The World Bank Pacific Islands Regional Oceanscape Program - Second Phase for Economic Resilience (P177239) Appraisal Environmental and Social Review Summary Appraisal Stage (ESRS Appraisal Stage) Public Disclosure Date Prepared/Updated: 03/24/2022 | Report No: ESRSA01730 Mar 24, 2022 Page 1 of 18 The World Bank Pacific Islands Regional Oceanscape Program - Second Phase for Economic Resilience (P177239) BASIC INFORMATION A. Basic Project Data Country Region Project ID Parent Project ID (if any) Solomon Islands EAST ASIA AND PACIFIC P177239 Project Name Pacific Islands Regional Oceanscape Program - Second Phase for Economic Resilience Practice Area (Lead) Financing Instrument Estimated Appraisal Date Estimated Board Date Environment, Natural Investment Project 2/17/2022 5/25/2022 Resources & the Blue Financing Economy Borrower(s) Implementing Agency(ies) Solomon Islands Ministry of Fisheries and Marine Resources (MFMR) Proposed Development Objective Public Disclosure The Development Objective of the Series of Projects is to strengthen the shared management of selected Pacific Island oceanic and coastal fisheries, and the critical habitats upon which they depend. For Solomon Islands second phase’s project (“PROPER”), the proposed Project Development Objective (PDO) is to strengthen regional collaboration and national capacity for the management and the sustainable development of the oceanic and coastal fisheries sector in the Solomon Islands. Financing (in USD Million) Amount Total Project Cost 13.50 B. Is the project being prepared in a Situation of Urgent Need of Assistance or Capacity Constraints, as per Bank IPF Policy, para. 12? No C. Summary Description of Proposed Project [including overview of Country, Sectoral & Institutional Contexts and Relationship to CPF] The Pacific Islands Regional Oceanscape Program - Second Phase for Economic Recovery and Resilience (PROPER) project in the Solomon Islands (The Project) aims to strengthen regional collaboration and national capacity for sustained socio-economic contributions of the oceanic and coastal fisheries sector in the Solomon Islands. The Project Mar 24, 2022 Page 2 of 18 The World Bank Pacific Islands Regional Oceanscape Program - Second Phase for Economic Resilience (P177239) is part of the Pacific Islands Regional Oceanscape Program (PROP) which aims to strengthen the shared management of selected Pacific Island oceanic and coastal fisheries, and the critical habitats upon which they depend. PROPER is a continuation of the PROP 1st Phase and will build on the lessons learned from the seven years of implementation. It will provide for continued support to national projects initiated under PROP and make it possible to address new regional and national requests. It is designed as a set of standalone regional and national projects linked in the collective aim of improved fisheries management, improved climate change adaptation and resilience and economic recovery. The Ministry of Fisheries and Marine Resources (MFMR) will be the implementing agency (IA) for the Project in the Solomon Islands. MFMR has significant experience with World Bank procedures as they are currently implementing PROP 1st Phase (P151777). The Solomon Islands is highly prone to natural disasters such as earthquakes, volcanic eruptions, cyclones, tsunamis, coastal and river flooding, and landslides. The population of 721,455 persons (2019 National Population and Household Census), is young (over one-half of the population is under 20 years of age) and largely rural (around 80 percent), mostly living in small villages of just a few hundred people. Subsistence and semi-subsistence fisheries (and agriculture) remains of overwhelming importance to security, economic growth, and equity. It is of immediate and direct importance to the well-being of the rural population, as well as many urban residents. In rural areas, where most Solomon Islanders live, nearly half of all women and 90 percent of men fish or collect aquatic resources for food or income. Fisheries and marine resources also play a critical role in the national economy, as the second largest source of export income after forestry. Public Disclosure PROPER is structured to allow national and regional projects to work in conjunction, and for all national projects to contribute towards regional policy objectives and focus on addressing national priorities. The program has three thematic components and one project management component, each with regional and national activities. In each participating country the activities under each component are adapted to national context and needs. In the Solomon Islands the Project will consist of: Component 1: Strengthening Regional Collaboration and National Capacity for Oceanic Fisheries Subcomponent 1.1. Consolidating Fisheries Management - would support; i. Extension of MFMR Headquarters Office and equipment ii. Construction of the National MCS Center in Noro iii. Strengthening of MCS and Compliance Officers capacity iv. Implementation of fishing vessel inspections at sea v. Promotion of the e-Port initiative vi. Expansion of e-monitoring and e-reporting vii. Revitalization, adaptation and modernization of the Observer Program Component 1.2. Harnessing Oceanic Fisheries to Regional Economy - would finance consultant services for studies aiming at improving the harnessing of the oceanic fisheries and their value chains to the Solomon Islands’ economy. Component 2: Strengthening Regional Collaboration and National Capacity for Coastal Fisheries Mar 24, 2022 Page 3 of 18 The World Bank Pacific Islands Regional Oceanscape Program - Second Phase for Economic Resilience (P177239) Subcomponent 2.1. Strengthening policy and institutions - through the; i. Review of MFMR structure and functions ii. Development and enhancement of the MFMR personnel’s capacity and skills iii. Review and dissemination of policy frameworks and legislation iv. Support to provincial governments Subcomponent 2.2. Strengthening coastal fisheries management - through the; i. Empowerment of communities through CBRM ii. Development of the statistical system for coastal fisheries Subcomponent 2.3. Developing and diversifying local value chains - would support; i. FAD Program with goods for the construction of 75 submerged inshore FADs ii. Feasibility studies for informing additional financing to PROPER or a future project Component 3: Strengthening Regional Collaboration and National Capacity for the Conservation of Critical Habitats This is a no-cost component included as per regional PROP Framework. Component 4: Project Management - would finance consultant services for the Project Management Unit (PMU) personnel, annual financial audits, operating costs, goods and training and workshops (e.g., inception, mid-term, and closure workshop) for the PMU. Public Disclosure D. Environmental and Social Overview D.1. Detailed project location(s) and salient physical characteristics relevant to the E&S assessment [geographic, environmental, social] The Solomon Islands consists of six major islands and over 900 smaller islands (grouped in nine provinces) with a population of 721,455 in 2019 (2019 NPHC). The country is a lower middle-income country very susceptible to climate change and prone to natural disasters with recent examples including earthquake-triggered tsunamis in 2007 and 2013, deadly floods in 2014 caused by a tropical cyclone, and a volcanic eruption near Temotu province in October 2017. Solomon Islands is categorized as a fragility, conflict and/or violence-affected (FCV) country. It underwent “the tensions”, a period of civil conflict from 1998 to 2003, during which GDP is estimated to have declined by 9%. Coastal fisheries in the region play a crucial role in supporting local livelihoods, national food sovereignty and security, nutrition and dietary health. Women are particularly dependent on coastal fisheries for economic opportunities, and the recently published Pacific Handbook for Gender and Social Inclusion in Coastal Fisheries and Aquaculture quotes research that found women’s participation in fisheries in the Pacific is often over 50 percent when gleaning and subsistence fisheries are included. Traditionally, fish and seafood are primary sources of animal protein in Pacific Islanders' diets, although reef and lagoon fisheries are highly susceptible to over-exploitation. Some also support specialized export fisheries, such as for sea cucumbers (bêche-de-mer), trochus shells and live aquarium fish. The country has rich ecosystems and biodiversity, both terrestrial and marine. Coral reefs, seagrass beds, mangroves and coastal wetland habitats provide vital protection from increasing threats from sea level rise, floods and storm events and help mitigate climate change, through carbon sequestration. Although PIC’s coastal ecosystems produce Mar 24, 2022 Page 4 of 18 The World Bank Pacific Islands Regional Oceanscape Program - Second Phase for Economic Resilience (P177239) some of the world’s most significant marine biodiversity, the 2020 State of the Environment in the Pacific islands regional report published by the Secretariat of the Pacific Regional Environment Program (SPREP) shows how their ecosystems health and extent are diminishing under increasing pressure. The Solomon Island’s economy is based on forestry, fisheries, agriculture, mining, and tourism with fisheries and marine resources as the second largest source of export income after forestry. The country’s economy experienced a significant contraction in 2020 because of the coronavirus disease pandemic COVID-19 has impacted on MCS of tuna fisheries, as it became increasingly difficult to place observers on-board fishing vessels due to travel restrictions and health and safety concerns. Requirements for fishing vessels to carry observers were ultimately suspended. Pressure on coastal fisheries has also increased as more people are active in subsistence and artisanal fishing, due to job losses, reduced cash flow and migration from Honiara back to rural areas. The Project is part of the PROP which aims to strengthen the shared management of selected Pacific Island oceanic and coastal fisheries, and the critical habitats upon which they depend. The project includes activities under three components of the PROP framework: -Component 1 – Strengthening Regional Collaboration and National Capacity for Oceanic Fisheries: focuses on consolidating fisheries management and economic harnessing of oceanic fisheries; - Component 2 - Strengthening Regional Collaboration and National Capacity for Coastal Fisheries: focuses on strengthening policy and institutions, strengthening coastal fisheries management, and developing and diversifying local value chains; and Public Disclosure -Component 4 - Project management – will finance technical and operational assistance for day-to-day management and implementation of the project. (Component 3: Strengthening Regional Collaboration and National Capacity for the Conservation of Critical Habitats is a no-cost component included as per regional PROP Framework). Some project activities are not yet confirmed and will depend on budget allocations during project implementation. Potential activities under components 1, 2 and 4 can be divided into four typologies: -Typology 1: Civil works, construction and renovations – The project will fund construction of the Noro MCS Centre, which was assessed under PROP 1st phase and renovation of the Ministry of Fisheries and Marine Resources (MFMR) office in Honiara. The project may also fund fisheries centers, improvements of landing sites, sheds for boat storage, and refurbishment/ renovation of buildings and construction of a new fisheries office in Auki, Malaita Province. -Typology 2: Procurement of equipment and technology – this may include deployment of electronic monitoring (EM) on fishing vessels, office equipment and possibly information and ICT equipment and purchase of vessels -Typology 3 support for aquaculture investments - may include include support for climate resilient community aquaculture (e.g., seaweed), stock enhancement of targeted depleted species (e.g., sea-cucumber), and suitable infrastructure, technology and capacity building to support aquaculture (eg. installation of fish aggregating devices (FADs)). -Typology 4: technical advisory (TA), training and capacity development activities - may include: a policy review of existing fisheries legislation, developing and implementing management plans for fisheries under customary marine tenure, development and application of tools support community based resource management (CBRM), stock assessment for commercial species and analyzing investment opportunities to attract private investors and add value to offshore fisheries resources as well as other TA support to strengthen fisheries policy and institutions including capacity development and training. Mar 24, 2022 Page 5 of 18 The World Bank Pacific Islands Regional Oceanscape Program - Second Phase for Economic Resilience (P177239) D. 2. Borrower’s Institutional Capacity The Ministry of Fisheries and Marine Resources (MFMR) will be the IA for the Project. MFMR has significant experience with World Bank procedures as they are currently implementing PROP 1st Phase (P151777). The Project Management Unit (PMU) under the PROP1st Phase includes a project coordinator, a procurement officer, a project accountant, a project assistant and an international safeguards consultant. The existing PMU will transition to the Project and additional resources will be hired to complement the PMU. This will include a local environmental and social (E&S) specialist, supported by an international E&S specialist. The PMU will remain under the leadership of the MFMR Permanent Secretary. The PMU will continue to be responsible for the day-to-day management of the project, including financial management (FM), procurement, E&S monitoring and supervision, ensuring compliance with environmental and social framework (ESF) of the World Bank, and monitoring, evaluation (M&E) and learning. Individual consultants with specific skill sets and preferably familiar with World Bank operations will be recruited to provide support to the PMU. While the existing PMU has experience implementing World Bank funded projects including E&S risk management, they have limited experience with the ESF and will require training and capacity development in this area. It is critical for the PMU to engage a local E&S specialist to work with the PROP Phase 1, E&S international specialist as the project has faced some challenges in the implementation of PROP Phase 1 in in recruiting a safeguards specialist, implementing E&S controls such as preparation of instruments, capacity building Public Disclosure on E&S management and implementing the GRM and c The international E&S specialist for the PROP 1st Phase Project will support the preparation of the project and has some experience in instrument development for World Bank projects under the ESF. The Project will require an E&S Specialist during implementation and will retain the PROP 1st Phase International E&S specialist (subject to his availability). Environmental and social performance on the PROP 1st phase has been moderately satisfactory with some implementation challenges including: -delays in recruitment of E&S specialist due to capacity constraints including limited availability of qualified E&S staff in country; -limited E&S monitoring capacity due to travel restrictions during the COVID19 pandemic and the lack of a local E&S specialist. Lessons learned will be carried across to the new project PMU such as the use of international E&S specialists where qualified local applicants are not available. II. SUMMARY OF ENVIRONMENTAL AND SOCIAL (ES) RISKS AND IMPACTS A. Environmental and Social Risk Classification (ESRC) Substantial Environmental Risk Rating Substantial Mar 24, 2022 Page 6 of 18 The World Bank Pacific Islands Regional Oceanscape Program - Second Phase for Economic Resilience (P177239) The Environmental risk rating is Substantial, with mostly temporary impacts which would be managed through conventional E&S risk management approaches. The project is expected to have a largely positive environmental impact through improved sustainability of fisheries. The project activities are not fully confirmed but can be broadly divided into 4 typologies: - Typology 1: Civil works, construction and renovations; - Typology 2: Procurement of equipment and technology; - Typology 3: Support for aquaculture investments; and - Typology 4: Technical advisory, training and capacity development activities. Typology 1 includes construction of the Noro MCS Centre, fisheries centers, improvements of landing sites, sheds for boat storage, and refurbishment/ renovation of buildings. The Noro MCS Centre construction was originally included in the PROP 1st Phase project. A limited Environmental and Social Impact Assessment (ESIA) and a contractor Construction Environmental and Social Management Plan (CESMP) were completed under the PROP 1st Phase Project. This assessment was reviewed and updated with consideration of ESF requirements. The following key risks were identified: Waste management, sedimentation and erosion control, hazardous materials management, materials sourcing risks, occupational health and safety (OHS) risks. The center is located on a cleared site with no vegetation to be removed and the site has been screened for unexploded ordinance. Other infrastructure investments may include renovation of the MFMR office in Honiara, construction of new fisheries centers (including potentially construction of a fisheries center in Auki), improvements of landing sites, sheds for boat storage, refurbishment/ renovation or construction of new buildings. These investments were assessed via a preliminary E&S risk assessment in the ESMF which identified environmental risks including waste and hazardous materials handling and disposal (e.g. potentially asbestos), community and worker health and safety impacts including risk due to UXO and COVID-19, contamination of water sources and marine water via poor drainage, dust and noise nuisance, soil erosion, and unsustainable souring of materials/use of finite resources. Operational impacts could include minor pollution risks, consumption of power and water and OHS risks associated Public Disclosure with operation of fisheries centers and boat sheds. Typology 2 may include technology purchases which would lead to the eventual generation of e-waste. The types of equipment to be procured have not yet been confirmed but if vessels or vehicles will be purchased this could create waste/spill management and occupational health and safety risk. Installation of EM is expected to improve compliance which should improve the sustainability of fisheries. Typology 3 may fund restocking of depleted species which could improve the sustainability of fisheries in the Solomon Islands. Downstream health and safety impacts could occur should the project restock beche de mer. Five deaths have been recorded associated with beche de mer harvest during the first month of the current season. These deaths were related to free diving without safety equipment and crocodile attacks. Aquaculture operations also have the potential to reduce marine water quality depending on the types of investments. FADs could contribute to overfishing if financed and could further deplete fish stocks. Typology 4 includes technical advisory, training and capacity development environmental impacts are expected to be largely positive via: i) improved fisheries management including sustainability, and ii) increased capacity in local regulatory institutions improving compliance and fisheries management. Attracting private investors to offshore fisheries could potentially increase fishing and deplete aquatic resources. Training activities could create OHS risk. Social Risk Rating Substantial The social rating is substantial. The project is a continuation of the current PROP Phase 1. Component 1 activities largely include risks that extend to OHS, safety risks. Risk of SEA/SH is probable under civil works activities such as the extension of MFMR Headquarters, construction of the National MCS center in Noro, with an increase in labor influx. Under PROP Phase 1, the safeguards compliance have included the preparation of an ESIA/ESMP, Environmental, Social, Health and Safety (ESHS) specifications integrated into the ESMP, the preparation of CESMP and consultations in Noro for the construction of the building. The key risks have been identified and assessed under PROP Phase 1, this means that the social risk is manageable with the knowledge that meaningful consultations have Mar 24, 2022 Page 7 of 18 The World Bank Pacific Islands Regional Oceanscape Program - Second Phase for Economic Resilience (P177239) taken place and will continue to take place through the project implementation. Community engagement and regular consultations is deemed important, to ensure that the community living around the Noro building site have no grievances with the construction phase. In the Solomon Islands, land is complex, the majority of land outside of Honiara is considered customary land, while the building in Noro will be constructed on government land, there may be a potential for some tension to arise if there are complaints from community related to the construction. Reason for potential risk of tension is because of the noise complaints, land may need to be identified as a laydown area during the construction of the Noro building, this will mean that land access and use may be customary land, such arrangement will need to be discussed with the community during consultations. Provided that there will be significant community labor, the risks of child labor will remain substantial and will be monitored closely given the country context The contractor engaged for the civil works is unknown, this may pose a risk to the community as currently SIG (Solomon islands government) is monitoring the hiring of Chinese contractors. The risk of hiring a foreign contractor may delay the project and also lead to setting up workers camp near the construction site, which may increase community disruption and other more serious social risks such as SEA/SH. The SEA/SH risk rating is moderate for this project, as the risk identified for potential SEA/SH can be prevented through measures that will be put in place as part of the code of conduct for workers and implemented during the construction phase. The rating will be revisited at implementation once the contractors have been identified and hired. The installation of EMS equipment on vessels is covered by Satlink (the contractor) who has developed e-training for data analyst, this does not pose a major risk to the project but the PMU is encouraged to provide OHS training for all workers on the project. An ESMF has been prepared and includes, additional training to be provided under the project PROP Phase 2, which will include safety at sea training, first aid training, this will limit the risk of incidents, especially for activities that require travel to provinces whether it be on large vessels or small boats, incidents on the construction site, Public Disclosure construction and deployment of sub-surface FADs if MFMR decide to include more FADs under PROP Phase 2. Safety equipment will be procured or updated for the PMU to ensure that the project has the correct equipment (includes safety vests, EPIRB etc.) The activities focus largely on technical assistance (soft activities), which are positive impacts for the country and the communities involved, this includes the fisheries livelihood adaptation and diversification, the building of small –scale fisheries to ensure food security and nutrition in the Pacific, training programs, supporting research and development extension services The international E&S consultant (safeguards) will continue to provide support to the PMU. ESF instruments have been prepared including ESMF, SEP and LMP. B. Environment and Social Standards (ESSs) that Apply to the Activities Being Considered B.1. General Assessment ESS1 Assessment and Management of Environmental and Social Risks and Impacts Overview of the relevance of the Standard for the Project: The Project is expected to have largely positive E&S impact. It is expected to improve the sustainability of fisheries in the Solomon Islands. E&S impacts of construction activities under Typology 1 have been assessed via an ESMF which provides a high-level summary of risks and screening procedures to confirm site specific risks once more detail is available on scope of works. These activities could generate the following E&S risks: i) waste and hazardous materials handling and disposal (e.g. potentially asbestos management for renovation/ demolition works); ii) community safety and OHS impacts including risks due to UXO; Mar 24, 2022 Page 8 of 18 The World Bank Pacific Islands Regional Oceanscape Program - Second Phase for Economic Resilience (P177239) iii) the risk of COVID-19 transmission to workers/ the community; iv) contamination of water sources and marine water via poor drainage and management of storm water causing erosion; v) dust and noise nuisance; vi) soil erosion risk; and vii) unsustainable souring of materials and use of finite resources. Travel restrictions as a result of COVID could also challenge the monitoring of E&S risks. Operational impacts could include minor risks from operation of fisheries centers and boat sheds such as minor pollution risks (e.g. via fuel spills when refueling boats) and OHS risks. The Noro MCS Centre was assessed under the PROP 1st Phase Project in July 2020. A limited ESIA was prepared using the World Bank safeguard policies. This assessment was reviewed and updated with consideration of ESF requirements. Key E&S risks included OHS risk and construction waste management. The site is on vacant land that has been cleared of vegetation, it has also been cleared via a UXO survey. The findings of the limited ESIA were incorporated into bidding documents, a Contractor was selected and Contractor CESMP was prepared for the project. This CESMP will also be reviewed and updated to reflect ESF requirements, with the following key risks identified during the PROP 1st phase: waste management; sedimentation and erosion control; hazardous materials management; materials sourcing risks; OHS and community health and safety risks. The works were not completed due to difficulties in mobilizing to site and sourcing materials during the COVID 19 pandemic. Procurement of equipment under typology 2 will require end of life management of e-waste. The types of equipment to be procured have not yet been confirmed but if vessels or vehicles will be purchased this could create OHS risks. Aquaculture activities under Typology 3 could have some OHS impacts as a result of general aquaculture operations. Some health and safety issues exist around collection of certain species such as sea cucumbers where community Public Disclosure members attempt to collect sea cucumbers with inadequate diving equipment. Five deaths have been recorded associated with beche de mer harvest during the first month of the current season. These deaths were related to free diving without safety equipment and crocodile attacks. Other operational impacts could include minor aquatic ecology impacts as a result of aquaculture operations and marine water pollution impacts. Restocking of depleted species is expected to have positive impacts and improve the sustainability of fisheries in the Solomon Islands. FADs could contribute to overfishing if funded and could further deplete fish stocks. TA activities under typology 4 could have downstream environmental impacts as a result of broader policy changes which aim to adopt regional conservation management measures and improve fisheries management. TA activities could increase the productivity of fisheries activities in the Solomon Islands and therefore further deplete aquatic resources and ecosystems, thought environmental impacts for this typology are expected to be largely positive via improved fisheries management, improving the sustainability of fisheries, and improved capacity in local institutions which may contribute to better compliance. Training activities could create OHS risk which would need to be managed. ESHS concerns associated with the project are expected to be temporary, site specific/localized, and readily managed through the Environmental and Social Management Framework (ESMF). The ESMF includes: - Principles, guidelines and procedures to assess E&S risks and impacts of the project activities. Activities will be screened via a process detailed in the ESMF which includes an eligibility screening form, impacts screening process and requirement to develop an ESMP/ESIA or utilize the provided ESCOP as appropriate based on project risks. The ESMF and annexed templates include appropriate measures and plans to reduce, mitigate and/or offset adverse risks and impacts. - Templates for CESMPs and/or Environmental and social codes of practice (ESCOPs) for civil works and aquaculture investments that include OHS measures for workers. The OHS measures will be applicable to all project workers, Mar 24, 2022 Page 9 of 18 The World Bank Pacific Islands Regional Oceanscape Program - Second Phase for Economic Resilience (P177239) including the IA, contractors and subcontractors, community labor and primary suppliers and will be detailed in the Labor Management Procedure (LMP). Strategies outlined in the Stakeholder Engagement Plan (SEP) will recommended hygiene procedures as outlined in WHO guidance as part of COVID awareness; -Measure to address end of life waste management for equipment purchases; -assessment of the risks and impacts associated with potential aquaculture investments; -a list of activities which are ineligible for financing, including subprojects assessed to have substantial or high E&S risk; -procedures for screening and managing TA and procurement for E&S risk including downstream risks and mitigation measures to address specific risks, including requirements of the ESF and relevant local legal and good international industry practice (GIIP) in consultancy terms of reference (TOR) and bidding documents; and requirement for E&S specialists to review consultancy TOR and outputs to provide a ‘No Objection’ prior to finalization; and - capacity building plan and budget for E&S risk management -Requirement for contractors to assess sustainable construction material sources, water and energy and measures to minimize the consumption of resources. -information on the IA, including challenges experienced during the implementation of the PROP 1st phase and an assessment of their capacity to manage E&S risks and impacts; The existing ESIA for the Noro MCS Building have been adopted for the project. A gap analysis has been completed to consider any gaps in these documents with regards to ESF requirements. The country context is characterized by high rates of gender based violence. In order to minimize the risk of sexual exploitation and abuse or sexual harassment (SEA/SH) occurring due to project activities, the ESMF and associated documents will include measures such as awareness raising, and a code of practice. In addition, to address potential Public Disclosure inequities in accessing project benefits, the project operational manual, and stakeholder engagement plan, will include procedures to promote the empowerment of women and other vulnerable groups through improved voice and agency, in the planning, prioritization and implementation of subprojects. The project will have direct employees, contractors and , primary suppliers The project has developed and implemented LMP that sets out the ways in which project workers will be managed, including consultants, contractors, sub-contractors, community workers and primary suppliers. The project LMP also establishes labor guidelines for all categories of workers, and will include a Code of Conduct and functional grievance mechanism for labor grievances, drawing on national laws and regulations and international best practices, as well as ESS2 to manage employment-related complaints. The LMP will also include measures to minimize the risk of COVID transmission based on national COVID safety regulations and guidelines and the World Bank COVID-19 guidance for construction and civil works. An SEP has been prepared prior to Appraisal to ensure effective, meaningful, inclusive and culturally appropriate stakeholder engagement during project preparation and implementation. The SEP has identified groups at risk of exclusion during project preparation and effective stakeholder engagement processes during implementation, with a focus on removing barriers to access for all (especially vulnerable groups) and developing tailored processes for the participation of remote communities. The SEP includes the project Grievance mechanism (GM). The Borrower has prepared an Environmental and Social Commitment Plan (ESCP) to set out the time-bound material measures and actions required for the Project to meet objectives and principles of the ESSs. The Draft SEP, ESCP and ESMF are to be disclosed on the MFMR website in early February 2022. Mar 24, 2022 Page 10 of 18 The World Bank Pacific Islands Regional Oceanscape Program - Second Phase for Economic Resilience (P177239) ESS10 Stakeholder Engagement and Information Disclosure ESS 10 is relevant. The project recognizes the need for effective and inclusive engagement with all of the relevant stakeholders, including those who will benefit from activities under this Project.. An SEP has been prepared to engage with stakeholders on the E&S risks of the project and will be disclosed prior to appraisal on MFMR’s official websites. The SEP has identified key stakeholders (i.e. affected parties, other interested parties and disadvantaged and vulnerable groups) and describes the process and modalities for sharing information on the project activities, incorporating stakeholder feedback into the Project and reporting and disclosure of project documents. Strategies outlined in the SEP will minimize close contact and follow recommended hygiene procedures as outlined in WHO guidance as part of COVID awareness. The key risks that may be associated with the SEP activities relate to the requirements for a general understanding and implementation of occupational health and safety (OHS) for travel around the Solomon Islands, should site visits be required or travel to participate in meetings or stakeholder engagement activities. This includes fatigue, working in hot humid climates and in the tropical sun, random acts of harassment or violence, petty theft, working near or on water, traffic accidents and COVID-19 transmission risks. Inherent stakeholder risk is moderate and arises from three sources: (i) public mistrust in officials, with regard to the beche de mer harvest; (ii) perceived lack of transparency in allocation of any fisheries related infrastructure or equipment and (ii) the impact of fishing sector activity expanding in the Solomon Islands is making a way for new fishing boats to enter the Exclusive Economic Zones (EEZ). The Project has a strong focus on capacity building for MFMR staff to strengthen community outreach and engagement. Stakeholder coordination and consultation may be affected by the current COVID-19 restrictions on movement and travel. To mitigate this risk, the Project Steering Public Disclosure Committee (PSC) will include membership from the provinces and PMU staff will be in regular contact with provincial governments to ensure stakeholder engagement continues remotely to the extent possible. Further, the SEP outlines the Project’s Grievance Mechanism (GM), which is the same GM process used under the current PROP project. All grievances, concerns will will be monitored by the PROP Project Coordinator and the process will enable stakeholders to raise project related concerns and grievances under both PROP Phase 1 and 2 projects. The Draft SEP is to be disclosed on the MFMR website in early February 2022. B.2. Specific Risks and Impacts A brief description of the potential environmental and social risks and impacts relevant to the Project. ESS2 Labor and Working Conditions ESS2 is relevant due to potential risks on labor and working conditions for all types of workers. The project will largely be working with government civil servants and contracted workers. The infrastructure works that will be done, will require contracted workers. Labor and working conditions measures will be in place particularly for workers employed by contractors, who are unlikely familiar with core provisions for labor and working condition risk management aligned with ESS2. Labor risks are related to OHS, due to possible accidents or incidents arising from project activities such as construction works. Under the project, staff can be frequently exposed to safety risks when they are required to travel to the provinces in most cases by mode of boat or small aircraft. Other risks also Mar 24, 2022 Page 11 of 18 The World Bank Pacific Islands Regional Oceanscape Program - Second Phase for Economic Resilience (P177239) associated with the stakeholder engagement should site visits be required or travel to islands include fatigue, working in hot humid climates, in the tropical sun and random acts of harassment or violence, petty theft, working near or on water, traffic accidents and risk of COVID-19 transmission. Engaging minor workers is a risk to the project as activities are largely community informed-, and monitoring of community workers may not be as rigorous. To mitigate occupational health and safety risks, all works will be completed in accordance with the World Bank Environmental Health and Safety General Guidelines and any aquaculture works will comply with the World Bank Environmental Health and Safety Guidelines for Aquaculture. The Project EMSF has been prepared with consideration of these guidelines. OHS measures are addressed in the ESMF, and will be further addressed in subproject specific CESMPs and ESCOPs (where applicable) and will be applicable to all project workers, including contractors and subcontractors, and community labor. Specific attention will be given to sensitization and training of community workers on OHS risks, and the technical knowledge and behavioral awareness to minimize the risks. Project travel safety procedures will be required and the project will fund all necessary safety equipment associated with project travel, including vessels if necessary. During this time of COVID, special attention will be given to workers as measures to mitigate the spread of COVID will apply to all subprojects. Clear communication of risks and prevention measures will be included within training and stakeholder engagement activities. The project will follow WHO guidance tools for COVID preparedness and response. Construction activities will be completed in accordance with the WB ESF Interim Note: COVID-19 Considerations in Construction/ Civil Works Projects . To meet ESS2 requirements, an LMP has been prepared prior to appraisal. This includes identification of worker types, a brief summary of labor laws in Solomon Islands, (Labor Act Cap 73, 1978) and outline the working conditions Public Disclosure to be applied on the Project. The OHS measures will be designed and implemented to address: (a) identification of potential hazards to project workers; (b) provision of preventive and protective measures, including modification, substitution, or elimination of hazardous conditions or substances; (c) training of project workers and maintenance of training records; (d) documentation and reporting of occupational accidents, diseases and incidents; (e) emergency prevention and preparedness and response arrangements to emergency situations; and (f) remedies for adverse impacts such as occupational injuries, disability and disease. The ESCP requires that all tender documents for infrastructure include budget provisions for all OHS provisions as well as other costs associated with labor management (e.g. the operation of a grievance redress mechanism). The project will regularly monitor the contractor’s performance in implementing OHS measures. Project’s regular reporting system should include project’s performance on the OHS implementation. In accordance with ESS2 and national law, the minimum age of project workers for non-hazardous work under the project is set at 15, and the minimum age of project workers eligible for construction works is set at 18. The use of forced labor or conscripted labor on the project will also be prohibited, this is outlined in the LMP to distinguish between any labor work undertaken under community informed projects and civil works. Provided that there will be significant community labor, the risks of child labor will remain substantial and will be monitored closely given the country context. SEA/SH Risk is considered moderate even though minor civil works may bring rise to potential labour influx, the project is not expected to have a high labour influx. Mitigation methods to address these will be site specific and will be outlined in the PROP II ESMP and CESMP for contractors. The LMP also includes a grievance mechanism (GM) which will be provided to all workers and, measures will be in place for all workers (including contractors) to access the GM to raise any concerns related to the project. Mar 24, 2022 Page 12 of 18 The World Bank Pacific Islands Regional Oceanscape Program - Second Phase for Economic Resilience (P177239) ESS3 Resource Efficiency and Pollution Prevention and Management Construction of small-scale infrastructure and/or rehabilitations activities under typology 1 may result in design, construction and operation impacts. Inadequate designs could result in the inefficient consumption of resources such as construction materials or energy, increased risk of hydrocarbon spills during construction and operations and poorly managed run-off, greywater and sewage. During construction the works could generate some pollution and other adverse environmental impacts. For example, pollution may arise from mishandling or inappropriate disposal of construction waste including oils, cement waste and hazardous materials (including potentially asbestos). Water sources could be contaminated by the project activities due to poor management practices, particularly for infrastructure developments next to or over water bodies, or via fuel or oil leaks or spills during refueling of vessels, should the project fund purchase of vessels. Sourcing of construction materials from unsustainable sources could create resource efficiency impacts. Coral rock and coastal sand mining will be avoided in this project. During implementation of the PROP 1st phase challenges have been encountered in sourcing materials. Construction materials such as sand, gravel and timber are mostly imported due to limited supply of materials within the Solomon Islands. Construction materials have downstream impacts such as dust pollution, noise pollution, fuel, chemical and hazardous material contamination in the country of origin. Building materials for construction of the Noro MCS building were purchased and stored in New Zealand but were not shipped to Solomon Islands due to major delays in the global shipping industry (related to the COVID-19 pandemic) as well as limited long-term storage options upon delivery in Solomon Islands. These materials are intended to be used for the project once they arrive in the Solomon Islands. Public Disclosure Operational phase risks include the consumption of water and energy and contamination from poorly managed run off, waste generation, greywater generation or contaminated groundwater from poorly managed septic systems, discharges and emissions, and contamination of ground and surface water with hydrocarbons (fuels and oils) from leaks or spills from boats and hydrocarbon storage. The project will also support the development of the aquaculture sector. Aquaculture operations have the potential to reduce marine water quality depending on the types of investments. The project will fund restocking of depleted species which is expected to have positive impacts and improve the sustainability of fisheries in the Solomon Islands. Should the installation of FADs be funded, this could contribute to overfishing and could further deplete fish stocks. FAD Operational Guidelines for Communities were completed under PROP 1st Phase and could be utilized to minimize risks. The project may require importation of materials or transport of materials between islands which may create risks of introduction of invasive species. The project will include procurement of equipment including radar monitoring, remote camera monitoring technology and ICT equipment. This equipment will require end of life management of e-waste which poses a waste management risk. TA activities are expected to be positive and beneficial as they will improve the capacity to manage fisheries in the Solomon islands and could increase compliance. TA activities could potentially increase the productivity of fisheries activities in the Solomon Islands, should private sector investment in fisheries be achieved. This could further deplete Mar 24, 2022 Page 13 of 18 The World Bank Pacific Islands Regional Oceanscape Program - Second Phase for Economic Resilience (P177239) aquatic resources and ecosystems, although the TA activities aim to improve sustainability and fisheries management. Design risks under typology 1 are considered in the ESMF. The ESCP requires that TOR for infrastructure designs are reviewed to be compliant with the ESF, national legislation and GIIP requirements. The ESMF requires construction and renovation projects to address construction waste management via the preparation and implementation of instruments appropriate to the scale of works. Materials sourcing is addressed in the ESMF which requires the contractor to assess and propose sustainable materials sources as part of their CESMP which will be submitted to the Bank for review and no objection. The limited ESIA prepared for the Noro MCS Centre has been updated to meet ESF requirements and address these risks and proposes mitigation measures for resource efficiency and pollution impacts including construction waste management and materials sourcing. Operational risks and appropriate mitigation measures will be addressed in accordance with the ESMF screening process. Which requires that projects are screened for eligibility and E&S risks and that an E&S instrument is completed to outline the proposed mitigation strategy as appropriate to the scale of works. ESS 3 promotes the efficient use of resources such as water, energy and raw materials by avoiding or minimizing pollution from project activities. To meet the ESS3 objectives, the Borrower will adopt measures specified in the World Bank Group’s Environmental, Health, and Safety (EHS) General Guidelines (2007) to optimize energy usage, to the extent technically and financially feasible. The ESMF screening process requires consideration of opportunities to conserve water and energy as much as is technically and financially feasible and to promote accessibility, safety and Public Disclosure climate change considerations in the design and construction of civil works. The ESMF also address end of life waste management for equipment purchases. The downstream implications of technology and infrastructure investments (such as the installation of FADs are also considered in the ESMF screening processes .. Greenhouse gas emissions (GHG) are not expected to increase significantly as a result of this project and therefore assessment of GHG emissions under ESS 3 will not be required. ESS4 Community Health and Safety ESS4 is relevant as some activities under the project will take place in communities in the provinces (Western Province). There is also the potential for emergency events related to natural disaster and climate risks. Under PROP Phase 1, meaningful consultations have taken place to discuss the construction of the MCS center. While the site for the construction is on government land, the communities will be directly or indirectly impacted by the construction works. There is a risk associated to noise, pollution, community disruption, project-related traffic incidents, that may impact on the safety of the communities in Noro. To mitigate health and safety risks to the community, all works will be completed in accordance with the World Bank Environmental Health and Safety General Guidelines (which include guidance around occupational health and safety and community health and safety.) Any aquaculture works will comply with the World Bank Environmental Health and Safety Guidelines for Aquaculture. The Project EMSF has been prepared including mitigations which meet the requirements of these guidelines. Although the project does not anticipate the labor influx to be high, some risk of SEA/SH may rise. The rating is moderate for this project, as the risk identified for potential SEA/SH can be prevented through measures that will be Mar 24, 2022 Page 14 of 18 The World Bank Pacific Islands Regional Oceanscape Program - Second Phase for Economic Resilience (P177239) put in place as part of the code of conduct for workers and implemented during the construction phase. The rating will be revisited at implementation once the contractors have been identified and hired. COVID-19 transmission can be a risk to the communities, especially the vulnerable groups living in the provinces. Other health concerns related to fisheries, is ciguatera which is a form of food poisoning from eating fish that is contaminated by the ciguatera toxin, this is known through the Pacific and the chance for the project activities to enable this food borne disease is low, the project through community health awareness may want to include information related to fishing as part of the materials produced for the trainings. The SEP identifies key stakeholders which include members of the community affected by the project and consultations will take place to ensure that information regarding project activities have been disclosed and meaningful consultations are in place to ensure that the community is aware of the community safety and health impacts from the project. A GM is in place to handle any community grievances and concerns. ESS5 Land Acquisition, Restrictions on Land Use and Involuntary Resettlement ESS5 is not relevant as the construction of the MCS building is on government land. There is a potential that if MFMR decide to include other contructions activities, ESS5 will be relevant to the project and depending on the nature and scale of the activity, which will then require the preparation of a resettlement plan (RP) to take into account the land impacts involved for the construction of new buildings. Public Disclosure The social mitigation actions for other infrastructure investments will be captured in the preparation of ESMPs that are specific to the activities envisaged. ESS6 Biodiversity Conservation and Sustainable Management of Living Natural Resources ESS 6 is considered relevant. Coastal ecosystems in the PIC produce some of the world’s most significant marine biodiversity, yet ecosystem health is diminishing with decrease in water quality from erosion, runoffs, and marine pollution, as monitored and reported by the 2020 State of the Environment in the Pacific Islands Regional Report. Degradation of lagoon, reef and essential coastal fish and shellfish habitats, all contribute to reduce the natural productivity of aquatic living resources and the safety of seafood products. Solomon Islands has an exclusive economic zone (EEZ) of 1.58 million square kilometers (CIA 2014), the second largest in the Pacific. The total area of seagrass is at least 100 km2 (McKenzie et al. 2006), mangroves occupy about 650 km2 (Warren-Rhodes et al. 2011) and the total coral reef area is 3591 km2 (Sulu et al. 2014) . The Solomon Islands fisheries are dependent on ecosystem services and the health of marine ecosystems for the provision of food. Tuna is an important source of revenue for the Solomon Island Government and an important source of employment and food security for its citizens. The Solomon Islands tuna fishery is comprised of three distinct sectors; purse-seine, long line and pole and line. The 2020 FFA tuna fishery report card states that the four commercial tuna species, skipjack, yellowfin, bigeye and South Pacific albacore tuna are healthy and not overfished. The assessment also indicated that overfishing is not currently occurring . TA activities under the project aim to strengthen governance and ecological sustainability of the Solomon Islands coastal resources. These activities should have an overall positive impact via improved management of the country’s Mar 24, 2022 Page 15 of 18 The World Bank Pacific Islands Regional Oceanscape Program - Second Phase for Economic Resilience (P177239) marine ecosystems through improved compliance and enforcement of legislative requirements and strengthening of management processes. TA will also fund development of initiatives allowing the nation to derive greater economic and social benefits from the use of its offshore fisheries resources for its people through analysis related to onshoring of tuna-related activities and identification of new investment opportunities to add value to offshore fisheries resources. Attracting new investors to offshore fisheries resources could potentially increase fishing and therefore further deplete aquatic resources and ecosystems. The exact locations of project infrastructure investments are not known (with the exception of the Noro MCS Center which is situated on a vacant block of land that has previously been cleared of remanent native vegetation and is heavily disturbed, and is therefore not anticipated to have impacts on biodiversity) and construction of infrastructure could result in degradation of biodiversity via the direct removal of vegetation or via erosion, degradation of surface, groundwater or marine water quality. Infrastructure works are expected to be small in scale (construction and renovation of buildings and boat sheds) and therefore impacts on natural habitats are expected to be limited and should be easily avoidable through appropriate screening. Aquaculture investments could potentially result in very minor marine water quality impacts leading to degradation of marine ecosystems or ecosystem services, depending on the types and size of investments under the project. Exclusion criteria have been established in the ESMF for activities that: involve the introduction of alien species; are assessed to have high or substantial risk of impacts to biodiversity; and to avoid and minimize impacts on natural habitats, biodiversity and legally protected natural resources. The risks associated with aquaculture activities have been assessed in the ESMF and key risks include potential reduced marine water quality and potential contirbution to overfishing via funding of FADs. The ESMF includes screening criteria for aquaculture activities and mitigation measures appropriate to the scale of impacts. Public Disclosure The ESMF also includes procedures for screening and managing TA activities for social and environmental risk including downstream risks and mitigation measure to address specific risks, including requirements of the ESF and relevant local legal and good international industry practice (GIIP) in consultancy TOR and bidding documents; and requirement for E&S specialists to review consultancy TOR and outputs to provide a ‘No Objection’ prior to finalization. These commitements are also reflected in the ESCP. ESS7 Indigenous Peoples/Sub-Saharan African Historically Underserved Traditional Local Communities While ESS7 is relevant , the vast majority of the population (95%) are indigenous melanesians, and as such the majority of the project beneficiaries would also be indigenous according to the criteria of ESS7. Therefore neither an IPPF or sub-project IPPs will not be required. Instead, the key requirements of ESS7 (e.g. culturally appropriate mechanisms of engagement), have been incorporated into project design and included into the ESMF and SEP. ESS8 Cultural Heritage ESS8 is not relevant under the project. Project activities are unlikely to affect the tangible and intangible cultural heritage and/or access to known physical cultural resources such as structures of spiritual value to communities, objects and structures having high landscape values etc. To address unknown archeological or historical remains and Mar 24, 2022 Page 16 of 18 The World Bank Pacific Islands Regional Oceanscape Program - Second Phase for Economic Resilience (P177239) objects, including graveyards and/or individual graves, Chance Find Procedures (for infrastructure investments) are included in the ESMF. ESS9 Financial Intermediaries ESS9 is not currently considered relevant for the project. C. Legal Operational Policies that Apply OP 7.50 Projects on International Waterways No OP 7.60 Projects in Disputed Areas No B.3. Reliance on Borrower’s policy, legal and institutional framework, relevant to the Project risks and impacts Is this project being prepared for use of Borrower Framework? No Areas where “Use of Borrower Framework” is being considered: Public Disclosure Use of Borrower E&S Framework is not being considered for this project. IV. CONTACT POINTS World Bank Contact: Xavier F. P. Vincent Title: Lead Fisheries Specialist Telephone No: +1-202-473-2426 Email: xvincent@worldbank.org Contact: Nina Doetinchem Title: Senior Environmental Specialist Telephone No: 5740+6453 / 612-923-56453 Email: ndoetinchem@worldbank.org Borrower/Client/Recipient Borrower: Solomon Islands Implementing Agency(ies) Implementing Agency: Ministry of Fisheries and Marine Resources (MFMR) V. FOR MORE INFORMATION CONTACT Mar 24, 2022 Page 17 of 18 The World Bank Pacific Islands Regional Oceanscape Program - Second Phase for Economic Resilience (P177239) The World Bank 1818 H Street, NW Washington, D.C. 20433 Telephone: (202) 473-1000 Web: http://www.worldbank.org/projects VI. APPROVAL Task Team Leader(s): Xavier F. P. Vincent, Nina Doetinchem Practice Manager (ENR/Social) Susan S. Shen Cleared on 28-Jan-2022 at 18:08:40 GMT-05:00 Safeguards Advisor ESSA Susan S. Shen (SAESSA) Concurred on 24-Mar-2022 at 02:12:0 GMT-04:00 Public Disclosure Mar 24, 2022 Page 18 of 18