Document of The World Bank FOR OFFICIAL USE ONLY Report No: ICR00003097 IMPLEMENTATION COMPLETION AND RESULTS REPORT ON A CREDIT IN THE AMOUNT OF SDR42.2 MILLION (IDA-45810) (US$62.20 MILLION EQUIVALENT) AND AN ADDITIONAL FINANCING OF SDR25.50 MILLION (IDA-59240) (US$35 MILLION EQUIVALENT) TO THE PEOPLE'S REPUBLIC OF BANGLADESH FOR THE CLEAN AIR AND SUSTAINABLE ENVIRONMENT PROJECT SEPTEMBER 26, 2019 Sustainable Development Practice Group South Asia Region Environment, Natural Resources and Blue Economy Global Practice This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization. CURRENCY EQUIVALENTS (Exchange Rate Effective [March 4, 2019]) Currency Unit = Bangladeshi taka (BDT) BDT 84.135= US$1 US$1.37 = SDR 1 FISCAL YEAR July 1 – June 30 ABBREVIATIONS AND ACRONYMS AF Additional Financing AQC Air Quality Cell AQMP Air Quality Management Project AQW Air Quality Wing BRT Bus Rapid Transit BTIC Brick Technology Information Centre BUET Bangladesh University of Engineering and Technology CAA Clean Air Act CAMS Continuous Air Monitoring Stations CAS Country Assistance Strategy CASE Clean Air and Sustainable Environment CDM Clean Development Mechanism CNG Compressed Natural Gas CPF Country Partnership Framework DCC Dhaka City Corporation DMP Dhaka Metropolitan Police DNCC Dhaka North City Corporation DOE Department of Environment DPP Development Project Proposal DSCC Dhaka South City Corporation DSM Design, Supervision, and Monitoring DTCA Dhaka Transport Coordination Authority DTCB Dhaka Transport Coordination Board DUTP Dhaka Urban Transport Project EOP End of Project ESMAP Energy Sector Management Assistance Program ESMF Environmental and Social Management Framework ESW Economic and Sector Work FCKs Fixed Chimney Kilns FOB Foot Overbridge GEF Global Environment Facility GHG Greenhouse Gas GoB Government of Bangladesh GRS Grievance Redress Service ICRR Implementation Completion and Results Report IRR Internal Rate of Return MDG Millennium Development Goal MOEFCC Ministry of Environment, Forest, and Climate Change MV Motorized Vehicle NILU Norwegian Institute for Air Research NMV Non-Motorized Vehicle NPV Net Present Value PAD Project Appraisal Document PD Project Director PDO Project Development Objective PIU Project Implementation Unit PM Particulate Matter PRSP Poverty Reduction Strategy Paper SDG Sustainable Development Goal SSKE South-South Knowledge Exchange STP Strategic Transportation Plan TMC Traffic Management Committee TTL Task Team Leader VSBK Vertical Shaft Brick Kiln WHO World Health Organization Regional Vice President: Hartwig Schafer Country Director: Mercy Miyang Tembon Regional Director: John Roome Practice Manager: Magdolna Lovei Task Team Leader(s): Harinath Sesha Appalarajugari, Nupur Gupta ICR Main Contributor: Oswaldo Patino TABLE OF CONTENTS DATA SHEET .......................................................................................................................... 1 I. PROJECT CONTEXT AND DEVELOPMENT OBJECTIVES ....................................................... 6 A. CONTEXT AT APPRAISAL .........................................................................................................6 B. SIGNIFICANT CHANGES DURING IMPLEMENTATION ..............................................................10 II. OUTCOME .................................................................................................................... 13 A. RELEVANCE OF PDOs ............................................................................................................13 B. ACHIEVEMENT OF PDOs (EFFICACY) ......................................................................................14 C. EFFICIENCY ...........................................................................................................................20 D. JUSTIFICATION OF OVERALL OUTCOME RATING ....................................................................21 E. OTHER OUTCOMES AND IMPACTS .........................................................................................21 III. KEY FACTORS THAT AFFECTED IMPLEMENTATION AND OUTCOME ................................ 23 A. KEY FACTORS DURING PREPARATION ...................................................................................23 B. KEY FACTORS DURING IMPLEMENTATION .............................................................................24 IV. BANK PERFORMANCE, COMPLIANCE ISSUES, AND RISK TO DEVELOPMENT OUTCOME .. 25 A. QUALITY OF MONITORING AND EVALUATION (M&E) ............................................................26 B. ENVIRONMENTAL, SOCIAL, AND FIDUCIARY COMPLIANCE .....................................................27 C. BANK PERFORMANCE ...........................................................................................................28 D. RISK TO DEVELOPMENT OUTCOME .......................................................................................30 V. LESSONS AND RECOMMENDATIONS ............................................................................. 31 ANNEX 1. RESULTS FRAMEWORK AND KEY OUTPUTS ........................................................... 33 ANNEX 2. BANK LENDING AND IMPLEMENTATION SUPPORT/SUPERVISION ......................... 47 ANNEX 3. PROJECT COST BY COMPONENT ........................................................................... 49 ANNEX 4. EFFICIENCY ANALYSIS ........................................................................................... 50 ANNEX 5. BORROWER, CO-FINANCIER AND OTHER PARTNER/STAKEHOLDER COMMENTS ... 59 ANNEX 6. SUPPORTING DOCUMENTS (IF ANY) ..................................................................... 64 The World Bank Clean Air and Sustainable Environment Project (P098151) DATA SHEET BASIC INFORMATION Product Information Project ID Project Name P098151 Clean Air and Sustainable Environment Project Country Financing Instrument Bangladesh Investment Project Financing Original EA Category Revised EA Category Partial Assessment (B) Partial Assessment (B) Organizations Borrower Implementing Agency Department of Environment, Ministry of Environment People's Republic of Bangladesh and Forests, Dhaka South City Corporation Project Development Objective (PDO) Original PDO To improve air quality and safe mobility in Dhaka through the implementation of demonstration initiatives in urban transport and brick making Page 1 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) FINANCING Original Amount (US$) Revised Amount (US$) Actual Disbursed (US$) World Bank Financing 62,200,000 60,964,701 61,418,233 IDA-45810 35,000,000 26,665,150 25,854,320 IDA-59240 Total 97,200,000 87,629,851 87,272,553 Non-World Bank Financing 0 0 0 Borrower/Recipient 9,050,000 0 0 NORWAY: Norwegian Agency for Dev. Coop. 0 0 0 (NORAD) Bilateral Agencies 0 0 0 (unidentified) Total 9,050,000 0 0 Total Project Cost 106,250,000 87,629,851 87,272,553 KEY DATES Approval Effectiveness MTR Review Original Closing Actual Closing 12-May-2009 19-Aug-2009 17-Jan-2013 31-Dec-2014 31-Mar-2019 Page 2 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) RESTRUCTURING AND/OR ADDITIONAL FINANCING Date(s) Amount Disbursed (US$M) Key Revisions 04-Jul-2013 23.85 Change in Results Framework Change in Components and Cost Change in Loan Closing Date(s) Reallocation between Disbursement Categories 13-Jan-2017 55.09 Additional Financing Change in Results Framework Change in Components and Cost Change in Loan Closing Date(s) 06-Dec-2018 77.05 Change in Components and Cost Change in Loan Closing Date(s) Cancellation of Financing Reallocation between Disbursement Categories Change in Implementation Schedule 19-Mar-2019 83.20 Change in Components and Cost Cancellation of Financing Reallocation between Disbursement Categories KEY RATINGS Outcome Bank Performance M&E Quality Satisfactory Satisfactory Modest RATINGS OF PROJECT PERFORMANCE IN ISRs Actual No. Date ISR Archived DO Rating IP Rating Disbursements (US$M) 01 20-Nov-2009 Satisfactory Moderately Satisfactory 5.36 02 19-Apr-2010 Satisfactory Moderately Satisfactory 5.36 03 14-Nov-2010 Satisfactory Satisfactory 5.74 04 13-Jul-2011 Satisfactory Moderately Satisfactory 7.78 05 09-Jan-2012 Satisfactory Moderately Satisfactory 9.67 06 10-Apr-2012 Satisfactory Moderately Satisfactory 13.80 07 19-Dec-2012 Moderately Satisfactory Moderately Satisfactory 18.49 08 30-May-2013 Moderately Satisfactory Moderately Satisfactory 22.37 Page 3 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) 09 24-Nov-2013 Satisfactory Satisfactory 30.23 10 28-Apr-2014 Satisfactory Moderately Satisfactory 34.41 11 14-Oct-2014 Satisfactory Moderately Satisfactory 39.64 12 29-Apr-2015 Satisfactory Moderately Satisfactory 42.89 13 29-Oct-2015 Satisfactory Moderately Satisfactory 48.42 14 09-May-2016 Satisfactory Moderately Satisfactory 51.23 15 16-Nov-2016 Satisfactory Moderately Satisfactory 55.23 16 27-May-2017 Satisfactory Moderately Satisfactory 57.54 17 21-Nov-2017 Satisfactory Moderately Satisfactory 65.74 18 03-May-2018 Satisfactory Moderately Satisfactory 68.92 19 07-Jan-2019 Satisfactory Moderately Satisfactory 78.31 20 27-Mar-2019 Satisfactory Moderately Satisfactory 84.49 SECTORS AND THEMES Sectors Major Sector/Sector (%) Public Administration 16 Central Government (Central Agencies) 16 Transportation 75 Urban Transport 61 Public Administration - Transportation 14 Industry, Trade and Services 9 Other Industry, Trade and Services 9 Themes Major Theme/ Theme (Level 2)/ Theme (Level 3) (%) Page 4 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) Urban and Rural Development 0 Urban Development 20 Urban Infrastructure and Service Delivery 20 Environment and Natural Resource Management 0 Environmental Health and Pollution Management 69 Air quality management 23 Water Pollution 23 Soil Pollution 23 Environmental policies and institutions 10 Private Sector Development 100 Jobs 100 ADM STAFF Role At Approval At ICR Regional Vice President: Isabel M. Guerrero Hartwig Schafer Country Director: Xian Zhu Mercy Miyang Tembon Director: John Henry Stein John A. Roome Practice Manager: Karin Erika Kemper Magdolna Lovei Harinath Sesha Appalarajugari, Task Team Leader(s): Maria Sarraf Nupur Gupta ICR Contributing Author: Oswaldo Patino Page 5 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) I. PROJECT CONTEXT AND DEVELOPMENT OBJECTIVES A. CONTEXT AT APPRAISAL Original Context 1. Rapid urban population growth and high level of air pollution. At the time of project appraisal, it was noted that Bangladesh was experiencing rapid urban population growth, most of which was in and around Dhaka – the country’s capital. The concentration of the key air pollutant of concern (particulate matter [PM]) in Dhaka and other major cities has been steadily increasing, with an annual average much higher than the World Health Organization (WHO) guidelines. Two of the primary sources of urban air pollution in Dhaka was vehicles (43.0%) followed by small brick kiln industries (37.5%). Polluting sectors were expected to grow manifold which, in turn, would drive the growth of air pollutants and greenhouse gas (GHG) emissions, unless efforts are urgently initiated to reduce these sources of air pollution. 2. Transport conditions in Dhaka. Rapid urban population growth has far outstripped the capacity of urban infrastructure, leading to a low level of efficiency and shortages. The transport conditions in Dhaka have been characterized by chronic traffic congestion and delays, low quality of public transport service, lack of comfort and safety for pedestrians, and growing air pollution. The Strategic Transport Plan (STP) for Dhaka, prepared under the World Bank-financed Dhaka Urban Transport Project (DUTP), underscored the large size of the transport investment needs in the metropolitan area and recommended a program that includes new roads and bus rapid transit (BRT) and metro systems, which clearly exceeds the financial capacity of the Government and the scope of the proposed project. Therefore, there was a need for a bridge project to support physical demonstrative investments in traffic management that contributes to improvement in air quality, technical capacity and institutional reforms before supporting a more substantive and ambitious urban transport initiative. 3. The first cross sectoral project in South Asia region to address air pollution. The urban environmental problems in Bangladesh are numerous and interrelated. Addressing these in a comprehensive manner requires coordination between a large number of sector ministries and agencies, which is a challenge in itself. The project was a first step towards the integration of environmental and transport concerns and priorities under one project. The engagement of the environment and transport ministries and agencies under the project was to pave the way for a more fruitful collaboration in the future. The Government of Bangladesh (GoB) recognized that an integrated approach would be the ideal way to approach the problem. This called for demonstrating innovative approaches, rather than the regulatory approach that the GoB had traditionally undertaken through the Department of Environment (DOE). It also generated possible ‘co-benefits’ of addressing local air pollution, such as PM and GHG emissions reduction. The project design recognized that addressing air pollutants not only reduces health impacts and costs but also generates other benefits including better mobility in the case of transport and reduced energy consumption in the case of small brick kiln industries. 4. Building on lessons learned from past projects. The Project built on the experiences and lessons of two past World Bank-supported projects in Bangladesh: the Air Quality Management Project (AQMP), a Learning and Innovation Loan and the DUTP, a Specific Investment Loan. The GoB was keen to develop and implement actions that were multisectoral and that demonstrated how to comprehensively address air quality and urban transport issues. These projects demonstrated that, if the foundation of a proposed Page 6 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) intervention is technically sound, it is possible to work with stakeholders and build the support necessary for implementation. However, sustaining the impact of the interventions requires deeper and continuous engagement with the polluting sectors and better capacity to plan, monitor, regulate, and implement environmental interventions. The Project was designed to assist the GoB in these endeavors. 5. The project was also consistent with the World Bank’s Country Assistance Strategy (CAS); The CAS FY06-09 for Bangladesh identifies urban air quality as a major environmental health issue and was among the CAS’s planned activities. The subsequent Country Partnership Frameworks (CPF) 2011-14 (Strategic Objective 2: Reduce Environmental Degradation and Vulnerability to Climate Change and Natural Disasters) and 2016-20 (Objective 1.3 Improved Delivery of Basic Services in Urban Areas) also identified environment management and air pollution as the priority areas of focus. The project also contributed to environmental sustainability of the Millennium Development Goals (MDGs). Theory of Change (Results Chain) 6. The project results chain is presented in figure 1. It illustrates key inputs/activities, outputs, and outcomes by project component. The long-term outcome is to reduce urban air pollution by undertaking pilot demonstration interventions, encouraging institutional reform, and providing technical assistance in key polluting sectors such as brick making and transport. The project encouraged as best practice the integration across environment and transport to demonstrate sharing benefits, when addressing local and global pollutants such as PM and GHG emissions, together with the improvement of better mobility in the case of transport and adoption of cleaner technologies in the case of small brick industries. The project sought to achieve these outcomes by tailoring activities to achieve key outputs and intermediate outcomes necessary to facilitate the related outcomes for improving air quality and safe mobility as shown in figure 1. Page 7 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) Figure 1: Theory of Change Long-term The long-term goal is to improve the economy, achieve health benefits and improve quality of life. Goal Medium PDO 1: Improve air quality in Dhaka. PDO2: Improve safe mobility in Dhaka. outcomes Number of brick kilns adopting cleaner Vehicular traffic Increase of Pedestrian using Pedestrian using Lower technology and decreasing (i) particulate increased at selected vehicular traffic in Foot-Over-bridges sidewalks in locations outcomes emissions by 20% and (ii) GHG emission by intersections with location of in locations of of intervention 20% by end of project period. operational traffic interventions. interventions. (revised). signals (new). 1.1. At least 2 cities with updated source/ 2.1. Construction of Foor-Over-Bridges. 1.6. Vehicular emission standard updated. 2.9. Revised DTCB Act empowering DTCB emissions profiles. presented to the Cabinet for approval. 2.2. New sidewalk with surface drainage constructed. 2.10. Revised MVO Act for reduction in 1.2. Clean Air Act drafted with stakeholder emissions submitted to the Cabinet. consultations and recommended to GoB for 2.11. Studies for (i) rationalization of bus adoption (new). 2.3. Traffic safety campaign. route network (ii) BRT on a pilot. 2.4. Corridors of separation of MV and NMV 1.3. Continuous air monitoring stations traffic. providing air quality data in Bangladesh. Outputs 2.5. Intersections physically imporoved. 1.4. Brick burning act drafted for Cabinet´s approval. 2.6. Intersections with new traffic signals installed and operational. 1.5. Communication campaign implemented. 2.7. Intersections with operational signals (including newly installed and existing fixed). 2.8. Complete study and implement key recommendations for better mobility of disabled people in one selected area in Dhaka. 1. To support capacity building of the Air 1. Physical improvement of traffic flow and 1. Technical studies to prepare the bus Quality Wing. pedestrian mobility. route network rationalisation and 2. To strengthen DOE’s air quality monitoring, 2. Institutional strengthening and regulatory franchising. data analysis and reporting. review for DCC and DTCB. 2. Project management services. Activities 3. To strengthen emission standards, 3. Project management services. enforcement and controls for emissions. 4. Brick kilns emissions management. 5. Communication campaigns and analytical studies and project management. Page 8 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) Project Development Objectives (PDOs) 7. The PDO was ‘to improve air quality and safe mobility in Dhaka through the implementation of demonstration initiatives in urban transport and brick making’. 8. The Theory of Change presented in the manner above as the analysis of the results chain revealed that Outcomes 1.6, 2.9, 2.10, and 2.11 supported achievement of the long-term project goal, but were not directly related to the two sub-objectives included in the project’s overall PDO statement. Key Expected Outcomes and Outcome Indicators 9. Specific project outcome indicators included the following: • Decrease in particulate emissions by 20–30% per brick kiln adopting a cleaner technology by the end of the project • Reduction in GHG emissions by 15–20% per brick kiln adopting a cleaner technology by the end of the project • Improved traffic flow in project intervention locations leading to a 10% increase in vehicular traffic throughput by the end of project • A 10% decrease in the number of traffic accidents in the locations of project interventions by the end of project implementation, particularly, for those who use non-motorized vehicles, public transportation and women 10. As is evident from the indicators themselves, while some of them will directly lead to a reduction in air emissions and/or improvement in ambient air quality, others are likely to contribute to it indirectly. To support the achievement of the PDO and ensure its sustainability, the project also aimed to assist the GoB with a number of regulatory actions, including the following: • Revision of the Brick Burning Act • Revision of emission standards for key polluting industries as part of strengthening the legal and regulatory framework for emissions management • Revision of the Motor Vehicle Act that covers vehicular emissions and fuel quality standards • Revision of the Dhaka Transport Coordination Board (DTCB) Act to enable bus route network restructuring and franchising; and • Development of Clean Air Act Original Components 11. The project was structured around two components: (i) the environment component implemented by DOE with subcomponents including capacity building for air quality management, brick kilns emissions management, communication campaigns and analytical studies, project management and Page 9 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) coordination; and (ii) the transport component with subcomponents including physical improvement of traffic flow and pedestrian mobility, institutional strengthening and regulatory review and project management implemented by Dhaka City Corporation (DCC) and subcomponents on preparation of the bus route network rationalization and franchising, institutional strengthening and regulatory review and project management implemented by DTCB. Table 1 below shows the estimated and actual resource allocation for each component. Table 1: Estimated and Actual Cost Component Financing (in USD) Original Cost Additional Total Financing Final Cost at Approval Financing Component 1: Environment 16,232,000.00 17,000,000.00 33,232,000.00 25,854,320.00 Component 2: Transport A. BSCC/DNCC 39,299,000.00 18,000,000.00 57,299,000.00 54,950,000.00 B. DTCA 6,673,000.00 0.00 6,673,000.00 6,468,233.00 Total Component Costs 62,204,000.00 35,000,000.00 97,204,000.00 87,272,553.00 GOB Contribution 9,050,000.00 0.00 9,050,000.00 2,810,000.00 Grand Total –Project Cost 71,254,000.00 36,582,201.00 106,254,000.00 90,082,553.00 12. Project institutional arrangements. The MOEFCC was envisaged as the ministry with responsibility for overall project coordination. Project implementation was carried out by three sectoral agencies through their respective PIUs: (a) the DOE, for the environment component; (b) the DCC for implementing the traffic management and engineering Subcomponent 2A and (c) the DTCB for implementing the public transport-related Subcomponent 2B. Each PIU was assigned project resources for financing consultants, travel expenses, equipment, financial audits, and other operating costs for project implementation. It should be noted that during implementation, the DCC was split into two separate entities: Dhaka South City Corporation (DSCC) and Dhaka North City Corporation (DNCC); while the DTCB was strengthened as the Dhaka Transport Coordination Authority (DTCA) with a new organizational structure and staff to improve urban transport planning and coordination among different urban transport entities. B. SIGNIFICANT CHANGES DURING IMPLEMENTATION Revised PDOs and Outcome Targets 13. The PDO was not revised throughout the project implementation period. However, there were some changes made to the PDO indicators under the first and second restructuring exercises, which occurred in 2013 and 2016 (approved in January 2017) respectively. The third and fourth restructuring took place in December 2018 and March 2019, respectively, to extend the project closing date and cancel unused funds. 14. In July 2013, following the midterm review, which included a thorough review of the Results Framework, it was agreed that revisions would be undertaken to enhance the measurability of indicators. Page 10 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) At this time, one PDO indicator related to the transport component was dropped and replaced by two new PDO indicators that were considered more feasible to quantify. 15. In January 2017, a second restructuring and an Additional Financing (AF) of US$35 million were approved. At this time, two of the four PDO indicators had achieved their end-of-project targets while the remaining two PDO indicators were on track to achieve their end-of-project targets. As part of the AF, a new PDO indicator to monitor the impact of operationalization of traffic signals was included, while the end target for the indicator on pedestrian usage of sidewalks was revised to monitor additional locations supported through the AF. Results of some intermediate indicators were enhanced, and certain new intermediate indicators were also added during this restructuring. 16. The original and revised PDO indicators and targets are presented in table 2. Table 2. Original and Revised PDO Indicators and Targets Revise New/Revised PDO Result Revised New/Revised PDO d Original PDO -Result Original Indicators Target Indicators Target Indicators Targets (2013) (2013) (2016 – AF) (2016) (AF) RI1: Decrease in 10 Revised. RI1: Number of 12 Continued particulate emissions per demo brick kilns adopting cleaner demo brick kiln adopting kilns technologies and decreasing kilns cleaner technologies and (i) particulate emissions by practices of 20%–30% by 20% and (ii) GHG emissions end of project period. by 20% by end-of-project period. Reduction in GHG 10 Revised. Incorporated in emissions per brick kiln demo revised RI1 above. adopting cleaner kilns technologies and practices by 15%–20% compared to the prevailing baseline status. RI2: Improved traffic flow 10% Revised. RI2: Increase of 239,500 Continued in locations of (cumula vehicular traffic in location intervention because of tive) of interventions reduced congestion, as measured by increase of vehicular traffic throughput. RI3: Reduction in the 10% Dropped. It was determined number of traffic (cumula that this indicator is difficult accidents in locations of tive) to measure, and it was intervention. therefore replaced with two new indicators (below) which were easier to quantify. Page 11 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) Revise New/Revised PDO Result Revised New/Revised PDO d Original PDO -Result Original Indicators Target Indicators Target Indicators Targets (2013) (2013) (2016 – AF) (2016) (AF) New. RI3: Pedestrians using 75% Continued Foot Over Bridges in locations of interventions. New. RI4: Pedestrians using 75% Revised. 75% sidewalks in locations of Additional locations intervention. supported through AF were to be monitored. New. RI5: Vehicular 8% traffic increased at selected intersections with operational traffic signals. Revised Components 17. The 2013 Level 2 restructuring was approved in July 2013, after a comprehensive review of all project activities during the midterm review of the project. The objective of the restructuring was to enhance the development impact of the project resulting in changes to both components of the Project. Under Component 1 (Environment), the industrial air emission control activity was dropped to allow greater focus on improving the vehicle emission enforcement program, while under Component 2 (Transport), two activities were dropped: the one-way street in Mohammadpur and Old Dhaka subcomponent were dropped due to difficulties in implementing lane separation, while the Parking Strategy Study was dropped as the GoB was considering to carry out a similar study through own resources. Further, the exercise also (a) refined and simplified the Results Framework to make it a more useful management tool; (b) reallocated project funds; (c) extended the closing date from December 31, 2014, to December 15, 2016; and (d) amended some terminologies and definitions to match the GoB’s institutional and economic framework. Additional Financing 18. During the 2017, an AF of US$35.0 million was approved to (i) cover the financing gap to achieve long term objectives of the project; (ii) finance costs of associated activities for augmenting and sustaining air quality management initiatives in Bangladesh; (iii) testing models for improving the traffic management system in Dhaka; and (iv) designing follow-on air quality and traffic management programs to scale up support to the country’s sustainable urbanization and growth, as envisaged during project design. The AF financed the following activities: Component 1 (Environment) for US$17.0 million supported (a) infrastructure for environmental compliance monitoring, (b) policy development and the strengthening of institutional capacity, (c) knowledge management, and (d) incremental operating costs. Component 2 (Transport) for US$18.0 million supported (a) improvement of signal and intersection infrastructure, (b) capacity building on traffic management, (c) traffic studies and awareness campaigns, (d) piloting mobility improvements for the disabled, and (e) incremental operating costs. Page 12 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) 19. In connection with the AF, this second restructuring also further revised the Results Framework to reflect the higher results expected to be achieved due to additional financing and extended the project closing date from December 15, 2016, to December 15, 2018. Other Changes 20. A third restructuring was approved in December 2018 to (a) extend the project closing date to March 31, 2019 to allow for the completion of critical activities which had been initiated through the AF but had experienced unavoidable implementation delays and (b) cancel savings, which had accrued to the project due to currency fluctuation and dropping of non-critical activities. 21. The fourth and final restructuring was approved on March 20, 2019 and authorized the cancellation of US$3.5 million (SDR 2.513 million) in savings in the AF. These savings were accrued due to the currency fluctuation and the difference in estimated and actual value of contracts awarded by the implementing agencies. Rationale for Changes and Their Implication on the Original Theory of Change 22. The modifications did not affect the original Theory of Change but rather enhanced the ability to measure progress toward achievement of the PDO, higher outputs and sustainability of project interventions. At the time of the 2013 restructuring, the implementation teams revised the scope of some activities, simplified the Results Framework, reallocated project funds to address sharp increases in project activities and incremental operating costs, and extended the project’s closing date to December 2016. Under the 2016 restructuring with the AF, the changes to the project were the inclusion of activities to sustain and augment the outcomes from the environment component and, under the transport component, the activities were the provision of additional resources for improvements of the signal and intersection infrastructure, capacity building for key stakeholders in the transport sector, and additional studies, including for the mobility needs of persons with disabilities. The 2016 restructuring with the AF also extended the project closing date to December 2018, while the December 2018 restructuring canceled unused funds and extended the project by an additional 3.5 months to March 31, 2019; the final restructuring in March 2019 canceled the remaining unused funds from the AF. 23. The extensions were particularly critical to achieving the PDO as early closure would have risked full attainment of project objectives. Further, the revisions to the indicators did not affect the Theory of Change but provided better metrics for assessing the achievement of the PDO. These modifications reflected the priorities of the Government in relation to its commitment to improving the quality of air and urban mobility in Dhaka. II. OUTCOME A. RELEVANCE OF PDOs Assessment of Relevance of PDOs and Rating Page 13 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) 24. The PDO under the original loan remained aligned with the GoB’s priorities to reduce the level of air pollution emissions and improve urban transport conditions in Dhaka, as well as the World Bank’s CAS of 2006-2009 and 2011-2014. 25. PDO1 was consistent with the GOB’s 6th five-year plan (FY11–FY15) whose main objectives were to (a) ensure appropriate environment management systems for sustainable development; (b) enhance enforcement for pollution control; and (c) enhance, preserve, and conserve natural resources. Among these objectives, air quality management was identified as one of the high priority issues by the GoB and specific actions were identified to improve air quality in Dhaka and other large cities, including the ‘Clean Air Act’ as priority policy. 26. With regard to PDO2, Dhaka is known as one of the most congested cities in the world and requires investments in public transport and urban safety mobility. The GoB has also identified, as a key pillar, the promotion of public transport through demonstration activities aimed at traffic management and urban mobility programs to scale up support for the country’s sustainable urbanization growth. PDO2 was consistent with the GoB and World Bank strategies. 27. Further, it should be noted that, not only did the PDO remain unchanged throughout the project, including under the AF, but the PDO is still relevant under the current World Bank Country Partnership Framework (CPF) for Bangladesh, FY16–FY20; and the GoB 7th five-year plan. As a result, the rating for relevance is High. B. ACHIEVEMENT OF PDOs (EFFICACY) Assessment of Achievement of Each Objective/Outcome 28. Efficacy of the CASE Project is evaluated against the two main outcomes encapsulated in the PDO statement: PDO1: to improve air quality in Dakar through the implementation of demonstration initiatives in brick making and PDO2: to improve safe mobility in Dhaka through the implementation of demonstration initiatives in urban sector. 29. As described in preceding paragraphs, while the PDO remained unchanged throughout the life of the project, the PDO result indicators were revised and/or expanded under the first two formal restructurings, the second of which included an AF. It should be noted that none of the original PDO result indicators were kept as designed, after the first restructuring exercise in 2013. By its closing date of March 31, 2019, the project successfully achieved its two PDOs as shown in table 3. Table 3. PDO Targets and Achievement of Outcomes Restructuring Restructuring & Actual Development Original Result Indicator (RI) 2013 AF 2016 Achieved Objective Target Target Result Target Result RI1: Decrease in particulate emissions per brick kiln 10 PDO1: To Revised and adopting cleaner technologies demo improve air merged and practices of 20–30% by kilns quality in end of project period Dhaka RI1: Reduction in GHG 10 Revised and emissions per brick kiln demo merged Page 14 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) Restructuring Restructuring & Actual Development Original Result Indicator (RI) 2013 AF 2016 Achieved Objective Target Target Result Target Result adopting cleaner technologies kilns and practices of 15–20% compared to the prevailing baseline status Revised: RI1 Number of brick 12 kilns kilns adopting cleaner Target technology and decreasing (a) 12 3 kilns 12 10 kilns Achieved particulate emissions by 20% kilns kilns 2017 and (b) GHG emission by 20% by end of project period RI2: Improved traffic flow in PDO2: To locations of intervention improve because of reduced 10% Revised mobility in congestion, as measured by Dhaka increase of vehicular traffic throughput Revised: RI2: Increase of 293,197 vehicular traffic in location of 239,500 239,500 232,000 Exceeded interventions target RI3: Reduction in the number of traffic accidents in locations 10% Dropped of intervention New: RI3: Pedestrian using 85% Foot-Over-Bridges in locations 75% 20% 75% 79% Exceeded of intervention target New: RI4: Pedestrian using 78% sidewalks in locations of 75% 42% 75% 78% Exceeded intervention target New: RI5: Vehicular traffic 9.5% increased at selected 8% 8% Exceeded intersections with operational Target traffic signals PDO1: To improve air quality in Dhaka through the implementation of demonstration initiatives in brick making 30. Original project. The efficacy rating is Modest measured by the number of brick kilns adopting cleaner technology and decreasing (a) particulate emissions by 20 percent and (b) GHG emissions by 20 percent. By the original end date for the project—December 2014—the project had completed only three brick kilns while the remaining nine were under construction. 31. 2013 restructuring. The efficacy rating is Substantial. In December 2016—the end date of the project after its 2013 restructuring—ten demonstration brick kilns had been completed while the remaining two were at the final stage of construction. Page 15 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) 32. 2016 restructuring and AF. The efficacy rating is High. Following the 2016 restructuring with the AF, during the extension of the loan closing date to March 2019, the project completed the remaining two brick kilns, thereby succeeding in delivering the target of twelve brick kilns piloting the use of cleaner technologies and brick-making practices. The brick kiln entrepreneurs implemented four pilot methodologies, resulting in one kiln using alternative building materials, and eleven using cleaner technologies. The latter were designed, installed, and put into operation with the following technologies: one VSBK, two closed top zigzag kilns, and eight conversions of FCKs to zigzag kilns. It is worth noting that the actual performance of these pilot kilns (as assessed by Bangladesh Council of Scientific and Industrial Research) surpassed the energy efficiency and decreased GHG emissions targets with actual results of more than 30 percent energy efficiency and over 70 percent pollution reduction. In addition, the brick kiln pilots contributed to the significant reduction of SO2 emissions (80 percent), which is an additional contribution of PDO1. 33. In addition to the successful impact of the brick kilns, by March 2019, the project also satisfactorily achieved the following activities associated with its intermediate outcome indicators: (a) The GoB’s capacity for air quality management was built. The project supported the newly established AQC, which was created to centralize management of air quality and to ensure the institutional sustainability of the DOE’s air quality management efforts, which had been developed through the previous AQMP. AQC was upgraded to Air Quality Wing (AQW) during the project period and supported (i) relevant capacity-building opportunities to increase its technical effectiveness in managing air quality; (ii) technical studies in emission inventory, dispersion modelling, source apportionment, and dust management; (iii) necessary air quality monitoring equipment; and (iv) the handover of 16 continuous air monitoring stations (CAMS) built under the project. With the increased capacity obtained through the project, the AQW was able to monitor air quality, analyze data, and publish monthly reports during the project execution period. It is worth noting that the DOE, with the CASE Project, established and operates a countrywide air quality monitoring network with 16 CAMs in 13 major cities and is also supported with 15 mobile monitoring systems. This network encompasses all the regions of the country—Dhaka, Narayanganj, and Gazipur in the centre; Chittagong in the southeast; Khulna and Barisal in the south; Rajshai in the west; and Sylhet in the northeast regions of the country. With this network, five air pollutants (PM, SO2, NOx, O3, and CO) are currently being monitored and the air quality index is calculated for each city and published online daily in their respective city. As a result, the public can now check the status of the air quality in their respective city. Further, the project also financed successful update of the emissions profiles of four cities— Dhaka, Chittagong, Rajshahi, and Khulna (exceeding the intermediate outcome target)—as well as construction of DOE office building, including the auditorium and establishment of air quality laboratory. (b) The policy was updated, and laws, regulation, and enforcement mechanisms were strengthened. The project strengthened institutional and regulatory framework for air quality management in Bangladesh. These included establishment and strengthening of AQW with the approved staff of 23, development of Clean Air Act (CAA), deployment of Page 16 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) CAMS and low-cost air quality monitors and air quality lab at DoE. Efforts of GoB for a cleaner brick industry was also strengthened with the completion of a Long-Term Policy Framework for Greening the Brick Industry, development of comprehensive inventory and mapping of brick kilns in Dhaka, and the revision of the Brick Burning Act —now the Brick Manufacturing and Kiln Construction Control Act, 2013. In relation to vehicles, the project also helped obtain the approval of an updated Vehicular Emissions Standard in 2014. (c) Widespread communications campaign undertaken. With public awareness being a critical input to the success of the project and the sustainability of the initiatives after project closure. Planned communications campaigns were successfully launched in 2014 by both DoE and DSCC/DNCC and continued throughout the project period. (d) Uptake of cleaner and energy-efficient technologies facilitated for the brick-making sector. Under the project, the Brick Technology Information Centre (BTIC) was established and was tasked with facilitating the adoption of the cleaner and more energy-efficient technologies throughout the brick-making sector of Bangladesh, as well as providing training and capacity building to the various stakeholder groups in the sector. In addition, the project also initiated demonstration activities related to non-fired brick manufacturing, albeit these could not be completed within the project period. 34. Based on the evidence of achievement outlined above, the project was successful in demonstrating reduced pollution in the brick-making sector, as well as in strengthening the GoB’s capacity to manage air quality. Further, with the strengthened policy, legal, and regulatory frameworks, Bangladesh now has a robust framework under which to upgrade its 2,800 brick kilns over the medium term. Therefore, the project’s achievements are sustainable with a robust contribution to the country’s long-term objective of cleaner air in Bangladesh. 35. PDO2: To improve safe mobility in Dhaka through implementation of demonstration initiatives in urban transport 36. Original project. The efficacy is rated Negligible. In the original project, this objective was measured against two results indicators: increase of vehicular traffic in location of intervention and traffic accidents. Before restructuring, there were no data results on these indicators as the contracts to undertake the improvement works at the intersections were only awarded in 2013. With respect to the original traffic accidents indicator (revised under the first restructuring), the data on the traffic accidents were not available, which prompted the GoB and World Bank teams to agree that the indicator should be dropped. 37. 2013 restructuring. The efficacy is rated High. Following the 2013 restructuring, the transport- related PDO was measured against three results indicators: revised RI2, new RI3, and new RI4. By 2016, results on two of the indicators—RI3 and RI4—exceeded the end-of-project target, while the end-of- project target on RI2 was virtually achieved. 38. 2016 restructuring. The efficacy is rated High. Following the 2016 restructuring with the AF, an additional indicator was introduced to measure the transport PDO: new RI5. The indicators RI2, RI3, and RI4 all exceeded their targets, while RI5 fully achieved its target. The specific results achieved on the indicators are described below: Page 17 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) (a) RI2: Vehicular traffic in location of interventions indicator reached a count of 232,000, which was 97 percent of the target of 239,500. With the extension of the project closing date to December 2018, the vehicular traffic indicator in the locations of interventions achieved 293,197, thereby exceeding the original target by over 26 percent. (b) RI3: Pedestrians using Foot Over Bridges in locations of intervention. The percentage of pedestrians using the 23 FOBs constructed under the project achieved 85 percent, which exceeded the original target (75 percent) by 10 percentage points. (c) RI4: Pedestrians using sidewalks in locations of intervention. By December 2017, the project had installed 70 km of new sidewalk with surface drainage in different locations. While the target for December 2016 was 75 percent of pedestrians using the new sidewalk installations, the actual result measured as of 2016 was 78 percent, which exceeded the target by 3 percent. (d) RI5: Vehicular traffic increased at selected intersections with operational traffic signals exceeded the target of 8 percent to reach 9.5 percent by end of project. This is a result of new traffic signals installed at 29 intersections and the physical improvement of 39 intersections. 39. By end of project, the intermediate indicators related to the transport component also recorded robust results as described in the following: (a) Physical improvement of traffic flow and pedestrian mobility achieved. The CASE Project delivered 70 km of new sidewalk with surface drainage as well as the construction of 23 FOBs. With the combination of these two physical investments, pedestrian mobility and safety were greatly improved. In terms of traffic flow, the pilot in regard to the separation of traffic was not fully implemented as it was not enforced in most project locations. There were issues with the operation and management of newly installed and repaired signals, as some of their performance had not stabilized by project closing and further the DMP was still coming onboard with regard to taking them over. Despite this, the traffic flow improved locally at the intersections where physical improvement was made and the traffic signals were repaired or installed. (b) Institutional capacity and regulatory framework for the planning and coordination of urban transport was strengthened. There was technical assistance support to the DCC (now the DNCC and DSCC), as well as the execution of capacity building and institutional strengthening activities for the DCC, DMP, and DTCA staff. Although the fragmentation and mandate between the DCC and DMP regarding traffic signals and traffic management continued to be problematic throughout the project, by project end, the DMP was designated as the lead agency for traffic management with all operation and maintenance functions by the GoB. In addition, a Traffic Engineering Cell with a staff strength of 39 personnel had been approved. Further, in terms of the legal framework, on March 8, 2012, the DTCA Act was officially established, renaming the DTCB as the DTCA, and giving the agency the authority and capacity necessary to effectively execute the urban transport mandate. Page 18 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) (c) Planning for a larger urban transport project completed. Studies for (i) rationalization of the bus route network and (ii) BRT on a pilot corridor were completed by the end of the project. These studies provided the foundation for the GoB to introduce better quality bus operations on the bus routes, as well as to assess the feasibility of implementing a BRT corridor in Dhaka. A new project to implement the BRT and improve public transport with World Bank financial support is under preparation at the time of this Implementation Completion and Results report (ICRR). (d) Traffic safety campaigns executed. As at October 2017, three campaigns were executed to spread the message of clean and safe mobility. The campaigns used a variety of communication tools and encouraged pedestrians to use the FOBs, underpasses, and sidewalks for their own safety. (e) Study for better mobility of the disabled. By February 2019, two workshops with government agencies and civil society organisations to develop a vision for the Dhaka City, which promoted improvement of accessibility for persons with disabilities, had been undertaken. These activities resulted in the preparation of the draft vision, creation of a video clip posted on the World Bank’s website as part of an awareness raising campaign, and advice to enhance the designs of sidewalks and bus stops that were also constructed as pilots under the CASE Project with standards for disabled people. 40. Through the physical pilot interventions, studies and awareness raising activities, and institutional capacity strengthening, the project was successful in laying the foundation for the GOB to scale-up its investment and planning activities to improve the pedestrian environment, traffic management, and overall urban transport system in Dhaka. The project demonstrated the necessary tools, facilitated the relevant agencies to collaborate, and supported the studies so that the GOB is ready to take the next steps. 41. The efficacy ratings are summarized in table 4. Table 4. Summary of the Efficacy Ratings for the CASE Project 2016 Original Project 2013 Restructuring and 2009–2012 Restructuring AF 2016–2019 PDO 1: To improve air quality in Dhaka through the implementation of demonstration initiatives in brick making Revised: RI1: Number of brick kilns adopting Modest Substantial High cleaner technology and decreasing (i) particulate emissions by 20% and (ii) GHG emission by 20% by end of project period PDO 2: To improve safe mobility in Dhaka through implementation of demonstration initiatives in urban transport Revised: RI2: Increase of vehicular traffic in Negligible High High location of interventions New: RI3: Pedestrian using Foot Over Bridges in Negligible High High locations of intervention New: RI4: Pedestrian using sidewalks in locations Negligible High High Page 19 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) of intervention New: RI5: Vehicular traffic increased at selected High intersections with operational traffic signals PDO2 overall rating: Negligible High High Justification of Overall Efficacy Rating before Restructuring 42. Before the 2013 restructuring, the loan was not on track to meet its PDO end-of-project targets by December 2014. Only two of ten kilns were constructed, while there were no results to report on the traffic indicators related to improved traffic flow or the reduction in the number of traffic accidents at the locations of intervention. Consequently, the project’s efficacy before the first restructuring was rated Negligible. Justification of Overall Efficacy Rating after 2013 Restructuring 43. Following the 2013 restructuring, the project recorded improved results on all four of its PDO indicators, with almost full achievement of two indicators and surpassing of the remaining two targets. Due to this evidence, the efficacy achieved during the 2013–2016 project implementation period is rated High. Justification of Overall Efficacy Rating after 2016 Restructuring with AF 44. With the 2016 restructuring and the AF, a new PDO result indicator was introduced for the extended project implementation period and additional funds were provided. As shown in table 3, in March 2019, the target for RI5 was fully achieved, thereby resulting in a rating of High. C. EFFICIENCY Assessment of Efficiency and Rating 45. Economic analysis. This Implementation Completion and Results Report (ICRR) has conducted economic analysis at two levels. At appraisal, technical assistance and capacity-building activities were found unamenable to economic analysis. The analysis was, therefore, limited only to those activities where some meaningful estimates of the costs and potential benefits and/or beneficiaries could be made. These included the brick subcomponent within the environment component and the traffic signaling in the transport component. The first of the two-level economic analysis in this ICRR was to update the original analysis prepared for the parent project using new information available and the proposed AF activities. The methodologies used for the update follow those of the original analysis. 46. A second level of economic analysis was carried out at the ICRR level for the overall project including the activities not included in the original analysis at appraisal. This could not be compared with any similar analysis at appraisal (as an overall economic analysis was not undertaken at that stage). To avoid overestimation of benefits, the economic analysis undertook a conservative approach. Though the analysis covers a significant portion of direct and indirect benefits of the project, some of the project benefits, that is, the benefit from capacity-building initiatives, pedestrian health benefits, and benefits from disability-related initiatives in urban transport, are not included in the analysis mostly due to avoiding double counting and lack of information. The economic analysis has also excluded future benefits of policy actions. However, the immediate direct and indirect benefits in terms of improvement of air Page 20 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) quality and safe mobility in Dhaka through the implementation of all demonstration initiatives in urban transport and brick-making sectors were considered. The ICR economic analysis also considered the actual costs of both the environment and transport component including the subcomponents. 47. The analysis presents an internal rate of return (IRR) of 33.14 percent for the overall project and benefit-cost ratio (BCR) of 11.03 with an economic net present value (NPV) of US$ 892.55 million (US$1 = BDT 84.5). Based on these results, the efficiency of the project is ‘Substantial’. A detailed description of the economic analysis and its assumptions are presented in annex 4. D. JUSTIFICATION OF OVERALL OUTCOME RATING 48. The final outcome rating is Satisfactory based on high relevance of the PDO, high overall efficacy in achieving the intended outcome, and the satisfactory efficiency with which the inputs and budget resources translated into results with substantial IRR. The Project as designed, was a timely operation that was highly relevant to the Bangladeshi context. It featured a clear and comprehensive project strategy with that can help development of future programs. This to some extent was initiated through AF, which helped scaling up some interventions. 49. Relevance of the PDO. The PDO remains relevant and is rated High as it remains aligned with Bangladesh’s National Sustainable Development Strategy 2010–2021, as well as the World Bank Country Partnership Framework (CPF) for Bangladesh, FY16–FY20. 50. Efficacy of the PDO. The efficacy receives High rating as most of the PDO targets had been met or exceeded. With full achievement of the PDO targets under the environment component and continued high achievement under the transport component, the overall efficacy of the PDO is High. 51. Efficiency of the project. The project overall has been assessed to have achieved an efficiency rating of Substantial with high IRR of 33.14 percent. The extended period of execution—from the planned period of five years compared to the actual period of ten years (2009–2019), had a negative impact but the extended period also helped scaling up some interventions and achieved higher targets. The task team has proactively mobilized TF grants of $610k (see para 94) to strengthen the impact of transport component of the project. E. OTHER OUTCOMES AND IMPACTS Gender 52. While the project was targeted at the entire population of Dhaka, during preparation, it was noted that women walk more than men and, as a result, were more vulnerable than men due to their increased exposure to air pollution and unsafe traffic. In this respect, it was expected that improvements in air quality and mobility would benefit women more than men, and with the provision of sidewalks and FOBs, those who are most prone to road accidents—women, children, and elderly—would be the greater beneficiaries of these mobility and environment-related improvements. The project also contributed to improving the health and working condition of the seasonal workers at brick kilns where many women are involved. Page 21 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) Institutional Strengthening 53. The Project strengthened the environment institutional capacity of key stakeholders, and Government agencies. The Project improved DOE’s capacity by strengthening AQW through training programs on air quality management, operation and maintenance of CAMS, establishment of laboratory and augmenting the approved staff strength to 23 people. In addition, drafting the Clean Air and Brick Burning Act as well as updating the vehicular emission standards also strengthened regulatory framework for air quality management. All these actions enabled reduction of particulate emissions and GHG emissions and associated air quality improvements. The project also made significant contributions to the institutional strengthening for urban traffic and public transport for the GoB. By the end of the project, DMP had been designated the nodal agency for traffic signals in Dhaka and the creation of a dedicated Traffic Engineering cell was approved. The creation of an empowered and enhanced DTCA for delivering its coordination and urban transport planning function was a significant achievement. In particular, the project provided, through component 2, several capacity building activities for the agencies. Mobilizing Private Sector Financing 54. The project provided technical assistance as well as improved and cleaner brick kiln technologies to the entrepreneurs. These key inputs mobilized the brick-making entrepreneurs to use their own resources, with the maximum amount being US$20,000 per company, to retrofit their brick kilns (a total of about US$2.4 million), as against US$400,000 of technical consultant support. The proven success of this initiative among the entrepreneurs was critical to encourage over 2500 entrepreneurs upgrade their brick kilns. In addition, the pilots under the project are expected to support GoB’s efforts to control emissions in the brick-making sector, which currently comprises over 9000 brick kilns across the country. Poverty Reduction and Shared Prosperity 55. The project did not have specific poverty reduction objectives, activities, or indicators. However, with regard to air quality, the reduced emissions directly from the pilot brick kilns and indirectly through new and strengthened regulations have a significant positive impact on the poor and vulnerable who work at and close to sites and sources of exposure. With an estimated average of 100 labor per brick kiln, such vulnerable population is estimated at about 900,000 people in all 9000 brick kilns across the country. 56. For the transport component, the upgrades on sidewalks, intersections, FOBs, improved traffic flow resulting from the traffic signals, and the strengthened regulations for traffic, have increased the degree of safety for the general pedestrian population as they access their jobs and other key businesses and services. 57. In addition, other significant positive changes were recognized within the neighborhoods which benefitted from the installation of sidewalks and paved roads in terms of living standards—better access to urban amenities, education, and health care and even recreational facilities, and also better safety and security for women, girls, and local people. 58. The poor are the primary users of public transport, who most often walk on the public road infrastructure. As a result, the road installations have significantly improved the conditions of the poor who access the structures. Page 22 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) 59. Additional positive economic impacts were increased benefits from land/houses due to increased land price and/or rent, increased job opportunities for the low-income people, and time-saving benefits to local communities. III. KEY FACTORS THAT AFFECTED IMPLEMENTATION AND OUTCOME A. KEY FACTORS DURING PREPARATION 60. Strong Government commitment. The project received strong support from the GoB because improved environment and safety urban mobility were high priorities as reflected in its PRSP and STP for Dhaka. The commitment was further underscored by the inclusion of environment and transport in the CASs agreed with the World Bank between 2006 and 2014. 61. Project design that incorporated lessons learned on previous projects. The design of the project was realistic as it was built on the experience and lessons learned from the World Bank’s involvement with the previous AQMP and the DUTP in Bangladesh. The overall project design was complex from the proposed institutional arrangements, with project management spread across three implementing agencies (DCC, DCTB, and DOE) and participation of the secretaries of the environment (MOEFCC), local government, and transport to adopt a co-benefit approach to address air pollution, having focussed on the installation of demonstration pilot projects, including upgrades to road sections, that would significantly ease pedestrian and traffic mobility. This institutional setup delayed project implementation in terms of procurement processes and approving award contracts requiring final approval from the line secretary together with the secretary of project coordination, MOEFCC. 62. Relatively simple design of the Results Framework. The original Results Framework was of a simple design and key quantitative outcome and output indicators were chosen to evaluate the performance of the demonstrations and improvements that would be installed under the project. However, the monitoring and evaluation (M&E) design could have been more effective as discussed in the section assessing the quality of M&E (section IV (a)). 63. Good assessment of major risks. Analysis of project risks at entry resulted in an overall project risk rating of Substantial. This was further supported by a political economy analysis by the team. Specific risks identified as High or Substantial pointed at the institutional capacity of the GoB to institute the necessary staffing, coordination, governance, anticorruption, and procurement risk mitigation. The project design team therefore instituted appropriate mitigation measures such as the requirement that independent consultants be hired to support execution; that three executing agencies manage their own project fund accounts but the PIUs and PSC would ensure coordination; strict requirements for procurement activities were mandated; and that staff would be trained to manage a complaints redress system. All these measures were to address the project implementation risks identified at project preparation. 64. Readiness for implementation. In summary, the project benefitted substantially from experience, lessons learned, and capacity that had been developed during previous World Bank-supported projects in the environment and transport sectors. As such, the Project was well prepared for implementation with a simple, logical design; relevant and appropriate objectives and targets; a clear understanding of the Page 23 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) strengths and weaknesses of the participating agencies; and the development of sound measures to support smooth implementation. B. KEY FACTORS DURING IMPLEMENTATION 65. Throughout the 10-year period from project approval to closing, project implementation was affected by factors that were under the control of the GoB, sector agencies, and the World Bank as well as by external factors. 66. Nine-month delay between loan effectiveness and issuance of the Government Order. Following loan approval from the World Bank’s Board in May 2009, the loan was declared effective three months later—in August 2009. However, the Government Order to allow expenditure on the project was not granted until April 2010. This resulted in a delay of almost one year between Board approval and the start of project implementation. 67. Delays due to protracted processes for the revision of the Development Project Proposal (DPP). The DPP must be approved to allow the GoB to make expenditures on the project. There was a 4-month delay in the approval of the DPP after loan effectiveness was attained in 2009 as well as a 12-month revision process for the third revision of the DPP in 2015/2016. 68. Multiple delays in implementing the pilot brick kilns activity. The initial delay in approval of the DPP affected this activity as the contract could not be launched until the DPP had been approved. Further, other delays in the process included (a) lengthy process for selecting the pilot brick kilns consultant; (b) lengthy process in selecting entrepreneurs who were capable of investing in the new technologies; and (c) the requirement of a substantial amount of time to complete the technical design and testing of the pilot kilns. In addition, the uptake on the opportunity to invest in a new kiln was slow because the lending institutions in Bangladesh were unwilling to provide loans to the brick kiln entrepreneurs for the new technologies. 69. Complex institutional setup affected procurement contracting and payments to contractors. The complexity of the project’s institutional setup resulted in delays in the approvals for procurement contracts under the project. Three PIUs were established, each in a separate ministry. Though the DOE had the overall coordination responsibility for the project, procurement documents had to be reviewed and approved in accordance with the approval processes established within each individual ministry before submission to the DOE for final review and approval. The additional review and approval steps contributed to significant contracting delays, particularly for contracts valued at US$1.0 million and more. Also, this affected payments on project contracts which affected smooth project implementation. 70. Split of the DCC into two corporations. In December 2011, the GoB split the DCC into the DNCC and DSCC. This affected the yearly performance of the CASE Project as project activities fell almost equally between the two jurisdictions. This resulted in additional administrative workload on the original DCC PIU which was then required to report to two corporations, as well as determine which city corporation was to administer the relevant project contracts. 71. Slow handover of traffic signals to the DMP. Though the installation of the 91 traffic signals was substantially completed by early 2017, there was significant delay in completing the process of handing over the traffic signals from the DCC to the DMP. Overlapping responsibility for traffic management was Page 24 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) a key responsible factor as well as the fact that the DMP required a significant amount of capacity building to enable them to effectively manage the traffic signals and the add-on feature of modification to signal cycles through remote controls. The project provided some required training. The Government Order designating the DMP as the lead agency for traffic signals helped to facilitate the handover process. As a result, by the project close on March 31, 2019, traffic signals at 14 intersections had been handed over to the DMP. It was planned that the remainder would be handed over as soon as their performance stabilized. As of August 31, the hand over was complete for 29 intersections. 72. Multiple restructurings of the project. The four restructurings of the project facilitated key project achievements such as the completion of the 12 pilot brick kilns target, increase in loan disbursements, funding of additional activities, and extension of the loan closing dates to achieve results on the ground. 73. Additional Financing of the project. An additional financing of US$35 million was approved in 2016 to support activities aimed at augmenting and sustaining the air quality management and traffic management initiatives implemented by the parent project. 74. The rationale for the AF was based on the need to sustain and augment the activities of the environment component, to better demonstrate the effectiveness of project outcomes. The activities were essentially a continuation of earlier activities which enhanced the geographical coverage of the Continuous Air Quality Monitoring Stations (CAMS) and addressed the financing gap for the completion of on-going activities such as DoE building. The AF supported capacity building activities and also the initiatives towards the development of non-fired bricks, which reduced the pressure on the use of top soil for clay fired bricks. For the transport component, the project needed additional resources for (a) the improvement of signal and intersection infrastructure, (b) capacity building of DSCC/DNCC and DMP’s traffic management activities, and, (c) traffic study and awareness campaigns. The AF supported initiatives to analyze the measures required to address the mobility needs of the people with disabilities and a small scale demonstration pilot. 75. High degree of stakeholder engagement and strong stakeholder support. Despite the delays experienced across the executing agencies during implementation, the overall high level of commitment of the GoB and Bank teams to the completion of the CASE project and attainment of its objectives from project start in 2009 to closing in 2019, resulted in the highly positive project results at close. 76. Highly responsive Bank technical team. The Bank task team responded promptly to emerging needs of the project and was flexible in making necessary adjustments in a timely manner. This is evidenced by the early approach to restructurings prior to project close which improved the project’s final results indicators, as well as providing additional financing and providing institutional strengthening to all implementing agencies on the GoB team. IV. BANK PERFORMANCE, COMPLIANCE ISSUES, AND RISK TO DEVELOPMENT OUTCOME Page 25 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) A. QUALITY OF MONITORING AND EVALUATION (M&E) M&E Design 77. While the PDO was clear and maintained its original design throughout the 10 years of project execution, the PDO indicators had to be revised as described in table 3 to align them more closely to the project’s objectives and investments, as well as to allow for better monitoring. There were also changes among the intermediate outcome indicators. During the 2013 restructuring, of the fifteen intermediate indicators originally developed nine were revised and one dropped, while during the 2016 restructuring, six were revised and four new indicators were introduced. The main reasons for the amendments to the Results Framework were to make it a more useful and measurable tracking tool, consistent with the Specific, Measurable, Achievable, Relevant, and Time-Bound (SMART) indicator characteristics, and to include indicators which could easily be tracked. These revisions and additional results indicators ensured that the outcomes envisaged by the PDO were identified and monitored throughout the project implementation period. 78. The DOE, through its PIU, and in collaboration with the MOEFCC, centralized project data and reporting, including monitoring the performance indicators of the three executing agencies, DOE, DCC (now DSCC and DNCC) and DTCB (now DTCA). The Results Framework included two PDO indicators that would monitor the intermediate outcomes (outputs) necessary to achieve the PDOs and intermediate results indicators for each of the two transport subcomponents—parts A and B. However, the original Results Framework included indicators, which were difficult to measure, particularly ‘reduction in the number of traffic accidents in locations of interventions.’ In the 2013 restructuring, this was replaced with three indicators: pedestrian using FOBs and pedestrian using sidewalks in locations of intervention, and vehicular traffic increased at selected intersections with operational traffic signals. These indicators were more aligned with the transport component of the PDO, as highlighted in the Theory of Change. The 2016 restructuring and AF also included the modification to the Results Framework, with the addition of another transport-related PDO indicator and amendments to the intermediate outcome indicators. 79. The first two restructuring exercises aimed at increasing the focus on outcome and aligning the indicators with the investments and resulted in the use of five PDO indicators to measure results on air quality and impact on urban transport mobility in Dhaka. M&E Implementation 80. Responsibility for tracking the project’s progress was spread across the three implementing agencies—the DOE, DCC, and DTCB—through their PIUs. They regularly submitted six-month progress reports with updates of progress with the Results Framework indicators to PDs, relevant GoB management, and the World Bank. Progress made on the many tenders, contracts, phases of infrastructure works improvements, and capacity-building activities was captured in the Results Framework yearly. 81. The PIU staff and consultants provided detailed reports on all activities of the project, including reporting on project indicators. During the biannual implementation support meetings, the detailed reports enabled the GoB and World Bank teams, to document progress and strategize solutions to the various implementation issues that arose. For example, (a) in response to the split of the DCC into the DSCC and DNCC during project implementation, the World Bank team assisted in the process and (b) Page 26 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) because some members of the disabled population were unable to access the FOBs, the World Bank and the project team redesigned the interventions and improved road crossing features at certain FOBs. 82. The DOE, DCC, and DTCB, through the PIUs, assigned staff as well as hired an M&E consultant, who later became MOEFCC staff, to report on project indicators. In addition, an independent third party was contracted for verification of the results achieved by piloting low emission and energy-efficient brick kilns that showed greater than expected results in terms of reduction of air pollution and energy efficiency. Similarly, the reports generated by CAMS were also monitored and shared through the DOE website and communications campaigns. M&E Utilization 83. The reports included updates on the Result Framework indicators which assisted the Government agencies in making timely decisions on submitting requests to the World Bank for closing date extensions, reallocation of funds, and subsequently requesting an AF to achieve the PDOs. The World Bank supervision multidisciplinary teams made proactive references to the progress status of indicators, and clearly identified issues and problems from the technical, environmental and social (safeguards), procurement, and financial management points of view. The updated Results Frameworks were attached to each of the Aide Memoires which recorded the proceedings of implementation supervision missions throughout project implementation. In general, the use of the M&E framework by the PIUs and the sector agencies was satisfactory and provided alerts to improve performance and make corrective actions, including detailed action plans per component and executing agency. Justification of Overall Rating of Quality of M&E 84. Due to the shortcomings of the original Results Framework, the overall rating for M&E is Modest. Nevertheless, the major improvements made to the framework during restructurings should be acknowledged as they facilitated the monitoring of major project achievements and also helped to lay a strong foundation for M&E within the sectors and their regulatory agencies—specifically, the DOE, DCC and DTCB. B. ENVIRONMENTAL, SOCIAL, AND FIDUCIARY COMPLIANCE 85. Safeguards. The project was classified as Category ‘B’ and two safeguard policies were triggered: Environmental Assessment (OP/BP 4.01) and Involuntary Resettlement (OP/BP 4.12). To address the potential environmental and social safeguard impacts during the project lifecycle, the GoB prepared an Environmental and Social Management Framework (ESMF), which was disclosed on June 18, 2008. The environmental and social safeguards were monitored and reported on throughout the project period. 86. Environmental safeguard compliance. According to the ESMF of the project, the implementing agencies have prepared an Environmental Assessment of the DOE building and limited environmental assessments for air monitoring stations, road improvement works, warehouse constructions, and so on. These documents were reviewed and found to be satisfactory. Issues of noncompliance on use of personal protective equipment by workers, improper signage and safety barriers/fencing, and improper drainage and debris management were noticed during construction and these were addressed with advice of the World Bank team. Overall most of the works were completed without major safeguard non-compliances. The overall rating of the project for compliance with environmental safeguard is Satisfactory. Page 27 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) 87. Social safeguards compliance. The ESMF, as noted above, was prepared in line with the World Bank’s requirements and disclosed in June 2008. Due to the nature of the works undertaken, the adverse impacts experienced were mostly temporary displacement of vendors from sidewalks and other undeveloped spaces who often operated in the open and sometimes in small makeshift structures (for example, plastic sheets roofing and bamboo poles), during the construction period. As was done under the DUTP, such vendors were allowed to use any vacant spots they could find in the vicinities without having to stop their various livelihood activities and were allowed to return to the original spots as soon as construction works were over. However, works on the stretch of a road, which was planned long ago, but was never built, affected 22 houses belonging to as many households of a minority community. The front parts of the houses were dismantled to ensure adequate width of the carriageway. While they were all used for sleeping, many of them operated small businesses from these houses. An Abbreviated Resettlement Plan (cleared by the World Bank) was prepared and implemented based on the ESMF stipulations. The 22 households were compensated for rebuilding the dismantled facades and income loss. Social safeguard compliance was rated Satisfactory throughout the project implementation. 88. Grievance Redress Mechanism. The framework for grievance redress was described in the project’s ESMF and was designed to provide project-affected people with an established procedure to answer to infrastructure-related queries and address complaints and grievances arising from project activities. The mechanism was further strengthened when the World Bank introduced its Grievance Redress Service (GRS) in 2015. During the project implementation period, there was one complainant group who used the World Bank’s GRS—a nongovernmental organization which raised concerns about the construction of FOBs not allowing persons with disabilities to use. The World Bank’s project team met with the nongovernmental organization representatives and jointly organized a site visit with a group of people with disabilities to analyze the situation. Based on it, measures to address the difficulty of people with disabilities to cross the road at four FOB sites were created and implemented. The complaint also became the trigger to carry out a disability mobility study and implementing pilot demonstration sidewalks that were user-friendly. These pilot sidewalks were financed and executed during the extended project execution period with the AF and were completed satisfactorily. 89. Fiduciary compliance. While there were some delays experienced in procurements and the submission of the requisite financial reports to the World Bank, there were no major issues regarding financial management and procurement. Fiduciary compliance was Moderately Satisfactory throughout the project. The PIUs were generally well staffed with skilled and experienced financial management and procurement staff, who benefitted from relevant fiduciary training during project execution and were therefore able to work proactively with the World Bank fiduciary team members on issues on procurement documents, financial reports, and external audits. C. BANK PERFORMANCE Quality at Entry 90. The CASE Project, with its co-benefits approach, supported the GoB’s strategic commitment to improving its air quality and transportation conditions which had resulted from its rapid urban and industrialization growth, as well as the World Bank’s CAS for 2006–2009. Further, its design built on the World Bank’s previous experience with the AQMP and the DUTP in Bangladesh thereby allowing lessons learned to be incorporated into both components of the project. Page 28 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) 91. Other positive attributes at entry were as follows: (a) the project concept was sound; (b) the project objectives were realistic; (c) technical, financial, economic, fiduciary, social, and environmental analyses were undertaken in line with the World Bank’s requirements; (d) implementation arrangements were clearly defined in the PAD and the Operational Manual ; (e) M&E design was in general, appropriate to monitor project progress, however, as evidenced by the amendments made to the Results Framework during implementation, there were areas for improvement in the definition of indicators, methodologies for data collection, and so on, which were identified and improved during the first restructuring; and (f) the risks associated with implementation were analyzed and appropriate mitigation measures were identified in the PAD. However, there was one gap at entry—risk assessment underestimated the factors that eventually delayed implementation and resulted in three restructurings over the life of the project. Thus, the quality at entry is rated Moderately Satisfactory. Quality of Supervision 92. The World Bank conducted 17 supervision missions, one of which included the midterm review in 2013. Supervision missions covered the period from April 2010 to March 2019 or 9 years. There were four task team leaders (TTLs) from the Environment Unit, one during preparation, one who took the project to the Board and managed the project for some time, one who was managing the project, and one who processed AF and finally closed the operation. The replacing of the TTLs did not negatively impact the quality of the Bank support as the Environment TTLs were efficiently supported by co-TTL from the Transport Unit, as well as the financial management, procurement, environmental and social safeguards staff. It should be noted that the co-TTL joined the team in 2011 and stayed until project close. 93. The multidisciplinary teams generated mission Aide Memoires that were generally very detailed, provided solutions to specific issues encountered during project implementation, and included the status and progress in terms of Results Framework indicators, as well as monitoring updates on the project’s fiduciary and safeguards management. The detailed Aide Memoires were appreciated by the PDs, who could use them to initiate actions and expedite the processing within the Government’s decision-making system. The weakness identified in some of the Aide Memoires was the lack of clarity in updating Results Frameworks at the first stage of the project. 94. The task team proactively mobilized Trust Funds to provide additional implementation support. Such programs included the following: (a) BRT workshops (US$50,000 from Australian Aid) (b) Knowledge exchange on traffic signals (US$50,000 from SSKE) (c) Traffic accident data collection and road safety support (US$60,000 from Global Road Safety Facility) (d) Promoting nonmotorized transport (US$450,000 from the Quality Infrastructure Initiative) 95. The quality of supervision is rated Satisfactory given that the regular and implementation support missions were key to early identification of issues and potential delays, as well as opportunities to sustain and increase the activities of the project components through the AF. This led to three restructurings, which proved vital to the significant achievement of the original project’s development targets at end of project. With respect to the AF, the project encountered some delays in preparing bid documents and the Page 29 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) procurement process was lengthy, generating disbursements lower than expected and not achieving some of the intermediate outcomes expected in the AF. These issues were outside the control of the World Bank team. 96. It is worth mentioning that the environmental sector has had close support from local environmental staff in the country office while the urban transport sector has been providing technical supervision from headquarters. In future, it is recommended that a local transport specialist be assigned to provide similar close support to the urban transport projects under preparation. Justification of Overall Rating of Bank Performance 97. In light of the above, the overall rating of the World Bank performance is Satisfactory, due to the level of performance in both preparation and in supervision. D. RISK TO DEVELOPMENT OUTCOME 98. Institutional: World Bank involvement has been proactive in both financing and supervising project implementation in key environment and urban transport sectors in Bangladesh and, at the same time, a good dialogue was built with sector agencies (DOE, DCC, and DTCB). Due to the CASE Project, the sector agency, MOEFCC, has gained substantial expertise and institutional capacity in maintaining and monitoring the air quality monitoring network through the 16 CAMs that have been handed over to the AQW of the DOE with staff and financial resources, ensuring long-term sustainability of the systems implemented. In addition, the DOE is in the process of establishing a network with technical and academic institutions to help the DOE in managing issues such as emission inventory, dispersion modeling, receptor modeling, dust management, health impact assessment, and pilot fabrication of emission control devices. 99. With regard to the urban transport investments, the FOBs, sidewalks, and road improvements are being maintained by the relevant agencies (DNCC and DSCC). Both city corporations are keen to expand the network of footpaths and safe crossover facilities based on the designs developed and tested through the project. The recently approved Dhaka City Neighborhood Project takes forward this agenda for further improvements to safe pedestrian infrastructure and intersection improvements under the project. As the performance of traffic signals and the newly installed remote control functionality was still stabilizing, the ongoing maintenance support to traffic signals becomes critical. The DSCC, DNCC and DMP use their own budgets for the operation and maintenance of the equipment installed. The majority of traffic signals were yet to be handed over to the DMP at the project close, and the plan to hand over the remaining signals was in progress. The DMP is in the process of hiring experienced engineers to operationalize the newly approved unit, which will be in charge of managing the traffic signals in Dhaka. 100. The empowering of the DTCB (now the DTCA) under the DTCA Act has also allowed the GoB to franchise bus routes and consider a larger reform of fragmented, unsafe, overcrowded bus public transport by restructuring the routes and franchising them. 101. There is a follow-up engagement to finance a BRT line, which is under preparation. The BRT line was supported by the feasibility study and rationalization of bus route network proposal financed under the Project. The new project is designed to upgrade the traffic signal system and continue to support the institutional strengthening on urban transport management. Page 30 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) 102. Technological: The piloted brick kilns established with cleaner technology have successfully demonstrated to the GoB and private sector that there are technology options that are more energy efficient and can significantly reduce air pollution in the cities. These new technologies have been embraced by the private sector, and they are sustainable by themselves because the benefits of new kilns exceeded the efficient targets. These investments together with the Brick Manufacturing and Kiln Construction Control Act, which was enacted in 2013, will further support the sustainability of the air quality improvements made through the demonstration kilns in the cities in the long term. In the case of the DOE, the ministry has provided an additional maintenance budget of US$0.5 million for the maintenance of the overall air quality monitoring network. This budget allocation for O&M will ensure sustainability of environmental sector results. V. LESSONS AND RECOMMENDATIONS 103. Air quality management operations require an integrated cross-sectoral approach. The project design focused on two major air polluting sources (brick kilns and transport sector) and institutional co- ordination between environment and transport departments and local municipal corporation. While this approach did encounter some challenges during implementation, the overall performance and results of the project indicate that such an integrated cross sectoral approach is critical for sustainable air quality management interventions. More specifically, the transport and environment departments worked together in revising the vehicle emission standards, the municipal corporation and metropolitan police worked together in establishing and operating traffic signals. In addition, regular project review meetings and sharing of information on various activities of the project helped better understanding of the sectoral issues and air quality challenges by the stakeholder agencies. Implementation of larger urban transport project in Dhaka, expansion of sidewalks and road safety measures can be attributed to this improved understanding of the agencies. An important lesson that emerged from the project is that, air quality operations would be more effective, if designed with multi sectoral approach and institutional mechanisms that ensure inter-agency co-ordination. 104. A combination of policy, institutional and demonstration investments are critical for building capacity and awareness on Air Quality Management. Lack of technical capacity, weak regulatory framework and limited / unreliable data are the most common challenges faced in the development and implementation of air quality management plans across developing countries. The project tried to address these challenges by combining analytical work such as source apportionment studies, capacity building activities, improving the regulatory framework and demonstrating investments for air quality improvement. Successful implementation of the project established the appropriateness of this method, that not only helped in developing base line data and infrastructure in Bangladesh, but also generated awareness for the development of a larger air quality investment program in the country. This established the effectiveness of designing small investment operations to build capacity and awareness on air quality, followed by larger investment programs. 105. Strong stakeholder support is critical, especially in urban transport with multiple actors and interests. Strategies to better manage internal stakeholder engagement should be developed during project design to reduce delays in project execution. The project design considered the need for stakeholder engagement and support, however, during the first stages of project implementation, there were instances where it was noted that the stakeholder engagement should have been strengthened, Page 31 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) particularly within the GoB and its sector agencies. This resulted in delays in completion and approval of the revised DPP, slow handover of the traffic lights to the DMP, and delays in payments on contracts due to the Office Order issued to require additional reviews for engineering works. 106. Project design should consider stakeholders’ operational capacity after project completion. The introduction of 11 CAMS through the CASE Project proved to be a challenge for the management and operational capacity of the recently established AQW, which resulted in a slow handover of CAMS from the PIU to the AQW. Further, the AF was to deliver an additional 5 CAMS for the AQW to manage after project completion. Without the adequate technical staff complement and an operational budget to manage CAMS, the sustainability of CAMS could be at risk if the operational budget is not assigned yearly. A similar situation arose with the traffic signals, where the DMP was planned as an agency to take over once the installation is completed by DCC, but the DMP did not have the staff and capacity to manage the traffic signals, and the DMP was not a PIU. This presented challenges for the handover from the DSCC/DNCC to the DMP and required substantial coordination and capacity building efforts during implementation. These operation and maintenance capacity issues were corrected and arrangements for sustainable operation were created by the end of project through the proactivity of the World Bank team. In future lending operations, the technical and financial capacity of sector agencies should be more closely assessed against the responsibilities and function for operation and maintenance that are going to be transferred to them. A transition plan should be developed, accompanied by a capacity development plan, which should be incorporated in the project components at the project design stage. An extra attention should be given when non-PIU agencies are involved. 107. Well-developed M&E system. The borrower’s M&E system for projects should be developed in the early stages of the project life cycle, such as at appraisal or preparation. Adequate resources should be assigned to the M&E function and these resources should ensure that adequate baseline data is collected and available at project start. This action would minimize instances where the results indicators in the project’s results framework must be changed due to a lack of high-quality baseline and monitoring data. . Page 32 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) ANNEX 1. RESULTS FRAMEWORK AND KEY OUTPUTS A. RESULTS INDICATORS A.1 PDO Indicators Objective/Outcome: Improve air quality in Dhaka through the implementation of demonstration initiatives in brick making Formally Revised Actual Achieved at Indicator Name Unit of Measure Baseline Original Target Target Completion Number of brick kilns Number 0.00 10.00 12.00 adopting cleaner technology and decreasing (i) particulate 09-Nov-2009 31-Dec-2014 22-Apr-2018 emissions by 20% and (ii) GHG emission by 20% by end of project period Comments (achievements against targets): Target achieved. 12 demonstration kilns were installed. Actual performance of the kilns exceeded by decreasing emissions (>30%) and energy efficiency (>70%). Objective/Outcome: Improve safe mobility in Dhaka through implementation of demonstration initiatives in urban transpor Formally Revised Actual Achieved at Indicator Name Unit of Measure Baseline Original Target Target Completion Page 33 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) Increase of vehicular traffic in Number 217700.00 239500.00 293197.00 location of interventions 31-Dec-2010 31-Dec-2014 22-Apr-2018 Comments (achievements against targets): Target achieved and exceeded by 22.42%. Formally Revised Actual Achieved at Indicator Name Unit of Measure Baseline Original Target Target Completion Pedestrian using Foot Over Percentage 0.00 75.00 85.00 Bridges in locations of interventions 09-Nov-2009 31-Dec-2014 31-Oct-2017 Comments (achievements against targets): Target achieved and exceeded by an increase of 10%. Formally Revised Actual Achieved at Indicator Name Unit of Measure Baseline Original Target Target Completion Pedestrian using sidewalks in Percentage 0.00 75.00 79.00 locations of intervention 09-Nov-2009 31-Dec-2014 31-Mar-2019 Page 34 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) Comments (achievements against targets): Target achieved and exceeded by 3%. Formally Revised Actual Achieved at Indicator Name Unit of Measure Baseline Original Target Target Completion Vehicular traffic increased at Percentage 0.00 8.00 9.50 selected intersections with operational traffic signals 02-Nov-2016 31-Mar-2019 31-Mar-2019 Comments (achievements against targets): Target achieved and exceeded by 1.6%. A.2 Intermediate Results Indicators Component: Component 1: Environment (DOE) Formally Revised Actual Achieved at Indicator Name Unit of Measure Baseline Original Target Target Completion At least 2 cities with updated Number 0.00 2.00 4.00 source / emissions profiles 09-Nov-2009 31-Dec-2014 31-Mar-2019 Page 35 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) Comments (achievements against targets): Target achieved and exceeded by 2 more cities (Dhaka, Chittagong, Rajshahi, Khulna). Formally Revised Actual Achieved at Indicator Name Unit of Measure Baseline Original Target Target Completion Clean Air Act drafted with Yes/No N Y Y stakeholder consultations and recommended to GoB 30-Sep-2016 31-Mar-2019 31-Mar-2019 for adoption Comments (achievements against targets): Target achieved. Formally Revised Actual Achieved at Indicator Name Unit of Measure Baseline Original Target Target Completion Continuous air monitoring Number 0.00 11.00 16.00 16.00 stations providing air quality data in Bangladesh 09-Sep-2009 31-Dec-2014 31-Mar-2019 31-Mar-2019 Comments (achievements against targets): Page 36 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) Target achieved. 11 CAMS established and in operation representing 68.75% of the revised target for the original project. With the AF, another 5 CAMS were established. Formally Revised Actual Achieved at Indicator Name Unit of Measure Baseline Original Target Target Completion Brick Burning Act drafted for Yes/No N Y Y Cabinet’s approval 09-Nov-2009 31-Dec-2014 31-Oct-2017 Comments (achievements against targets): Target achieved. Formally Revised Actual Achieved at Indicator Name Unit of Measure Baseline Original Target Target Completion Communication campaign Yes/No N Y Y implemented 09-Nov-2009 31-Dec-2014 31-Oct-2017 Comments (achievements against targets): Target achieved. Communication campaigns were executed on a yearly basis throughout project implementation. Page 37 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) Formally Revised Actual Achieved at Indicator Name Unit of Measure Baseline Original Target Target Completion Vehicular Emission Standards Yes/No N Y Y updated 09-Nov-2009 31-Dec-2014 31-Oct-2017 Comments (achievements against targets): Target achieved. Component: Component 2A Transport (DCC) Formally Revised Actual Achieved at Indicator Name Unit of Measure Baseline Original Target Target Completion Construction of Foor Over Number 0.00 23.00 23.00 Bridge 09-Nov-2009 31-Dec-2014 31-Oct-2017 Comments (achievements against targets): Target achieved. Page 38 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) Formally Revised Actual Achieved at Indicator Name Unit of Measure Baseline Original Target Target Completion New sidewalk with surface Kilometers 0.00 70.00 88.00 88.00 drainage constructed 09-Nov-2009 31-Dec-2014 31-Mar-2019 31-Mar-2019 Comments (achievements against targets): Target achieved. Formally Revised Actual Achieved at Indicator Name Unit of Measure Baseline Original Target Target Completion Traffic safety campaign Number 0.00 3.00 3.00 09-Nov-2009 31-Dec-2014 31-Oct-2017 Comments (achievements against targets): Target achieved. Formally Revised Actual Achieved at Indicator Name Unit of Measure Baseline Original Target Target Completion Corridors of seperation of Number 0.00 2.00 2.00 Page 39 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) MV and NMV traffic 09-Nov-2009 31-Dec-2014 31-Oct-2017 Comments (achievements against targets): Target achieved. Formally Revised Actual Achieved at Indicator Name Unit of Measure Baseline Original Target Target Completion Intersections physically Number 0.00 40.00 39.00 39.00 improved 09-Nov-2009 31-Dec-2014 31-Mar-2019 31-Oct-2017 Comments (achievements against targets): Target achieved. Formally Revised Actual Achieved at Indicator Name Unit of Measure Baseline Original Target Target Completion Intersections with new traffic Number 0.00 40.00 29.00 29.00 signals installed and operational 09-Nov-2009 31-Dec-2014 31-Mar-2019 31-Mar-2019 Comments (achievements against targets): Page 40 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) Target achieved. Formally Revised Actual Achieved at Indicator Name Unit of Measure Baseline Original Target Target Completion Intersections with Number 0.00 91.00 91.00 operational signals (including newly installed and existing 30-Sep-2016 15-Dec-2018 31-Mar-2019 fixed) Comments (achievements against targets): Target achieved. Formally Revised Actual Achieved at Indicator Name Unit of Measure Baseline Original Target Target Completion Complete study and Yes/No N Y Y implement key recommendations for better 30-Sep-2016 15-Dec-2018 31-Mar-2019 mobility of disabled people in one selected area in Dhaka Comments (achievements against targets): Page 41 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) Target achieved, specific pilot interventions were developed and financed under the AF. Component: Component 2B Transport (DTCB) Formally Revised Actual Achieved at Indicator Name Unit of Measure Baseline Original Target Target Completion Revised DTCB Act Yes/No N Y Y empowering DTCB presented to the Cabinet for approval 09-Nov-2009 31-Dec-2014 31-Oct-2017 Comments (achievements against targets): Target achieved. Formally Revised Actual Achieved at Indicator Name Unit of Measure Baseline Original Target Target Completion Revised MV act for reduction Yes/No N Y Y in emissions submitted to the Cabinet 09-Nov-2009 31-Dec-2014 20-Aug-2018 Comments (achievements against targets): Target achieved. Page 42 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) Formally Revised Actual Achieved at Indicator Name Unit of Measure Baseline Original Target Target Completion Studies for (i) rationalization Number 0.00 2.00 2.00 of bus route network (ii) BRT on a pilot corridor 09-Nov-2009 31-Dec-2014 30-Jun-2018 Comments (achievements against targets): Target achieved. Page 43 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) B. KEY OUTPUTS BY COMPONENT Objective/Outcome 1: Improve air quality in Dhaka through the implementation of demonstration initiatives in brick making Outcome Indicators RI1. Number of brick kilns adopting cleaner technology and decreasing (i) particulate emissions by 20% and (ii) GHG emission by 20% by end of project period. Intermediate Results Indicators • At least 2 cities with updated source/emissions profiles. • Clean Air Act drafted with stakeholder consultations and recommended to GoB for adoption. • Continuous air monitoring stations providing air quality data in Bangladesh. • Brick Burning Act drafted for Cabinet’s approval. • Communication campaign implemented. • Vehicular emission standard updated. Key Outputs by Component DOE (linked to the achievement of the • Training and capacity building for the entrepreneurs, stakeholders, technicians, Objective/Outcome 1) and GoB officials on energy efficient and cleaner technology—VSBK. • Institutional strengthening of the AQC cell. The capacity-building program included (a) consultant support; (b) addressing human resource gaps through training, exposure visits, conference participation, and so on; and (c) building sound institutional knowledge through longer-term academic training. • Dissemination workshop of the ESW report, introducing energy-efficient clean technologies in the brick sector. • Brick technology exhibition. • Training and capacity building in brick sector: Establishment of a BTIC in Bangladesh to support entrepreneurs in the technology transfer. • Training plan for CAMs in operation and maintenance, data management, and data analysis at Mumbai, India. • Training plan for air quality management. • Networking with technical and academic institutions. Page 44 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) • Proper operation and maintenance of existing air quality monitoring stations. • New office building for DOE. • Proper operation and maintenance of existing air quality monitoring stations. • Supply and installation of air quality stations, lab equipment, and computer system. • Operation and maintenance of the existing five CAMS. • Supply and installation of sixteen CAMS, lab equipment, and computer system. • Demonstration of four efficient brick making technologies in 12 brick kilns Objective/Outcome 2: Improve safe mobility in Dhaka through the implementation of demonstration initiatives in urban transport. Outcome Indicators RI2. Increase of vehicular traffic in location of interventions. RI3. Pedestrian using Foot-Over-Bridges in locations of interventions. RI4. Pedestrian using sidewalks in locations of intervention. RI5. Vehicular traffic increased at selected intersections with operational traffic signals. Intermediate Results Indicators • Construction of Foot-Over-Bridges. • New sidewalks with surface drainage constructed. • Traffic safety campaign. • Corridors of separation of MV and NMV traffic. • Intersections physically improved. • Intersections with new traffic signals installed and operational. • Intersections with operational signals (including newly installed and existing fixed). • Complete study and implement key recommendations for better mobility of disabled people in one selected area in Dhaka. • Revised DTCB Act empowering DTCB presented to the Cabinet for approval. • Revised MV act for reduction in emissions submitted to the Cabinet. • Studies for (i) rationalization of bus route networks (ii) BRT on a pilot. Key Outputs by Component DCC • Training plan for the DCC. Page 45 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) (linked to the achievement of the • Training of traffic police and DCC officials on traffic management and signal Objective/Outcome 2) operation. • Workshop on traffic signals for the DMP. • SSKE program. • Construction of bus stops. • Maintenance of the existing traffic signals. • Traffic signals synchronization along Mirpur Road Corridor. • Construction of FOBs in Dhaka City. • Construction of new FOBs. • Maintenance of the existing traffic signals and other traffic signal issues. DMTA • TMC. • Urban mass transport institutional aspects. • DTCB training through BRT field visits (to China, India, Indonesia, and Bangkok). • Training of bus drivers. • Dhaka BRT roundtable discussion. • Communication awareness campaign. • Capacity strengthening of the DTCA. • Proposed BRT lines alignment. • Traffic signals in Mirpur Road Corridor and FOB. Page 46 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) ANNEX 2. BANK LENDING AND IMPLEMENTATION SUPPORT/SUPERVISION A. TASK TEAM MEMBERS Name Role Preparation Maria Sarraf, Sameer Akbar Task Team Leaders Shakil Ahmed Ferdausi Environmental Specialist Dr. M. Khaliquzzaman Environmental Specialist Marinela Dado Operations Officer Hubert Nove-Josserand Urban Transport Specialist Mohi Uz Zaman Quazi Urban Transport Engineer Ishtiaque Ahmad Transport Specialist Tanvir Hossain Procurement Specialist Nilfar Ahmed Social Scientist Burhanuddin Ahmed Financial Management Specialist Poonam Rohatgi Program Assitant Razia Sultana Program Assitant Carla Vale de Horguin Operations Analysis Kumudini Chowdhary Program Assitant Janet Bably Halder Program Assitant Supervision/ICR Harinath Sesha Appalarajugari, Nupur Gupta Task Team Leaders Md Kamruzzaman Procurement Specialist Hasib Ehsan Chowdhury Financial Management Specialist Mohammad Sayeed Team Member Teen Kari Barua Social Specialist Dr. M. Khaliquzzaman Environmental Specialist Angie Harney Team Member Sabah Moyeen Social Specialist Md. Shehab Uddin Team Member Page 47 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) Shigeyuki Sakaki Team Member Iqbal Ahmed Environmental Specialist Vidya Venugopal Counsel B. STAFF TIME AND COST Staff Time and Cost Stage of Project Cycle No. of staff weeks US$ (including travel and consultant costs) Preparation FY07 6.452 96,217.99 FY08 63.569 349,058.44 FY09 68.892 332,921.38 FY10 0 - 74.87 Total 138.91 778,122.94 Supervision/ICR FY08 0 - 42.94 FY10 45.323 196,962.89 FY11 58.905 195,737.96 FY12 50.518 191,048.83 FY13 33.201 208,428.57 FY14 42.052 394,490.10 FY15 36.734 217,261.91 FY16 24.013 151,553.13 FY17 18.944 189,337.16 FY18 21.170 192,745.77 FY19 18.171 166,126.63 FY20 .867 9,134.05 Total 349.90 2,112,784.06 Page 48 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) ANNEX 3. PROJECT COST BY COMPONENT Actual at Amount at Additional Percentage of Total Approval Project Components Approval Financing Approval (US$M) Closing (US$M) (US$M) (%) (US$M) Component 1: Environment 16.23 17.00 33.23 25.85 77.80 (DOE) Component 2A 39.30 18.00 57.30 54.95 95.90 Transport (DCC) Component 2B Transport 6.67 0.00 6.67 6.47 97.00 (DTCB) Total 71.25 35.00 97.20 87.27 89.78 Page 49 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) ANNEX 4. EFFICIENCY ANALYSIS Economic Analysis 1.1 Component 1: Environment The brick subcomponent of the environment component has developed and introduced four new technologies for brick kilns with lower emission and better fuel efficiency. The CASE Project has provided technical assistance to the entrepreneurs for the implementation of these newer technologies/designs at their own cost. The designs for the conversion of FCKs to zigzag kilns became well accepted among entrepreneurs. A total of seven kilns of this design were piloted in two phases, each taking three and four units, respectively. For the cost-benefit analysis, newly designed zigzag kilns baseline data for five FCKs were also measured along with four converted zigzag kilns in the second phase. Table 4.1 contains the measured and calculated data. The average emission levels from the new kilns were found to be about 88.5 percent lower and fuel use reduction obtained was about 47 percent. Table 4.1. Comparison between FCK and Zigzag Kiln Design in the CASE Project FCK Zigzag Parameters (Average for 5 kilns) (Average for 4 kilns) 1. Yearly production (millions)a 4 4 2. Coal used per 100,000 bricks (tons) a 20.1 10.6 3. Coal used per year (tons) a 805 422 4. Coal saved per year (tons/kiln) a 0 383 5. Average carbon content of coal (%) 69.9 69.9 6. Average CO2 emission reduced (tons/year/kiln) b 0 1,405 7. PM emission (mg/m3) a 1,293 142 8. Health cost saving per kiln per year (BDT, million) a — 7.7 9. Cost of coal saved in BDT million per year (BDT 7,000 per ton) a — 2.7 10. Payback period in years a — 1.5 Source: a. Measurements by Institute of Heat Engineering and Refrigeration (IHERE), Hanoi University of Science and Technology, (2016) b. Measurements by Bangladesh Council of Scientific and Industrial Research (BCSIR), (2018). Considering the measured and estimated value mentioned in table 4.1, the cost-benefit of the environment component has been estimated with the following assumptions: (a) The economic life of the kilns is assumed to be 20 years after completion of the project in 2019. (b) The study assumes that after implementation of the CASE Project, every year 1.8 percent of the 8,000 kilns in Bangladesh will adopt a new technology. Given the estimated attractive payback period of 1.5 years, it is expected that even without the technical assistance from the project the conversion of the FCKs to zigzag will sustain. Thus, with a combination of regulatory pressure (the Brick Burning Act 2013 and draft Air Quality Act which is considered as project output) and incentives in the form of technical assistance, other initiatives of Asian Page 50 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) Development Bank projects, and climate change initiatives, upgrade to new technology will be sustained by entrepreneurs. The GoB wants to shift to the new technology by 2030 but this study considers a more realistic assumption and assumed that 3,036 kilns will adopt the new technology within 2040. (c) The social cost of carbon is estimated at US$39.78 per tCO2, referenced by the World Bank Guidance Note. 1 (d) The coal price is estimated at BDT 7,000 per mt as used in the previous study. (e) The health benefit for the technology shift is accounted for as BDT 7.7 million per kiln per year. This is because, according to a previous World Bank study (2011), 2 the economic cost saving per year per kiln is BDT 7.7 million for the converted kilns. From Table 4.2, it is evident that considering an economic life up to 2040 the project will result in a benefit of BDT 823,555 million (US$975 million, US$1 = BDT 84.5), which is a significant welfare contribution. 1 World Bank Guidance Note. 2 World-Bank. 2011. Introducing Energy-efficient Clean Technologies in the Brick Sector of Bangladesh. ESMAP Publication Series, Report No. 60155-BD. Washington, DC: World Bank; and Croitoru, L., and M. Sarraf. 2012. “Benefits and Costs of the Informal Sector: The Case of Brick Kilns in Bangladesh.” Journal of Environmental Protection 3 (6):476–484. doi:10.4236/jep.2012.36058. Page 51 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) Table 4.2. Direct and Indirect Benefit of Introducing New Technology for Brick Kilns Area of Benefit 2019 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 Unit Implementation Period Economic Life 1. Number of kilns Frequency 0 0 0 0 0 0 0 10 2 0 0 144 144 144 144 144 144 144 144 144 144 144 144 144 144 144 144 144 144 144 144 installing new /year technology 2. Cumulative Frequency 0 0 0 0 0 0 0 10 12 12 156 300 444 588 732 876 1,020 1,164 1,308 1,452 1,596 1,740 1,884 2,028 2,172 2,316 2,460 2,604 2,748 2,892 3,036 number of kilns /year installing new technology 3. Benefit from coal BDT in 0 0 0 0 0 0 0 27 32 32 418 804 1,190 1,576 1,962 2,349 2,735 3,121 3,507 3,893 4,279 4,665 5,051 5,437 5,823 6,209 6,595 6,981 7,367 7,753 8,140 saving per kiln Million per year (at BDT 7,000/ton) 4. Benefit from BDT in 0 0 0 0 0 0 44 54 55 57 755 1,489 2,258 3,065 3,911 4,798 5,726 6,698 7,715 8,778 9,890 11,052 12,266 13,533 14,856 16,237 17,678 19,181 20,748 22,381 24,082 savings from the Million social cost of carbon 5. Benefit from BDT in 0 0 0 0 0 0 77 92 92 92 1,201 2,310 3,419 4,528 5,636 6,745 7,854 8,963 10,072 11,180 12,289 13,398 14,507 15,616 16,724 17,833 18,942 20,051 21,160 22,268 23,377 health cost Million saving Total benefit from BDT in 0 0 0 0 0 0 148 178 180 181 2,375 4,603 6,867 9,169 11,510 13,892 16,315 18,781 21,293 23,851 26,458 29,115 31,823 34,586 37,404 40,280 43,215 46,213 49,275 52,403 55,599 environment Million component (3+4+5) Total benefit in 2019 BDT in 82,355 present value after Million adjusting avg. inflation rate Page 52 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) 1.2 Component 2: Transport The transport component of the CASE Project mainly focuses on feeding the activities that lower the financing gap for; (a) Making the traffic signals operational, that is, traffic signal infrastructure, related sidewalks, road improvement, and capacity building and studies; and (b) Addressing the mobility needs of people with disabilities, including a study to better understand the needs and prepare recommendations. The study has focused on evaluating the impact of traffic signal operation considering the following: (a) Reduction in idle running fuel; (b) Reduction in passenger time wasted in traffic; (c) GHG emissions reduction from the reduction in idle running fuel; (d) Reduction of fatal accidents by lowering accidents; and (e) Reduction of serious injury by lowering traffic accidents. The study avoids the activities that would not provide a proper estimate of costs and potential benefits such as capacity building and pilot mobility improvement for the disabled. The methodologies used for the evaluation are the same used for the parent project, which is the cost recovery period analysis. Direct benefits of traffic signals operation are the reduction of the stoppage delay at the intersections, measured in two ways: the idle fuel consumption saving and time value saving. Indirect benefits will include reduction in air pollution, accidents, vehicle operating cost other than the idle fuel consumption, and so on. 1.2.1 Reduction in idle running fuel There are several person-trips made in different travel modes, which consists the daily traffic in Dhaka City. The popular mode of transport includes three-wheeler, bus, micro-bus, car, motorcycle, and rickshaw. On the other hand, travel pattern considering the number of trips, average occupancy, average trip length, and fuel cost is different. Assuming a signal delay reduction by about 120 seconds at one signalized intersection, a total saving of BDT 780,000 per day is estimated for the 12 million person-trips made within DNCC and DSCC jurisdictions in 2014. This translates into an annual saving, illustrated in the Table 4.1, of BDT 245 million (US$3.1 million), assuming half the delay reduction on weekends. 3 Using the intersection traffic volume data from four intersections, that is, intercontinental intersection, Bangla Motor intersection, Bijoy Sharani intersection, and Gulshan Circle intersection, the study calculated the idle fuel cost savings. The idle fuel cost saving is BDT 102,029 per day. Assuming half the delay reduction on weekends, the yearly idle fuel cost savings are BDT 31,935,036 (US$377,929; US$1 = BDT 84.5). 4 1.2.2 Reduction in passenger time wasted in traffic The study calculated, as illustrated in the Table 4.3, the saving in passenger time value and the total time saving per day at about 1.52 million second, which corresponds to a saving of about BDT 97,000 per day. 3 World Bank. 2019. Ex Post Economic Impact Analysis of Clean Air and Sustainable Environment (CASE) Project. Dhaka. (pg.9) 4 World Bank. 2019. Ex Post Economic Impact Analysis of Clean Air and Sustainable Environment (CASE) Project. Dhaka. (pg.9) Page 53 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) Yearly, the saving is about BDT 30.3 million (US$359,000; US$ 1 = BDT 84.5), assuming half the delay reduction on weekends. 5 1.2.3 GHG emissions reduction from the reduction in idle running fuel CASE project initiated a study, illustrated in the Table 4.3, on the effect of it for GHG emission reduction. The GHG emissions reduction potential (CO2 emission reduction) is calculated using the GHG coefficient from U.S. Energy Information Administration. For simplification purpose, natural growth of traffic demand not induced traffic demand due to the reduction in the signal delay is considered. It is estimated to yield GHG emissions reduction of 1,157 tCO2 per year. 1.2.4 Reduction of fatal accidents and serious injury by lowering accidents The study found, illustrated in the Table 4.3, that considering an economic life up to 2040 the project will result in a benefit of BDT 585.6 million (US$6.93 million; US$1 = BDT 84.5), which is a significant welfare contribution. Table 4.3. Direct and Indirect Benefit of the Transport Component 2019 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 Area of Benefit Unit Implementation Period Economic Life 1. Benefit from reduction in idle BDT in 0 0 0 0 6 13 19 22 26 29 32 32 32 32 32 32 32 32 32 32 32 32 32 32 32 32 32 32 32 32 32 running fuel Million 2. Benefit from reduction in BDT in 0 0 0 0 6 12 18 21 24 27 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 passenger time wasted in Million traffic 3. Benefit from GHG emissions BDT in 0 0 0 0 3.4 3.5 3.6 3.7 3.8 3.9 4.0 4.1 4.2 4.3 4.4 4.5 4.6 4.7 4.9 5.0 5.1 5.2 5.4 5.5 5.6 5.8 5.9 6.1 6.2 6.4 6.5 reduction from the reduction Million in idle running fuel 4. Number of saving by avoiding Frequency 0 0 0 0 1 1 1 1 1 1 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2 road accident /year 5. Benefit of avoiding a fatal BDT in 0 0 0 0 3 3 3 3 3 3 7 7 7 7 7 7 7 7 7 7 7 7 7 7 7 7 7 7 7 7 7 accident Million 6. Number of serious injuries Frequency 0 0 0 0 1 1 1 1 1 1 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 avoided due to avoiding the /year accident 7. Benefit from avoiding serious BDT in 0 0 0 0 2 2 2 2 2 2 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 injury Million Total benefit from transport BDT in 0 0 0 0 21 33 46 52 59 65 78 78 78 78 78 78 78 79 79 79 79 79 79 79 79 80 80 80 80 80 80 component (1+2+3+5+7) Million Total benefit in 2019 present BDT in value after adjusting average Million 585.6 inflation rate 1.3 Component 2-B: Dhaka Transport Coordination Authority (DTCA) DTCA under the transport component of the CASE Project has implemented the following specific objectives: (a) To lay the foundation for reforming the existing bus operations and to introduce mass transit such as BRT in Dhaka in line with the STP of the Government; and (b) To provide the institutional and regulatory underpinning for initiating bus sector reform and reduce vehicular emission. 5 World Bank. 2019. Ex Post Economic Impact Analysis of Clean Air and Sustainable Environment (CASE) Project. Dhaka. (pg.9) Page 54 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) As this study is not amending technical assistance and capacity-building activities of the CASE Project, the economic analysis of the DTCA component only considers the foundation initiative of BRT in Dhaka. The DTCA has done a full-scale feasibility study on the BRT line 3 route development in Dhaka. The economic indicators suggest that the project will produce more than three times as much benefits when compared to the cost (BCR = 3.57), with an overall economic NPV above US$310 million and an economic IRR of 34.31 percent. Thus, investment in BRT system development is a profitable investment under all economic perspectives. 6 Under the CASE Project, the feasibility and the route design for BRT line 3 have been completed. The project is being implemented under the Dhaka Public Transport Improvement Project. Thus, the CASE Project has contributed a portion to the economic benefit that will be acquired from the BRT system development project. 1.4 Benefit analysis of transport and environment component The study mostly focuses on the environment and transport components of the CASE Project. It is evident from figure 4.1 that almost the entire benefit (99 percent of the total benefit) comes from the environment component of the project, accounting for an NPV (2019) of BDT 82,355 million. On the other hand, the transportation component accounts for BDT 586 million (1 percent of the total benefit). Figure 4.1. Chart Showing the Component-wise Project Benefit 586, 1% Total incremental benefit from Transport component Total incremental Benefit from 68,864, 99% Environment component Source: Table 4.5 Cost-benefit Analysis of CASE Project This is mostly because the study assumes that by 2040 a total of 3,036 brick kilns will eventually be converted to the latest zigzag technology. The GoB, through the Brick Burring Act 2013, aims to convert the brick kilns into the new technology by 2030 but this study considers a more realistic assumption and assumed that 3,036 kilns will adopt the new technology within 2040. 6World Bank. 2016. “BRT and Corridor Restructuring Implementation Study and Preliminary Design work for the Uttara – Mohakhali – Ramna – SadarGhat Corridor in Dhaka.” Dhaka, Bangladesh. Page 55 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) 1.5 Scenario analysis This study shows eight different scenarios, as listed in table 4.4, to understand the economic impact of this project. Table 4.4. Scenario Analysis Scenario Scenario Scenario Scenario Scenario Scenario Scenario Scenario Items 1 2 3 4 5 6 7 8 Social cost of carbon 0 1 1 0 0 0 1 1 Growth % of brick kilns 0.00% 0.00% 0.123% 0.215% 1.50% 1.80% 1.50% 1.80% adopting new technology NPV (BDT, millions) − 6,037.88 − 5,523.32 0.00 0.00 36,014.26 44,424.68 61,930.12 75,420.80 NPV (US$, millions) − 71.45 − 65.36 0.00 0.00 426.20 525.74 732.90 892.55 BCR 0.2 0.27 1 1 5.79 6.91 9.24 11.03 IRR 0.22% 3.88% 12.00% 12.00% 26.96% 28.66% 31.34% 33.14% Note: US$1 = BDT 84.5. Table 4.5 accumulates all the costs and the benefits together and the following result is estimated: • Depending on the calculation, the economic NPV at 2019 of the CASE Project is BDT 75,420.80 million (US$892.55 million with US$1 = 84.5 BDT), which is positive and significant considering the total investment. • BCR of the project is 11.03 which is significantly greater than 1. • The economic IRR is 33.14 percent, which is also significantly higher than the discounting rate of 12 percent. Conclusion Considering the economic parameters estimated earlier, it can be concluded that the investment in the CASE Project will provide 11.03 times as much of economic benefits with an economic NPV of US$892.55 million. Yet it is to be noted that this study does not evaluate the technical assistance and the capacity development components of the CASE Project, which also play a significant role for the overall development and proper functionality of the current system. Considering this, the economic impact is much bigger than assessed in this study. Page 56 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) Table 4.5. Cost-benefit Analysis of CASE Project (BDT, millions) 2019* 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 Component Implementation Period Economic Life Investment scheduling 414 203 662 737 1,112 734 642 845 845 771 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 for CASE Project Operation and 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 maintenance A. Total cost cashflow 444 233 692 767 1,142 764 672 875 875 800 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 Revenues (direct) 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 B. Total revenues (direct) 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 flow C. Total cash flow of (B−A) -7519.42 −444 −233 −692 −767 −1,142 −764 −672 −875 −875 −800 −30 −30 −30 −30 −30 −30 −30 −30 −30 −30 −30 −30 −30 −30 −30 −30 −30 −30 −30 −30 −30 D. Incremental benefit calculation 1. Environment component Cumulative number of kilns installing new 0 0 0 0 0 0 0 10 2 0 0 144 144 144 144 144 144 144 144 144 144 144 144 144 144 144 144 144 144 144 144 technology (frequency/ year) Benefit from coal saving per kiln per year (BDT 0 0 0 0 0 0 0 10 12 12 156 300 444 588 732 876 1,020 1,164 1,308 1,452 1,596 1,740 1,884 2,028 2,172 2,316 2,460 2,604 2,748 2,892 3,036 7,000/ton) Benefit from saving from 0 0 0 0 0 0 0 27 32 32 418 804 1,190 1,576 1,962 2,349 2,735 3,121 3,507 3,893 4,279 4,665 5,051 5,437 5,823 6,209 6,595 6,981 7,367 7,753 8,140 the social cost of carbon Benefit from health cost 0 0 0 0 0 0 44 54 55 57 755 1,489 2,258 3,065 3,911 4,798 5,726 6,698 7,715 8,778 9,890 11,052 12,266 13,533 14,856 16,237 17,678 19,181 20,748 22,381 24,082 saving E. Total incremental benefit from 82354.65 0 0 0 0 0 0 77 92 92 92 1,201 2,310 3,419 4,528 5,636 6,745 7,854 8,963 10,072 11,180 12,289 13,398 14,507 15,616 16,724 17,833 18,942 20,051 21,160 22,268 23,377 environment component 2. Transport component Benefit from reduction in 0 0 0 0 6 13 19 22 26 29 32 32 32 32 32 32 32 32 32 32 32 32 32 32 32 32 32 32 32 32 32 idle running fuel Benefit from reduction in passenger time wasted in 0 0 0 0 6 12 18 21 24 27 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 30 traffic Benefit from GHG emissions reduction from 0 0 0 0 3 4 4 4 4 4 3.99 4.09 4.19 4.29 4.40 4.51 4.62 4.74 4.86 4.98 5.10 5.23 5.36 5.50 5.63 5.78 5.92 6.07 6.22 6.38 6.53 the reduction in idle running fuel Benefit of avoiding a 0 0 0 0 3 3 3 3 3 3 7 7 7 7 7 7 7 7 7 7 7 7 7 7 7 7 7 7 7 7 7 fatal accident Benefit from avoiding 0 0 0 0 2 2 2 2 2 2 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 serious injury Page 57 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) 2019* 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 Component Implementation Period Economic Life F. Total incremental benefit from transport 585.57 0 0 0 0 21 33 46 52 59 65 78 78 78 78 78 78 78 79 79 79 79 79 79 79 79 80 80 80 80 80 80 component G. Total incremental 82940.22 0 0 0 0 21 33 193 231 238 246 2452 4681 6945 9247 11588 13970 16393 18860 21372 23930 26537 29194 31903 34665 37483 40359 43295 46293 49355 52483 55680 benefit (E+F) H. Total cash flow (after considering incremental -444 -233 -692 -767 -1121 -731 -479 -644 -636 -554 2423 4651 6915 9218 11559 13940 16363 18830 21342 23900 26507 29164 31873 34635 37454 40330 43265 46263 49325 52453 55650 benefit) (C+G) I. Total benefit in 2019 after adjusting average 75,420.80 inflation rate in Bangladesh (BDT) In US$ 892.55 Economic BCR 11.03 Economic IRR 33.14% *Total benefit in 2019 after adjusting average inflation rate in Bangladesh (BDT). Average Inflation Rate =6.785% from 2009 to 2019. Page 58 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) ANNEX 5. BORROWER, CO-FINANCIER AND OTHER PARTNER/STAKEHOLDER COMMENTS Subject: Comments of MOEFCC on the World Bank prepared Implementation Completion and Results (ICR) Report for the WB supported Clean Air and Sustainable Environment (CASE) Project. 1. Introduction Overall Project Performance and Rating 1.1 MOEFCC has reviewed the Implementation Completion Report(ICR) prepared by the WB ICR team for the Clean Air and Sustainable Environment (CASE) Project. The project became effective on August 19, 2009 and closed on 31 March 2019. The project had two components; the environment component implemented by the DOE, MOEFCC and the transport component implemented by DCC (North & South), MOLGRD and DTCA, MORTB. 1.2 The objective of environment component during preparation was to strengthen the capacity of the Department of Environment (DOE) in air quality management. In order to achieve the objective, the project supports various activities to build the capacity of the Air Quality Wing and install a network of air quality monitoring stations across the main cities in Bangladesh to improve the collection of air quality data. The project also provided technical assistance in air quality monitoring, data analysis, vehicular emission monitoring and updating emission standards. This component also provided technical assistance to pilot energy efficient and cleaner brick kiln technologies. The component supported preparation of the Brick Manufacturing Acts and Rules, and Clean Air Act. 1.3 The transport component of the project supported capacity building through technical assistance and demonstration initiatives aimed at improving traffic flow and pedestrian movement. Investments included construction of foot over bridges (FOBs), traffic signals, and sidewalks. Technical assistance and capacity building were also provided in areas such as traffic engineering design, traffic signal systems operation, and raising public awareness on trafficsafety. 1.4 Formally, the project performance has to be evaluated by the PDOs (Project Developed Objectives) for the project. Looking at the baseline at the time of preparation of the project and the EOP (End of Project) achievements, all the PDOs have been achieved or exceeded. By the PDO achievements, the project outcome is satisfactory. However, the PDO list (Table-1) does not capture the full story of the project and the specifics of the undertakings in the project have to be evaluated to determine the real extent of success.It appears that there are cases of success, partial success and not so successful items in the activities in the project. However, considering overall performance of the project, MOEFCC agrees with the ICR evaluation of the project outcome as ‘Satisfactory’. Table-1: Evaluation PDO targets and achievements by core indicators PDO Indicator Unit Baseline Target (End of End of project Description / comments Project) Achievement PDO Indicator: Number Number 0 12 12 EOP Target of 12 of brick kilns adopting achieved. cleaner technology and Emission reduction and decreasing (i) particulate efficiency gains emissions by 20% and (ii) exceeded. GHG emission by 20% by end of project period Page 59 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) PDO Indicator: Increase Number 217,700 239,500 293.197 EOP Target exceeded. of vehicular traffic in location of interventions PDO Indicator: Percentage 0 75% 85% EOP Target exceeded Pedestrian using Foot- Over-Bridges in locations of intervention PDO Indicator: Percentage 0 75% 79% EOP Target exceeded. Pedestrian using sidewalks in locations of intervention PDO Indicator: Vehicular Percentage Not 8% 9.5% EOP Target exceeded. traffic increased at Available selected intersections with operational traffic signals 2. Key Achievements of the Project 2.1 As the project had two components; the environment component implemented by the DOE, MOEF and the transport component implemented by DCC (North & South), MOLGRD and DTCA, MORTB; the achievements have tobe looked at separately for the two components. 2.2 The Environment Component’s achievement: (i) Networkof continuous Air Monitoring Stations (CAMS): A CAMS network is an essential environmental infrastructurefor an industrializing country like Bangladesh.Thus, the project set out to set up anetwork of CAMS and succeeded in establishing 16in 13 major cities and these are producing AQ data on criteria pollutants on a fairly regular basis. Moreover,15 Compact Continuous Air Monitoring Stations have been procured to expand the monitoring network. From the monitoring data, it is observed that ambient air quality in Dhaka has not deteriorated significantly in the past five years in spite of growth in industry and transport because of the various policy measures implemented over the years by the GOB. The contribution of transport as a fraction of the total air pollution has decreased considerably. The analysis of AQ data from CASE project also show that emission from brick kilns is now the largest source of pollution in all the four major cities and fugitive industrial air pollutions are increasing. One of the studies in the project also show that steel industrial units with melt- shop are highly polluting. There are also other SMEs which are polluting, and these have to be identified. (ii) Under the CASE project, three types of brick kilns which are cleaner than the current FCKs (Fixed Chimney Kilns) and have modest cost of implementation have been designed for existing kiln owners and small investors. Piloting of these designs was done in the project;but the construction and operation were financed by the owners. So far, 12 demonstrations kilns have been completed. These new design kilns increase energy efficiency by about 30% and reduce air emissions by more than 70%; and lead to GHG/SLCF emission reductions as well. A new act on 'Brick Manufacturing and Kiln Construction' (Act 59 of 2013) was adopted by the parliament on November 20, 2013. The work on cleaner production in the brick sector which Page 60 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) has started in the CASE project has to be taken to its logical conclusion if public health benefits are to be realized. While GOB has increased the regulatory pressure in the brick sector to move the kiln owners to cleaner production; the move is still slow and use of unapproved designs is rampant; as sufficient time was not available for the project developed technical knowhow transfer; because the final piloting results became available almost at the end of the project. (iii) An Air Quality Wing (AQW) formed under the CASE project initiative, has now been incorporated in the DOE organogram as Air Quality Section (AQS) under regular budget and expected to be fully staffed soon. The capacity issue of the AQS is a major concern and MOEFCC is trying to address the issue from the long-term perspective and sustainability of Air Quality Management in the DOE. (iv) As institutional developments project supported setting up of a central air quality laboratory and supported the construction of 12 storied + 2 basement building with modern facilities. The building has pre-equipped the DOE for expansion for the implementation of planned by the GOB; according to the newly approved DOE organogram.The central instrument laboratory has been setup; which is equipped with spare instruments for deployment to the field,if CAMS monitors fail. The instrument laboratory hasbasic repair facilities and adequate spare parts and consumables to enable rapid repairs to be done at DOE, by its technical personnel. This is expected to help human resource development in maintaining the sophisticated monitoring equipment and their sustainability. At the same time, these units could be used in the laboratory to train staff, etc. Moreover, several analytical equipment havealso been procured to enhance the technical capacity of DoE in respect of analysis of other environmental samples. (v) Through studies on dispersion and source apportionment of fine particulate matter data with NILU (Norwegian Institute of Air Research), DOE staff have been exposed to analysis of AQ data for the understanding of the nature of air pollution and their sources. DOE is trying to develop inhouse capability in DOE for such analysis. A considerable number DOE and GOB staff have been trained under the project, to enhance the capacity for project implementation,project management and procurement operation;in addition tothe operation and maintenance of CAMS, ambient and industrial AQ monitoring, air pollution management and enforcement measures. (vi) Bangladesh did not have a clean air act or law that specifically addresses air pollution and its management and control. A number of sector-specific policies (e.g., transport and industry sectors) and rules that impact on air pollution, however, have been adopted. The project supported drafting of a Clean Air Act (CAA) for Bangladesh designed to control air pollution in leading to a cleaner environment in a nation, especially airshed based management and involvement of local authorities. MOEFCC has taken up this CAA draft for further work for its adoption. (vii) Although, the project did not decrease the air pollution in Dhaka city, it has been successful at stabilizing the level of air pollution for the past five years in spite of increasing industrialization and population growth. Thus, a modest claim can be made, that the CASE project was successful in reducing the rate at which air quality had been worsening in Dhaka. Page 61 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) This improvement in the trend of worsening urban air quality is estimated to have resulted in significant health benefits for the urban population. Hence, it can also be said that CASE project has achieved its objectives and the strategy that envisaged a reduction in urban air pollution and improvement in health impacts.However, even with the interventions under the CASE project on improvement of the Ambient Air Quality, emissions reduction and improvement in the energy efficiency of brick kilns is likely to remain a continuing challenge; as the initiatives have to be sustained over a long time. 2.3 The achievement of the Transport Component (i) Improvement of traffic flow and pedestrian mobility. A total of 84 km of new sidewalk with surface drainage, as well as the construction of 23 Foot-Over-Bridges were completed by the project. Through these physical investments, pedestrian mobility and safety were greatly improved. In terms of traffic flow, the pilot on the separation of traffic was not successful; as it was not respected by drivers in most project locations.Traffic flow improved due to the physical improvement made at 39 intersections and the repair of existing streetlights. There were issues with the operation and management of newly installed signals; as their performance had not stabilized by project closing and the future effectiveness appears uncertain. (ii) Institutional capacity and regulatory framework for the planning and coordination of urban transport.Through technical assistance support, the execution of capacity building and institutional strengthening activities were conducted for the DCC(now DNCC and DSCC) and DMP staff. The fragmentation and mandate between DCC and DMP regarding traffic signals and traffic management continued to be problematic throughout the project.By project end, DMP was designated as the lead agency for traffic management with all operation and maintenance functions by the GoB. In addition, a Traffic Engineering Cell with a staff strength of 39 personnel was established in the DMP. Further, in terms of the legal framework, on 8 March 2012, the DTCA Act was officially established, renaming the DTCB as the Dhaka Transport Coordination Authority (DTCA), and giving the agency the authority and weight necessary to effectively execute the urban transport mandate. (iii) Planning for a larger urban infrastructure project completed. Studies for (i) rationalization of bus route network and (ii) BRT on a pilot corridor were completed by the DTCA executed sub- component of the transport component. These studies have provided the foundation for the GoB to introduce better quality bus operations on the bus routes; as well as to assess the feasibility of implementing a BRT corridor in Dhaka. 3. Lessons learnt 3.1 The issues of air quality management arecross-cutting and management targets are well beyond the capacity of a single implementing agency of the Government to achieve. In the absence of legal mandates on the part of other agencies, the project planning and implementation had to be done and implemented by the DOE; with little input from other agencies. With the passage of the Clean Air Act drafted under the CASE project, other GOB agencies especially the local government agencies can be integrated in future Air Quality Management programs of the GOB. There were ownership issues with Page 62 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) in the DOE, as project implementation was done by the PIU; and the relevant wings (e.g., Air, Water, Solid Waste/Soil etc.) in the DOE, were only peripherally involved. 3.2 Although, it is now generally understood that the CAMS are part of the environmental infrastructure of an industrializing country; this understanding is not yet universal;both in the population and in some GOB quarters. Thus, DOE/MOEFCC will need to be vigilant to obtain necessary resources for the sustainability of the CAMS.The DOE building constructed under the project, has pre-equipped the DOE for expansion planned by the GOB and it should be used for the purpose. 3.3 There are project achievements that go much beyond what is initially achieved in the project. The development of the low-cost energy efficient and low emission brick kilns’ designs has opened a window of opportunity for reduction of brick kiln emission in the medium term; before brick industry can be upgraded to large scale industrial production; especially for non-fired bricks. This development may also help regional and other developing countries. 3.4 The sustainability of some achievements such in dispersion modelling and source apportionment work which were done with support from NILU during the project period, can’t be assured; as DOE employment grades are not attractive enough to employ highly skilled personnel needed for such work. One potential option for continuation of such activities may be the collaboration with Universities and R&D agencies; which should be pursued. Given that the sustainability of crucial activities especially laboratory based analytical work also need high skilled manpower, institutional strengthening to train and retain such human resources is a necessity. 3.5 CASE project has opened the opportunity to improve AQ and address some highly relevant pollution management issues in other arenas; but these will need much larger investments and follow-on projects. 3.6 Interagency coordination was a perennial problem in the project. In future project planning,such issues should be address during project preparation, through well-defined procedures and modalities. 3.7 Enforcement framework in the DOE needs reformulation to avoid conflict of interest. Better separation of monitoring, permittingand enforcement which is practiced in most south Asian countries, may be the way ahead. Maintenance of strong technical orientation in the DOE is also essential,in order to maintain the expensive equipment purchased in the project. 4. Bank Performance. Bank team supported the three ‘Project Implementation’ teams at all stages from conceptualization to preparation and implementation until completion of the project; in many different ways. These included technical, fiduciary, environmental, social, M&E and public consultation aspects. As the initial project design was a bit ambitious to be completed within the project period; the Bank team agreed to the time extension and additional financing proposed by the Project teams; that were approved by both GOB and WB management. The restructurings of the project in the process proved useful for achieving the original project’s development targets at the end of the project. Through regular project implementation support missions, the Bank Team helped to reduce the implementation delays, which were at times beyond the control of the PIU teams. Overall, the MOEFCC views the performance of Bank’s project team as satisfactory and vital for the successful completion of the project. Page 63 of 64 The World Bank Clean Air and Sustainable Environment Project (P098151) ANNEX 6. SUPPORTING DOCUMENTS (IF ANY) • International Development Association, Financing Agreement Clean Air and Sustainable Environment Project, negotiation draft March 9, 2009. • Ministry of Environment and Forests (MOEFCC), Operational Responsibilities of Different Entities/Agencies, Clean Air and Sustainable Environment (CASE) Project, Submitted for Approval to the Steering Committee, September 13, 2009. • Government of Bangladesh, Environmental and Social Management Framework, Clean Air and Sustainable Environment Project, June 2008. • International Development Association, Financing Agreement, Additional Financing for Clean Air and Sustainable Environment Project, Credit Number 5924-BD, April 18, 2017. • Draft report on the impact of “Hazipara Road Improvement” on adjacent urban development, June 2018. • CASE ISRs • CASE Aide Memoires/Management Letters Page 64 of 64