Document of The World Bank Report No: RESTRUCTURING PAPER ON A PROPOSED GRANT OF PILOT PROGRAM FOR CLIMATE RESILIENCE (PPCR PHASE 1) GRANT NO. TF098449 PLURINATIONAL STATE OF BOLIVIA 24 October, 2012 Extension of Closing Date ______________________________________________________________________ BOLIVIA – Pilot Program for Climate Resilience P125156 TF098449 1 Restructuring Paper 1. In response to the request from the Government, the closing date for Bolivia, Pilot Program for Climate Resilience, Grant No. TF098449, Project ID P125156, approved on June 23 de 2010 would be extended from December 23, 2012 until December 31, 2013. 2. Achievement of the Grant objective is likely with the proposed extension of the closing date. The Project Implementation Unit was established and staffed. Many activities are at the contracting stage. 3. The proposed extension is necessary because the grant implementation suffered significant delays due to institutional changes within the Ministry of Environment and Water. Since Grant effectiveness in June 2011, the PNCC, in charge of Grant implementation, has proven unable to implement the activities under the grant agreement. On March 8, a Ministerial Resolution was enacted, which formally created a Project Implementation Unit directly reporting to the Office of the Minister. The Grant Agreement was amended to reflect those institutional changes. The newly created PIU has since been gradually staffed and is in the process of being decentralized. Implementation by a decentralized PIU will expedite the implementation of the program; however, a one year extension of the grant closing date is still necessary to be able to meet the grant objectives, complete the activities foreseen and fully disburse it. The PIU has in place an action plan, satisfactory to the Bank, to complete the Grant. There is no overdue audit 4. This will be the first extension of the project.