INTEGRATED SAFEGUARDS DATA SHEET APPRAISAL STAGE Report No.: ISDSA6723 Public Disclosure Copy Date ISDS Prepared/Updated: 19-Feb-2014 Date ISDS Approved/Disclosed: 25-Feb-2014 I. BASIC INFORMATION 1. Basic Project Data Country: Bosnia and Herzegovina Project ID: P143844 Project Name: DRINA FLOOD PROTECTION PROJECT (P143844) Task Team Guy J. Alaerts Leader: Estimated 28-Jan-2014 Estimated 16-May-2014 Appraisal Date: Board Date: Managing Unit: ECSAR Lending Investment Project Financing Instrument: Sector(s): Irrigation and drainage (100%) Theme(s): Water resource management (67%), Rural services and infrastructure (33%) Is this project processed under OP 8.50 (Emergency Recovery) or OP No 8.00 (Rapid Response to Crises and Emergencies)? Financing (In USD Million) Total Project Cost: 28.00 Total Bank Financing: 24.00 Public Disclosure Copy Financing Gap: 0.00 Financing Source Amount BORROWER/RECIPIENT 4.00 International Development Association (IDA) 24.00 Total 28.00 Environmental B - Partial Assessment Category: Is this a No Repeater project? 2. Project Development Objective(s) The Project's objective is to provide increased protection from flood events to agricultural and commercial interests and communities in the project areas. 3. Project Description This proposed Project has been identified as a key priority by BiH, which have been underlined by the authorities after the December 2010 and February 2013 floods. The Project will address high- Page 1 of 10 priority flood protection investments as defined by the 2012 analytic study conducted under the Regional Drina River Basin Program. The Project would only include those investments that do not negatively impact neighboring or downstream countries; would not require extensive additional Public Disclosure Copy analysis; nor require additional management agreements amongst the riparians, thus averting potential preparation and/or implementation delays The key results will be a reduced land area prone to floods and increased flood protection for project areas. The proposed PDO indicators are: (i) Land area prone to floods in each location (hectares) and (ii) Flood protection level for each location (1-in-40 year flood protection for agricultural lands; 1- in-100 year flood for semi-urban/urban communities). The project would have the following components: a. Component 1 - Flood protection works and support for Bijelijna area (about US$17.60 million): This component will fund the civil engineering works and related investments for the flood protection in the Bijeljina area, in the downstream flat plains near the confluence with the Sava. This includes resources for the APCU at MAFWM including fiduciary personnel for procurement and Financial Management, as well as Technical assistance as may be required for supervision of works and contract management and providing administrative and coordination support to the Sava Water Water Agency in Bijelijna. Funding will cover works, equipment purchase and land acquisition, as well as project management support, the detailed designs and preparation of Bidding Documents, and institutional strengthening. It is expected that this component will consist mostly of earth moving, dike construction and/or re-construction, and limited river bank shaping work (culverts, rip-rap cover, gabion placement, etc.). The dike will protect the Bijeljina town and the Janja and Amajlije, as well as other smaller settlements, on the Lower Drina. The alignment of the new dike will be parallel to the river and is based on an optimization depending on the distance to the river. It will skirt the large natural floodplain to the east containing the Drina meanders and mouth, and which, further east, is bounded by the Serbian territory. Thus, the dike would allow the continued function of this floodplain as a natural overflow area which supports a healthy natural habitat for flora, fish Public Disclosure Copy and fowl. The preferred trajectory runs partly over government-owned land, but mostly over private agricultural and some residential land. The dike will comprise three sections with a total length of 30.2 km, of which the middle part (from Glogovac pumping station to the road towards the Pavlovica bridge) is considered the priority and to have the highest readiness. The dike will be about 1-2 m in height. The upstream section, near Janja, has second priority. Funding will also provide for the effective implementation of the social safeguards and environmental measures identified in the Environmental and Social Assessment and accompanying documents. b. Component 2 - Flood protection works and support for Gorazde area (about US$10.40 million): This component will fundthe civil engineering works and related investments for the flood protection in four clusters of works in the Bosnia Podrinje Canton (around Gorazde), in the Middle Drina. This includes resources for the PIU at MAWFM including fiduciary personnel for procurement and Financial Management, as well as Technical assistance as may be required for supervision of works and contract management and providing administrative and coordination support to the Sava River Watershed Agency in Sarajevo. The project will fund the works, equipment, land acquisition, as well as the project management support, the detailed designs and preparation of Bidding Documents, and institutional strengthening. It is expected that this component will consist mostly of measures for river bed and bank consolidation (revetments, parapets, culverts, rip-rap cover, gabion placement, etc.), the building of similar protective structures for roads, bridges and other infrastructure along the river, and earth moving, dike construction and/or Page 2 of 10 re-construction. Works are envisaged along the Drina main stem (in, and near Gorazde town center) as well as on the Praca, Hrenovica and Pothranjanski potok torrents in the Municipalities of Pale- Praca and Ustikolina. The vulnerable land and inhabited areas are strung along both banks of the Public Disclosure Copy river and its tributaries inside narrow and steep valleys. Most of the dikes and bank reinforcements already exist, and where they need to be constructed anew, they will be located on government- owned land. Funding will also provide for the effective implementation of the social safeguards and environme ntal measures identified in the Environmental and Social Assessment and accompanying documents. Institutional and Implementation Arrangements: The project will be implemented by the FBiH Ministry of Agriculture, Forestry and Water (MoAFW) Project ImplementationUnit (PIU) and the Agriculture Project Coordination Unit (APCU) in the RS Ministry of Agriculture, Water and Forestry (MoAWF). In the FBiH, the project is technically supported by the Water Agency for the Sava River (based in Sarajevo); it operates under the FBiH MoAFW and has significant experience in planning and managing the implementation of flood protection works. The Ministry’s PIU will carry out project management including procurement, FM and M&E. In the RS, the Public Institution “RS Waters” in Bijeljina, under supervision of the RS MoAWF APCU will support the project at the technical level. Although the name and legal status of this latter institution are new, it has long-term experience in implementing similar works on river bank and flood control infrastructure. The Ministry’s APCU will carry out project management including the procurement, FM and M&E. Both PIU and APCU are staffed with experienced staff for the execution of daily project activities. The Bank assesses the PIU and APCU as adequate and acceptable. The land acquisition will be carried out by the respective Municipalities, and these committed budget for this purpose in 2015 - 2016. The environmental permitting and land acquisition systems are in place in BiH, and are carried out at the level of the Entities with functional ministries dealing with environment. The EIA laws and requirements are in line with those established in the EU. The Entities handle water management through two semi-independent Water Agencies (in FBiH) and the Public Institution “RS Waters” in Public Disclosure Copy Bijeljina (in RS) that are operational and that focus on integrated river basin management, guided by the EU Water Framework Directive; as such they are better positioned to manage water than some of the neighboring countries. Water permits are issued for all developments and activities that require water use or wastewater releases. Such Water Management Permits are issued based on the water balance and assessment of the competing demands for water. Social (including Safeguards) Social Impact: The social impact of the project activities is expected to be generally positive as the construction and rehabilitation works of dike systems in the locations of Bijeljina and Gorazde will benefit both rural and urban populations living along the Drina river. Reconstructed and new embankments will enhance the livelihoods of farmers who have their agriculture and horticulture land in close proximity to the river as the land area prone to floods will be reduced and flood protection increased. The dike system works will significantly increase the profitability of agricultural activities in the area. In the short term, the project will likely generate temporary employment for the local population in rehabilitation and construction works. Although men are likely to benefit more than women from these opportunities, their family members will also benefit from the increase in household income. An estimated 175,000 people live within the main municipalities along the river of which an estimated 20,000 suffered direct economic losses caused by flooding. Page 3 of 10 Safeguards: The Project triggers OP/BP 4.12 on Involuntary Resettlement. As the detailed designs are not available at the appraisal stage and the entire alignments are not known yet, the exact magnitude of footprints of the works and the land lots to be acquired has not been fully defined. Public Disclosure Copy However, based on the results of feasibility studies, some preliminary designs, field visits and discussions held, the potential social impact that civil works may entail in terms of land acquisition and resettlement is considered to be acceptably low to moderate. No physical displacement of occupants (legal or illegal) or restriction of access to resources or income streams is expected under the Project. As a guiding resettlement instrument, two separate Resettlement Policy Framework (RPFs) have been developed for the Bijeljina and Gorazde areas. Positive and negative social effects and mitigating measures related to potential resettlement impacts have been identified in line with the provisions of OP/BP 4.12. Concrete mitigation measures will be spelled out in site-specific Resettlement Action Plans (RAPs) needed for the locations of Bijeljina and Gorazde. Preparation of RAPs with full population census and an inventory of assets to be acquired has been initiated. For the Bijeljina area, priority is on the development of the RAP for the 16 km long middle section (from the settlement of Badovinci /Pavlovica road to Dasnica) which will be first constructed and the works commencement is expected in mid-2015. The first drafts of RAPs will be submitted to the Bank by February 15, 2014 for the Gorazde area and February 25, 2014 for Bijeljina. Advanced drafts are expected in early March 2014. As per the current available data, the construction of 33.7 km long dike in Bijeljina will affect some 238 ha of land but the exact number of land to be acquired is not known yet at this stage, nor is the exact percentages of municipal land and privately owned land. The site-specific RAPs will provide the necessary information and the exact nature of the land to be acquired; the number of the project affected people based on the census and inventory of assets that have just been initiated. According to the available data, it is expected that the Project will not affect any residential houses, objects or business in either of locations. The rehabilitation works in Gorazde area will mainly be effected on municipal land (though some works in the Pothranjenski creek may entail some land acquisition on private land for securing the right-of-way). The affected people will receive compensation in accordance with compensation standards specified in the RPFs and site-specific RAPs. The land Public Disclosure Copy acquisition costs have been estimated to amount approximately US$ 4.0 million. This will be financed from counterpart funds. Public Consultations and Disclosure: Public consultations were held during the preparation and development of Resettlement Policy Framework (RPFs) and will continue for the preparation and development of site-specific Resettlement Action Plans (RAPs) for the locations of Bijeljina and Gorazde respectively in order to: (i) limit the adverse impact on affected households; (ii) confirm appropriate compensation entitlements; and (iii) identify vulnerable persons. Joint public consultations meetings for the draft EA; EMPs and RPF were held in January 13, 2014 in Bijeljina and January 16, 2014 in Gorazde and were disclosed on January 8, 2014 on the websites of the respective line ministries. Final RPF in both English and local language was disclosed on January 10, 2014 in accordance with the relevant BiH laws and regulations, and the World Bank Operational Policy 4.12 on Involuntary Resettlement. Environment (including Safeguards) The Project has been categorized as a World Bank Category B project, triggering OP 4.01 on Environmental Assessment. The works envisaged under the project include construction, rehabilitation and modernization of the drainage and flood protection infrastructure at selected sites alond the Drina river and its tributaries – specifically in Bijeljina (RS), Gorazde, Ustikolina and Pale- Praca (FBiH). At the upstream area of Gorazde where the river runs through narrow, steep terrain, Page 4 of 10 the identified priority works include river bank stabilization and erosion control. Further downstream and closer to the confluence with the Sava river, in the Bijeljina and Janja area a new dike will be constructed to prevent flooding in an expansive, flat floodplain. The Project will ensure that the new Public Disclosure Copy dike is conceived in such a manner so that it skirts the natural flood plain adjacent to the river, so that this habitat can be maintained for fish, birds, native vegetation, etc. and as a natural overflow area during high flow periods. An Environmental Assessment for each of th e entities has been prepared prior to Appraisal, with one Environmental Management Plan (EMP) for RS and five EMPs for FBiH. The documents were subject to public consultations held in Bijeljina on January 13, 2014 and in Gorazde on January 16, 2014. The EA also provides a review of the optimal placement of the dike in Bijeljina and Janja, while site- specific provisions ensure that there are no long-term downstream hydrological impacts on the other users. The EMPs have also confirmed that there are no sensitive natural habitats, forests or ecosystems in the project area. The EMPs also includes provisions on chance findings during works on the river, even though no specific cultural heritage sites have been identified during the preparation missions, and as such OP 4.11 is not triggered. The works envisaged on the river bank stabilization will include construction or reconstruction works where standard environmentally sound practices will be implemented, on ensuring minimal disturbances to the surrounding areas, flora, fauna and the population (dust, noise, leaks, spills, machinery use, working hours, and safety on site). Protection of the river and re-routing the flow is addressed in site-specific EMPs, as well as hydrologic implications of the construction works but also once the river banks works are completed on the downstream users. The EMPs/EIA for the dike sections in Bijeljina also focus on feasibility studies that include hydrologic assessments of the downstream user impacts. The EMPS also include sound environmental provisions, on the sources for the material that will be used in construction of the dike. All materials supplied will need to be from licensed quarries or suppliers. Public Disclosure Copy Other Safeguards Policies Triggered OP 7.50 Projects on International Waterways is triggered as Drina is an international waterway and is a tributary of the Sava and by extension the Danube Rivers. A notification has been sent by the Client to the International Sava River Commission which was discussed at a session of the Commission on October 8, 2013. Based on the minutes of meeting received from this session, there have been no comments during the presentation and no objections or suggestions received in the time period of 45 days after the presentation. The Sava Commission shall remain an open-communication channel during the implementation of this Project. On December 25, 2013 a letter was sent by th eMinister of Agriculture, Forestry and Water Management of the Republic of Serbia in which support to the project is noted, along with a request to be involved in the review of the technical aspects of the Project, once defined. The Client has agreed to do so 4. Project location and salient physical characteristics relevant to the safeguard analysis (if known) The project will span municipalities of Bijeljina, Janja, Gorazde, Foca-Ustikolina and Pale-Praca, located in the watershed of the Drina river, and in both Entities of Bosnia and Herzegovina - Republika Srpska and Federation BiH. Page 5 of 10 5. Environmental and Social Safeguards Specialists Vera Dugandzic (ECSSO) Public Disclosure Copy Esma Kreso (ECSEN) 6. Safeguard Policies Triggered? Explanation (Optional) Environmental Assessment OP/ Yes The civil engineering works on flood protection BP 4.01 that will be financed under Component 1 will most likely have some adverse environmental impacts during the construction phase. The works will need to be carried out fully in line with the prepared Environmental Assessment and Environmental Management Plans that have been prepared and disclosed with public consultations. The works will most likely generate noise, dust, require adequate storage and management of wastes and protection of waterways during works. Natural Habitats OP/BP 4.04 No Forests OP/BP 4.36 No Pest Management OP 4.09 No Physical Cultural Resources OP/ No BP 4.11 Indigenous Peoples OP/BP 4.10 No Public Disclosure Copy Involuntary Resettlement OP/BP Yes The project implementation will require land 4.12 acquisition. The scope will be determined with precision as soon as the detailed designs will become available. For each works stage a RAP will be prepared, based on the agree RFPs. More information on potential social impact will be known after the field verification analyses for the RAPs ino the locations of selected municipalities of Bijeljina, and Gorazde. However, based on project information to date, planned civil works in the municipality of Gorazde will entail rehabilitation infrastructure works on public land - on the river bank itself. Works along the Pothranjenski Creek, however, while involving mostly municipally owned land, may involve also some private land. In the municipality of Bijeljina, new dike is planned to be constructed on both private and public land. Consultations with the affected farmers, owners of the private Page 6 of 10 land plots, have been held. Farmers have expressed keen interest to sell their land plots to the municipality as they are tired of seeing their Public Disclosure Copy land flooded and crops/yields ruined. No physical relocation or displacement is anticipated under the project. As a guiding resettlement instrument the Resettlement Policy Frameworks (RPFs) have been developed and disclosed. Public consultations with local officials and affected farmers have been concluded and the approved RFPs have been posted on public websites and Infoshop in English and local language on January 27 and 28, 2014. Safety of Dams OP/BP 4.37 No Dikes and works to retain water will not exceed 1.5 meters at their highest points. Dikes are of a dry design only in contact with water during periods of flooding. Upper reaches of river involves rehabilitation of existing banks. Projects on International Yes No alteration in the quality and quantity of water Waterways OP/BP 7.50 are expected, however due to the fact that the Drina river is an international waterway between Serbia and Bosnia and Herzegovina, as well as a large tributary of the Sava River (Croatia is also riparian country) the International Sava River Commission has been used to notify riparian countries, together with separate letters being sent to both countries. No objections or complaints Public Disclosure Copy have been received through the Sava Commission, while the Government of Serbia has sent a letter expressing their willingness to further participate in the technical designs of the project. Projects in Disputed Areas OP/BP No 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: The project will involve a number of construction and re-construction activities on the flood protection systems in the larger area of Bijeljina and Gorazde. In Gorazde (Gorazde, Ustikolna, Praca, and Hrenovica municipalities) works are envisaged on river bank stabilization, erosion control and river training. In Bijeljina a flood-protection dike is to be constructed. The anticipated environmental impacts are small and can be easily mitigated through sound construction practices and proper engineering works. The project implementation units will also develop hydrological models to help anticipate further changes in the downstream areas, which as of now, are not Page 7 of 10 anticipated. Throughout project implementation the International Sava River Basin Commission will remain a channel of communication with the other riparian countries - namely Serbia and Croatia. Public Disclosure Copy 2. Describe any potential indirect and/or long term impacts due to anticipated future activities in the project area: None are expected. 3. Describe any project alternatives (if relevant) considered to help avoid or minimize adverse impacts. N/A. 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. The project will be implemented through existing PIUs in both entities, with long-term experience in implementing World Bank projects. The Client has hired consultants to prepare the EA and EMP documents, while the supervision of the implementation will remain within the PIUs. 5. Identify the key stakeholders and describe the mechanisms for consultation and disclosure on safeguard policies, with an emphasis on potentially affected people. The key stakeholders include the local population that will benefit the most from proper flood protection measures, local government levels (municipalities), and the cantonal and entity-level ministries responsible for water management and protection from waters, along with the responsible water agencies. During the preparation of the EA and EMP documents for all project sites, a number of meetings was organized to bring together all levels of stakeholders, with a particular emphasis on the project affected people. The public consultations were organized together for the EA and RPF documents in order to reach a broader project-affected audience. The consultations were held in Gorazde on January 16, 2014 while the consultations in Bijeljina were held on January 13, 2014. Both consultations have been announced in the local papers, targetted invitations have been sent and the draft documents were Public Disclosure Copy made available for review (disclosed). B. Disclosure Requirements Environmental Assessment/Audit/Management Plan/Other Date of receipt by the Bank 24-Jan-2014 Date of submission to InfoShop 28-Jan-2014 For category A projects, date of distributing the Executive Summary of the EA to the Executive Directors "In country" Disclosure Bosnia and Herzegovina 24-Jan-2014 Comments: Disclosed on the PIU/ Ministry websites. http://portal.piusum.ba/Projekti/ProjekatzaštiteodpoplavauBiH/tabid/78/language/en- US/Default.aspx http://www.vladars.net/sr-SP-Cyr l/Vlada/Ministarstva/mps/media/vijesti/Pages/ Plan_upravljanja_zivotnom_sredinom_i.aspx Resettlement Action Plan/Framework/Policy Process Date of receipt by the Bank 28-Jan-2014 Date of submission to InfoShop 28-Jan-2014 Page 8 of 10 "In country" Disclosure Bosnia and Herzegovina 10-Jan-2014 Comments: Public Disclosure Copy 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 4.01 - Environment Assessment Does the project require a stand-alone EA (including EMP) Yes [ ] No [ ] NA [ ] report? If yes, then did the Regional Environment Unit or Sector Yes [ ] No [ ] NA [ ] Manager (SM) review and approve the EA report? Are the cost and the accountabilities for the EMP incorporated Yes [ ] No [ ] NA [ ] in the credit/loan? OP/BP 4.12 - Involuntary Resettlement Has a resettlement plan/abbreviated plan/policy framework/ Yes [ ] No [ ] NA [ ] process framework (as appropriate) been prepared? If yes, then did the Regional unit responsible for safeguards or Yes [ ] No [ ] NA [ ] Sector Manager review the plan? OP 7.50 - Projects on International Waterways Have the other riparians been notified of the project? Yes [ ] No [ ] NA [ ] If the project falls under one of the exceptions to the Yes [ ] No [ ] NA [ ] Public Disclosure Copy notification requirement, has this been cleared with the Legal Department, and the memo to the RVP prepared and sent? Has the RVP approved such an exception? Yes [ ] No [ ] NA [ ] The World Bank Policy on Disclosure of Information Have relevant safeguard policies documents been sent to the Yes [ ] No [ ] NA [ ] World Bank's Infoshop? Have relevant documents been disclosed in-country in a public Yes [ ] No [ ] NA [ ] 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 Yes [ ] No [ ] NA [ ] responsibilities been prepared for the implementation of measures related to safeguard policies? Have costs related to safeguard policy measures been included Yes [ ] No [ ] NA [ ] in the project cost? Does the Monitoring and Evaluation system of the project Yes [ ] No [ ] NA [ ] include the monitoring of safeguard impacts and measures related to safeguard policies? Page 9 of 10 Have satisfactory implementation arrangements been agreed Yes [ ] No [ ] NA [ ] with the borrower and the same been adequately reflected in Public Disclosure Copy the project legal documents? III. APPROVALS Task Team Leader: Name: Guy J. Alaerts Approved By Sector Manager: Name: Dina Umali-Deininger (SM) Date: 25-Feb-2014 Public Disclosure Copy Page 10 of 10