The World Bank RESTRUCTURING ISDS Transport Connectivity and Asset Management Project (P132833) Integrated Safeguards Data Sheet Restructuring Stage Restructuring Stage | Date ISDS Prepared/Updated: 10-Jun-2019| Report No: ISDSR25801 Regional Vice President: Hartwig Schafer Country Director: Idah Z. Pswarayi-Riddihough Senior Global Practice Director: Guangzhe Chen Practice Manager/Manager: Shomik Raj Mehndiratta Task Team Leader: Arnab Bandyopadhyay The World Bank RESTRUCTURING ISDS Transport Connectivity and Asset Management Project (P132833) . I. BASIC INFORMATION 1. BASIC PROJECT DATA Project ID Project Name P132833 Transport Connectivity and Asset Management Project Task Team Leader(s) Country Arnab Bandyopadhyay Sri Lanka Approval Date Environmental Category 09-May-2016 Partial Assessment (B) Managing Unit Is this a Repeater project? GTR06 PROJECT FINANCING DATA (US$, Millions) SUMMARY -NewFin1 Total Project Cost 125.00 Total Financing 125.00 Financing Gap 0.00 DETAILS -NewFinEnh1 World Bank Group Financing International Development Association (IDA) 125.00 IDA Credit 125.00 2. PROJECT INFORMATION The World Bank RESTRUCTURING ISDS Transport Connectivity and Asset Management Project (P132833) Current Project Development Objective The Project Development Objective (PDO) is to strengthen the Road Development Authority’s (RDA) capacity for asset management and improve the road service delivery on the selected corridor. The selected corridor means the road section from Ja-Ela to Chilaw on National Highway A003 in Sri Lanka. Proposed New PDO The Project Development Objective (PDO) is to strengthen the capacity of the Road Development Authority (RDA) for asset management and to improve access and asset management framework for selected Provincial roads. . 3. PROJECT DESCRIPTION The project focuses on creating an enabling environment for more effective asset management and includes interventions to develop systems and capacity within the RDA. With the Government of Sri Lanka’s (GOSL) request to the World Bank in 2018 to assist in improving the condition of the provincial road network, Component 2 of the original project is to be restructured to finance the rehabilitation of selected road sections in the provincial road network spread across all nine provinces of the country. The Project will continue to support the establishment and operationalisation of asset management systems, particularly for RDA to transition itself from a provider of infrastructure to a service provider in line with the ambitious needs of a middle- income country. The establishment of systems and such procedures will also include expanding the role of safety within the RDA. Project Components The original project has been restructured as follows: 1. Revised Component 1. Component 1 retains its name, “Institutional Strengthening and Capacity Building for Asset Management� and retains the following of its key original activities: (i) operationalizing the existing web-based, multiuser Road Asset Management System (RAMS) in RDA to complete network referencing, deploy all RAMS modules, outsource data collection, and rationalize the staffing for managing the system; (ii) finalizing a Road Sector Policy and Strategy that was drafted during the first year of the TCAMP; and (iii) developing an Institutional and governance reforms action plan for RDA through institutional study. A new activity related to developing standards and specifications to promote road safety will be added to Component 1. The following original activities related to the DBMOT (later revised to DBM) model are dropped: (i) training on DBMOT methodology using the OPRC format, (ii) monitoring consultant for the pilot contract, (iii) studies of the institutional implications and other aspects of scaling up DBMOT within the RDA; (iv) cost efficiency assessment of performance-based contracts, and (v) Grievance redress system for RDA. The Grievance Redressal system is no longer operationally relevant to the project, as none of the RDA assets are being financed under component 2. The generation of the system was an institution wide effort which is at an advanced stage of development by RDA through ADB-financed Integrated Road Investment Program, i Road. The World Bank RESTRUCTURING ISDS Transport Connectivity and Asset Management Project (P132833) 2. Revised Component 2. The upgrading of the JaEla to Chilaw section of the A003 highway and the associated land acquisition and resettlement are dropped from the project. The revised Component 2, to be renamed “Provincial Road Improvements�, will finance the improvements of 632.7 km of provincial roads in all nine provinces of the country. Component 2 will be implemented in two main phases as follows: a. Phase 1: This will cover 302.7 km of roads at an estimated cost of LKR 7,692.30 million (approximately 40 percent of the total road contracts in value). These road sections are spread across all nine provinces of the country. The bids for the works on these roads will be invited in two stages. b. Phase 2: This will cover the remaining 330 km, at an estimated cost of LKR 8372 covering all nine provinces. The bids for the works on these roads will be invited in three further stages. The contracts will incorporate, as needed, road rehabilitation, drainage structures, sidewalks, and physical design features to enhance safety. These improvements are expected to result in (a) improved vehicle operating speeds while ensuring the safety of road users and (b) reduced travel times and vehicle operating costs. The contracts will not cover any widening of road sections. . 4. PROJECT LOCATION AND SALIENT PHYSICAL CHARACTERISTICS RELEVANT TO THE SAFEGUARD ANALYSIS (IF KNOWN) The project will operate in all 9 provinces and 25 districts of the country. The island consists mostly of flat and rolling coastal plains, with mountains rising only in the south-central part. The climate is tropical and warm, due to the moderating effects of ocean winds. Mean temperatures range from 17 °C (62.6 °F) in the central highlands, where frost may occur for several days in the winter, to a maximum of 33 °C (91.4 °F) in other low-altitude areas. Average yearly temperatures range from 28 °C (82.4 °F) to nearly 31 °C (87.8 °F). Rainfall pattern is influenced by monsoon winds. The "wet zone" and some of the windward slopes of the central highlands receive up to 2,500 mm (98.4 in) of rain each year, but the leeward slopes in the east and northeast receive little rain. Most of the east, southeast, and northern parts of Sri Lanka comprise the "dry zone", which receives between 1,200 and 1,900 mm (47 and 75 in) of rain annually. The arid northwest and southeast coasts receive the least amount of rain at 800 to 1,200 mm (31 to 47 in) per year. Humidity is typically higher in the southwest and mountainous areas and depends on the seasonal patterns of rainfall. An increase in average rainfall coupled with heavier rainfall events has resulted in recurrent flooding and related damages to infrastructure, utility supply and the urban economy. Hydrologically, the country is traversed by 103 rivers, has 45 estuaries and 40 lagoons, with approximately 1,585 km of coastline and numerous wetlands. Sri Lanka is one of 25 biodiversity hotspots in the world, with highest biodiversity density in Asia. High proportion of flora ( 27%) and fauna (22) species are endemic. Provincial road improvements and rehabilitation to be supported under the project traverse through all types of Sri Lanka's landscapes and communities. These roads are in close proximity to a number of religious sites, protected areas and forests, crossing the rivers and wetlands. There are living trees within the Right of Way (RoW) in some places. Project activities may include rehabilitation and maintenance of borrow-pit areas, disposal sites for soil spoil material, establishment of workers camps, equipment storage areas, and operation of quarries, which are to be identified by the contractors. The World Bank RESTRUCTURING ISDS Transport Connectivity and Asset Management Project (P132833) 5. ENVIRONMENTAL AND SOCIAL SAFEGUARDS SPECIALISTS ON THE TEAM Andrew Zakharenka, Environmental Specialist Darshani De Silva, Environmental Specialist Bandita Sijapati, Social Specialist SAFEGUARD_TABLE 6. SAFEGUARD POLICIES TRIGGERED Safeguard Policies Triggered Explanation A framework approach for safeguards was recommended, as the detailed design of the provincial roads improvements and rehabilitation will be done by the contractors considering the Environmental Assessment (OP) (BP 4.01) Yes prevailing conditions of the road. The existing ESMF was updated. Road-specific ESMPs will be prepared following the environmental and social screening process. Performance Standards for Private Sector No Activities OP/BP 4.03 The natural habitats along the provincial roads may include protected areas and forests, small rivers, man-made tanks, lagoons. Environmental Natural Habitats (OP) (BP 4.04) Yes screening will identify the natural habitats and prescribe the mitigation measures according to the ESMF to manage significant negative impacts. Forests along the selected roads may experience potential off-site impacts related to gravel and material extraction within natural forests in Sri Forests (OP) (BP 4.36) Yes Lanka. Specific guidelines and preventive measures for the contractors are prescribed in the ESMF and in site-specific ESMPs. The project does not involve pest management Pest Management (OP 4.09) No activities. This policy is applicable because there are number of religious and sensitive sites anticipated in the project area. Protection measures maybe be Physical Cultural Resources (OP) (BP 4.11) Yes required and are specified in the ESMF when rehabilitation and improvements activities take place. There are no indigenous people living within the Indigenous Peoples (OP) (BP 4.10) No identified project area that would be adversely impacted due to the project. The policy will not be triggered as the project will Involuntary Resettlement (OP) (BP 4.12) No no longer finance sub-projects (e.g., the upgrading The World Bank RESTRUCTURING ISDS Transport Connectivity and Asset Management Project (P132833) of the Ja-Ela to Chilaw section of the A003 highway) which required land acquisition.Instead, the component will now finance only the rehabilitation and improvements of provincial roads in all the nine provinces. Potential impacts may involve temporary access issues leading to possible temporary loss of income, e.g. shop owners. Further, while acquisition of private land is not envisaged under the project, in some rare instances, the need for additional land due to safety reasons, may arise. Any requirements for additional land, if at all, will be availed through voluntary donation, the procedure for which is outlined in the ESMF. Safety of Dams (OP) (BP 4.37) No The project does not involve dam related works. Projects on International Waterways (OP) The project does not affect international No (BP 7.50) waterways. There are no disputed areas along the project Projects in Disputed Areas (OP) (BP 7.60) No corridor. KEY_POLICY_TABLE II. KEY SAFEGUARD POLICY ISSUES AND THEIR MANAGEMENT A. SUMMARY OF KEY SAFEGUARD ISSUES 1. Describe any safeguard issues and impacts associated with the Restructured project. Identify and describe any potential large scale, significant and/or irreversible impacts. The Project has been assigned Environmental Category B because the environmental and social impacts are generic to upgrading, rehabilitation, and maintenance works of existing roads that will be predictable, localized and can be readily mitigated. Specifically, the following types of works are envisaged under the project: • Improve the existing road within the ROW; • Strengthen the existing pavement with asphaltic concrete (AC) and ABC (Aggregate Base Concrete) Layers; • Improve the existing pavement with micro surfacing and other sealing techniques; • Improve the horizontal alignment at selected locations to improve driving conditions; • Widen, repair or reconstruct damaged culverts and bridges and construct new drainage structures; • Remove any irregularities on the existing vertical profile; • Provide cycle lanes, pedestrian footpaths, bus bays, separate bus lanes, and rest bays where necessary; and • Provide signage and markings to help promote safer driving conditions. Accordingly, the potential environmental impacts of the proposed project activities include: clearance of trees that have been planted on the road side due to realignment and safety needs (to avoid black spots), changes in drainage patterns to address current flooding issues and increase in sediment load into waterways, and soil and water contamination due to spillage and leakage of oils and other toxic materials, noise, dust and air pollution from road works, health and safety issues due to operation of borrow pits, quarries, crushers and asphalt plants. There are no potential large scale, significant and/or irreversible impacts anticipated, given the fact that the proposed provincial road rehabilitation follows the existing road alignments and does not cause any changes to physical cultural resources The World Bank RESTRUCTURING ISDS Transport Connectivity and Asset Management Project (P132833) or natural habitats. The client is expected to ensure the implementation of the ESMPs following the guidance of the ESMF, the EA consultations with stakeholders, clearances obtained from the Bank. Restructuring of the project thus does not change the environmental issues and impacts identified during the project preparation stage. Originally, the upgrading of the Ja-Ela to Chilaw section of the A003 highway to be supported under the project was expected to require acquisition of private and public land thus leading to considerable involuntary resettlement impacts. Following the restructuring, the project will not support any subprojects requiring land acquisition. Instead, the it will only finance the rehabilitation and improvements of provincial roads in all the nine provinces of the country. Social impacts intrinsic to rehabilitation works are localized and can be readily mitigated. Some of the negative impacts anticipated during the construction phase relate to loss of access to houses and shops; storing of building material on the roadside thus causing public inconveniences; dust and noise generation due to construction work; unusual delays in public and private transportation; issues pertaining to labor influx, including those relating to gender-based violence; anxiety due to possible loss or damage to private or community owned land, assets/infrastructure/livelihoods; loss of livelihood for vulnerable groups including mobile vendors, encroachers/squatters that currently occupy the RoW; and issues concerning mobility of women and children during construction. Besides these adverse impacts, the project is also expected to have positive impacts with the most significant benefits being savings in travel time / fuel and repair cost, better prices for agricultural products and farmer inputs, and the prospect of appreciating the value of land. Other notable advantages include improvement of road safety, a perceived reduction in the cost of living, development of business premises, work place and social infrastructure. 2. Describe any potential indirect and/or long term impacts due to anticipated future activities in the project area. Not available 3. Describe any potential alternatives (if relevant) considered to help avoid or minimize adverse impacts. Realignment to rectify identified black spots is being considered as part of the conceptual design. However, these are proposed to be avoided by introducing some deviations from the existing alignment to minimize or avoid potential environmental and social impacts. 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 potential environmental and social impacts of provincial roads improvements and rehabilitation will be mostly localized and can be easily managed through good planning and established good practices. A revised Environmental and Social Management Framework (dated June 2019) has been prepared in lieu of the Resettlement Policy Framework (RPF) dated February 2016 and the ESMF prepared under the original TCAMP Project. The combined ESMF which establishes clear guidelines and methodologies for the identification, assessment and mitigation of social and environmental impacts, will be used as a guiding document for the conceptual design and development of site-specific safeguard instruments. Accordingly, the ESMP for each sub-project will provide the environmental and social baseline condition of the roads, identify potential impacts as per the conceptual design and propose mitigation measures to avoid, mitigate and/or compensate for significant environmental and social impacts associated with project activities. The World Bank RESTRUCTURING ISDS Transport Connectivity and Asset Management Project (P132833) As mentioned earlier, improvements and rehabilitation of roads will have minimal amount of on-site environmental impacts. Disturbances to land, interference to soil stability and the hydrology, clearing of roadside vegetation, disturbance to animal migration routes and patterns in the area are expected to be minimal and temporary; impacts on air quality and noise levels during project operational stage will depend on the traffic flow increases. Measures for minimizing and mitigating these impacts have been identified in the ESMF. Archeological, religious, and sensitive sites are being identified through the environmental and social screening process, and mitigation measures will be identified in the site-specific ESMPs. Some trees within the RoW may have to be removed or pruned to ensure safety of the road users. The ESMF proposes to avoid the removal of threatened species as much as possible or try to relocate them to a new location if cost-effective or ensure replanting similar plants in a public places. These measures will also be detailed in the site-specific ESMPs. While physical relocation is not envisaged under the project, there might be some rare instances where additional land will be required for safety purposes. In such instances, the land will be availed through voluntary land donation, and the ESMF details the measures that will be taken to ensure the integrity of such donation as well as to ensure that there are no long-term adverse impacts on the donating household/person due to such donation. The interventions proposed by the project does not require national approval from the Central Environmental Authority (CEA), as this project does not fall within the prescribed project list identified as part of National Environmental Act. However, site clearances requires permission from CEA and local authorities. Environmental Protection Licenses, Licenses from Geological Survey and Mines Bureau and local authority permits will be necessary for offsite activities such as quarry operations, crusher plants, borrow pits, etc. Improvements and rehabilitation works is expected to follow the road-specific ESMPs approved by MHAPCLG and the Bank prior to commencement of physical activities on the ground. The potential environmental and social impacts and proposed mitigation measures for the impacts identified as included in ESMP will be part of the bidding document and will form the basis for monitoring by the Borrower and the Monitoring Consultant to be engaged under the project. The bidding document will also include the need to update the safeguard instruments in line with the detailed design and preparation of an Environmental Methods Statement in line with the ESMP and construction method statement to be kept regularly updated satisfactory to the MHAPCLG and the World Bank. MHAPCLG has a Project Management Unit (PMU) set up with an experienced Environmental and Social Specialist who is familiar with the environmental and social safeguard requirements of the Bank to manage project related safeguard activities. Continuous training programs will be required on environmental and social safeguard compliance, targeting the staff of MHAPCLG, the general public / local CBOs and NGOs in the project area, as well as the staff and laborers of the contractor(s). Such trainings will mainly focus on sensitizing the need for environmental and social safeguards compliance in road rehabilitation projects and use of safeguards instruments in place to mitigate potential impacts. 5. Identify the key stakeholders and describe the mechanism for consultation and disclosure on safeguard policies, with an emphasis on potentially affected people. A national-level consultation was held on 6 June 2019 with key stakeholders to discuss the ESMF. Additional consultations will be carried during the preparation of the road-specific ESMPs, as detailed in the ESMF. The key stakeholders for the project are the people living and working along the selected roads, as well as the road users. A participatory approach will be adopted to carry out a comprehensive consultation process to study the socio economic status of the project area, identify key impacts of the project, and develop mitigation measures to address the impacts. The World Bank RESTRUCTURING ISDS Transport Connectivity and Asset Management Project (P132833) As part of disclosure, the draft ESMF was disclosed on the project website on 14 May 2019 for public comments. Following the national-level consultation workshop, the revised ESMF was publicly disclosed in-country on 10 June 2019. The ESMF has also been disclosed in Bank’s external website. DISCLOSURE_TABLE B. DISCLOSURE REQUIREMENTS ENV_TABLE Environmental Assessment/Audit/Management Plan/Other Date of receipt by the Bank Date of submission for disclosure 15-Dec-2015 09-Mar-2016 For Category ‘A’ projects, date of distributing the Executive Summary of the EA to the Executive Directors “In country� Disclosure Country Date of Disclosure Sri Lanka 10-Jun-2019 Comments A revised ESMF has been disclosed in lieu of the earlier version of the ESMF prepared under the original project. COMPLIANCE_TABLE C. COMPLIANCE MONITORING INDICATORS AT THE CORPORATE LEVEL EA_TABLE OP/BP/GP 4.01 - Environment Assessment Does the project require a stand-alone EA (including EMP) report? Yes If yes, then did the Regional Environment Unit or Practice Manager (PM) review Yes and approve the EA report? Are the cost and the accountabilities for the EMP incorporated in the credit/loan? Yes NH_TABLE OP/BP 4.04 - Natural Habitats Would the project result in any significant conversion or degradation of critical No natural habitats? The World Bank RESTRUCTURING ISDS Transport Connectivity and Asset Management Project (P132833) If the project would result in significant conversion or degradation of other (non- critical) natural habitats, does the project include mitigation measures NA acceptable to the Bank? PCR_TABLE OP/BP 4.11 - Physical Cultural Resources Does the EA include adequate measures related to cultural property? Yes Does the credit/loan incorporate mechanisms to mitigate the potential adverse Yes impacts on cultural property? FO_TABLE OP/BP 4.36 - Forests Has the sector-wide analysis of policy and institutional issues and constraints been carried out? Does the project design include satisfactory measures to overcome these constraints? Does the project finance commercial harvesting, and if so, does it include provisions for certification system? PDI_TABLE The World Bank Policy on Disclosure of Information Have relevant safeguard policies documents been sent to the World Bank for Yes disclosure? 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 Yes and local NGOs? ALL_TABLE All Safeguard Policies Have satisfactory calendar, budget and clear institutional responsibilities been Yes prepared for the implementation of measures related to safeguard policies? Have costs related to safeguard policy measures been included in the project Yes cost? Does the Monitoring and Evaluation system of the project include the monitoring Yes of safeguard impacts and measures related to safeguard policies? The World Bank RESTRUCTURING ISDS Transport Connectivity and Asset Management Project (P132833) Have satisfactory implementation arrangements been agreed with the borrower Yes and the same been adequately reflected in the project legal documents? III. APPROVALS Task Team Leader(s) Arnab Bandyopadhyay Approved By Safeguards Advisor Maged Mahmoud Hamed 12-Jun-2019 Practice Manager/Manager Shomik Raj Mehndiratta 12-Jun-2019 .