Public Disclosure Copy The World Bank Implementation Status & Results Report Third National Urban Water Sector Reform Project (P123513) Third National Urban Water Sector Reform Project (P123513) AFRICA | Nigeria | Water Global Practice | IBRD/IDA | Investment Project Financing | FY 2014 | Seq No: 7 | ARCHIVED on 29-Dec-2017 | ISR31071 | Implementing Agencies: Federal Republic of Nigeria, Federal Ministry of Water Resources Key Dates Key Project Dates Bank Approval Date:18-Apr-2014 Effectiveness Date:12-Feb-2015 Planned Mid Term Review Date:30-Oct-2017 Actual Mid-Term Review Date:10-Dec-2017 Original Closing Date:30-Jun-2020 Revised Closing Date:30-Jun-2020 Project Development Objectives Project Development Objective (from Project Appraisal Document) The Project Development Objectives (PDO) are: a) to increase access to improved water supply service in selected States of Nigeria and improve the financial viability of existing water utilities in those States, and b) to increase the investment planning capacityof participating States. Has the Project Development Objective been changed since Board Approval of the Project Objective? No PHRPDODEL Components Name 1. Sector Reforms and Water Supply Investments:(Cost $215.00 M) 2. Water Sector Governance, Institutional Strengthening and Human Capital Development:(Cost $23.00 M) 3. Sector wide Improvement and Project Management at the Federal Level:(Cost $12.00 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO  Moderately Satisfactory  Moderately Satisfactory Overall Implementation Progress (IP)  Moderately Unsatisfactory  Moderately Unsatisfactory Overall Risk Rating  Substantial  Substantial Implementation Status and Key Decisions 12/29/2017 Page 1 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Third National Urban Water Sector Reform Project (P123513) The project is making good progress regarding the water sector reforms, water supply investments; strengthening the capacity of the water sector governance, institutional strengthening and human capital development; and sector wide improvement and project management. In this context, the entire works packages for Port Harcourt Water Corporation including the expansion of the water supply and distribution network have been finalized and are ready for tendering. In the meantime, works packages for both Ekiti and Bauchi State Water Corporations are under preparation and are expected to be ready for tendering starting January 2018. By the end of June, all works contracts of $162 million are expected to be awarded. In addition, a number of consultancy services regarding the preparation of feasibility studies, design, dam safety, dam rehabilitation, bathymetric survey, construction management, customer enumeration and customer database, development of billing and collection systems, assessment of metering have shown significant progress in Bauchi, Ekiti and Rivers states. The project has offered a number of training opportunities to build the capacity of the Federal Ministry of Water Resources, Port Harcourt Water Corporation, Ekiti State Water Corporation and Bauchi State Water Corporation. This include study tour to Brazil, training in utility financing in South Africa, local training and seminar as well as joining the course in Communication Strategy for Reform and Leadership which was held in June 2017 at the University of South California, training in utility financing and other financial management, safeguards and procurement trainings. Besides investment in the main three states of Bauchi, Ekiti and Rivers, the project will facilitate the reform planning in Tier-2 states (Kano, Gombe, Benue, Jigawa, Ondo, Abia, Bayelsa, Anambra, and Plateau) is ongoing. The diagnostics of the State Water Agencies in the nine states including Kano, Gombe, Benue, Jigawa, Abia, Bayelsa, Ondo, Plateau and Anambra state have been completed. Moreover, budget has been allocated for each States reform activities including carrying out feasibility studies, design and construction supervision for priority investments. Moreover, the project is considered as the platform for the development of Nigeria WASH sector action plan for the sector development to meet the Sustainable Development Goals (SDGs) of 2030. In this context, the Project financed the revitalization of the Urban WASH in September 2017 and to large extent the follow up retreat for the development of WASH action plan in Accra in December 2017. Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance  --  Substantial  Substantial Macroeconomic  --  High  High Sector Strategies and Policies  --  Substantial  Substantial Technical Design of Project or Program  --  Moderate  Moderate Institutional Capacity for Implementation and Sustainability  --  Substantial  Substantial Fiduciary  --  Moderate  Moderate Environment and Social  --  Moderate  Substantial Stakeholders  --  Substantial  Substantial Other  --  --  -- Overall  --  Substantial  Substantial 12/29/2017 Page 2 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Third National Urban Water Sector Reform Project (P123513) Results Project Development Objective Indicators PHINDPDOTBL  Number of people in urban areas provided with access to Improved Water Sources under the project (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 327,500.00 327,500.00 920,000.00 Date 04-Mar-2014 23-Jun-2017 28-Dec-2017 31-Dec-2019 Comments This is a direct result to the emergency rehabilitation. The target will be substantially met once the distribution network and water treatment plants rehabilitation and expansion are completed. PHINDPDOTBL  Medium-term sector investment plans completed for participating States (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 7.00 9.00 Date 01-Mar-2014 23-Jun-2017 28-Dec-2017 31-Dec-2019 Comments The Organizational diagnostic study have been completed for seven State Water Agencies (SWAs) in 7 states including Abia, Anambra, Bayelsa, benue, Gombe, Kano and Jigawa. The Medium-term sector investment plans have been prepared and under implementation. Addendum contract for 4 SWAs of Ondo, Plateau, Ekiti and Enugu had been signed and the draft diagnostic reports for the 4 SWAs have been submitted for review and finalization. PHINDPDOTBL  Direct project beneficiaries (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 327,500.00 920,000.00 Date 31-Oct-2012 23-Jun-2017 28-Dec-2017 31-Dec-2019 12/29/2017 Page 3 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Third National Urban Water Sector Reform Project (P123513) PHINDPDOTBL  Female beneficiaries (Percentage, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 50.00 50.00 PHINDPDOTBL  Percentage of operation and maintenance cost recovered in selected States. (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 5.00 5.00 2.70 80.00 Date 31-Oct-2012 23-Jun-2017 28-Dec-2017 31-Dec-2019 Comments The revenues are still low as billing, collection and tariff are very low pending the works investment and the service improvement which will be achieved after the execution of works contracts. In addition, the indicator target is very ambitious and will be revised as part of the future restructuring. Overall Comments Works bidding documents will be completed by February 2018. some have been already cleared (worth $65 million) others are under review by the Bank. The local impacts of service improvements achieved through fast-track rehabilitation investments in Bauchi and Ekiti showed some level of service improvement. Intermediate Results Indicators PHINDIRITBL  National Water Sector Financing Policy and Mechanism in place (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N N N Y Date 31-Oct-2012 23-Jun-2017 28-Dec-2017 31-Dec-2019 Comments The Federal Ministry of Water Resources is leading the urban water sector development. They organized the Urban Water Sector Revitalization Retreat in September, 2017 and organized a follow up retreat in Accra December 2017 aiming at development of sector 12/29/2017 Page 4 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Third National Urban Water Sector Reform Project (P123513) improvement Action Plan. the plan recommends the establishment of the National Water Supply, Sanitation and Hygiene Fund. The concept of the fund has been prepared and the details of funding are under development. PHINDIRITBL  Piped household water connections that are benefiting from rehabilitation works undertaken by the project (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 2,952.00 92,040.00 Date 31-Oct-2012 23-Jun-2017 28-Dec-2017 31-Dec-2019 Comments Substantial works have not yet started. PHINDIRITBL  Length of water pipes rehabilitated and expanded (Kilometers, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 843.00 Date 31-Oct-2012 23-Jun-2017 28-Dec-2017 31-Dec-2019 Comments Substantial works have not yet started. 12/29/2017 Page 5 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Third National Urban Water Sector Reform Project (P123513) PHINDIRITBL  Customer enumeration completed and database created (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N N N Y Date 31-Oct-2012 23-Jun-2017 28-Dec-2017 31-Dec-2019 Comments Progress has been made. Enumeration has been completed in Bauchi and Ekiti but yet to start in Port Harcourt. PHINDIRITBL  Tariff Studies with pro-poor policies completed (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N N N Y Date 31-Oct-2012 23-Jun-2017 28-Dec-2017 31-Dec-2019 Comments ToRs have been developed and cleared for Ekiti and Rivers. Bauchi is preparing the ToRs and will submit to the bank by December 31, 2017. Studies are expected to be launched by June 2018. PHINDIRITBL  Number of water utilities that the project is supporting (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 3.00 12.00 12.00 Date 31-Oct-2012 29-Dec-2016 28-Dec-2017 31-Dec-2019 Comments the target has been met. The project is currently supporting 12 states including Ekiti, Bauchi, Rivers, Anambra, Abia, Benue, Plateau, Ondo, Gombe, Kano, Jigawa and Bayelsa 12/29/2017 Page 6 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Third National Urban Water Sector Reform Project (P123513) PHINDIRITBL  Billing collection rate (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 11.30 65.00 Date 31-Oct-2012 23-Jun-2017 28-Dec-2017 31-Dec-2019 Comments the billing and collection rates are 17.15 for Ekiti and 10.2% for Bauchi. port Harcourt Water Corporation has very limited number of customers (1000) but no billing is yet in place. PHINDIRITBL  Sector Performance monitoring and benchmarking system in FMWR established and operational (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N N N Y Date 31-Oct-2012 23-Jun-2017 28-Dec-2017 31-Dec-2019 Comments Data bank platform called National Water Resources Information System which covers the 6 geo-political zones of the country has been established. The platform is intended as M&E platform to cover the entire state water agencies in the country. On the other hand the FMWR is following the development of the benchmarking system. Overall Comments A good progress has been made since the previous implementation support mission in May 2017. significant progress is expected during 2018 as all major works are expected be under implementation following the preparation of the bidding documents which start to be ready for tendering. Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed Disbursed P123513 IDA-54160 Effective USD 250.00 250.00 0.00 26.41 196.52 11% Key Dates (by loan) 12/29/2017 Page 7 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Third National Urban Water Sector Reform Project (P123513) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P123513 IDA-54160 Effective 18-Apr-2014 07-Nov-2014 12-Feb-2015 30-Jun-2020 30-Jun-2020 Cumulative Disbursements Restructuring History There has been no restructuring to date. Related Project(s) There are no related projects. 12/29/2017 Page 8 of 8 Public Disclosure Copy