The World Bank RESTRUCTURING ISDS Water Security Development - Gaza Central Desalination Program – Associated Works Phase I Project (P168739) Integrated Safeguards Data Sheet Restructuring Stage Restructuring Stage | Date ISDS Prepared/Updated: 05-Nov-2023| Report No: ISDSR37038 Regional Vice President: Ferid Belhaj Country Director: Stefan W. Emblad Regional Director: Meskerem Brhane Practice Manager/Manager: Michael Haney Task Team Leader(s): Sana Kh.H. Agha Al Nimer, Marcus J. Wishart The World Bank RESTRUCTURING ISDS Water Security Development - Gaza Central Desalination Program – Associated Works Phase I Project (P168739) Note to Task Teams: The following sections are system generated and can only be edited online in the Portal. . I. BASIC INFORMATION 1. BASIC PROJECT DATA Project ID Project Name Water Security Development - Gaza Central Desalination P168739 Program – Associated Works Phase I Project Task Team Leader(s) Country Sana Kh.H. Agha Al Nimer, Iyad Rammal, Marcus J. West Bank and Gaza Wishart Approval Date Environmental Category 10-Feb-2020 Full Assessment (A) Managing Unit SMNWA PROJECT FINANCING DATA (US$, Millions) SUMMARY -NewFin1 Total Project Cost 117.00 Total Financing 117.00 Financing Gap 0.00 DETAILS -NewFinEnh1 Non-World Bank Group Financing Trust Funds 57.00 Partnership for Intrastructure Development MDTF 42.00 Special Financing 15.00 Other Sources 60.00 KUWAIT: Kuwait Fund for Arab Economic Development 60.00 The World Bank RESTRUCTURING ISDS Water Security Development - Gaza Central Desalination Program – Associated Works Phase I Project (P168739) 2. PROJECT INFORMATION PROG_INF O Current Program Development Objective Improve the quality and quantity of bulk water supplied to the municipalities served in the project area and to strengthen the capacity of the Palestinian Water Authority. . 3. PROJECT DESCRIPTION A. The project is a part of a coordinated international effort to address chronic poor water quality in Gaza and the significant increase in domestic demand expected in the medium term, which is projected to reach around 145 MCM a year by 2030. PWA, in partnership with the European Commission (EC), the European Investment Bank (EIB), the Union for the Mediterranean (UfM), the Islamic Development Bank (ISDB) and the World Bank, formulated the Gaza Central Desalination Program (GCDP). The GCDP covers all Gaza and comprises two main components: (i) construction of a desalination plant with initial capacity to produce 55 MCM a year of desalinated water that can be doubled in the future; and (ii) construction of a north-south water carrier, including storage reservoirs to convey and properly blend the desalinated water with groundwater sources to achieve water supply meeting WHO standards for potable water. The latter component is referred as “Associated Works.� B. Securing the required funding for implementing the GCDP will take several years, leaving the water situation in Gaza, and particularly in the southern and middle governates, in urgent need of improvement. In this context, the international community supported the construction of two Short-Term Low-Volume (STLV) desalination plants which produce 4.7 MCM per year as interim measures to alleviate the needs for fresh water. In addition, PWA has negotiated the purchase of an additional 5 MCM per year of fresh water for the middle and southern governorates of Gaza from Israel (Mekorot) for a total of 10 MCM. The project, through blending these new high-quality water sources with 15.3 MCM per year from existing saline groundwater, will supply bulk water to all 16 municipalities in the project area (with an estimated 870,000 people) with at least 90 liters per capita per day (lcd) meeting WHO standards for potable water. As these activities will increase the supply of drinking water in the project area, the project will raise the beneficiaries’ resilience to climate change– exacerbated droughts and extreme heat. C. The project will also contribute towards enhancing soundness of the sector institutional set up. The operation includes institutional strengthening activities aimed at the establishment of a small unit to manage bulk water supply operations in Gaza laying a sound foundation for the future establishment of the National Water Company (NWC), which is mandated by the Water Law to manage and operate bulk water throughout the West Bank and Gaza. The project also lays the foundation for enhancing the performance of service providers by supporting the design and piloting of a national services improvement program, which will serve to guide all future interventions aimed at improving municipal water and sanitation service delivery, regardless of the source of financing. D. Starting from October 7, 2023, the State of Palestine is experiencing a devastating humanitarian crisis in The World Bank RESTRUCTURING ISDS Water Security Development - Gaza Central Desalination Program – Associated Works Phase I Project (P168739) the Gaza Strip. The Gaza Strip, which has been under strict restrictions for the past 16 years, is now entirely isolated, with no mobility, inadequate power supply, and limited access to fuel, food, and water. More than 1.9 million Gazans have fled their homes and have become internally displaced in Khan Younis and Rafah governorates. Damages of WASH facilities have led to halt most of essential services provided by local government units. Water and sanitation facilities, including wells, the STLVs and several Wastewater Treatment Plants, have stopped operation due to the power outage and the limited availability of fuel, leaving the drinking water supply for over 2 million people below 3 liters per capita per day (l/p/d). As access to water and sanitation services deteriorates, the population is turning to unconventional water sources for drinking, such as utilizing traditional agricultural wells containing brackish water, which in addition to the likely spread of waterborne diseases, poses a major risk to the overall health of the Gazan people. E. The PWA has requested the utilization of US$9 million uncommitted funds towards emergency needs. Through MOF, the PWA submitted a letter requesting that the available funds of $9 million to be allocated towards rapid response to the urgent water needs by supporting short-term activities, including: (i) provision of hygiene kits (ii) collapsible water tanks; and (iii) support to critical water supply operational features such as water tankers and water trucking services. F. The PWA will remain as the implementing agency for the new proposed emergency component. Due to the security concerns and restricted access to the Strip, of the proposed emergency components will be implemented through a direct procurement contract with United Nations agency(ies), who would be responsible for the delivery, installation, and monitoring of the new activities. Activities will be implemented within 3 months from agreement signing. . 4. PROJECT LOCATION AND SALIENT PHYSICAL CHARACTERISTICS RELEVANT TO THE SAFEGUARD ANALYSIS (IF KNOWN) The supplies will be delivered across the Gaza strip, subject to access and security considerations. 5. ENVIRONMENTAL AND SOCIAL SAFEGUARDS SPECIALISTS ON THE TEAM Zeyad Abu-Hassanein, Environmental Specialist Takeaki Sato, Environmental Specialist Najm-Ul-Sahr Ata-Ullah, Social Specialist SAFEGUARD_TABLE 6. SAFEGUARD POLICIES TRIGGERED Safeguard Policies Triggered Explanation The current ESIA for the project covers the entire Gaza strip “Associated Works�, which was cleared Environmental Assessment (OP) (BP 4.01) Yes by the Bank in May 2018, remains valid as the restructuring will not include any new infrastructure activities. The World Bank RESTRUCTURING ISDS Water Security Development - Gaza Central Desalination Program – Associated Works Phase I Project (P168739) The reallocation of funds for to support the rapid response to the urgent water needs will not have any long term, irreversible environmental and social impacts. Potential E&S risks and impacts are related to occupational health and safety, waste management, labor and working conditions, and community health and safety including traffic management and safety during transportation of supplies. These risks are assessed as moderate and there will be no change to the project’s original environmental category “A�. Corresponding mitigation measures to address the aforementioned risks, as well as measures to ensure grievance redress (including with provisions for potential complaints regarding sexual exploitation and abuse/sexual harassment), stakeholder engagement and monitoring and reporting of E&S issues – including for any incident reporting - will be included in the contract agreements with UN agency(ies), who would be responsible for delivery of supplies and requisite monitoring. The summary of these E&S provisions will be publicly disclosed by WB and UN agencies prior to the start of the activities Performance Standards for Private Sector No private sector entities involved in the financing No Activities OP/BP 4.03 of project activities. No significant natural habitats have been identified Natural Habitats (OP) (BP 4.04) No by the ESIA to be impacted by the project activities Forests (OP) (BP 4.36) No none identified by the ESIA to be impacted no pest management chemicals and/or equipment Pest Management (OP 4.09) No will be financed by the project Physical Cultural Resources (OP) (BP 4.11) No Remains the same as the original project No indigenous people have been identified in the Indigenous Peoples (OP) (BP 4.10) No project sites and locations Involuntary Resettlement (OP) (BP 4.12) Yes Remains the same as the original project Remains the same as the original project Safety of Dams (OP) (BP 4.37) No Projects on International Waterways (OP) Remains the same as the original project Yes (BP 7.50) Projects in Disputed Areas (OP) (BP 7.60) No N/A The World Bank RESTRUCTURING ISDS Water Security Development - Gaza Central Desalination Program – Associated Works Phase I Project (P168739) 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 restructuring will support PWA’s response to the water needs in Gaza through short-term activities including the supply of fuel, hygiene kits, collapsible tanks, as well as critical water supply operational features such as water tankers and water trucking services. The supplies will be delivered across the Gaza strip, subject to access and security considerations. As recorded in the ISR prior to the conflict, the project was in compliance with the Bank’s environmental and social safeguards and policies and the overall safeguard performance rating was satisfactory. The PMU was adequately staffed and monitoring E&S issues satisfactorily. The PWA staff in Gaza, however, is currently displaced and will consequently be unable to monitor E&S issues related to the additional supplies to be provided under the restructuring. PWA will remain the implementing agency for the new activities. However, due to security concerns and restricted access to the Strip the emergency component will be implemented through a direct procurement contract with United Nations agency(s), who would be responsible for delivery of supplies and requisite monitoring. Provision of supplies will be implemented within 3 months from agreement signing. Briefly, UN agencies have experience of implementing the Bank’s safeguards policies and the Environmental and Social Framework (ESF) in conflict situations in the MENA region (e.g. Yemen). UNICEF is also currently implementing a Bank financed health emergency project in Gaza and is also undertaking other humanitarian activities in Gaza through the restructuring of a Bank financed education and social projects. Both agencies have adequate safeguards/ESF institutional capacity for managing risks associated with the restructuring activities, and implementing grievance redress, stakeholder engagement and monitoring and reporting requirements in accordance with Bank standards. The agencies’ grievance mechanisms also include relevant features for potential complaints related to sexual exploitation and abuse/sexual harassment (SEA/SH) for both project workers and beneficiaries. The reallocation of funds for the immediate water needs in the Gaza Strip will not have any long term, irreversible environmental and social impacts. Potential E&S risks and impacts are related to occupational health and safety, waste management, labor and working conditions, and community health and safety including traffic management and safety during transportation of supplies. There is also a risk of spillage or fire in case fuel transportation and/or storage tanks come under fire. These risks are assessed as moderate. There will be no change to the project’s original environmental category “A�. Corresponding mitigation measures to address the aforementioned potential risks as well as measures to ensure grievance redress for project workers and beneficiaries (including with provisions for potential complaints regarding sexual SEA/SH), stakeholder engagement, monitoring and reporting of E&S issues, also including for incident reporting, and training (for partner organizations and/or subcontractors, workers) will be included in the contract agreements with UN agency(s). The summary of these E&S provisions will be publicly disclosed by WB and UN agencies prior to the start of the activities The World Bank RESTRUCTURING ISDS Water Security Development - Gaza Central Desalination Program – Associated Works Phase I Project (P168739) 2. Describe any potential indirect and/or long term impacts due to anticipated future activities in the project area. The restructuring will help address immediate water needs in Gaza. No indirect and/or long term impacts are anticipated. 3. Describe any potential alternatives (if relevant) considered to help avoid or minimize adverse impacts. There are no viable alternative options for delivering the required water needs in Gaza. Delivery through the UN was selected as UN agencies have the capacity and experience to help address critical needs in a conflict situation. 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. PWA prepared an Environmental and Social Impact Assessment (ESIA) which covers the entire Gaza strip “Associated Works�, including the southern governorates covered by the scope of this project. The ESIA was cleared by the Bank in May 2018 and was subsequently disclosed on February 21, 2019 on the Bank external website. The ESIA was also disclosed locally. The project ESIA for the project covers the entire Gaza strip “Associated Works� and remains valid as the restructuring will not include any new infrastructure activities. As stated above, mitigation measures to address potential E&S impacts associated with the restructuring activities and to ensure requisite monitoring and reporting, including for any accidents and incidents during transportation and delivery of supplies, and training (for partner organizations and/or sub-contractors) will be included in the contract agreements with UN agencies. UN agencies have satisfactory experience and capacity to implement activities in accordance with Bank policies and standards and in conflict contexts such as Gaza and Yemen. Both agencies also have adequate grievance mechanisms, for project workers and beneficiaries, which also include requisite features for any potential SEA/SH related complaints. Budget to ensure implementation of requisite E&S measures, also including for training of any partner organizations on the ground, will be included in the contracts with the UN agencies. 5. Identify the key stakeholders and describe the mechanism for consultation and disclosure on safeguard policies, with an emphasis on potentially affected people. The stakeholders include different relevant Palestinian agencies who are still active in Gaza, the water utility, municipalities, international Non-governmental Organizations, local civil society organizations who represent local community categories that are directly involved in or affected by the emergency activities. Vulnerable groups who will benefit from the emergency activities include (but are not limited to) displaced populations, women, children, the elderly, persons with disabilities, the chronically ill/people in medical facilities etc. The World Bank RESTRUCTURING ISDS Water Security Development - Gaza Central Desalination Program – Associated Works Phase I Project (P168739) DISCLOSURE_TABLE B. DISCLOSURE REQUIREMENTS ENV_TABLE Environmental Assessment/Audit/Management Plan/Other Date of receipt by the Bank Date of submission for disclosure 13-May-2018 21-Feb-2019 For Category ‘A’ projects, date of distributing the Executive Summary of the EA to the Executive Directors 21-Oct-2019 “In country� Disclosure Country Date of Disclosure West Bank and Gaza 21-Feb-2019 Comments RESETTLE_TABLE Resettlement Action Plan/Framework Policy Process Date of receipt by the Bank Date of submission for disclosure 28-Jul-2019 07-Aug-2019 “In country� Disclosure Country Date of Disclosure West Bank and Gaza 28-Aug-2019 Comments 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? The World Bank RESTRUCTURING ISDS Water Security Development - Gaza Central Desalination Program – Associated Works Phase I Project (P168739) Are the cost and the accountabilities for the EMP incorporated in the credit/loan? Yes IR_TABLE OP/BP 4.12 - Involuntary Resettlement Has a resettlement plan/abbreviated plan/policy framework/process framework Yes (as appropriate) been prepared? If yes, then did the Regional unit responsible for safeguards or Practice Manager Yes review the plan? PIW_TABLE OP 7.50 - Projects on International Waterways Have the other riparians been notified of the project? No If the project falls under one of the exceptions to the notification requirement, has this been cleared with the Legal Department, and the memo to the RVP Yes prepared and sent? Has the RVP approved such an exception? NA 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? Have satisfactory implementation arrangements been agreed with the borrower Yes and the same been adequately reflected in the project legal documents? The World Bank RESTRUCTURING ISDS Water Security Development - Gaza Central Desalination Program – Associated Works Phase I Project (P168739) III. APPROVALS Sana Kh.H. Agha Al Nimer Task Team Leader(s) Iyad Rammal Marcus J. Wishart Approved By Safeguards Advisor Gael Gregoire 15-Mar-2024 Practice Manager/Manager Michael Haney 16-Mar-2024 . Note to Task Teams: End of system generated content