$ Report No: RES00113 RESTRUCTURING PAPER ON A PROPOSED PROJECT RESTRUCTURING OF Solomon Islands Agriculture and Rural Transformation Project APPROVED ON 17-Mar-2022 TO Solomon Islands Agriculture and Food East Asia And Pacific Regional Vice President: Manuela V. Ferro Regional Director: Anna Wellenstein Country Director: Stephen N. Ndegwa Practice Manager: Paavo Eliste Task Team Leader(s): Son Thanh Vo, Kara Mouyis The World Bank Solomon Islands Agriculture and Rural Transformation Project (P173043) ABBREVIATIONS AND ACRONYMS ABPO Agribusiness Producer Organizations ARAP Abbreviated Resettlement Action Plan CRP Community Resource Person EOI Expression of Interest ESS Environmental and Social Standard ECSP Environmental and Social Commitment Plan ESIA Environmental and Social Impact Assessment ESMF Environmental and Social Management Framework IBAT Integrated Biodiversity Assessment Tool IDA International Development Association MAL Ministry of Agriculture and Livestock MOFT Ministry of Finance and Treasury MOU Memorandum Of Understanding PDO Project Development Objective PIM Project Implementation Manual PMU Project Management Unit PO Producer Organization RF Results Framework SBD Solomon Islands Dollar SDR Special Drawing Right SIG Solomon Islands Government SIIP Solomon Islands Infrastructure Program USD United States Dollar WB World Bank WOAH World Organization for Animal Health The World Bank Solomon Islands Agriculture and Rural Transformation Project (P173043) @#&OPS~Doctype~OPS^dynamics@restrhybridbasicdata#doctemplate BASIC DATA Product Information Operation ID Operation Name Solomon Islands Agriculture and Rural Transformation P173043 Project Product/Financing Instrument Geographical Identifier Investment Project Financing (IPF) Solomon Islands Approval Date Current Closing Date 17-Mar-2022 31-Dec-2026 Environmental and Social Risk Classification (ESRC) Substantial Organizations Borrower Responsible Agency Solomon Islands Ministry of Agriculture and Livestock @#&OPS~Doctype~OPS^dynamics@restrhybridoperationstatus#doctemplate OPERATION STATUS Project Development Objective (DO) Original Development Objective To increase agricultural production and improve market access in selected value chains in the Project Provinces, and in case of an Eligible Crisis or Emergency, respond promptly and effectively to it. Disbursement Summary (in USD million) Source of Funds Net Commitment Disbursed Balance % Disbursed IBRD -- -- -- 0 i The World Bank Solomon Islands Agriculture and Rural Transformation Project (P173043) IDA 15.00 2.10 12.90 13.99 Grants -- -- -- 0 Policy Waivers Does this restructuring trigger the need for any policy waiver(s)? No @#&OPS~Doctype~OPS^dynamics@restrhybridmpa#doctemplate @#&OPS~Doctype~OPS^dynamics@restrhybridmpa#doctemplate ii The World Bank Solomon Islands Agriculture and Rural Transformation Project (P173043) TABLE OF CONTENTS I. PROJECT STATUS AND RATIONALE FOR RESTRUCTURING ........................................................................................1 II. DESCRIPTION OF PROPOSED CHANGES ....................................................................................................................2 III. PROPOSED CHANGES ................................................................................................................................................7 IV. DETAILED CHANGE(S) ...............................................................................................................................................8 The World Bank Solomon Islands Agriculture and Rural Transformation Project (P173043) I. PROJECT STATUS AND RATIONALE FOR RESTRUCTURING A. Background 1. This restructuring paper seeks Country Director approval for the following changes: i) changes to project activities including the removal of two investments (Makira Market and Tenaru Pig Breed Facility), addition of two investments (Renovation of Pig Breed Facility in one or two suggested locations and land preparation for the Tenaru site) and rescoping an ongoing investment (National Research Headquarters); ii) adjusting the results framework, and; iii) changes to component costs and disbursement estimates as a result of these changes. 2. The project was approved on March 17, 2022, with an International Development Association (IDA) grant of USD9 million and an IDA credit of USD6 million. It was declared effective on April 29, 2022, and is implemented by the Ministry of Agriculture and Livestock (MAL). B. Project Status 3. Progress towards the achievement of the PDO is rated Satisfactory reflecting advancements under sub- component 1.1 (Agribusiness Producer Organizations (ABPOs)) and the sufficient time remaining to complete other activities. Implementation progress is rated Moderately Satisfactory, due to initial delays in getting the Project Management Unit (PMU) fully staffed and initiating key infrastructure investments under the project. As of July 29, 2024, disbursement stands at 13,99 percent, equivalent to US$2,160,598.18 as well as some reduction of available fund (approximately US$554,000) due to USD/SDR exchange rates. 4. Over the past few months key activities have included the hiring of PMU positions so it is fully staffed and operational and the adoption of the Project Implementation Manual (PIM) which has allowed the disbursement condition for Category 2 (Grants for ABPOs) to be lifted. The pilot phase of the ABPOs has completed in all three provinces. Eighteen potential ABPOs have shown interest and are progressing to the business plan preparation stage, with two from each Province expected to continue to the pilot stage while the open call has started in February 2024. So far, 409 Expression of Interest (EOIs) have been received with 200 EOIs got endorsed by PMU for full grant development stage. 60 full proposals have been submitted and out of which 19 proposals have been approved by Technical Evaluation Committee for grant award and agreement. 5. Despite this, overall project progress remains behind schedule compared to original expectations. This is due to several factors including delays in hiring key PMU staff, other government demands such as the lead-up to the Pacific Games, as well as changes in priorities around infrastructure investments, which will require this restructure to be completed before they can progress. With the restructuring, project disbursement is expected to increase notably up to 30% of the total project fund by the close of calendar year 2024. This is feasible with the awarding of contracts for construction of two MAL offices in Malaita and Makira planned for September 2024, the initial investment in Tenaru site and good progress of ABPO grant support. C. Rationale for Restructuring Page 1 The World Bank Solomon Islands Agriculture and Rural Transformation Project (P173043) 6. This restructuring responds to a formal request received from the Solomon Islands Government (SIG) on December 20, 2023. The proposed changes are necessary to better align with MAL’s New Day Strategy which came into effect after project approval, as well as to adapt to changes in the country context, for instance: i. Following inspections of former pig breeding facilities, and in response to further analysis of local supply and demand, it is considered more cost effective and efficient to restore one or two existing facilities in Malaita or Guadalcanal, rather than build a new facility in Tenaru. This analysis wasn’t possible during project preparation due to COVID-19 travel restrictions and lockdowns. ii. Since project approval, the Makira Market has been identified for investment under the Solomon Islands Infrastructure Program (SIIP). The budget available under SIIP is greater than that under SI ART and so, after discussions with the Provincial Government and MAL, it was agreed to remove it from this project. iii. During preparation it was expected that another bilateral donor would fund land preparation for the new MAL facilities to be located at Tenaru. This did not eventuate and has prevented the building activities planned for that area. Because of this, it is proposed SI ART funds be shifted towards land preparation as a priority. The budget for this will be drawn from a reduced scope of the National Research Centre rehabilitation works as well as the cancellation of the Makira Market investment. iv. Piloting for the ABPOs has begun and MAL has identified a need to reduce the targeted number of ABPOs from 100 to 66. This will allow more resources to be allocated to well-performing ABPOs and enable more hands-on support from MAL and the PMU. The total allocation for ABPO Grants (category 2 in the Financing Agreement – USD5 million equivalent) will stay the same. v. Based on the above changes, several revisions to the results framework will be required. These are outlined in Table 1 under Section II (Description of Proposed Changes). II. DESCRIPTION OF PROPOSED CHANGES D. Proposed Changes 7. Most changes relate to Sub-component 1.2 (Infrastructure Investments) and include: i. Adding a ‘livestock department area’ at Tenaru (1.2(a)) in addition to the training and research centers. The livestock department area will consist of integrated facilities which could serve the related training and research functions of MAL. ii. Reducing the scope of rehabilitation works on the National Research Headquarters Facilities (1.2(b)). While the original intention was to fully refurbish this compound at King George VI, only small essential repairs will now be undertaken. This is because Tenaru investments are being prioritized by MAL and in the long-term the National Research Headquarters will be relocated to the Tenaru site. iii. Changing investments in the Pig Breed Improvement Facility from Tenaru in Guadalcanal to Adeliua or Dala Farm in Malaita or King George VI in Guadalcanal (1.2(c)) where there are already old facilities available and so funding will be used to rehabilitate this, rather than need site clearing, design and construction. The locations for upgrading/refurbishment of the Pig Breeding Facilities are proposed for one or two of the following sites: Adeliua in Malaita, King George VI in Guadalcanal, and Dala Farm in Malaita. iv. Removal of construction of a market in Makira (1.2(d)). As highlighted above, this will now be funded under a different project. v. Adding civil works for land preparation for 10ha of the Tenaru site in Guadalcanal. This will involve land clearance, site preparation, backfilling, drainage systems, construction of minor access roads, a Geotech assessment, land suitability assessment, perimeter fencing, construction/installation of a water supply system, installation of an electricity supply system and a farm irrigation system. These are all necessary before buildings can be constructed at the Tenaru area and will ensure the investments are resilient Page 2 The World Bank Solomon Islands Agriculture and Rural Transformation Project (P173043) against natural hazards such as flooding. It is expected these activities will take up to 18 months and are feasible within the remaining time of the project. 8. Other changes relate to activities under Sub-Component 2.1 Community Managed Extension System and 2.2 Small Livestock Sector Renewal. vi. Removal of the Internship program with Solomon Islands National University (SINU) for the SI ART. MAL and SINU has discussed further on the internship program under SI ART and decided to forgo it due to anticipated high transaction costs and low value-added outcomes for learning for the short duration of the program. The removal of the internship program (Part 2.1b of the financing agreement) will also remove the legal covenant related to the signing of a related MOU between MAL and SINU (section A, 4d of the financing agreement). vii. Removal of activity of hiring a veterinary consultant to support Solomon Islands’ membership application to the World Organization for Animal Health (WOAH). SIG expects to seek a different source of funding to apply for and maintain the membership of the WOAH. 9. In addition to the above, some adjustments to the results framework are proposed, including: Table 1: proposed changes to the results framework Original Indicator Proposed Change Rationale for Change Project Development Objective Indicators Outcome 2: To improve market access Farmers adopting improved Adjusting the end target from Target calculated based on the 66% of 7,000 agricultural technology (CRI, 7,000 to 4,600 (original target). This is to align with the new target Number) of 66 ABPO’s to be established form the original target of 100 ABPOs. Farmers adopting Adjusting the end target from Same as above improved agricultural 3,500 to 2,300 technology - Female (CRI, Number) Farmers adopting Adjusting the end target from Same as above improved agricultural 3,500 to 2,300 technology - male (CRI, Number) Outcome 3: Beneficiaries Direct project Adjusting the end target from This indicator changes since there is a change in beneficiaries (Number) 85,000 to 56,000 the number of PO’s, YP's, and CRP’s. The reduction in the number of PO's defines the change or reduction in household members counted as the beneficiaries targeted for the project. The calculation for households’ members for this indicator remains the same, with an average of 5.5 members per household. Intermediate Results Indicators Component 1: Agribusiness and Infrastructure Investments Number of Producer Adjusting the end target from The decrease in PO’s established is because Organizations (POs) 100 to 66 project implementation was delayed and fell established (Number) behind the implementation plan. Page 3 The World Bank Solomon Islands Agriculture and Rural Transformation Project (P173043) People with enhanced New indicator New scorecard indicator mandated for project resilience to climate risks with over 20% Climate Co-benefit score. (Number) People with enhanced Sub-indicator Same as above resilience to climate risks – Youth (Number of people) People with enhanced Sub-indicator Same as above resilience to climate risks – Female (Number of people Number of POs Adjusting the end target from With the original indicator, it is assumed that 80% functioning one year after 80 to 53. of 100 PO’s will be functioning. establishment (Number) Using the same rationale, the new target is computed as follows: With the reduction in the number of ABPOs to 66, the calculation for this indicator entails 80% of this figure, indicating that 53 ABPOs assume to be operational one year after establishment. Productive infrastructure Adjusting the end target from This is to reflect changes since project facilities under MAL 8 to 6 preparation stage, with the proposed management completed construction of a market in Makira now being (Number) removed (to be financed through a different source) and the feasible completion of other infrastructure investments within the project timeframe. Component 2: Institutional capacity development Farmers reached with Adjusting the end target from With the new target of 66 ABPOs established and agricultural assets or 9,200 to 6,000 supported, 3,300 farmers are expected to be services (Cooperative reached in the ABPO’s, based on the assumption Result Indicator, Number) that each ABPO has 50 members. The other 2,700 farmers reached will be from the other components of the project. Farmers reached with Adjusting the end target from From the 6,000 farmers that will be reached with agricultural assets or 4,600 to 3,000 agricultural assets and services 3,000 are female services - Female (CRI, farmers. It is anticipated for this indicator that Number) 1,650 female farmers will be targeted under component 1.1, and 1,350 farmers will be reached through other components of the project. ABPO members trained in Adjusting the end target from As above agriculture and small 9,200 to 6,000 stock production in climate stressed areas (person days) (Number) Community Resource Adjusting the end target from This is to align with the reduced number of ABPOs Persons (CRPs) trained 116 to 66 supported by the project as each ABPO will have and working (Number) one CRP for itself. Page 4 The World Bank Solomon Islands Agriculture and Rural Transformation Project (P173043) 10. Finally, the component costs and disbursement projections will be updated to reflect the above changes. They are outlined in Section IV (Detailed Changes) below. The component costing sees slight increase in administrative costs, despite a reduction in the scope of the project. The increase is fully justified and necessary to ensure the efficiency and success of the project implementation. The budget allocated for the PMU at the time of project design was much lower than actual market conditions by the time the project started. Specifically, the salary expectations for newly recruited staff have increased, driven by changes in the local job market. The salary adjustments were necessary to attract and retain qualified personnel capable of managing the project's complexities. The initial project design underestimated the actual logistical needs, which necessitated the purchase of additional vehicles (three trucks and five motorcycles). These acquisitions are essential to facilitate quicker and more efficient project implementation, ensuring that activities are carried out as planned and accelerated to increase disbursement. While the overall inflation rate impacts various sectors, the specific post-COVID increase in fuel costs has had a direct effect on the project’s operational expenses which has significantly contributed to the rise in administrative expenses. To a lesser degree, the inflation rate in the Solomon Islands, currently at 3.6% as of May 2024 according to Central Bank of Solomon Islands, impacts various cost elements within the project, including staff salaries, logistics, and operational expenses. The reflection of inflationary costs is more pronounced in administrative areas like staffing and logistics, which have direct cost implications, rather than in the broader project activities that may benefit from other efficiencies or cost-saving measures. The Project Implementation Manual will be updated to reflect the proposed changes. Summary of Performance of E&S Risk Compliance Based on the recent mission conducted in March 2024, Environmental and Social Risk Management is rated as satisfactory with evidence of good track records on Environmental and Social Risk screenings of proposed sub projects and site-specific instruments preparation. The mission observed that disclosure and stakeholders’ consultations have been conducted appropriately at the proposed sites. The proposed activity under restructuring involves similar activities, scope, and scale as the current project thus the ES risk category remains Substantial. The development of subproject site specific instruments are progressing well. Human Resource and Capacity Building: The PMU ES Team is fully resourced with the recent recruitment of a new but experienced Social Safeguards Officer to work alongside the Environmental Safeguards Officer. The Communication Officer is also working closely with the E&S officers. The PMU has onboarded young professionals. The PMU ES team will provide capacity building on ES risk management to the onboarded YPs to be equipped with knowledge on the ES risks management, mitigation, and monitoring on ground. The PMU has developed training materials for the provincial MAL staff on E&S risk management. One round of ToT & a training for PMU staff was conducted in 2023. The PMU ES team will continue providing required trainings to the YPs, implementation agencies, and contractors. Grievance Redress Mechanism (GRM): A Grievance Redress Mechanism (GRM) process has been set up including a GRM logbook that already records 2 grievances from MAL staff. Relevant trainings will be provided to provincial staff on the use of this mechanism. The PMU will prepare TORs for the GRM focal points at each level. PMU must ensure that all complaints are properly recorded, tracked and closed off in a timely manner. Stakeholder Engagement Plan: PMU is required to update the SEP periodically with any project related stakeholder engagements and community consultations with summary of meeting outcomes, minutes of meeting, participant lists, photos etc. Land Use and Access: As part of the restructuring, the Bank ES team will make Environmental and Social Standard (ESS) 5: Land Acquisition, Restrictions on Land Use and Involuntary Resettlement, relevant due to land requirement at Tenaru and the need to verify land ownerships on project sites. Land use eligibility screening and due diligence work must be undertaken for all project sites to avoid or minimize risks to the project. PMU will update the ESMF to reflect the relevance of ESS 5 and outline a process to conduct land use eligibility screening and land due diligence checks. A revised ESCP will reflect the timing to update the ESMF. Page 5 The World Bank Solomon Islands Agriculture and Rural Transformation Project (P173043) Describe any E&S issues and impacts associated with the change in project design. Identify and describe any potential large scale, significant and/or irreversible impacts. Change was made to make ESS5 relevant. The ESS5 is made relevant at the restructuring phase because the project activities will have an impact on land use and land access particularly and the project will support the Ministry with land preparation at the Tenaru site. Under the restructuring, a new infrastructure investment was proposed. This includes activities for the site preparation of the 10ha at Tenaru which will involve land clearance, drainage systems, construction of minor access roads, a Geotech assessment, land suitability assessment, perimeter fencing, construction/installation of a water supply system, installation of an electricity supply system and a farm irrigation system. It is likely that a Land Use Management Plan or abbreviated RP be prepared which will take into consideration all of these activities and ensure mitigation measures are set in place including consultation with the community. The Ministry of Agriculture (MAL) had previously secured 37.5 ha land from the Roman Catholic Church (The Perpetual Estate owner) through an MOU allowing MAL to undertake activities within 10 ha of it while further consultation is required to establish a formal lease agreement. Under this circumstance, the project will ensure that approaches undertaken by MAL to secure this land or lands for the purpose of the project meet the requirements of ESS5. During the preparation phase, ESS5 was indicated as not relevant because the project did not require the acquisition of land, nor cause restrictions on land use or include involuntary resettlement. The securing of the Tenaru land under the restructuring however requires the project to ensure that effective due diligences are being applied to conform to the ESS 5 requirements. The Land use management plan or Abbreviated RP will take into consideration all of these activities and ensure mitigation measures are set in place including consultation with the community, including the MOU signed between MAL and the Church. As land in Solomon Islands is complex due to customary or private land ownerships, it is necessary for the project to make this ESS5 relevant so that the project can capture the activities that will require an impact on the land. The E&S project officers will prepare appropriate instruments, (ie: abbreviated resettlement plan. Land use management plan or equivalent) as described in the ESMF and attach as an Annex to the ESMF. In terms of Environmental risks related to the proposed activities under restructuring, the potential environmental risks and impacts from the proposed activities are similar in scope and nature to those that were identified under the original project design. Thus, Environmental risk rating remains substantial. Regarding the proposed activities at Tenaru, due diligence was carried out including IBAT assessment, to identify any biodiversity value in this area, and it was concluded that there is no critical habitat or PA in the areas of interests and there no major environmental concerns. Detail site screening and a site specific ESIA for the Tenaru site will be prepared by the project following the requirements of the project's ESMF. Describe any potential indirect and/or long-term impacts due to anticipated future activities in the project areas. The project does not anticipate any potential indirect or long term impacts due to anticipated future activities in the project area if the measures outlined in a resettlement plan are followed and the project PMU E&S officers do their due diligence on the project activities that take place on specific sites (ie: Tenaru land preparation) . Describe any project alternatives (if relevant) considered to help avoid or minimize adverse impacts. Ongoing community consultation and E&S monitoring and supervision is required to ensure that any risks are mitigated, minimized and are avoided to reduce any impact on land access/use. Site assessments will also include the assessment of the alternatives. Describe measures taken by the borrower to address E&S policy issues. Provide an assessment of borrower capacity to plan and implement the measure described. The Borrower is relying closely on the PMU to ensure that E&S issues are in line with the WB ESF policy. The PMU is well resourced with an Environment officer, a Communications officer and a Social officer who are working closely to Page 6 The World Bank Solomon Islands Agriculture and Rural Transformation Project (P173043) ensure E&S monitoring and supervision for the project is done according to the ESF and applying the ESS. The team will need to do a due diligence on site locations to ensure that the land impacted is in accordance with the requirements of ESS5. Identify key stakeholders and describe the mechanism for consultation and disclosure on E&S policies, with an emphasis of potentially affected people. Key Stakeholders have been identified and will be included into an updated SEP. The stakeholders may include the following groups: the Church at Tenaru, Tenaru FES, MAL provincial offices (Auki. Kirakira), Agriculture facilities in the provinces (pig breeding, chicken slaughter). The current mechanisms that are used for consultation and disclosure by the E&S Officers at the PMU are: - Courtesy-calls to provincial heads - Meetings - Invitation letters sent to stakeholders - Public notice (cut-off date) - Awareness (power point presentation) - Brochures - Disclosure of safeguards instrument like ESMPs on SIG website and will be publicized in WB website - Grievance Redress Mechanism @#&OPS~Doctype~OPS^dynamics@restrhybridsummarychanges#doctemplate Summary changes III. PROPOSED CHANGES Operation Information Proposed Changes Operation Information Proposed Changes Results Yes Loan Closing Date Extension No Disbursements Estimates Yes Loan Cancellations No Components Yes Reallocations No Development Objective No Financial Management No Summary Description No Procurement No (Operation Abstract) Legal Operational Policies No Institutional Arrangement No MFD/PCE No Implementation Schedule No Risks No Legal Covenants No Conditions No Implementation Modalities No Disbursements Arrangements No DDO No Clients No Appraisal Summary No Page 7 The World Bank Solomon Islands Agriculture and Rural Transformation Project (P173043) @#&OPS~Doctype~OPS^dynamics@restrhybriddetailedchanges-disclose#doctemplate IV. DETAILED CHANGE(S) COMPONENTS Current Current Proposed Proposed Cost Action Component Name Cost (USD) Component Name (USD) Component 1: Agribusiness Component 1: Agribusiness and Infrastructure 11,200,000.00 Revised and Infrastructure 11,100,000.00 Investments Investments Component 2. Institutional Component 2. Institutional 1,800,000.00 Revised 1,300,000.00 Capacity Development Capacity Development Component 3. Project Component 3. Project 2,000,000.00 Revised 2,600,000.00 Management Management Component 4. Contingent Component 4. Contingent Emergency Response 0.00 No Change Emergency Response 0.00 Component Component TOTAL 15,000,000.00 15,000,000.00 COSTS & FINANCING Private Capital Facilitation Is this an MFD-Enabling Project (MFD-EP)? Is this project Private Capital Enabling (PCE)? LOANS DISBURSEMENTS Operation Dates & Projection Details Reasons to change the full Disbursement date and/or the projection Implementation Start Date Operation Closing Date 17-Mar-2022 31-Dec-2026 Projected Date for Full Disbursement Page 8 The World Bank Solomon Islands Agriculture and Rural Transformation Project (P173043) 28-Apr-2027 Expected Disbursements (in US $) (Absolute) Original Estimation at Preparation Actual Year Revised Estimation (Approval Package – 17 Mar 2022) FY2022 280,000.00 0.00 0.00 FY2023 1,050,000.00 1,483,200.00 1,483,200.00 FY2024 1,070,000.00 2,000,000.00 615,129.15 FY2025 1,530,000.00 4,000,000.00 0.00 FY2026 3,950,000.00 5,000,000.00 0.00 FY2027 3,140,000.00 2,097,333.30 0.00 ENVIRONMENTAL & SOCIAL Environmental & Social Assessment According to the E/S Specialist are there changes proposed to the operation’s design that Yes would impact the Bank’s E&S assessment?” Page 9 The World Bank Solomon Islands Agriculture and Rural Transformation Project (P173043) RESULTS COUNTRY: Solomon Islands Solomon Islands Agriculture and Rural Transformation Project @#&OPS~Doctype~OPS^dynamics@restrannexpolicyandresult#doctemplate PDO Indicators by PDO Outcomes Outcome 1: To increase agricultural production Indicator Name Baseline Actual (Previous) Actual (Current) Closing Period Result Month/Year Result Date Result Date Result Month/Year 0.00 Jun/2022 0.00 17-May-2024 0.00 17-May-2024 75.00 Dec/2026 Comments on achieving targets This indicator measures increase in agricultural production through a set of proxy indicators. Beneficiary Beneficiary agri-producers reporting households are unlikely to maintain useful records of production and crops are likely to be harvested as needed. increased agricultural production The proxy questions will ask ABPO membersbout changes in production, project benefits received, and changes (Percentage) to their production practices. “Increase production” is defined as household having achieved of, for example, an increase of crop plantation, intensive home garden plantation; increased revenue from market sales; better productivity; and/or reduction of losses and waste, etc. The reference period of 12 months before the survey. Outcome 2: To improve market access Indicator Name Baseline Actual (Previous) Actual (Current) Closing Period Result Month/Year Result Date Result Date Result Month/Year Increase in sales of cocoa, by 0.00 Jun/2022 0.00 17-May-2024 0.00 17-May-2024 15.00 Dec/2026 quantity, reported by farmers Comments on achieving targets This is to measure the increase in sales of cocoa, by quantity, as a proxy for market access. A single value will be participating in cocoa Agribusiness computed for cocoa, for each ABPO, and averaged across ABPO’s. The percentage increase over the baseline producer organizations (ABPO’s). will be computed from this value. The baseline will be obtained from the initial data recorded when farmers (Percentage) become members of the ABPO. Increase in sales of coconut, by 0.00 Jun/2022 0.00 17-May-2024 0.00 17-May-2024 15.00 Dec/2026 quantity, reported by farmers Comments on achieving targets This is to measure the increase in sales of coconut, by quantity, as a proxy for market access. A single value will participating in coconut Agribusiness be computed for coconut, for each ABPO, and averaged across ABPO’s. The percentage increase over the Page 10 The World Bank Solomon Islands Agriculture and Rural Transformation Project (P173043) producer organizations (ABPO’s). baseline will be computed from this value. The baseline will be obtained from the initial data recorded when (Percentage) farmers become members of the ABPO. 0.00 Jun/2022 0.00 17-May-2024 0.00 17-May-2024 32.00 Dec/2026 Increase in sales of poultry, by Comments on achieving targets This is to measure the increase in sales of poultry, by value, as a proxy for market access. A quantity, by the targeted farmers single value will be computed for poultry, for each ABPO, and averaged across ABPO’s. The participating in poultry Agribusiness producer organizations (ABPOs) percentage increase over the baseline will be computed from this valu. The baseline will be (Percentage) obtained from the initial data recorded when farmers become members of the ABPO. The Baseline figure has been corrected to 0 as the original (10%) was incorrectly entered. 0.00 Jun/2022 0.00 17-May-2024 0.00 17-May-2024 4,600 Dec/2026 Comments on achieving targets This indicator measures the number of farmers (of agricultural products) who have adopted an improved agricultural technology promoted by operations supported by the World Bank. NB: "Agriculture" or "Agricultural" includes: crops, livestock, capture fisheries, aquaculture, agroforestry, timber and non-timber forest products. Adoption refers to a change of practice or change in use of a technology that was introduced or Revise Farmers adopting improved promoted by the project. Technology includes a change in practices compared to currently used pactices or agricultural technology (Number) technologies (seed preparation, planting time, feeding schedule, feeding ingredients, postharvest storage/ processing, etc.). If the project introduces or promotes a technology package in which the benefit depends on the application of the entire package (e.g., a combination of inputs such as a new variety and advice on agronomic practices such as soil preparation, changes in seeding time, fertilizer schedule, plant protection, etc.), this counts as one technology. Farmers are people engaged in farming of agricultural products or members of an agriculture related business (disaggregated by men and women) targeted by the project. Revise Farmers adopting 0.00 0.00 0.00 2,300 improved agricultural technology - Female (Number) Revise Farmers adopting 0.00 0.00 0.00 2,300 improved agricultural technology - male (Number) Outcome 3: Beneficiaries Indicator Name Baseline Actual (Previous) Actual (Current) Closing Period Result Month/Year Result Date Result Date Result Month/Year 0.00 Jun/2022 99 17-May-2024 99 17-May-2024 56,000 Dec/2026 Page 11 The World Bank Solomon Islands Agriculture and Rural Transformation Project (P173043) Comments on achieving targets They are defined as (i) the whole families of ABPO members; ii) members of ABPOs who are benefiting from Revise project interventions and/or TA; (iii) users of rehabilitated/newly constructed productive infrastructures, and Direct project beneficiaries (iv) recipients of capacity building and/or training including MAL and stakeholder staff, YPs, Interns and CRPs. (Number) Households will be based on the average household size in Solomon Islands (5.5). The MIS will record and track the number of individual beneficiaries and beneficiary households. 0.00 29 29 50.00 Comments on achieving targets They are defined as (i) the whole families of PO members; ii) members of POs who are benefiting from project interventions and/or TA; (iii) users of rehabilitated/newly constructed productive infrastructures, and (iv) Of which are female recipients of capacity building and/or training including MAL and stakeholder staff, YPs, Interns and CRPs. (Percentage) Households will be based on the average household size in Solomon Islands (5.5). The MIS will record and track the number of individual beneficiaries and beneficiary households. Given the household approach by the project, the number of female direct beneficiaries is expected to be at 50% of the total number of project direct beneficiaries. Intermediate Results Indicators by Components Component 1: Agribusiness and Infrastructure Investments Revised Indicator Name Baseline Actual (Previous) Actual (Current) Closing Period Result Month/Year Result Date Result Date Result Month/Year 0.00 Dec/2022 0.00 14-May-2024 0.00 14-May-2024 44,700.00 Dec/2026 1.1. Poultry and pigs raised by ABPO members (Number) Comments on achieving targets This indicator measures the cumulative quantity of poultry and pigs raised by ABPO member households. Poultry (Number) 0.00 Jun/2022 0.00 14-May-2024 0.00 14-May-2024 30,000.00 Dec/2026 Pigs (Number) 0.00 Jun/2022 0.00 14-May-2024 0.00 14-May-2024 14,700.00 Dec/2026 Revise 1.2. Number of Agribusiness 0.00 Jun/2022 6 14-May-2024 6 14-May-2024 66 Dec/2026 Producer Organizations (ABPOs) Comments on achieving targets "Established” defines as ABPO complies with the standard procedures on the formation and setup as outlined in established (Number) the PIM. Revise 1.3. Number of ABPOs 0.00 Jun/2022 0.00 14-May-2024 0.00 14-May-2024 53 Dec/2026 functioning one year after Comments on achieving targets "Functioning” defined as: ABPO maintains regular meetings on a monthly or quarterly basis. The annual and establishment (Number) target values are estimated at 80% of total established ABPOs. 0 May/2024 0 29-May-2024 0 29-May-2024 3,000 Dec/2026 Page 12 The World Bank Solomon Islands Agriculture and Rural Transformation Project (P173043) Comments on achieving targets The number of people benefitting directly and indirectly from improved climate risk management and increased climate resilience due to investments and activities by the project during the intervention period, where data and methodologies exist. It will consider how the interventions enhance resilience of their beneficiaries by including structural investments, non-structural or capacity development elements, and improvements to the enabling environments and institutional frameworks for climate resilience. These interventions could include, New for example: access to climate-resilient infrastructure, training on and practice of climate smart agriculture People with enhanced resilience practices, enhanced climate disaster response, and support to livelihoods, improved access to financial to climate risks (Number of people) mechanisms, and safety nets. Data sources: • ToT report (MAL Officers) • Training for farmers in climate smart agriculture participants list and report. • Mid Term Review report. • Impact assessment report • Endline assessment. 1. Data collected from farmers who have been trained in climate start agriculture. 2. Data collected from farmers/ HH members/ People with access to climate risks infrastructure. 3. MAL Officer who are participating in climate smart agriculture TOT. 4. Farmers practice/ implement activities that enhance climate disaster response New People with enhanced 0 May/2024 0 30-May-2024 0 30-May-2024 600 Dec/2026 resilience to climate risks – Comments on achieving targets Similar to the parent indicator Youth (Number of people) New People with enhanced 0 May/2024 0 30-May-2024 0 30-May-2024 1,400 Dec/2026 resilience to climate risks – Comments on achieving targets Similar to the parent indicator Female (Number of people) 0.00 Jun/2022 0.00 14-May-2024 0.00 14-May-2024 6 Dec/2026 Revise 1.4. Productive infrastructure Comments on achieving targets This indicator measures the number of the approved infrastructure facilities under MAL management that facilities under MAL management physically completed in compliance with the current infrastructure development regulations , functioned, and completed (Number) handed over and being used by beneficiaries. 1.5. Beneficiaries with access to 0.00 Jun/2022 0.00 14-May-2024 0.00 14-May-2024 75.00 Dec/2026 project infrastructure investments Comments on achieving targets Citizen engagement indicator – this indicator captures feedback from the project beneficiaries on what extent to that feel these reflected their needs which the implemented infrastructure subproject responds to their priorities/needs for production (Percentage) improvement. Of whom are women 0.00 0.00 0.00 50.00 (Percentage) Component 2. Institutional Capacity Development Revised Indicator Name Baseline Actual (Previous) Actual (Current) Closing Period Result Month/Year Result Date Result Date Result Month/Year 0.00 Jun/2022 0.00 15-May-2024 0.00 15-May-2024 6,000 Dec/2026 Page 13 The World Bank Solomon Islands Agriculture and Rural Transformation Project (P173043) Comments on achieving targets This indicator measures the number of farmers who were provided with agricultural assets or services as a result of World Bank project support. "Agriculture" or "Agricultural" includes: crops, livestock, capture fisheries, aquaculture, agroforestry, timber, and non-timber forest products. Assets include property, biological assets, and farm and processing equipment. Biological assets may include animal agriculture breeds (e.g., livestock, Revise Farmers reached with fisheries) and genetic material of livestock, crops, trees, and shrubs (including fiber and fuel crops). Services agricultural assets or services include research, extension, training, education, ICTs, inputs (e.g., fertilizers, pesticides, labor), production- (Number) related services (e.g., soil testing, animal health/veterinary services), phyto-sanitary and food safety services, agricltural marketing support services (e.g., price monitoring, export promotion), access to farm and post- harvest machinery and storage facilities, employment, irrigation and drainage, and finance. Farmers are people engaged in agricultural activities or members of a agriculture-related business (disaggregated by men and women) targeted by the project. Revise Farmers reached with 0.00 0.00 0.00 3,000 agricultural assets or services - Female (Number) 0.00 Jun/2022 0.00 15-May-2024 0.00 15-May-2024 6,000 Dec/2026 Revise 2.2. ABPO members trained in Comments on achieving targets This indicator measures the number of ABPO members who completed training in agriculture and small stock agriculture and small stock production in climate stressed areas. The number will be measured on the number of days of training delivered, production in climate stressed areas multiplied by how many ABPO members attended that day. ABPO members can be counted multiple times if (person days) (Number) they attended multiple days of training. Given the climate and disaster vulnerability of Solomon Islands, all provinces are considered as ‘climate stressed’. Of which are women 0.00 0.00 0.00 50.00 (Percentage) 0.00 Jun/2022 66 15-May-2024 66 15-May-2024 100.00 Dec/2026 2.3. MAL staff and Young Professionals trained (Number) Comments on achieving targets This indicator measures the number of agriculture extension, veterinary staff and young professionals who have been trained to provide extension services to farmers. Of whom are women 0.00 21 21 50.00 (Percentage) 0.00 Jun/2022 0.00 15-May-2024 0.00 15-May-2024 66 Dec/2026 Revise 2.4. Community Resource Comments on achieving targets This indicator measures the number of CRPs selected, trained and working on the project. CRPs are the best Persons (CRPs) trained and working practicing farmers or lead farmers from the ABPOs who are nominated and developed as CRPs through training (Number) programs organized and led by MAL extension staff. Of whom are women 0.00 0.00 0.00 50.00 (Percentage) Page 14 The World Bank Solomon Islands Agriculture and Rural Transformation Project (P173043) 0.00 Jun/2022 0.00 15-May-2024 0.00 15-May-2024 45.00 Dec/2026 2.5. ABPO members raising small stock using locally grown feed crops Comments on achieving targets This indicator measures the numbers of all smallstock agribusiness ABPO members who report their increased and following technical feed feed crops production, for example, growing more high-protein bean, cassava and cowpea crops, or having production advice (Percentage) better feedstuff for small stock as result from following the feedstuff formulation advice, or any feeding practices that promoted by the project. Counting as % of ABPO member. 0.00 Jun/2022 0.00 15-May-2024 0.00 15-May-2024 20.00 Dec/2026 2.6. Number of innovations or best practices recognized/awarded during Comments on achieving targets This indicator measures number of innovations or best practices, which are relevant to project interventions, the project period. (Number) that have been selected, recognized, and awarded from the Annual Innovations Competition and the Development Market Place supported and organized by the project. 2.7. MAL extension and technical 27.00 Jun/2022 32 15-May-2024 32 15-May-2024 31.00 Dec/2026 staff which are women Comments on achieving targets This indicator measures a reduction in the gap between female and male extension and technical staff under (Percentage) MAL. Over the life of the project, MAL will hire extension and technical staff through expansion or staff turnover Component 3. Project Management Revised Indicator Name Baseline Actual (Previous) Actual (Current) Closing Period Result Month/Year Result Date Result Date Result Month/Year 0.00 Jun/2022 100 15-May-2024 100 15-May-2024 100.00 Dec/2026 3.1: Grievances addressed within 3 Comments on achieving targets "Addressed" defined as ways of handling/responding to any grievance according to a written months (Percentage) procedure, as defined in the PIM. No grievances have been received to-date. No Jun/2022 Yes 15-May-2024 Yes 15-May-2024 Yes Dec/2026 3.2. Communication and public Comments on achieving targets This indicator reports whether the SI ART project develops and implements a specific communication strategy to awareness strategy implemented disseminate the project's best practices, innovations, technologies, showcase for wider replication. This includes (Yes/No) the exchanged ideas and innovations among PO members, policymakers, entrepreneurs, buyers, and investors. 'Implementation' is defined as at least 50% of the annual planned budget effectively spent. No Jun/2022 No 15-May-2024 No 15-May-2024 Yes Jun/2027 3.3. Audit report submitted on time Comments on achieving targets This indicator measures whether audits submitted by the June 30 deadline each year. (Yes/No) Currently no audits are due. Page 15 The World Bank Solomon Islands Agriculture and Rural Transformation Project (P173043) Page 16