The World Bank Implementation Status & Results Report Methane-Reducing and Water-Saving Paddy Rice Program for Results (Hunan) (P178796) Methane-Reducing and Water-Saving Paddy Rice Program for Results (Hunan) (P178796) EAST ASIA AND PACIFIC | China | Water Global Practice | Requesting Unit: EACCF | Responsible Unit: SEAW1 IBRD/IDA | Program-for-Results Financing | FY 2023 | Team Leader(s): Xiaokai Li, Guo Li, Si Gou Seq No: 1 | ARCHIVED on 12-Sep-2023 | ISR57600 | Created by: Xiaokai Li on 16-Aug-2023 | Modified by: Xiaokai Li on 03-Sep-2023 Program Development Objectives PDO Table Program Development Objective (from Program Appraisal Document) To reduce methane emissions and support climate resilient rice production in China’s Hunan Province. Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO -- Satisfactory Overall Implementation Progress (IP) -- Satisfactory Implementation Status and Key Decisions The Methane-Reducing and Water-Saving Paddy Rice Program was approved by the Executive Directors of the Board of the International Bank for Reconstruction and Development (the World Bank) on May 31, 2023. The World Bank Team and the Government team are working closely towards loan signing which is expected to be at end of October, 2023. Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed Not P178796 IBRD-95230 USD 255.00 255.00 0.00 0.00 255.00 0% Effective Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date Not P178796 IBRD-95230 31-May-2023 -- -- 31-Dec-2028 31-Dec-2028 Effective Program Action Plan Action Description Develop a detailed trainer’s manual for training farmers on low-methane rice production Source DLI# Responsibility Timing Timing Value Status Technical DLI 3 DARA and PPMO Other By loan effectiveness Not Yet Due 9/12/2023 Page 1 of 11 The World Bank Implementation Status & Results Report Methane-Reducing and Water-Saving Paddy Rice Program for Results (Hunan) (P178796) Completion Measurement A copy of the training manual submitted to the World Bank as part of the PIP Comments Develop and issue a provincial MRV standard for carbon sequestration and GHG emission reduction from rice Action Description production Source DLI# Responsibility Timing Timing Value Status Technical PPMO and PDEE Other By June 30, 2026 Not Yet Due An MRV standard issued by the responsible provincial authority. It will be developed in coordination with the related Completion Measurement activities under the GARR (Hubei and Hunan) Program Comments Action Description Prepare detailed implementation plans for carbon trading pilots Source DLI# Responsibility Timing Timing Value Status CPMOs concerned Technical Due Date 30-Jun-2024 Not Yet Due and PPMO Completion Measurement A copy of the detailed implementation plans for carbon trading pilots submitted to the World Bank Comments Action Description Prepare detailed implementation plans for water right trading/buy-back pilots Source DLI# Responsibility Timing Timing Value Status CPMOs concerned Technical Due Date 30-Jun-2024 Not Yet Due and PPMO Completion Measurement A copy of the detailed implementation plans for water right trading/buy-back pilots submitted to the World Bank Comments Issue an official letter/instruction to implementation agencies to ensure no contract will be awarded to debarred or Action Description temporarily suspended firms or individuals Source DLI# Responsibility Timing Timing Value Status Fiduciary Systems PDRC and PPMO Other By loan effectiveness Not Yet Due Completion Measurement A copy of the high-level official letter or instruction submitted to the World Bank Comments 9/12/2023 Page 2 of 11 The World Bank Implementation Status & Results Report Methane-Reducing and Water-Saving Paddy Rice Program for Results (Hunan) (P178796) Include in the TOR for annual external audit the task of randomly selecting awarded contracts to check whether they Action Description have been awarded to firms or individuals debarred or temporarily suspended by the World Bank, and ensure Program funds shall be audit Source DLI# Responsibility Timing Timing Value Status Fiduciary Systems PPMO Other By loan effectiveness Not Yet Due Completion Measurement A copy of the TOR for the annual external audit submitted to the World Bank as part of the PIP. Comments Use the comprehensive evaluation method for consulting services, subject to the weighting of financial proposal equal Action Description to or greater than 70% of the total weighting, while “the lowest evaluated responsive bid” is encouraged as an alternative option Source DLI# Responsibility Timing Timing Value Status Throughout Program Fiduciary Systems PPMO and CPMOs Other Not Yet Due implementation stage Completion Measurement Semiannual progress reports submitted to the World Bank, including records on the evaluation methods. Comments Integrate the information on HSFCP funds into the MIS so that all budgetary funds administered by DARA could be Action Description managed efficiently Source DLI# Responsibility Timing Timing Value Status Throughout Program Fiduciary Systems DARA and PPMO Other Not Yet Due implementation stage Semi-annual progress reports submitted to the World Bank, including evidence showing that information on the Completion Measurement HSFCP funds is integrated in the MIS Comments Regularly inform the World Bank of any credible and material allegations of fraud and corruption in the Program Action Description progress reports. Source DLI# Responsibility Timing Timing Value Status Throughout Program Fiduciary Systems PPMO and CPMOs Other Not Yet Due implementation stage Semi-annual progress reports containing information on credible and material allegations of fraud and corruption, if Completion Measurement any, submitted to the World Bank. Comments 9/12/2023 Page 3 of 11 The World Bank Implementation Status & Results Report Methane-Reducing and Water-Saving Paddy Rice Program for Results (Hunan) (P178796) Integrate the existing mechanism of prevention and control of schistosomiasis into the Program activities to safeguard Action Description health and safety of construction workers & farming operators related to water in the endemic area of Hanshou and Dingcheng. Source DLI# Responsibility Timing Timing Value Status PPMO, Hanshou Environmental and Social County, Dingcheng Recurrent Continuous Not Yet Due Systems District Reports of hygienic assessment on schistosomiasis transmission risk prepared; Assessment Reports on snail spread Completion Measurement risk prepared; Records of actions timely taken; The implementation of the above actions are reflected in semiannual progress reports Comments Include a specific subsection on environmental and social management in the preliminary design documents for the Action Description Program activities Source DLI# Responsibility Timing Timing Value Status Environmental and Social Throughout Program PPMO and CPMOs Other Not Yet Due Systems implementation stage The design documents for the Program activities available for World Bank inspections, include: screening and Completion Measurement assessment of E&S risks and mitigation measures in bidding documents; and public consultation documented by township and village committees. Comments For the documentations of non-physical activities with possible downstream adverse impacts (e.g., agricultural water Action Description pricing reform, etc.), set out in the relevant TORs requirements on screening and assessment of downstream E&S risks and impacts Source DLI# Responsibility Timing Timing Value Status Prior to carrying out relevant non-physical Environmental and Social PPMO and CPMOs Other activity throughout Not Yet Due Systems Program implementation stage A copy of the TA ToRs submitted to the World Bank, including requirements on screening and assessment of Completion Measurement downstream E&S risks; records of farmers and stakeholders engagement; and appropriate mitigation measures and assistance to vulnerable groups. Comments For water rights trading, conduct survey on farmers’ affordability and willingness to pay for water use before and Action Description during the plan implementation, extensive publicity and public engagement by means of public hearings, mobilizing farmers, and WUAs Source DLI# Responsibility Timing Timing Value Status 9/12/2023 Page 4 of 11 The World Bank Implementation Status & Results Report Methane-Reducing and Water-Saving Paddy Rice Program for Results (Hunan) (P178796) Environmental and Social PPMO and CPMOs Throughout the water Other Not Yet Due Systems of pilot counties right trading pilot period Documentation available for World Bank inspection: Records on farmers’ affordability and willingness to pay; Completion Measurement Evidence material of public engagement on water right trading; Record of WUA public hearings; Above actions reflected in semiannual progress Comments Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance Low -- Low Macroeconomic Low -- Low Sector Strategies and Policies Moderate -- Moderate Technical Design of Project or Program Substantial -- Moderate Institutional Capacity for Implementation and Substantial -- Moderate Sustainability Fiduciary Substantial -- Moderate Environment and Social Moderate -- Moderate Stakeholders Moderate -- Moderate Other -- -- -- Overall Substantial -- Substantial RiskComments Comments The loan for the Program is yet to be effective and implementation has not started. Results PDO Indicators by Objectives / Outcomes Strengthened government management system for sustainable development impacts IN01334200 ►Strengthening government management system for water-saving and low-methane rice production (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target The related strategy, The related strategy, Four key standards standards and guiding standards and guiding and guiding Value -- documents need to be documents need to be documents developed developed or revised developed or revised. and issued for water- 9/12/2023 Page 5 of 11 The World Bank Implementation Status & Results Report Methane-Reducing and Water-Saving Paddy Rice Program for Results (Hunan) (P178796) saving and low- methane rice production Date 01-May-2023 -- 17-Aug-2023 31-Dec-2028 Indicated by the issuance of the documents at the provincial level, consisting of four key documents to Comments promote and mainstream water-saving and low methane rice production and incentivize adoption by the rice of farmers the new production technologies and practices in the province. Reduced GHG emissions in demonstration counties IN01334266 ►Net GHG emission reduction in demonstration counties (Ton CO2 equivalent) (Metric ton, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 2,396,957.00 Date 01-May-2023 -- 17-Aug-2023 31-Dec-2028 Indicated by the net GHG emission reductions in six demonstration counties, measured by tons of CO2 equivalent. The net GHG emission reductions are mainly the methane emission reduction through water Comments management, nitrous oxide emission reduction through fertilizer management, and carbon sequestration through straw management and soil fertility improvement. Improved irrigation and drainage services for resilient rice production IN01334267 ►Beneficiaries reached with improved irrigation and drainage services in demonstration counties (of whom women) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 647,500.00 Date 01-May-2023 -- 17-Aug-2023 31-Dec-2028 Measured by the total number of beneficiaries with access to improved and reliable irrigation and drainage Comments services as defined in the HSFCP designs in six demonstration counties. Beneficiaries are the farmers with access to the improved services. IN01334268 Female farmers reached with improved irrigation and drainage services in demonstration counties (Number, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 316,600.00 Intermediate Results Indicators by Results Areas Results Area 1: Strengthening management system for sustainable development impacts IN01334269 ►Development/issuance of a provincial water-saving and low-methane rice production strategy and implementation plan (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target No provincial strategy The strategy and No provincial strategy and Value -- and implementation implementation plan implementation plan plan. issued Date 01-May-2023 -- 17-Aug-2023 31-Dec-2028 9/12/2023 Page 6 of 11 The World Bank Implementation Status & Results Report Methane-Reducing and Water-Saving Paddy Rice Program for Results (Hunan) (P178796) A provincial water-saving and low-methane rice production strategy and implementation plan developed and Comments issued IN01334272 ►Development/issuance of (provincial) technical standards for water-saving and low-methane rice production (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target The integrated No integrated technical No integrated technical Value -- standards approved standard standard and issued Date 01-May-2023 -- 17-Aug-2023 31-Dec-2028 Technical standards for water-saving and low-methane rice production developed and issued, including the Comments standards on low-methane rice varietal selection, water-saving cultivation, fertilizer management, and straw management. IN01334275 ►Development/issuance of provincial water-saving irrigation quota for rice production (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target The water-saving No irrigation quota for No irrigation quota for irrigation quota for rice Value water-saving rice -- water-saving rice production approved production production and issued Date 01-May-2023 -- 17-Aug-2023 31-Dec-2028 The irrigation water quota should be updated based on the application of water-saving techniques and the Comments requirements of the most strict water resources management IN01334278 ►Issuance of a provincial guiding document on water use right trading (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Draft guiding document Draft guiding document Guiding document Value -- under preparation under preparation approved and issued Date 01-May-2023 -- 17-Aug-2023 31-Dec-2028 Comments Provincial guiding document on water use right trading and government buy-back developed and issued IN01334281 ►Demonstration counties establishing and maintaining an agriculture and water sector coordination mechanism for high-standard farmland construction and O&M (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Annual implementation of coordination No formal coordination No formal coordination Value -- mechanisms in six mechanism mechanism demonstration counties Date 01-May-2023 -- 17-Aug-2023 31-Dec-2028 Measured by the official establishment of the coordination mechanisms at the county level and the mechanism implementation throughout the Program period. These mechanisms will cover coordination on Comments related investment planning, project design, implementation, and O&M to ensure synergy between main and on-farm irrigation and drainage systems and services. The agriculture and water sectors are required to share data on the High-Standard Farmland Construction Plan and the related water sector projects. Results Area 2: Reducing GHG emissions for low-methane development IN01334270 ►Increase in new/upgraded high-standards farmland area in demonstration counties (Hectare(Ha), Custom) 9/12/2023 Page 7 of 11 The World Bank Implementation Status & Results Report Methane-Reducing and Water-Saving Paddy Rice Program for Results (Hunan) (P178796) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 51,183.00 Date 01-May-2023 -- 17-Aug-2023 31-Dec-2028 Comments Newly constructed or updated high-standard farmland area; Annual target is the cumulative value. IN01334273 ►Farmers trained on the low-methane rice cropping package solution/technologies (of whom women) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 13,238.00 Date 01-May-2023 -- 17-Aug-2023 30-Jun-2028 Number of farmers who are trained on the low-methane rice cropping package solution/technologies per year. The low methane package solutions include the water-straw-fertilizer co-management measures, including water-saving practices, dep straw returning, and organic fertilizer application, as well as other Comments complementary mitigation measures, such as deep application of nitrogen fertilizer, test-based formula fertilizer application, climate-smart rice varieties, and aerobic cultivation techniques. The training curriculum and training plan are subject to review by the World Bank. The cumulative numbers of women farmers to be trained for Years 1-5 are: 4.407; 8,816; 12,821; 16,826; and 20,831, respectively. IN01334276 ►Rice areas where both AWD technology and deep returning of rice straw are used (Hectare(Ha), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 117,198.00 Date 01-May-2023 -- 17-Aug-2023 30-Jun-2028 It measures the areas of high-standard rice farmland adopting AWD technology and deep returning of rice straw, as guided in the government technical standards. Optimized AWD is promoted under this Program, including AWD at three rice growing stages: (i) The early stage of rice growing: around 7 days of cumulative Comments drying before and after transplanting; (ii) The late stage of tillering: around 10 days of cumulative drying; and (iii) The yellow ripening to harvesting stage: around 15 days of drying before harvesting. The deep returning of rice straw should return straw residues into the soils with over 15 cm depth. IN01334279 ►Increase in rice field area applying organic fertilizer (Tons/year, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 12,030.00 -- 12,030.00 59,030.00 Date 01-May-2023 -- 17-Aug-2023 30-Jun-2028 Comments It measures the application of organic fertilizer in rice production; Annual target is the cumulative value. IN01334282 ►Counties which pilot carbon trading (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 3.00 Date 01-May-2023 -- 17-Aug-2023 31-Dec-2028 Comments Number of the demonstration counties pilot carbon trading (cumulative) 9/12/2023 Page 8 of 11 The World Bank Implementation Status & Results Report Methane-Reducing and Water-Saving Paddy Rice Program for Results (Hunan) (P178796) Results Area 3: Improving irrigation and drainage services for resilient rice production IN01334271 ►Demonstration counties completing a comprehensive agricultural water pricing reform (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 6.00 Date 30-Jun-2023 -- 17-Aug-2023 31-Dec-2028 It measures the results of comprehensive agricultural water tariff reform in all demonstration counties, including (a) completing the O&M cost estimation of irrigation and drainage systems, carrying out O&M cost auditing and irrigation water pricing auditing, and establishing rational agricultural water tariff regime Comments (including progressive tariff scheme); (b) establishing irrigation water quota management mechanism and the cap on total agricultural water withdrawal, developing water-saving reward mechanism, and establishing precise budge support/subsidy mechanism; (c) installing water flow measurement facilities; and (d) the promulgation of reformed water tariff. The indicator targets are cumulative. IN01334274 ►Rice production area with sustainable irrigation and drainage services (Hectare(Ha), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 42,891.00 -- 42,891.00 125,899.00 Date 01-May-2023 -- 17-Aug-2023 31-Dec-2028 It will motivate the counties to improve the long-term sustainability of irrigation and drainage services which are essential for climate-resilient and low-methane rice production. The sustainable irrigation and drainage Comments services consist of (a) modernized irrigation and drainage infrastructure; (b) appropriate O&M arrangements with a well-conceived O&M plan and clear O&M responsibility; and (c) a sustainable O&M funding mechanism established to ensure O&M cost recovery. IN01334277 ►Percentage of irrigated areas managed by farmer cooperative organizations (%) (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Qiyang 51%, Jiahe Qiyang 20%, Jiahe 20%, Qiyang 20%, Jiahe 60%, Lukou 55%, Lukou 20%, Louxing 20%, 20%, Lukou 20%, Value -- Louxing 55%, Hanshou 65%, Dingcheng Louxing 20%, Hanshou Hanshou 90%, 0%; 65%, Dingcheng 0%; Dingcheng 50%; Date 01-May-2023 -- 17-Aug-2023 31-Dec-2028 Comments Percentage of irrigated areas managed by farmer cooperative organizations (%) IN01334280 of which with women on management team, % (Text, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Qiyang 20%, Jiahe 5%, Qiyang 20%, Jiahe 5%, Qiyang 50%, Jiahe Lukou 30%, Louxing 30%, Lukou 30%, Louxing 20%, Lukou 40%, Value -- Hanshou 5%, Dingcheng 30%, Hanshou 5%, Louxing 50%, Hanshou 0% Dingcheng 0% 30%, Dingcheng 60% IN01334283 ►Counties that pilot water rights trading or buy-back (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 3.00 9/12/2023 Page 9 of 11 The World Bank Implementation Status & Results Report Methane-Reducing and Water-Saving Paddy Rice Program for Results (Hunan) (P178796) Date 01-May-2023 -- 17-Aug-2023 31-Dec-2028 Comments Number of the Program demonstration counties that pilot water rights trading or buy-back (cumulative) Disbursement Linked Indicators DLI_IND_TABLE ►DLI 1 Strengthening government management system for water-saving and low-methane rice production (Outcome, 30,000,000.00, 0%) Baseline Actual (Previous) Actual (Current) 2028 The related guiding The related guiding documents, strategy and documents, strategy and All documents Value technical standards need to -- technical standards need developed and be developed or revised, to be developed or issued. and issued. revised, and issued. Date -- -- 17-Aug-2023 -- Comments ►DLI 2 Demonstration counties establishing and maintaining an agriculture and water sector coordination mechanism for high-standard farmland construction and O&M (Intermediate Outcome, 25,000,000.00, 0%) Baseline Actual (Previous) Actual (Current) 2028 Six demonstration counties have No county has official No county has official Value -- maintained the coordination mechanisms coordination mechanisms coordination mechanism Date -- -- 17-Aug-2023 -- Comments ►DLI 3 Farmers trained on the low-methane rice cropping package solution/technologies (of whom women) (Number) (Intermediate Outcome, 50,000,000.00, 0%) Baseline Actual (Previous) Actual (Current) 2028 Value 0.00 -- 0.00 13,238.00 Date -- -- 17-Aug-2023 -- Comments ►DLI 4 Rice areas where both AWD technology and deep returning of rice straw to soil are used (Intermediate Outcome, 62,500,000.00, 0%) Baseline Actual (Previous) Actual (Current) 2028 Value 0.00 -- 0.00 117,198.00 Date -- -- 17-Aug-2023 -- 9/12/2023 Page 10 of 11 The World Bank Implementation Status & Results Report Methane-Reducing and Water-Saving Paddy Rice Program for Results (Hunan) (P178796) Comments ►DLI 5 Demonstration counties completing a comprehensive agricultural water pricing reform (Intermediate Outcome, 37,500,000.00, 0%) Baseline Actual (Previous) Actual (Current) 2028 Value 0.00 -- 0.00 6.00 Date -- -- 17-Aug-2023 -- Comments ►DLI 6 Rice production area with sustainable irrigation and drainage services (Intermediate Outcome, 50,000,000.00, 0%) Baseline Actual (Previous) Actual (Current) 2028 Value 42,891.00 -- 42,891.00 125,899.00 Date -- -- 17-Aug-2023 -- Comments 9/12/2023 Page 11 of 11