INTEGRATED SAFEGUARDS DATA SHEET APPRAISAL STAGE
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1 Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Copy Public Disclosure Copy Date ISDS Prepared/Updated: 13-Mar-2014 INTEGRATED SAFEGUARDS DATA SHEET APPRAISAL STAGE Date ISDS Approved/Disclosed: 13-Mar-2014 I. BASIC INFORMATION 1. Basic Project Data Country: Morocco Project ID: P Project Name: MA-Rural Water Supply (P145529) Task Team Xavier Chauvot De Beauche Leader: Estimated 18-Mar-2014 Appraisal Date: Managing Unit: MNSWA Estimated Board Date: Lending Instrument: Report.: ISDSA Apr-2014 Investment Project Financing Sector(s): Water supply (100%) Theme(s): Rural services and infrastructure (80%), Water resource management (20%) Is this project processed under OP 8.50 (Emergency Recovery) or OP 8.00 (Rapid Response to Crises and Emergencies)? Financing (In USD Million) Total Project Cost: Total Bank Financing: Financing Gap: 0.00 Financing Source Amount Borrower International Bank for Reconstruction and Development Total Environmental B - Partial Assessment Category: Is this a Repeater project? 2. Project Development Objective(s) The project development objective (PDO) is to provide access to safe and reliable drinking water supply for rural communities in targeted under-served areas in the project area. 3. Project Description A safe water supply is defined as a water supply service which meets the appropriate quality standards, as required by the applicable Moroccan regulation. A reliable water supply service is a Page 1 of 8
2 continuous water service, provided 24 hours a day 7 days a week. Public Disclosure Copy Public Disclosure Copy The new project substantially builds on the experience and lessons learned from on-going projects to further support a high-capacity borrower consolidate its Rural Water Supply service delivery in areas that remain underserved, in support of Morocco s economic and social development objectives. The proposed Project aims to continue the World Bank s support to the latest phase of Morocco s Expansion of Rural Water Supply Program by intensifying its efforts to extend access to standpipe (SP) service in areas that remain underserved (component 1, consisting of 78% of Project costs); by leveraging a household pre-financing mechanism to accelerate household connection (HC) service deployment (component 2, consisting of 8% of Project costs, half of which is allocated to the upgrading of upstream access networks that had been under-sized). Another 9% of Project costs will fund technical assistance and capacity building activities. The remaining 4% will cover for physical and financial contingencies. During preparation, ONEE and the Bank mutually agreed to include in the proposed project additional systems showing high level of readiness, resulting in the increase of the project loan amount from the original Euro 50 million discussed at the concept stage to Euro 109 million. A preliminary assessment of the level of readiness of the proposed additional systems has shown that their preparation is advanced enough that they can be included in the proposed project without impacting the level of preparation or implementation risk. The change in the loan amount is being discussed between ONEE (the Borrower) and the Ministry of Finance (the Guarantor) to confirm the proposed increased loan amount. As such, the Project would include three components. Financing indicated below amounts to a total Project cost of EURO 129 million (US$ 178 million equivalent), out of which EURO 109 million (US$ 150 million equivalent) is funded through the proposed Bank loan. Component 1: Extension of access to water supply through standpipes in targeted, under-served provinces. The cost of this component, with contingencies, is estimated at EURO million (US$ million equivalent), of which EURO 86.3 million (US$ 119 million equivalent) is financed by the Bank loan (82%) and EURO 19.2 million (US$ 26.4 million equivalent) is counterparts funding. This component consists of developing infrastructure necessary to extend water supply to selected rural areas in eight provinces: Nador and Driouch in the rth of the country; Safi, Sidi Bennour, El Jadida and Skhour Rehamna in the Center; and Tiznit and Chtouka Ait Baha in the South. Infrastructure development will consist mostly of works including the construction of storage tanks (elevated or grounded), pumping stations, rural conveyance laterals, and public standpipe delivery systems in targeted villages (douars). the Communes Rurales (CR) will contribute 20% of financing of all works as prescribed by the financing agreement they have entered into with ONEE. All water supply infrastructure developed under the Project will be operated and maintained by ONEE. Once installed, standpipes will be operated and maintained by individual caretakers under existing management contracts. Component 2: Supporting the shift towards water service delivery through house connections. The cost of this component, with contingencies, is estimated at EURO 10 million (US$ 13.8 million equivalent), of which EURO 9 million (US$ 12.4 million equivalent) is financed by the Bank loan Page 2 of 8
3 (90%) and EURO 2 million (US$ 2.6 million equivalent) is financed by counterparts. Public Disclosure Copy Public Disclosure Copy This component aims at responding to the demand of an increasing share of the rural population for HC and will be implemented by ONEE throughout its service area. IBRD financing will contribute EURO 5 million (US$ 6.9 million equivalent) to an Infrastructure Development Fund managed by ONEE, set up as a revolving fund that will pre-finance a share of the cost of a household s individual connection. Installation of a household connection will only take place if a suitable household sanitation system is in place, be it collective or individual. Standards for acceptable rural sanitation solutions have been adopted by ONEE and will be described in detail in the Project Implementation Manual. This component will also comprise limited infrastructure development to increase the capacity of the regional access network in areas where the regional network installed in earlier stages of Morocco's Expansion of Rural Water Supply Program (PAGER) is insufficient to provide an adequate service, due to lower design standards at the time (20 liters per capita per day), in prevision for HC-service delivery. Component 3: Implementation Support and Capacity Building The cost of this component, with contingencies, is estimated at EURO 10 million (US$ 13.8 million equivalent) entirely financed by the Bank loan. This component will finance consultant services to provide technical assistance to ONEE for project implementation, studies and capacity building activities. 4. Project location and salient physical characteristics relevant to the safeguard analysis (if known) Extension of access to water supply through standpipes under Project Component 1 will focus on three areas in the last most critically under-served regions of Morocco a. villages in the rthern provinces of Nador and Driouch b. villages in the Central provinces of Safi, Sidi Bennour, El-Jadida and Rehamna c. villages in the Southern provinces of Tiznit and Chtouka Ait Baha Component 2, aiming at supporting the shift towards water service delivery through house connections will focus on location which are not yet know, but will focus on the entire service area of ONEE where the Bank can provide support. 5. Environmental and Social Safeguards Specialists Abdoul Wahabi Seini (AFTSG) Khalid Anouar (MNSWA) 6. Safeguard Policies Triggered? Explanation (Optional) Environmental Assessment OP/ BP 4.01 Yes The project is classified as Category B, which is consistent with previous experience with similar projects. An environmental assessment (EA) has been submitted to the Bank for review. It covers for all activities planned under the proposed expanded scope of the Project and includes an Environmental and Social Management Plan Page 3 of 8
4 Natural Habitats OP/BP 4.04 Forests OP/BP 4.36 Pest Management OP 4.09 Physical Cultural Resources OP/ BP 4.11 Indigenous Peoples OP/BP 4.10 Involuntary Resettlement OP/BP 4.12 Yes (ESMP). Necessary consultations were conducted in the additional areas, namely in the Skhour Rehamna province. ONEE has planned to conduct the consultation in the remaining Southern provinces in March 2014, once technical studies are finalized. Potential need for water supply production augmentation under the project is being studied. If and when confirmed by ONEE, a dedicated EIA and ESMP, consistent with Bank requirements in terms of content and consultation, Bank review and publication would be carried out before any work can start. While no involuntary resettlement is expected under the Project, there will be permanent and temporary limited land acquisition. The Resettlement Policy Framework (RPF) was prepared and submitted by ONEE. It was reviewed and cleared by the Bank prior to appraisal. The RPF presents applicable rules and format for dedicated Resettlement Action Plans (RAPs), which will be prepared on the basis of land surveys and information on affected people, once they are available. RAPs will be prepared in accordance with OP.4.12 policy requirements. RAPs will be submitted for safeguards review and will be disclosed as required by the Bank, before work can start. The submission of RAPs, acceptable to the Bank, for the two intervention areas where works are to start first are a conditions of effectiveness of the Loan. Safety of Dams OP/BP 4.37 Projects on International Waterways OP/BP 7.50 Page 4 of 8
5 Projects in Disputed Areas OP/BP 7.60 II. Key Safeguard Policy Issues and Their Management A. Summary of Key Safeguard Issues 1. Describe any safeguard issues and impacts associated with the proposed project. Identify and describe any potential large scale, significant and/or irreversible impacts: Project environmental risks in these areas are deemed low and manageable for (i) construction nuisances, (ii) facility locations, (iii) availability and quality of water resources for potable water supply, (iv) treatment chemicals storage, and (v) residuals management. Potential need for water supply production augmentation under the project is being studied. If and when confirmed by ONEE, a dedicated EIA and EMP, consistent with Bank requirements in terms of content and consultation, Bank review and publication would be carried out before any work can start. In addition, no involuntary resettlement is expected to take place under the Project, but there is likely to be permanent and temporary limited land acquisition. These will be handled through a RPF, which was reviewed and cleared by the Bank prior to appraisal. The RPF presents applicable rules and format for dedicated RAPs, which will be prepared on the basis of the progress of land surveys. RAPs will be submitted to the Bank for its review and will be disclosed in country and in the Infoshop, in compliance with Bank requirements, before works can start. ONEE had committed to provide by Appraisal RAPs for the two intervention areas where the works will first start. However, land survey progress did not make this possible. The Bank therefore recommended that the client (i) prepare an enhanced RPF document for each of these two areas (Beddouza and Skhour Rehamna); (ii) undertake a meaningful consultation with potentially affected people in the two first intervention areas to present the project and potential for physical or economic resettlement, and document consultations in minutes in the enhanced RPFs. These documents were reviewed and cleared by the RSA and should be disclosed in country and on the World Bank s Infoshop before appraisal can start. In addition the submission of RAPs for the two intervention areas was made a condition of effectiveness of the Loan and an addendum to the Decision Review Meeting minutes was prepared to clarify Safeguards related aspects to be met prior to Appraisal. 2. Describe any potential indirect and/or long term impacts due to anticipated future activities in the project area: long term negative impacts have been identified as part of the Project preparation. Risks associated to the construction and operations phases are limited and manageable. Although the project will not fund any service extension through house connection, the prefinancing mechanism funded under the Project (component 2) will allow low-income households to access service through house connection. Consequently, the project team assessed the issue of the additional greywater discharges these house connections will generate, and the associated need for appropriate sanitation solutions, be it piped or on-site. The project makes a strict eligibility criterion that households benefiting from the pre-financing of HC service extension have a satisfactory sanitation solution, consistent with the Moroccan regulation and ONEE's proposed technical options, which were reviewed and deemed acceptable to the Bank. A description of the acceptable on-site sanitation options have been attached as an Annex to the Project EA. It will also be annexed to the Project Implementation Manual (PIM), which will also clarify the modalities for Page 5 of 8
6 households and communes to implement, monitor and document that the improved sanitation solutions proposed are consistent with one of the satisfactory on-site sanitation solutions. 3. Describe any project alternatives (if relevant) considered to help avoid or minimize adverse impacts. t relevant. 4. Describe measures taken by the borrower to address safeguard policy issues. Provide an assessment of borrower capacity to plan and implement the measures described. ONEE is considered as a strong capacity borrower with a long experience of Bank-financed projects. ONEE's past performance managing these risks is generally satisfactory. It has developed and successfully applied project ESMPs and LAFs, with the support of the Technical Assistance (TA) to carry out these tasks, i.e. monitor the implementation of the environment and social action plans and land acquisition, consistent with the provisions of the LAFs. With regard to greywater management, before engaging into HC-service extension in an area requesting HC-service extension, ONEE, with support of its implementation TA consultant, will carry out a comprehensive review of the level of satisfaction of the proper sanitation eligibility criteria, as defined in its existing technical guidance. This review will also encompass an environmental screening of the proposed area, to assess whether existing sanitation solutions are acceptable and whether local environmental and technical conditions allow satisfactory sanitation through on-site sanitation systems or require a piped network solution. This review will also raise awareness of the CRs of the need to actively support, in accordance with the CRs mandate, the development of acceptable sanitation solutions, and of the fact that it will be made explicit in the delegated management agreements signed between ONEE and the CRs for the deployment of household connection service that a suitable household sanitation system should be in place, be it collective or individual, before a HC could be installed. In addition, ONEE also has strict requirements in terms of the quality of the water supplied, at their production sites and through the network. As any major operator, it has labs to perform random quality measurements in accordance with regulations. 5. Identify the key stakeholders and describe the mechanisms for consultation and disclosure on safeguard policies, with an emphasis on potentially affected people. Public consultations were organized in order to inform the beneficiary population and the different stakeholders concerned by the project's activities, to associate them to the assessment of the potential impacts of the project on environment and to allow them formulating comments and proposals. Public consultations took place in the provinces of El Jadida, Safi and Nador in Additional public consultations were organized in Skhour Rhamna on July 3, 2013 and February 21, 2014, and in Beddouza on February 14 and 20, Consultations in the remaining provinces of Tiznit and Chtouka Ait Baha are planned for March 2014, on the basis of the technical studies in these areas, which are being finalized and will inform the consultation. B. Disclosure Requirements Environmental Assessment/Audit/Management Plan/Other Date of receipt by the Bank Date of submission to InfoShop For category A projects, date of distributing the Executive Summary of the EA to the Executive Directors 15-v Jan-2014 Page 6 of 8
7 "In country" Disclosure Morocco Comments: RSA s clearance received by on January 22, Resettlement Action Plan/Framework/Policy Process Date of receipt by the Bank Date of submission to InfoShop "In country" Disclosure Morocco 23-Jan v Jan Jan-2014 Comments: RSA s conditional clearance received by on January 22, Updated document taking into consideration RSA s comments submitted to the Bank on January 28, If the project triggers the Pest Management and/or Physical Cultural Resources policies, the respective issues are to be addressed and disclosed as part of the Environmental Assessment/ Audit/or EMP. If in-country disclosure of any of the above documents is not expected, please explain why: C. Compliance Monitoring Indicators at the Corporate Level OP/BP/GP Environment Assessment Does the project require a stand-alone EA (including EMP) report? If yes, then did the Regional Environment Unit or Sector Manager (SM) review and approve the EA report? Are the cost and the accountabilities for the EMP incorporated in the credit/loan? OP/BP Involuntary Resettlement Has a resettlement plan/abbreviated plan/policy framework/ process framework (as appropriate) been prepared? If yes, then did the Regional unit responsible for safeguards or Sector Manager review the plan? The World Bank Policy on Disclosure of Information Have relevant safeguard policies documents been sent to the World Bank's Infoshop? Have relevant documents been disclosed in-country in a public place in a form and language that are understandable and accessible to project-affected groups and local NGOs? All Safeguard Policies Have satisfactory calendar, budget and clear institutional responsibilities been prepared for the implementation of measures related to safeguard policies? Have costs related to safeguard policy measures been included in the project cost? Page 7 of 8
8 Does the Monitoring and Evaluation system of the project include the monitoring of safeguard impacts and measures related to safeguard policies? Have satisfactory implementation arrangements been agreed with the borrower and the same been adequately reflected in the project legal documents? III. APPROVALS Task Team Leader: Name: Xavier Chauvot De Beauche Approved By Regional Safeguards Name: Maged Mahmoud Hamed (RSA) Date: 13-Mar-2014 Advisor: Sector Manager: Name: Steven N. Schonberger (SM) Date: 13-Mar-2014 Page 8 of 8
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