OFFICIAL DOCUMENTS CREDIT NUIBER 6636-XK Project Agreement (Fostering And Leveraging Opportunities For Water Scenrity Program) betweenl INTERNATIONAL DIEVELOIPIENT ASSOCIAI'ION and REGIONAL COMPANY FOR WATER "IDROMORAVA" J.S.C. PROJECT AGREEMENT AGRI-EEMENT between INTERNATIONAL DEVELOPIMENT ASSOCIATION ('Association") and RlEGIONAL COMPANY FOR WATHR "HIIDROMORAVA" J.S.C. ("Project 1Implementing Entity") ("Project Agreement") in connection with the Financing Agreemcent ("'Financing Agreement") of the Signature Datc between the Republic of Kosovo ("Recipient") and the Association, concerning Credit No. 6636-XK. The Association and the Project Implementing Entity hcreby aglec as follows: ARTICL,1E l - GENERAL CONDITIONS; DEFINITIONS t01. Thie GJeneral Conditions (as defined in the Appendix to the Financing Agreemneut) apply to and form part of this Agrecinent. 1.02. Unlcss thc context requires otherwise, thc capitalized terms used in this Agreement have the meanings aseribed to them in the Financing Agreement or the General Coiditions. ARTICLE 11 - PROJECT 2.01. The Project implementing Entity declares its commitment to the objectivcs of the Pro le ct and tie Program. To this end, the Project 1m ple men ting Eln tity shall carry out Part 2.13 of the ProJect in aceordance with the provisions of Artielc V of the General Conditions and the Schedtile to this Agreement, and shall provide pronptly as needed, tthe funds, fa cilities, services an olither resouirces requicred fo its Respeeti ve Part of thte Project, ARTICLE 111 - TERMINATION 3.01. For p1uposes uf Section 10.05 (c) of the General Conditions, thte date on which the provisions of this Agreement shall termiat te is twenty years atler the Signature Date. ARTICLE IV - REPRESENTATIVE; ADDRESSES 4.01 . The Project Itpleienting Entity's Representative is its Ciief Executive Officer. 4.02. For urpmoses of Section l1.01 of the General Conditions: (a) tlic Associatioini's address is: International Development Association 1818 Il Street, NW Wtshingtoni, DC 20433 United States of America; and -2 - (b) the Association's Electronic Address is: Telex: Facsimile: 248423(MCI) or 1-202-477-63 4.03. IoF purposes of Section 11.01 of the (eneril Codiions: (a) the Project Implementing Entity's alddelss is: Vellezerit Gcrvalla 60 000 Gjilani Pristina Republic of Kosov'o; and (b) tlie P1roject 1imp1 entin Entiy's ElecCIronic Address is: Eý-miail: in kvi ;:ru-i(lifiooava.uoin -3 - AGREED as ol thC later of the t\\o dates writtel below. INTERNATIONAL DEVELOPNIENT ASSOCIATION By Autho pesenlta,tiv,e Nunie: LIÅ 1 uc GLJe Title: rac L''Za Date: 72-0 REGIONAL COMPANY FOR WATER "H1IDROMIORAVA" J.S.C. By,l2 CÄ Authorized zepresenlta e Name: kCP) /2 Tille: iy{/$î 76 yŸ Dafle: 4O -4- SCH EDULE Execuion of the Pioject Impllementing Entity's Respective Part of the Project Section 1. Iiplemlentation Arran!Tgemients A. I nstitutional Arrangeients. l. The Project Implementing Entity shall: (ai) provide, as prolIptly as needed, at all times dLiiring ie execution and untill coipletion ol Ile Project, he funds, facilities, adeqiiate stafling (with appropriate qJualifications and terins of reference), and other resources reqiired for tIe sICcessfli npeltalion of the Project, ilnc ncessary or appropriate to enlable it to per form i ts obligations under thlis A,\greemellt and the Subsidiary Agreement; and (b) perdiodically furnis to tbe Recipient infornation on the work plan and budget necessary for tie execution of the Respective Part of the Project, including in respect to Operating Csts am 1raibining fr tie Recipient t)i omrprate in the Recipient's corresponding \nlnual \Vork Plan and Budget 2. lbe Projeet hnpleineting Enidy sball permii all obligations of the Project Iiplieien ting ELnity set forth in this Agreement and the Subsidiary Agreemen)t in accordance witl the provisions of the said agreements, and sliall not take or permnit to be taken any action hat would prevent or interfere with sic perlfrmance; such obligations shall include carrying out (and emsure carrying out of, as the case may be): (a) the technical aspects of Part 2.B of the Project, inCluding, as relevant, the preparation of technical designs and procureiment bidding, dIOCLImentS, suopervisio of all related tIeivities, and iiinageeniit ofe colractts; (b) tile Projet activities in comnplianee with the environiental and social, flilcLtiary (financial managemenI, reporting, d audiits), prociement, and technieal requ.ireIIents applieable lo the Project, including ensuring that all contraetors and subcontractUrs of the Project expressly agree to conply with he said requirements, all in accordance wvitl the relevant provisions of the (rani Arieeent he ESCP, this Ag em n, he Environmiental and Social Instriments, and the Project pertions ianLill; (c) all relevnt Project activities financed in wbole or in part by the proeedms of tle fiinancing il accordance witli the provisions of the Anti-Corruption Guidelinies; and (d) the imnuitoring, evaluation and reporting for Part 2.2 of the Prject. - 5 - B. iivironmiental and Social Standards. 1 . The Project Imlemeneting Entity shal ensur that the Project is carried out in accordance vith the En vironmenta l and Social Standards, in a mtanner acceptable to the Association. 2. \Vithout limitation upon paragraph I above, the Project Implementing Entity shall ensue that the Project is imiuplemlcientecd in accordancec vith Ilie Enviroin tal and Social Cominitnment Plan ("ESCP"), in a manner acceptable to tle Association. To this end, the Project Implemcnting Entity shall ensure that: (a) the measures and actions specified in the ESCP are implemented with duc diligence and efficiency, and provided in the ESCP: (b) sulficiet funds are available to cover the costs ol implementing the ESCP: (c) policies and procedures are initataited, and eqLalified and experienced stalin aIdeCquaite numuhers are retained to implemenlt the VSCP, as provided in the IISCP; and (cl) Ite HSCP, or any provision thereof, is not amended, repealed, suspended or weäved, except as the Association shall otherwise agree i writing, as speciLed in the ESCP, and ensure that the revised ESCP is disclosed proimptly thereafter. In case of any inconsisuencies between the ESCP and the provisions of this Agreteit, the provisions of this Agreemrent shall prevail. 4. The Project Inpleienting Entity shall ensure that: (a) all niceasures necessary are taken to collect, compile, and fnunish to thLe Association through regitlar reports, with the frequency specified in Ilie VSCP, and proniptly in a separate report or reports, if so requested by the Association, infortition on the status of comtiplianice with Ilie HSCP and Ilie cttvironmental and social instruients referred to tierein, all such reports in Crit and substance acceptable to lie Association, setting out, itwfr alia: (i) the status ol iniplemnentation of Ilie ESCP: (ii) conditions, if any, which interfere or [hreaten to interfere with the imiplemetation of tle ESCP: and (iii) corrective and preventive ieasures taken or rejuired to be taken to ddress sucI conditions: tand (b) the Association is prontly notified of any incident or accident related to or having an impact on the Projcet which has, or is likely to have, a signifåict adverse effect on he environmcnt. die affected coniuiunities, the public or workers, including, explosions, spills, and any workplace - 6 - accidents that. result in death, serious or uilltiple injury, pollution, or any violent labor unrest or dispute between the Recipient or the Project ImpleIenting Entity or security forces (assigned to protect the Project) and local coimunities, atny case of sexual exploitation atnd abuse, sexua,l harassiment and violence against minors, ot any incidents in or relatedl to international vitcrways or disputed areas, in accordance with the ESCP, the environmental and social instruments referenced therein and tbe En vitottmentattl and Social Standards. 'The Project Implementi ng Entity shall establish. publicize, maintain and operate an accessible grievance mechanism, to reccive and facilitate resolution of concerns and grievanecs of lroject-afTected people, and take al measures necessary and appropriate to resolve, or tacilitate the resolution of, sueh concerns and grievances. in a mianner acceptable to the Association. 6. 'le Project inpleenting Entity shall ensure that all bidding documents ind contracts for civil works under the Project include the obligation of contractors, and subeontractors aid supervising entities to: (i) comply ith the relevant aspects of HSC and the eiviiiiieiitil and social insii1touents referred to lhereinl; and (b) adopt and eMnrce ecdes fu' couct that shoull be provided to and signed by all workers. detailing ineasnres to address environmiental, swcial iealth atnd safety risks, and the risks of sexual exploitation atid abuse, sexual harassient and violeiice againist children, all as applicable to such civil works comnissioned or carried out purstiant to said contracts. Section H1. Project NMoniitor-ing,, RZepor-tinig and EvaNtluattionl A. Projecl Reports. 1. Ihe Project Imnplementing Entity shall monitor and evaluate the progess of its Respective Part of the Projec and prepare Project Reports lur its Respecive Part of Ihe Project in accordancc with the provisions of Section 5.08 (b) of the (eneral Conditions and on the basis of the indicators acceptable to the Association. Each suich Project Report shall cover the period of Ole caleidar sctmester tand shall be tifrnished to the Recipient not Ilter than two veeks tfter Ile end of the period Covered by suich report for incolporation atnd for wardiig by the Recipieint tu the Association of the overal Project Report. 2. Ile Projeet Iipementing Entiiy slall pruvide to tle Reipient not biter tan tlrce (3) Imontlis after the Closilng Date. for incorporation in the report referred to in Section 5.08 (e) ithe General Coiditions all such information as the Recipient or ile Association shall reasonably request for the purpses of such Section.