INTEGRATED SAFEGUARDS DATA SHEET CONCEPT STAGE Public Disclosure Copy Report No.: ISDSC7128 Date ISDS Prepared/Updated: 02-May-2014 Date ISDS Approved/Disclosed: 05-May-2014 I. BASIC INFORMATION A. Basic Project Data Country: Guinea Project ID: P146696 Project Name: Power Sector Recovery Project (P146696) Task Team Moez Cherif Leader: Estimated 17-Apr-2014 Estimated 16-Jun-2014 Appraisal Date: Board Date: Managing Unit: AFTG2 Lending Investment Project Financing Instrument: Sector(s): Thermal Power Generation (100%) Theme(s): Infrastructure services for private sector development (100%) Financing (In USD Million) Total Project Cost: 50.00 Total Bank Financing: 50.00 Financing Gap: 0.00 Public Disclosure Copy Financing Source Amount BORROWER/RECIPIENT 0.00 International Development Association (IDA) 50.00 Total 50.00 Environmental B - Partial Assessment Category: Is this a No Repeater project? B. Project Objectives A. Proposed PDO 26. The PDO is to improve the technical and commercial performance of EDG. C. Project Description The IDA project will support the Government of Guinea in financing a management contract for EDG as well as associated hard and soft investments, such as the purchase and deployment of prepayment meters, a software package for enhanced commercial operation and implementation of a loss reduction program. It is envisaged that the project would be structured under three components (with estimated cost): Public Disclosure Copy (a) Component 1 - Management contract (US$12-15 million): for 3-5 years. A private operator with international experience will be selected through a rigorous and competitive process, and will operate EDG, while implementing a utility recovery plan to improve its technical, commercial and financial performance significantly over the course of the contract. The estimated cost of the management contract includes the implementation of a comprehensive strategic business plan by the private operator that will provide a senior management team for the utility, a comprehensive training and technical assistance plan for utility personnel, and a communication plan targeted at EDG customers. This component will also include an independent auditor to monitor and evaluate the fulfillment of contractual obligations under the management contract by both parties, to avoid any disputes between the operator and the government. (b) Component 2 - Associated investments (US$32-35 million): this includes mainly prepayment meters for EDG low-voltage clients who currently lack meters (in coordination with other donors who are also funding meters), regularization of current illegal connections and purchase of maintenance equipment. (c) Component 3 – Technical assistance for sector reform and non-allocated (US$3 million). D. Project location and salient physical characteristics relevant to the safeguard analysis (if known) Project’s activities, in particular component 2, will be undertaken in Greater Conakry Area and in the center of the country where EDG’s two main networks are located. E. Borrowers Institutional Capacity for Safeguard Policies The project will be implemented by the private operator that will be selected to manage that state- Public Disclosure Copy owned utility Electricite de Guinee (EDG), except for component 3 that will be implemented by the Ministry of Energy. EDG has experience working with the Bank through the Electricity Sector Efficiency Improvement Project (ESEIP). With respect to components 1 and 2, the management contractor’s responsibilities will include implementation of safeguards. F. Environmental and Social Safeguards Specialists on the Team Hocine Chalal (AFTN1) Paivi Koskinen-Lewis (AFTCS) II. SAFEGUARD POLICIES THAT MIGHT APPLY Safeguard Policies Triggered? Explanation (Optional) Environmental Assessment OP/ Yes An environmental audit will be undertaken as BP 4.01 part of project preparation and will feed into the management contract’s environmental and social obligations that will comply with the Bank's safeguards policies. Natural Habitats OP/BP 4.04 No To the extent that the investment component of the project pertains to existing connections close to consumer premises, Natural Habitats policy is unlikely to be triggered. Forests OP/BP 4.36 No To the extent that the investment component of Public Disclosure Copy the project pertains to existing connections close to consumer premises, Forest policy is unlikely to be triggered. Pest Management OP 4.09 No Not applicable Physical Cultural Resources OP/ No To the extent that the investment component of BP 4.11 the project pertains to existing connections close to consumer premises, Physical Cultural Resources policy is unlikely to be triggered. Indigenous Peoples OP/BP 4.10 No There are no Indigenous Peoples in the project area. Involuntary Resettlement OP/BP Yes An RPF will be prepared during project 4.12 preparation and will feed into the management contract’s environmental and social obligations that will have to be in line with Bank safeguards policies. Safety of Dams OP/BP 4.37 No Not applicable Projects on International No Not applicable Waterways OP/BP 7.50 Projects in Disputed Areas OP/BP No Not applicable 7.60 III. SAFEGUARD PREPARATION PLAN Public Disclosure Copy A. Tentative target date for preparing the PAD Stage ISDS: 31-Mar-2014 B. Time frame for launching and completing the safeguard-related studies that may be needed. The specific studies and their timing1 should be specified in the PAD-stage ISDS: Environmental audit and RPF will be launched by end of January 2014 and drafts will be ready by end of March 2014 (before appraisal). IV. APPROVALS Task Team Leader: Name: Moez Cherif Approved By: Regional Safeguards Name: Alexandra C. Bezeredi (RSA) Date: 02-May-2014 Coordinator: Sector Manager: Name: Meike van Ginneken (SM) Date: 05-May-2014 1 Reminder: The Bank's Disclosure Policy requires that safeguard-related documents be disclosed before appraisal (i) at the InfoShop and (ii) in country, at publicly accessible locations and in a form and language that are accessible to potentially affected persons.