82591 INTEGRATED SAFEGUARDS DATA SHEET APPRAISAL STAGE I. Basic Information Date prepared/updated: September 27, 2011 1. Basic Project Data Country: Pakistan Project ID: P125414 Additional Project ID (if any): Project Name: FATA Urban Centers Project Estimated Appraisal Date: August 23, 2011 Expected Approval Date: April 04, 2012 Managing Unit: SASDU Lending Instrument: Multi Donor Trust Fund (MDTF) Sector: Sub-natl govt admin (25%); Gen transport sector (20%); Gen wat/san/fld sect (55%) Theme: Access to urban services and housing(60); Municipal governance and institution building(20); Other urban development(20) IBRD Amount (US$m.): 0.00 IDA Amount (US$m.): 0.00 GEF Amount (US$m.): 0.00 PCF Amount (US$m.): 0.00 Other financing amounts by source: Borrower 0.00 MDTF for Crisis Affected Areas of KP/FATA/Balochistan 7.00 Total 7.00 Environmental Category: B - Partial Assessment Simplified Processing Simple [ ] Repeater [ ] Is this project processed under OP 8.00 (Rapid Response to Crises Yes [x] No [] and Emergencies) 2. Project Objectives: The objective of the FUCP is to improve urban services and management in Khar, Bajaur Agency, and develop a framework for urban management in FATA. 3. Project Description: The project will comprise two components: a) Priority Infrastructure Investments; and b) Technical Assistance and Implementation Support. A description of each component is summarized below: Component-I: Priority Infrastructure Investment Subprojects (US$ 6 Million): This component will support priority infrastructure investments in Khar, Bajaur Agency. The types of infrastructure sub-projects to be supported under this component will include rehabilitation, reconstruction, expansion, and/or upgrading of urban municipal infrastructure 1 and services including water supply, sanitation, solid waste management, streetlights, drains, roads, fire fighting, and general bus terminal. The investment subprojects to be supported under this component shall be demand driven. The criteria utilized for identifying them includes: • The established need for the proposed service within the existing population; • Sub-project readiness for implementation; • Availability of adequate implementation capacity. A household survey will be conducted in order to determine the demand for priority services. The results of the survey will be used to select investments that satisfy the established need criterion. Sub-project readiness for implementation will be assessed through the feasibility studies conducted for each proposed investment subproject. In this regard, the capacity building of the implementing agencies will be provided under Component 2. Preliminary rapid assessments have been undertaken by the Local Government and Rural Development (LG&RD) Directorate to establish coverage of existing municipal services in Khar. The data will be complemented by detailed surveys to further confirm service availability, needs, and gaps in provision. Component II: Technical Assistance and Implementation Support (US$ 1 Million): This component will provide technical assistance in several areas and implementation support as described below: a) Technical Assistance will be provided for: i) design and development of an overall urban management framework to be implemented under the TARUCCI program in all 14 towns in FATA; and ii) detailing the implementation plan for the pilot center (Khar, Bajaur Agency) being supported by the proposed project. b) Implementation Support will focus on strengthening of the already established TARUCCI Project Management Unit (TPMU), and building key competencies within it for the effective coordination and oversight of project activities. The component will also support strengthening of the Directorate of LG&RD, and Municipal Committee, Khar for the design, implementation, operation and maintenance of priority municipal service investments. 4. Project Location and salient physical characteristics relevant to the safeguard analysis: The Project will be implemented in the crisis-affected area of the Federally Administered Tribal Areas (FATA) in the northwest of Pakistan, lying between the provinces of Khyber Pakhtunkwa (KP), Baluchistan and neighboring Afghanistan. The insurgency and counter insurgency actions of 2009 led to a displacement of approximately 3 million people in FATA and the neighboring Khyber Phaktunkhwa (KP) regions. While by now some have returned to their homes, the events are likely to have long-term effects on their socio-economic growth, with high unemployment and large scale internal migration. FATA also lags behind other provinces across 2 a wide range of social and economic indicators, with the lag even more pronounced when viewed through a gender lens. Khar is the Agency headquarter for Bajaur, with an estimated population of 0.16 million. It has been adversely affected by violent militant activity in the recent past, before a successful military operation to restore peace. 6. Safeguard Policies Triggered (please explain why) 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 rehabilitation/reconstruction, expansion, and/or upgradation of urban municipal infrastructure and services including water supply, sanitation, solid waste management, streetlights, drains, and roads etc. under Component 1, may potentially cause negative environmental and/or social impacts such as contamination of soil and water, air quality deterioration, and safety hazards for workers and surrounding population. However, none of these impacts are likely to be irreversible, wide-spread, or unprecedented. Moreover, subprojects are unlikely to cause resettlement impacts as maximum efforts will be made to avoid land acquisition, displacement, and damages to private or public assets. Once the scope of each sub-project is defined and preliminary designs prepared, the Implementing Agency (IA) will conduct social screening of each sub-project to determine the scope of involuntary resettlement impacts. In case of small scale land acquisition and other resettlement impacts, the project will follow the principles laid down in the Environment and Social Screening and Assessment Framework (ESSAF) developed by the Bank for all projects under MDTF, consistent with the World Bank policy BP/OP 4.12 on Involuntary Resettlement. Since this project is financed by the MDTF, the ESSAF will apply on it. 2. Describe any potential indirect and/or long term impacts due to anticipated future activities in the project area: No indirect or long term environmental negative impacts associated with the proposed interventions are expected, other than those related to the usage/operation and maintenance of the municipal services/infrastructure. No large scale social/involuntary resettlement impacts will 3 occur due to this project. In case of small scale land acquisition and minor resettlement impacts, the extent of such impacts will be limited due to the nature of the sub-projects. 3. Describe any project alternatives (if relevant) considered to help avoid or minimize adverse impacts: The only other alternative is the ‘no-project’ option, which could have detrimental effects by denying basic municipal services to the local population. Moreover, the restoration of such services is linked with enhancing confidence of the local population in the State and will contribute towards peace building efforts. The ‘no-project’ alternative would avoid the negative environmental impacts associated with the rehabilitation, reconstruction, expansion and/or up- gradation of the municipal infrastructure and services. However, it would also result in continued environmental degradation and health hazards for the population associated with non- or poorly-functioning municipal services such as water supply and waste management. At the conceptual stage, different technical design options for every sub-project will be considered to avoid or minimize adverse social impacts. Where these impacts cannot be avoided, the project will follow ESSAF guidelines and principles to systematically assess and compensate them. 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. The project is being processed as an Emergency operation under OP 8.0. The Bank has prepared an Environmental and Social Screening and Assessment Framework (ESSAF), in accordance with the OP 8.0 for emergency operations– applicable to all interventions under the KP/FATA/Balochistan MDTF. It specifies the environmental and social assessment requirements that the implementing agency will need to fulfill before any Project component under the MDTF can be implemented. The Framework also describes the generic environmental/social monitoring and reporting requirements to be fulfilled during Project implementation, in addition to defining the broad institutional arrangements required for environmental and social safeguard aspects associated with the individual projects under the MDTF. The ESSAF has been shared with the FATA Secretariat and TPMU. It has been disclosed locally by the FATA Secretariat on its website since 15 December 2010. In accordance with ESSAF requirements, the FATA Secretariat/TPMU will prepare a project- specific Environmental and Social Management Plan (ESMP) and obtain its clearance from the Bank, before commencing any subproject under FUCP. Once preliminary engineering design of each sub-project is available, the IA will screen it for any negative impacts on the local population, and to confirm that it will not cause any involuntary resettlement. In case negative impacts are identified, the IA will conduct sub-project specific Social Impact Assessment (SIA), and prepare a sub-project specific Resettlement Action Plan (RAP). Their clearance by the Bank will be a condition for disbursement of funds against that subproject. Project funds will not be used for land acquisition. TPMU will appoint Environment and Social Safeguards Specialists, to ensure effective implementation of ESSAF and ESMP during Project implementation and to coordinate with the 4 Bank and other stakeholders such as EPAs, on matters relevant to environmental and social management of the Project. Capacity building of these Specialists and other related officials (such as the relevant staff of Directorate of LG&RD and Khar Municipal Committee), as well as awareness raising of the remaining Project staff, will be undertaken for effective implementation of ESSAF and ESMP. 5. Identify the key stakeholders and describe the mechanisms for consultation and disclosure on safeguard policies, with an emphasis on potentially affected people: Stakeholders of this project include FATA Secretariat, line directorates, the Khar municipal committee, Khar political administration, project affected persons (PAPs), and the beneficiary population of Khar town. The Project Director of TPMU will ensure that all relevant agencies involved in the implementation of ESMP and RAPs (if required) are fully informed of ESSAF, ESMP, RAPs and the World Bank Policy requirements. Consultations will be mainstreamed in the preparation of new sub-projects under this project. Before the preliminary technical design of each sub-project is undertaken, the IA and line agencies will consult the potentially affected groups on the project environmental and social issues, and will take their views into account. The IA will initiate these consultations soon after identification of the sub-projects. For the initial consultation, the IAs will provide a summary of the proposed subproject's objectives, description, and potential impacts. For the sub-projects which cause involuntary resettlement impacts, a systematic Social Impact Assessment (SIA) will be conducted with active participation of affected persons and other stakeholders with the objective of eliciting their views on sub-project impacts, available design options to avoid or minimize resettlement impacts and ways to compensate them, and to reflect their concerns and recommendations in the construction activities. The ESSAF has been shared with the FATA Secretariat and TPMU. It has been disclosed locally by the FATA Secretariat on December 15, 2010 on its website, and is being disclosed at the InfoShop. The project-specific ESMP and RAPs (where required) will also be disclosed locally, and copies sent to Infoshop for its disclosure. Despite the fact that the project is a low-risk category B project, the client intends to undertake public consultations to assess the perceived environmental and social risks associated with the project, and to recommend a grievance redressal mechanism. Draft RAPs (where required) will also be disclosed to the PAPs and other stakeholders in a form and language(s) that are understandable and accessible to take their views on the resettlement planning and implementation before finalization of detailed design. RAPs (where required) will be finalized in light of comments made by the PAPs and other stakeholders. In addition to this, the Environment and Social Safeguard Specialists and Focal Persons of the LG&RD Directorates and municipal committee, Khar will be responsible for on- going consultations with the project beneficiaries, PAPs, and other stakeholders. B. Disclosure Requirements Date Environmental Assessment/Audit/Management Plan/Other: Was the document disclosed prior to appraisal? N/A Date of receipt by the Bank N/A Date of "in-country" disclosure N/A 5 Date of submission to InfoShop N/A For category A projects, date of distributing the Executive N/A Summary of the EA to the Executive Directors N/A Resettlement Action Plan/Framework/Policy Process: Was the document disclosed prior to appraisal? N/A Date of receipt by the Bank N/A Date of "in-country" disclosure N/A Date of submission to InfoShop N/A Indigenous Peoples Plan/Planning Framework: Was the document disclosed prior to appraisal? N/A Date of receipt by the Bank N/A Date of "in-country" disclosure N/A Date of submission to InfoShop N/A Pest Management Plan: Was the document disclosed prior to appraisal? N/A Date of receipt by the Bank N/A Date of "in-country" disclosure N/A Date of submission to InfoShop N/A * 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: N/A 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? Yes If yes, then did the Regional Environment Unit or Sector Manager (SM) No review and approve the EA report? Are the cost and the accountabilities for the EMP incorporated in the Yes credit/loan? The World Bank Policy on Disclosure of Information Have relevant safeguard policies documents been sent to the World Bank's Yes Infoshop? Have relevant documents been disclosed in-country in a public place in a NA form and language that are understandable and accessible to project-affected groups and local NGOs? All Safeguard Policies Have satisfactory calendar, budget and clear institutional responsibilities Yes been prepared for the implementation of measures related to safeguard policies? Have costs related to safeguard policy measures been included in the project No cost? 6 Does the Monitoring and Evaluation system of the project include the Yes monitoring of safeguard impacts and measures related to safeguard policies? Have satisfactory implementation arrangements been agreed with the Yes borrower and the same been adequately reflected in the project legal documents? C. Compliance Monitoring Indicators at the Corporate Level (to be filled in when the ISDS is finalized by the project decision meeting) 7