The World Bank Cote d'Ivoire Urban Water Supply Project AF (P170502) Combined Project Information Documents / Integrated Safeguards Datasheet (PID/ISDS) Appraisal Stage | Date Prepared/Updated: 05-May-2019 | Report No: PIDISDSA26728 Mar 04, 2019 Page 1 of 19 The World Bank Cote d'Ivoire Urban Water Supply Project AF (P170502) BASIC INFORMATION OPS_TABLE_BASIC_DATA A. Basic Project Data Country Project ID Project Name Parent Project ID (if any) Cote d'Ivoire P170502 Cote d'Ivoire Urban Water P156739 Supply and Sanitation Project Parent Project Name Region Estimated Appraisal Date Estimated Board Date Urban Water Supply Project AFRICA 06-May-2019 25-Jun-2019 Practice Area (Lead) Financing Instrument Borrower(s) Implementing Agency Water Investment Project Republic of Cote d'Ivoire Cellule de Coordination du Financing PRICI (CC-PRICI) - PREMU Proposed Development Objective(s) Parent The proposed project development objective is to improve quality of, and increase access to, water services in selected urban areasand to strengthen capacity of ONEP for financial planning and financial management of the urban water supply sector. Proposed Development Objective(s) Additional Financing The revised project development objective is: to increase access and quality of water services and access to sanitation in selected urban areas, and to improve planning and monitoring of the urban water sector. Components Component A - Urban water supply Component B - Institutional support Component B - Urban sanitation Component C - Strengthening the urban water sector Component D - Project management PROJECT FINANCING DATA (US$, Millions) SUMMARY -NewFin1 Total Project Cost 150.00 Total Financing 150.00 of which IBRD/IDA 150.00 Financing Gap 0.00 Mar 04, 2019 Page 2 of 19 The World Bank Cote d'Ivoire Urban Water Supply Project AF (P170502) DETAILS -NewFinEnh1 World Bank Group Financing International Development Association (IDA) 150.00 IDA Credit 150.00 Environmental Assessment Category B-Partial Assessment Decision The review did authorize the team to appraise and negotiate Other Decision (as needed) B. Introduction and Context 1. It is proposed to provide an additional credit in the amount of US$150 million equivalent to the Republic of Cote d’Ivoire for the proposed Urban Water Supply and Sanitation Project; and (b) restructure the original Urban Water Supply Project (US$50 million equivalent, P156739). 2. The proposed additional financing (AF) is intended to finance the costs associated with scaled-up activities to increase the development effectiveness of the well-performing parent project, double the total number of beneficiaries and strengthen the sustainability and social and environmental impacts of improved water supply and sanitation services, in line with the parent project objectives and the Government’s aim to cope with the present challenges of the sector and meet the Sustainable Development Goals (SDGs). The magnitude and scope of the proposed scale-up will result in restructuring the original project to reflect the revised project development objectives, components, activities and indicators. The Financing Agreement will be amended to revise the legal name and extended period of implementation of the project by 24 months. 3. Scaled-up and additional activities of the AF will also contribute to the World Bank Group corporate mandates to support Cote d’Ivoire in achieving medium and long-term outcomes, that is: (i) providing water and sanitation services as key contributors to the development of human capital; (ii) strengthen utility performance and help create an enabling environment for private financing in a capital-intensive sector; (iii) promoting new technologies to facilitate the use of water resources and service delivery data; and (iv) addressing climate vulnerability in improving water resources management. Country Context 4. Population growth. The population of Cote d’Ivoire is estimated at 22.7 million people in the 2014 census. During and in the aftermath of the sociopolitical crisis (2002–2011), the country experienced important internal migrations that have increased demand for housing and urban services, including water supply and sanitation, in some of the largest Mar 04, 2019 Page 3 of 19 The World Bank Cote d'Ivoire Urban Water Supply Project AF (P170502) cities, especially in Abidjan. 50.2 percent of the country’s population live in urban areas (2014). The average annual growth rate since 2015 is significant, around 2.4 percent annually, representing an additional population of 600,000 each year. 5. Economy. After a decade of instability marked by low economic growth, the economy of Cote d'Ivoire is now making gains—growth reached 9.2 percent in 2015 and is expected to be 7.7 percent in 2019. Since the crisis ended in 2011, the business environment and development of the private sector have improved significantly, heightening the country’s competitiveness. Cote d’Ivoire moved up from 168th in the 2010 World Bank Doing Business ranking to 122nd in 2019. Cote d’Ivoire is now the eighth most competitive economy in Africa. Over the period, poverty reduction has been substantial, down from 34 percent in 2011 to 28 percent ($1.90 a day poverty line, 2011 PPP) in 2015. The rate using the national poverty line has also decreased but remains at 46 percent in 2015. The recent deceleration of growth may slow down the trend of poverty reduction. 6. Human development. Despite these macroeconomic achievements, the country’s human development and other social outcomes are still below those of most countries with comparable per capita income. In the 2018 United Nations Development Programme (UNDP) Human Development Index, Cote d’Ivoire ranked 170th of 189 countries. On average, people complete 7.68 years of schooling, whereas the regional average is 8.2. The under-5 mortality rate is 88.8 deaths per 1,000 births (2017), against the SSA average of 83.2 and the lower-middle-income average of 52.8. Cote d’Ivoire’s Human Capital Index1 is 0.35, below the average of 0.40 in SSA. As urban growth continues (3.4 percent annually [2017]), fully leveraging human capital in the country will require increased investments in the urban water supply and sanitation sectors. Sectoral and Institutional Context 7. Water resources. Cote d’Ivoire is located along the Gulf of Guinea in West Africa. Its climate ranges from equatorial in the southern coasts to tropical in the middle and semiarid in the far north. The country is blessed with abundant water resources with four major river systems running southwards. But floods hit Cote d’Ivoire repeatedly, mostly in the south where the highest amount of rainfall occurs. With the combined effect of changing patterns in rainfall and temperatures, droughts are expected to increasingly impact the semi-arid northern savannah region of the country in the coming century, which calls for improved protection, conservation and management of water resources to be addressed in new policies, strategies and project designs. 8. Institutional framework. Water sector planning and development was previously within the responsibility of the Ministry of Economic Infrastructure. The creation of the Ministry of Water (Ministère de l’Hydraulique) in 2018 to take over this mandate demonstrates a willingness to reinforce water in the Government’s priorities. Sector development, asset management (yet not ownership) and monitoring service delivery has been partly delegated to the National Water Agency (Office national de l’eau potable, ONEP) since 2009. Service delivery of water services in urban and semi urban areas has been contracted out to a private sector company (Société d’Eau de Côte d’Ivoire, SODECI), through the longest running public private partnership (PPP) for urban water in West Africa. The sanitation sector is under the oversight of the Ministry of Sanitation and Public Hygiene (Ministère de l’Assainissement et de la Salubrité Publique). A dedicated public agency (Office national de l’assainissement et du drainage, ONAD), was created in 2011 to foster efforts to increase the access to quality sanitation services and develop drainage and flood management. 9. Access to water services. The political crisis has strongly affected access to water services. The percentage of population served dropped by 15 points between 2000 and 2011 (IBNET). Access to improved water sources (JMP) was 1 The Human Capital Index quantifies the contribution of health and education to the productivity of the next generation of workers. Mar 04, 2019 Page 4 of 19 The World Bank Cote d'Ivoire Urban Water Supply Project AF (P170502) estimated by the Joint Monitoring Program2 at 80 percent nationwide in 2015, below the 84.5 percent target of the Millennium Development Goals (MDGs). Only 70 percent for the urban population have access to piped water (65 percent being considered as safely managed), with a significant disparity between Abidjan (90 percent) and other urban centers (45 percent). Underinvestment during the crisis and high population growth have led to severe deficits in water production throughout the country. Large investment programs in Abidjan have been helping to close the gap, but deficits are still acute in many secondary centers. 10. Access to sanitation services. The country also faces important sanitation challenges. Only 30 percent of the population, and 45 percent in urban areas, have access to basic sanitation, far below the MDG target of 81 percent. 47 percent of the rural population still practice open defecation. Additionally, the JMP reports that 35 percent of schools in urban areas lack improved sanitation facilities (2017). Conversely, access to networked sewerage services is about 11 percent, mostly in Abidjan,3 the rest of the urban population having to rely on onsite sanitation with limited proper emptying and treatment solutions. Few Master Plans have been developed in secondary cities. 11. Service delivery. Although services have started to recover since 2014, in general reliability of service delivery deteriorated substantially during the political crisis due to the lack of investment and effective maintenance. Service provision is still struggling with key indicators below the performance of comparable regional utilities. As shown in the recent audit of the sector funded under the parent project, non-revenue water (NRW) is 25 percent of the volume produced in Cote d'Ivoire compared to 15 percent in Burkina Faso. In Senegal and Burkina Faso, the collection ratio of water bills from private customers reaches 98 percent against only 80 percent in Cote d'Ivoire. Customer tariffs have not been adjusted since 2004, and the lease contract with SODECI does not include explicit objectives or incentives to push performance. This situation has resulted in very limited capacity for the sector to self-finance renewal and expansion investments and its ability to meet an increasing demand for high-quality water services. 12. IDA contribution to addressing the sector challenges. The IDA credit of EUR44.8 million (US$50 million equivalent) for the Cote d’Ivoire Urban Water Supply Project was approved on December 9, 2016. The Financing Agreement was signed on February 20, 2017 and became effective on May 17, 2017. This operation was designed to address critical production deficits in eight secondary centers, in restoring and expanding production and storage capacity as well as financing a social connection program to increase access to piped water and improve the quality of services provided, especially reliability. Several financial partners have supported similar investments in Abidjan to cope for huge needs following the political crisis and the Government specifically requested IDA to focus the financing on secondary centers. The project will benefit 550,000 people in eight centers. 13. Implementation progress of the project has been very satisfactory to date. Over 95 percent of the credit has been committed and 61 percent have already been disbursed. All works are expected to be completed before the mid-term review of the project planned in mid-2020. The project has also provided support for strategic institutional studies to help strengthen the sector capacity in financial planning and decision making. The audit of the sector’s contractual arrangements and the new financial model have been finalized, and recommendations consulted upon with all sector stakeholders. An action plan has been outlined with key milestones to be implemented over the next years to consolidate the institutional, financial and operational performance of the sector and make necessary adjustments to the existing PPP and financing arrangements of the sector. This will ensure a sustainable sector financing through clear 2 http://files.unicef.org/publications/files/Progress_on_Sanitation_and_Drinking_Water_2015_Update_.pdf 3 The sanitation network in Abidjan is operated by SODECI under a specific leasing contract. Access to sewer in Abidjan is estimated at 40 percent. Mar 04, 2019 Page 5 of 19 The World Bank Cote d'Ivoire Urban Water Supply Project AF (P170502) allocations of responsibilities and revenues, create a conducive environment for increased private financing and support the Government objectives towards the Sustainable Development Goals for water. C. Proposed Development Objective(s) Original PDO The proposed project development objective is to improve quality of, and increase access to, water services in selected urban areasand to strengthen capacity of ONEP for financial planning and financial management of the urban water supply sector. Current PDO The revised project development objective is “to increase access and quality of water services and access to sanitation in selected urban areas, and to improve planning and monitoring of the urban water sector.� Key Results The magnitude and scope of the AF led to revisit the original Theory of Change, including long-term development outcomes, project objectives and related activities. Consistent with the parent project, water related objectives remain the principal objectives of the project, with sanitation being introduced as a secondary objective. The AF will also put more emphasis on strengthen the urban water sector capacity to improve performance through better planning and monitoring of service delivery, asset management and the financing of the sector to pave the ground for long-term sustainability. 14. The PDO indicators will been revised as follows: i. Direct beneficiaries of the project (original target: 549,000; revised target 1,200,000); Percent who are female (unchanged target: 48.7%); ii. People provided with access to improved water supply under the project (original target: 180,000; revised target: 390,000); iii. People benefiting from enhanced water supply services4 under the project (original target: 369,000; revised target 810,000); iv. Number of students provided with access to improved sanitation facilities at school (new target: TBD at appraisal); v. Strategic sector plan towards SDG6 is approved; vi. A sector web-based M&E platform using digital technology is established; vii. Financial Model for the sector is used for planning and decision making. D. Project Description 4 ‘Enhanced services’ is defined in the results framework as services meeting quality criteria defined in the affermage contract: pressure 1 bar at the tap, continuity 24/24, water quality meeting WHO standards. It applies to existing household connections that have been experiencing degraded services in the last decade due to water deficits. Mar 04, 2019 Page 6 of 19 The World Bank Cote d'Ivoire Urban Water Supply Project AF (P170502) 15. The project is renamed "Cote d’Ivoire: Urban Water Supply and Sanitation Project" to reflect the continuation of the parent project and addition of a key entry point (sanitation) for sustainability of the water investments. Original components will be restructured to capture the magnitude and scope of the AF and expected results and outcomes. Project costs and Financing (US$ million) Project cost – Project cost – Project cost, total Project Components Parent Project AF (100% IDA Financing) A. Urban water supply 45.64 101.59 147.23 DELETED - B. Institutional support (4.36*) - 0.00 B. Urban Sanitation 18.98 18.98 C. Urban Water Sector Strengthening *1.83 24.11 25.94 D. Project Management *2.53 5.32 7.85 Total Costs Total Project Costs 50.00 150.00 200.00 IDA financing 50.00 150.00 200.00 16. Component A – ‘Urban water supply component’ under the original project will continue as designed for all parent and scaled-up AF activities. On the contrary, Component B of the parent project, which included both institutional support to the sector and support for project management, will be split to (i) highlight, in a dedicated Component C, the renewed importance given to the strengthening of the urban water sector in terms of both capacities within a new ministry and operational and financial performance; and (ii) regroup project management support in a distinct Component D. A new Component B is created to incorporate the sanitation activities. AF activities were selected during identification to address priorities expressed by the Recipient and fit the financial envelope allocated to the AF. The table below provides the overall project’s costs and financing (parent and AF) and the new structure of the project components, as described in the subsequent paragraphs. 17. Component A. Urban Water Supply (original US$45.64 million, AF US$101.59 million, total US$147.23 million): Under the AF, this component will include three sets of activities as follows: (a) In the existing project locations: Agboville, Béoumi, Tiassale/N’Douci/N’Zianouan/Sikensi, Korhogo/ Ferkéssédougou and Bingerville, the AF will finance new reservoirs, boreholes, water treatment plants and expanded distribution networks, as well as a program of 13,000 social connections to provide good water services to additional neighborhoods and communities who could not benefit from the parent project investments; (b) In the additional cities selected for the AF: Dabou, Issia, Niakara and Songon, AF investments will be focused on water supply improvements through increased production and storage capacity to address deficits, and network expansion and a program of 8,000 social connections to increase access rates in these fast-growing centers; and (c) Technical studies to inform the works and monitoring of supervision of works. Mar 04, 2019 Page 7 of 19 The World Bank Cote d'Ivoire Urban Water Supply Project AF (P170502) 18. Component B: Urban Sanitation (US$18.98 million): This component has been added as part of the AF, for two major reasons. First, the project will substantially increase water consumption and therefore wastewater volumes in the project locations. In the long run, addressing sanitation and mitigating the potential adverse impacts on people’s health and the environment and water resources is critical to ensure the sustainability of water investments. Second, the AF will contribute to address urban sanitation challenges along the strategic directions of the national policy, through the following activities: (a) Construction of improved water, sanitation and hygiene (WASH) facilities for selected public schools5 and health care facilities in the project areas; (b) Technical studies and monitoring of works, and other studies to: (i) develop a new National Sanitation Strategy that will consider the technical, financial, institutional and regulatory needs of the sector; prepare for further investment in the future, understand the technical and environmental constraints of sanitation chains in secondary cities and potential solutions, including through the private sector (e.g., pit/tank emptiers), and improve the management of fecal sludge; and (ii) support the elaboration of sanitation and drainage master plans for select project cities; (c) Community hygiene sensitization campaigns, including school-focused campaigns where project investments occur. 19. Component C: Urban Water Sector Strengthening (original US$1.83 million, AF US$24.11 million, total US$25.94 million): The parent project included strategic activities to support the sector and provide stakeholders with key tools to better develop and manage the sector. The AF gives an opportunity to further strengthen the sector to help respond to the strong commitment of the Government, through the recently created Ministry of Water, to address water resource management and access to water services issues. This component will finance the following activities: (a) Support to the new Ministry of Water and the National Office for Drinking Water (ONEP) to better manage their respective mandates, including: (i) technical assistance for the implementation of key activities outlined in the sector audit action plan; (ii) a study to inform the development of a sector strategy for the achievement of SDG6, which will outline the vision and set the targets, investment needs and priorities in this regard; (iii) capacity strengthening to help build the new Ministry’s expertise on key project management functions; and (iv) the preparation of the next generation of sector reform including introducing performance targets and incentives in the PPP contract, strengthening ONEP’s financial autonomy and capacity to manage and develop the sector assets, enhancing the sector accountability to citizens and creating an enabling environment for the sector to attract more private finance; (b) Support to the Division of Hydrology within the Ministry of Water to ensure proper attention is given to water resources management in water investment planning, including: (i) studies on water resources quality and planning; (ii) development and equipment of information collection and monitoring platforms using new technologies to transfer, analyze and share hydrological data o and (iii) capacity strengthening; and (c) Support the improvement of the sector performance, with a pilot program to address non-revenue water and develop a new approach of assets management and replacement based on clear diagnostics and new technologies, including for District Metered Areas (DMAs) installation, leak detection tools or smart metering. This will result in improving operational performance, strengthening ONEP capacity in asset 5 Based on the Ministry of Health’s most recent annual assessment (Statistiques Scolaires 2018), 43 percent of schools in the project areas lack latrines (impacting around 40,000 students) and 64 percent of schools lack access to a water point (impacting over 20,500 students Mar 04, 2019 Page 8 of 19 The World Bank Cote d'Ivoire Urban Water Supply Project AF (P170502) management and increasing the attractiveness of the sector for further private engagement. The AF will finance: (i) the contract of a private enterprise that will be competitively selected to implement DMAs and identify priority investments to be renewed in pilot areas in the southern district of Abidjan; and (ii) the purchase of goods (pipes, valves, equipment) that will be incorporated in the sector assets, further optimizing renewal costs for which ONEP is responsible for. 20. Component D: Project Management (original US$2.53 million, AF US$5.32 million, total US$7.85 million): This component will cover the costs of managing and implementing the project. E. Implementation Project Institutional and Implementation Arrangements 1. The implementation arrangements used under the parent project have been carried out to the World Bank’s satisfaction. Their replication is expected to expedite implementation. However, to take account of the scaled-up and additional activities under the AF, the project management framework and work relations between the various entities contributing to implementation will be slightly revised. Existing or new written agreements will be updated or entered into to reflect the project scope and objectives. 2. Project supervision. The mandate and composition of the project’s Steering Committee will be updated to reflect (i) the transfer of chairmanship from the Ministry of Economic Infrastructure (in the parent project) to the new Ministry of Water and ensure the adequate representation of the Ministry in charge of Sanitation, and (ii) the scaled-up scope of the project. 3. Project management and coordination. The existing PCU has demonstrated a satisfactory performance to date and is a solid vehicle with strong capacity to implement the scaled-up program. It will continue to ensure the management and overall coordination of the proposed project. It will (a) manage the implementation of all project components; (b) carry out FM and procurement; (c) prepare annual work plans and budgets, to be approved by the project’s Steering Committee and IDA; (d) ensure M&E and reporting (including safeguards and financial reporting); and (e) carry out citizen engagement and communication activities. The PCU will capacity will be strengthened to carry out the additional work incurred by expanded breath of the project. The implementation support contract signed for the parent project between the Ministry of Economic Infrastructure and the PCU will be revised to reflect the new role and scope of responsibility of the new Ministry of Water (previously embedded in the Ministry of Economic Infrastructure) and ensure better coordination of stakeholders involved in the project. 4. Similarly, for the AF, the existing implementation support contract between ONEP and the PCU for the supervision of the water supply infrastructure component will be updated. An additional implementation support contract will be established between ONAD and the PCU. All implementation support contracts will detail the respective roles and responsibilities of, respectively, ONEP, ONAD, and the PCU, as well as the resources and expertise that will be dedicated to the successful implementation of related activities. The signing of each of these updated or new agreements, including the Decree updating the composition of the Steering Committee, will be set as a dated covenant. 5. Procedures and manuals. The existing FM and Procurement procedures manual which was prepared during the first phase of the project will be used for the AF following minor updates to reflect the aspects of the AF. The update of the project implementation manual, including the institutional, fiduciary, technical and other aspects as needed, will be set as a dated covenant. 6. Monitoring & Evaluation. M&E will be managed by the PCU, which includes an experienced M&E unit. The unit will collect data from ONEP, SODECI and ONAD, and works supervision teams to elaborate the project monitoring Mar 04, 2019 Page 9 of 19 The World Bank Cote d'Ivoire Urban Water Supply Project AF (P170502) indicators. The new sanitation activities will be tracked by ONAD and works supervision teams. The other M&E arrangements will remain unchanged, including regular progress reports to be prepared and submitted to the Bank. 7. Procurement. Procurement performance under the parent project has been Satisfactory to date. The procurement team of the PCU is fully experienced in World Bank procedures. Procurement of the restructured project (parent and AF) will conform to the new World Bank’s ‘Procurement Regulations for Borrowers’, dated July 2016, revised November 2017 and August 2018. ‘Guidelines on Preventing and Combating Fraud and Corruption in Projects Financed by IBRD Loans and IDA Credits and Grants�, dated October 15, 2006 and revised in January 2011 and as of July 1, 2016 will continue to apply. The Procurement Project Strategy for Development (PPSD) has been developed to analyze the key features of the AF and related procurement risks and opportunities, building on the lessons learned from the parent project and similar IDA-funded projects. A Procurement Plan for the first 18 months of implementation aligned with the PPSD will be agreed between the Recipient and the World Bank at negotiations. 8. Financial Management and disbursement. Financial Management (FM) performance under the parent project has been Satisfactory to date. FM arrangements for the AF will be based on the existing arrangements in place. In line with the principles of mainstreaming project implementation arrangements within the Government, the project will continue to benefit from the support of the financial controller from the Ministry of Budget and the public accountant from the Ministry of Finance who have been assigned to the PCU and demonstrated their overall performance is adequate. In addition, as per a 2018 national Arrêté, the Directorate of Inspection of the Ministry of Finance will be involved to strengthen the internal audit function of the project. Disbursement arrangements will remain unchanged. A new Designated Account (DA) will be opened at the Central Bank (BCEAO) and a Project Account (PA) in a commercial bank under terms and conditions acceptable to IDA. Disbursements will be made against submission of Statements of Expenditures (SOE) or other available methods (reimbursement, direct payment and special commitment). 9. Safeguards. The EA Category of the project will remain B as the risks associated with the planned scaled-up or new activities remain moderate, site-specific and easily manageable. The Recipient has demonstrated a satisfactory capacity to plan and implement environmental and social safeguards instruments (ESIAs, RAPs) and measures under the parent project. The PCU can rely on adequate staffing, internally, within ONEP and the contractors and supervising engineers, monitoring and evaluation procedures as well as a citizen engagement strategy. Additional support is earmarked to further strengthen the safeguards function as needed. Technical studies are underway for the scaled-up water works in the eight centers already targeted by the parent project. Studies for other centers will be launched after effectiveness. The exact locations will be determined once detailed studies of each center are completed. Indeed, as the investments contain work in linear (water pipe) it is better to wait to know the exact routes with a greater optimization of the rights of way) to minimize the impacts and possible displacements of populations. Therefore, no ESIA or RAP has been prepared at appraisal stage. Instead, the initial Environmental and Social Management Framework (ESMF) and Resettlement Policy Framework (RPF) have been updated and consulted upon. The RPF was disclosed in country on May 2, 2019 and on the World Bank’s website on May 2, 2019. The ESMF was disclosed in country on May 4, 2019 and on the World Bank’s website on May 4, 2019. It is also important to underscore that a strategy on citizen engagement has been developed in the parent project, which is under implementation and will be extended to the activities of the AF. The main social and environmental impacts expected (drilling and water distribution, construction of latrines and social connections) in the construction and operational phases) are inherent of any investments of this nature and the safeguards instruments that will be prepared will help manage them according to the Bank standards. . Mar 04, 2019 Page 10 of 19 The World Bank Cote d'Ivoire Urban Water Supply Project AF (P170502) F. Project location and Salient physical characteristics relevant to the safeguard analysis (if known) The Project will focus on (i) eight urban centers which core districts were already targeted by the parent project: Agboville, Beoumi, Bingerville, Ferkessedougou, Korhogo, NDouci, NZianouan and Tiassale and which surrounding neighborhoods and communities along the water mains will benefit of water services under the AF; and (ii) four additional secondary centers: Dabou, Issia, Niakara and Songon. G. Environmental and Social Safeguards Specialists on the Team Abdoul Wahabi Seini, Social Specialist Abdoulaye Gadiere, Environmental Specialist SAFEGUARD POLICIES THAT MIGHT APPLY SAFEGUARD _TBL Safeguard Policies Triggered? Explanation (Optional) Project activities involve rehabilitation of existing piped water schemes and expansion of the capacities of production, storage, adduction and distribution networks according to the current situation and most pressing needs to address. Most of the adverse impacts and risks expected from the project are constituted by dust, noise and waste nuisance. Based on that, the project is classified B because expected potential impacts will be moderate, site specific and easily manageable. In Environmental Assessment OP/BP 4.01 Yes addition, conventional and well mastered water treatment technologies envisaged under the project should minimize potential risks and impacts. The specific areas of the civil works are not yet known and will be determined later. Therefore, to comply with the Bank and the national environmental regulation, the Recipient has prepared an updated Environmental and Social Management Framework (ESMF) that has been reviewed and consulted upon and was disclosed in-country on May 4, 2019 and on the World Bank’s website on May 4, 2019. Performance Standards for Private Sector The ongoing Additional Financing does not trigger No Activities OP/BP 4.03 this policy. Mar 04, 2019 Page 11 of 19 The World Bank Cote d'Ivoire Urban Water Supply Project AF (P170502) The project will not finance activities that affect Natural Habitats OP/BP 4.04 No natural habitats. The project will not finance activities related to Forests OP/BP 4.36 No forest exploitation, harvesting, direct or indirect forest degradation, and increased access to forests. The project will not finance acquisition, transport, distribution, storage or use of pesticides or similar Pest Management OP 4.09 No chemicals that could threaten environmental and human health. This policy is triggered because of the nature of civil works to be financed under component A of the project, which will unquestionably induce excavation. Some of the project intervention areas have been inhabited for centuries, therefore likely to Physical Cultural Resources OP/BP 4.11 Yes host underground artifacts. To prevent any destruction due to excavation during civil works and to make sure all precautions have been taken to safeguard physical cultural resources, a chance find procedure was included in the ESMF and will subsequently be detailed in ESIAs. There are no Indigenous Peoples in the project Indigenous Peoples OP/BP 4.10 No areas. The project will include rights of way for the water distribution networks, and minimal land acquisition for water production, storage and distribution. Most of works should be done in the public domain. However, for peoples who are engaged in economic activities and who could be affected, the RAP will offer the necessary compensations and support measures to avoid loss of income and restore livelihoods. Involuntary Resettlement OP/BP 4.12 Yes Therefore, the Recipient has prepared an updated Resettlement Policy Framework (RPF) that has been consulted upon and was disclosed in-country on May 2, 2019 and on the World Bank’s website on May 2, 2019. During project implementation, the social impact assessment will determine for each sub- project, whether the project activities may lead to land acquisition, or loss of resources or of asset. Resettlement Actions Plans (RAP) will be prepared, implemented and disclosed accordingly. The project will not finance dam works or activities Safety of Dams OP/BP 4.37 No associated to existing dams. Mar 04, 2019 Page 12 of 19 The World Bank Cote d'Ivoire Urban Water Supply Project AF (P170502) The project will not finance activities that will Projects on International Waterways No interfere with international watercourses; either in OP/BP 7.50 terms of water withdraw or discharge of pollutants. The project intervention areas are not under Projects in Disputed Areas OP/BP 7.60 No dispute. KEY SAFEGUARD POLICY ISSUES AND THEIR MANAGEMENT OPS_SAFEGUARD_SUMMARY_TBL 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 proposed AF is intended to finance the costs associated with scaled-up activities to increase the development effectiveness of the well-performing parent project, double the total number of beneficiaries from 550,000 to 1,200,000 and strengthen the sustainability and social and environmental impacts of improved water supply and sanitation services. The Recipient has demonstrated a satisfactory capacity, during the implementation of the parent project, to plan and manage environmental and social safeguards measures in compliance with the provisions of the Financing Agreement. The AF aims to expand the water production, storage and distribution capacity of centers where the parent project is already under implementation. In addition, the AF will benefit additional beneficiaries in other centers by expanding the geographic scope of the ongoing project to rehabilitate and expand existing piped water schemes. Proposed works under the sanitation component will be limited to sanitation facilities in schools and health centers, as well as rehabilitation of domestic latrines. Most of the adverse impacts and risks anticipated during construction and rehabilitation works, which the Recipient would have to prevent and monitor, are site-specific, moderate and reversible. They comprise minor to moderate biophysical and social impacts related to noise, increased dust in the local atmosphere, waste nuisance and loss of vegetation at the borrow pit sites during the construction phase. Based on the experience of the parent project, the duration of works should not exceed one year in total for each site, which will limit potential annoyance during the construction phase. All production and storage sites will be fenced to protect both the neighboring populations and the infrastructure themselves. Also, some options will limit the social negatives impacts. The use of manual excavations for the installation of water canals and water distribution networks will minimize the negative impacts in terms of restriction of access to homes and disruption of commercial activities. It is expected that only a limited number of temporary displacements may occur during project implementation, which shall be managed through the RAPs that will be prepared for each site or sub-project. In addition, some options such as the use of manual excavations for the installation of water canals and water distribution networks will help minimizing the negative impacts in terms of number of people to resettle, restriction of access to homes and disruption of commercial activities. Overall, no potential significant and irreversible adverse impact, direct or indirect, is expected to occur from project activities either during the construction or operation phase. In addition, the overall project environment and social impact was assessed significantly positive on the quality of life and reduction of water-related diseases. The project (parent and AF) will provide significant improvement in the Mar 04, 2019 Page 13 of 19 The World Bank Cote d'Ivoire Urban Water Supply Project AF (P170502) quality and availability of water supply provided to the project beneficiaries. This will allow (i) reduced time spent fetching water to alternative sources of water for households not yet connected to the public system or whose service was intermittent or interrupted due to water shortages that new works financed by the project address and (ii) safer quality and increased volumes of water for all domestic uses, also linked to induced benefits in terms of avoided illnesses, cost of related health treatment and opportunity cost for income generating activities. On this basis, the AF remains classified B as expected potential impacts will be moderate, site specific and easily manageable. In addition, conventional and well mastered water treatment technologies envisaged under the project should minimize potential risks and impacts. 2. Describe any potential indirect and/or long term impacts due to anticipated future activities in the project area: Technical options are based on each center’s hydrological and topographic situation (ground or surface water; gravity or pumping, etc.), as well as population growth. ONEP regional master plans help make decision to select the most relevant options in terms of water availability and diversification of resources to address long term needs while minimizing the cost of mobilizing resources and avoiding long term impacts. So, no potential indirect or long term impacts are foreseen during project implementation and operational phase. In particular, most centers targeted by the project rely on surface water and design for production capacity takes into account the cumulative impacts of water withdrawn against the respective rivers’ flows, including seasonal variations, to ensure river levels are maintained. Specific water resources management studies and additional AF activities such as monitoring of river levels through the hydrological data platforms will help moderate any potential long term or cumulative impact that could arise during the operational phase of the works after the project. 3. Describe any project alternatives (if relevant) considered to help avoid or minimize adverse impacts. While realizing ESIAs for planned investments, all options will be studied with the aim of determining on the one hand, which design has less spatial footprint and on the other hand, which one is associated with less environmental and social potential adverse impacts and resettlement. 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. To prevent the negative impacts and maximize the positive ones during the project lifetime, three safeguard policies had been triggered under the parent project and will continue to apply throughout the project lifetime: Environmental Assessment (OP/BP 4.01); Physical Cultural Resources (OP/BP 4.11) and Involuntary Resettlement (OP/BP 4.12). No RAP or ESIA has been prepared at this stage because even though activities and localities are more or less known, the exact location of the civil works has not yet been determined and the technical studies in the process of being finalized will enable to fix the final sites and rights-of-way. Indeed, as the investments contain work in linear (water pipeline) it is better to wait to know the exact layouts with a greater optimization of the rights of way to minimize the impacts and possible displacements of populations. Instead, an Environmental and Social Management Framework (ESMF) and a Resettlement Policy Framework (RPF) have been prepared and consulted upon. The updated RPF was disclosed in country on May 2, 2019 and on the World Bank’s website on May 2, 2019. The updated ESMF was disclosed in country on May 4, 2019 and on the World Bank’s website on May 4, 2019. The ESMF outlines a process for environmental and social screening of project activities ,the preparation and the disclosure site-specific safeguard instruments (Environmental and Social Impact Assessment-ESIA, including an Environmental and Social Management Plan-ESMP), as may be required, as soon as the exact locations and scope of Mar 04, 2019 Page 14 of 19 The World Bank Cote d'Ivoire Urban Water Supply Project AF (P170502) activities are known. It also contains measures and plans to reduce, mitigate, and/or offset adverse impacts and enhance positive impacts, provisions for estimating and budgeting the costs of such measures, and information on the agency or agencies responsible for addressing project impacts. It also includes Guidelines for an ESIA; Environmental Guidelines for contractors and subcontractors; and a summary of World Bank safeguard policies. To mitigate potential issues related to Physical Cultural Resources, a specific chapter was developed and included in the ESMF. While the World Bank Group Environmental, Health and Safety (EHS) guidelines for water and sanitation will continue to apply, the implementing agency now has a more stringent responsibility in enhancing environmental, social, occupational, health and safety (ESHS) performance. Specific requirements – including, among others, the presence of qualified ESHS expertise in key expert teams and the contractor’s Code of Conduct detailing ESHS strategy and implementation plan – have been embedded as contractual obligations in the World Bank standard bidding documents for civil works and the standard request for proposals procurement document (dated April 2015, updated January and October 2017). Contract amendments were prepared and signed for all works and supervision of works contracts under the parent project to include such requirements that did not exist when the contracts were negotiated. All works and supervision of civil works contracts to be procured under the AF will be subject to such obligations. During project implementation or as soon as the design studies will be completed, and specific sites fully identified, any eligible investment subproject/activity will be processed through the environmental and social screening procedure and if eligible, be subject to the preparation and approval of an ESIA and/or RAP (if necessary) prior its implementation. The screening is executed by the Project coordination unit’s environmental and social safeguard specialists. Any specific ESIA including an ESMP prepared in accordance to the screening result will be consulted upon, submitted to the World Bank for approval, disclosed accordingly, and implemented throughout the project duration. The RPF outlines the principles and procedures to be followed in the event of land acquisition, impact on assets and/or loss of livelihoods. During implementation or as soon as project sites will be identified, the Recipient will prepare Social Impact Assessments (SIAs) in the respective sites to determine whether land will be acquired and/or activities will create restriction of access or loss of resources or assets. Wherever necessary, specific Resettlement Action Plans (RAPs) in accordance to the SIA results will be prepared in consultation with the affected stakeholders, submitted to the World Bank for approval, fully executed before the commencement on the ground of related civil works and disclosed accordingly. Recipient capacity. The Recipient has demonstrated satisfactory capacity to plan and implement environmental and social safeguards measures. The ESMF and RPF prepared during preparation of the parent project were approved timely to the satisfaction of the Bank and duly disclosed. Within six months after effectiveness, the PCU prepared and disclosed required ESIA/ESMPs and RAPs for the project sites. Government funding for the RAPs was available on time and RAPs were fully executed, with no issue or complaint to report to date. The safeguards performance rating has remained Satisfactory since the initial ISR. Quarterly progress reports include a chapter on the implementation of environmental and social safeguards measures. The PCU has maintained an adequate staffing including an environmental safeguards specialist, who was already in the PRICI team, and a social safeguards specialist who was hired under the project. To strengthen the capacity of the Recipient in safeguards management, one environmental safeguards specialist and one social safeguards specialist were also recruited under the parent project’s proceeds for the benefit of ONEP. A similar measure will apply under the AF to strengthen the safeguards capacity of ONAD. A budget is earmarked in the project budget to support the implementation of the safeguard measures. Mar 04, 2019 Page 15 of 19 The World Bank Cote d'Ivoire Urban Water Supply Project AF (P170502) Any additional capacity strengthening measure deemed necessary to improve the safeguard function in this operation would be taken. 5. Identify the key stakeholders and describe the mechanisms for consultation and disclosure on safeguard policies, with an emphasis on potentially affected people. The key stakeholders are: (i) the beneficiary communities; (ii) Ministries (and their relevant divisions and/or agencies) in charge of hydraulics, sanitation and drainage, urban development and habitat, and environment; and local development and decentralization; (iii) the participating municipalities and communes, NGOs and other relevant institutions. One of the key principles of this project from the outset was to foster participation of all relevant stakeholders and ownership of the project. This approach will be sustained throughout project implementation. The environmental and social assessment studies, namely the ESMF and RPF, were also carried out according to the same principle, using broad-based public consultation approach to inform all relevant bodies and raise awareness on the project objectives, activities and impacts. Concerns of the communities and details of the consultations have been taken into account in the ESMF and RPF reports. Key aspects include: (i) permanent consultation and interaction with the population, (ii) timely compensation process for those impacted by the project and; (iii) development of access to homes, businesses and social infrastructure during the execution of works. All these concerns have been addressed in the alternatives proposed through the ESMF and the RPF. OPS_SAFEGUARD_DISCLOSURE_TBL B. Disclosure Requirements (N.B. The sections below appear only if corresponding safeguard policy is triggered) OPS_EA_DISCLOSURE_TABLE Environmental Assessment/Audit/Management Plan/Other For category A projects, date of Date of receipt by the Bank Date of submission for disclosure distributing the Executive Summary of the EA to the Executive Directors 18-Apr-2019 04-May-2019 "In country" Disclosure Cote d'Ivoire 04-May-2019 Comments OPS_RA_D ISCLOSURE_T ABLE Resettlement Action Plan/Framework/Policy Process Date of receipt by the Bank Date of submission for disclosure 19-Apr-2019 02-May-2019 Mar 04, 2019 Page 16 of 19 The World Bank Cote d'Ivoire Urban Water Supply Project AF (P170502) "In country" Disclosure Cote d'Ivoire 02-May-2019 Comments OPS_PM_ PCR_TABLE If the project triggers the Pest Management and/or Physical Cultural Resources policies, 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: OPS_COMPLIANCE_INDICATOR_TBL C. Compliance Monitoring Indicators at the Corporate Level (to be filled in when the ISDS is finalized by the project decision meeting) (N.B. The sections below appear only if corresponding safeguard policy is triggered) OPS_EA_COMP_TABLE 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 Practice Manager (PM) review and approve the EA report? Yes Are the cost and the accountabilities for the EMP incorporated in the credit/loan? Yes OPS_ PCR_COM P_TA BLE OP/BP 4.11 - Physical Cultural Resources Does the EA include adequate measures related to cultural property? Yes Does the credit/loan incorporate mechanisms to mitigate the potential adverse impacts on cultural property? Yes OPS_IR_ COMP_TA BLE OP/BP 4.12 - Involuntary Resettlement Has a resettlement plan/abbreviated plan/policy framework/process framework (as appropriate) been prepared? Yes If yes, then did the Regional unit responsible for safeguards or Practice Manager review the plan? Yes Is physical displacement/relocation expected? TBD Is economic displacement expected? (loss of assets or access to assets that leads to loss of income sources or other means of livelihoods) TBD OPS_ PDI_ COMP_TA BLE Mar 04, 2019 Page 17 of 19 The World Bank Cote d'Ivoire Urban Water Supply Project AF (P170502) The World Bank Policy on Disclosure of Information Have relevant safeguard policies documents been sent to the World Bank for disclosure? Yes Have relevant documents been disclosed in-country in a public place in a form and language that are understandable and accessible to project-affected groups and local NGOs? Yes OPS_ALL_COMP_TABLE All Safeguard Policies Have satisfactory calendar, budget and clear institutional responsibilities been prepared for the implementation of measures related to safeguard policies? Yes Have costs related to safeguard policy measures been included in the project cost? Yes Does the Monitoring and Evaluation system of the project include the monitoring of safeguard impacts and measures related to safeguard policies? Yes Have satisfactory implementation arrangements been agreed with the borrower and the same been adequately reflected in the project legal documents? Yes CONTACT POINT World Bank Mouhamed Fadel Ndaw Senior Water Supply and Sanitation Specialist Veronique Verdeil Senior Water Supply and Sanitation Specialist Borrower/Client/Recipient Republic of Cote d'Ivoire Abdoulaye Bakayoko Technical Advisor, Ministry of Economy and Finance abdoulaye.bakayoko@hotmail.fr Implementing Agencies Mar 04, 2019 Page 18 of 19 The World Bank Cote d'Ivoire Urban Water Supply Project AF (P170502) Cellule de Coordination du PRICI (CC-PRICI) - PREMU Gilbert Ekpini Project Coordinator gekpini@gmail.com FOR MORE INFORMATION CONTACT The World Bank 1818 H Street, NW Washington, D.C. 20433 Telephone: (202) 473-1000 Web: http://www.worldbank.org/projects APPROVAL Mouhamed Fadel Ndaw Task Team Leader(s): Veronique Verdeil Approved By Safeguards Advisor: Hanneke Van Tilburg 08-May-2019 Practice Manager/Manager: Yogita Mumssen 08-May-2019 Country Director: Pierre Laporte 08-May-2019 Mar 04, 2019 Page 19 of 19