INTEGRATED SAFEGUARDS DATA SHEET APPRAISAL STAGE

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1 . Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized Date ISDSPrepared/Updated: Date ISDS Approved/Disclosed I. BASIC INFORMATION 1. Basic Project Data INTEGRATED SAFEGUARDS DATA SHEET APPRAISAL STAGE 30-Mar Apr-2017 Country: Nigeria Project ID: P Project Name: Task Team Leader(s): Estimated Appraisal Date: NG-Electricity Transmission Project (P146330) Kyran O'Sullivan,Jianping Zhao 20-Mar-2017 Estimated Board Date: Report No.:ISDSA Jun-2017 Managing Unit: GEE08 Lending Instrument: Investment Project Financing Is this project processed under OP 8.50 (Emergency Recovery) or OP 8.00(Rapid Response to Crises and Emergencies)? Financing (In USD Million) Total Project Cost: Total Bank Financing: Financing Gap: 0.00 Financing Source No Amount BORROWER/RECIPIENT 4.00 International Development Association (IDA) Total Environmental Category: Is this a Repeater project? B - Partial Assessment No 2. Project Development Objective(s) The project development objective is to increase the transfer capacity of the transmission network in Nigeria. 3. Project Description A. Concept The project supports priority investments for rehabilitation and upgrading of existing substations and rehabilitation of existing transmission lines across the country in order to increase power transfer on the lines. The rehabilitation to be carried out under the project is to address binding constraints to increase power transfer capacity from about five GW currently to at least seven GW. The project also includes installation of a SCADA system so as to maintain system stability. The substations are parts of the transmission network located across the country. Rehabilitation under the project will expand transmission capacity by 3,060 MVA for transformation at 330/132 kv (currently 8,138 MVA) and by 3,500 MVA for transformation at 132/33kV Page 1 of 7

2 (currently 10,162 MVA). Rehabilitation of the proposed transmission lines will enable additional power evacuation of about three GW from the current maximum of approximately five GW. The increase in power transfer capacity from five to seven GW will enable DISCOS to supply consumers with this additional power. The project also provides technical assistance to help TCN develop a clear accountability framework and a functional governance structure, fill the gaps in both managerial and staff capacity, and explore private financing for the development of greenfield transmission projects. The two components are described below. B. Description of Project Components Component 1: Transmission Network Strengthening and Improvement (US$408 million, of which FGN US$4 million and IDA and IDA SUF US$404 million equivalent excluding contingency). This component has four sub-components: (i) the upgrading and rehabilitation of up to 48 existing substations of these, approximately 11 require the replacement of transformers, while the others require the addition (and not the replacement) of transformers, and addition and replacement of protection and control systems, switchgear, and associated equipment; (ii) replacement of conductor on up to kv transmission lines and conversion of up to two 132 kv lines from single circuit to double circuit (the total length of the transmission lines is about 1,270 kilometers); (iii) the upgrading and expansion of the network s SCADA and telecommunication system; and (iv) installation of voltage regulation system at the remotely located Gombe su bstation in the north eastern that is supplied by a long 132kV line part of the country; and (v) purchase of spare equipment. Component 2: Capacity Building and Technical Assistance (IDA and IDA SUF US$42 million equivalent excluding contingency). This component includes the following activities: (i) consulting support and capacity building to improve the TCN PMU s performance; (ii) consulting services for construction supervision and management; (iii) consulting services for feasibility studies of priority investment projects for donor financing as identified by the ongoing transmission expansion plan study; (iv) consulting services (transaction advisory) to support the implementation (i.e., selection and contracting of a private contractor) of a pilot PPP for transmission infrastructure that is part of network expansion (i.e., for greenfield infrastructure); (v) consulting services and capacity building to support TCN s corporatization and commercialization efforts and enhance its managerial, technical, environmental/social, and financial capacity; and (vi) consulting services and capacity building to support public institutions in the sector, including NERC, BPE, NBET, and other government bodies, such as the Ministry of Power and the power task force attached to the Vice President s office. 4. Project location and Salient physical characteristics relevant to the safeguard analysis (if known) The project is national in scope. The project will only finance the rehabilitation of existing substations and reconducting of existing transmission lines. The project is not expected to involve land acquisition. 5. Environmental and Social Safeguards Specialists on the Team Amos Abu( GEN07 ) Edda Mwakaselo Ivan Smith( GSU01 ) 6. Safeguard Policies That Might Apply Safeguard Policies Triggered? Explanation (Optional) Environmental Assessment OP/BP 4.01 Yes Environmental Assessment OP/BP 4.01 is triggered. The project finances the rehabilitation of existing substations and re-conducting of existing transmission lines. The main environmental impacts off-site are construction traffic, noise and dust; they Page 2 of 7

3 Page 3 of 7 are localized to the facilities and immediately adjacent communities and can readily be avoided or mitigated through the application of good practices. Significant social impacts are not expected; the labor force at each site will be small, hence large workers camps and large numbers of in-migrating workers will not be needed. An ESMF has been prepared because the selection of substations from the list of 48 substations and 15 transmission lines under consideration will not be made until after appraisal. Some candidate substations and lines might be subsequently dropped and others added. The ESMF was consulted upon and disclosed incountry and on the Bank s website. Full environmental and social impact assessments will not be called for under Bank safeguards policies and are not likely to be required by FGN law or regulations because of the type of investments the project will support. Site specific ESMPs will be prepared, disclosed prior to construction and implemented. The ESMF includes basic mitigation measures for PCB contamination in case of PCB oil in transformers at any of the 11 substations where replacement is needed. Natural Habitats OP/BP 4.04 No The project is not expected to impact natural habitats. Forests OP/BP 4.36 No The project is not expected to have impacts on forests. Pest Management OP 4.09 No This project will not finance the procurement and/or use of pesticides. Physical Cultural Resources OP/BP 4.11 No The project is not expected to have an impact on physical cultural resources. Indigenous Peoples OP/BP 4.10 No There are no Indigenous Peoples in the project area. Involuntary Resettlement OP/BP 4.12 Yes The project will finance rehabilitation of existing substations and re-conducting of existing transmission lines. All activities are expected to be carried out within the areas of existing facilities and no land acquisition is envisaged. Resettlement will only be necessary where there are encroachers that need to be relocated from the transmission line corridor, in which case RAPs or abbreviated RAPs will be prepared. The number of affected persons is expected to be small; reconnaissance of two of the transmission lines revealed the presence of approximately 50 encroachers, mostly artisans, farmers, and traders. Any RAPs or ARAPs will have provisions to ensure equitable treatment of women and vulnerable groups.

4 . Safety of Dams OP/BP 4.37 No The implementation of the project will not entail the construction of new dam neither will any of the project activities rely on the performance of an existing dam or a dam under construction (DUC). Projects on International Waterways OP/BP 7.50 No This project will not involve discharges to or extraction of water from any international waterways or any tributary or other body of surface or groundwater that is a component of any such waterway. Projects in Disputed Areas OP/BP 7.60 No The project will not be located in disputed areas as defined by OP/BP 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 proposed project is classified as Environmental Assessment Category B (partial assessment). Investments consist of rehabilitation and upgrading works at existing TCN substations and transmission lines. The project activities are not expected to require the acquisition of any land as there are sufficient spaces in the existing substations to accommodate all construction activities. The re-conducting of the transmission lines will be carried out within the transmission line corridor which is already owned by TCN. No large-scale, significant, or irreversible adverse impacts are anticipated. The main environmental impacts off-site are construction traffic, noise and dust; they are localized to the facilities and immediately adjacent communities and can readily be avoided or mitigated through application of good practices and, where appropriate, preparation and implementation of site-specific environmental and social management plans (ESMP). The main on-site concern is workplace safety, which will also be addressed through health and safety measures to be included in the ESMPs. Resettlement will only be necessary if there are encroachers that need to be relocated from the transmission line corridor, in which case RAPs or abbreviated RAPs will be prepared. 2. Describe any potential indirect and/or long term impacts due to anticipated future activities in the project area: Potential environmental and social impacts are not significant. No potential indirect and/or long term impacts due to anticipated future activities in the project area are envisaged. 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. A framework approach is being applied in this project as the detailed scope of all project activities will not be known at the time of appraisal. A preliminary list of 15 transmission line where re-conducting may be done and approximately 48 existing sub-stations where the project may finance replacement of transformers (at up to 11 stations), addition of transformers and associated equipment has been identified. An international engineering firm has been engaged to visit all substations, review the proposed options, confirm the technical viability of the proposed schemes, and define the scope of work for the supply and installation contract to be procured through the international competitive bidding process. Once the engineering consultant has completed its review, the actual substations to be included in the project and the work to be performed at each will be known. Design work will then be carried out to prepare detailed specifications of the required investments at each substation site Page 4 of 7

5 PHRESCTRY as well as at the transmission lines. Some substations and lines in the preliminary scope may be dropped and others included during the detailed design phase. Furthermore, the scope may contract or expand (i.e. substations and lines in the preliminary list may be dropped or added) following successive rounds of procurement if project costs are more or less than current cost estimates. An Environmental and Social Management Framework (ESMF) and a Resettlement Policy Framework (RPF) have been prepared and disclosed. The ESMF and RPF describe the procedures and processes that will be followed in preparing and disclosing site specific safeguard instruments where required as soon as the exact locations and scope of sub-project activities are known. The Environmental, Resettlement and Social Unit (ERSU) of the PMU has provided effective oversight of environmental and social management in the series of Bank-supported projects since NEDP. It now included a full-time social safeguards specialist. PMU s ERSU has supervised the work of consultants preparing safeguards instruments and has also prepared a number of instruments in-house, including the ESMF and RPF for this project. However, it has recently experienced difficulties in timely completion of ESMPs acceptable to the Bank, and this together with lapses in coordination with PMU Procurement, have resulted in delays in subproject implementation and loan disbursements in the Nigeria Electricity and Gas Improvement Project (NEGIP). The project will demand a significant additional volume of work from the PMU s ERSU, and its capacity must be enhanced in order to ensure the preparation and implementation of high-quality ESMPs and RAPs, efficiently and on time. PMU plans to engage an international consulting firm to provide advice and support in safeguards, particularly the periodic audits of environmental compliance with ESMPs and national law by project contractors, and mentoring and training for PMU s ERSU. 5. Identify the key stakeholders and describe the mechanisms for consultation and disclosure on safeguard policies, with an emphasis on potentially affected people. During the preparation of this project including the preparation of the Environmental and Social Management Framework (ESMF) and Resettlement Policy Framework (RPF), informed consultations were held with key stakeholders. Some of the key stakeholders include: Nigeria Electricity Regulatory Commission (NERC), Transmission Company of Nigeria (TCN), consumers of power/electricity, NGOs, and communities. The major areas of concerns identified by the various stakeholders and how the project will address these concerns were documented and taken into account in preparation of the ESMF and RPF. This informed consultation will be continued during the implementation of the project. In addition, the project has a very robust Grievance Redress Mechanism (GRM) for documenting and addressing concerns raised by citizens.. B. Disclosure Requirements Environmental Assessment/Audit/Management Plan/Other Date of receipt by the Bank 07-Mar-2016 Date of submission to InfoShop 29-Mar-2017 For category A projects, date of distributing the Executive Summary of the EA to the Executive Directors "In country" Disclosure PHENVCTRY Nigeria 29-Mar-2017 Comments: At the website of the Transmission Company of Nigeria. Resettlement Action Plan/Framework/Policy Process Date of receipt by the Bank 11-Mar-2017 Date of submission to InfoShop 29-Mar-2017 "In country" Disclosure Nigeria 29-Mar-2017 Comments: At the website of the Transmission Company of Nigeria. Page 5 of 7

6 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 Environment Assessment Does the project require a stand-alone EA (including EMP) Yes [X] No [] NA [] report? If yes, then did the Regional Environment Unit or Practice Yes [X] No [] NA [] Manager (PM) review and approve the EA report? Are the cost and the accountabilities for the EMP incorporated in the credit/loan? Yes [X] No [] NA [] OP/BP Involuntary Resettlement Has a resettlement plan/abbreviated plan/policy Yes [X] No [] NA [] framework/process framework (as appropriate) been prepared? If yes, then did the Regional unit responsible for safeguards Yes [X] No [] NA [] or Practice Manager review the plan? Is physical displacement/relocation expected? Yes [] No [] TBD [X] Is economic displacement expected? (loss of assets or access Yes [] No [] TBD [X] to assets that leads to loss of income sources or other means of livelihoods) The World Bank Policy on Disclosure of Information Have relevant safeguard policies documents been sent to the Yes [X] No [] NA [] World Bank's Infoshop? Have relevant documents been disclosed in-country in a Yes [X] No [] NA [] public 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 [X] No [] NA [] responsibilities been prepared for the implementation of measures related to safeguard policies? Have costs related to safeguard policy measures been Yes [X] No [] NA [] included in the project cost? Does the Monitoring and Evaluation system of the project Yes [X] No [] NA [] include the monitoring of safeguard impacts and measures related to safeguard policies? Have satisfactory implementation arrangements been agreed Yes [X] No [] NA [] with the borrower and the same been adequately reflected in the project legal documents? III. Approval Task Team Leader(s): Name:Kyran O'Sullivan,Jianping Zhao Approved By: Safeguards Advisor: Name: Maman-Sani Issa (SA) Date: 30-Mar-2017 Practice Manager/Manager: Name: Wendy E. Hughes (PMGR) Date: 03-Apr-2017 Page 6 of 7

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