The World Bank Ghana - West Africa Regional Fisheries Program (P124775) REPORT NO.: RES29099 DOCUMENT OF THE WORLD BANK RESTRUCTURING PAPER ON A PROPOSED PROJECT RESTRUCTURING OF GHANA - WEST AFRICA REGIONAL FISHERIES PROGRAM APPROVED ON JULY 14, 2011 TO MINISTRY OF FINANCE ENVIRONMENT & NATURAL RESOURCES AFRICA Regional Vice President: Makhtar Diop Country Director: Henry G. R. Kerali Senior Global Practice Director: Karin Erika Kemper Practice Manager/Manager: Magda Lovei Task Team Leader: Berengere P. C. Prince, Jingjie Chu The World Bank Ghana - West Africa Regional Fisheries Program (P124775) I. BASIC DATA Product Information Project ID Financing Instrument P124775 Investment Project Financing Original EA Category Current EA Category Partial Assessment (B) Partial Assessment (B) Approval Date Current Closing Date 14-Jul-2011 31-Dec-2017 Organizations Borrower Responsible Agency Fishery Commission,Ministry of Fisheries and Ministry of Finance Aquaculture Development Project Development Objective (PDO) Original PDO The Project Development Objective is to support the sustainable management of Ghana’s fish and aquatic resources by: (i) strengthening the country’s capacity to sustainably govern and manage the fisheries; (ii) reducing illegal fishing; (iii) increasing the valueand profitability generated by the fish resources and the proportion of that value captured by the country; and (iv) developing aquaculture. Summary Status of Financing Net Ln/Cr/Tf Approval Signing Effectiveness Closing Commitment Disbursed Undisbursed IDA-49790 14-Jul-2011 27-Jan-2012 12-Jun-2012 31-Dec-2017 50.30 28.01 16.39 TF-10905 27-Jan-2012 27-Jan-2012 12-Jun-2012 31-Dec-2017 3.50 3.21 .29 The World Bank Ghana - West Africa Regional Fisheries Program (P124775) Policy Waiver(s) Does this restructuring trigger the need for any policy waiver(s)? No II. SUMMARY OF PROJECT STATUS AND PROPOSED CHANGES Project Status: The Ghana West Africa Regional Fisheries Project (P124775) has enjoyed renewed commitment in the face of the new Minister of Fisheries and Aquaculture Development. The latest ISR from October 2017 rates both PDO and IP ratings as Moderately Satisfactory based on recent improvements and initiatives. Key achievements toward meeting the Project Development Objectives include: (i) Strengthening the country’s capacity to sustainably govern and manage the fisheries. While improving governance and management is a ling process, the project has supported important improvements toward putting the fisheries on a sound footing: - The Fisheries Management Plan (FMP) 2015-2019 was approved by Cabinet in October 2015 and is under implementation: Over the course of 2017, the number of licenses allocated to industrial trawlers was reduced by 25%, indicating a positive trend. - Co-Management Policy was submitted for the Bank's review and ready for stakeholder consultation; - A marine canoe frame survey was completed; - An electronic registration system for industrial, semi-industrial and marine canoe sectors established; - First closed season was observed in November 2016 and a second one was observed from February to March 2017; - One stock assessment was conducted in 2016 and another one was done in 2017 in collaboration with FAO and Norwegian government; - A modern website for MOFAD was set up with updated communication materials; (ii) Reducing illegal fishing - Fisheries Enforcement Unit was established and operational since September 2013; - Industrial and semi-industrial licenses information is published online regularly; - The online Vessel Monitoring System (VMS) is effective at monitoring illegal fishing vessels within the Ghanaian territory. In collaboration with the Navy and the local police, now there are hardly any industrial trawlers fishing without a license. (iii) Increasing the value and profitability generated by the fish resources and the proportion of that value captured by the country: This objective focused on the development of originally 11 potential landing sites. Over time, most of them were rejected either because they were not feasible or would be unreasonably expensive. Ghana has a very rough and tricky terrain for building landing sites and the limited project funding does not allow for massive construction. Three sites were considered until recently: Mumford, Teshie, and Anloga. All three need design revisions and safeguard documents. (iv) Developing aquaculture The World Bank Ghana - West Africa Regional Fisheries Program (P124775) Aquaculture growth has been driven by the private sector without much support from the government or the project. Nevertheless, the project is mostly supporting activities relating to the fish health. The aquaculture zoning report has been completed and is pending consultations. Policy and legal framework for Aquaculture Development and Aquatic Animal Health Management Policy for Ghana has been drafted. The tilapia disease outbreak in the Lake Volta region in both 2016 and 2017 clearly showed the need for certification, which the project is supporting. Water monitoring training has been conducted and equipment is purchased, but is pending protocol development. Proposed Change: The restructuring proposes to extend the project for 6 months so some critical activities can be completed towards achievement of PDO. During the 6 month extension, the project will focus on the following activities: • Component 1: (a) A new licensing scheme for industrial trawlers will be developed (with higher license fee, gear restriction, airtime and observer cost covered by trawlers); (b) Stock assessment to inform Total Allowable Catch (TAC); (c) Policy Framework for Fishery Co-Management will be approved; (d) 1-2 Pilot co-management sites will be engaged. (e) Marine Protected Area (MPA) strategy will be approved; (e) compensation scheme for directly affected crews and fish mongers will start implementation. • Component 2: (a) The VMS analysis will be completed so more user friendly analysis can be done for decision making; (b) clean up the current infraction report system and fines collected; (c) ensure 100% observer coverage and digitalize the observer report; (d) develop long-term Monitoring, Control and Surveillance (MCS) strategy to ensure financial sustainability. • Component 3: (a) Only the Anloga design and related safeguard documents can be completed during the extension period (the actual construction will depend on when the safeguard documents are approved); (b) complete the installation of 300 improved smoking oven and dry racks. • Component 4: (a) Finalize certification scheme for both hatchery and farms and start certification process; (b) complete zoning consultation; (c) support aquaculture training among the small-scale farms; (d) conduct disease diagnosis to provide management recommendation; (e) rehabilitation of the remaining aquaculture demonstration centers. • Component 5: (a) impact evaluation of the smoking oven pilots and the project in general; (b) value for money audit. There are no outstanding IFRs or audit for the project, and the latest audit report issued a non-qualified opinion. III. DETAILED CHANGES LOAN CLOSING DATE(S) Original Revised Proposed Proposed Deadline Ln/Cr/Tf Status Closing Closing(s) Closing for Withdrawal Applications The World Bank Ghana - West Africa Regional Fisheries Program (P124775) IDA-49790 Effective 31-Dec-2017 29-Jun-2018 29-Oct-2018 TF-10905 Effective 31-Dec-2017 29-Jun-2018 29-Oct-2018