The World Bank Implementation Status & Results Report LB-Environmental Pollution Abatement Project (P143594) LB-Environmental Pollution Abatement Project (P143594) MIDDLE EAST AND NORTH AFRICA | Lebanon | Environment & Natural Resources Global Practice | IBRD/IDA | Investment Project Financing | FY 2015 | Seq No: 10 | ARCHIVED on 28-Feb-2019 | ISR36173 | Implementing Agencies: Ministry of Finance, Ministry of Environment, Central Bank Key Dates Key Project Dates Bank Approval Date: 01-Aug-2014 Effectiveness Date: 28-Jan-2016 Planned Mid Term Review Date: 30-Mar-2017 Actual Mid-Term Review Date: 11-Apr-2018 Original Closing Date: 31-Mar-2021 Revised Closing Date: 31-Mar-2021 pdoTable Project Development Objectives Project Development Objective (from Project Appraisal Document) The development objectives of the project are to assist the Borrower in: (a) reducing industrial pollution in targeted Industrial Enterprises; and (b) strengthening the monitoring and enforcement capabilities of the MOE. Has the Project Development Objective been changed since Board Approval of the Project Objective? No Components Table Name A. Technical Assistance (parallel financing):(Cost $3.00 M) B. Investment Sub-projects (IBRD):(Cost $15.00 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Moderately Satisfactory Overall Implementation Progress (IP) Moderately Unsatisfactory Moderately Satisfactory Overall Risk Rating Substantial Substantial Implementation Status and Key Decisions The project was ratified by Parliament on November 13, 2015 and became effective on January 28th, 2016. In spite of delays in the early stages of implementation since effectiveness in 2016, the project has been able to build a strong pipeline of sub-projects during the course of the 2018 calendar year. To date, 3 sub-projects are completed and 3 more are under implementation. Total disbursements amount to US$ 6.48 million (43% of project amount). Two additional sub-projects worth US$ 4.1 million are in the final stages of review at Banque du Liban (BdL) and expected to be 2/28/2019 Page 1 of 7 The World Bank Implementation Status & Results Report LB-Environmental Pollution Abatement Project (P143594) approved by March. The pipeline includes five more potential sub-projects which, once materialized, would bring disbursement to 100% of project amount . A project restructuring to refine the results framework was completed on June 29, 2018. 2/28/2019 Page 2 of 7 The World Bank Implementation Status & Results Report LB-Environmental Pollution Abatement Project (P143594) Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance -- Moderate Moderate Macroeconomic -- Moderate Moderate Sector Strategies and Policies -- Moderate Moderate Technical Design of Project or Program -- Substantial Substantial Institutional Capacity for Implementation and Sustainability -- High High Fiduciary -- Moderate Moderate Environment and Social -- Moderate Moderate Stakeholders -- High High Other -- -- -- Overall -- Substantial Substantial Results 2/28/2019 Page 3 of 7 The World Bank Implementation Status & Results Report LB-Environmental Pollution Abatement Project (P143594) PDO Indicators by Objectives / Outcomes Reducing industrial pollution in targeted Industrial Enterprises IN00675247 ►Industrial waste reduced under the project in the targeted enterprises (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 50.00 Date 01-Aug-2014 17-Dec-2018 17-Dec-2018 31-Mar-2021 From the disbursed projects as of the 6 December 2018, one project - Wilco involves Rendering Facility has been constructed and will treat 100% of the waste from the facility. Since there is only one project in the current pipeline dealing with this type of waste, the percentage is 100%. Comments: Moved from intermediate level to PDO level to measure industrial waste reduction outcomes and wording modified to remove ‘municipal’. Since the pipeline is not defined at this time, a 50% overall pollution reduction is proposed for the target instead of absolute number of tons. IN00675249 ►Particulate Matter reduction achieved under the project in the targeted enterprises (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 30.00 30.00 50.00 Date 01-Aug-2014 06-Dec-2018 06-Dec-2018 31-Mar-2021 Based on the following projects that have have been disbursed, completed and operational, Cimenterie Nationale (first Sub-Project), Sicomo and Zinaline and are completed and operational. Based on the pollution monitoring reports of these industires received by 6 December 2018 and provided by the industries compared to the baseline, the reduction in PM is 95%, exceeding the target. However there are two more projects that should be coming into operation Cimenterie Nationale (second Sub-Project) and Comments: Ciment de Sibline. Of the 5 sub-projects, three are operational and record over 90% in pollution reduction. Thus, the actual percentage is 30% thus far This indicator was refined to make it outcome oriented to measure pollution reduction impact. Since the pipeline was not defined at that time, a 50% overall pollution reduction was proposed for the target instead of absolute number of tons. IN00675251 ►BOD/COD reduction achieved under the project in the targeted enterprises (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 50.00 Date 01-Aug-2014 06-Dec-2018 06-Dec-2018 31-Mar-2021 Based on the current pipeline, the following project have been disbursed, Kassatly Chtaura and under construction and the Liban Lait project is in process and expected to disburse in 2019. The potential for Comments: the following projects to disburse in 2019 are Chateau Ksara, Master Chips and Ghandour all aiming to reduce their BOD/COD levels to achieve the national limit values. Strengthening the monitoring and enforcement capabilities of the MOE IN00675248 ►Increase in number of non-compliant operational enterprises addressed in letters from MOE to MOI/ Ministry of interior and municipalities, governors-municipalities and environmental prosecutors (Percentage, Custom) 2/28/2019 Page 4 of 7 The World Bank Implementation Status & Results Report LB-Environmental Pollution Abatement Project (P143594) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 55.00 55.00 50.00 Date 01-Aug-2014 06-Dec-2018 06-Dec-2018 31-Mar-2021 Based on the number of enforcement letters sent to non-compliant industries has seen an increase in such correspondence being communicated, due to strengthened capacity of the Ministry of Environment in their monitoring and enforcement. This measures the increase in the number of non-compliant operational enterprises addressed in letters from MOE to MOI/ Ministry of interior and municipalities, governors-municipalities, environmental Comments: prosecutors to measure strengthened capacity for enforcement. These letters have specific recommendations on actions and deadlines to bring enterprises into compliance with EMP, permitting or compliance decree. Since MOE actually does not impose penalties, fines, closure etc. they can only make recommendations to the environmental prosecutors, Governor, or MOI. A baseline will be taken now of the number of action letters sent in a year. IN00675250 ►Enterprises financed through the project aiming towards the environmental compliance Decree no. 8471-2012 (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 5.00 5.00 10.00 Date 01-Aug-2014 06-Dec-2018 06-Dec-2018 31-Mar-2021 Based on the current disbursement, there are 5 enterprises that are either completed or under implementation. The indicator indicates that these are enterprises that are working towards complying with the decree and Comments: may not necessarily receive the Environmental Compliance Certificate (ECC). Target is also revised to a more realistic number. Intermediate Results Indicators by Components Component A – Technical Assistance IN00675252 ►Guidelines and tools for environmental monitoring/compliance for specific industrial sectors developed (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 8.00 8.00 9.00 Date 01-Aug-2014 17-Dec-2018 17-Dec-2018 31-Mar-2021 IN00675254 ►People trained on environmental compliance/ monitoring/ enforcement and awareness (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 55.00 55.00 100.00 Date 01-Aug-2014 17-Dec-2018 17-Dec-2018 31-Mar-2021 IN00675256 ►Industrial database including monitoring, permitting, and enforcement data operational (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target 2/28/2019 Page 5 of 7 The World Bank Implementation Status & Results Report LB-Environmental Pollution Abatement Project (P143594) Value No No No Yes Date 01-Aug-2014 17-Dec-2018 17-Dec-2018 31-Mar-2021 Component B – Investments (Sub-projects) IN00675253 ►Participating banks lending to enterprises (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 3.00 3.00 4.00 Date 01-Aug-2014 17-Dec-2018 17-Dec-2018 31-Mar-2021 IN00675255 ►Enterprises that benefit from LEPAP environmental services (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 48.00 48.00 40.00 Date 01-Aug-2014 17-Dec-2018 17-Dec-2018 31-Mar-2021 IN00675257 ►Sub-loans issued to enterprises for pollution reduction (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 6.48 6.48 14.96 Date 01-Aug-2014 17-Dec-2018 17-Dec-2018 31-Mar-2021 Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P143594 IBRD-84100 Effective USD 15.00 15.00 0.00 6.52 8.48 43% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P143594 IBRD-84100 Effective 01-Aug-2014 24-Oct-2014 28-Jan-2016 31-Mar-2021 31-Mar-2021 Cumulative Disbursements 2/28/2019 Page 6 of 7 The World Bank Implementation Status & Results Report LB-Environmental Pollution Abatement Project (P143594) Restructuring History Level 2 Approved on 29-Jun-2018 Related Project(s) There are no related projects. 2/28/2019 Page 7 of 7