Page 1 INTEGRATED SAFEGUARDS DATASHEET APPRAISAL STAGE I. Basic Information Date prepared/updated: 02/02/2011 Report No.: AC5817 1. Basic Project Data Country: Djibouti Project ID: P117355 Project Name: DJ-Rural Community Development & Water Mobilization / PRODERMO Task Team Leader: Garry Charlier Estimated Appraisal Date: February 4, 2011 Estimated Board Date: April 19, 2011 Managing Unit: MNSSD Lending Instrument: Specific Investment Loan Sector: Irrigation and drainage (30%);Agricultural extension and research (30%);Animal production (30%);Flood protection (10%) Theme: Rural services and infrastructure (50%);Water resource management (30%);Climate change (20%) IBRD Amount (US$m.): 0.00 IDA Amount (US$m.): 5.83 GEF Amount (US$m.): 0.00 PCF Amount (US$m.): 0.00 Other financing amounts by source: BORROWER/RECIPIENT 0.30 0.30 Environmental Category: B - Partial Assessment Simplified Processing Simple [] Repeater [] Is this project processed under OP 8.50 (Emergency Recovery) or OP 8.00 (Rapid Response to Crises and Emergencies) Yes [ ] No [X] 2. Project Objectives The Project Development Objectives (PDOs) are to increase access to water by rural communities and enhance their capacity to manage water and agro-pastoral resources in the project areas using a participatory approach to community based development. 3. Project Description Project design and innovations. To achieve its PDOs, the project will implement several actions aiming at: (i) mobilizing surface and ground water for human consumption as well as for small scale community agricultural and livestock production activities to enhance the resilience of rural households to climate uncertainty, particularly droughts; (ii) enhancing the production and added value of agricultural and livestock activities of rural communities around water points; and (iii) strengthening the organizational, technical and management capacity at the community level as well as the capacity of local, regional and national authorities. The project is based on a participatory planning and implementation approach allowing beneficiary communities to select small Page 2 investment subprojects based on their needs and to implement them at their own pace, in consultation with local and regional authorities and partners. Component 1. Community Investment Subprojects (total cost US$ 3.8 million or 62% of total project cost). This component would include funding of small-scale community investments in the following sub-categories: (1.1) water mobilization and soil erosion subprojects, which would cover the rehabilitation or construction of small water- collection structures (cisterns, excavation ponds, borehole wells and drilling wells) for drinking water, livestock and agriculture, as well as soil and water conservation activities to protect water structures and to enhance vegetation regeneration around these structures; and (1.2) agricultural, livestock and community development subprojects, which could include rangeland development (through set-aside, re-seeding and shrub planting), improving livestock production, and supporting income-generating activities such as fisheries, handicrafts, etc. Component 2. Capacity Building and Technical Assistance (total cost US$ 0.8 million or 13% of total project cost). The objective of this component is: (i) to develop the capacities of local communities to participate in the decision making process, and planning, selection, implementation, operation, and maintenance of community investments; and (ii) to enable the MAEM-RH to promote community participation by providing the necessary technical and methodological support, thereby securing the sustainability of community investments. Capacity building and technical assistance would be supported at the following levels: (i) Capacity of local communities, consisting of the establishment of a participatory process for community development, including the composition of Local Development Committees (CPLs) and the preparation and approval of Planning Schemes to be revised and updated on a yearly basis to reflect the actual needs of communities. The component would also finance targeted technical training in the maintenance of water mobilization works, sustainable management of water and agro-pastoral resources, irrigation and crop production techniques, and in community organization (a total of 50 local training session have been budgeted for); (ii) Capacity of the MAEM-RH, including the training of its technical staff at the national and regional office levels in the area of participatory community based development, integrated water resource management, agronomy, and fisheries among others. This will be supplemented by exchange visits and study tours; (iii) Evaluations and studies for future activities, including hydro-geological studies for one or two priority zones in each of the two regions, a detailed socioeconomic assessment of targeted areas and a future intervention plan, in order to better assess agro- pastoral and water resource potentials and integrate results and monitoring within a framework of sustainable use to inform future projects. Component 3: Project Coordination and Management (total cost US$ 1.5 million or 25% of total project cost). This component would cover incremental cost associated with project operation and management including personnel costs, office operations, domestic travel, etc. It will also cover the costs of establishing and operating a monitoring and evaluation system for the project and the preparation of regular audits: Page 3 (i) Project management and operations, including the reinforcement of human and material resources of the MAEM-RH Project Management Unit (UGP) at the regional and national office levels, covering vehicle and equipment costs, personnel costs, office operations, domestic travel, etc.; (ii) Monitoring and Evaluation and financial audits, including the establishment and operation of an M&E system, the completion of a baseline study, mid-term and final evaluations, as well as the preparation of annual financial audits for the project. 4. Project Location and salient physical characteristics relevant to the safeguard analysis Scope of Intervention. The proposed PRODERMO would focus its interventions in two geographic areas: (i) the Oulma and Khor Angar areas in the northern region of Obock; and (ii) the Hanlé and Cheiketi area, in the southern region of Dikhil. The selection of these areas was based on criteria that include: (i) poverty rate and national development priorities; (ii) population density; (iii) importance of potential surface water to be mobilized; (iv) agro-pastoral potential; (v) coverage by other ongoing projects or programs; (vi) accessibility for implementation (heavy machinery, transport of raw material, supervision, etc.); and (vii) potential for income generating activities. Beneficiaries. The direct beneficiaries at the local level would primarily be members of the households in poor rural communities in the areas targeted by the project and would include small herders with small livestock, their families, youth, women, and fishermen (Obock). Taking into account the average size of 6.2 individuals per household, it is estimated that about 3.000 households (1,000 in Obock and 2,000 in Dikhil)totaling about 18,500 people (including youth estimated at 54 percent of the population) will benefit from the PRODERMO. On average, the target population constitutes a vulnerable population. Benefits expected from the proposed project include: (i) improved access to drinking water, especially during the dry season of an average rainy year; (ii) increased involvement of communities in their development; (iii) easing of daily chores for rural women and children; and (iv) increased household income. 5. Environmental and Social Safeguards Specialists Ms Fatou Fall (MNSSO) Mr Guillaume Meyssonnier (MNSEN) Page 4 6. Safeguard Policies Triggered Yes No Environmental Assessment (OP/BP 4.01) X Natural Habitats (OP/BP 4.04) X Forests (OP/BP 4.36) X Pest Management (OP 4.09) X Physical Cultural Resources (OP/BP 4.11) X Indigenous Peoples (OP/BP 4.10) X Involuntary Resettlement (OP/BP 4.12) X Safety of Dams (OP/BP 4.37) X Projects on International Waterways (OP/BP 7.50) X Projects in Disputed Areas (OP/BP 7.60) X II. Key Safeguard Policy Issues and Their Management A. Summary of Key Safeguard Issues 1. 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 is expected to have positive environmental and social benefits. PRODERMO is designed to be a participatory project where one of the objectives is to provide rural households with better access to water for human and animal consumption. The project will thereby enable communities to sustainably manage and use water resources in a participatory and integrated manner. The project is classified as environmental category B and the Environmental Assessment (OP 4.01) safeguard policy is triggered by the project due to the nature of anticipated activities. Potential negative environmental impacts could result from interventions under Component 1 dealing with water mobilization and soil erosion sub- projects including : (i) construction of small-scale surface water collection structures, including surface ponds (of 10,000 m3 capacity) for livestock/wild animals and underground cisterns (of 100 m3 capacity) for humans; (ii) rehabilitation and/or construction of solar tubewells wherever feasible; and (iii) construction of soil and water conservation activities around surface water collection structures and/or upland watershed parts that are susceptible to soil erosion due to flash floods (these could include enhancing vegetation regeneration around these structures). This component will also include rehabilitation of degraded grazing land by setting aside some acres of grazing land, re-seeding, and shrub planting and/or rehabilitated by soil and water conservation works such as stone sills and gabions. However, most potential negative environmental impacts are expected to be minor, temporary and site-specific in nature and could be mitigated with successful implementation of the ESMP. Additionally, the design of subprojects that involve construction of hydraulic structures will include necessary engineering measures as well as good-practice environmental measures / guidelines to ensure proper construction and operation. Furthermore, subprojects will be screened by applying the environmental and social screening checklist and individual sub-project ESMPs will be prepared as necessary and implemented. Page 5 The rehabilitation of an existing 200 m3/day capacity desalination plant in the Khor Angar area of the Obock district could be a possible subproject. In case this is identified in a community development plan, the project will first need to undertake a review of the entire water supply system in Khor Angar and decide whether it will be feasible to support this rehabilitation. If the review concludes that it is feasible and beneficial for the project to support this, then the borrower will be required to prepare a separate environmental assessment and management/monitoring plan for the desalination plant which will need to be reviewed and cleared by IDA before the implementation can begin. Involuntary physical resettlement of people is not foreseen in the context of the project. Involuntary land acquisition (expropriation) is not foreseen either. OP 4.12 is not triggered. The Environmental and social impact assessment (ESIA) indicates that all land belongs to the state and that its attribution is under the responsibility of the administrative authorities. In rural areas, the ESIA indicates however that the management of land, in particular of the grazing areas (parcours) and forests has been traditionally under the responsibility of local customary authorities. In the context of the PRODERMO, some activities under component 1, which will be determined in a participatory manner including the communities themselves, will require the use of land. Given the role that both the administrative and customary authorities play, the project management unit has indicated that it seeks to include all relevant parties since the formulation stage. The determination of land areas to be used to implement some of the project activities and the decision to use these areas will be done in a participatory manner, on the basis of consultation meetings with administrative and customary authorities and local steering committees which represent communities. The decisions made will be documented in the annual planning scheme, which is prepared by the local steering committee with the support of the project management unit and which lists (a) the activities chosen by the community and (b) the land areas designated, without compensation, to implement those activities. According to the project management unit, the annual planning scheme can constitute a formal agreement between the customary and administrative authorities regarding the use of specific parcels of land for the implementation of activities. 2. Describe any potential indirect and/or long term impacts due to anticipated future activities in the project area: No potential indirect or long term negative impacts are expected. 3. Describe any project alternatives (if relevant) considered to help avoid or minimize adverse impacts. Not applicable 4. Describe measures taken by the borrower to address safeguard policy issues. Provide an assessment of borrower capacity to plan and implement the measures described. For this environmental category B project, the borrower is in the process of preparing an environmental and social impact assessment (ESIA) and environmental and social management plan (ESMP). The ESIA will include a screening checklist/criteria, Page 6 potential impacts and recommend mitigation measures for the various likely interventions. The ESIA will also include good-practice measures and guidelines relevant to these interventions, which will be used as a guide during the preparation of sub-project ESMPs, as necessary. The ESIA will be reviewed and cleared by the Bank and by the Ministry of Housing, Urbanism, Environment and Planning (MHUEAT). The PMU (UGP) will be responsible to ensure that all subproject proposals undergo a screening process (described in the ESIA) before they are approved for implementation. The screening process will help confirm environmental category (B or C in nature), and include mitigation measures according to potential impacts depending on subproject design before approval of the subproject for funding and implementation. No other environmental safeguard policies are triggered as a result of project activities. The MAEM-RH will be the responsible government implementing agency with daily management of the project handled through the UGP (at central and regional levels). Issues related to environmental and social safeguards monitoring and reporting will be done by the UGP at the central level in coordination with the regional offices. It is our understanding that this is the first World-Bank lending operation with the MAEM-RH. Overall, as noted in the PAD, the MAEM-RH and the UGP lack institutional capacity, especially human and technical capacities, as well as in terms of familiarity with Bank operations including environmental and social safeguards policies and procedures. Component 2 of the project is devoted to capacity building and technical assistance. Institutional capacity building on monitoring and reporting on social safeguards measures will be determined during appraisal and budgeted accordingly. It is also important to note that the PRODERMO will finance additional UGP staff at the national and regional levels, in particular recruit an adjunct project coordinator and field workers at the regional level who may have the responsibilities to monitor and report on environmental and social safeguards measures. 5. Identify the key stakeholders and describe the mechanisms for consultation and disclosure on safeguard policies, with an emphasis on potentially affected people. Stakeholder consultations have been carried out by the project during project preparation. To protect the interests of potential affected communities, the ESIA process has included consultation and disclosure of information to key stakeholders involved in and/or affected by the project. As per the objectives of consultation and disclosure, various stakeholders and interested parties both at the national and regional levels have been consulted and informed of the proposed project. These stakeholders include beneficiary communities, local community organizations, local customary and administrative authorities and relevant sectoral/technical staff. They were given the opportunity to express their views and opinions regarding the potential impacts that might affect their livelihood. The ESIA report includes a summary of the outcomes from these discussions, including key issues raised and how they will be addressed by the project. No issues were raised in terms of social safeguards related matters except to indicate that land use has never been an issue of conflict or reticence when it comes to installing water points. Page 7 In accordance with World Bank disclosure policy and guidelines, the executive summary of the ESIA will be translated into English and both versions will be disclosed at the World Bank Infoshop before project appraisal, tentatively on January 12, 2011. They will also be disclosed in-country in easily accessible places to the public, including the website of MAEM-RH and its regional office in Obock. B. Disclosure Requirements Date Environmental Assessment/Audit/Management Plan/Other: Was the document disclosed prior to appraisal? Yes Date of receipt by the Bank 01/26/2011 Date of "in-country" disclosure 01/29/2011 Date of submission to InfoShop 02/01/2011 For category A projects, date of distributing the Executive Summary of the EA to the Executive Directors Resettlement Action Plan/Framework/Policy Process: Was the document disclosed prior to appraisal? Date of receipt by the Bank Date of "in-country" disclosure Date of submission to InfoShop Indigenous Peoples Plan/Planning Framework: Was the document disclosed prior to appraisal? Date of receipt by the Bank Date of "in-country" disclosure Date of submission to InfoShop Pest Management Plan: Was the document disclosed prior to appraisal? Date of receipt by the Bank Date of "in-country" disclosure Date of submission to InfoShop * If the project triggers the Pest Management and/or Physical Cultural Resources, the respective issues are to be addressed and disclosed as part of the Environmental Assessment/Audit/or EMP. If in-country disclosure of any of the above documents is not expected, please explain why: C. Compliance Monitoring Indicators at the Corporate Level (to be filled in when the ISDS is finalized by the project decision meeting) OP/BP/GP 4.01 - Environment Assessment Does the project require a stand-alone EA (including EMP) report? No If yes, then did the Regional Environment Unit or Sector Manager (SM) review and approve the EA report? No Page 8 Are the cost and the accountabilities for the EMP incorporated in the credit/loan? No The World Bank Policy on Disclosure of Information Have relevant safeguard policies documents been sent to the World Bank's Infoshop? Yes Have relevant documents been disclosed in-country in a public place in a form and language that are understandable and accessible to project-affected groups and local NGOs? Yes All Safeguard Policies Have satisfactory calendar, budget and clear institutional responsibilities been prepared for the implementation of measures related to safeguard policies? Yes Have costs related to safeguard policy measures been included in the project cost? Yes Does the Monitoring and Evaluation system of the project include the monitoring of safeguard impacts and measures related to safeguard policies? Yes Have satisfactory implementation arrangements been agreed with the borrower and the same been adequately reflected in the project legal documents? Yes D. Approvals Signed and submitted by: Name Date Task Team Leader: Mr Garry Charlier 01/27/2011 Environmental Specialist: Mr Gael A. Gregoire 01/31/2011 Social Development Specialist Mr Gabriel Dedu 01/31/2011 Additional Environmental and/or Social Development Specialist(s): Approved by: Regional Safeguards Coordinator: Mr Hocine Chalal 01/31/2011 Comments: Sector Manager: Mr Luis F. Constantino 01/31/2011 Comments: