The World Bank Report No: ISR15457 Implementation Status & Results Uzbekistan Ferghana Valley Water Resources Management Phase-I Project (P110538) Public Disclosure Copy Operation Name: Ferghana Valley Water Resources Management Phase-I Project Stage: Implementation Seq.No: 8 Status: ARCHIVED Archive Date: 28-Jun-2014 Project (P110538) Country: Uzbekistan Approval FY: 2010 Product Line: IBRD/IDA Region: EUROPE AND CENTRAL ASIA Lending Instrument: Specific Investment Loan Implementing Agency(ies): Key Dates Board Approval Date 24-Sep-2009 Original Closing Date 31-Jul-2016 Planned Mid Term Review Date 01-Oct-2013 Last Archived ISR Date 29-Dec-2013 Effectiveness Date 03-Mar-2010 Revised Closing Date 31-Jul-2016 Actual Mid Term Review Date 11-Nov-2013 Project Development Objectives Project Development Objective (from Project Appraisal Document) The Project Development Objective (PDO) is to improve agricultural production in areas affected by water-logging, and to reduce damage to housing and infrastructure from rising ground water levels and salinity in the project areas. Has the Project Development Objective been changed since Board Approval of the Project? Yes No Component(s) Component Name Component Cost Improvement of Irrigation and Drainage Network 71.41 Institutional and Agricultural Development Support 6.09 Project Management Monitoring and Evaluation 4.35 Overall Ratings Public Disclosure Copy Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Moderately Satisfactory Overall Implementation Progress (IP) Moderately Unsatisfactory Moderately Unsatisfactory Overall Risk Rating Moderate Moderate Implementation Status Overview Project implementation was rated Moderately Unsatisfactory in the previous ISR of December 2013 due to a number of delays and challenges, which included slow progress in construction and low disbursement rate (43% of the project budget). In addition, implementation of the Environmental Management Plan (EMP) showed significant deficiencies; of concern was also implementation of the Resettlement Action Plan (RAP). During the recent mission visit to the project site in May 2014, the Bank team was pleased to note that most of measures agreed during the November 2013 mission were implemented. Specifically, implementation of the EMP has significantly improved. Consultants were provided with Page 1 of 6 The World Bank Report No: ISR15457 adequate transportation and fuel. Tighter supervision of works contracts and preparation of updated workplans has led to progress in the implementation of the works. However, as a result of inclement weather conditions during the winter season, the agreed measures have not yet led to a significant acceleration in disbursements, with only a modest increase from 43% to 49%. With continued pro-active engagement by the PIU, the project team is confident that the situation will improve during the spring, summer and fall construction season, and the next implementation support mission, scheduled in October 2014, expects to register a strong increase in disbursements. On another note, a resettlement Public Disclosure Copy Grievances Redress Mechanism is in place and is registering and responding to complaints. Most people whose assets have been affected by construction works under the project have been paid compensation in 2013 and 2014. However, only 8% payments in 2012 have been made, and the Bank team urged the PIU to make these payments as soon as possible, and to ensure that no construction work is initiated prior to payment of full compensation to project affected people. Recruitment of a consultant to update the social assessment that was agreed during the previous mission to better reflect child and forced labor issues in the project area, has not yet started. The deadline was set for the PIU to advertise EOI by June 15, 2014. Due to the above mentioned issues, the project continues to be rated Moderately Unsatisfactory. Finally, the November 2013 mission agreed to restructure the Results Framework (RF) of the project to resolve a number of inconsistencies in data monitoring, but no Government's formal request to restructure the RF was received by the Bank yet. Locations Country First Administrative Division Location Planned Actual Uzbekistan Farg`ona Viloyati Rishton Uzbekistan Farg`ona Viloyati Altyarik Uzbekistan Farg`ona Viloyati Bagdad Uzbekistan Farg`ona Viloyati Rishtan Results Project Development Objective Indicators Indicator Name Core Unit of Measure Baseline Current End Target Reduced flooded settlement areas, Percentage Percentage Value 30.00 56.50 0.00 Date 03-Mar-2010 26-May-2014 31-Jul-2016 Comments PIU and M&E Consultant have proposed to change the baseline value of this indicator from 30% to 67.4% based on Public Disclosure Copy results of the Baseline Study. Decreased grounfwater level, meter below Meter(m) Value 0.00 0.00 2.00 surface Date 03-Mar-2010 26-May-2014 31-Jul-2016 Comments PIU and M&E Consultant have proposed to change measure from meter to percentage. As of 1 July 2011 0.00-1.0m -- 1% Page 2 of 6 The World Bank Report No: ISR15457 1.0-1.5m -- 19% 1.5-2.0m -- 42.11% As of 1 July 2012 0.00-1.0m -- 0.9% Public Disclosure Copy 1.0-1.5m -- 18% 1.5-2.0m -- 40.2% As of 1 July 2013 0.00-1.0m -- 0.74% 1.0-1.5m -- 15.08% 1.5-2.0m -- 43.90% As of 1 Oct 2011 0.00-1.0m -- 1.5% 1.0-1.5m -- 17.5% 1.5-2.0m -- 44.6% As of 1 Oct 2012 0.00-1.0m -- 0.6% 1.0-1.5m -- 12.4% 1.5-2.0m -- 47.3% As of 1 Oct 2013 0.00-1.0m -- 0.6% 1.0-1.5m -- 13.5% 1.5-2.0m -- 41.9% Increased in crop yields for major crops, cotton Text Value 2.4 (cotton) 3.5 (wheat) 40 and wheat (tons/ha) Date 03-Mar-2010 26-May-2014 31-Jul-2016 Comments tons/ha As per official data: increase, percent Cotton +13% Wheat +69% Grape +132% Fruits +83% Vegetables +70% Public Disclosure Copy Intermediate Results Indicators Indicator Name Core Unit of Measure Baseline Current End Target Increase use and discharge in quantity of Cubic Meter(m3) Value 7.00 9.00 13.00 drainage water m3/sec Date 03-Mar-2010 26-May-2013 31-Jul-2016 Comments This indicator is proposed to be dropped. The formal restructuring of the Results Framework is yet to take place. Page 3 of 6 The World Bank Report No: ISR15457 Decrease of groundwater table (m) and gradual Meter(m) Value 0.00 0.00 2.00 reclamation of 1,180 ha of water-logged area Date 03-Mar-2010 26-May-2014 31-Jul-2016 (ha) Comments Data is repetitive, proposed to Public Disclosure Copy be monitored in ha 1 July 2011 0.00-1.0m -- 623 1.0-1.5m -- 11,464 1.5-2.0m -- 25,379 As of 1 July2012 0.00-1.0m -- 569 1.0-1.5m -- 10,860 1.5-2.0m -- 24,248 As of 1 July 2013 0.00-1.0m -- 449 1.0-1.5m -- 9,125 1.5-2.0m -- 26,564 1 October 2011 0.00-1.0m -- 931 1.0-1.5m -- 10,543 1.5-2.0m -- 26,864 As of 1 October 2012 0.00-1.0m -- 385 1.0-1.5m -- 7,485 1.5-2.0m -- 28,516 As of 1 October 2013 0.00-1.0m -- 390 1.0-1.5m -- 8,136 1.5-2.0m -- 25,344 Adopt new improved practices in sustainable Number Value 0.00 1055.00 1000.00 agriculture and improved water resource Date 03-Mar-2010 26-May-2014 31-Jul-2016 management by farmers, number of farmers Comments 1,055 people were trained, adoption rate is 86% Public Disclosure Copy Length of irrigation canals and drains Kilometers Value 0.00 622.47 3400.00 rehabilitated and functional (km) Date 03-Mar-2010 26-May-2014 31-Jul-2016 Comments The PIU and M&E Consultant proposed to revise the target value from 3,400 to 1,349 km. The total length of 3,400 km does not refer to total length of canals to be reviewed and Page 4 of 6 The World Bank Report No: ISR15457 screened to for inclusion in the scope of project works. Public Disclosure Copy Data on Financial Performance (as of 05-Jun-2014) Financial Agreement(s) Key Dates Project Ln/Cr/Tf Status Approval Date Signing Date Effectiveness Date Original Closing Date Revised Closing Date P110538 IDA-46480 Effective 24-Sep-2009 09-Feb-2010 03-Mar-2010 31-Jul-2016 31-Jul-2016 Disbursements (in Millions) Project Ln/Cr/Tf Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P110538 IDA-46480 Effective XDR 42.20 42.20 0.00 22.10 20.10 52.00 Disbursement Graph Public Disclosure Copy Key Decisions Regarding Implementation Although implementation of the project has significantly improved in the last six months, there are still several issues that need to be urgently addressed by the Government and PIU. They are as follows: - Only 8% of the people whose assets were affected by theproject in 2012 have received compensation payments, while the associated construction works have started. The Bank team reminded the PIU that no construction works can start as long as compensation to those people that are affected by these works has not been paid in full, and urged the PIU to pay all 2012 compensation payments as soon as possible. Page 5 of 6 The World Bank Report No: ISR15457 - The Bank team learned that recruitment of a consultant to update the social assessment that was agreed during the previous mission to better reflect child and forced labor issues in the project area, has not yet started. The Bank stressed the importance of this assessment (which is different from the Third Party Monitoring/Feedback Mechanism (TPM/FBM) to the PIU. It was agreed that the PIU will advertise an EOI should by June 15, 2014. Public Disclosure Copy - The November 2013 mission agreed to restructure the Results Framework of the project to resolve a number of inconsistencies in data monitoring. It was agreed that the Bank would receive a written request for this restructuring by June 30, 2014. An interim mission will visit the project area to follow-up on the resettlement and environmental issues flagged in this ISR, and confirm compliance with safeguards policies or recommend further actions that need to be taken to ensure full compliance. Restructuring History There has been no restructuring to date. Related Projects There are no related projects. Public Disclosure Copy Page 6 of 6