The World Bank. Key Dates. Project Development Objectives. Components. Public Disclosure Authorized. Implementation Status & Results Report

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1 Public Disclosure Authorized AFRICA Nigeria Environment & Natural Resources Global Practice IBRD/IDA Specific Investment Loan FY 2012 Seq No: 6 ARCHIVED on 07-Dec-2015 ISR20416 Implementing Agencies: Public Disclosure Authorized Key Dates Key Project Dates Bank Approval Date:08-May-2012 Planned Mid Term Review Date:25-Jan-2016 Original Closing Date:30-Jun-2020 Project Development Objectives Effectiveness Date:16-Sep-2013 Actual Mid-Term Review Date:-- Revised Closing Date:30-Jun-2020 Public Disclosure Authorized Project Development Objective (from Project Appraisal Document) To reduce vulnerability to soil erosion in targeted sub-watersheds. This innovative, multi-sectoral project will finance State-led interventions to prevent and reverse land degradation on a demand-driven basis, initially focusing on gully erosion sites in ready southeastern States that threaten infrastructure and livelihoods. Investments are a strategic combination of civil engineering, vegetative land management and other watershed protection measures, plus complementary community-led livelihood enhancements. Over the course of the 8-year project, sites in up to 11 States will phase in as States and their designs become ready. The sustainability of these investments will be reinforced by strengthening institutions and information services across sectors in all three tiers of government, including support to help improve governance, regulatory compliance, environmental monitoring, watershed and land use planning, and by strengthening the country's capacity to promote and implement climate resilient, low carbon development. An impact evaluation is included to test aspects of project design. Has the Project Development Objective been changed since Board Approval of the Project Objective? No Public Disclosure Authorized Nigeria Erosion and Watershed Management Project (P126549) Global Environmental Objective (from Project Appraisal Document) To reduce vulnerability to soil erosion in targeted sub-watersheds. Has the Global Environmental Objective been changed since Board Approval of the Project Objective? No Components Name Page 1 of 12

2 Component 1: Erosion and Watershed Management Infrastructure Investments:(Cost $ M) Component 2: Erosion and Watershed Management Institutions and Information Services:(Cost $38.20 M) Component 3: Climate Change Response:(Cost $30.00 M) Component 4: Project Management:(Cost $32.92 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Moderately Satisfactory Progress towards achievement of GEO Moderately Satisfactory Moderately Satisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Satisfactory Overall Risk Rating High High Implementation Status and Key Decisions This is the sixth ISR for this project. The project was approved by the World Bank Board of Executive Directors on May 8, The project became effective on September 13, All the seven participating states have executed subsidiary agreements with the Federal Ministry of Finance. The project administrative structures, including the technical and steering committees at the federal and state levels are in place. All the project management units (PMU) are operational. In addition, the Bank has received a request from the Federal government of Nigeria for the inclusion of seven additional states from other parts of the country. These include: Kano, Sokoto, Gombe, Plateau, Kogi, Delta and Oyo. The Bank has carried out further due diligence to ascertain their degree of readiness including whether or not they have met the state selection criteria as set forth in the Project Appraisal Document (PAD). The states are progressing at different degrees as the integration of the new states into the program has been delayed by the national election in However, five states have already met the agreed readiness criteria and two states (Kano and Sokoto) have signed their Subsidiary Loan Agreements with the Federal Ministry of Finance. The Bank team is providing the needed support to the rest of the states. During the last WB/FAO implementation support mission of November 9-20, 2015, which informs this ISR, additional progress allowed the finalization of more gully schemes and engineering designs. However, to further accelerate implementation, each SPMU will submit a plan to the FPMU for vegetative interventions for currently active gully sites to ensure timely delivery of sufficient quantities and species of the required planting materials. Disbursements: Project effectiveness was delayed for about 16 months and despite the slow start, disbursements have been roughly in line with estimates, minus the effectiveness delay. The team anticipates that the project could disburse some USD million by the end of FY16. Disbursements by the FPMU represent approximately 12 percent of total disbursements, with the remaining 88 percent at state level. The increase in disbursements from the last mission is based on general improvements in progress across components, underpinned by the fielding of key implementation partners at federal and state levels. Disbursements however, are still well below the level envisioned in the PAD due to a slow project start, initial delays with major procurements, and the recent election. An expenditure forecast completed during the mission suggests expected disbursements to continue scaling up to about USD120 million by June This is based on a review of contracts currently in the pipeline and estimated expenditures by the seven existing states and the seven new states phasing into the project, over the next two quarters. Counterpart Funds: As contained in the project s signed legal agreements, the GoN is to contribute USD100 million and the States USD50 million in counterpart funds over the eight year project period. These funds are an integral part of project financing. Since the January 2015 mission, USD2.5 million in federal (FPMU) counterpart funds were released. Among the seven states, two have released their full counterpart funds (Anambra and Imo); three states have released partial funds (Ebonyi, Enugu, Cross River); one state has released more funds than agreed (Edo); and one state is yet to release any funds (Abia). The released funds to date represent 79 percent of the approved total counterpart funds. The delays in Abia in releasing any counterpart funds is of great concern and raises flags about the state meeting its project commitments in a timely manner. General Component Progress: Progress in component 1 is crucial for ensuring that the project disburses effectively, since the component carries nearly 80 percent of the entire project funds for financing Erosion and Watershed Infrastructure Investment (works, good, equipment and consultant services). This mission noted that progress has accelerated with gully restoration. However, a number of issues were identified including: some new sites not meeting GRASS criteria; errors in design drawings; inadequate engineering supervision, quality assurance, documentation, reporting and communication; poor clarity on future operations and maintenance, and uncertainty over roles and responsibilities of various stakeholders. Scaling up is occurring through the seven additional states joining the project, as well as 23 new sites being proposed in five of the existing seven states. For all new sites, states will need to follow the broader project design of planning and executing gully restoration in parallel with catchment planning, soil and water conservation, and livelihood activities. Progress was evident with vegetative interventions (bio-remediation) in the form of trees and grasses planted on some sites to protect civil works. At the same time however, improvements in planting techniques are needed. Going forward, the mission highlighted the importance of staying focused on the completion of the livelihood and community development initiatives, particularly the training of Project Affected Persons (PAPs) on selected livelihood activities and soil and water conservation practices. In addition, there was evidence at one site, where PAPs had been compensated and have delayed vacating the premises. In Component 2, the National Space Research and Development Agency (NASRDA) has provided digital maps for general watershed and land-use, Page 2 of 12

3 and land cover dynamics for emergency sites in participating states. There has been good progress with the procurement, installation, and commissioning of Hydromet and Automated Flood Early Warning systems. Also, some progress was made with the review of training requirements for senior officials in the Environmental Assessment Department, and development of a due diligence framework for state-based safeguards officers. In the coming 12 months the team would expect to see progress in other Component 2 activities such as capacity building for local government officials and the private sector related to emerging livelihood opportunities for communities. Under Component 3, progress has been made with studies on renewable energy, and piloting a fuel efficient bakery and small cook stoves. However, these achievements are several months behind schedule. NEWMAP is also supporting Nigeria s REDD+ goal of promoting long term carbon resilient, low-carbon development by accounting for the amount of carbon sequestrated through the eight year project life span and beyond. An important Readiness Preparation Proposal (R-PP) document was approved after the January 2015 mission to support funding from the Forest Carbon Partnership Facility (FCPF). With Component 4, all SPMUs have procured partner agencies for engineering design and supervision. All seven leading states have contracted fieldbased Non-Government Organizations (FONGOs) to support catchment management and livelihood development. At the federal level, all required partners and/or technical specialists are now on board. These are very positive developments. At the same time however, further improvements are needed in monitoring and evaluation (M&E), contract management, and communications. Since the last mission, the 15 retirees working for the FPMU and five SPMUs have all been disengaged but only nine positions have been refilled. The introduction of the Treasury Single Account (TSA) by the government of Nigeria to ensure centrally controlled and proper cash management by government agencies has had major impacts on project cash flows. Hopefully this situation will ease in the near future. Mid Term Review: The first mid-term review of the project is scheduled is scheduled to take place from January 25 to February 6, Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance -- Substantial Substantial Macroeconomic -- Moderate Moderate Sector Strategies and Policies -- Moderate Moderate Technical Design of Project or Program -- High High Institutional Capacity for Implementation and Sustainability -- Substantial Substantial Fiduciary -- High High Environment and Social -- High High Stakeholders -- Substantial Substantial Other Overall -- High High Results Project Development Objective Indicators PHINDPDOTBL Targeted gully complexes and other erosion sites treated with at least 75% of planned measures for targeted sub-watersheds. (Number, Custom) Page 3 of 12

4 Value With 2 of the gully complexes rated above 75% treatment; 2 additional gully complexes are noted to rate between 71-74%, and 7 numbers are between 50-70% treatment while the remaining 10 sites are below 50% treatment. PHINDPDOTBL Targeted gully complexes and other erosion sites with reduced severity level after treatment (#) (Number, Custom) Value Although treatment is ongoing and yet to be completed at the gully complexes and erosion sites, 11 of the 21 sites are above 50% in terms reduced severity at the sites where treatment is on-going while the remaining 11 are below 50% with the on-going treatment. PHINDPDOTBL Vegetation cover in treated sub-watersheds (%) (Percentage, Custom) Value Date 08-Jun Nov Jun-2020 with an overall area coverage of 6.7% recorded; it is however worthy of note that this is a function of 4 sites out of the 21 sites such that the vegetation cover is 55% at 9th mile, 60% at Atakpa, 25% in Edo and Imo with 0.62Ha cover. However, nurseries are being developed for the remaining 17 sites and awaiting completion of earth work so as to commence the planting of the nurseries. PHINDPDOTBL Direct project beneficiaries (Number, Core) Value Page 4 of 12

5 PHINDGEOTBL Direct beneficiaries: Abia: m-96, f-25, total=121 Anambra: m-124, f-34, total=158 Edo: m-441, f-165, total=606 Enugu: m-68, f-22, total=90 Imo: m-587, f-159, total=746 Ebonyi m-17; f-11 Total male= 1333 Total female= 416 G.total=1749 all of the participating states have all set up and registered CIGs in all the 21 sites and are in the progress of finalizing their registration process for disbursement However Indirect Beneficiaries is noted as below; Enugu: m-314, f-371 Ebonyi: m-5,865; f- 5,829 Total male=400,194 Total female=417,794 G.total=817,988 Overall Global Environmental Objective Indicators No GEO Indicators have been entered for the project. (Cubic Meter(m3), Custom) Value Overall Intermediate Results Indicators Page 5 of 12

6 Targeted land treated for erosion with selected measures in targeted sub-watersheds. (Hectare(Ha), Custom) Value As at September 2015, 42.24Ha has been covered in the 21 sites Participatory sub-watershed management plans developed under the project for targeted erosion-affected sub-watersheds (Number, Custom) Value Community action plan has been developed and published for 1 site in Ebonyi State. Others are at various stages of completion. People receiving project-supported advisory support services in integrated land/water management practices, planning, and/or monitoring under the Project (Number, Custom) Value FNGOs have identified CIGs (community interest groups) for each sites. All participating states have commenced training and the training processes are ongoing in all 21 sites at various degrees of progress. Page 6 of 12

7 Households benefitting from livelihoods enhancement activities under the Project (Number, Custom) Value No sub-grants have been released yet; Although livelihood enhancement activities under the project are being developed for all the 21 sites where treatment is on-going GEF and Special Climate Change Fund tracking tools updated (Number, Custom) Value A tool has been developed and awaiting implementation. Spatial Knowledge Management Information System on erosion and watershed operational (Number, Custom) Value GIS maps produced by NASRDA on all the 21 sites Page 7 of 12

8 Proportion of upgraded or new HydroMet stations providing data that is published annually and uploaded to the web (Percentage, Custom) Value The equipment is in the process of installation and upgrading City stormwater master plans developed which are informed by climate projections of increased rainfall intensity and risk assessments (Number, Custom) Value EOIs and Designs are ongoing for 3 city stormwater master plans for the states of Ebonyi, Abia, and Anambra Application of multisector management effectiveness tool by state and federal governments (Number, Custom) Value Steering & Technical committees formed at Federal and at each state. Membership of each committee includes all relevant MDAs such as; MoF, Works, EP&B, A&RD, SEMA, Water Resources, NIMET, Energy Commission, NESREA. Page 8 of 12

9 EIA guidelines developed for targeted investment types that affect erosion (road cross drainage, urban water supply and drainage) (Number, Custom) Value EIA staff capacity has been built, but EIA guidelines yet to be developed Duration for approving EIAs for category 1 projects (average working days) (Days, Custom) Value Currently varies between days. Critical factors include nature of project & data cluster requirements Technical reports/guidelines on promoting low carbon development or enhancing climate resilience completed (Number, Custom) Value Report of Baseline Survey & Stakeholder Mapping on cook stoves has been developed and submitted by ICEED (International Center for Energy, Environment and Development) 2. Feasibility Study to inform Solar Grid-Connected Solar Power Investment 3. Establishment of a climate change data management system and information collection 4. Batheymethirc Survey of Benue River 5. Supporting Nigeria's effective participation at climate change international events, specifically UNFCCC statutory meetings. Page 9 of 12

10 Low carbon demonstration projects under implementation (Number, Custom) Value Pilot Project on Renewable Energy (solar) Ovens in Jigawa State (completed) 2. Consulting Services for Utility Scale Grid Connected Wind Power Plant Feasibility Studies for 100MW phased development in four potential identified off/onshore sites (on-going) 3. Low Fuel Carbon Efficiency Cook-stoves. (on-going) 4. Finalization of Nigeria s Nationally Appropriate Mitigation Actions (NAMAs) (on-going) Monitoring and reporting systems producing data on project progress at federal and state levels (Number, Custom) Value Web-based M&E-MIS tool completed, implementation & capacity building process is ongoing Manual Data collection tool developed by Consulting M&E firm being used by the implementing states to collect data and forwarded to FPMU periodically for reporting on project progress Participating states with at least 75% of the activities in its current joint work program are under implementation (Number, Custom) Value Although no state has recorded upto 75% of on-going activities in its current work plan, as at end of October, 2015, some states have been able to record considerable progress and achievements in this regards, such as Cross River which is at 60%, Enugu is at 30%, and Imo is at 65% Page 10 of 12

11 Overall Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed Disbursed P IDA Effective USD % P TF Effective USD % P TF Effective USD % Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P IDA Effective 08-May Apr Sep Jun Jun-2020 P TF Effective 16-Apr Apr Apr Jun Jun-2020 P TF Effective 16-Apr Apr Apr Jun Jun-2020 Cumulative Disbursements Restructuring History Page 11 of 12

12 There has been no restructuring to date. Related Project(s) P Nigeria Erosion and Watershed Management Project Page 12 of 12

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