Document of The World Bank FOR OFFICIAL USE ONLY Report No: 59841-GY RESTRUCTURING PAPER ON A PROPOSED PROJECT RESTRUCTURING OF THE GUYANA CONSERVANCY ADAPTATION PROJECT GEF SCCF TF091692 October 30, 2007 IN THE AMOUNT OF US$3.8 MILLION TO THE CO-OPERATIVE REPUBLIC OF GUYANA March24, 2011 This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization. ABBREVIATIONS AND ACRONYMS CAP Conservancy Adaptation. Project DfID United Kingdom Department for International Development EDWC East Demerera Water Conservancy GEF Global Environmental Facility GOG Government of the Republic of Guyana LIDAR Light Detection and Ranging MOA Ministry of Agriculture PEU Project Execution Unit Vice President: Pamela Cox Country Director: Francoise Clottes Country Manager Giorgio Valentini Sector Manager: Guang Zhe Chen Task Team Leader: Sylvie Debomy 2 3 Cooperative Republic of Guyana Guyana Conservancy Adaptation Project CONTENTS Page A. Data Sheet ............................................................. Error! Bookmark not defined. B. Summary .............................................................. Error! Bookmark not defined. C. Project status 6 D. Proposed Changes ................................................. Error! Bookmark not defined. ANNEX 1: Results Framework and Monitoring............. 9Error! Bookmark not defined. ANNEX 2: Withdrawal of Grant Proceeds 10. 4 A DATA SHEET Restructuring Status: Draft Restructuring Type: CD Approval 1. Basic Information Project ID & Name P103539,GY-GEF Conservancy Adaptation Project Country Guyana Task Team Leader Sylvie Debomy Sector Manager/Director Guang Zhe Chen Country Director Francoise Clottes Original Board Approval Date 10/11/2007 Original Closing Date: 06/30/2011 Current Closing Date 06/30/2011 Proposed Closing Date [if applicable] 03/31/2013 EA Category B-Partial Assessment Revised EA Category EA Completion Date 01/01/2009 Revised EA Completion Date 2. Revised Financing Plan (US$) Source Original Revised BORR 0.00 0.00 IBRD 3.8 3.8 Total 3.8 3.8 3. Borrower Organization Department Location Cooperative Republic of Guyana Ministry of Finance Guyana 4. Implementing Agency Organization Department Location Ministry of Agriculture Agriculture Sector Guyana Development Unit 5 5. Disbursement Estimates (US$m) Actual amount disbursed as of 02/17/2011 Fiscal Year Annual Cumulative 2011 17,272.43 17,272.43 2010 693,463.99 693,463.99 Total 710,736.42 6. Policy Exceptions and Safeguard Policies Does the restructured project require any exceptions to Bank policies? No Does the scale-up of restructured projects trigger any new safeguard policies? If yes, No please select from the checklist below. 7a. Project Development Objectives/Outcomes Original/Current Project Development Objectives/Outcomes The objective of the CAP is to reduce the vulnerability of catastrophic flooding in Guyana's low-lying coastal area that is currently threatened by sea level rise resulting from global climate change. 7b. "Revised Project Development Objectives/Outcomes" 6 B. SUMMARY 1. As Per recommendations outlined in the Mid-term review (carried out in June 2010), and following those of a Quality Assessment Lending Portfolio (QALP) carried out in May 2010, the team reviewed the outcome indicators, the reallocation of funds per components and the necessity to extend the current project closing date. Below are the proposed changes : · The following outcome indicator (Increase in the drainage relief capacity of the East Demerera Water Conservancy "EDWC" to the Demerara River by 35% by end of the Project) will be dropped to reflect the reality of the project activities which focused essentially on providing technical engineering baseline for future interventions designed to reduce flood vulnerability. · Unused funds will be reallocated from component 2 to component 1 to cover the cost of the engineering study. As a result, the Disbursement table on Section IV.A.2 of Schedule 2 of the Grant Agreement will be amended to reflect these changes. The Proposed government financed Cunha Canal's work has been withdrawn from the project and will be considered as a stand-alone project. · Project closing date should be extended from June 30, 2011, to March 31, 2013 to complete all the activities of the study as some of them are season related. C PROJECT STATUS 2 Overall the project has performed moderately satisfactorily with 18.70% of the funds disbursed. The Project implementation is built around six main contracts of which five have been awarded. The main contract for the project (US$ 2.6 M) was signed on February 14, 2011.There are no outstanding audit, financial management, procurement, or safeguards issues. D. PROPOSED CHANGES · Results/indicators The following outcome indicator (Increase in the drainage relief capacity of the East Demerera Water Conservancy "EDWC" to the Demerara River by 35% by end of the Project) will be dropped to reflect the reality of the project activities which focused essentially on providing technical engineering baseline for future interventions designed to reduce flood vulnerability. · Components 7 Unused funds will be reallocated from component 2 to component 1 to cover the cost of the engineering study contract. Refer to the project cost table below to see new project costs per component and to Annex 2 for the new Disbursement Table. · Financing 8 Project Costs (US$m.3.8) Components/Activities Current1 Proposed 1-Pre-investment studies for engineering design of works2 1.1- System Mapping: Use of Topographic 1,300 1,440 and Bathymetric Mapping to support Modeling 250 295 1.2- Assesment of EDWC System Integrity 300 545 1.3- Flow Modeling of EDWC System and Coastal Lowlands for Flood Control Management 150 420 1.4- Pre-feasibility Studies-EDWC dam and Coastal Lowlands Drainage Analysis and Works Identification 2,000 2,700 Total Component 1 2-Investments in specific adaptation measures 2.1- Widening of Key Drainage Relief 0 0 Canals3 250 0 2.2- Improvement of Water Flow System within EDWC 950 400 2.3- Upgrading of Flood Control Structures 500 460 2.4- Selected Equipment Purchase and Installation 1,700 860 Total Component 2 3- Institutional strengthening and project management 3.1- Development of Contingency Plan 50 25 3.3- Consensus Building and Project 50 165 Management4 Total Component 3 100 200 Total 3,800 3,800 · Closing date Project closing date should be extended from June 30, 2011, to March 31, 2013 to complete all the activities of the study as some of them are season related. 2 Budget is revised to cover the cost of the engineering study contract (component 1 @US$ 2,682.809). A total of US$ 700,000 was taken from component 2 to reach the contract sum. 3 Amount was taken out of the Budget in light of the fact that DFID has withdrawn its funding for the Cunia Canal. 4 This amount is added to the budget to cover the cost of an engineer who will supervise implementation of the services under component 1. ANNEX 1: Results Framework and Monitoring GUYANA: CONSERVANCY ADAPTATION PROJECT Project Development Objective (PDO): To reduce the vulnerability of catastrophic flooding in Guyana's low-lying coastal area that is currently threatened by sea level rise resulting from global climate change Revised Project Development Objective: To contribute to the reduction of the vulnerability for catastrophic flooding in Guyana's low-lying coastal areas. D=Dropped Cumulative Target Values** C=Continue Core PDO Level Results N= New Unit of Data Source/ Responsibility fo Baseline Frequency Indicators* R=Revised Measure YR 1 YR 2 YR 3 YR4 YR5 Methodology Data Collection Indicator One: C na na na Lidar DEM Hydraulic Mid Term Review Engineering Firm Project Extension Hydraulic engineering flown Created Model (MTR) and End Of Progress reports Unit foundation critical for flood over for Calibrated Project (EOP) and EOP reports control management region Region 3 developed and 4 Indicator Two: C 0 Hydraulic 10 key MTR and EOP Engineering Firm Project Extension Identification of at least Model drainage Progress reports Unit Hydraulic Model activities for developed interventions follow-on intervention identified and pre engineering studies completed Indicator Three: D Increase in the drainage relief capacity of the EDWC to the Demerara River by 35% 11 ANNEX 2: Withdrawal of Grant Proceeds Category Amount of the Grant Percentage of Expenditures Allocated (expressed inUSD) to be Financed (inclusive of Taxes) (1) Works 475,000 100% (2) Goods 460,000 100% (3) Consultant's services 2,700,000 100% (4) Operating Expenses 165,000 100% Total Amount 3,800,000 12