The World Bank NATURAL RESOURCES MANAGEMENT IN A CHANGING CLIMATE IN MALI (P145799) REPORT NO.: RES36180 DOCUMENT OF THE WORLD BANK RESTRUCTURING PAPER ON A PROPOSED PROJECT RESTRUCTURING OF NATURAL RESOURCES MANAGEMENT IN A CHANGING CLIMATE IN MALI APPROVED ON DECEMBER 6, 2013 TO MINISTRY OF ENVIRONMENT, WATER AND SANITATION ENVIRONMENT & NATURAL RESOURCES AFRICA Regional Vice President: Hafez M. H. Ghanem Country Director: Soukeyna Kane Senior Global Practice Director: Karin Erika Kemper Practice Manager/Manager: Maria Sarraf Task Team Leader: Emeran Serge M. Menang Evouna The World Bank NATURAL RESOURCES MANAGEMENT IN A CHANGING CLIMATE IN MALI (P145799) I. BASIC DATA Product Information Project ID Financing Instrument P145799 Investment Project Financing Original EA Category Current EA Category Partial Assessment (B) Partial Assessment (B) Approval Date Current Closing Date 06-Dec-2013 30-Sep-2019 Organizations Borrower Responsible Agency Agence de l'Environnement et du Developpement Ministry of Environment, Water and Sanitation Durable - AEDD Project Development Objective (PDO) Original PDO The Project Development Objective is to expand the adoption of sustainable land and water management practices in the target area in Mali. Summary Status of Financing Net Ln/Cr/Tf Approval Signing Effectiveness Closing Commitment Disbursed Undisbursed IDA-H8900 06-Dec-2013 23-Dec-2013 24-Mar-2014 30-Sep-2019 12.00 10.27 .81 TF-16288 23-Dec-2013 23-Dec-2013 24-Mar-2014 30-Sep-2019 6.57 5.88 .69 TF-16307 23-Dec-2013 23-Dec-2013 24-Mar-2014 30-Sep-2019 1.85 1.67 .18 Policy Waiver(s) Does this restructuring trigger the need for any policy waiver(s)? No The World Bank NATURAL RESOURCES MANAGEMENT IN A CHANGING CLIMATE IN MALI (P145799) I. SUMMARY OF PROJECT STATUS AND PROPOSED CHANGES The Natural Resources Management in a Changing Climate Project Development Objective is to expand the adoption of sustainable land and water management practices in the target areas in Mali. The total financing amount (IDA, GEF and LDCF) is US$20.42 million, of which a US$12 million grant from IDA, a US$6.57 million grant from GEF and a US$1.85 million grant from the Least Developed Countries Fund (LDCF). The Government of Mali contribution is approximately US$1 million. Since the last level 2 restructuring that was completed in July 2018, project implementation has improved, including disbursement (currently 91% of IDA funds and 86% for GEF). As per the last ISR, the project is rated Moderately Satisfactory for both DO and IP. Four out of five PDO indicators targets are currently on track. The indicator target related to changes in vegetation covers in targeted areas remains low.The project's overall safeguards performance rating is Moderately Satisfactory. No outstanding complaint was reported. The project is in compliance with the submission of the external audits reports. The implementation of the livelihood activities remains the most visible and effective component of the project at the local level. Most of the activities that are implemented are those proposed by local community representatives. To date, 658 sub-grants (both communities and individual) have been signed of which 237 were dedicated to women. All sub-grants have been completed and the PIU is collecting data to draw lessons. The technical agencies (NGOs) which were hired by the PIU to provide technical support to sub-grant beneficiaries have prepared their respective completion reports. The information provided in these reports will be considered by the PIU during the preparation of the project completion report. The PIU is under a strong leadership and the coordination between the implementing agencies continues to be satisfactory. All governmental implementing agencies (DNEF, DNA, DNPIA, Meteo Mali and AEDD) continue to be committed. With the volatile security situation in the Center and the North of the country, field supervision continues to be limited. Rationale for restructuring After the Mid term review, the Government requested a level 2 restructuring that was expected to include the: (i) revision of PDO and intermediate indicators without modifying the PDO itself; (ii) revision of some indicator target values; (iii) change in component costs; (iv) reallocation between the disbursement categories; (v) increase of the livelihood activities threshold from CFAF 10 million to CFAF 15 million; and (vi) increase in the number of communes involved in project implementation. Unfortunately, while the Government was notified about the completion of the restructuring process, the team discovered in collaboration with the client and the disbursement department that the disbursement categories figures in the final package were not correct. It was therefore agreed with the Government during the implementation support mission in December 2018 to revise the reallocation tables and submit a reallocation request. The Government sent this request on February 4, 2019. The revision of these figures remain the main rationale of this restructuring to ensure a smooth project completion. The World Bank NATURAL RESOURCES MANAGEMENT IN A CHANGING CLIMATE IN MALI (P145799) The components costs were revised according to the need of adjustment expressed by the PIU, taking into consideration the implementing entities capacities and the new needs. As revealed during the midterm review and confirmed during the following implementation support missions, the weak operational resource allocation during the project design reduced the mobilization capacity of the staff of the implementing agencies. The increase of operational resources under category 5D for the GEF and LDCF Grants and for category 6D of the IDA Grant aims to: support the improvement of working conditions for field staff that are key to project implementation; support the operationalization of regional steering committees; increase the number of the PIU staff field visits; improve the monitoring and evaluation project activities; and support the additional technical support that is needed with the PIU (Procurement consultant, Accounting firm, a Natural resource consultant, etc.) and PIU staff trainings. The other categories were adjusted to balance the increase of funds in categories 5 D for the GEF and LDCF Grants and Category 6D for the IDA Grant. The revised operating costs will still be about 5% of the total project cost which is within the norms for such a project. II. DETAILED CHANGES REALLOCATION BETWEEN DISBURSEMENT CATEGORIES Current Current Actuals + Proposed Disbursement % Ln/Cr/TF Expenditure Allocation Committed Allocation (Type Total) Category Current Proposed IDA-H8900- GD, WRK, NCS, 1,890,400.00 925,597.57 1,069,103.00 59.67 59.67 001 CS, TR PART A Currency: GD, WRK, NCS, XDR CS, OP COST 1,330,000.00 1,328,792.34 1,537,750.00 28.33 28.33 PART B SUB GRANTS 2,500,000.00 2,427,496.05 2,436,725.00 69.22 69.22 PART C GD, NCS, CONSULT, OP 800,000.00 800,061.79 997,060.00 100.00 100.00 COST PART C OP COST, GD, NCS, CS, TR 490,000.00 439,456.58 581,285.00 72.78 72.78 PART D.1 OC/GD/NCS/CS/ TR PART 222,400.00 206,095.43 207,500.00 75.28 75.28 D.2/YEAR 1 The World Bank NATURAL RESOURCES MANAGEMENT IN A CHANGING CLIMATE IN MALI (P145799) OC/GD/NCS/CS/ TR PART 222,400.00 212,830.93 213,108.00 75.28 75.28 D.2/YEAR 2 OC/GD/NCS/CS/ TR PART 222,400.00 117,387.56 117,721.00 75.28 75.28 D.2/YEAR 3 OC/GD/NCS/CS/ TR PART 222,400.00 218,171.36 739,748.00 75.28 75.28 D.2/YEAR 4 Total 7,900,000.00 6,675,889.61 7,900,000.00 TF-16288- GD,WK,NCS,CS,T 759,259.00 328,467.30 390,000.00 15.64 15.64 001 R PART A Currency: GD,WK,NCS,CS, USD 4,296,111.00 3,784,374.00 4,580,000.00 60.91 60.91 OP PART B SUB-GRANT 1,190,000.00 1,048,904.29 1,057,000.00 21.68 21.68 PART C OP,GD,NCS,CS,T 208,704.00 102,264.37 243,000.00 20.18 20.18 R PART D1 OP,GD,NCS,CS,T R PART D2 FIRST 30,000.00 0.00 573.00 6.74 6.74 YEAR OP,GD,NCS,CS,T R PART D2 2ND 30,000.00 29,370.85 29,371.00 6.74 6.74 YEAR OP,GD,NCS,CS,T R PART D2 3RD 30,000.00 13,827.50 13,830.00 6.74 6.74 YEAR OP,GD,NCS,CS,T R PART D2 4TH 30,000.00 29,656.50 260,300.00 6.74 6.74 YEAR Total 6,574,074.00 5,336,864.81 6,574,074.00 TF-16307- GD,WK,NCS,CS,T 500,000.00 227,665.94 260,000.00 10.29 10.29 001 R PART A Currency: GD,WK,NCS,CS, USD 759,259.00 707,517.84 808,000.00 10.76 10.76 OP PART B SUB-GRANT 500,000.00 405,831.08 442,000.00 9.10 9.10 PART C The World Bank NATURAL RESOURCES MANAGEMENT IN A CHANGING CLIMATE IN MALI (P145799) OP,GD,NCS,CS,T 72,592.00 35,496.47 192,000.00 7.04 7.04 R PART D1 OP,GD,NCS,CS,T R PART D2 FIRST 5,000.00 0.00 346.00 1.12 1.12 YEAR OP,GD,NCS,CS,T R PART D2 2ND 5,000.00 4,869.09 5,021.00 1.12 1.12 YEAR OP,GD,NCS,CS,T R PART D2 3RD 5,000.00 4,062.73 4,234.00 1.12 1.12 YEAR OP,GD,NCS,CS,T R PART D2 4TH 5,000.00 4,681.88 140,250.00 1.12 1.12 YEAR Total 1,851,851.00 1,390,125.03 1,851,851.00