The World Bank Report No: ISR13073 Implementation Status & Results South Eastern Europe and Balkans Neretva and Trebisnjica River Basin Management Project (BiH/Croatia) (P084608) Public Disclosure Copy Operation Name: Neretva and Trebisnjica River Basin Management Project Project Stage: Implementation Seq.No: 9 Status: ARCHIVED Archive Date: 04-Jan-2014 (BiH/Croatia) (P084608) Country: South Eastern Europe and Balkans Approval FY: 2008 Product Line: Global Environment Project Region: EUROPE AND CENTRAL ASIA Lending Instrument: Specific Investment Loan Implementing Agency(ies): Key Dates Board Approval Date 29-May-2008 Original Closing Date 31-Dec-2013 Planned Mid Term Review Date 24-Oct-2011 Last Archived ISR Date 25-Jun-2013 Effectiveness Date 06-Mar-2009 Revised Closing Date 31-Dec-2014 Actual Mid Term Review Date 24-Oct-2011 Global Environmental Objectives Global Environmental Objective (from Project Appraisal Document) The development and global environmental objective of the Project i s to provide mechanisms for the efficient and equitable water allocation amongst the users of the Neretva and Trebisnjica river basin (NTRB) at the transboundary level, and for enhancing the basin ecosystems and biodiversity through improved water resources management. The project is consistent with the GEF operational programs: Integrated Land and Water Multiple Focal Area Operation Program, (OP#9) under the GEF International Waters Focal Area and Coastal, Marine and Freshwater Ecosystem (OP#2) under the Biodiversity Focal Area. The project is fully consistent with the eligibility criteria of the World Bank- GEF Investment Fund for the Mediterranean Sea Partnership. Has the Project Development Objective been changed since Board Approval of the Project? Yes No Component(s) Component Name Component Cost Improved transboundary water resource management 2.65 Improved management and use of wetlands ecosystems and biodiversity 3.19 Public Disclosure Copy High-priority investments for water pollution control 8.51 Public participation and management of project implementation 2.51 Overall Ratings Previous Rating Current Rating Progress towards achievement of GEO Moderately Satisfactory Moderately Satisfactory Overall Implementation Progress (IP) Satisfactory Satisfactory Overall Risk Rating Moderate Moderate Page 1 of 7 The World Bank Report No: ISR13073 Implementation Status Overview The Project is progressing well towards achieving the Objectives. Main hurdles project experienced in the past couple of years concerning additional co-financing of the construction of wastewater treatment plants and the construction of a pilot for water-efficient irrigation in the Croatian delta were resolved. Almost all activities have either been completed or are now on track to be completed by the Project Completion Date of December 31, 2014. IPA Grant for Ljubuski sewage finally became effective on July 24, 2013 and the implementation Public Disclosure Copy of the activities, financed by the grant, has started. Due to the delayed effectiveness the IPA Grant duration had to be extended to December 31, 2014. This also required the extension of the Administrative Agreement with EC, which was extended by June 30, 2015. The disbursement rate for GEF Grant for BiH is 63.8%; GEF Grant for Croatia 65.4% and IPA TF for Ljubuski 29.4%. The two countries, BiH and Croatia, and the two Entities in BiH, are cooperating in the project implementation and maintain their regularly Joint Bilateral Meetings. Key milestones were reached toward completion of the remaining activities that had seen delays the past years (for some of which additional funds had to be received from the FBiH Environmental Fund): * BiH: construction of the municipal wastewater treatment plant of Konjic - contract is on-going, final design is scheduled to be completed by mid January 2013, works are scheduled to start by mid February 2014 and be completed by end August, 2014; * BiH: rehabilitation of the municipal wastewater treatment plant of Ljubuski - contract is underway, final design completed, works scheduled to start by mid December 2013 and be completed by end April, 2014; * BiH: Construction and rehabilitation of the sewage network in Ljubuski, financed by IPA funds - works have started on the east branch (after being delayed due to delayed effectiveness of IPA funds), scheduled to be completed by end April, 2014; * BiH: construction of the wastewater treatment plant of the visitors center of Nature Park Hutovo Blato - pre-fabricated wastewater treatment system has been supplied and installed on site, the site still needs to be cleared from stored construction materials and leveled by December 31, 2013; * BiH: construction of industrial wastewater treatment plant Unisgal-Surtec, Konjic - dropped based on Surtec decision to withdraw from the project and complete this activity by purchasing secondhand equipment and using direct contracting by own funds, in anticipation of lesser price than amount of co-finanicing required for tendering within the project and inability to obtain these missing funds; * Croatia delta: Glog water-efficient irrigation pilot - detailed design completed, building permit is expected by December 31, 2013; works are scheduled to start in April 2014 (part of the system that can operate as a functioning unit has to be completed in 2014); * Croatia delta: visitors center and hike trail near the Bacina lake - works have been completed, delivery of urban equipment and installation of handrails on the bridge are expected to be completed by December 31, 2013. Joint: Preparation of the RBMP and the supportive studies (the minimum environmental flow study and the optimization study for hydropower reservoirs are progressing, although slower than planned. Following the outcome of the counterparts meeting with the consultant held in December 2013, the Action plan was prepared and extension of the contract for RBMP until June 1, 2014 is being processed. This extension will enable improvement of the quality of the plan and additional public consultations, which were some of the main concerns raised earlier. Locations Country First Administrative Division Location Planned Actual Public Disclosure Copy South Eastern E Not Entered Trebisnjica South Eastern E Not Entered Trebinje South Eastern E Not Entered Opuzen South Eastern E Not Entered Nevesinje South Eastern E Not Entered Usce Neretve South Eastern E Not Entered Neretva Page 2 of 7 The World Bank Report No: ISR13073 Country First Administrative Division Location Planned Actual South Eastern E Not Entered Mostar Public Disclosure Copy South Eastern E Not Entered Metkovic South Eastern E Not Entered Ljubuski South Eastern E Not Entered Bacinska Jezera South Eastern E Not Entered Vjetrenica South Eastern E Not Entered Krupa South Eastern E Not Entered Alagovac South Eastern E Not Entered Prud South Eastern E Not Entered Modro Oko South Eastern E Not Entered Orepak South Eastern E Not Entered Opstina Bileca South Eastern E Not Entered Konjic South Eastern E Not Entered Dubrovacko-Neretvanska Zupanija South Eastern E Not Entered Hercegovacko-Neretvanski Kanton South Eastern E Not Entered Hutovo Blato Results Global Environmental Objective Indicators Indicator Name Core Unit of Measure Baseline Current End Target Public Disclosure Copy Increased inter-state cooperation and capacity Text Value Some capacity exists through Annual meetings and training for transboundary water resource management Inter-State Water Commission (process) Date 02-Jan-2008 16-Dec-2013 31-Dec-2014 Comments Four annual meetings of ISWC held. Six semi-annual Meetings of Sub-Commission for Adriatic Sea basin held Meets plan. Page 3 of 7 The World Bank Report No: ISR13073 Reduction of water-borne municipal and Text Value Effluent BOD (avg mg/l) 155 Effluent BOD (avg mg/l) 20 industrial based pollution in selected Effluent N (avg mg/l) 25 Effluent N (avg mg/l) 15 municipalities (stress reduction) Effluent P (avg mg/l) 8 Effluent P (avg mg/l) 2 Effluent Cr (avg mg/l) 200 Effluent Cr (avg mg/l) 0.5 Public Disclosure Copy Date 02-Jan-2008 16-Dec-2013 31-Dec-2014 Comments These are average discharge WWTPs in Bileca, Trebinje concentrations for selected and waste diversion in key parameters Nevesinje operational. WWTPS in Ljubuski, Konjic in construction. Improvement ofriver quality can only be measured after construction / rehabilitation of treatment plants. Improved maintenance of environmental flows Text Value Old regulations are Environmental water flows and improved ecosystem and natural inadequate. Too few samples maintained. Pollutant resources management in the basin (process). collected for river quality and processing and reduction flow. Poor management and improved. 80% of wetland no restoration of wetlands. No management and restoration management plan exists for completed. Management of HPP reservoirs. HPP reservoirs improved. Date 02-Jan-2008 16-Dec-2013 31-Dec-2014 Comments FBiH adopted bylaw to determine minimum environmental flow. RS Water law defined the minimal values. Bylaw adoption is expected in2014. Environmental flow study in support of the River Basin Management Plan close to finalization. Reduction of saline water intrusion as a result Text Value 0 ha under management. 400 ha under pilot. M&E Public Disclosure Copy of implementation of a Pilot Scheme in Neretva system established, and Delta (stress reduction) sustainability monitored. Date 31-Dec-2008 16-Dec-2013 31-Dec-2014 Comments the preconditions for construction start partially fulfilled. Final design ready, building permit expected in January 2014. Intermediate Results Indicators Page 4 of 7 The World Bank Report No: ISR13073 Indicator Name Core Unit of Measure Baseline Current End Target Improved transboundary water resource Text Value No transboundary river basin Transboundary river basin management of the Neretva and Trebisnjica management plan exists. Old management plan adopted by Public Disclosure Copy River Basin data on hydrology and water CC. Updated data on quality. hydrology and water quality, M&E system in place, and datadisseminated. Date 02-Jan-2008 16-Dec-2013 31-Dec-2014 Comments Fifth intermediary report was submitted in December 2013 as well as draft plans. Concern on quality is being addressed. Increased public participation in IWRM Text Value Civil society/ stakeholder Civil society/ stakeholder activities on WRM: ad hoc activities on WRM: regular No. of workshops: 0 No. of No. of workshops: 5 No. of communities meetings on communities that meet on WRM: 0 No. of small grantsfor WRM: 25 No. of small grants NGOs for relevant activities: 0 for NGOs for relevant activities: 30 Date 02-Jan-2008 16-Dec-2013 31-Dec-2014 Comments On track. Implementation of 27 Small Grants completed (RS6; FBiH 14; Croatia 7). Only one grant still under implementation in FBiH Nutrient load reduction (Nitrogen(N)) achieved Tones/year Value 0.43 0.43 under the project Date 31-Dec-2010 16-Dec-2013 31-Dec-2014 Comments Average month value at Unchanged. Reduction will be Neretva Konjic Station (0.32), calculated during the full Bacevic Station (0.35), and January 2014 mission. Trebizat Station (0.62). Public Disclosure Copy Improvement of river quality can only be measured after construction /rehabilitation of treatment plants. Voume(mass) of COD pollution load reduction Tones/year Value 10.01 10.01 achieved under the project Date 31-Dec-2010 16-Dec-2013 31-Dec-2014 Comments Average month value at Indicator is duplicative, but is Neretva Konjic Station Page 5 of 7 The World Bank Report No: ISR13073 (19.89), Bacevic Station being added for corporate (4.44), and Trebizat Station monitoring purposes. (5.70). Improvement of river quality can only be measured Public Disclosure Copy after construction / rehabilitation of treatment plants. The unit is mgO2/l. Data on Financial Performance (as of 20-Nov-2013) Financial Agreement(s) Key Dates Project Ln/Cr/Tf Status Approval Date Signing Date Effectiveness Date Original Closing Date Revised Closing Date P084608 TF-12620 Effective 30-Oct-2012 30-Oct-2012 24-Jul-2013 31-Dec-2013 31-Dec-2013 P084608 TF-91967 Effective 09-Sep-2008 09-Sep-2008 06-Mar-2009 31-Dec-2013 31-Dec-2014 P084608 TF-91969 Effective 09-Sep-2008 09-Sep-2008 06-Mar-2009 31-Dec-2013 31-Dec-2014 Disbursements (in Millions) Project Ln/Cr/Tf Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P084608 TF-12620 Effective USD 2.57 2.57 0.00 0.76 1.81 30.00 P084608 TF-91967 Effective USD 2.00 2.00 0.00 1.31 0.69 65.00 P084608 TF-91969 Effective USD 6.00 6.00 0.00 3.83 2.17 64.00 Disbursement Graph Public Disclosure Copy Page 6 of 7 The World Bank Report No: ISR13073 Public Disclosure Copy Key Decisions Regarding Implementation The end disbursement date of the Administrative Agreement between the EC and the Bank was extended by June 30, 2015 and IPA Grant Agreement for Ljubuski sewage was extended through December 31, 2014. This extension enables completion of the sewage construction and is in line with the NTMP closing date. The preparation of the River Basin Management Plan was moving slower than expected, and measures are underway to improve the scope and depth of the plan. Following the outcome of the counterparts meeting with the consultant held in December 2013, the Action plan was prepared and extension of the contract until June 1, 2014 is in a process. This extension will enable improvement of the quality of the plan and additional public consultations, which were some of the main concerns raised earlier. Next mission tentatively planned for January 2014 . Restructuring History Level 2 CD Decision on 06-Dec-2012, Level 2 CD Decision on 13-Dec-2013 Related Projects Public Disclosure Copy There are no related projects. Page 7 of 7