The World Bank Sao Tome e Principe Transport Sector Development and Coastal Protection Project (P161842) REPORT NO.: RES37246 RESTRUCTURING PAPER ON A PROPOSED PROJECT RESTRUCTURING OF SAO TOME E PRINCIPE TRANSPORT SECTOR DEVELOPMENT AND COASTAL PROTECTION PROJECT APPROVED ON MARCH 22, 2019 TO MINISTRY OF PLANNING, FINANCE AND BLUE ECONOMY TRANSPORT AFRICA Regional Vice President: Hafez M. H. Ghanem Country Director: Elisabeth Huybens Senior Global Practice Director: Guangzhe Chen Practice Manager/Manager: Nicolas Peltier-Thiberge Task Team Leader: Mustapha Benmaamar, Nicolas Benjamin Claude Desramaut The World Bank Sao Tome e Principe Transport Sector Development and Coastal Protection Project (P161842) ABBREVIATIONS AND ACRONYMS Agência Fiduciária de Administração de Projectos AFAP Fiduciary Agency for Project Administration Grupos de Interesse de Manutenção de Estradas GIME Roads Maintenance Intervention Groups Instituto Nacional das Estradas INAE National Institute of Roads ToR Terms of Reference The World Bank Sao Tome e Principe Transport Sector Development and Coastal Protection Project (P161842) BASIC DATA Product Information Project ID Financing Instrument P161842 Investment Project Financing Original EA Category Current EA Category Partial Assessment (B) Partial Assessment (B) Approval Date Current Closing Date 22-Mar-2019 30-Jun-2024 Organizations Borrower Responsible Agency Ministry of Planning, Finance and Blue Economy INAE (instituto Nacional das Estradas),AFAP Project Development Objective (PDO) Original PDO The proposed PDOs is to improve connectivity, sustainability, safety and climate resilience of selected roads. OPS_TABLE_PDO_CURRENTPDO Summary Status of Financing Net Ln/Cr/Tf Approval Signing Effectiveness Closing Commitment Disbursed Undisbursed IDA-D4460 22-Mar-2019 30-Jun-2024 29.00 0 28.97 Policy Waiver(s) Does this restructuring trigger the need for any policy waiver(s)? No The World Bank Sao Tome e Principe Transport Sector Development and Coastal Protection Project (P161842) I. PROJECT STATUS AND RATIONALE FOR RESTRUCTURING 1. This Paper seeks approval to restructure the São Tome and Principe Transport Sector Development and Coastal Protection Project (P161842). The project is gender informed but it is not gender tagged. Project preparation has identified several gender gaps that the project will contribute to reducing, including: (i) a focus on improved mobility and market access for women through the road rehabilitation component; (ii) improved pedestrian infrastructure, which women are more likely to use than men; and (iii) improving women’s livelihoods by creating economic opportunities through routine roadside maintenance activities. However, the project indicators for monitoring the effect of the proposed gender activities to demonstrate a results’ chain/ action to close or reduce the identified gender gaps were not well aligned with the project activities. The proposed restructuring aims to better reflect the impacts of the project’s gender dimensions through more targeted indicators in the result frameworks. As the proposed changes will only modify intermediate results indicators, the restructuring will remain at level 2. 2. The project was approved by the Board on March 22, 2019. The financing agreement was signed on April 9, 2019. The project agreement was signed by the National Institute of Roads (INAE) and by the Fiduciary Agency for Project Administration (AFAP) on April 22, 2019. The deadline for effectiveness of the Legal Agreements is July 8, 2019 (i.e., 90 days after the signature date of the Financing Agreement). The current closing date is June 30, 2024. The Government, through AFAP, is working towards meeting the pending project effectiveness conditions, including (i) the preparation of the Project Operations Manual, (ii) the issuance of a legal opinion satisfactory to the Bank by the attorney general and (iii) the subsidiary agreement between AFAP and the Ministry of Planning, Finance and Blue Economy. Copies of the legal opinion and the subsidiary agreement have been provided and are under review by the Association. 3. There are no changes proposed to the components of the project, which remain the same and include the following, with their current status: a. Component 1: Road Sector Institutional Strengthening. A set of Terms of References (ToR) to undertake studies related to the project institutional components are being finalized, including: (i) the ToR to develop the climate vulnerability assessment of the road network and the road assets management system; (ii) the ToR for an individual consultant to carry out the needs assessment of GIME network; and (iii) the ToR for an individual consultant to support INAE and AFAP during the bid evaluation processes for the construction work and the supervision of works.] b. Component 2: São Tomé – Guadalupe Road Rehabilitation: AFAP and INAE have finalized the Detailed Engineering Design and the Bidding Documents for the rehabilitation and the strengthening of the climate resilience of National Road 1 from São Tomé to Guadalupe. Therefore, the procurement process is expected to be launched soon, with the civil works contracts expected to be signed by November 2019. The ToR and the Request for Proposals for the construction supervision consultant are also finalized, and this procurement process is also expected to be launched soon. The supervision consultant’s contract will have to be signed before the start of the civil works. INAE, with support of AFAP, is also working on the implementation of the GBV strategy, for which a NGO with relevant experience and expertise will be hired to provide tailored training to workers and inform communities to mitigate the risk of GBV, and to prepare a GBV action plan acceptable to IDA and INAE for adoption within six months after the Effective Date. During the EN1 rehabilitation work, 19 informal vendors who are selling fruits and products along the road will be temporarily economically affected. Therefore, these vendors will need to be compensated in accordance The World Bank Sao Tome e Principe Transport Sector Development and Coastal Protection Project (P161842) with the RAP before the road rehabilitation work can commence. A RAP has prepared to propose measures to support the project-affected people (PAP). It has been consulted and disclosed in country and at the World Bank’s website on February 21, 2019. c. Component 3: Project Management and Implementation Support: AFAP is responsible for the fiduciary aspects of the project (e.g., procurement, financial management and accounting) while INAE is in charge of the technical coordination. The Monitoring and Evaluation officer has already been recruited and is facilitating coordination between INAE, AFAP and other project beneficiaries. A full-time social safeguards specialist and a full-time environmental safeguards specialist to work within INAE and report to both INAE and AFAP will also be recruited. d. Component 4: Contingent Emergency Response component (CERC): The CERC-specific implementation plan and manual and any Safeguards instruments as may be required, would need to be prepared and provided to the Association for review and approval before the government could use the CERC in case of an eligible crisis or emergency. II. DESCRIPTION OF PROPOSED CHANGES 4. The proposed restructuring will entail the revision of the project’s results framework to include a new indicator to monitor the impacts of the project on improvement of women’s employment, particularly in the Roads Maintenance Intervention Groups (Grupos de Interesse para Manutenção de Estradas, or GIMEs), including the share of GIME management positions held by women. 5. Labor-intensive performance based GIMEs have proven to be an efficient and sustainable method of maintaining roads while simultaneously providing employment to local communities and women in particular. The project will monitor the third dimension of the gender gaps identified during project preparation (“improving women’s livelihoods by creating economic opportunities through routine roadside maintenance activities”) through the project’s results framework. Challenges in employing women have been identified as the main gender gap to which the project could positively contribute. Although in STP women are economically active in various sectors, they are less likely to be formally employed than men, are usually confined to (self) employment in the informal sector and do not enjoy the same access as men to financial resources needed to develop their income generating activities. Currently, the only indicator included in the project’s results framework related to gender is “the percentage of women among the members of GIMEs being trained (including on time and project management) to provide better job opportunities”. This indicator captures the importance given by the project to strengthening the skills of women to be employed in road maintenance at the different levels of responsibility. However, this indicator cannot measure the impact of those trainings on employment opportunities for women, and therefore doesn’t reflect the whole results chain between the proposed gender-targeted activities and the expected outcomes in order to meet the gender tag requirements. 6. The proposed project restructuring will therefore introduce an additional intermediate results indicator to monitor the project’s impact on improvement of women employment opportunities: The World Bank Sao Tome e Principe Transport Sector Development and Coastal Protection Project (P161842)  Share of GIME management positions held by women (Managers, Brigade Leader and Treasurers): 16% at (Baseline year, 2019) to 32% at (Target year, 2024). 7. The proposed new intermediate results indicator will allow the impact of the tailored trainings provided by the project on the share of women holding GIME management positions (Treasurers, Brigade Leaders and Managers) to be monitored. 8. The social assessment carried out during project preparation revealed that the share of women employed by GIMEs represents 50% of the total workforce (689 women vs 690 men). However, the share of women holding management positions is much lower: only 16% (18 out of 110) of the brigade leaders, 23% (7 out of 31) of the Treasurers and 6% (2 out of 31) of the managers are women. The proposed additional results indicator is to double the share of GIME management positions held by women by the closing date of June 30, 2024. Should the total number of GIME management positions without regard to gender remain the same, this would mean that the total number of women holding GIME management positions is expected to increase from 27 positions in 2019 to 54 positions in 2024, broken down across the three specific GIME management positions as follows: six managers (20% of all managers), 37 brigade leaders (33% of all brigade leaders) and 11 treasurers (35% of all treasurers). I. SUMMARY OF CHANGES Changed Not Changed Results Framework ✔ Implementing Agency ✔ DDO Status ✔ Project's Development Objectives ✔ Components and Cost ✔ Loan Closing Date(s) ✔ Cancellations Proposed ✔ Reallocation between Disbursement Categories ✔ Disbursements Arrangements ✔ Disbursement Estimates ✔ Overall Risk Rating ✔ Safeguard Policies Triggered ✔ EA category ✔ Legal Covenants ✔ Institutional Arrangements ✔ The World Bank Sao Tome e Principe Transport Sector Development and Coastal Protection Project (P161842) Financial Management ✔ Procurement ✔ Implementation Schedule ✔ Other Change(s) ✔ Economic and Financial Analysis ✔ Technical Analysis ✔ Social Analysis ✔ Environmental Analysis ✔ IV. DETAILED CHANGE(S) . The World Bank Sao Tome e Principe Transport Sector Development and Coastal Protection Project (P161842) . Results framework COUNTRY: Sao Tome and Principe Sao Tome e Principe Transport Sector Development and Coastal Protection Project Project Development Objectives(s) The proposed PDOs is to improve connectivity, sustainability, safety and climate resilience of selected roads. Project Development Objective Indicators by Objectives/ Outcomes RESULT_FRAME_TBL_PDO Indicator Name DLI Baseline End Target Improve road connectivity Reduction in vehicle operating cost on the project road section 0.33 0.29 for cars per km (Amount(USD)) Vehicle operating cost on the project road section for trucks per 0.90 0.76 km (Amount(USD)) Average travel time to go from São Tome to Guadalupe by car 19.00 17.00 (Minutes) Improve road sustainability Road asset management system developed and implemented to No Yes inform the annual road maintenance program (Yes/No) Improve road safety on the project road section and on ST road network by reducing accident risks Percentage of road accident black spots corrected based on the number of small-scale road safety interventions on the road 0.00 50.00 network (Percentage) Improve resilience of project roads to climate and disaster risk Length of roads made resilient to climate and disaster risk 0.00 13.30 (Kilometers) The World Bank Sao Tome e Principe Transport Sector Development and Coastal Protection Project (P161842) PDO Table SPACE Intermediate Results Indicators by Components RESULT_FRAME_TBL_IO Indicator Name DLI Baseline End Target Component 1: Institutional strengthening Climate vulnerability assessment developed and used to inform No Yes maintenance and future investment strategies (Yes/No) Number of maintenance community groups trained to use innovative techniques (including using eco-system based 0.00 30.00 appraoches) for road maintenance and stabilization and coastal protection (Number) Percentage of women among the members of GIMEs being trained (including on time and project management) to 0.00 50.00 provide better job opportunities (Percentage) Updated road asset management system in place and No Yes implemented to prepare road maintenance programs (Yes/No) Adequate equipment used for traffic surveys and road asset No Yes inventory conditions (Yes/No) Road Safety Strategy prepared, and start of implementation of its No Yes action plan (Yes/No) Climate resilience design guidance manual prepared and piloted No Yes (Yes/No) Number of small scale interventions piloted to increase resilience 0.00 10.00 of the road network (Number) Share of GIME management positions held by women 16.00 32.00 (Managers, Brigade Leader and Treasurers) (Percentage) Action: This indicator is New Rationale: The World Bank Sao Tome e Principe Transport Sector Development and Coastal Protection Project (P161842) RESULT_FRAME_TBL_IO Indicator Name DLI Baseline End Target The proposed new intermediate results indicator will allow the impact of tailored trainings (including on team management, leadership and financial literacy), provided by the project on the share of women holding GIME management positions (treasurers, brigade leaders and managers) to be monitored. Component 2: Sao-Tome - Guadalupe road rehabilitation Roads rehablitated (CRI, Kilometers) 0.00 13.30 Roads rehabilitated - rural (CRI, Kilometers) 0.00 6.25 Roads rehabilitated - non-rural (CRI, Kilometers) 0.00 7.05 Length of road with drainage condition improved (with construction of new channel or new and upgraded drainage 0.00 13.30 outfall channels) (Kilometers) Grievances responded an/or resolved within the stipulated 0.00 100.00 service standards (Percentage) Total length of sidewalks built or rehabilitated (Kilometers) 0.00 14.40 IO Table SPACE