The World Bank Report No: ISR2005 Implementation Status & Results Lao People's Democratic Republic Public Disclosure Copy Lao Environment and Social Project (P090693) Operation Name: Lao Environment and Social Project (P090693) Project Stage: Implementation Seq.No: 7 Status: ARCHIVED Last Modified Date: 12-Apr-2011 Country: Lao People's Democratic Republic Approval FY: 2005 Product Line: IBRD/IDA Region: EAST ASIA AND PACIFIC Lending Instrument: Specific Investment Loan Implementing Agency(ies): Ministry of Finance Key Dates Board Approval Date 30-Jun-2005 Original Closing Date 31-Dec-2010 Planned Mid Term Review Date 25-Oct-2011 Last Archived ISR Date 21-Jun-2010 Effectiveness Date 14-Apr-2006 Revised Closing Date 30-Jun-2013 Actual Mid Term Review Date Project Development Objectives Project Development Objective (from Project Appraisal Document) To strengthen the management of environmental and social issues associated with the sustainable use of natural resources in Lao PDR. Has the Project Development Objective been changed since Board Approval of the Project? � Yes No Component(s) Component Name Component Cost Policy Implementation 1.60 Community and Biodiversity 1.46 Management and Monitoring Support 0.94 Overall Ratings Public Disclosure Copy Previous Rating Current Rating Progress towards achievement of PDO Satisfactory Satisfactory Overall Implementation Progress (IP) Satisfactory Satisfactory Overall Risk Rating Implementation Status Overview Project implementation progress is somewhat behind schedule, but the PDO remains very relevant and achievable. Nine subgrants have been signed which will help strengthen the management of environmental and social issues associated with sustainable use of natural resources. Sub-grants are divided into three key areas: policy implementation; management of Protected Areas; and capacity building of the Environmental Protection Fund (EPF). For policy implementation, newly signed sub-grants will support implementation of several important decrees on Environmental Impact Assessment, resettlement and compensation, and river basin organization. Other subgrants will support capacity building for the Water Resources and Environmental Administration, and implementation of the provincial environment strategy action plan in three provinces. The sub-grants will support provincial authorities and local communities in managing National and Provincial Protected Areas and will support livelihood development and establish a conservation network at Page 1 of 8 The World Bank Report No: ISR2005 community level surrounding the Nakai Nam Theun and Nam Kading National Protected Areas. Finally, sub-grants will strengthen EPF capacity in portfolio management, fiduciary monitoring, planning and fund mobilizing, and provide technical advice. The project is providing continuous support to implement the National Policy on Sustainable Hydropower as Public Disclosure Copy well. Results Project Development Objective Indicators Indicator Baseline Current End Target Indicator Name Value Value Value Increase in the % of environment compliance certificates (ECCs) issued by WREA that are of adequate quality as judged by a third party Date Date Date annually starting June 2010 as a baseline and agree on the % incr 31-Dec-2010 30-Jun-2013 Type Unit of Measure Comment Comment Comment Custom Indicator Percentage 0% as baseline setting up in June The measurement will be made 2010. based on inclusion of Environment and Social standard format into the CA by 60% for hydropower and mining projects. Indicator Baseline Current End Target Indicator Name Value Value Value Increase in the % of complaints resolved in Bolikhamxay and Khammouane Provinces. First measurement of this indicator will be Date Date Date conducted by December 2010 to serve as a new baseline. The target is by 31-Dec-2010 30-Jun-2013 Type Unit of Measure Comment Comment Comment Custom Indicator Percentage A draft grievance mechanism is being drafted and reviewed by the provinces. Baseline data is being collected in the provinces. Public Disclosure Copy Intermediate Results Indicators Page 2 of 8 The World Bank Report No: ISR2005 Indicator Baseline Current End Target Public Disclosure Copy Indicator Name Value Value Value By December 31, 2010, database for tracking type and number of development projects in the Selected Provinces is established. Date Date Date 18-Dec-2009 31-Dec-2010 31-Dec-2010 Type Unit of Measure Comment Comment Comment Custom Indicator Number No database Training on how to collect a baseline for 5 social subgrants has been provided. Database is being established in the provinces withassistance from EPF and DESIA. Indicator Baseline Current End Target Indicator Name Value Value Value By December 31, 2012, a unit responsible for monitoring social impacts and a functional complaint handling mechanism are established in Date Date Date Bolikhamxay and Khammouane Provinces. 30-Jun-2010 31-Dec-2010 31-Dec-2012 Type Unit of Measure Comment Comment Comment Custom Indicator Number No unit or complaint handling Underways Unit and complaint handling mechanism exists. mechanism have been established in both provinces Comment Baseline Value Committee not established Indicator Baseline Current End Target Public Disclosure Copy Indicator Name Value Value Value By June 30, 2010, the River Basin Committee for NT-NKD is established. Date Date Date 11-Oct-2010 31-Dec-2010 30-Jun-2010 Type Unit of Measure Comment Comment Comment Custom Indicator Number Committee not established Underway Establishment of NT-NKD Page 3 of 8 The World Bank Report No: ISR2005 Indicator Baseline Current End Target Public Disclosure Copy Indicator Name Value Value Value By December 31, 2012, an implementation model for a river basin organization in Lao PDR is developed. Date Date Date 11-Oct-2010 31-Dec-2010 31-Dec-2012 Type Unit of Measure Comment Comment Comment Custom Indicator Number No model available Underway Model for river basin organization developed. Indicator Baseline Current End Target Indicator Name Value Value Value By December 31, 2010, WREA has prepared guidelines for incorporating ECC measures in Concession Agreement for hydropower Date Date Date projects signed by the Recipient after the enactment of the Environment and Soc 18-Dec-2009 31-Dec-2010 31-Dec-2012 Type Unit of Measure Comment Comment Comment Custom Indicator Number No guideline Underway Guidelines prepared Indicator Baseline Current End Target Indicator Name Value Value Value By December 31, 2012, social safeguard training program is developed for agencies and provinces participating in the Project and atleast sixty Date Date Date (60) trainees are trained (ten (10) from DESIA, five (5) 18-Dec-2009 31-Dec-2010 31-Dec-2012 Type Unit of Measure Comment Comment Comment Custom Indicator Number No program exists; no trainees Underway Training program developed; 60 trained trainees trained in accordance with program developed. Indicator Baseline Current End Target Public Disclosure Copy Indicator Name Value Value Value By December 31, 2012 national guideline for Ethnic Groups# consultation has been completed and the relevant agencies# staff have Date Date Date been trained on how to conduct such consultation. 18-Dec-2009 31-Dec-2010 31-Dec-2012 Type Unit of Measure Comment Comment Comment Custom Indicator Number No guidelines; no staff trained Underway Guidelines complete; staff trained Page 4 of 8 The World Bank Report No: ISR2005 Indicator Baseline Current End Target Public Disclosure Copy Indicator Name Value Value Value By December 31, 2010, site plans for six (6) protected areas are available and the site plans have identified priority actions. Date Date Date 18-Dec-2009 31-Dec-2010 31-Dec-2012 Type Unit of Measure Comment Comment Comment Custom Indicator Number No site plans 5 site plans completed; one in Site plans for 6 PAs available with Savannakhet province still priority actions being implemented. underway. Indicator Baseline Current End Target Indicator Name Value Value Value By December 31, 2012, at least sixty percent (60%) of the priority 20.00 activities identified are being implemented in the six (6) protected Date Date Date areas. 18-Dec-2009 31-Dec-2010 31-Dec-2012 Type Unit of Measure Comment Comment Comment Custom Indicator Percentage No site plans $25K has been allocated for each 60% PPA for the implementation of their priority activities. Indicator Baseline Current End Target Indicator Name Value Value Value By December 31, 2012, at least ten (10) conservation communities are established in NT-NKD Date Date Date 18-Dec-2009 31-Dec-2010 31-Dec-2012 Type Unit of Measure Comment Comment Comment Custom Indicator Number No Community Conservation Unit The subgrant was signed June 04, 10 communities 2010 and activities are being Public Disclosure Copy implemented in 12 communities in Bolikhamxay province. Page 5 of 8 The World Bank Report No: ISR2005 Indicator Baseline Current End Target Public Disclosure Copy Indicator Name Value Value Value EPF and WREA have received part of the NT2 revenue for financing their respective priority development projects by December 31, 2010. Date Date Date 18-Dec-2009 31-Dec-2010 30-Jun-2013 Type Unit of Measure Comment Comment Comment Custom Indicator Amount(USD) None received None yet Eligible for government funding mechanism for receiving NT2 revenue available. Indicator Baseline Current End Target Indicator Name Value Value Value Eighty percent (80%) of Sub-projects financed by the Original Grant have been completed satisfactorily by December 31, 2010. Date Date Date 04-May-2010 31-Dec-2010 31-Dec-2010 Type Unit of Measure Comment Comment Comment Custom Indicator Percentage N/A Met 86% of original grant completed. Indicator Baseline Current End Target Indicator Name Value Value Value By December 31, 2012, EPF#s annual administrative cost which is about thirty three percent (33%) of a Sub-grant amount has been Date Date Date reduced to no more than fifteen percent (15%) of an Additional Grant. 18-Dec-2009 31-Dec-2010 31-Dec-2012 Type Unit of Measure Comment Comment Comment Custom Indicator Percentage 33% 13% Met Indicator Baseline Current End Target Indicator Name Value Value Value Public Disclosure Copy Eighty percent (80%) of Sub-projects financed by the Additional Grant have been completed satisfactorily by December 31, 2012. Date Date Date 18-Dec-2009 31-Dec-2010 31-Dec-2012 Type Unit of Measure Comment Comment Comment Custom Indicator Percentage 0% Underway 80% Data on Financial Performance (as of 14-Mar-2011) Financial Agreement(s) Key Dates Project Loan No. Status Approval Date Signing Date Effectiveness Date Closing Date Page 6 of 8 The World Bank Report No: ISR2005 Project Loan No. Status Approval Date Signing Date Effectiveness Date Closing Date P090693 IDA-H1770 Effective 30-Jun-2005 15-Aug-2005 14-Apr-2006 30-Jun-2013 Public Disclosure Copy P090693 IDA-H5400 Effective 12-Jan-2010 08-Feb-2010 21-Apr-2010 30-Jun-2013 Disbursements (in Millions) Project Loan No. Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P090693 IDA-H1770 Effective XDR 2.70 2.70 0.00 2.70 0.00 100.00 P090693 IDA-H5400 Effective XDR 1.90 1.90 0.00 0.35 1.55 18.00 Disbursement Graph Public Disclosure Copy Key Decisions Regarding Implementation As LEnS additional financing has been declared its effectiveness on April 21, 2010; the approval and signed of project subgrants is considering somehow delayed by client, ranged from 3-4 months from the planned date (May 2010), however, it is anticipated that the implementation of most subgrants could be accelerated since all necessary arrangement has been put in place and most of the subgrantees are previously experienced with the Bank procedure. EPF sustainability issue was discussed; approval of the draft 5-year strategy has been delayed. In the strategy, EPF plan to request for more government contribution by adding fund (about $2-3 million) to the EPF’s endowment. The issue related to EPF sustainability has been discussed within the Bank and it may be necessary to review national and international experience to justify the usefulness of semi-autonomous mechanism under the present development context. The review was somehow delayed, as there was no similar mechanism has been found so far as the best practice. The window management unit (WMU) has provided a progress report of project in quarterly basic; the first draft M&E report just produce and comment had provided by the TT. The report will only be finalized for next mission in late April 2011. Page 7 of 8 The World Bank Report No: ISR2005 Restructuring History Level one Approved on 12-Jan-2010 Public Disclosure Copy Related Projects P116734-Lao Environment and Social Project - Additional Financing Public Disclosure Copy Page 8 of 8