA and FUNBIO and would ensure that the following management activities are carried out: (i) preparation of Annual Operating Plans; (ii) preparation of supervision reports or any request for information by donors or the Bank; (iii) monitoring and evaluation of project activities; (iv) financial management and accountability; and (v) assurance that subsidiary agreements and financial execution are carried out effectively. In addition, this component will support the operating costs of the various project committees. A summary of GEF financing of the project's components is presented below. Indicative GEF-financi % of Component Direct Costs % of ng GEF-financin (US$M) Total (US$M) g 1. Creation of new PAs 18.1 26% 4.7 26%Xo 2. Consolidation of existing PA's 25.0 37% 5.6 22% 3. Long term sustainability of PAs 16.6 25% 13.3 80% 4. Protected Area Monitoring 2.3 3% 2.1 91% 5. Project Coordination and 6.1 9% 4.3 70% Management. Total 68.1 100% 30.0 44% I.A.4. Project Location: (Geographic location, information 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 project is located in the Brazilian Amazon Region. The priority areas for creating new PAs were identified through a workshop organized by a consortium of NGOs, including Socio-Environmental Institute (ISA), the Amazon Working Group (GTA), the Institute for Man and Environment in the Amazon (IMAZON), the Institute for Environmental Research in the Amazon (IPAM) and the Institute for Society, Population and Nature (ISPN) that convened 226 participants representing the government, academic sector, civil society, grass root organizations and indigenous groups. Of the 23 ecoregions represented in the Amazon region, 9 ecoregions were selected as the priority areas for the first four years of the Project (Gurupa varzea, Madeira-Tapajos moist forests, Mato Grosso tropical dry forests, Negro-Branco moist forests, Rio Negro campinarana, Southwes Amazon moist forests, Tapajos-Xingu moist forests, Uatuma-Trombetas moist forests, Xingu-Tocantins-Araguaia mois forests). Within these ecoregions, potential polygons have been selected and will be further evaluated during implementation to ensure that new proposed protected areas aie ecologically and socially viable and sustainable. The priority areas to consolidate existing protected areas include: Parque Nacional Serra do Divisor, Parque Nacional Jau, Parque Nacional 'Virua, Parque Nacional Cabo Orange, Estacion Ecologica Juami-Japura, Reserva Biologica Tapirape, Reserva Biologica Trombetas, Reserva Biologica Jaru. B. Check Environmental Class.fication: B (Partial Assessment) 4 ISDS Comments: There is no major a(lverse environmental impacts expected as a result of this project. The Category B is designed to be entirely positive from an environmental standpoint, particularly because ARPA's main goal is to create and consolidate protected areas in the Amazon region. Despite the largely positive and neutral project environmental impacts, some sustainable use sub-projects in the buffer areas of the PAs will be screened for environmental safeguards before any investments are made. The borrower submitted an Environmental Annex on April 23, 2002 prior to appraisal. Key provisions of the Environmental Annex will be incorporated within the project's Operational Manual. C Safeguard Policies Trigered Policy Applicability Environmental Assessment (OP/BP/GP 4.01) Yes .No TBD Forestry (OP/GP 4.36) Yes No 3TBD Natural Habitats (OP/BP 4.04) Yes No 3 TBD Safety of Dams (OP/BP 4.37) Yes C No C TBD Pest Management (OP 4.09) Yes C No 3 TBD Involuntary Resettlement (OP/BP 4.12) l Yes C3 No 3 TBD Indigenous Peoples (OD 4.20) Yes 'UNo .TBD Cultural Property (OP 4.1 1) Yes K No l TBD Projects in Disputed Territories (OP/BP/GP 7.60)* 3 Yes 3 No . TBD Projects in International Waterways (OP/BP/GP 7.50) 3' Yes C No C TBD *By supporting the proposed project, the Bank does not intend to prejudice thefinal determination of the parties' claims on the disputed areas Section II - Key Safeguard Issues and Their Management D. Summary of Key Safeguard Issues. Please fill in all relevant questions. If information is not available, describe steps to be taken to ob ain necessary data. II.D.Ia. Describe any safeguard issues and impacts associated with the proposed project. Identify and describe any potential large scale, significant and/or irreversible impacts. The project triggers OP 4.01, but the impacts are not expected to be significant. Potential negative environmental impacts will tbe assessed by properly screening and monitoring sub-projects. See section B of this document. The project triggers OD 4.20 since the project is located in the Brazilian Amazon where the indigenous population is significant. Whenever implementation of the ARPA project has a significant direct or indirect impact on indigenous people, even if the impact is positive, the Indigenous Peoples Plan will be applied. The Government has submitted a draft Indigenous Plan on April 23, 2002 and it has been publicly disclosed on May I 'i, prior to appraisal. The Draft Plan ensures that, when creating new Protected Areas the project will undergo screening procedures to avoid overlap with Indigenous Lands or Claims. These detailed procedures would be incorporated in the Operational Manual. In addition, when PAs border Indigenous Land:3, the project will support, as part of the Management Plans of the PA, the development of activities to support the indigenous people living near the PAs. These activities will be prepared with their full participation and will be financed from other government sources such as the Rain Forest Pilot Program (PPG7). The Draft Plan will undergo further clarifications and a finalized version will be posted again prior to negotiations of the project. The project triggers OP 4.12. The National System of Conservation Units Law (SNUC, 2000) requires that people in three categories of protected areas be resettled. The Ministry of Environment is committed to building and consolidating a PA system without removing or disrupting their lives. In view of the 5 ISDS legislative framework, MMA. has submitted a Draft Resettlement Policy document that lays out the procedures that will be put in place under the project to deal with potential resettlements. These procedures are consistent wilh the World Bank's Resettlement Guidelines (OP4.12), even though MMA's policies will very likely make it unnecessary to have to apply a Resettlement Policy under this project. In addition, there might be a number of cases, where local populations might lose access to use and exploit natural resources to which they previously had access. Under these circumstances, a Draft Process Framework (which is part of the Draft Resettlement Policy document) has submitted by the Governement and the procedures laid out in the document would be applied to mitigate and compensate the loss in access to natural resources use. The draft Resettlement Policy and Process Framework consistent with the Bank's guidelines has been submitted by the Government on April 15, 2002 and has been publicly disclosed on May 15, 2002. This Draft Policy will undergo a few clarifications and a finalized version will be posted again prior to negotiations of the project. II.D. I b. Describe any potential cumulative impacts due to application of more than one safeguard policy or due to multiple project component. None I1.D. I c Describe any potential long term impacts due to anticipated future activities in the project area. None II.D.2. In light of 1, describe the proposed treatment of alternatives (if required) Not required II.D.3. Describe arrangement for the borrower to address safeguard issues Environmental safeguard: IBAMA or the State Environmental agency depending on whether it is a federal or state PA will screen for the environmental impact of the sub-projects in the buffer areas of PAs under component 2, before they go to the Project Committee for final approval. The screening will be done against a predefined list of'eligible activities. It is worth mentioning that the Management Plans that will be required include a zoning plan that takes into account the ecological fragility and biological importance of different zones within the PA and the uses that are permitted within each zone. IBAMA or the state environmental agency will also ensure that the proposed sustainable use activities adhere to the zoning proposal. Finally, no roads will be built in the PAs with any of the project funds. Because FUNBIO will be supporting the implementation of pilot sub-projects under component 3, FUNBIO will be responsible for the screening of any of the environmental impacts of the proposals for sustainable use activities, following the same mechanism described above. Indigenous Peoples Plan. A Project Committee and a Conflict Meditation Committee (CMC) will be established and will operate under the Ministry of Environment to oversee that the Indigenous Plan is implemented. The purposes of the CMC is to assist the project's executive coordination in the following issues: (i) negotiate and propose potential solutions to social and indigenous people issues related to the creation and implementation of protected areas, (ii) act as a forum to discuss and resolve issues related to traditional and indigenous popullations inside and outside existing protected areas of strict protection. This core group will be constituted by the project coordinator representing MMA and representatives from FUNAI, IBAMA (CNPT and DIREC) and INCRA. The detailed functions and operational guidelines for the CMC will be presented in the Project Operational Manual. In addition, the Ministry of Environment will sign an agreernent with the National Foundation for Indigenous Affairs (FUNAI) that will dictate the implementation of the relevant Indigenous People Plan that is an integral part of ARPA. Resettlement Policy Framework and Process Framework. The Project Committee and the CMC will 6 ISDS oversee all aspects of the project, including the application of the Resettlement Policy agreed with the government. In addition, if aspects of this policy apply to traditional communities, IBAMA will carry out the activities agreed. If other inhabitants need to be considered, then INCRA through an agreement with MMA satisfactory to the Bank will oversee that the procedures in the Resettlement policy are applied. 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. During preparation, the project has been framed as a collaborative effort among stakeholders. An Advisory Committee has been operating since earlier stages of preparation to oversee project design. The Committee comprises MMA, IBAMA, WWF, FUNBIO and social NGOs, National Council of Rubber Tappers (CNS) and Amazon Working Group (GTA). In addition, NGOs have been consulted during this initial organizing phase and include Funatura, USAID, Institute for Society, Population and Nature (ISPN), the Nature Conservancy (TNC), the British council, GTZ, PNUD, and Socio Environmental Institute (ISA). MMA sponsored a key social forum, the Macapa Workshop, to establish priority areas for Amazonian biodiversity conservation and to identify actions supporting regional sustainable development. The Workshop was attended by a cross section of community, NGO, indigenous, private sector, governmental and environmental specialist stakeholders. Workshop results underpin the ongoing PA selection process. The project itself is also being framed as a highly collaborative and participatory exercise to ensure ownership of beneficiaries and stakeholders and facilitate efficient implementation. Participation of stakeholders is programmed in each of the five components as summarized below. ARPA has been discussed more widely over the last two years. The proposal has been submitted for comments to Social Organizations in the Amazon (GTA, CNS, CONTAG, COIAB and ASMUBIP) and to FUNBIO's Board who has a broad NGO representation. Other participatory processes have taken place since the early phase of project development and help test the procedures for continued public consultation during project implementation. Two workshops were organized, one in Rond6nia and one in Roraima financed by the WWF/WB Alliance program to create a set of new areas and develop a methodology for public consultation during project implementation. These workshops were carried out in October and November 2000. One case study involved the creation of an indirect use area (Park) and of two extractive reserves in Costa Marques, Rond6nia. The second case study involved the preparatory workshop for the consolidation of a mosaic of protected areas of indirect use (parks and ecological stations) in Caracarai, Roraima. In both cases, the methodology was assessed by a variety of actors and found appropriate for the proposed objectives of ARPA. The project documentation has an annex that describes the participatory methodology to be used under ARPA that was based on the result of these workshops. The government recently gave one additional seats to social NGOs in the Project Committee. The PC that will operate during project implementation has 6 government (SECEX/MMA, SCA/MMA, SBF/MMA, IBAMA State Forum of Secretaries of Environment of the Amazon Region and Municipalities) and 6 from civil society (2 social NGO, 2 environmental NGOs and I FUNBIO and I donor). E. Safeguards Classiflcation. Category is determined by the highest impact in any policy. Or on basis of cumulative impacts from 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 7 ISDS in management of one or more safeguard areas [X] S2. - One or more safeguardi 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 Not Available 4/23/2002 Date of "in-country" disclosure Not Available 5/15/2002 Date of submission to InfoShop Not Available 5/15/2002 Date of distributing the Exec. Summary of the EA to the ED (For category A projects) Resettlement Action Plan/Framework. Expected Actual Date of receipt by the Bank Not Available 4/15/2002 Date of "in-country" disclosure Not Available 5/15/2002 Date of submission to InfoShop Not Available 5/15/2002 Indigenous Peoples Development Plan/Framework: Expected Actual Date of receipt by the Bank Not Available 4/23/2002 Date of "in-country" disclosure Not Available 5/15/2002 Date of submission to InfoShop Not Available 5/15/2002 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 cf the above documents is not expected, please explain why. Signed and submitted by Name Date Task Team Leader: Claudia Sobrevila May 14, 2002 Project Safeguards Specialists 1: Daniel R. Gross/Person/World Bank May 14, 2002 Project Safeguards Specialists 2.: Judith M. Lisansky/Person/World Bank May 14, 2002 Project Safeguards Specialists 3: Approved by: Name Date Regional Safeguards Coordinator: Juan D. Quintero May 14, 2002 Sector Manager/Director: John Redwood May 14, 2002 For a list of World Bank news releases on projects and reports, click here -H ----- - -' ACK r$HTbIAP 5HOWCASE