The World Bank Sustainable Land and Water Management (P098538) REPORT NO.: RES41636 RESTRUCTURING PAPER ON A PROPOSED PROJECT RESTRUCTURING OF SUSTAINABLE LAND AND WATER MANAGEMENT APPROVED ON NOVEMBER 30, 2010 TO THE REPUBLIC OF GHANA ENVIRONMENT, NATURAL RESOURCES & THE BLUE ECONOMY GLOBAL PRACTICE WESTERN AND CENTRAL AFRICA REGION Regional Vice President: Ousmane Diagana Country Director: Pierre Frank Laporte Regional Director: Simeon Kacou Ehui Practice Manager/Manager: Sanjay Srivastava Task Team Leaders: Neeta Hooda, Gayatri Kanungo The World Bank Sustainable Land and Water Management (P098538) ABBREVIATIONS AND ACRONYMS COVID-19 Novel coronavirus CREMA Community Resource Management Area EA Environmental Assessment MESTI Ministry of Environment, Science, Technology and Innovation PDO Project Development Objective RVP Regional Vice President The World Bank Sustainable Land and Water Management (P098538) BASIC DATA Product Information Project ID Financing Instrument P098538 Investment Project Financing Original EA Category Current EA Category Partial Assessment (B) Partial Assessment (B) Approval Date Current Closing Date 30-Nov-2010 30-Nov-2020 Organizations Borrower Responsible Agency Ministry of Environment, Science, Technology and Republic of Ghana Innovation (MESTI) Project Development Objective (PDO) Original PDO Project Development Objective is to (a) demonstrate improved sustainable land and water management practices aimed atreducinglanddegradation and enhancing maintenance of biodiversity in selected micro-watersheds, and (b) strengthen spatial planningforidentification of linked watershed investments in the Northern Savannah region of Ghana. Current PDO To expand the area under sustainable land and water management practices in selected watersheds. OPS_TABLE_PDO_CURRENTPDO Summary Status of Financing Net Ln/Cr/Tf Approval Signing Effectiveness Closing Commitment Disbursed Undisbursed TF-A2276 20-May-2016 06-Jun-2016 06-Jun-2016 30-Nov-2020 12.77 12.62 .14 TF-17090 03-Nov-2014 03-Nov-2014 03-Nov-2014 30-Nov-2020 8.75 8.75 0 TF-97579 20-Jan-2011 20-Jan-2011 20-Jan-2011 28-Feb-2018 7.99 7.99 0 TF-95451 22-Feb-2010 09-Mar-2010 09-Mar-2010 14-Oct-2011 .20 .20 0 The World Bank Sustainable Land and Water Management (P098538) Policy Waiver(s) Does this restructuring trigger the need for any policy waiver(s)? No I. PROJECT STATUS AND RATIONALE FOR RESTRUCTURING 1. The project has made good progress in supporting successful adoption of sustainable land and water management practices in the Savannah areas of Northern Ghana. Bottom-up community led planning, linked to the district development agenda, has demonstrated positive impacts for resilient land management and benefits such as income diversification, food security, and adoption of diverse sustainable practices, including crop production, agroforestry, silvopastoral, tree crop and rangeland management by communities. With the support so far, over 660,000 ha (against a target of 417,299 ha) have been brought under community stewardship under the Community Resource Management Areas (CREMAs) and close to 40,000 farmers (against a target of 30,000) in 247 communities have adopted improved land management practices. The community- based resource management (CREMA concept) has shown to be an effective way of ensuring community-led landscape management, with stewardship of landscapes entrusted in these community organizations. The project Implementation Progress has been rated Moderately Satisfactory during the last two supervision missions, in November 2019 and May 2020 (and both Development Objective and Implementation Progress ratings have been in the Satisfactory / Moderately Satisfactory range throughout project implementation). 2. However, implementation in the recent period has been significantly hampered by the travel and access restrictions introduced due to the spread of the novel coronavirus disease (COVID-19) in mid-March 2020. Over the last three and a half months, field activities could not proceed, and desk-based activities have been limited as Government offices have been closed / working on a very limited schedule. In view of this, a project extension of six months is requested to ensure satisfactory completion of activities and achievement of set objectives. This is a finding confirmed in the recent implementation mission in May 2020. II. DESCRIPTION OF PROPOSED CHANGES 3. A formal request to extend the project was received from the Government of Ghana on June 26, 2020 and is included in the restructuring package. An action plan for the extension was prepared by the teams and is also included in the restructuring package. Key pending activities are the dry season activities, such as community support for establishment of voluntary loans and savings associations, livelihoods activities related to shea nut processing, and production of a set of documentaries showcasing project achievements, that could not be completed during the early 2020 dry season due to COVID-19 related restrictions. 4. This will be the third extension of the project – the first two extensions were processed with two rounds of additional financing (all from the Global Environment Facility) - in 2014 (extending the closing date to February 28, 2018) and in 2016 (extending the closing date to November 30, 2020, which is the current closing date). With the proposed additional six-month extension, the cumulative extension vis-à-vis the original closing date of the first grant is 5 years and 3 months. The project will The World Bank Sustainable Land and Water Management (P098538) be 10.5 years at the proposed new closing date. Target dates for some of the Results Framework indicators are also adjusted accordingly. No other changes are proposed, including to the overall scope and financing of the project. 5. The task team confirms that with the extension, the Project Development Objective is achievable, the performance of the implementing agency is satisfactory, and that all activities can be completed within the extended period. 6. There are no outstanding audits. Financial Management performance rating is Moderately Unsatisfactory due to instances of questionable expenditure in the expenditure reports, interim financial report reporting quality, and requirement for effective financial monitoring of spending units backed with reports, shared with the Bank. These issues are being addressed by the Government of Ghana team with support from the Bank financial management specialist. III. SUMMARY OF CHANGES Changed Not Changed Results Framework ✔ Loan Closing Date(s) ✔ Implementation Schedule ✔ Implementing Agency ✔ DDO Status ✔ Project's Development Objectives ✔ PBCs ✔ Components and Cost ✔ Cancellations Proposed ✔ Reallocation between Disbursement Categories ✔ Disbursements Arrangements ✔ Disbursement Estimates ✔ Overall Risk Rating ✔ Safeguard Policies Triggered ✔ EA category ✔ Legal Covenants ✔ Institutional Arrangements ✔ Financial Management ✔ Procurement ✔ Other Change(s) ✔ The World Bank Sustainable Land and Water Management (P098538) Economic and Financial Analysis ✔ Technical Analysis ✔ Social Analysis ✔ Environmental Analysis ✔ IV. DETAILED CHANGE(S) OPS_DETAILEDCHANGES_LOANCLOSING_TABLE LOAN CLOSING DATE(S) Original Revised Proposed Proposed Deadline Ln/Cr/Tf Status Closing Closing(s) Closing for Withdrawal Applications TF-17090 Effective 28-Feb-2018 30-Nov-2020 31-May-2021 30-Sep-2021 14-Oct-2011, 03- TF-95451 Closed 14-Oct-2010 Feb-2012 28-Feb-2018, 12- TF-97579 Closed 15-Feb-2016 Nov-2018 TF-A2276 Effective 30-Nov-2020 31-May-2021 30-Sep-2021 . The World Bank Sustainable Land and Water Management (P098538) . Results framework COUNTRY: Ghana Sustainable Land and Water Management Project Development Objectives(s) To expand the area under sustainable land and water management practices in selected watersheds. Project Development Objective Indicators by Objectives/ Outcomes RESULT_FRAME_TBL_PDO Indicator Name PBC Baseline End Target Improved sustainable land and water management practices Land area where sustainable land mgt. practices were adopted as 0.00 15,000.00 a result of proj (CRI, Hectare(Ha)) Land users adopting sustainable land mgt. practices as a result of 0.00 30,000.00 the project (Number) Action: This indicator has been Revised Management Effectiveness Tracking Tool score: Gbele Resource Reserve and Sanyiga Kasena Gavara Kara (SKGK), Moagduri 0.00 0.00 Wuntanluri Kuwesaasi, Bulsa Yening, Wahabu Wiasi, and Gbele- Mole corridor sites (Number) Action: This indicator has been Revised Gbele Resource Reserve (Number) 45.00 80.00 Sanyiga Kasena Gavara Kara Corridor Site (CREMA Site 1) 28.00 47.00 (Number) Sissala Kasena Fraah Corridor Site (CREMA Site 2a) (Number) 21.00 30.00 Bulkawe Corridor Site (CREMA Site 2b) (Number) 21.00 30.00 The World Bank Sustainable Land and Water Management (P098538) RESULT_FRAME_TBL_PDO Indicator Name PBC Baseline End Target Moagduri Wuntanluri Kuwesaasi Corridor Site (CREMA Site 21.00 30.00 3a) (Number) Bulsa Yening Corridor Site (CREMA Site 3b) (Number) 21.00 30.00 Chakali Sungmaaluu Corridor (CREMA Site 4) (Number) 21.00 30.00 Direct project beneficiaries (Number) 0.00 60,000.00 Action: This indicator has been Revised Female beneficiaries (Percentage) 0.00 40.00 PDO Table SPACE Intermediate Results Indicators by Components RESULT_FRAME_TBL_IO Indicator Name PBC Baseline End Target Component 1: Capacity Building for Integrated Spatial Planning Integrated spatial development framework produced for No Yes Northern Savannah zone (Text) Pre-feasibility studies conducted for new large-scale multi- 0.00 2.00 purpose water storage investments (Number) Component 2: Land and Water Management Communities with Community Watershed Development Plans consistent with the Watershed Development Planning Manual 0.00 244.00 (Number) Demonstration plots established in the target watersheds 0.00 282.00 (Number) The World Bank Sustainable Land and Water Management (P098538) RESULT_FRAME_TBL_IO Indicator Name PBC Baseline End Target Targeted CREMA communities adopting management plans 0.00 98.00 according to criteria defined in CREMA agreements (Number) A study on feasibility of sustaining SLWM activities through PES No Yes market mechanism (Text) Area reforested [within target forest reserves] (Hectare(Ha)) 0.00 1,060.00 Forest area brought under management plans (CRI, Hectare(Ha)) 0.00 72,716.00 Normalized Difference Vegetation Index (NDVI) in target areas -0.13 -0.13 (Number) Action: This indicator has been Revised Community governance structures established, trained and 115.00 347.00 operational (Number) - CREMA Executive Committees (Number) 3.00 5.00 -Community Watershed Management Teams (Number) 72.00 244.00 - CREMA Resource Management Committees (Number) 40.00 98.00 Forest users trained (Number) 0.00 660.00 Forest users trained - Female (Number) 0.00 330.00 Beneficiaries that feel project investments reflected their needs 0.00 70.00 (percentage) (Percentage) Action: This indicator has been Revised Beneficiaries that feel project inv. reflected their needs - 0.00 8,540.00 female (number) (Number) Total beneficiaries - female (number) (Number) 0.00 12,200.00 Total beneficiaries - male (number) (Number) 0.00 18,300.00 The World Bank Sustainable Land and Water Management (P098538) RESULT_FRAME_TBL_IO Indicator Name PBC Baseline End Target Beneficiaries that feel project inv. reflected their needs - male 0.00 12,810.00 (number) (Number) New areas outside protected areas managed as biodiversity- 39,107.00 417,299.00 friendly (ha) (Number) Smallholder households supported in coping with the effects of 0.00 3,000.00 climate change [in 76 communities under AF2] (Number) Component 3: Project Management and Coordination Project M&E system providing required reports and data in a No Yes timely manner (Text) Action: This indicator has been Revised IO Table SPACE The World Bank Sustainable Land and Water Management (P098538)