The World Bank Somali Electricity Sector Recovery Project (P173088) Appraisal Environmental and Social Review Summary Appraisal Stage (ESRS Appraisal Stage) Public Disclosure Date Prepared/Updated: 09/30/2021 | Report No: ESRSA01407 Sep 30, 2021 Page 1 of 20 The World Bank Somali Electricity Sector Recovery Project (P173088) BASIC INFORMATION A. Basic Project Data Country Region Project ID Parent Project ID (if any) Somalia AFRICA EAST P173088 Project Name Somali Electricity Sector Recovery Project Practice Area (Lead) Financing Instrument Estimated Appraisal Date Estimated Board Date Energy & Extractives Investment Project 9/13/2021 11/15/2021 Financing Borrower(s) Implementing Agency(ies) Federal Republic of Ministry of Energy and Somalia, Ministry of Minerals, Somaliland, Finance, Somaliland Federal Ministry of Energy and Water Resources (MoEWR) Public Disclosure Proposed Development Objective The Project Development Objective is to increase access to lower cost and cleaner electricity supply in project areas and to reestablish the electricity supply industry. Financing (in USD Million) Amount Total Project Cost 150.00 B. Is the project being prepared in a Situation of Urgent Need of Assistance or Capacity Constraints, as per Bank IPF Policy, para. 12? No C. Summary Description of Proposed Project [including overview of Country, Sectoral & Institutional Contexts and Relationship to CPF] The aims to increase access to lower cost and cleaner electricity services in the project areas of and reestablish the electricity supply industry in Somalia. The implementation of the project would have four main outcomes: (i) Sector institutional, legal and regulatory enabling environment for sustained sector operations, including enhancing the established role of the private sector (ESPs) in off-grid generation and distribution network operations management; (ii) Integrated sector infrastructure to enable optimized operations, the foundational step for optimized and least-cost Sep 30, 2021 Page 2 of 20 The World Bank Somali Electricity Sector Recovery Project (P173088) expansion in the generation and transmission networks and distribution loss reduction; and (iii) Increased electricity access; and (iv) Reduced cost of electricity and increased reliability of electricity supply. D. Environmental and Social Overview D.1. Detailed project location(s) and salient physical characteristics relevant to the E&S assessment [geographic, environmental, social] The proposed Somali Electricity Sector Recovery Project is conceptualized as a series of projects (SOP). The SOP vision has four themes (a) infrastructure development, (b) renewable energy generation, (c) electricity supply to public institutions, (d) sector capacity enhancement. Detailed activities and the associated feasibility studies for Phase 2 will be conducted under this project. This project will support improved the establishment of interconnected distribution systems in and the establishment of greenfield sub-transmission lines in the major load centers of Mogadishu and Hargeisa. In addition, the project will support the hybridization of generation capacity in major load centers identified for renewable generation optimization; and will provide benefits from improved health and education services. While component 1 and 2 will target major urban areas where selected ESPs are based possible load centres to be considered have not been agreed upon, but may include other cities, except Mogadishu and Hargeisa, such as Baidoa, Garowee, Berbera, Boosaaso, Caaduwaaq, Afgoye, Kismayu, Borama, Burao, and other cities as may be determined by the government.Component 3 locations will mostly be in rural, with the exception of some tertiary facilities that may be located in peri-urban and urban areas. The actual number of social facilities and their geographic location under component 3 will be determined by a site profiling exercise to be conducted early on in the implementation of the project to fill the information gap through field assessments, which will also further take into account the security dimension. site profiling will be done be conducted during project implementation to select the Public Disclosure actual facilities and the adequacy of the technology choice. Overall, the project will benefit about 1.1 million households, equivalent to almost 7 million people, of which 3.5 million females. Somalia has the longest coastline on Africa's mainland. The country’s terrain consists mainly of plateaus, plains and highlands. Climatically, hot conditions prevail year-round, with periodic monsoon winds and irregular rainfall. Somalia is a generally dry and arid country, with poor rainfall that averages only 100 mm in the northeast and between 200 and 300 mm in the central plateaus annually: most of the country receives less than 500 mm of rain. Therefore, the unavailability of water is one of the most pressing problems in the country. The country has only two permanent rivers, the Jubba and the Shabelle, both of which begin in the Ethiopian highlands and flow southwards. Rangelands are estimated to be about 80 per cent of the nation’s land area. Land is used for grazing and for farming around the river. Between the main towns where trade occurs there are several villages and small towns that serve the nomadic communities and travelers. About 2% of Somalia’s total land cover is considered as arable land, and of this 18.7% is appropriate for irrigated agriculture . In Southern Somalia particularly, the riverine areas of Kismayo there are some mangrove and acacias which are dwindling at a high rate due to over exploitation from charcoal trade. On the Galkayo to Garowe Corridor the land is mostly covered by various local shrubs and some areas that can be described as grassland. Only 0.8% of the Somalis area is under some form of protection. Somalia is part of Conservation International’s Horn of Africa Hotspot which has over 60 endemic genera and over 2,750 endemic species. Somalia is a part of Somalia- Masai steppe geographic region of plant endemism (savannas and shrub lands) and has 24 important bird areas. Generally, fauna has been depleted due to hunting and culling to protect livestock. Invasive species (e.g. Prosopis spp. Sep 30, 2021 Page 3 of 20 The World Bank Somali Electricity Sector Recovery Project (P173088) and the Indian House crow, Corvus splendens) have widespread effects on local fauna and flora and important to address, although Prosopis could be used to substitute endemic trees for charcoal production. For over two decades, Somalia has experienced protracted conflict and fragility. Mogadishu in particular experienced several violence and security incidents, and the current uncertainty regarding FGS elections could heighten existing tensions in Somalia and shift the development priorities. Somalia is highly prone to cyclical floods and droughts. Short- and long-term climate change and disaster risks. The country currently does not have a national land acquisition law, land tenure is likely to remain more collective than individual in nature, particularly in rural areas. The land tenure situation within the major load centers is also not not clearly regulated and ESPs do not have a service territory agreement detailing their geographic outreach. The two major load centers of Mogadishu and Hargesia have high concentration of Internally Displaced People (IDPs). About 70 percent of the population lives below the poverty line (US$1.90 a day in purchasing power parity terms), and another 10 percent live close to the poverty line (2019). About 6.2 million Somalis face acute food insecurity and 2 million are internally displaced. The project activities will be implemented under different social and environmental conditions and context. existing ESPs generation sites, existing Health and Education Facilities in rural and remote areas with no connectivity, and existing ESPs distribution networks way leaves will constitute most of Project’s physical footprint areas. Component 1 including the proposed new 132 kV sub transmission line is expected to follow a green field alignment in the towns of Mogadishu and Hargeisa. Line route selection for the proposed new transmission, Sub transmission and distribution Public Disclosure lines would therefore requiring factoring in various parameters such as land availability, security situation, Involuntary resettlement, flood prone areas etc. D. 2. Borrower’s Institutional Capacity The proposed project will be implemented by the two PIUs established at the MoEWR (FGS); and the MoEM (Somaliland), in close coordination with the federal member states, the beneficiary ministries and ESPs, Ministries of Health and Education for component 3, and other relevant stakeholders. Overall capacity of the implementing agency to manage and monitor environmental risks is low, a preliminary capacity assessment carried out by world bank task team during the concept phase on the key implementing agencies MoEWR, FGS; and the MoEM, Somaliland and ESPs identified key gap areas to be poor safety records among the ESPs, and lack of regulations on OHS and mechanism to enforce standards codes of practice and vet and check on electricity services quality. Capacity enhancement of the environmental and social Standards skills and competencies of the project’s PIU has been built into the project design under component 4, where an incremental E&S capacity building is envisioned. A project level capacity building support on E&S including setting up an E&S risk management system, enhancing the E&S capacity through staffing and training on the ESF requirements is proposed. Through existing institutional arrangements established under the ongoing SEAP project (P165497), two dedicated consultants providing respective environment and social safeguards support, in addition a dedicated Environmental and Social firm has been hired to support the respective PIU within the MoEWR (FGS); and the MoEM (Somaliland) to support day to day sector undertakings in the short term. The E&S Firm shall provide guidance in the areas of health, safety, labor management, land, resettlement, community engagement for the project and the Sector and Sep 30, 2021 Page 4 of 20 The World Bank Somali Electricity Sector Recovery Project (P173088) development of E&S framework documents and Capacity Building Plan for the project. . The position of Environmental and Social experts in the PIU will be maintained throughout the lifetime of the project. The PIU will incrementally strengthen its capacity by recruiting GBV expert, Communication/stakeholder Engagement Expert, OHS expert, security expert, and a land expert within the first year of project implementation. The security expert will draw on services of security firms where necessary to provide support for security risk assessment, preparation of Security Management Plan and implementation of security framework. Further PIU will also be supported by owners engineer consultancy services as a technical support agency to undertake project design, procurement and contracts management, including fiduciary and supervision of the contractors E&S obligations. The Owner’s engineer firm would also be expected to bring individual experts from time to time to provide support to the PIU on technical and E&S matters. Owner’s Engineer will also be responsible for preparation of sub project level ESHS instruments along with feasibility and design studies for Component 1, 2, 3 and Component 4,Sub-component 2 - Sector Planning and Feasibility Studies for Renewable Energy Projects as per the guidance in the Framework instruments. A planned Sectoral Environmental and Social Impact Assessment study (SESIA) in the early phase of project implementation will further assess capacity at sectoral level and link this larger capacity building plans under upcoming series of projects including regional projects . This SESIA will assess strategic growth plan of the sector and provide clarity on budget, and resources. Further the SESIA will assess options around setting up E&S units within Federal Ministry of Energy and Water Resources (MoEWR) and Ministry of Energy and Minerals, Somaliland to undertake robust E&S risk assessment and management. SESIA will inform the sector Policy and Development framework. Public Disclosure A Business Support Services Firm (BSSF), with experience in utility operations, will be hired to support the ESPs to strengthen their technical and institutional capacity in key functions of Electricity Utility Business including but not limited to Corporate Planning, commercial and network management and operations. The experts provided by the BSSF will work as advisors twinned with the ESP counterparts for a period of two to three years. BSSF will be responsible for assessing whether an ESP has capacity to manage the E&S aspects in their operations. BSSF will also support and guide the day-to-day sector undertakings over a medium term to reestablish the Somali electricity sector covering both policy, oversight, operations and management including coaching and hands-on training of the sector staff covering EHS issues including sector governance and appropriate regulations, to develop EHS standards in safety and environmental and social performance requirements for ESPs. Equally an Environmental and Social Management System shall be established within the MoEWR (FGS); and the MoEM (Somaliland) to support day to day sector undertakings in the medium term with the support of the BSSF and owners engineer, BSSF will support ESP in enhancing E&S capacity specifically preparation of EHS manuals with particular focus on the ESP operations and maintenance obligations of the facilities financed by the project An independent monitoring and verification firm will provide independent audits (covering technical, fiduciary and safeguards among others) including assessment of E&S performance of contractors and ESPs against the sub project specific mitigation Plans. The PIUs will be responsible for collecting, verifying, and collating information, integrating the M&E reports, and submitting to the World Bank both the quarterly and annual progress reports. The PIUs shall collect and compile data to provide basis for a compressive mid-term review. The PMTs will also undertake an end term review and final Implementation and Completion Results Report. Sep 30, 2021 Page 5 of 20 The World Bank Somali Electricity Sector Recovery Project (P173088) For component 1 and 2, the overall E&S responsibility will be with PIUs during the design and construction phase. During the design and construction phase upfront agreements with the ESPs would be required in terms of access to sub project sites, ownership status of land and assets and sharing of role and responsibilities on E&S risk management among, PIU, contractors and ESPs. Similarly, the sharing of E&S responsibility during the operation phase would need to be built into the agreements with ESPs. For Component 2, The Government and ESPs will enter into a contractual arrangement that establishes either a Public Private Partnership, Concession Agreement or a Service Agreement which shall also clarify the terms of access to sub project sites, sharing of role and responsibilities on E&S risk management, ownership status of land and assets. This arrangement will be aligned with E&S instruments developed by the government and the arrangements will be reviewed and cleared by the Bank and RSA as per high risk project requirement. For component 3, During the project, the MoEWR/MOEM will be responsible for the implementation of the component, E&S aspects and the management of technical assistance and trainings for the line Ministries of Education and Health. Procurement procedures will take into account the need for engaging qualified Somalia based experts, suppliers and firms along with bringing in qualified global experts and contractors and Consultancy firms. II. SUMMARY OF ENVIRONMENTAL AND SOCIAL (ES) RISKS AND IMPACTS A. Environmental and Social Risk Classification (ESRC) High Public Disclosure Environmental Risk Rating High The Environmental Risk for the project is rated high. The environmental rating is based on the complexity of activities proposed, coverage of the project, as well as its possible impacts. First the electricity supply industry in Somalia is dominated by private players with poor safety records. Second the government does not own generation assets, hence little leverage coupled with low capacity to oversee the Environmental risks of the project. Third there exists little or no formal regulations or codes of standards of practice and mechanism to vet and enforce electricity services quality, health and safety standards and forth willingness and capacity of participating ESPs to take on ESF commitment which will be applicable to their existing operations ( considered as associated facilities) The ESPs associated facilities include. offices and operation centers, warehouses and storage facilities. Some of the ESPs also have garages for maintenance, solar farms and wind turbines and facilities for diesel generators. environmental and social risks and impacts identification of SESRP will encompass ESP associated facilities. The anticipated potential environmental and social risks for SESRP under ESS 1 vary across components and activities . Component 1 will finance activities related to the green field sub transmission line as well as rehabilitation and reinforcement of existing distribution network infrastructure assets in the cities of Mogadishu and Hargeisa component 2 will support activities aimed at the hybridization and optimization of existing mini-grids. The component activities will include installation of Battery Energy Storage Systems (BESS) and solar PV systems at existing HSDG stations in selected load centers. Under component 3, the project will finance Solar PV systems to Health and Education facilities. component 4 will provide technical assistance and capacity building activities to sector institutions. Potential environmental risks include (a) management of environmental and social risks and impacts of the Associated Facilities, such as ESP generation facilities under component 1 and 2 activities(b) disposal and management of liquid and solid waste, such Sep 30, 2021 Page 6 of 20 The World Bank Somali Electricity Sector Recovery Project (P173088) as spoils metals, cables, capacitor, wood, glass, and packaging materials under component 1 ,2 and 3 activities; (b) disposal and management of hazardous wastes such as polychlorinated biphenyls (PCBs) from older imported transformers and capacitors in use by ESPs, transformer parts and oils, certain amount of heavy metals, used and damaged solar panels, and batteries; under component 1, 2 and 3 (c) soil erosion and degradation; (d) fauna and flora disturbance leading to loss of habitats due to land clearance; under component 1 activities (e) dust and noise; (f) contamination and degradation of soil and water; (g) health and safety of employees and communities including those associated with operation of vehicles, plant and equipment, working at height, contaminations associated with improper handling of e-wastes, electrocution and aesthetic, and resource use (water and biulding materials for construction camps) in areas of less availability. The potential project risks associated with the disposal and management of hazardous wastes will be more aggravated due to limited capacity on disposal, recycling, and management of nonbiodegradable hazardous wastes from electrical equipment; damaged or leftover solar panels, and used or damaged batteries; and limited knowledge and capacity in O&M of these new energy technologies, including availability and affordability of parts. Component 4 of the project will provide TA support to MoEWR and MoEM to undertake integrated planning, including preparation of a Least-Cost Development Plan covering generation, transmission, and distribution as well as an Electricity Access Strategy and Investment Prospectus. The TORs for the feasibility studies for this studies will ensure environmental and social issues are taken into account. Social Risk Rating High The social risk rating at this stage is High. Key social risks include: a) ensuring security for project operations and associated workers b) potential land acquisition required for the installation of 132KV sub-transmission network and Distribution network. C) forced displacement of IDPs is said to be rampant especially in urban centers such as Mogadishu, Hargeisa and Garowe and may be carried out in anticipation of project investment c) Past issues around Public Disclosure land and unsettled/multiple claims with the existing generation sites occupied by the ESPs and the distribution network c) systemic weakness in the capacity of implementing agencies to identify, understand and prevent adverse environmental and social impacts of the project (d) Potential establishment of workers camp may exacerbate risks associated with gender-based violence (GBV) or sexual abuse and exploitation (SAE) sexual exploitation and abuse, and other forms of GBV; Labor influx and associated gender-based violence risks, given the stark poverty rates in the country. All social and environmental risk mitigation measures will be detailed in the appropriate ESF instruments to be prepared in line with ESS 1, 2, 4, 5, 7 and 10 and ESCP. The investment in Sub Transmission Network, Distribution network reconstruction, reinforcement and operations efficiency in the major load centers is likely to involve compensation requirements for affected assets and compounded by gaps in legal and regulatory frameworks, land appropriation and asset valuation will be very challenging. Given the Government’s own budget situation, the project would require to reassess the capacity of recipient to Allocate funds for land acquisition and RAP implementation in a timely manner when the RAPs budget estimates are prepared. B. Environment and Social Standards (ESSs) that Apply to the Activities Being Considered B.1. General Assessment ESS1 Assessment and Management of Environmental and Social Risks and Impacts Overview of the relevance of the Standard for the Project: The proposed project will be implemented by the two PIUs established at the MoEWR (FGS); and the MoEM (Somaliland), in close coordination with the federal member states, the beneficiary ministries and ESPs. MoEWR Sep 30, 2021 Page 7 of 20 The World Bank Somali Electricity Sector Recovery Project (P173088) (FGS); and the MoEM (Somaliland) will take overall E&S risk assessment and management responsibility detailed in the ESCP. This shall include ensuring the relevant E&S Framework instruments and/or plans, Environmental and Social management Framework, Resettlement Policy Framework and the Labor Management Procedures including GBV/SEAH, Security Management measures will be included into the ESHS specifications of the procurement documents with contractors. MoEWR (FGS); and the MoEM (Somaliland), will ensure that the contractors comply with the ESHS specifications of their respective contracts. Environmental and social standard’s sections will be included in the TORs, tender documents for suppliers and construction works contracts, such as the environmental and social clauses including Project E&S standards, codes of conduct, coordination, reporting, monitoring, and GRM. In addition ensure ESPs report key performance targets of ESHS performance including reporting on respective activities on environmental, OHS and social performance and status of implementation of the environmental and social mitigation measures within the reporting period to reflect the benefits of the investments. The capacity of the relevant Ministries, FMS, Contractors and ESPs and the detailed implementation arrangement will be part of the TORs of the Capacity Assessment and Development Plan. Expected Environmental and Social Benefits: The project will support improved electricity service delivery in the major load centers of Mogadishu and Hargeisa and in 7 main load centers identified for renewable generation optimization; and will provide benefits from improved health and education services. Overall, the project will benefit about 1.1 million households, equivalent to almost 7 million people, of which 3.5 million will be females, including those benefiting from improved health and education services. The application of automation and synchronization to the numerous generators in each of the targeted major load centers (Mogadishu and Hargeisa) will provide reduced cost of generation accruing from augmentation in generation capacity and reduced wet stacking with concurrent Public Disclosure lower fuel consumption, maintenance costs, and reduced GHG emissions. This is expected to reduce cost of generation reduction in power outages and maintenance costs contributing to reduced pollution and to positive social and economic aspects. The project support for hybrid opportunities under component 2 will offer significant improvements in fuel efficiency, fuel consumption, extended generator lifespans, reducing GHG emissions and combustion pollution, along with less reliance on fuel imports. Hybridization has already been noted to reduce electricity tariffs by about 40 percent in Somaliland. ESP selection criteria shall also includes requirement on existing loads to have minimal GHG emissions systems. Anticipated E&S risks and impacts: The anticipated potential environmental and social risks vary across components and activities. Potential environmental risks include (a) management of environmental and social risks and impacts of the Associated Facilities, such as ESP generation facilities (b) disposal and management of liquid and solid waste, such as spoils metals, cables, capacitor, wood, glass, and packaging materials; (b) disposal and management of hazardous wastes such as polychlorinated biphenyls (PCBs) from older imported transformers and capacitors in use by ESPs, transformer parts and oils, certain amount of heavy metals, used and damaged solar panels, and batteries; (c) soil erosion and degradation; (d) fauna and flora disturbance leading to loss of habitats due to land clearance; (e) dust and noise; (f) contamination and degradation of soil and water; (g) health and safety of employees and communities including those associated with operation of vehicles, plant and equipment, working at height, contaminations associated with improper handling of e-wastes, electrocution and aesthetic and light reflection, and resource use, mainly in areas of less availability. The potential project risks associated with the disposal and management of hazardous wastes will be more aggravated due to limited capacity on disposal, recycling, and management of nonbiodegradable hazardous wastes from electrical equipment; damaged or leftover solar panels, and used or damaged batteries; and limited knowledge and capacity in O&M of these new energy technologies, including Sep 30, 2021 Page 8 of 20 The World Bank Somali Electricity Sector Recovery Project (P173088) availability and affordability of parts. These risks and impacts are expected to be managed in accordance with the World Bank Group environment, health, and safety guidelines and the relevant requirements of Environmental and Social Standards ESS1, ESS2, ESS3, ESS4, and ESS6. Key social risks include: a) ensuring security for project operations and associated workers b) potential land acquisition required for the installation of 132 kv sub-transmission network and Distribution network. C) forced displacement of IDPs is said to be rampant especially in urban centers such as Mogadishu, Hargeisa and Garowe and may be carried out in anticipation of project investment c) Past issues around land and unsettled/multiple claims with the existing generation sites occupied by the ESPs and the distribution network c) systemic weakness in the capacity of implementing agencies to identify, understand and prevent adverse environmental and social impacts of the project (d) Potential establishment of workers camp may exacerbate risks associated with gender-based violence (GBV) or sexual abuse and exploitation (SAE) sexual exploitation and abuse, and other forms of GBV; Labor influx and associated gender-based violence risks, given the stark poverty rates in the country. Currently GBV risk for the project has been assessed to be High, based on the available information and GBV risk assessment Tool results. Social risks are also enhanced by the absence of formal legal framework for the management of E&S risks, the intricate stakeholder engagement process due to clan considerations, and the weak institutional capacity to address related social risks that may occur during stakeholder consultations under project activities and sub projects implementation. All social and environmental risk mitigation measures will be detailed in the appropriate ESF instruments to be prepared in line with ESS 1, 2, 4, 5, 7 and 10 and ESCP. As part of project preparation, the project has prepared and disclosed an ESMF, stakeholder engagement plan, Labour management procedures, standalone GBV AP and resettlement policy framework. The ESMF includes TOR for Sectoral Environmental and Social Impact Assessment (SESIA), TOR for Capacity Building Plan with activities, Public Disclosure timetable, budget and ToR for conducting assessment to confirm the presence of IP/Sub-Saharan Historically Underserved Traditional Local Communities as per ESS7 to 1) determine the applicability of the standard; 2) prepare an IPPF if required. Broader sectoral E&S risk assessment will be assessed through Sectoral Environmental and Social Impact Assessment (SESIA), commencing in the early phases of project implementation SESIA will examine environmental and social risks and impacts, and issues, associated with the energy sector and series of projects in Somalia; evaluates and compares the impacts against those of alternative options; assesses legal and institutional aspects relevant to the risks and impacts; and recommends broad measures to strengthen environmental and social management. SESIA will pay particular attention to potential cumulative risks and impacts of multiple activities. Site specific environmental and social standards instruments such as environmental and social impact assessments, environmental and social management plans, and/or resettlement action plans will be prepared as required prior to issuing Request for Proposals for the Contactors/executing agencies of respective sub projects. All ESF instruments shall be reviewed and cleared by the Bank and publicly disclosed for feedback as per ESS10. Under Component 4, the project will also invest in strengthening the capacities of participating ministries MoEWR and MoEM who will be responsible for the overall coordination by: (i) procuring an Environmental and Social firm to support the implementing agencies in the areas of health, safety, labor management, land, resettlement , community engagement and security; (ii) intensified and comprehensive training of the implementing ministries; (iii) continued budget allocation of E&S risk management. Given the low capacity level among the FGS, FMS, ESPs local contractors and consultants and other implementing partners substantial focus would be on building the capacity following Sep 30, 2021 Page 9 of 20 The World Bank Somali Electricity Sector Recovery Project (P173088) learning by doing approach and simultaneously supporting the policies, guidelines as a medium to long term capacity building Plan. This will complimented by institutional strengthening and capacity assessment in participating member states and roll out capacity building Plan accordingly and the assessment of ESP capacity to manage the E&S aspects in their operations by BSSF.. As per recommendation of SESIA and E&S Capacity Building Plan for the MOEWR and MoEM an Environmental and Social Management System shall be established within the MoEWR (FGS) and the MoEM (Somaliland) and within ESPs to manage the E&S risks and impacts of the private entities during the Operation and Maintenance Phase of project activities. ESS10 Stakeholder Engagement and Information Disclosure The government has prepared a Stakeholder Engagement Plan (SEP) Stakeholder consultations were held on April 28th 2021 (Somaliland) and on 22nd, 24th to 26th May, 2021 for FGS (Somalia). Additonal Stakeholder Engagement was were held during the month of June as from 15th to 30th 2021, all this have been and has been documented.As part of the disclosure plan and arrangement ,the ESMF,ESCP, RPF, LMP, GBV AP have been released publicly by the government .This instruments report would also be available on government & WB external website within which it could be possible to collect feedback, comments, and suggestion from interested entities.Furthermore, once the sub project design is finalized and the sites are identified the PIU will disclose the executive summaries of ESMF, RF, SA, LMP in a respective FMS and district offices. Public Disclosure The SEP provides the framework for identification of stakeholders, gauging stakeholder interest and providing systematic means and processes of inclusive and meaningful engagements in away that influences project design and implementation under all components.. Key identified stakeholders that will be engaged regularly through the life of the project, as well as in the succeeding phase of the program include MoEWR/MOEM in close partnership with ESPs , Ministries of Health and Education, who will be responsible for project implementation and management, relevant Federal Member States (FMS). Non-state stakeholders such as Development Partners (DPs) in energy sector like DFID IFC , communities, Affected persons, residents along the transmission/distribution line corridor and around the substation, local governments, village chiefs and the beneficiaries of the projects, infrastructure companies present in Somalia, government agencies, and the private sector. Stakeholder consultations is a continuous process built in to project design and will continue throughout the project implementation. Subsequent E&S assessment operations will ensure that stakeholder concerns are taken into account. Stakeholder consultation have been conducted during project preparation with several key stakeholders, such as Ministry of Health and Education, other relevant line Ministries, the FMS and the ESPs. The government institutions include: Federal Ministry of Energy and Water Resources, Directorate of Environment & Climate Change at the OPM, Puntland Ministry of Public Works, Ministry of Environment Puntland, Puntland Ministry of Labour and social affairs, South West Directorate of the Environment, South West - Ministry of Energy and Water Resource, South West – Ministry of labour and social affairs, South West – Ministry of Public Works, Jubaland – Ministry of Energy, Jubaland Ministry of Environment and Jubaland Ministry of Public Works. . In Somaliland, consultations were held with Ministry of Environment and Rural Development, Ministry of Energy and Minerals, Ministry of Public Works and the Sep 30, 2021 Page 10 of 20 The World Bank Somali Electricity Sector Recovery Project (P173088) Somaliland Lawyers Association, Hargeisa Water Agency. More consultation was done with the Electricity Service Providers including: Blue Sky, WESCO, NEPCO, Baidoa Electric Company, Solar chain technology, Safa Energy, Tamarso, Solar Chain Tech, Dalsan Power and SunMax. The Leaders of the IDPS at several camps were also consulted as one of the vulnerable groups. As a result, the project activities have been prioritized based on the consultations and stakeholder buy-in. The SEP is a live document, which will be updated during project implementation. It has shown the stakeholders feedback and opportunities for proposed future engagement and stated if major changes are made to the SEP, a revised SEP should be publicly disclosed. SEP will be updated to reflect completion of Framework Instruments such as ESMF, RPF and Security Management Framework as well as upon completion of ESIAs/ESMPs/RAPs and any other E&S instruments. Engagement with ESPs and other stakeholders included challenges currently faced by them on E&S aspects such as community engagement, security, labour, GBV, OHS, waste disposal was captured as well. SEP also has an inclusion plan that outlines the strategy for project for equitable distribution of benefits specially in areas with IDPs, minority groups etc. The SEP is planned to be implemented throughout the project life cycle, paying attention to the inclusion of vulnerable and disadvantaged groups (including the elderly, persons with disabilities, women, female headed households and orphans and vulnerable children). All consultations and engagements would take into account challenges and restriction requirements arising out of COVID 19 Pandemic. Where COVID-19 restrictions limit effective community engagements, traditional channels of communications such as TV, newspaper, radio and dedicated phone number etc. will be employed. A project specific Public Disclosure Communication Plan shall be prepared and rolled to reach out to project stakeholders pro-actively. A feedback and grievance redress mechanism (GRM), as part of SEP, has been provisioned to allow for feedback on the inclusiveness of the project and associated design and planning decisions and intended to ensure participation of beneficiaries and affected stakeholders or communities in project selection, design and location. The GRM provides an additional opportunity to resolve grievances at the local, community level (gender disaggregated) and provide avenue for resolution at different levels of the project implementation. This GRM would need to be updated along with the SEP from time to time. The project will set up sub project level GRMs close to the project location to enable faster access and resolution such as in the respective major load centers and participating FMS. The sub project level GRM would also feed into the central GRM. Separate GRMs for project workers would require to be set up by the Contractors. B.2. Specific Risks and Impacts A brief description of the potential environmental and social risks and impacts relevant to the Project. ESS2 Labor and Working Conditions The project will have direct workers employed or engaged by the project implementing agencies, contracted workers, and primary supply workers for the solar panel equipment. These will include, PIU’s of the implementing institutions (MoEWR/MOEM), construction workers hired for the anticipated transmission/distribution line construction/rehabilitation, mini-grids civil works (as required), trained technicians for the installation and maintenance of the institutional PV systems and mini grids and direct or contracted security personnel to protect the Sep 30, 2021 Page 11 of 20 The World Bank Somali Electricity Sector Recovery Project (P173088) project sites and people . Therefore, as a requirement of ESS2, MoEWR/MOEM has developed a Labor Management Procedures (LMP) for the project that outlines information on the terms and conditions of employment, principles regarding non-discrimination and equitable opportunity, the establishment of workers’ organizations, rules regarding avoiding use of child labor and forced labor, and occupational health and safety measures. The grievance mechanism for labor issues draws on ILO conventions which Somalia has ratified. Key risks under ESS2 are under occupational health and safety, labor working conditions, risks associated with labor influx and direct or contracted workers engaged to safeguard project personal and property given the security context in the project area. Main safety risk is electrocution particularly during installation and maintenance works of distribution lines accidents may occur which can result in injury and fatalities. Workers on construction sites are also highly exposed to injuries, falls, fatalities caused by machinery and/or transport, struck by falling object and risks from manual handling of heavy loads. Furthermore, if precaution measures are not in place, workers may be exposed to hazardous substances during collection and recycling practices of lead and battery acid within the workspace and the environment. In addition, working from height at the roof top of individuals may also bring an occupational hazard for the solar home system installation. Thus, ESMF includes risk assessments and appropriate measures to be included in site specific plans on OHS of workers during the construction and operational phases of the project components. In addition an occupational Health and Safety (OHS) plan in line with the WBG EHS General EHSG guideline and Guidelines for Electric Power transmission and Distribution and Good International Industry Practice (GIIP) Prior to project implementation will also be prepared will be developed and maintained by the government before call for proposals and/or calls for bids of any civil works and be implemented throughout the project implementation period. . Public Disclosure The project prepared LMP that provides guidelines on hiring, rules of conduct, training, equipping and monitoring of security workers while making the surety arrangements under the project following the proportionality, GIIP and applicable law. The project will not sanction any use of force in providing security except when used for defensive and preventive purposes in proportion to the nature and extent of threat. The project is expected to result in labor influx influx hence possibility of workers camps posing environmental and social risks. The ESIA will assess this risk in line with the Guidance Note on GBV and propose measures, such as a code of conduct and an anonymous grievance redress mechanism, in the LMP. Requirements applicable to contractors and subcontractors shall be specified in each Subproject specific contract document as part of the ESMP to be developed for each Sub-Project in accordance with the ESMF to address labor risks, including (but not limited to) requiring signature of and training on Code of Conduct, occupational, health and safety (OHS) measures; prevention of child and forced labor; emergency preparedness and response; grievance redress mechanism (GRM) for Project workers; training of Project workers on key issues including OHS and GBV prevention; and management of labor influx; and Covid-19 prevention and control The project at some stage may involve use of large work force and given the complexity and the concentrated number of workers, the potential for the spread of infectious disease in projects involving construction is extremely serious, as are the implications of such a spread. The ESIA and ESMP will access this risks and include adequate measures to prevent or minimize an outbreak of COVID-19, and what to do in the event of an outbreak, management of Construction and workers Camp sites. Sep 30, 2021 Page 12 of 20 The World Bank Somali Electricity Sector Recovery Project (P173088) MoEWR, MoEM shall require each private sector entities involved in the Project for purposes of Project operation and maintenance phase to adopt and implement Environmental and Social mitigation actions as well as enhance its capacity in accordance with the requirements set out in the respective Service Level Agreements/Concession Agreements which shall be prepared by MoEWR, MoEM, according to the requirements of applicable ESSs. Although no project funds are expected to flow to Private entities, SESIA and E&S Capacity Building Plan to manage the E&S risks and impacts of the private entities during the Operation and Maintenance Phase of project activities. ESPs would be required to prepare and adopt ESMP for the O&M stage at the time of signing agreement and report on ESMP implementation. Commensurate to the risk, the Bank will review and clear such ESMPs. ESS3 Resource Efficiency and Pollution Prevention and Management This project tackles climate change both from a mitigation and an adaptation perspective. By reinforcing the grid and building a more efficient and resilient network, the project will reduce technical losses in the grid and make the grid more climate resilient. In addition, by supporting the installation of BESS and solar PV systems, the project will optimize renewable energy generation and reduce greenhouse gases emissions. Finally, by increasing access to electricity services in communities highly vulnerable to climate change, the project will contribute to increased resilience. Several of the project activities will generate climate change mitigation and adaptation co-benefits as highlighted below: Component 1 activities (generator synchronization and the sub-transmission and distribution network reconstruction and capacity reinforcement, including reconductoring of existing lines with higher capacity conductors, will result in a Public Disclosure reduction in technical losses, estimated at 120 GWh energy savings annually in addition to reduced generator fuel consumption from wet-stacking estimated at about 24 million liters of diesel annually. Both the reduction in losses and reduced fuel consumption are estimated to lead to reduced GHG emissions equivalent to about 52 ktCO2 annually. •Component 2 (Renewable Energy Generation Optimization) will support installation of renewable energy capacity (both Solar PV and BESS) equivalent to about 19 MW equivalent to about 65 ktonCO2 of avoided GHG emission annually. •Component 3 will support installation of Solar PV systems of total capacity about 4.8 MWp leading to about 16 ktCO2 of avoided GHG emissions per year. The activities under the project will also address climate change vulnerability and hazards as facilities to be installed (transmission lines, synchronization systems and BESSs) will integrate resilient designs (such as the use of steel/concrete poles with concrete foundations, dust proof enclosure for the BESS equipment) that will shield the power sector from the future impacts of extreme weather. Such measures are expected to address structural stability and impact of high temperature, floods and high winds and will generate climate change adaptation co-benefits. •Component 4 will contribute to climate mitigation as the activities related to capacity building and institutional strengthening will support to have in place institutional policies that will enhance both increased uptake of renewable energy (through the prioritization to be undertaken under the Sector Least Cost Development Plan and the associated Wind Resource site specific measurements, geothermal resource mapping) in addition to enabling the sector’s energy Policy that prioritizes renewable energy based generation given the country’s comparative advantage. Further, the component will support to establish a regulatory regime that will require the existing ESPs to improve their efficiency and lower cost of operations whereby these efficiency gains are expected to the amount of ADO used for generation leading to reduced emissions equivalent to about 604,000 tCO2 equivalent . Sep 30, 2021 Page 13 of 20 The World Bank Somali Electricity Sector Recovery Project (P173088) Potential issue related with project activities under component 2 and 3 (mini grids and SHS) is generation of hazardous wastes due to the generation of solid and hazardous wastes associated with Photovoltaic panels and used solar batteries. The potential for environmental contamination will be a significant if the PV panels and solar batteries are damaged or improperly disposed upon their end life and decommissioning. The ESMF has included guidance for sub project ESIA/ESMP to include Proper planning and good maintenance practices to minimize impacts from hazardous materials through development of a waste management plan and Hazardous waste handling, storage and disposal protocol focusing on used and damaged PV- panels and batteries as part of comprehensive ESMP. There is risk under component 1 of adverse impacts around solid and liquid waste spoils metals, cables, capacitor wood, glass ,packaging materials as well as hazardous wastes such as polychlorinated biphenyls (PCBs) from older imported transformers and capacitors, transformer parts & oils, fluorescent bulbs and a certain amount of heavy metals (chromium, copper and arsenic). ESMF will address above issues, management of impacts/risks regarding solid and liquid wastes that are related with construction/rehabilitation and network upgrading activities. Lessons learnt from the support provided under the SEAP project and Best industry practices like solar batteries and panels management guidelines, and application of WBG EHS Guidelines for Electric Power Transmission and Distribution will be further detailed in site specific ESIAs/ESMPs for subprojects during the project implementation stage. Moreover, in relation to components one, two and three, the client shall commit to require civil works contractor(s) to develop C-ESMP (comprising HSE plan, waste management plan, resource efficiency (as required) as per the ESMF and site specific ESMP/ESIA, and enforce their implementation accordingly So far as financially feasible, the project should plan to minimize the amount of SF6 released through replacing older equipment with more efficient, better sealed Public Disclosure units; and improving processes to minimize emissions during maintenance of switchgear and reducing leaks while in service. ESS4 Community Health and Safety The ESMF has evaluated the risks and impacts of the project on health and safety of the communities during the project life cycle and propose mitigation measures in accordance with the mitigation hierarchy by establishing community safety management system including training and awareness for the local community. The ESMF includes requirements for contractor to develop and submit work methods statements comprising of CoVID risk prevention and mitigation measures, as per the World Bank ESF/Safeguards Interim Note: Covid-19 Considerations In Construction/Civil Works Projects Guidance note for Vendors during COVID-19 (Coronavirus) situation, National and WHO COVID prevention protocol. and job hazards and safety analysis. The Project stakeholders engagement approach will consider the evolving nature of COVID19 and adopt prevention measures based on the WHO and the government guidance and the Technical Note on Public Consultation and Stakeholder Engagement in World bank Supported Operations when there are constraints on conducting public meetings, March 2020. Potential impacts are the rise of GBV, SEA and other type of tensions or violence with the local communities. These risks will be assessed during the preparation of the site specific ESMP/ESIA and appropriate measures proposed in the ESMP or LMP including taking adequate precautions to prevent or minimize an outbreak of COVID-19, and having appropriate measures in place in the event of an outbreak. The draft GBV Action Plan includes measures to protect community health and safety including GBV- SEA/SH prevention and response action plan and code of conduct. Sep 30, 2021 Page 14 of 20 The World Bank Somali Electricity Sector Recovery Project (P173088) The project is expected to result in health and safety impacts to the community in the project area, such as impacts associated to exposure to dust, noise and vibration, electric magnetic field, an increase in traffic, risk of children climbing towers for component 1 actvities in urban setting as well as transmissible diseases or violent behaviors related to labor influx. The laying of green field 132 kv sub transmission network, rehabilitation and expansion of distribution networks and erection of poles may potentially cause risks to communities, including falling in to uncovered and unreasonably left open utility pole holes. To minimize and/or avoid impact mitigation measures will be clearly considered in the Safety management plan and contractor method statements, such as contractor environmental and social management plan. In addition, to avoid any safety impacts due to climbing on MV poles, mainly those installed nearby settlements, the contractor will make a fence and/or vegetation or wires with spikes around transmission/distribution MV poles, as required, to prevent children scaling them. The project will undertake capacity building and regular community awareness on safety measures in local communities to reduce risk of children climbing towers. Towers will be ringed with protective fencing and/or spikes on towers once line is activated, to prevent electrocution. . Further, all works, and operations will be planned, designed and implemented to comply with the WBG EHS guidelines. The installation of Standalone Solar Systems in schools and health institutions, can disrupt regular functions of the institutions through impacts such as dust emission, noise, and increased generation of solid waste. Furthermore, the emission of lead and battery acid to the environment can causes severe and potentially life-threatening health risks for workers and the communities surrounding if left uncontrolled. The potential risks and mitigation measures for impacts on beneficiaries has been analyzed in the ESMF and will be detailed in subproject specific ESMPs. site specific ESMP/ESIA will also assess the risks associated with Electric and Magnetic Fields according to international standards and ensure that inhabitable structures remain Public Disclosure outside the Right of Way. While project associated traffic movements are expected to be moderate, there is the likelihood for traffic congestion at the onset of construction activities, while the material is being transported. This matter is further amplified by the fact the project is targeting major load centers which are in busy urban dense setting of Hargeisa and Mogadishu. An assessment of potential for increase traffic and road load will be conducted as part of ESIA and mitigation measures will be developed in the sub project specific ESMP and Contractor ESMP . The government will evaluate the risks and impacts of the project on the health and safety of the affected communities that are living in the project affected areas during construction and operation phase. This will include adverse social impacts such as labor influx and associated impacts, Gender-Based Violence (GBV), sexual exploitation and the transmission of communicable diseases such as HIV/AIDS/COVID on local communities. A need for community awareness plan preparation will be included in the sub project specific ESIA/ESMP for new sub transmission and distribution network, in the major load centers and for component 3 on health and education facilities to be supported under the project. Communication plans will be designed to create awareness in areas of previously unserved communities, to alert them ( especially children) of the risks of electrocution, and have appropriate mitigation measures, such as fences around step-down transformers, spikes on pylons and even utility poles if possible, and fire prevention equipment stored safely and regularly maintained. Incident reporting and response mechanism would require to be developed under each sub project specific contract that shall link to the project level incident management system. Sep 30, 2021 Page 15 of 20 The World Bank Somali Electricity Sector Recovery Project (P173088) It is expected that project may engage international contractors and experts as well as establishment of contractor’s camp in the project area during construction activities. While it is expected that the contractor comes with a team of skilled personnel to carry out the specialized tasks such as laying out the lines, local contractors, service providers, unskilled or semi-skilled workers may be required to prepare the base of the sub transmission towers and substations, supply and install solar systems and hybrid systems. Moreover, some material such as cement may be procured at the local level. This labor influx is expected to subside after the completion of the civil works.. A draft Security Management Framework has been prepared, the SMF outlines the actions required for detailed security risk assessment and preparation of a security management plan (SecMP) for the project proportionate to the potential risks and activities under various components. Conflict and insecurity remain persistent challenges in Somalia and have, in the past, impeded delivery of projects. Ensuring security for project operations amid armed groups in a region with a recent history of relative lawlessness and the potential for increased conflict due to the drought, will remain a significant challenge. This general insecurity may impact generation facilities, substation, project workers and beneficiaries. In addition, the presence of security services in the project area can pose a threat to the community through violence, exploitation and abuse. ESS5 Land Acquisition, Restrictions on Land Use and Involuntary Resettlement The project activities will lead to potential land acquisition due to the installation of green field sub-transmission and distribution network. The project may need need to manage past issues around unsettled/multiple claims to land and assets proposed for sub project level investments inside or outside the existing facilities occupied by private or public Public Disclosure service providers. Since the subproject specific sites are not known at this stage, land requirements for sub-projects will only be identified during project implementation using environmental and social screening criteria that has been defined in the ESMF. A Resettlement Framework (RPF) has been developed in accordance with the requirements of ESS5 and national legal requirements; will be consulted upon and disclosed prior to appraisal. The RPF covers; description of land tenure and existing institutional arrangements, mitigation measures for addressing temporary livelihood challenges such as disruption to livelihoods and mechanisms to ensure that affected communities are meaningfully consulted, participated in the planning process, adequately compensated to the extent that their pre-displacement livelihoods and living standards have been restored, and the process is a fair and transparent. As necessary, Resettlement Plans (RPs) will be prepared during project implementation, consulted up on and publicly disclosed after review and clearance by the Bank for any land acquisition and impacts on assets, and livelihoods. While some municipalities have some form of land administrations and tenure systems in the cities, Land administration and management is fragmented and non-existent in most part of Somalia. The country currently does not have a national land acquisition law, land tenure is likely to remain more collective than individual in nature, particularly in rural areas. When compared to requirement of ESS 5, the federal Government of Somalia laws has inadequacies around consultation requirements, eligibility for compensation, valuation method, grievance redress mechanism, disclosure of information and the timing of compensation payments. Hence, the Bank's ESS5 will take precedence over FGS laws. Sep 30, 2021 Page 16 of 20 The World Bank Somali Electricity Sector Recovery Project (P173088) Compounded by gaps in legal and regulatory frameworks, compensation requirements for affected assets, land appropriation and asset valuation will be very challenging. A social and conflict analysis is recommended to be undertaken as part of investment specific RAP to examine how the project activities will interact with local social dynamics which will help in understanding the claims to the land occupied by the existing facilities for electricity generation, transmission, the proposed alignment/land for green field infrastructure, impact of the project on IDPs and to come up with solutions to compensation for land acquisition/land transfers under the project specially in areas not covered by a formal tenure system.. Risks of forced displacement of IDPs by the government: Forced displacement of IDPs, who fled from drought and violence and have settled on idle private or public lands in Somali cities, is rampant especially in urban centers such as Mogadishu, Hargeisa and Garowe where land is scarce and land values are high. Between January and July 2018, over 204,000 people were evicted without any prior notice or due process. While project-related economic and physical displacement will be managed through ESS5, there are risks that the project might inadvertently involve areas where such forced displacement of IDPs have been conducted. To avoid such risks, if forced displacement were conducted in the right of way (ROW) of project -financed infrastructure relevant ESS5 requirements would need to be applied. If such requirements cannot be satisfied, the Bank will not support such infrastructure. This commitment will be included in the ESCP. The details to address such risks will be included in the RPF. Once the specific sites have been identified, site specific Resettlement Action Plans (RAPs) will be developed, cleared and fully implemented before inititing works for the associated activities. This is expected to be a project implementation output. The RAP will cover permanent and temporary impacts. Permanent impacts will result in a Public Disclosure complete loss of use of property, vegetation, or land by the PAPs as a result of the subproject activities. This is likely to occur where permanent installations are established. Temporary impacts will result in an interruption in the current use of property or land by the affected persons as a result of the subproject activities. This is likely to occur during, excavations for tower foundations construction of the substations, access and safety zones. At the time of preparation of RAP, Government Budget availability situation would require to be reassessed to ensure timely disbursement of the land compensation and other resettlement entitlements. ESS6 Biodiversity Conservation and Sustainable Management of Living Natural Resources The project’s activities are likely to be restricted to urban areas where there is major load centers, existing road, energy corridors or Way leave/ROW and within mini grids existing footprint and therefore impacts on natural and sensitive habitats is expected to be limited. Nevertheless, as the location of actual physical infrastructure are still not identified, the potential impacts will only be identified during project design when specific routes are known, and will be addressed in the in the site specific ESIA/ESMP/RAP instruments to be prepared for this project. Construction in critical habitat would not be eligible under this project. Equally, it will ensure not to endanger natural habitats or cultural sites. The anticipated impacts of the proposed SESRP component 3 are expected to be manageable and most of them may stem from ground disturbance due to vegetation clearance, installation of equipment, and waste management within and around the core activities area. It is anticipated that there will be limited irreversible adverse effects associated with the construction and operation of the project. However, off-grid Sep 30, 2021 Page 17 of 20 The World Bank Somali Electricity Sector Recovery Project (P173088) solar product which will be used in deep rural areas where the beneficiaries have no or limited knowledge of disposal and recycling of the anticipated large amount of e- wastes. The screening checklist developed as a part of ESMF will be used to screen out subproject sites deemed to cause risks/impacts to areas of high biodiversity values, critical or sensitive natural habitats within project areas, protected areas, and endemic flora and fauna including protected animal or plant species. The screening process to be carried out by the implementing entities shall include an identification of the types of habitats which will be affected and make consideration of potential risks and impacts on ecological function of the habitats at which PV Solar panels will be installed on specific site within remote or rural areas. The ESMF (with embedded screening procedures) and Subproject environmental and social risk management instruments included provisions for biodiversity assessment (including bird collision and electrocutions from the grid network rehabilitations), management and conservation measures to manage risks and impacts to any natural habitats consistent with the requirements of ESS6 The project design will consider use of bird-friendly types of power poles for medium voltage range (distribution lines): Suspended insulators; Insulated wires; Insulated cross-arms. To avoid raptor electrocution, the ESIA will look at mitigation around installing nest platforms on towers to reduce hazards to both birds and the electrical. To reduce collisions with existing wires, the ESIA will look at mitigation areas around installing vertical clearly visible hanging markers. to adopting a single-level arrangement of high-voltage conductor cables to avoid collision. ESS7 Indigenous Peoples/Sub-Saharan African Historically Underserved Traditional Local Communities Public Disclosure Presence of communities that meet the identification criteria for IP/SSAHUTLCs is yet to be confirmed at this stage. Consistent with ESS7, the government shall further analyze the application of ESS 7 based on Consultations with experts and potentially affected groups and will prepare a IPPF if needed. IPPF will include the screening checklist to confirm the presence of this groups and circumstances requiring Free Prior and informed Consent (FPIC).The TORs for IPPF has been included in the ESMF and commitment to prepare IPPF has been included in the ESCP. ESS8 Cultural Heritage The project will not finance project activities that will affect cultural heritage resources sites. The borrower shall avoid impacts on cultural heritage. When avoidance of impacts is not possible, the Borrower will identify and implement measures to address impacts on culture heritage in accordance with mitigation hierarchy (where appropriate, the client shall develop a cultural heritage management plan. The application of this standard works mainly for the project components that undergoes construction activities. i.e., for network rehabilitation and solar Mini grid. An environmental and social screening procedure developed in the ESMF with procedures for identification of cultural heritage and assessment of tangible and intangible heritage in consultation with affected stakeholders. A chance-find procedure is articulated in the ESMF, in the event contractors stumble on such chance finds during project implementation. Sep 30, 2021 Page 18 of 20 The World Bank Somali Electricity Sector Recovery Project (P173088) ESS9 Financial Intermediaries This ESS9 is not relevant to the project as the project would not involve financial intermediaries. B.3 Other Relevant Project Risks 1. Security risks: With Al-Shabaab still in control in some parts of the country and their attacks frequently targeting government and other strategic infrastructure and persons in urban areas including some target load centers, the security risks for the infrastructure assets created are substantial. This situation also poses insecurity for Bank staff and limits access to project sites, making the project monitoring difficult. The security situation may prevent or delay the civil works and achievement of project objectives. 2. The current political stalemate, accessibility of sub projects sites for monitoring and support, regulations and procedures to be established to regulate the private sector which is required to be in line with ESF provisions etc. 3. Considering the infuence of the private sector involvement and leverage of the government, the potential environmental and social risks of project activities intended to be implemented through a combination of public and private sector led approaches can present implementation challenges. 4. Given the Government Budget availability situation, the project may face challenges to enable timely delivery of land compensation and resettlement assistance to the project affected persons as required under ESS5. This can delay the project substantially. Hence, the Government ability to allocate land compensation and resettlement cost Public Disclosure may have to be reasessed when RAP estimates are prepared. C. Legal Operational Policies that Apply OP 7.50 Projects on International Waterways No The project would not be operating in areas with international waterways OP 7.60 Projects in Disputed Areas No The project would not be operating in disputed areas B.3. Reliance on Borrower’s policy, legal and institutional framework, relevant to the Project risks and impacts Is this project being prepared for use of Borrower Framework? No Areas where “Use of Borrower Framework” is being considered: The borrower’s framework, neither in whole nor in part, is proposed to be relied on for the project. IV. CONTACT POINTS Sep 30, 2021 Page 19 of 20 The World Bank Somali Electricity Sector Recovery Project (P173088) World Bank Contact: Patrick Thaddayos Balla Title: Senior Energy Specialist Telephone No: 5327+6817 / 254-20-293-6817 Email: pballa@worldbank.org Contact: Chiara Odetta Rogate Title: Energy Specialist Telephone No: +1-202-473-2069 Email: crogate@worldbank.org Contact: Paul Baringanire Title: Senior Power Engineer Telephone No: +1-202-473-1056 Email: pbaringanire@worldbank.org Borrower/Client/Recipient Borrower: Federal Republic of Somalia Borrower: Ministry of Finance, Somaliland Implementing Agency(ies) Implementing Agency: Ministry of Energy and Minerals, Somaliland Implementing Agency: Federal Ministry of Energy and Water Resources (MoEWR) Public Disclosure V. FOR MORE INFORMATION CONTACT The World Bank 1818 H Street, NW Washington, D.C. 20433 Telephone: (202) 473-1000 Web: http://www.worldbank.org/projects VI. APPROVAL Task Team Leader(s): Chiara Odetta Rogate, Paul Baringanire, Patrick Thaddayos Balla Practice Manager (ENR/Social) Noreen Beg Cleared on 23-Sep-2021 at 11:51:15 GMT-04:00 Safeguards Advisor ESSA Peter Leonard (SAESSA) Concurred on 30-Sep-2021 at 10:40:39 GMT-04:00 Sep 30, 2021 Page 20 of 20