THE WORLD BANK ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP) - OCTOBER 2018 a The Albanian Financial Supervisory Authority Enhancing Capital Markets Supervision Capacities of The Albanian Financial Supervisory Authority Phase 2 (P171066) ENVIRONMENTAL and SOCIAL COMMITMENT PLAN (ESCP) June 26th 2019 1|Page THE WORLD BANK ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP) - OCTOBER 2018 Albanian Financial Supervisory Authority Enhancing Capital Markets Supervision Capacities of The Albanian Financial Supervisory Authority Phase 2 (P171066) ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN 1. The Albanian Financial Supervisory Authority (AFSA) is planning to implement the Enhancing Capital Markets Supervision Capacities of The AFSA Phase 2 Project (the Project), with the involvement of the General Directorate of Contracting and Financing (CFCU). The Swiss SECO has agreed to provide financing for the Project. 2. AFSAwill implement material measures and actions so that the Project is implemented in accordance with the World Bank Environmental and Social Standards (ESSs). This Environmental and Social Commitment Plan (ESCP) sets out a summary of the material measures and actions. 3. Where the ESCP refers to specific plans or other documents, whether they have already been prepared or are to be developed, the ESCP requires compliance with all provisions of such plans or other documents. In particular, the ESCP requires compliance with the provisions set out in Stakeholder Engagement Plan. No other plans and measures are identified. 4. The table below summarizes the material measures and actions that are required as well as the timing of the material measures and actions.AFSA is responsible for compliance with all requirements of the ESCP. 5. Implementation of the material measures and actions set out in this ESCP will be monitored and reported to the Bank by AFSA as required by the ESCP and the conditions of the grant agreement, and the Bank will monitor and assess progress and completion of the material measures and actions throughout implementation of the Project. 6. As agreed by the Bank andAFSA, this ESCP may be revised from time to time during Project implementation, to reflect adaptive management of Project changes and unforeseen circumstances or in response to assessment of Project performance conducted under the ESCP itself. In such circumstances, AFSA will agree to the changes with the Bank and will update the ESCP to reflect such changes. Agreement on changes to the ESCP will be documented through the exchange of letters signed between the Bank and theAFSA. The AFSA will promptly disclose the updated ESCP. Depending on the project, the ESCP may also specify the funding necessary for completion of a measure or action. 7. Where Project changes, unforeseen circumstances, or Project performance result in changes to the risks and impacts during Project implementation, the AFSA shall provide additional funds, if needed, to implement actions and measures to address such risks and impacts 2|Page THE WORLD BANK ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 1.0 - OCTOBER 2018 Enhancing Capital Markets Supervision Capacities of The Albanian Financial Supervisory Authority Phase 2 ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN DATE Summary of the Material Measures and Actions to Mitigate the Timeframe Responsibility / Date of Completion Project’s Potential Environmental and Social Risks and Impacts Authority and Resources/Funding Committed ESCP Monitoring and Reporting REGULAR REPORTING: Prepare and submit regular monitoring Annual reporting AFSA December 2022 reports on the implementation of the ESCP. throughout all of life of the project. Coordinate with the WB ISR Report. INCIDENTS AND ACCIDENTS NOTIFICATION: Promptly notify any Promptly after taking AFSA incident or accident related or having an impact on the Project notice of the incident which has, or is likely to have, a significant adverse effect on the or accident. environment, the affected communities, the public or workers. Provide sufficient detail regarding the incident or accident, indicating immediate measures taken to address it, and include information provided by any contractor and supervising entity, as appropriate. SUMMARY ASSESSMENT ESS 1: ASSESSMENT AND MANAGEMENT OF ENVIRONMENTAL AND SOCIAL RISKS AND IMPACTS 1.1 ORGANIZATIONAL STRUCTURE: Establish an organizational structure with qualified staff to support management of E&S risks. There will be no hiring of staff for E& S risks. This is low risk project. Maintain as necessary throughout Project implementation. 1.2 ENVIRONMENTAL AND SOCIAL ASSESSMENT: There are no N/A activities with a physical footprint identified, nor are there 3|Page THE WORLD BANK ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 1.0 - OCTOBER 2018 Enhancing Capital Markets Supervision Capacities of The Albanian Financial Supervisory Authority Phase 2 ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN DATE Summary of the Material Measures and Actions to Mitigate the Timeframe Responsibility / Date of Completion Project’s Potential Environmental and Social Risks and Impacts Authority and Resources/Funding Committed activities that could lead to specific actions that could have an associated environmental or social impact. There are no identified direct or indirect environmental or social impacts of the project activities. The team will communicate to the Borrower that any subsequent activities that may stem from this TA would be prepared in line with the World Bank Environmental and Social Framework and this will be reflected in the TORs for all such activities, if any. 1.3 MANAGEMENT TOOLS AND INSTRUMENTS: Develop and SEP will be applied December 2022 implement. Stakeholder Engagement Plan (SEP). Draft SEP throughout Project acceptable to the Bank will be prepared for the appraisal. The Implementation final plan will be ready before the project approval 1.4 MANAGEMENT OF CONTRACTORS: N/A. 1.5 PERMIT, CONSENTS AND AUTHORIZATIONS: N/A 1.6 THIRD PARTY MONITORING:N/A 4|Page THE WORLD BANK ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 1.0 - OCTOBER 2018 Enhancing Capital Markets Supervision Capacities of The Albanian Financial Supervisory Authority Phase 2 ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN DATE Summary of the Material Measures and Actions to Mitigate the Timeframe Responsibility / Date of Completion Project’s Potential Environmental and Social Risks and Impacts Authority and Resources/Funding Committed 1.7 Add other measures and actions that have been agreed, as per the specific risks and impacts of the Project ESS 2: LABOR AND WORKING CONDITIONS 2.1 LABOR MANAGEMENT PROCEDURES: No. PIU formed by civil servants. 2.2 GRIEVANCE MECHANISM FOR PROJECT WORKERS: 2.3 OHS MEASURES: Develop and implement occupational, health and OHS issues will be December 2022 safety (OHS) measures. addressed in accordance with national laws. 2.4 EMERGENCY PREPAREDNESS AND RESPONSE: 2.5 PROJECT WORKERS TRAINING: 2.6 Add other measures and actions that have been agreed, as per the specific risks and impacts of the Project ESS 3: RESOURCE EFFICIENCY AND POLLUTION PREVENTION AND MANAGEMENT 5|Page THE WORLD BANK ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 1.0 - OCTOBER 2018 Enhancing Capital Markets Supervision Capacities of The Albanian Financial Supervisory Authority Phase 2 ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN DATE Summary of the Material Measures and Actions to Mitigate the Timeframe Responsibility / Date of Completion Project’s Potential Environmental and Social Risks and Impacts Authority and Resources/Funding Committed 3.1 MANAGEMENT OF WASTE AND HAZARDOUS MATERIALS: N/A 3.2 Add other measures and actions that have been agreed, as per the specific risks and impacts of the Project ESS 4: COMMUNITY HEALTH AND SAFETY 4.1 TRAFFIC AND ROAD SAFETY: N/A. 4.2 COMMUNITY HEALTH AND SAFETY: N/A 4.3 GBV AND SEA RISKS: N/A 4.4 GBV AND SEA RISKS DURING PROJECT IMPLEMENTATION: N/A 4.5 EMERGENCY RESPONSE MEASURES: N/A 4.6 SECURITY PERSONNEL: N/A 6|Page THE WORLD BANK ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 1.0 - OCTOBER 2018 Enhancing Capital Markets Supervision Capacities of The Albanian Financial Supervisory Authority Phase 2 ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN DATE Summary of the Material Measures and Actions to Mitigate the Timeframe Responsibility / Date of Completion Project’s Potential Environmental and Social Risks and Impacts Authority and Resources/Funding Committed 4.7 TRAINING FOR THE COMMUNITY: N/A 4.8 Add other measures and actions that have been agreed, as per the specific risks and impacts of the Project ESS 5: LAND ACQUISITION, RESTRICTIONS ON LAND USE AND INVOLUNTARY RESETTLEMENT 5.1 LAND ACQUISITION AND RESETTLEMENT: N/A 5.2 RESETTLEMENT PLANS: N/A 5.3 MONITORING AND REPORTING: N/A 5.4 GRIEVANCE MECHANISM: N/A 5.5 Add other measures and actions that have been agreed, as per the specific risks and impacts of the Project ESS 6: BIODIVERSITY CONSERVATION AND SUSTAINABLE MANAGEMENT OF LIVING NATURAL RESOURCES 6.1 BIODIVERSITY RISKS AND IMPACTS: N/A 6.2 Add other measures and actions that have been agreed, as per the specific risks and impacts of the Project ESS 7: INDIGENOUS PEOPLES/SUB-SAHARAN AFRICAN HISTORICALLY UNDERSERVED TRADITIONAL LOCAL COMMUNITIES 7|Page THE WORLD BANK ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 1.0 - OCTOBER 2018 Enhancing Capital Markets Supervision Capacities of The Albanian Financial Supervisory Authority Phase 2 ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN DATE Summary of the Material Measures and Actions to Mitigate the Timeframe Responsibility / Date of Completion Project’s Potential Environmental and Social Risks and Impacts Authority and Resources/Funding Committed 7.1 INDIGENOUS PEOPLES PRESENT OR COLLECTIVELY ATTACHED TO PROJECT AREA:N/A 7.2 INDIGENOUS PEOPLES PLAN: N/A 7.3 GRIEVANCE MECHANISM: N/a 7.4 Add other measures and actions that have been agreed, as per the specific risks and impacts of the Project ESS 8: CULTURAL HERITAGE 8.1 CHANCE FINDS: N/A N/A. 8.2 CULTURAL HERITAGE: N/A 8.3 Add other measures and actions that have been agreed, as per the specific risks and impacts of the Project ESS 9: FINANCIAL INTERMEDIARIES 8|Page THE WORLD BANK ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 1.0 - OCTOBER 2018 Enhancing Capital Markets Supervision Capacities of The Albanian Financial Supervisory Authority Phase 2 ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN DATE Summary of the Material Measures and Actions to Mitigate the Timeframe Responsibility / Date of Completion Project’s Potential Environmental and Social Risks and Impacts Authority and Resources/Funding Committed 9.1 ESMS: N/A 9.2 FI ORGANIZATIONAL CAPACITY: N/A 9.3 SENIOR MANAGEMENT REPRESENTATIVE: N/A 9.4 Add other measures and actions that have been agreed, as per the specific risks and impacts of the Project ESS 10: STAKEHOLDER ENGAGEMENT AND INFORMATION DISCLOSURE 10.1 SEP PREPARATION: Prepare and disclose a Stakeholder by Appraisal Engagement Plan (SEP). 10.2 SEP IMPLEMENTATION: Implement the SEP. Throughout the December 2022 project 10.3 PROJECT GRIEVANCE MECHANISM: Develop and implement the Prior to September September 2019 arrangements for the grievance mechanism. 2019 10.4 Add other measures and actions that have been agreed, as per the specific risks and impacts of the Project Capacity Support Specify Training to be provided Specify Targeted Groups and Specify Training Completed Timeframe for Delivery • 9|Page