The World Bank Sustaining Healthy Coastal and Marine Ecosystems Project (P168989) Environmental and Social Review Summary Concept Stage (ESRS Concept Stage) Public Disclosure Date Prepared/Updated: 04/16/2019 | Report No: ESRSC00418 Apr 17, 2019 Page 1 of 12 The World Bank Sustaining Healthy Coastal and Marine Ecosystems Project (P168989) BASIC INFORMATION A. Basic Project Data Country Region Project ID Parent Project ID (if any) Brazil LATIN AMERICA AND P168989 CARIBBEAN Project Name Sustaining Healthy Coastal and Marine Ecosystems Project Practice Area (Lead) Financing Instrument Estimated Appraisal Date Estimated Board Date Environment & Natural Investment Project 4/15/2019 6/28/2019 Resources Financing Borrower(s) Implementing Agency(ies) Ministry of Environment Proposed Development Objective(s) To strengthen management of the MCPA system and the enabling conditions for the blue economy in targeted areas. Public Disclosure Financing (in USD Million) Amount Total Project Cost 24.00 B. Is the project being prepared in a Situation of Urgent Need of Assistance or Capacity Constraints, as per Bank IPF Policy, para. 12? No C. Summary Description of Proposed Project [including overview of Country, Sectoral & Institutional Contexts and Relationship to CPF] The proposed Project will build upon the on-going GEF MAR1 project, and expand its scope to harmonize protected area management with policy frameworks and activities to create the enabling conditions for a blue economy. In line with the Brazilian Blue Initiative, the proposed Project seeks to reinforce and expand current efforts to protect and manage Brazil’s extensive coastal and marine environments and the rich biodiversity and ecosystem services they support; and in this way fostering the emergence of a sustainable and equitable blue economy based on this natural capital. More specifically, the proposed project would aim to improve management and strengthen the financial sustainability of the MCPA system inter alia by further capitalizing the Brazilian Marine Fund. In parallel, the project would support actions to help mainstream blue economy principles into the overarching policy, legislative and institutional frameworks; support examples of innovative approaches and technologies for MCPA surveillance and Apr 17, 2019 Page 2 of 12 The World Bank Sustaining Healthy Coastal and Marine Ecosystems Project (P168989) management; and to strengthen specific sustainable value chains in selected coastal Brazilian states. Additionally, the project would support local, national and international knowledge exchange and collaboration, helping build the capacity of Brazilian stakeholders to effectively contribute to the management and sustainable use of coastal and marine environments as the foundation for the blue economy. D. Environmental and Social Overview D.1. Project location(s) and salient characteristics relevant to the ES assessment [geographic, environmental, social] The area for the proposed project will encompass selected places across the Brazilian Coastal and Marine Area, which comprises the most deficient biome in terms of protected areas. Within the target areas, the marine zone is even less protected than the coastal zone. Therefore, project actions related to the creation of new protected areas will be directed towards the marine zone, while the existing marine and coastal protected areas will be targeted by PA implementation actions and for the establishment and management of the Marine and Coastal Protected Areas System. The strengthening of sustainable use protected areas will benefit local communities whose livelihood depends on the natural resources protected within those areas by enhancing the long-term availability of resources and sustainability of economic activities. This is essentially an environmental conservation project and intends to positively affect the following types of ecosystems, through enhanced protection: marine environments, small coastal and oceanic islands, coral reefs, beaches, estuaries, restingas, mangrove systems, coastal lagoons, and possibly coastal Atlantic Forest. Potential project impacts related to the implementation and consolidation of new and existing protected areas are expected to be minimal and localized, such as demarcation and installation of physical signs indicating the area to be protected, and improvements to visiting/vigilance trails and field bases. Positive impacts should result from the preparation or updating and implementation of protected area management plans, particularly Public Disclosure for the existing sustainable use protected areas, ensuring adequate use and conservation of marine, mangrove and possibly non-timber forest resources. D. 2. Borrower’s Institutional Capacity The Grant Recipient (federal government), through the Ministry of Environment (MMA), has extensive experience in implementing Bank financed projects and Bank safeguard policies. The Bank will support MMA and ICMBio in the process of familiarization with the new Environmental and Social Framework (ESF) and provide close guidance to the development of new Bank instruments. Recently, MMA and ICMBio have been building capacity to manage MPAs but this has been done at a much lower pace when compared to the land PAs. MMA and ICMBio would carry out project activities at the strategic level, evaluating and updating, as needed, project objectives and targets in the project results matrix; and at the management level, to further develop and implement the GEF Management Effectiveness Tracking Tool to project management, and monitor performance against project goals. Both will also be responsible for the implementation of biodiversity and environmental monitoring. Given the lack of capacity within these institutions related to MPAs monitoring, partnerships with research institutions will be critical. In addition, the project will work, through close supervision and timely actions, to improve the implementation capacity that already exists in both institutions and to assess what kind of additional support might be needed to assure good compliance with Bank environmental and social standards. II. SCREENING OF POTENTIAL ENVIRONMENTAL AND SOCIAL (ES) RISKS AND IMPACTS A. Environmental and Social Risk Classification (ESRC) Moderate Apr 17, 2019 Page 3 of 12 The World Bank Sustaining Healthy Coastal and Marine Ecosystems Project (P168989) Environmental Risk Rating Moderate Given the essentially environmental conservation characteristic of the project, all effects on biodiversity and living natural resouces are expected to be positive. The potential adverse risks and impacts on the environment are related to the implementation and consolidation of protected areas, such as improvements to existing management or visiting infrastructure, demarcation, improvement of visiting or surveillance trails, and provision of equipment; as well as to the strengthening of selected natural resource-based value chains and sustainable production of local traditional communities. As such, potential adverse impacts are not likely to be significant, are expected to be site-specific, predictable, temporary and/or reversible. Nevertheless, the project will be implemented throughout a very large geographical area, corresponding to significant extensions of the Brazilian coast and marine Ecological-Economic Zone, and the country is undergoing an unfavorable political scenario for environmental protection. Social Risk Rating Moderate The social risk classification for the Project is Moderate under the World Bank ESF. Based on the results obtained in the previous project (GE-P128968) it is expected that this project will continue to bring significant social benefits to vulnerable social communities, such as increased sustainability of natural resource-based livelihoods. Potentially adverse social risks and impacts will be limited and manageable, mostly related to potential access restriction. However, the creation of marine protected areas may cause communities or groups within communities to have restricted access to marine environments and resources where they have traditional or customary tenure, or recognizable usage rights. In addition, the project includes one area with indigenous peoples. A context-related risk in the current political scenario is that the rights of Indigenous Peoples and traditional communities related to land and land use are threatened. Public Disclosure B. Environment and Social Standards (ESSs) that Apply to the Activities Being Considered B.1. General Assessment ESS1 Assessment and Management of Environmental and Social Risks and Impacts Overview of the relevance of the Standard for the Project: The project is expected to have a significantly positive environmental outcome as it will improve the conservation and management of ecologically important areas through the creation of new and consolidation of existing marine and coastal protected areas, and strengthen the Marine and Coastal Protected Areas (MCPA) System. The project may support small-scale investments in the existing PAs such as demarcation of protected areas; installation of signage in artisanal fishing areas and no-take fishing zones; preparation and implementation of management, visitation or other plans; provision of basic small-scale infrastructure and equipment, etc. The project may also support the strengthening of small-scale economic activities and/or value chains involving the sustainable use of natural resources or sustainable production by local traditional communities; as well as potential pilot projects to generate marine renewable energy as part of the technological innovations under component 2. Possible negative impacts from these small-scale investments are expected to be small, localized and reversible. As such, project preparation will include the development, by the Grant Recipient, of an Environmental and Social Commitment Plan to be agreed with the Bank and containing the measures and actions to ensure compliance with the Environmental and Social Standards (ESSs), and of an Environmental and Social Management Framework assessing potential impacts and proposing a framework for preventing or mitigating them, including environmental licensing procedures. This framework will also be integrated into the operating rules of the Fund envisaged as part of component 1 for the long- term support of the marine and coastal protected areas system. Furthermore, principles of ESS10 regarding proper Apr 17, 2019 Page 4 of 12 The World Bank Sustaining Healthy Coastal and Marine Ecosystems Project (P168989) consultation will be applied as part of project financed studies for the creation and consolidation of the existing protected areas envisaged as part of component 1, and the blue economy strategies/plans, and technological innovations as part of component 2. Areas where reliance on the Borrower’s E&S Framework may be considered: The Brazilian legislation regarding the creation, strengthening and management of protected areas is very robust and complies with the principles of ESS 1 and ESS 6 and includes the requirement of public consultations and other participatory processes for PA creation and management. Several other instruments comprising the national environmental legislation framework establish obligations and procedures to assess, plan and implement environmental and biodiversity protection and conservation tapping on the best scientific information and technical expertise available (e.g., the periodic updating of the Map of Priority Areas for the Conservation and Sustainable Use of Biodiversity; the periodic assessment of the conservation status of Brazilian animal and plant species and preparation of Species’ Action Plans; among others), which further reinforce alignment with ESS 1 and ESS 6. Brazilian legislation is also aligned with the requirements of ESS 3. Overall, application of this legislation framework and principles is satisfactory, with the main challenges faced by the governmental institutions responsible for the environment being to gain political support for the environmental agenda and the strengthening of environmental agencies (human and financial resources), as well as the long-term support to the Protected Areas’ system.. The sustainable use of both terrestrial and aquatic/marine natural resources has been a significant concern of the governmental environmental sector over the past several years and a number of legal instruments and governmental projects have been created and implemented to strengthen the sustainability of natural resource use in the country, with particular focus on the resilience of the resource-based livelihoods of rural, traditional and forest peoples. Part of these efforts focus the coastal and marine environment through the creation of no-take zones and time periods to Public Disclosure protect endangered fisheries stocks in combination with financial compensation to fragile social groups that depend on these resources; assessment of fisheries stocks (ReviZEE, currently outdated); assessment of the conservation status of key species and development of species’ action plans; among other regulations and initiatives in compliance with the Bank Standards. Brazil also possesses strong legislation and procedures to safeguard cultural heritage which are in full compliance with ESS 8. Bank operations overall present satisfactory compliance with such requirements and procedures, which are implemented under the guidance of the Institute for the National Historical and Artistic Heritage (IPHAN) and its related state agencies. The project’s Environmental and Social Management Framework should reinforce the requirement of preventing negative impacts on cultural heritage and the necessary procedures for chance findings. Brazilian labor legislation is fully aligned with the core requirements of ESS 2 Labor and Working Conditions on matters related with terms and conditions of employment, non-discrimination and equal opportunity, workers' rights to form and join workers organizations of their choice and to bargain collectively without interference, child and forced labor, occupational health and safety. Brazil’s 1988 Federal Constitution recognizes the social organization, customs, languages, beliefs and traditions of indigenous peoples and their rights to occupy their traditional territories, and the Brazilian legislation is aligned with ESS 7 as discussed under this standard below. Brazil does not have an overarching national legislation addressing involuntary resettlement issues. Borrowers are informed of these gaps between national legislation and Bank requirements so that they can develop the instruments, when necessary, such as Resettlement Framework or Resettlement Plans to comply with both the legislation and the requirements established by the ESS 5. ESS10 Stakeholder Engagement and Information Disclosure Apr 17, 2019 Page 5 of 12 The World Bank Sustaining Healthy Coastal and Marine Ecosystems Project (P168989) The project involves many stakeholders at the national and community levels. The main stakeholders include ministries from various sectors, federal and state protected area management agencies and ICMBio Research Centers, local populations and resource users living within the MCPA system, non-governmental organizations (NGOs), Civil Society Organizations (CSOs), scientific community and national and international companies. The project activities will be directed to these stakeholders aiming to improve their capacity and provide the necessary basis to boost the blue economy agenda. More specifically, local populations, including artisanal fishermen, fishing communities and some indigenous communities, will benefit from better management and conservation of resources, which should result in improved size and stability of fish stocks, as well as from community strengthening and greater access to public policies. The Project will support their participation in the Management Councils, elaboration and updating of Management Plans for PAs. Specific measures to engage and consult with IP communities and representatives will be included in the SEP based on requirements of the standards. Local, state, and federal stakeholders will be strengthened through participation in project activities and targeted capacity building initiatives. The Borrower will prepare a Stakeholder Engagement Plan (SEP) that outlines a) who the key stakeholders are; b) how they are to be engaged; c) how often the engagement will occur throughout the project; d) how feedback will be solicited, recorded and monitored over the project; e) who will be charged/responsible with this engagement; f) timeline for this engagement; g) budget and human resources, among other details. To avoid or minimize the risk of leaving certain vulnerable groups behind, the Stakeholder Engagement Plan (SEP) will describe the measures that will be used to remove obstacles to participation, and how the views of differently affected groups will be captured. Where applicable, the SEP will include differentiated measures to allow the effective participation of those identified as disadvantaged or vulnerable. Dedicated approaches and an increased level of resources may be needed for communication with such differently affected groups so that they can obtain the information they need Public Disclosure regarding the issues that will potentially affect (positively or negatively) them. Prior to appraisal, the following measures will be implemented: i) stakeholder identification and analysis, ii) planning how the engagement with stakeholders will happen, iii) consultation with stakeholders and other groups not listed that might be relevant, and iv) the disclosure of the Stakeholder Engagement Plan. The Borrower will propose and implement a Grievance Mechanism to receive and facilitate resolution of concerns and grievances. The SEP will be based on the robust engagement strategy developed under the previous Project (GE-P128968), which relies on the structure of the Project Management Council, which convenes representatives of indigenous peoples and other vulnerable community groups, representatives of civil society, nongovernmental organizations and academics. Council meetings are held periodically and the aide memoires of meetings are disclosed on the project website: http://www.mma.gov.br/areas-protegidas/programas-e-projetos/projeto-gef-mar/governan%C3%A7a-gef-mar.html B.2. Specific Risks and Impacts A brief description of the potential environmental and social risks and impacts relevant to the Project. ESS2 Labor and Working Conditions The Standard is relevant given that the project may hire skilled workers and workers for small construction and reform works in the buildings of the Protected Areas or related infrastructure. These may include: a) direct workers; b) contracted workers, c) primary supply workers, and ii) community workers, who are committed to facilitate work in the different project sites. Impacts related to the influx of labor are not expected. The number of workers is not known at this time, but it is expected to be limited to less than 30 at any given work activity. The Borrower will provide ToRs for the skilled direct workers to be hired by the project. The project will promote transparency in terms Apr 17, 2019 Page 6 of 12 The World Bank Sustaining Healthy Coastal and Marine Ecosystems Project (P168989) and conditions of employment, non-discrimination and equal opportunities. The WBG team will review project- specific HR processes and practices as needed. The Borrower will incorporate in the contracts clauses that reinforce the commitment with the protection of workers, adequate working conditions and jobs, as well as the requirement of respectful behavior towards surrounding communities. Civil servants at MMA, ICMBio and other partner agencies will also participate in project management and implementation. ESS2 is also relevant for such workers, noting that ESS2 provisions are covered by the Brazilian Labor Legislation. ESS3 Resource Efficiency and Pollution Prevention and Management The Standard is relevant. It is not expected that project implementation would significantly contribute to the generation of pollution. The project’s ESMF should include guidance for the adoption, to the extent possible, of renewable energy and rainwater collection/water reuse solutions, as well as other solutions to reduce and recycle waste generated by any economic activity or infrastructure remodeling/construction supported under the project. Although no significant hazardous wastes or pollution sources are expected, the ESMF will consider risks and impacts potentially related to construction and wastes. Operational phase issues such as park visitor waste management, engine oil, and use of de-fouling agents for boats, among other pertinent issues should be considered. Among activities to promote the development of a blue economy under component 2, the project will support strategies for the development of marine renewable energy technologies (e.g. solar, wind, tide) with potential pilot in selected MPAs, which may contribute to reducing GHG emissions from energy production. Technological innovations supported under component 2 will also include the implementation of a pilot monitoring program for marine pollutants (e.g. solid waste, phantom fishing gear, and contaminants, including microplastics, heavy metals, Public Disclosure organochlorines and hydrocarbons) contributing to Brazil's commitments to UNEP and UNEA on environmental quality of the oceans. The Brazilian legislation related to the efficient use of resources and the prevention of pollution is comprehensive and seeks to promote the sustainable use of resources, including energy, water and raw materials. It establishes means of avoiding or minimizing the negative impacts on human health and the environment from pollution generated by productive activities and limits emissions of short and long-term pollutants. It also seeks to avoid or minimize the generation of hazardous and non-hazardous waste and the risks and impacts related to the use of pesticides. ESS4 Community Health and Safety The Standard is relevant given that the project will carry out actions with the involvement of communities, including vulnerable communities such as indigenous. Nevertheless, it is not expected that project implementation would have any negative impact on the community health and safety. Given the essentially environmental conservation characteristic of the project, it is expected to have a significantly positive social and environmental outcome as it will improve the conservation and management of ecologically important areas through the consolidation of marine and coastal protected areas. The project may support small-scale investments such as demarcation of protected areas; installation of signage in artisanal fishing areas and no-take fishing zones. The Borrower will: i) evaluate the risks and impacts of the project on the health and safety of the affected communities during the project life cycle, including those who, because of their particular circumstances, may be vulnerable; ii) identify risks and impacts and propose mitigation measures in accordance with the mitigation hierarchy, iii) preparation and implementation of management, visitation or other plans, including risk management plans. It is expected that no activities, equipment and infrastructure that the project will support will increase the communities' exposure to risks and impacts. The Apr 17, 2019 Page 7 of 12 The World Bank Sustaining Healthy Coastal and Marine Ecosystems Project (P168989) project will not support any activity that uses hazardous materials. Communication activities related to the protection of the environment and health will be carried out with the communities. In the Brazilian legal framework, safety, health and occupational medicine are subject of constitutional law. It is a worker’s right to perform his/her duties in a safe and healthy work environment, with the employer being responsible for the measures to reduce the risks inherent to work, through health and safety standards Brazilian legislation, while very comprehensive in dealing with workers and the responsibilities of the employer, devotes little attention to affected communities. Risks to health and safety of communities can be covered by the issuance of environmental licenses, issued by environmental agencies in the different Brazilian states. There is legislation on environmental licenses at federal, state and municipal levels. These licenses cover both environmental and social impacts, but mostly the impacts related to the physical environment, with less emphasis on the social aspects. Regulations are clearer when impacts affect indigenous or Afro-descendant populations but less so if the affected peoples do not belong to these types of communities. The ESMF will consider the potential risks and impacts to community health and safety, including the operational phase risks and impacts from handling and preparation of products produced in the value chains potentially supported, emergencies, fire response, accidents, waste handling/storage, among other pertinent issues. Park construction should consider universal access and safe construction among other issues. ESS5 Land Acquisition, Restrictions on Land Use and Involuntary Resettlement The Standard is relevant. The Project will not result in any resettlement or physical relocation of any individuals or communities from existing or new protected areas. Creation and consolidation of protected areas could potentially lead to restrictions on access to marine environments and resources, causing adverse impacts on people's livelihoods Public Disclosure (particularly artisanal fishing communities). To address these potentially adverse impacts, the Borrower will be prepared, prior to the appraisal, a Process Framework - FP (in accordance with NAS5 Annex 1) that will ensure that affected individuals and communities have the opportunity to participate in the definition and planning of activities subsistence allowances or other compensation. mitigation measures. The FP will be applied in areas or activities supported by the Project that result in some access restriction. The Process Framework elaborated in the previous project (GE-P128968) that has been widely debated with the stakeholders will serve as a basis for the document that will be elaborated. ESS6 Biodiversity Conservation and Sustainable Management of Living Natural Resources The Standard is relevant. The main result expected from this project is the enhanced protection and sustainable use of ecologically important coastal and marine ecosystems and biodiversity, with particular attention to the sustainability of resource-use livelihoods of local and traditional communities within and around protected areas. All actions foreseen under the project were designed to contribute to this outcome and are therefore in full compliance with ESS 6. To further ensure compliance, the Client will carry out a preliminary assessment of the potential impacts of project activities on biodiversity and NR, particularly from activities to support selected value chains (such as processing of fisheries, product certification, origin identification of products), and the project’s ESMF should include guidance to prevent and mitigate the possible small, localized and reversible impacts that may be expected from the necessary activities to achieve project outcomes, as described under ESS 1 above. The project will not support any activity involving alien species. The borrower (MMA) is the Brazilian focal point for the implementation of the CBD and other international environmental treaties and will ensure no activity resulting in significant impact would be approved for support under the project. Apr 17, 2019 Page 8 of 12 The World Bank Sustaining Healthy Coastal and Marine Ecosystems Project (P168989) ESS7 Indigenous Peoples/Sub-Saharan African Historically Underserved Traditional Local Communities The Standard is relevant, since the project will carry out consolidation activities in the Coastal Protected Area of Curimataú, which covers an Indigenous Land. The implementation of the project is not expected to have any negative impact on these indigenous peoples. Rather, the activities of the Project will contribute to engaging indigenous peoples in environmental protection that contribute to their traditional way of life, livelihoods and culture. A Plan for Indigenous Peoples was prepared for the previous Project (GE-P128968). This IPP was extensively debated with stakeholders and key indigenous leaders. The actions implemented under this IPP have improved the articulation capacity of indigenous peoples with other stakeholders. A new IPP will be prepared by the Borrower, prior to appraisal, ensuring that all actions taken with the indigenous peoples have Free, Prior and Informed Consent. The participation in the process of developing the IPP will be part of the Stakeholder Engagement Plan that will include the participation of representatives of FUNAI. Brazil’s 1988 Federal Constitution (1988 CF) recognizes the social organization, customs, languages, beliefs and traditions of indigenous peoples and their rights to occupy their traditional territories. It states that indigenous lands (ILs) are to be permanently occupied by indigenous peoples who can enjoy exclusive use of the existing soils, rivers and lakes situated therein. Brazil has also signed all major international agreements and treaties regarding the rights of indigenous peoples, including the International Labor Organization (ILO) Convention No.169 on Indigenous Peoples and Tribal Populations and the United Nations Declaration of Indigenous Peoples’ Rights. Brazil regulated the provisions contained in ILO Convention 169 – which include Free, Prior and Informed Consent – through Legislative Decree No. 143/2003. ILO Convention 169, made effective in Brazil with the publication of Decree 5.051 / 04, stipulates that governments should ensure that studies are carried out with the peoples concerned to identify impacts on these peoples, be they of a social, spiritual, cultural Public Disclosure or environmental nature. The Convention also obliges governments to consult the peoples concerned whenever legislative or administrative measures are envisaged that may directly affect them. Since the enactment of the 1988 Federal Constitution, Brazil has issued a significant set of legislation in support of Indigenous Peoples. As defined in Law 5,371 / 67, it is the responsibility of the National Indian Foundation (FUNAI) to mediate relations with indigenous communities ("The Foundation shall exercise the powers of representation or legal assistance inherent in the tutelary regime of the Indian", Article 1, § Single). FUNAI is the organ that manifests itself on impacts and interventions in indigenous lands in the licensing process (Interministerial Ordinance 60/2015, dated 03/24/2015), and must be present in any consultation of activity with indigenous peoples. Another relevant policy is the National Policy for Environmental and Territorial Management of Indigenous Lands (PNGATI; Decree 7747/2012). The PNGATI’s main objectives are to guarantee and promote the protection, recovery, conservation and sustainable use of natural resources in indigenous lands to ensure improvements in the quality of life and in the physical, social and cultural survival of indigenous peoples. ESS8 Cultural Heritage The standard is relevant. Some protected areas supported under the GEF MAR 1 project and that will continue to be supported under the current operation include historical or archaeological sites and, although project actions as planned should not interfere with those sites, eventual additional historical and/or archeological findings may occur during project implementation. As stated under ESS 1 above, Brazil possesses strong legislation and procedures to safeguard cultural and archaeological heritage which are in full compliance with ESS 8 and that have been satisfactorily applied by Bank operations under the guidance of the Institute for the National Historical and Artistic Apr 17, 2019 Page 9 of 12 The World Bank Sustaining Healthy Coastal and Marine Ecosystems Project (P168989) Heritage (IPHAN) and its related state agencies. The project’s Environmental and Social Management Framework should reinforce the requirement of preventing negative impacts on cultural heritage and the necessary procedures for chance findings and will also consider potential sacred or culturally important marine and coastal sites in management planning. ESS9 Financial Intermediaries The standard is not relevant. The project does not involve Financial Intermediaries. B.3 Other Relevant Project Risks All relevant risks have been described above C. Legal Operational Policies that Apply OP 7.50 Projects on International Waterways No to be checked with legal. OP 7.60 Projects in Disputed Areas No Public Disclosure III. WORLD BANK ENVIRONMENTAL AND SOCIAL DUE DILIGENCE A. Is a common approach being considered? No Financing Partners No other financing partners will finance actions planned under the project. Because the Brazilian Blue Fund, to be created with project support, may receive funds from donors other than the GEF, the project foresees the careful construction of the Fund’s governance rules and requirements for application of financial resources, following the successful model of the Amazon Protected Areas’ Transition Fund. B. Proposed Measures, Actions and Timing (Borrower’s commitments) Actions to be completed prior to Bank Board Approval: a) ICMBio/MMA to develop a draft of the Environmental and Social Commitment Plan - ESCP. b) ICMBio/MMA to carry out an Environmental and Social Assessment (ESA) for the preliminary assessment of potential impacts from project activities, particularly from identified value chains and local natural resource-based economic activities to be supported under the project, but also considering technical assistance activities. This assessment will inform the preparation and consultation of: 1. The Environmental and Social Management Framework - ESMF; 2. Instruments for the environmental and social screening and monitoring of activities to be carried out at the PA or community level, including technological innovation and Blue Economy activities; 3. The Indigenous Peoples Plan; Apr 17, 2019 Page 10 of 12 The World Bank Sustaining Healthy Coastal and Marine Ecosystems Project (P168989) 4. The Process Framework. c) ICMBio/MMA to prepare and disclose a Stakeholder Engagement Plan (SEP) that includes the poorest and the disables with its Grievance Redress Mechanism. Possible issues to be addressed in the Borrower Environmental and Social Commitment Plan (ESCP): • REGULAR REPORTING: Prepare and submit regular monitoring reports on the implementation of the ESCP and ESMF. • SEP IMPLEMENTATION: Implement the SEP • PROJECT GRIEVANCE MECHANISM: Develop and implement the arrangements for the grievance mechanism for any project affected people and other stakeholders. • Specify training to be provided. C. Timing Tentative target date for preparing the Appraisal Stage ESRS 15-Nov-2019 IV. CONTACT POINTS World Bank Public Disclosure Contact: Agnes Velloso Title: Consultant Telephone No: 5761+1012 Email: avelloso@worldbank.org Contact: Maria Bernadete Ribas Lange Title: Senior Environmental Specialist Telephone No: 5761+1007 / Email: blange@worldbank.org Contact: Juliana Medeiros Paiva Title: Social Development Specialist Telephone No: 5761+1067 Email: jpaiva@worldbank.org Borrower/Client/Recipient Borrower: Ministry of Environment Implementing Agency(ies) V. FOR MORE INFORMATION CONTACT Apr 17, 2019 Page 11 of 12 The World Bank Sustaining Healthy Coastal and Marine Ecosystems Project (P168989) The World Bank 1818 H Street, NW Washington, D.C. 20433 Telephone: (202) 473-1000 Web: http://www.worldbank.org/projects VI. APPROVAL Task Team Leader(s): Sylvia Michele Diez, Adriana Goncalves Moreira Safeguards Advisor ESSA Noreen Beg (SAESSA) Cleared on 16-Apr-2019 at 10:18:52 Practice Manager Valerie Hickey (PMGR) Concurred on 16-Apr-2019 at 21:09:18 Public Disclosure Apr 17, 2019 Page 12 of 12