Report No: PAD4988 INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT PROJECT APPRAISAL DOCUMENT ON A PROPOSED LOAN IN THE AMOUNT OF US$108 MILLION TO INDIA FOR ASSAM INTEGRATED RIVER BASIN MANAGEMENT PROJECT AS PHASE 1 OF ASSAM INTEGRATED RIVER BASIN MANAGEMENT PROGRAM UTILIZING THE MULTI-PHASE PROGRAMMATIC APPROACH WITH AN OVERALL FINANCING ENVELOPE OF US$500 MILLION March 3, 2023 Water Global Practice South Asia Region This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization. CURRENCY EQUIVALENTS Exchange Rate Effective January 31, 2023 Currency Unit = Indian Rupee (INR) INR 81.88= US$1 US$0.01 = INR 1 FISCAL YEAR April 1 - March 31 Regional Vice President: Martin Raiser Country Director: Auguste Tano Kouame Regional Director: John A. Roome Practice Manager: Sumila Gulyani, Abhas Kumar Jha Task Team Leader(s): Greg J. Browder, Anup Karanth, Satya Priya LNU The World Bank Assam Integrated River Basin Management Program (P174593) ABBREVIATIONS AND ACRONYMS ADB Asian Development Bank IBRD International Bank for Reconstruction and AIRBMP Assam Integrated River Basin Development Management Program ICT Information and Communications ASDMA Assam State Disaster Management Technology Authority IFRMP Integrated Flood Risk Management Plan CBA Cost-Benefit Analysis INR Indian Rupee CDMC Circle Disaster Management Committee IPF Investment Project Financing CE Citizen Engagement IWRM Integrated Water Resources Management CPF Country Partnership Framework MIS Management Information System CQRT Circle Quick Response Team MOU Memorandum of Understanding CWC Central Water Commission MPA Multiphase Programmatic Approach DNA Disaster Needs Assessment NBS Nature-Based Solutions DR&DM Department of Revenue and Disaster NESAC North Eastern Space Applications Center Management NHP National Hydrology Project DRM Disaster Risk Management OBC Other Backward classes E&S Environment and Social PDNA Post Disaster Needs Assessment EOC Emergency Operations Centre PDO Project Development Objective ESCP Environment and Social Commitment PIE Project Implementing Entity Plan PIU Project Implementation Unit ESIA Environmental and Social Impact PMTC Project Management and Technical Assessment Consultant ESMF Environmental and Social Management PMU Project Management Unit Framework POM Project Operations Manual PPSD Project Procurement Strategy for ESMP Environmental and Social Management Development Plan PrDO Program Development Objective ESF Environmental and Social Framework PWD Public Works Department ESRS Environmental and Social Review RAP Resettlement Action Plan Summary RFB Request for Bids ESS Environmental and Social Standard RFM Results Framework and Monitoring EWDS Early Warning & Dissemination System RFQ Request for Quotations FGD Focus Group Discussion SAPCC State Action Plan on Climate Change FLEWS Flood Early Warning System SAWI South Asia Water Initiative FM Financial Management SEA/SH Sexual Exploitation and Abuse and Sexual FREMAA Flood and River Erosion Management Harassment Agency of Assam SEP Stakeholder Engagement Plan GAP Gender Action Plan STEP Systematic Tracking of Exchanges in GBV Gender-Based Violence Procurement GCRF Global Crisis Response Framework VDMP Village Disaster Mitigation Plan GDP Gross Domestic Product VLCDMC Village Land Conservation and Disaster GHG Greenhouse Gas Management Committee The World Bank Assam Integrated River Basin Management Program (P174593) GoA Government of Assam WRD Water Resources Department GoI Government of India WRM Water Resources Management GRM Grievance Redress Mechanism GRS Grievance Redress Service HIU Hydro-Informatics Unit IA Implementing Agency IC Internal Committees The World Bank Assam Integrated River Basin Management Program (P174593) TABLE OF CONTENTS DATASHEET ............................................................................................................................ i I. STRATEGIC CONTEXT ...................................................................................................... 1 A. Country Context................................................................................................................................ 1 B. Sectoral and Institutional Context .................................................................................................... 2 C. Relevance to Higher Level Objectives............................................................................................... 7 D. Multiphase Programmatic Approach ............................................................................................... 8 II. PROJECT DESCRIPTION.................................................................................................. 17 A. Project Development Objective ..................................................................................................... 17 B. Project Components ....................................................................................................................... 18 C. Project Beneficiaries ....................................................................................................................... 22 D. Rationale for Bank Involvement and Role of Partners ................................................................... 22 E. Lessons Learned and Progress on Learning Agenda ....................................................................... 23 III. IMPLEMENTATION ARRANGEMENTS ............................................................................ 24 A. Institutional and Implementation Arrangements .......................................................................... 24 B. Results Monitoring and Evaluation Arrangements......................................................................... 24 C. Sustainability................................................................................................................................... 24 IV. PROJECT APPRAISAL SUMMARY ................................................................................... 24 A. Technical, Economic and Financial Analysis (if applicable) ............................................................ 24 B. Fiduciary.......................................................................................................................................... 27 C. Legal Operational Policies ............................................................................................................... 27 D. Environmental and Social ............................................................................................................... 28 V. WORLD BANK GRIEVANCE REDRESS .............................................................................. 30 VI. KEY RISKS ..................................................................................................................... 30 VII. RESULTS FRAMEWORK AND MONITORING ................................................................... 32 ANNEX 1: Implementation Arrangements and Support Plan ....................................................... 38 . The World Bank Assam Integrated River Basin Management Program (P174593) DATASHEET BASIC INFORMATION BASIC_INFO_TABLE Country(ies) Project Name India Assam Integrated River Basin Management Program Project ID Financing Instrument Environmental and Social Risk Classification Investment Project P174593 Substantial Financing Financing & Implementation Modalities [✓] Multiphase Programmatic Approach (MPA) [✓] Contingent Emergency Response Component (CERC) [ ] Series of Projects (SOP) [ ] Fragile State(s) [ ] Performance-Based Conditions (PBCs) [ ] Small State(s) [ ] Financial Intermediaries (FI) [ ] Fragile within a non-fragile Country [ ] Project-Based Guarantee [ ] Conflict [ ] Deferred Drawdown [ ] Responding to Natural or Man-made Disaster [ ] Alternate Procurement Arrangements (APA) [ ] Hands-on Enhanced Implementation Support (HEIS) Expected Project Approval Expected Project Closing Expected Program Closing Date Date Date 30-Mar-2023 31-Jul-2027 31-Jul-2033 Bank/IFC Collaboration No MPA Program Development Objective To reduce the vulnerability of people to climate-related disasters and improve integrated water resources management in Assam MPA Financing Data (US$, Millions) Financing i The World Bank Assam Integrated River Basin Management Program (P174593) MPA Program Financing Envelope 625.00 Proposed Project Development Objective(s) To reduce the vulnerability of people to climate-related disasters and improve integrated water resources management in Assam. Components Component Name Cost (US$, millions) Component 1: Institutional Strengthening and Strategic Studies 20.00 Component 2: Water Resources Management 80.00 Component 3: Disaster Risk Management 35.00 Component 4: Contingent Emergency Response 0.00 Organizations Borrower: India Implementing Agency: Assam State Disaster Management Authority Flood and River Erosion Management Agency of Assam Government of Assam, Water Resources Department MPA FINANCING DETAILS (US$, Millions) MPA FINA NCI NG DET AILS (US$, Millions) Approve d MPA Program Financing Envelope: 625.00 of which Bank Financing (IBRD): 500.00 of which Bank Financing (IDA): 0.00 of which other financing sources: 125.00 PROJECT FINANCING DATA (US$, Millions) FIN_SUMM_NEW SUMMARY -NewFin1 Total Project Cost 135.00 Total Financing 135.00 ii The World Bank Assam Integrated River Basin Management Program (P174593) of which IBRD/IDA 108.00 Financing Gap 0.00 DETAILS -NewFinEnh1 World Bank Group Financing International Bank for Reconstruction and Development (IBRD) 108.00 Non-World Bank Group Financing Counterpart Funding 27.00 Borrower/Recipient 27.00 Expected Disbursements (in US$, Millions) WB Fiscal 2023 2024 2025 2026 2027 2028 Year Annual 2.50 10.50 15.00 30.00 30.00 20.00 Cumulative 2.50 13.00 28.00 58.00 88.00 108.00 INSTITUTIONAL DATA Practice Area (Lead) Contributing Practice Areas Water Urban, Resilience and Land Climate Change and Disaster Screening This operation has been screened for short and long-term climate change and disaster risks SYSTEMATIC OPERATIONS RISK-RATING TOOL (SORT) Risk Category Rating 1. Political and Governance ⚫ Low 2. Macroeconomic ⚫ Moderate 3. Sector Strategies and Policies ⚫ Moderate iii The World Bank Assam Integrated River Basin Management Program (P174593) 4. Technical Design of Project or Program ⚫ Moderate 5. Institutional Capacity for Implementation and Sustainability ⚫ Moderate 6. Fiduciary ⚫ Moderate 7. Environment and Social ⚫ Substantial 8. Stakeholders ⚫ Moderate 9. Other 10. Overall ⚫ Moderate Overall MPA Program Risk ⚫ Moderate COMPLIANCE Policy Does the project depart from the CPF in content or in other significant respects? [ ] Yes [✓] No Does the project require any waivers of Bank policies? [ ] Yes [✓] No iv The World Bank Assam Integrated River Basin Management Program (P174593) Environmental and Social Standards Relevance Given its Context at the Time of Appraisal E & S Standards Relevance Assessment and Management of Environmental and Social Risks and Impacts Relevant Stakeholder Engagement and Information Disclosure Relevant Labor and Working Conditions Relevant Resource Efficiency and Pollution Prevention and Management Relevant Community Health and Safety Relevant Land Acquisition, Restrictions on Land Use and Involuntary Resettlement Relevant Biodiversity Conservation and Sustainable Management of Living Natural Resources Relevant Indigenous Peoples/Sub-Saharan African Historically Underserved Traditional Local Relevant Communities Cultural Heritage Relevant Financial Intermediaries Not Currently Relevant NOTE: For further information regarding the World Bank’s due diligence assessment of the Project’s potential environmental and social risks and impacts, please refer to the Project’s Appraisal Environmental and Social Review Summary (ESRS). Legal Covenants Sections and Description Section I.A.3 of the Schedule to the PA: The PIE shall: (a) maintain the PMU within FREMAA throughout Project implementation, supported by a full-time PMTC, which PMU will also support WRD and ASDMA; (b) ensure that the PMU is provided with financial resources, functions and competencies, as shall be required to carry out the day-to- day management and coordination of implementation, monitoring and evaluation of the Project. Sections and Description Section I.A.4 of the Schedule to the PA: The PIE shall maintain throughout Project implementation, the governing body of FREMAA as a PSC. Sections and Description v The World Bank Assam Integrated River Basin Management Program (P174593) Section I.A.5 of the Schedule to the PA: The PIE shall maintain, throughout Project implementation, the WRD PIU. Sections and Description Section I.A.6 of the Schedule to the PA: The PIE shall maintain, throughout Project implementation, the ASDMA PIU. Sections and Description Section I.C.1 of the Schedule to the PA: The PIE, through the Implementing Agencies, shall ensure that the Project is carried out in accordance with the Environmental and Social Standards, in a manner acceptable to the Association. Sections and Description Section I.B.1-2 of the Schedule to the PA: The PIE, through the Implementing Agencies, shall carry out the Project in accordance with the provisions of the POM. Conditions Type Financing source Description Disbursement IBRD/IDA Section III.B.1 of Schedule 2 to the Loan Agreement: No withdrawal shall be made: (a) for payments made prior to the Signature Date, except that withdrawals up to an aggregate amount not to exceed $21,600,000 may be made for payments made prior to this date but on or after April 15, 2022, for Eligible Expenditures under Category (1); or (b) for Emergency Expenditures under Category (2), unless and until all of the following conditions (i) and (ii) in this section have been met in respect of said expenditures. vi The World Bank Assam Integrated River Basin Management Program (P174593) I. STRATEGIC CONTEXT A. Country Context 1. India’s economy may slow down, coming off a strong recovery in FY21/22 (April 2021-March 2022). The spillovers from global geopolitical tensions and the global monetary policy tightening cycle are expected to weigh on India’s economic outlook: elevated inflation on the back of higher prices of key commodities, heightened global uncertainty, and rising borrowing costs could affect domestic demand, while slowing global growth may dampen India’s export growth. Despite these challenges, India is expected to remain one of the fasted growing major economies in the world, due to robust domestic demand. The growth in FY22/23 is likely to moderate to 6.9 percent from 8.7 percent in FY21/221. Domestic demand is expected to remain on a recovery path, despite external headwinds. The government’s strong capex program will support investment, while private consumption will benefit from consumer spending in high- and middle-income groups. Net exports may continue to drag on growth due to slowing global growth and high commodity prices. The rising merchandise trade deficit is likely to push the current account deficit to 3.2 percent of gross domestic product (GDP) in FY22/23. Due to recovering demand, elevated global commodity prices and adverse weather conditions, headline inflation crept above the Reserve Bank of India’s tolerance range in January 2022. It remained above the target range for ten months before returning to below the upper end of the target range of 6 per cent in November 2022 and is expected to gradually ease further next year2. The government’s gradual fiscal consolidation efforts will be bolstered by strong revenue performance. Goods and Services Tax collections continue to be strong, having crossed the INR 1 trillion mark every month since July 2021, reaching as high as INR 1.67 trillion in April 2022. 2. Although India has made remarkable progress in reducing extreme poverty over the past two decades, the COVID-19 pandemic has slowed progress, and poses risks to welfare. Prior to the pandemic, the share of the population living below US$2.15 per person per day (2017 PPP) is estimated to have fallen from 22.5 in 2011 to 10 percent 2019.3 This was accompanied by a sharp decline in the incidence of multidimensional poverty, from 27.7 percent in 2005/06 to 16.4 percent in 2019/21.4 However, the pace of poverty reduction has slowed in recent years, with key welfare indicators being slow to improve.5 More than 40 percent of India’s population lived below the lower-middle income poverty line even before the pandemic.6 Inequality in consumption has remained stable, with a Gini index of around 35 over the past two decades. Child malnutrition has remained high, with 35.5 percent of children under the age of 5 being stunted and 67 percent of children 1 World Bank real GDP forecasts for FY22/23 published in India Development Update, December 2022 2 IMF, World Economic Outlook 3 World Bank Poverty and Inequality Platform. https://pip.worldbank.org/country-profiles/IND. In 2004, India’s extreme poverty rate was 39.9 percent using the same international poverty line. 4 UNDP (United Nations Development Programme), OPHI (Oxford Poverty and Human Development Initiative). 2022. 2022 Global Multidimensional Poverty Index (MPI): Unpacking deprivation bundles to reduce multidimensional poverty. New York. 5 World Bank Poverty and Inequality Platform. https://pip.worldbank.org/country-profiles/IND. 6 US$3.65 per capita per day (2017 PPP). World Bank Poverty and Inequality Platform. https://pip.worldbank.org/country-profiles/IND Page 1 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) aged 6-59 months being anemic in 2019-21.7 Despite a substantial social protection response from the Government of India (GoI), the COVID-19 pandemic has likely reversed recent welfare gains, exposed vulnerabilities in the labor market, and posed new risks to welfare. Headline labour market indicators have improved since the pandemic and unemployment has reduced and been stabilized at 7.5 percent in 2020-21.8 3. The State of Assam is one of the least economically developed parts of the country . Assam ranks 26th among 28 states in NITI Aayog's Sustainable Development Goal (SDG) Index (2020-21),9 with 32 percent of its 31.2 million10 population living below the national poverty line. Per capita GDP (constant prices) grew by 5.26 percent in 2019-20, which was just over the national average of 5.1 percent. Eighty-five percent of Assam's population lives in rural areas, and 65 percent of them depend on agriculture as their primary source of income. A significant portion of this is subsistence farming with low cropping intensity due to limited irrigation availability, among other factors, which results in low productivity per unit area compared to the average across India. 4. Assam possesses several attributes that, under a supportive economic policy, could contribute significantly to its growth and raise standards of living. This includes a rich cultural heritage, vast natural resources (particularly in water and forests), high levels of biodiversity, significant opportunities for increasing inland water transport and high agricultural potential. Assam is strategically important as the largest and most populous State in the Northeast region. The Northeast is a gateway to Bangladesh and Southeast Asia and has the potential to transform into a commercial and tourism hub. The Brahmaputra River, which traverses through Assam on its way from China to Bangladesh, carries a third of India's freshwater runoffs and is one of the few ‘open basins’ in India where renewable water availability far exceeds current demands. The river is also an important transport artery and is designated as India’s National Waterway 2, while the smaller Barak River that also traverses Assam and parts of the Northeast constitutes National Waterway 6. The Brahmaputra River is a vital asset for Assam's people, and its abundant water resources could be productively used to promote economic development. B. Sectoral and Institutional Context 5. The State of Assam holds great potential for development through improved water resources management (WRM) but has not been able to realize it, largely due to the chronic challenges in managing the destructive forces of water. This includes rampant flooding that routinely affects millions of lives and damages property; massive riverbank erosion that eats away developed land; high rates of sedimentation that degrades water quality and damages infrastructure downstream, exacerbated by deforestation and improper land management in the hills of the Northeast and further upstream; and wetland degradation that jeopardizes 7 Government of India, Ministry of Health and Family Welfare, 2022. National Family Health Survey (NFHS - 5), 2019–21 report. 8 World Bank Macro Poverty Outlook. October 2022. Estimates from PLFS data (2020-21). 9 SDG India Index & Dashboard 2020-21, Niti Aayog. 10 Census 2011 Page 2 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) important ecosystem services (groundwater recharge, flood moderation, fish habitat, etc.).11 The intense seasonality of the monsoon creates major challenges, with alternating bouts of floods and droughts—a phenomena that is expected to intensify with climate change. Approximately 80 percent of the annual precipitation occurs within the four-month monsoon period, which is becoming longer due to climate change, causing significant flooding during the rainy season, and, because of limited capacity to store and manage water, shortages in the dry period. In spite of these challenges, Assam has great potential to tap into its abundant water resources to promote agricultural development and water-intensive industries. 6. Assam is among the Indian States hardest hit by erosion and flood hazards. Almost half of Assam's landmass is prone to floods. Between 1953 and 2020, an estimated 178 million people were impacted by floods in virtually all districts of the State. Over 50 million hectares in Assam were affected by floods during this same period, which represents over 10 percent of the total area affected by floods in all of India. Approximately 386,476 hectares, equivalent to approximately 7 percent of the State's landmass in 17 riverine districts, was lost due to river erosion between 1954 and 2019.12 The devastating 2022 floods affected 34 of Assam's 35 districts, claimed 201 lives, damaged 315,641 houses and 243,929 hectares of cropped area, forced 743,528 people into relief camps, and adversely impacted the lives and livelihoods of around 8.8 million people across 10,008 villages.13 A high percentage of Assam’s landmass suffers from moderate to extremely severe soil loss (i.e., greater than 10 tons/ha/year) due to water erosion, and over 65 percent of the Assam's landmass has moderate to extremely severe soil loss, well over the national average of 38 percent. Another almost 30 percent faces very severe to extremely severe soil loss (i.e., greater than 40 tons/ha/year) due to water erosion, significantly higher than the national average of 5 percent.14 7. Climate change has shifted the monsoon precipitation pattern and is expected to exacerbate current hazards and lead to more frequent floods and accelerated soil erosion. Climate modeling studies consistently project an increase in the frequency of extreme flooding events over the Indus-Ganga-Brahmaputra River Basins for the period 2020-2059 due to higher monsoon precipitation and accelerated glacial melting in the Himalayas and the Tibetan Plateau due to warmer temperatures. The Brahmaputra River basin, 36 percent of whose drainage area in India lies within Assam, is amongst the river basins with the highest projected increase in extreme flooding events.15 This increase is expected to accelerate the rate of soil erosion16 and sedimentation in Assam, contribute to further wetland degradation, and amplify adverse impacts on the State's agricultural sector. The Government of Assam (GoA) has projected increase in extreme rain fall events by 5-35 percent and increase a rise in flood events by more than 25 percent due to the climate change projection.17 Studies also 11 Strategy Report on Development and Growth in Northeast India: The Natural Resources, Water, and Environment Nexus, 2007, World Bank. 12 Assam State Disaster Management Authority (ASDMA) 13 ASDMA's Flood Reporting and Information Management System, accessed on September 15, 2022. An official damaged amount will be disclosed upon a completion of estimation. 14 Degraded and Wastelands of India - Status and Spatial Distribution, Indian Council of Agricultural Research and National Academy of Agricultural Sciences, 2010. 15 Assessment of Climate Change over the Indian Region, 2020, Ministry of Earth Sciences, GoI. 16 Assam State Action Plan on Climate Change, 2022. 17 Impact of climate change by Assam Minister of Science, Technology & Climate Change: https://alaesession.org/assets/uploads/answer/answer1361.pdf Page 3 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) project an increase in the number of annual drought weeks in several districts of Assam, adding to the stress from the projected higher temperatures in the region.18 8. There are several factors that constrain Assam’s ability to mitigate flood and erosion risk and sustainably increase the productivity of water resources. The State has low capacity in integrated water resources management (IWRM)19 and disaster risk management (DRM). There is institutional fragmentation and limited coordination across the multiplicity of agencies working at the central, regional (northeast India), state, and local levels that are responsible for water management and disaster risk reduction. Top-down planning dominates, often with inadequate connection to the communities and people who are most directly affected. Institutional weaknesses are compounded by a dispersed and outdated knowledge base; there are serious gaps in data and information required for scientific analysis and informed decision-making on managing risks and making more productive use of water resources. Responses to routine flooding and rampant erosion have largely been piecemeal, reactive, and inflexible in dealing with the dynamic nature of the river systems and adapting to climate change. Primarily gray infrastructure solutions – which are not appropriate in all cases, are often expensive, and can actually increase risk20 – have been designed and executed with limited consideration of the natural variation and dynamics inherent in these complex river systems.21 Integrated investment planning is in a nascent stage and needs to be significantly strengthened. The Brahmaputra Board,22which has the mandate for the planning and integrated implementation of measures for the control of floods and bank erosion in the Brahmaputra Valley, has not been able to fully deliver on this mandate, including strategic planning and management of the basin. Its linkages with the basin states are tenuous, affecting uptake and “ownership” of the basin plans produced to date. In addition, gender equality, citizen engagement (CE) and ownership in water resources planning and flood and erosion management in the state is weak. 9. A progressive and systematic approach to IWRM and DRM is needed to address the key climate- related water risks and opportunities in Assam. A critical first step is the development of an enabling institutional framework and building the capacities of relevant agencies for IWRM and DRM. These include the Assam Water Resources Department (WRD), Assam State Disaster Management Authority (ASDMA), and Flood and River Erosion Management Agency of Assam (FREMAA). New and innovative governance approaches to managing flood and river erosion risks are required, which take time to evolve and consolidate.23 Managing 18 According to the Assam State Action Plan for Climate Change, the annual mean temperature in the Assam has increased by 0.59 degrees Celsius over the last 60 years (1951 to 2010), and it is likely to increase by 1.7-2.2 degree Celsius by 2050. 19 IWRM is broadly defined as a process which promotes the coordinated development and management of water, land and related resources, in order to maximize economic and social welfare in an equitable manner without compromising the sustainability of vital ecosystems. 20 For example, studies (Wasson et al, 2019: Riverine flood hazard: Part B: Disaster Risk Reduction in India) have shown that building embankments to counter problems in one area can restrict river flow, increase height of flood, and cause increased flood flows downstream. Embankments may offer a sense of safety and result in more people settling onto the floodplains ('the levee effect'), which puts them at greater risk in case of breach of embankments. 21 A related issue is the maintenance of existing aging infrastructure: The risk profile could have changed simply because of degradation, which means that if infrastructure fails, it could create more significant impacts than without the infrastructure (e.g. rapid breaches and sand clogging of farm fields). 22 The Brahmaputra Board was set up under the Ministry of Irrigation (now renamed as Department of Water Resources, RD&GR, Ministry of Jal Shakti) by the Government of India under an Act of Parliament called ‘The Brahmaputra Board Act, 1980 (46 of 1980). The jurisdiction of the Board covers entire Brahmaputra and Barak Valley, spreading throughout all the States of the Northeastern Region including Sikkim and part of West Bengal falling under Brahmaputra Basin. 23 A recent World Bank entitled lays out a framework of the different types of Programs required to systematically address hydro-climatic risks. See Page 4 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) flood and river erosion risks require a combination of green and gray infrastructure, and structural and non- structural approaches. Examples of nature-based solutions (NBS), or ‘green’ infrastructure that harness natural systems and have been successfully employed in various parts of the world include watershed management, including forest management; river floodplain management; flood retention and flood bypass channels; aquifer and wetlands management; and soil management. NBS are particularly useful tools for adapting to a changing climate as they are generally robust to climate shocks and generate a host of co-benefits such as improving biodiversity and providing environmental amenities, and can often be used as multi-functional areas. An IWRM approach that integrates green infrastructure with gray infrastructure such as flood embankments, river erosion works, and dams offers the best approach for cost effective and resilient infrastructure. Non-structural solutions such as flood forecasting and early warning, emergency preparation, disaster response and recovery are also necessary to fully address all elements in the DRM cycle of mitigation, preparedness, response, and recovery. 10. The institutional framework for DRM is generally sound while IWRM is in the incipient phase. The 2005 Indian Disaster Management Act required all Indian states to adopt a DRM system. ASDMA was created in 2007, and the Assam Disaster Management Rules and the Assam Disaster Management Policy were adopted in 2010. The second version of the Assam State Disaster Management Plan was issued in 2022.24 In contrast, the legal, regulatory, and planning framework for IWRM in Assam is still in an incipient phase. There is no overarching IWRM policy or law, and WRD focuses almost exclusively on floods and riverbank erosion. 11. Assam has recently upgraded its climate change plan. The Assam State Action Plan on Climate Change: 2021 – 2030 (SAPCC) provides the State’s general approach for dealing with climate change adaptation and mitigation with a focus on eight sectors, including water and disasters. The GoA’s policy document “Assam 2030: Our Dream, Our Commitment” outlines the State’s strategy for meeting the SDGs, including those that relate to IWRM and DRM.25 Assam demonstrated its commitment to make more optimal use of water resources and mitigate water-related risks to catalyze economic growth through its key involvement in the GoI’s initiative on “proper management of water resources in the Northeast.”26 12. The GoA has approached the World Bank to provide support to its agenda for strengthening IWRM and DRM through the Assam Integrated River Basin Management Program (AIRBMP). The Program focuses on reducing climate related disaster risks to livelihoods, strengthening institutions, filling critical knowledge gaps, and implementing integrated solutions through a structured basin-wide planning process to tackle the current challenges of floods and erosion, amongst others, and to seize opportunities for climate-resilient growth and improved livelihoods. The Program reflects the fact that bold actions and a step change from “business as usual” will be needed, which requires strong and coordinated institutions, a sound knowledge base, a shift away Browder, et. al. (2021), “An EPIC Response: Innovative Governance for Flood and Drought Risk Management.” World Bank and Deltares 24 Assam State Disaster Management Plan (2022), https://asdma.assam.gov.in/. 25 https://transdev.assam.gov.in/sites/default/files/portlet/level_2%5Bcurrent-domainmachine- name%5D/ASSAM_2030_Our_Dream__Our_Commitment.PDF 26 At the directive of the Prime Minister’s Office (PMO), a High-Level Committee (HLC) was constituted in October 2017 to assess the opportunities for making more optimal use of water resources and mitigating water-related risks in the Northeast. The High-Level Committee was chaired by the Vice Chairman of NITI Aayog. Page 5 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) from reactive and piecemeal investments to stakeholder driven integrated and long-term planning, and a refocusing on a more “intelligent” and adaptive approach that includes nature-based ‘green’ infrastructure and non-structural measures in combination with gray infrastructure. 13. Strengthening women’s role in disaster risk management is central to the Program. Global studies have shown that disasters often have greater impacts on women and children due to their higher levels of exposure and vulnerability, and lower states of preparedness and coping capacity.27 In South Asia, generally, and in India, specifically, available data shows that women have been more severely affected than men in disasters over the last few decades.28 For example, the death toll of women was four times higher than men in recent tsunamis, floods and cyclones in India and Bangladesh.29 In Assam, women are underrepresented in village level disaster management committees with less than 40 percent female representation in most disaster management committees30 (for example shelter management). Further, leadership and decision-making positions in these village-level committees such as (i) shelter management, (ii) relief distribution, (ii) organization of mock drills, and (iv) water and sanitation management are mostly occupied by men. 14. Evidence suggests that existing public decision-making mechanisms and community bodies at the local level constituted to plan disaster response and prevention interventions have not been able to address the differentiated impacts of disasters on women, which in turn influences how disasters impact women.31 Disaster needs assessment (DNA) exercises conducted in India suggest that women’s participation in planning, implementing, and monitoring emergency programs and rehabilitation projects remains low.32 Focus Group Discussions (FGDs) and consultations suggest that planning and budgeting exercises in project areas do not reflect women’s needs with regard to safety, sanitation and hygiene, and reproductive health-related priorities in flood shelter management infrastructure. Women and girls are reluctant to use shelters because they feel insecure in the flood shelters where facilities are not designed to address women’s priorities. This includes private spaces where women can breastfeed, as well as WASH facilities where women have adequate privacy for hygiene (including menstrual hygiene)33. The Project will aim to address the critical gap of female representation – in decision making bodies in the following ways: (i) ensuring that women are represented as decision-makers in the Village Land Conservation and Disaster Management Committees (VLCDMCs) and equipped to voice their concerns and advocate for specific actions to address women’s needs during disasters; and (ii) ensuring that women are specifically represented in Shelter Management committees at decision- making level – considering the urgent need to address specific gaps in the design of shelters.34 27 Erman, Alvina, et. al. (2021). “Gender Dimensions of Disaster Risk and Resilience: Existing Evidence.” 28 Role of women in disaster risk governance; Kinkini Hemachandra; Science Direct, 2018 29 Gender issues in climate change discourse: Theory v/s reality; Bangladesh; M. A. Baten (2010) 30 Note: Representatives in village level disaster management committees often overlap with shelter management committees. The Program focuses on women’s representation and leadership in shelter management committees given the governing guidelines and project investments in strengthening shelter management. 31 Role of Women in Disaster Management; College of Architecture, India 32 DNA exercises undertaken by the World Bank in partnership with government agencies and UN organizations in Odisha, Kerala and pan-India 33 Note: Women reported avoiding eating when using shelters to avoid using toilets which do not offer sufficient privacy/safety. 34 https://sphereindiablog.files.wordpress.com/2016/08/jrna-report-assam_flood_2016.pdf; https://onlineasdma.assam.gov.in/kmp/pdf/15789892879ESSJan-4470-1.pdf; https://www.change.org/p/himantabiswa-sdma-assam-build-50-model- women-friendly-flood-shelters-in-assam-where-menstrual-hygiene-products-and-separate-safe-toilets-are-provided-dignityinfloods Page 6 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) 15. In addition, a workplace survey was carried out at FREMAA, ASDMA, and WRD in July 2021. These agencies play a key role in DRM in Assam (specifically flood management)35. The survey found that women are underrepresented in technical functions in these agencies. Currently, women constitute 20 percent of employees in FREMAA, 15 percent in WRD (Project districts), and 17 percent in ASDMA. Key gaps to the further inclusion of women in technical jobs in the agencies include: (i)safe transportation and commuting challenges; (ii) lack of adequate childcare facilities; and (iii) prevailing norms around women’s work, particularly on project sites. The Program will address these specific gaps by putting in place a revised HR policy for FREMAA agencies that will address gaps related to child-care facilities and attitudes to women’s work at community level- i.e focusing on project sites. Additional analysis will be undertaken during the Phase 1 to prepare a phase 2 Gender Action Plan (GAP) that is expected to result in the drafting and endorsement of the proposed HR policy by the time of Program completion. C. Relevance to Higher Level Objectives 16. The Program is aligned with the Bank’s Global Crisis Response Framework (GCRF) and with the FY18- FY22 Country Partnership Framework (CPF) discussed by the Board on September 20, 2018 (Report No. 126667-IN), which emphasizes promoting resource-efficient growth, engaging a ‘federal India,’ strengthening public sector institutions, and supporting a Lighthouse India. The Program is squarely aimed at sustainable IWRM and reducing disaster risks by strengthening institutional capacity, building the knowledge base, and improving water resources investment planning and management. The State of Assam is uniquely positioned to serve as an incubator of best practice and innovative approaches, allowing it serve as a ‘lighthouse’ for the other States in the Northeast and other parts of India. A more sustainable trajectory of economic growth through improved water management and development could pave the way for transformational change in the Northeast. The “World Bank's Approach to South Asia Regional Integration, Cooperation, and Engagement 2020- 2023” highlights the importance of transboundary water management as an importation area for regional cooperation. The Program aligns with the GCRF Pillar 3: Strengthening Resilience and Pillar 4: Strengthening Policies and Institutions. 17. The Program will also support the CPF’s cross-cutting themes of pursuing climate smart engagement to support India’s climate change mitigation and adaptation, and systematically addressing gender-based inclusion gaps. The Program is aimed at reducing vulnerability and building resilience of communities to the impacts of climate variability and change. The Program will enable Assam to better adapt to the impacts of climate change by building the knowledge base and decision-support systems for climate-resilient planning and investment. It helps build climate resilience through infrastructure investments, improves emergency preparedness and response, and stresses the importance of building back better after climate-related disasters. 35Note: FREMAA coordinates flood and river erosion risks; ASDMA carries out disaster management activities; and WRD protects Assam against flood and riverbank erosion. ASDMA and WRD work closely with communities and female staff presence could promote more female participation and integrate solution from gender viewpoint. Page 7 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) It is well established that women and girls36 and persons with disabilities37 disproportionately bear the burden of water-related risks, such as floods. Experience has shown the importance of empowering women and persons with disabilities to be active agents of water-related DRM and to serve as champions for building community resilience to climate and water-related disaster risks. The Program has been designed to ensure that the special needs of vulnerable groups, including women, children and people with disabilities, are addressed. 18. The Program is aligned with the Bank’s 19. The Program will support the GoI’s and the GoA’s priority policy areas. The 2019 National Disaster Management Plan address thematic areas which are central to the Program: understanding risk, inter-agency coordination, investing in disaster risk reduction structural and non-structural measures, capacity development, and climate change risk management. The National Water Policy, last revised in 2012, is in the process of being updated and stresses the importance of IWRM. The Assam State Action Plan on Climate Change: 2021 – 2030, and the 2022 State Disaster Management Plan, highlight the importance of addressing climate-related disaster risks and the central role that water resources play in Assam’s economic development. D. Multiphase Programmatic Approach (i) Rationale for Using MPA 20. A ten-year, overlapping three-phase Multiphase Programmatic Approach (MPA) will support Assam to reduce the vulnerability of people to climate-related disasters and improve IWRM. The MPA provides the following advantages over a standard project approach: • The GoI and the GoA have formally requested US$500 million in financing from the Bank for a long-term program to help Assam confront their complex challenges. An MPA signals the Bank’s support to a long- term partnership that will help meet Assam’s needs. A single project, with a shorter time span and smaller financing package, would not be responsive to the Borrower’s needs or expectations. • The MPA offers the opportunity to provide long-term continuous support for institutional development and capacity building of GoA agencies. It also allows time to build the coalitions of stakeholders, including local governments, the private sector, Non-Governmental Organizations, academia, and the public, that are crucial to mount a “whole-of-society” approach to reducing climate-related disaster risks and improving IWRM. The time span of a single project is too short to achieve sustainable progress on these fronts. • The MPA is designed as set of modular and scalable investments that are rolled out over time, whereby each phase prepares investments for the subsequent phase. This helps to accelerate disbursements and reduce uncommitted funds. An MPA provides confidence to the GoA that investment preparation 36 Neumayer, E., and T. Plumper, ‘The Gendered Nature of Natural Disasters: The Impact of Catastrophic Events on the Gender Gap in Life Expectancy, 1981-2002’. 37 World Bank 2017. “Including Persons with Disabilities in Water Sector Operations: A Guidance Note.” World Bank, Washington, DC Page 8 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) activities will be considered for financing in the subsequent phase. If a single project were used, the GoA could only count on financing for a single project with a shorter time span, thus discouraging a larger loan amount commitment and reducing the incentives to prepare future subsequent investments. • Although the set of activities are clearly defined in the MPA, the best approaches to implementing these activities are still being tested. Phase 1, which is the smallest phase, will pilot different approaches and then, based upon lessons learned, these activities will be adjusted and scaled up in subsequent phases. An MPA will also allow for adjustments in planning and design parameters for climate resilient investments based upon changing climate information. A single project does not have the same level of flexibility for piloting and adapting as the time span is too short as most of the investments must be designed at the appraisal stage. A similar principle applies to addressing gender equality relevant to the AIRBMP. • Assam’s water related challenges are inherently transboundary. Transboundary collaboration, however, is generally complex and slow. An MPA provides the Bank with a stable and long-term engagement to assist the GoI in fostering cooperation among the northeast India states, as well as Bhutan and Bangladesh. A shorter, and more investment focused single project, would not provide such a platform. (ii) Program Theory of Change 21. The Program results chain is presented in Figure 1 below. Its central tenet is that improving both IWRM and DRM are necessary and interact synergistically to reduce flood and river erosion risks, and thus the Program focuses on the IWRM-DRM nexus. In addition, creating an IWRM framework will help Assam sustainably utilize its immense water resources in a productive manner to promote economic growth and poverty reduction. 22. The key to achieving the Program objectives is to foster the institutional development of both WRD and ASDMA. WRD currently operates as a public works agency with a focus on river infrastructure. The Program will assist WRD to make the transition to an IWRM department that holistically contributes to reducing flood and river erosion risks while also helping Assam sustainably develop its water resources. ASDMA currently focuses primarily on emergency preparedness and response. The Program will assist ASDMA to adopt a more holistic approach that considers all elements of the disaster risk management cycle, including mitigation, preparedness, response, and recovery. Page 9 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) To reduce climate related Figure risks and improve 1: Program Theory integrated of Changewater resources management in Assam. Ac vi es Intermediate Results utcomes Assam State ater Policy Assam Brahmaputra River Basin Strategic Plan R and AS A Ins tu onal isaster Risk Financing and Strategic evelopment Flash Flood Forecas ng Improved Integrated ater Resources anagement R and AS A Structural and IFR Plans in Assam Basi n on Structural Flood and River nhanced Flood Forecas ng in Assam Sub Basins rosion i ga on Ac ons ater Infrastructure in Assam Sub Basins nhanced Flood and River rosion Flood mbankment Asset anagement Program Infrastructure and Safety Reduced Flood and River rosion Risks nhanced arly arning and issemina o n. Greater Flood Shelter Coverage Flood Preparedness and Response illage isaster i ga on Plans Increased Strengthening Circle uick Response Teams (iii) Program Development Objective 23. The Program Development Objective (PrDO) of AIRBMP is to reduce the vulnerability of people to climate-related disasters and improve integrated water resources management in Assam. The indicators at the PrDO level are: • People benefiting from the mitigation of climate-related hazards through enhanced infrastructure and nature-based solutions. (1,000,000). • People benefiting from improved disaster response though flood forecasting, early warning systems, and flood shelters. (18,000,000) • Initiation of priority IWRM actions in the Assam-Brahmaputra Basin Strategic Plan. (Yes/No) (iv) Program Framework 24. Program Scope: General Program activities are presented in Figure 2 and described below. The overall Program phasing and financing is presented in Figure 3. The precise scope of phases 2 and 3 will be developed based upon lessons learned and evolving needs. The project development objectives (PDOs) of each Phase are identical to the overall PrDO. Page 10 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) Figure 3: Program Activities by Phases (Three 4-year phases with 1 year overlap) Phase 1: 2023 – 2027 Phase 2: 2026 – 2030 Phase 3: 2029-2033 Component 1: Assam Water Policy. Adjusting Water Resources Legal Implementing Priority Actions from Institutional WRD Assam Brahmaputra State of Framework. Assam Brahmaputra Strategic Plan Strengthening Basin Report. Assam Brahmaputra Basin Strategic Plan. Assam Barak Basin Strategic Plan. and Strategic Disaster Risk Financing Study. Piloting Risk Financing Instruments Scaling Up Risk Financing Instruments ASDMA Flash Flood Forecasting Study. Piloting Flash Flood Forecasting Scaling Up Flash Flood Forecasting Studies Water Resources Beki and Buridehing Basin no Investments in Beki, Buridehing, and Investments in 5 more Basins based on Infrastructure regret investments Jiadhal Basins based on Integrated Flood IFRMP Component 2: Risk Management Plan (IFRMP) Water Flood Forecasting Flood Forecasting & IFRMP for Flood Forecasting and IFRMPs for 5 more Flood Forecasting for Brahmaputra Resources & IFRMPs Beki, Buridehing, Jiadhal Basins Basins Mainstem Management Embankment Asset Formulation of Asset Piloting Asset Management Program Scaling Up Asset Management Program Management Management Program Implementation Implementation Pilot upgrading of school flood Scaling-up upgrading of school flood relief Scaling-up upgrading of school flood Flood Shelters relief shelters and new flood shelters and new flood shelters (75 relief shelters and new flood shelters (75 shelters (25 shelters) shelters) shelters) Upgrading State and Select Upgrading of State EOC to Fusion Center Establish EOCs for 30% of the Revenue Early Warning and District Emergency Operations and additional District EOCs Circles (55 circles) Component 3: Dissemination Centers (EOCs) Disaster Risk Circle Disaster Train and Equip 50 Circle Quick Train and Equip Additional 50 CQRTs Train and Equip Additional 50 CQRTs Management Management Response Teams (CQRT) Climate Resilient Piloting 50 Village Disaster Preparing an additional 100 Village Preparing an additional 100 VDMPs and Villages Mitigation Plans and facilitating Disaster Mitigation Plan (VDMPs) and facilitating mitigation investments. mitigation investments facilitating mitigation investments. Page 11 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) Figure 3: Overall MPA Structure Estimated Estimated Estimated Estimated Phase Sequential or IPF or IBRD Other Project ID Phase’s Proposed PDO Approval E & S Risk # Simultaneous PforR Amount Amount Date Rating ($ million) ($ million) Three March 1 P174593 Reduce the vulnerability of IPF 108.00 27.00 Substantial Four Year 2023 people to climate-related Phases with March 2 TBD disasters and improve IPF 192.00 48.00 TBD One Year 2026 Overlaps integrated water resources management in Assam. March 3 TBD IPF 200.00 50.00 TBD 2029 Total 500.00 125.00 Board Approved Financing Envelope 500.00 25. Program Component 1: Institutional Strengthening and Strategic Studies. This component will support the transition of WRD into an IWRM department, and the transition of ASDMA into a disaster risk management agency. 26. WRD Activities. In Phase 1, the GoA plans to adopt a state Water Policy that will lay out its vision, objectives, and principles for managing water and water related risks. In Phase 2, the GoA may consider changes in the water resources legal framework to allow it to better achieve the Water Policy goals. Phase 3 will support the formulation of regulations potentially stemming from the adoption of a revised legal framework. 27. Management at the river basin level is a core principle of IWRM. In Phase 1, WRD will prepare a “State of the Basin Report” for the Assam part of the Brahmaputra River basin which will synthesize and integrate current knowledge about key issues such as hydrology, sedimentation, groundwater, flooding, aquatic ecology, climate change, water utilization, drought, etc. In Phase 2, WRD will lead the preparation of a “Strategic Water Plan” for the Assam part of the Brahmaputra River basin that will help guide the development and management of water resources within Assam. The aim of strategic basin planning is not just to meet straightforward, externally set objectives, but to choose from a series of possible water management objectives those that will best contribute to a range of competing economic, social and ecological goals. Further, achieving these goals typically involves the participation of a range of government bodies and stakeholders, beyond those directly involved with water management. The Plan will include all water using sectors such as agriculture, water supply and sanitation, hydropower, inland water transport, fisheries, and aquatic eco-systems.38 The Plan will map out how to sustainably develop Assam’s rich water resources to support agricultural and industrial development. 38See: G. Pegram, Y. Li, T. Le. Quesne, R. Speed, J. Li, and F. Shen. 2013. River basin planning: Principles, procedures and approaches for strategic basin planning. Paris, UNESCO. Page 12 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) The GoA will collaborate, with support from GoI’s Ministry of Jal Shakti, with the northeast Indian states that share the Brahmaputra River basin. In Phase 3, the GoA will initiate priority actions identified in the Assam- Brahmaputra Strategic Water Plan. In Phase 3, WRD may also lead the preparation of a Strategic Water Plan for the Barak River basin, which is the second largest basin in Assam. The development of these strategic plans will be done in an interdisciplinary and participatory manner, with a strong emphasis on environmental and social (E&S) dimensions. 28. ASDMA Activities. In Phase 1, ASDMA will undertake a “disaster risk financing study” in collaboration with the Assam Finance Department. The study will examine the best mix of financing instruments to meet Assam’s disaster risk profile and support mitigation, disaster response, and recovery efforts. The potential for parametric weather/flood insurance will be examined whereby affected households will be quickly offered financial assistance based upon flood level or a weather event—rather than waiting for the lengthy process of damage assessment and fund allocation. New risk financing instruments recommended in Phase 1 will be piloted in Phase 2 and scaled up in Phase 3. 29. Flash flooding is a significant hazard in the mountainous regions of Assam resulting in numerous casualties and economic disruption. In Phase 1, ASDMA will undertake a “flash flood forecasting study” to design a state-wide program that will allow for earlier and more accurate warnings. The flash flood forecasting program will be piloted in Phase 2 and scaled up in Phase 3. The flash flood warnings will be disseminated through ASDMA’s upgraded Early Warning and Dissemination System (EWDS) in Component 3. 30. Brahmaputra Transboundary Knowledge Sharing and Collaboration: This will take place at two levels: i) between the riparian countries of Bangladesh, Bhutan, and India; and ii) between the northeast riparian Indian states. A World Bank facilitated dialogue platform between Bangladesh, Bhutan, and India was established in 2022 which will be utilized during the Program implementation. Areas for information exchange on both IWRM and DRM among the riparian countries include study visits, workshops, and seminars on topics of mutual interest. Phase 1 has a dedicated budget for transboundary cooperation, and opportunities for accessing additional grants will be explored during Phase 1. Cooperation on IWRM issues within the northeast riparian Indian states will be pursued in collaboration with the Ministry of Jal Shakti, GoI. 31. Program Component 2: Water Resources Management. This component will focus primarily on activities implemented by WRD but in close collaboration with ASDMA. 32. Integrated Flood Risk Management Plans (IFRMPs): The Program will support the development of IFRMPs in eight tributary river basins in Assam.39 The Assam part of these basins are relatively small and narrow and consist primarily of flood plains. The development of IFRMPs will be undertaken jointly by WRD and ASDMA. The plans will include both gray and green infrastructure and incorporate non-structural solutions to reduce 39 The proposed eight tributary river basins are: Beki, Buridehing, Jiadhal, Gainadi, Jiabharali, Bhogdoi, Shingla, and Jatinga (Barak) Page 13 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) flood and river erosion risk. The IFRMPS will also explore opportunities to sustainably manage water resources, including promoting agricultural development. The IFRMPs will incorporate E&S objectives and will be undertaken in a multi-sectoral participatory manner. In addition to the IFRMPs, the following activities will be undertaken: i) preparation of WRD related feasibility studies based upon the IFRMPs for investments in subsequent phases; ii) preparation of environmental and social impact assessments (ESIAs) and resettlement action plans (RAPs) for investments in subsequent phases; and iii) ASDMA will utilize the IFRMPs to help promote climate resilient investments by local governments and other state departments. 33. In parallel with the IFRMPs, the existing Assam Flood Early Warning System (FLEWS) will be upgraded by increasing the lead time for flood forecasting from 24 hours to 72 hours and expanding the scope to include both river overflows and floodplain inundation (using a combination of 1-D and 2-D models, and other flood prediction tools). Currently, the North Eastern Space Applications Centre (NESAC) is generating the flood forecasts which are then provided to ASDMA for early warning dissemination. WRD, in collaboration with NESAC through a Memorandum of Understanding (MOU), will gradually take over the flood forecasting responsibilities in Assam. NESAC will continue to provide the meteorological forecasts to WRD. WRD has established a hydro- informatics unit (HIU) that will be strengthened under the Program and charged with flood forecasting. These forecasts will then feed into ASDMA’s upgraded EWDS which is supported under Component 3. It is envisioned that in Phase 3, WRD will also expand its flood forecasting services to the Brahmaputra mainstem in collaboration with the Central Water Commission (CWC), Ministry of Jal Shakti, GoI. 34. Water Resources Infrastructure and Embankment Asset Management. The Program will finance an extensive array of flood and river erosion control infrastructure, new and upgraded embankments, river erosion control works, drainage canals, polders, flood control gates, engineered wetlands and flood retention areas, watershed improvements, etc. In Phase 1, since no IFRMPs exist, the investments will be limited to “no -regret investments” consisting of strengthening existing flood embankments and critical river erosion works. Investments in Phase 2 and 3 will be guided by the IFRMPs. WRD has already constructed over 4,000 Kms of embankments in Assam, and the Program will support WRD in implementing a comprehensive asset management program that will allow it to better monitor embankment safety, undertake maintenance and repair activities, and as necessary renovate existing embankments. This will significantly reduce flood risks by reducing the probability of embankment breaches. In addition, it will provide real-time monitoring of flood embankment status during the monsoon season which will then feed into ASDMA’s EWDS. 35. Program Component 3: Disaster Risk Management. This component will focus primarily on activities implemented by ASDMA but in close collaboration with WRD. 36. Flood Shelters. This involves upgrading existing school flood relief shelters and constructing new multi- purpose flood shelters. Each shelter will house around 500 people and will be designed to cater to the specific needs of women, children, persons with disabilities, and other vulnerable groups. The upgrading of school flood shelters will also provide valuable new facilities that can be used by the schools during non-emergency periods. Page 14 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) New flood shelters will be multi-purpose structures that communities can also use during non-emergency periods. The GoA has developed “Operational Guidelines for the Management and Maintenance of Multipurpose Flood Shelters.” Per these guidelines, a shelter management committee will be constituted for each of the shelters, with clearly defined roles and responsibilities. The GoA will provide a dedicated maintenance fund for each shelter that is managed by the shelter committee. In Phase 1, the goal is to successfully pilot 25 new shelters, including the establishment of flood shelter committees, and based upon lessons learned this will be scaled in subsequent phases with a total target of around 250 shelters. 37. Early Warning and Dissemination System (EWDS). An EWDS will be developed across Assam that is supported by intelligent geospatial analytics and an Emergency Operations Center (EOC) management system. The EOCs at State and local levels will be upgraded with state-of-the-art command and control facilities to enhance the capabilities of ASDMA to perform real-time information gathering, analysis, synthesis of alerts, prioritization, and visualization of risk information for improved situational awareness and decision making. The EWDS will be able to provide real-time geotagged alerts to multiple locations simultaneously using a variety of communication channels, including the cell network. In Phase 1, the State EOC will be upgraded and new EOCs will be established in at least 10 districts. In subsequent phases, the State EOC will be further upgraded to serve as a “fusion center” with active participation from other agencies, including civil defense, fire, WRD, etc. The Program’s goal is to have a cutting-edge state-level EOC, and EOCs established in all 35 districts and at least 30 percent of Assam’s 154 revenue circles—the lowest administrative unit of the Department of Revenue and Disaster Management (DR&DM), with at least 75 percent of Assam’s households receiving cell-based, geo- referenced warnings. 38. Circle Quick Response Teams (CQRTs). In 2017, the DR&DM established Circle Disaster Management Committees (CDMCs) to support the DRM functions at the lowest administrative level. CDMCs are entrusted with the responsibility of preparation of Disaster Management Plans, capacity building for disaster management and community preparedness, collaborating with district disaster management units, etc. To ensure a localized and timely incident response, ASDMA is establishing “Circle Quick Response Teams” in revenue circles. Each CQRT is composed of 16 members who can mount an immediate response to disasters in their locality. The Program will support the training and equipping of these CQRTs for all 154 revenue circles in Assam. 39. Climate Resilient Villages. This will enhance community resilience through the preparation of willage disaster mitigation plans (VDMPs). The VDMPs will use a combination of risk analysis processes, including participatory community-based analysis, site surveys, and development of GIS-based risk maps. They will provide asset-wise information on potential flood damages and losses, and produce an investment plan that covers infrastructure and facilities under multiple government agencies such as housing, transportation, power, water supply and sanitation, etc. ASDMA will not directly finance most of the VDMP recommended investments but will work with other GoA line-departments to mainstream these resilience investments into their investment programs, including the Assam Public Works Department (PWD), the Public Health Engineering Page 15 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) Department, the Rural Development Department, etc. A climate resilient village monitoring system will be developed by ASDMA that tracks progress over time according to standardized criteria. The Program will finance activities within ASDMA’s mandate, including: i) technology demonstration units for different types of resilient structures; and ii) training and essential equipment such as lightning arrestors, emergency response kits, emergency warning systems, etc. 40. Program Phasing. AIRBMP is designed as a ten-year program, with three phases. Each phase is anticipated to last around 4 years, with a one-year overlap between phases. The general criteria for moving onto a subsequent phase is the Borrower has met all legal obligations and the preceding phase has been performing with a Moderately Satisfactory rating or above. Phase 1 will prepare the investment program for Phase 2, and Phase 2 will prepare the investment program for Phase 3. The Phase 1 loan amount is the smallest, at US$108 million, but most important as it will help to develop the institutional and implementation capacity of WRD and ASDMA to manage larger investment programs of around US$250 million in Phase 2 and Phase 3. (v) Learning Agenda 41. Learning Agenda in Component 1: Integrated Water Resources Management. In Phase 1, WRD will prepare an Assam State Water Policy that will formalize IWRM principles and provide a roadmap for institutional reforms, including legal and regulatory reforms in Phases 2 and 3. WRD will prepare a set of strategic studies on water resources in the Assam part of the Brahmaputra River basin that will provide an opportunity to energize a broad range of stakeholders and provide a baseline for the Assam Brahmaputra Strategic Water Plan in Phase 2. This will provide experience for undertaking the Assam Barak Strategic Water Plan in Phase 3. 42. Learning Agenda in Component 1: Disaster Risk Financing and Flash Flood Forecasting. In Phase 1, ASDMA will prepare a “disaster risk financing strategy” in collaboration with the Assam Finance Department. Based upon this strategy, new financing instruments—such as parametric weather/flood insurance would be piloted in Phase 2 and expanded in Phase 3. For flash flood forecasting, ASDMA will prepare a feasibility study for a state-wide flash flood forecasting system in Phase 1. The flash flood forecasting system will be piloted in select districts in Phase 2, and then based upon lessons learned will be expanded throughout Assam. 43. Learning Agenda in Component 2: Flood Forecasting and IFRMPs. Both activities are new to WRD, and thus Phase 1 will concentrate on three tributaries to the Brahmaputra River: Beki, Buridehing, and Jiadhal basins. These tributary basins were selected because they have very different physical characteristics yet all three are characterized by high levels of flood loss and extensive riverbank erosion. Based upon the lessons learned in Phase 1, these activities will be scaled up in five more tributary basins in Phase 2: Gainadi, Jiabharali, Bhogdoi, Shingla, and Jatinga (Barak). As experience is gained in tributary basins, flood forecasting in the Brahmaputra river mainstem will be addressed in Phase 3. Page 16 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) 44. WRD has historically focused exclusively on river infrastructure to address flood and riverbank erosion risks. The formulation of IFRMPs in Phase 1 will allow WRD and ASDMA to formulate a more comprehensive and integrated approach to managing these risks at a tributary basin level, including structural and nature-based solutions, as well as non-structural approaches. Based upon the lessons learned in Phase 1, WRD and ASDMA will prepare additional IFRMPs in at least five more tributary basins in subsequent phases. 45. Learning Agenda in Component 3: Flood Shelters, EWDS, and Climate Resilient Villages. Assam currently has only a few properly designed flood relief shelters. Phase 1 will allow ASDMA to experiment with different approaches for upgraded school flood relief shelters and constructing new village multi-purpose flood shelters. Based upon the Phase 1 lessons, ASDMA will scale up the flood shelter program in Phases 2 and 3. The EWDS will be gradually developed over the Program, building upon lessons learned over time. The development of the state-level EOCs will be done in stages, and the establishment of district and revenue circle EOCs will be rolled over phases building upon lessons learned. Phase 1 will experiment with the formulation of VDMPs to test the value-addition of this approach. The key to success of the VDMP will be facilitating the mainstreaming of the VDMP investments in other Assam line departments and the effectiveness of the VDMP will become clearer in Phase 2. 46. Transboundary Water Experience and Information Exchanges. The Program envisions a sustained effort to enable collaboration between the Brahmaputra riparian states of India, Bhutan, and Bangladesh in the areas of IWRM, river management, flood forecasting, fisheries, and flood and river erosion risk management. Based upon the lessons learned in Phase 1, this collaboration can be expanded in subsequent phases. Phase 1 will also explore modalities for cooperation with other northeast India states, working in collaboration with the Ministry of Jal Shakti, GoI, which can then be further developed in subsequent phases. II. PROJECT DESCRIPTION A. Project Development Objective 47. The PDO of the first phase (i.e., hereafter called the “project”) is identical to the overall Program Development Objective: To reduce the vulnerability of people to climate-related disasters and improve integrated water resources management in Assam. This PDO will be maintained for all three phases with the scope of each phase defined by the respective indicators. The PDO indicators are: • Adoption of Assam State Water Policy by GoA • People protected by enhanced flood and river erosion infrastructure (100,000) • People benefiting from improved flood forecasting information (4,200,000) • People receiving emergency alerts from upgraded State EOC (6,000,000) • People benefiting from new or upgraded flood shelters (10,000) Page 17 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) B. Project Components 48. The project consists of four components. A detailed project description is provided in FREMAA’s Project Operations Manual (POM) and is included in the World Bank Project files. A comprehensive GAP has been prepared by FREMAA, WRD, and ASDMA, which covers key issues, gaps, action plan, and indicators. 49. The project directly aligns with two pillars of the B’s GCRF. Specifically, it responds to Pillar 3: Strengthening Resilience through all Component 2 subcomponents (US$80 million) by improving flood forecasting and mitigating climate-related hazards through enhanced infrastructure, and through all Component 3 subcomponents (US$35 million) by improving early warning systems, emergency response, and flood shelters. It also aligns with Pillar 4: Strengthening Policies and Institutions through all Component 1 subcomponents (US$20 million) by supporting the institutional development of WRD and ASDMA. 50. Component 1: Institutional Strengthening and Strategic Studies (US$20 million). This component focuses on institutional strengthening of WRD and ASDMA and consists of three subcomponents. FREMAA, WRD, and ASDMA have designated one staff in each organization to serve as a gender focal point. To address the findings of the workplace survey, an HR policy that includes specific measures to address these gender gaps should be introduced. This will require additional research. The research will be carried out by the gender focal point of each Project Management Unit (PMU) and Project Implementation Unit (PIU). The HR policy will focus on safety of female employees in the workplace and on putting in place adequate childcare arrangements. The new HR policy will be piloted during Phase I of project implementation. The component also includes a strategic communication program which entails soliciting views from various stakeholders, and crafting clear messages transmitted through various channels on project objectives, activities, and progress over time. 51. Component 1.1 Institutional Strengthening of WRD (US$6.5 million). Support for: (i) preparing the first Assam State Water Policy; (ii) undertaking a set of Assam-Brahmaputra Basin baseline studies and preparing a “State of the Basin Report”; (iii) promoting water resources transboundary knowledge exchanges between Assam, Bangladesh, and Bhutan, and collaboration between the northeast Indian states within the Brahmaputra River Basin; and (iv) upgrading WRD’s management information systems. 52. Component 1.2: Institutional strengthening of ASDMA (US$2.5 million). Support for a set of studies to inform ASDMA’s strategic approach and improve its effectiveness including: (i) a multi-hazard risk financing strategy including a weather-based parametric insurance scheme; (ii) improving ASDMA’s post-disaster needs assessment (PDNA) capacity; and (iii) a flash flood forecasting feasibility study for Assam’s mountainous regions. 53. Component 1.3: FREMAA Project Management and Incremental Costs (US$11 million) Support for: (i) project management including an overall Project Management and Technical Consultancy (“PMTC”); (ii) communication and outreach; (iii) specialized individual consultants; (iv) equipment; (v) FREMAA's Incremental Page 18 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) Operating Costs; and (vi) developing a corporate framework for E&S management in WRD, ASDMA, and FREMAA. The E&S corporate framework will help them better manage E&S impacts and risks for investments under the overall Program. This includes training and visits for staff on social and environment aspects, and for the operationalization and strengthening of grievance redress mechanisms (GRM). 54. Component 2: Water Resources Management (US$80 million). This component finances the structural and non-structural activities to reduce flood and river erosion risk and consists of five subcomponents. 55. Component 2.1. River Works Investments (US$57 million). Support for: (i) river works including riverbank anti-erosion works and strengthening existing flood embankments in the Beki and Buridehing River Basins; (ii) small-scale emergency river works; and (iii) piloting nature-based solutions. The approximately 50 kms of river works are considered “no-regret” and can proceed while a comprehensive IFRMP is being developed for Beki and Buridehing basins in Component 2.2. The anti-erosion works were selected to protect critical river stretches, for example to control river migration to ensure the river does not outflank rail and road bridges. The existing flood embankment works were constructed over 50 years ago and have deteriorated over time. These works protect existing communities that would experience catastrophic losses in the event of an embankment failure. A provisional sum is reserved for piloting nature-based solutions and similar small-scale emergency works that may emerge in in any part of Assam. 56. Component 2.2: Flood Forecasting, IFRMPs, and Investment Preparation (US$7.5 million). Support for preparing IFRMPs for the Assam parts of the Beki, Buridehing, and Jiadhal Basins, and for upgrading the existing Assam flood early warning system. IFRMPs will be prepared for the Assam parts of the Beki, Buridehing, and Jiadhal basins. Most of the three basins are outside of Assam, but the IFRMPs will focus on the Assam part of the basins. The IFRMPs will be developed under the co-leadership of WRD and ASDMA and produce an action plan that encompasses both structural and non-structural approaches, including the preparation of feasibility studies for Phase 2. The IFRMP process will start with “stakeholder engagement and capacity building plans” to ensure the active participation of all groups; it will also include a program to specifically target women to allow their effective participation in the planning process, and its implementation will be monitored as part of the GAP. The IFRMPs will reflect a standalone section women’s and girls’ priorities covering the following pillars (i) infrastructural investments for women’s health and hygiene; (ii) women’s safety and violence prevention; and (iii) trainings to provide women representatives in village level DRM committees with additional technical skills and to build their confidence and leadership skills – so they are better able to represent women and girls ‘ priorities in discussions and decision making processes. This component will also upgrade the existing Assam FLEWS by increasing forecasting lead times and include both river and floodplain inundation forecasts. WRD’s HIU, in collaboration with NESAC, will be responsible for flood forecasting and ASDMA will provide early warning through the upgraded EWDS described in Component 3. 57. Component 2.3 Data Collection and Embankment Asset Management (US$5.0 million). Support for WRD’s forecasting and planning activities, including inter alia, hydro-met stations, river cross-sections, light Page 19 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) detection and ranging survey (LIDAR), and bathometric surveys, and preparation of a flood embankment asset management plan. The flood embankment asset management plan will be implementation in subsequent phases. 58. Component 2.4: Assam Water Center Annex (US$6.5 million). Support for the construction of a new facility to support WRD’s HIU. A new state of the art facility for WRD’s HIU will be located next to the Assam State Water Data Center and adjacent to the new ASDMA headquarters to facilitate interagency collaboration during flood disasters. 59. Component 2.5: WRD Project Management and Incremental Costs (US$4 million). Support for project management including: (i) communication and outreach; (ii) hiring of specialized individual consultants; (iii) equipment; and (iv) WRD Incremental Operating Costs. 60. Component 3: Disaster Risk Management (US$35 million). This component will help Assam improve its disaster mitigation, preparedness, response, and recovery capacity and consists of five subcomponents. This component will support an institutional assessment of village disaster management committees to unpack structural and institutional bottlenecks that prevent women from effectively participating in village disaster management committees and shelter committees. Examples of parameters will include women’s understanding of technical aspects of disaster management, financing and procurement, prioritizing resource allocation towards shelters, standard operating procedures for drill organizations, etc. The component will also design and roll-out trainings on integrating women’s and girls’ priorities in disaster management plans through block and village level offices. Trainings are held at a safe venue with safe transportation and at a time convenient for women participants. 61. Component 3.1: Flood Shelters (US$13 million). Support for the construction of new flood shelters, and the upgrading/augmentation of schools that are currently designated as flood relief shelters, and training on flood shelter management. The target in Phase 1 is to upgrade or construct around 25 flood shelters. Shelter management committees play a key role in proposing design, location, and management of new shelters. Therefore, the project will aim to have at least 40 percent of women in decision-making/executive roles in these committees. Currently, the baseline is around 15 percent in shelters that overlap with schools40. Therefore, the proposed end target of 40 percent women decision-makers in 75 percent of the committees is a substantial increase41. To improve women’s representation in shelter management committees and to better reflect their priorities, the project will undertake the following activities: (i) leadership training; (ii) administrative training and capacity building modules customized women representatives on fiduciary and procurement processing; and (iii) awareness and sensitization on model approaches to reflect women’s needs in planning exercises. 40 Note: An extrapolation based on Samagra Shiksha Abhiyan data, GoI. 41 Note: The project MIS will track the indicator on an annual basis. Page 20 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) 62. Component 3.2: Early Warning and Dissemination System (US$10 million). Support for an end-to-end EWDS across Assam to be supported by geospatial analytics and an EOC management system, including: (i) upgrading EOCs at the state level and in selected districts; (ii) providing geo-referenced alerts using cell-phone broadcasting; and (iii) establishing a geospatial laboratory. 63. Component 3.3: Capacity Building of Circle Quick Response Teams (US$5 million). Support for training and equipping CQRTs in Assam to respond to emergencies and to create awareness on disaster preparedness. CQRT members will undergo training in life-saving skills of disaster response (first aid, search, and rescue) from empaneled training institutes and shall be provided with personal protective equipment and an emergency responder kit. Equipment material banks will be provided for equipping CQRT and First Responders to handle local-level disaster events. CQRT training facilities will be supported through upgradation of relevant facilities at the Assam Central Training Institute, including water rescue training facility, dormitories, etc. The GAP targets 75 percent of CQRTs have least 30 percent female members in each CQRT. CQRT members will also receive gender sensitivity training to help understand the different perspectives of men, women, and children during an emergency. This will enable them to better mount rescue operations considering the specific needs of women. The CQRT members will also be trained to understand how men and women on in the CQRTs can best interact for maximum effectiveness. 64. Component 3.4: Climate Resilient Villages (US$3 million). Support for enhancing community resilience through: (i) the preparation of VDMPs; (ii) constructing low-cost resilient housing demonstration structures in some of these Villages; and (iii) providing training, equipment and capacity building to the participating Villages, including lightning arrestors, emergency response kits, and emergency warning systems. The target is to prepare around 40 VDMPs and 25 resilient housing demonstration units. ASDMA will construct low-cost resilient housing structures that utilize local materials and are able to withstand high flood levels. The construction of these “technical demonstration units” will be accompanied by capacity building on resilient housing and are intended to motivate villagers in upgrading their own homes. The GAP requires the establishment of women-only task force in each village, to allow for an open discussion on the resilience needs and priorities of women that will feed into the VDMP. The results framework and monitoring (RFM) includes a second gender indicator requiring at least 75 percent of the VLCDMCs, which are decision-making bodies, have 40 percent of female representatives in decision-making/executive roles 65. Component 3.5: ASDMA Project Management and Incremental Costs (US$4 million). Support for project management including: (i) communication and outreach; (ii) hiring of specialized individual consultants; (iii) equipment; and (iv) ASDMA Incremental Operating Costs. 66. Component 4: Contingent Emergency Response (US$ 0): Provision of immediate response to an Eligible Crisis or Emergency, as needed. Page 21 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) C. Project Beneficiaries 67. There are two primary groups of direct beneficiaries. The first group consists of people who will directly benefit from infrastructure development under the project. This includes approximately 100,000 people living along the Beki and Buridehing rivers where flood and river erosion risks will be significantly reduced, as well as approximately 10,000 people who will have access to upgraded or new flood shelters. This is a vulnerable group which is primarily rural, poor, and with a significant percentage of scheduled tribes and other backward classes (OBCs).42 The second group of people consists of the general population that will benefit from improved information that will help them to better prepare and respond to emergencies. This includes an estimated 6,000,000 people who will benefit from improved emergency alerts provided through the EWDS, and 4,200,000 people who will benefit from improved flood forecasting in the Beki, Buridehing, and Jiadhal basins. D. Rationale for Bank Involvement and Role of Partners 68. The World Bank has a strong partnership with both the GoI, and many Indian states, in both WRM and DRM. The World Bank-financed National Hydrology Project (NHP, P152698) is the latest in a series projects stretching over decades to help India improve the extent, quality, and accessibility of water resources information and to strengthen the capacity of WRM institutions. WRD is currently participating in the NHP by upgrading its hydrological and meteorological monitoring systems. The World Bank is also helping to integrate WRM and DRM programs across various states in India. For example, in the nearby state of Bihar, the Bank financed the Bihar Kosi Flood Recovery Project (P122096) which focused on “building back better” after the devastating 2008 Kosi flood. The follow-up Bihar Kosi Basin Development Project (P127725) is enhancing resilience to floods, increasing agricultural production, and enhancing the State’s ability to respond to emergencies. 69. The World Bank’s involvement in Assam will also provide an opportunity to help facilitate experience sharing and knowledge exchange with the Brahmaputra River basin riparian countries of Bangladesh and Bhutan, where the Bank has ongoing programs and activities. The South Asia Water Initiative (SAWI) was a multi- donor trust fund administered by the World Bank. SAWI closed in June 2021 after more than a decade of work to increase regional cooperation in managing major Himalayan River systems and building climate resilience. The project will form an important pillar in the next generation of World Bank support to transboundary water management. 70. The Asian Development Bank (ADB) recently completed the Assam Integrated Flood and River Erosion Risk Management Investment Program (2010 – 2020) which focused on flood and riverbank erosion risk management measures along the mainstream of the Brahmaputra River. The ADB has received a request from 42In the Indian Constitution, OBCs are described as socially and educationally backward classes (SEBC), and the Government of India is enjoined to ensure their social and educational development. Assam has its own specific set of OBC populations. Page 22 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) the GoI for a follow-on program in Assam. The World Bank task team will work closely with FREMAA and ADB to ensure coordination as the ADB program evolves. E. Lessons Learned and Progress on Learning Agenda 71. Focusing on the Water-DRM Nexus. As highlighted in the World Bank report (2021) entitled “An EPIC Response: Innovative Governance for Flood and Drought Risk Management,” water resources and disaster management agencies need to collaborate to provide a joined-up government response to managing hydro- climatic risks.43 Each agency has its specific mandate, but it must work with other agencies to holistically address complex flood management problems. The project design includes both WRD and ASDMA activities that are synergistically linked for maximum impact. Government leadership is important, but it must also bring along the rest of society, including local governments, civil society, academia, the private sectors, and the public. The project design incorporates extensive stakeholder engagement in planning and implementation at all levels, ranging from IWRM planning to enhancing village climate resilience. 72. Adopting an IWRM Approach. This is required to sustainably develop Assam’s abundant water resources and simultaneously reduce flood and river erosion risks. Traditionally, flood embankment and river erosion work undertaken by WRD focused on local problem areas without considering the river basin. The project design thus calls for the formulation of IFRMPs in the eight most critical tributary basins. The IFRMPs will consider the whole basin and integrate green (i.e nature-based) and gray infrastructure to identify the optimal mix of structural measures; the plans will also consider non-structural approaches such as land use zoning, flood proofing, and emergency preparedness and response. At a larger scale, the Assam Brahmaputra and Assam Barak strategic water plans will explore options for sustainably managing and developing water resources for economic development while protecting the environment and managing flood and river erosion risks. 73. Building Community Resilience. Community level interventions are fundamental to building climate resilience, and in Assam it is the rural poor who are disproportionally affected. The project includes activities to improve the resilience of village infrastructure through the VDMPs and enhance local emergency preparedness and response by strengthening CQRTs. The flood shelter activities are targeted to help support the most flood vulnerable rural populations. The Program will upgrade Assam’s flood forecasting and EWDS to ensure that necessary information is provided to rural households in a timely manner. 74. Transboundary Water Management. A core lesson from the SAWI program is that integrated river basin planning in a transboundary context is a very complicated process, and the technical aspects (modeling frameworks, analytical tools, data, etc.) represent only part of the challenge. Such exercises require intensive consultation with multiple stakeholders at various levels and across multiple sectors. Improving cooperative 43 Browder, et. al (2021). “An EPIC Response: Innovative Governance for Flood and Drought Risk Management.” World Bank. Page 23 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) transboundary IWRM requires a long-term, sustained effort. The MPA will help ensure longer term World Bank engagement to help facilitate this process. III. IMPLEMENTATION ARRANGEMENTS A. Institutional and Implementation Arrangements 75. The two main PIUs are WRD, which is responsible for Component 2, and ASDMA, which is responsible for Component 3. FREMAA will serve as the PMU. FREMAA was established as a special purpose vehicle in 2010 responsible for executing and coordinating externally financed projects and is under the administrative control of WRD. FREMAA will also implement Component 1 in collaboration with WRD and ASDMA. For the flood forecasting activities under Component 2, WRD has signed an MOU with NESAC to provide technical assistance. For flood shelters under Component 3, ASDMA has signed an MOU with the Assam PWD which will support the procurement and construction supervision of flood shelters. FREMAA has contracted a PMTC that will provide support to WRD and ASDMA and assist FREMAA in overall project management and coordination. B. Results Monitoring and Evaluation Arrangements 76. WRD and ASDMA will be responsible for monitoring their respective components. FREMAA will consolidate the information from WRD and ASDMA into project reports with the assistance of the PMTC. A comprehensive RFM has been prepared, including targets, definitions, and intermediate indicators and is included in the POM. To facilitate the Program learning agenda there will be comprehensive workshops at the mid-term and closing stage of the project to review lessons learned and make adjustments as necessary to the project and Program design. C. Sustainability 77. Component 2 infrastructure is considered highly sustainable as the flood protection embankments and river erosion works are long-lived assets that require relatively low levels of maintenance. The embankment asset management program in Component 2 will help enhance the sustainability of the infrastructure. The flood shelters in Component 3 will be governed by the “Operational Guidelines for the Management and Maintenance of Multipurpose Flood Shelters” and the GoA will provide a dedicated maintenance fund for each shelter that is managed by the respective shelter committee. The flood forecasting system under Component 2 and EWDS under Component 3 will require strong commitment from the GoA to ensure their sustainability. IV. PROJECT APPRAISAL SUMMARY A. Technical, Economic and Financial Analysis (if applicable) Page 24 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) 78. Technical: The design for the river works in Component 2 have been approved by the CWC and follow all relevant Indian design standards. Since IFRMPs are not yet available for the Beki and Buridehing basins, only “no-regret investments” were selected. This includes strengthening existing flood embankments to protect densely populated areas, and river erosion works to help prevent rivers from outflanking road and rail bridges. IFRMPs will be prepared for the Beki, Buridehing, and Jiadhal basins which will include a mix of green and gray infrastructure, and structural and non-structural approaches to flood and river erosion management. The priority investments from these IFRMPs will be financed in Phase 2. The construction of new and upgraded flood shelters in Component 3 will be managed by the PWD which has extensive experience in these simple types of structures. 79. Currently, ASDMA relies upon NESAC to generate 24-hour lead time river flood forecasts and then disseminates warnings to potentially affected communities. Under the Program, flood forecasting will be expanded to include both river overflows (fluvial) and flood plain inundation (both pluvial and fluvial), with the lead time increased to 72 hours. Floodplain inundation forecast is a complex task given the size of the flood plains and the various contributing factors, including backwater effects, rainwater retention, and river overflows. A specialized consulting firm will be contracted to support WRD in these efforts. Upgrading the state- wide EWDS is a complex process that requires a high level of system integration and ASDMA will contract a “knowledge partner”, such as a university or another DRM agency, to support these activities. 80. Economic: An economic cost-benefit analysis (CBA) was undertaken for Component 2 river works and is included in the World Bank Project files. The CBA uses a standard “avoided cost” approach to estimate benefits. The primary benefits are the avoided costs of replacing road and rail infrastructure from river erosion, and the avoided costs of replacing structures and agricultural damages from flooding. A greenhouse gas (GHG) emission analysis concluded that there will be a slight increase in GHG emissions, approximately 27,000 tons, CO2eq, stemming from use of different types of construction material such as concrete and geobags. The Program will promote the use of nature-based solutions in the future which should help reduce GHG emissions from construction materials. The shadow price of carbon from these emissions was included in the CBA and had an insignificant impact on the analysis. The CBA estimated the economic internal rate of return (EIRR) to be around 15 percent under the base case scenario. Under the base case scenario, it is assumed that river erosion would undermine critical transportation infrastructure in Year 10. Sensitivity analysis was undertaken using a Year 5 scenario (18.9 percent EIRR) and a Year 15 (13 percent) scenario. Since river erosion is inherently unpredictable, and a changing climate is altering historical patterns, there are inherent limitations in this type of analysis. Moreover, the CBA is conservative as it does not account for costs that are difficult to quantify, such as increased costs due to transportation interruptions and the costs of social dislocation of people who lose their land. 81. Building resilience through climate resilient villages and embankment asset management will also produce significant economic benefits by reducing flood damages. Activities such as improved flood forecasting, Page 25 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) EWDS, CQRT, and flood shelters will allow communities to better respond to flood emergencies to reduce human suffering and loss of life. Finally, establishing a planning framework for IWRM will help guide sustainable economic development in Assam. 82. Climate Co-Benefits. Assam is facing significant vulnerabilities due to current and future climate change, posing threats to its natural resources and communities. Climate change is exacerbating hydrometeorological events in Assam, resulting in more frequent disasters such as floods and landslides. The recent climate change threats such as super cyclone in 202044 and 6-month flood season in 202245 (see para 6) have shown the measures and capacities the flood prone Assam has taken are outdated. The project will contribute to reduce increased risks by climate change. Component 1 will build the knowledge base and decision-support systems for climate-resilient planning and investment and the institutional capacity to deal with it. Under Component 2, the urgent measures focus on areas which are the most vulnerable by next floods exacerbated by climate change, and data collection would tell more exact climate risks for IFRMP to enhance climate mitigation and adaptation implementation. Component 3 activities are designed to reflect current climate change threats as business as usual does not reduce disaster risks and losses in communities. As shown in the table below, all three project components are directly related to improving Assam’s climate adaptation and enhancing disaster risk management. This is achieved by building climate resilience through infrastructure investments, improving emergency preparedness and response, and stressing the importance of building back better after climate- related disasters. AIRBMP is a key program to help Assam achieve its climate goals as outlined in the Assam SAPCC. The three primary climate related PDO indicators are: i) enhanced flood protection in Beki and Buridehing basins; ii) improved flood forecasting; and iii) new or enhanced flood shelters. Climate Co-Benefits 1.1 Improves institutional capacity of WRD to undertake climate-informed IWRM 1.2 ASDMA responds better to climate disasters: flash flood forecasting, PDNA, risk financing 1.3 FREMAA project management for climate-related disaster risks and IWRM 2.1 Improved river infrastructure for higher water levels & velocities generated from climate change 2.2 IFRMP defines structural and non-structural approaches to reducing climate risks Flood forecasting reduces climate-related risks by allowing people to prepare for floods 2.3 Data collected for climate risk management; safer embankments to reduce climate risks 2.4 Building to house HIU which is the nerve center for WRD climate risk management 2.5 WRD project management to support reduction of climate-related water risks and IWRM 3.1 Flood shelters allow users to adapt to climate change by providing a safe refuge 3.2 EWDS provides better information; supports response and recovery to climate hazards 3.3 CQRT improves emergency response to climate hazards 44 https://theconversation.com/climate-change-isnt-just-making-cyclones-worse-its-making-the-floods-they-cause-worse-too-new-research-182789 The floods started in April 2022 (https://ndrf.gov.in/operations/assam-floods-2022) and the 3rd wave affected about 70,000 people by the floods in 45 October in Assam (http://www.asdma.gov.in/pdf/flood_report/2022/Daily_Flood_Report_12.10.2022.pdf). Page 26 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) 3.4 VDMP improves resilience to climate hazards through upgraded infrastructure. 3.5 ASDMA project management to support reduction of climate-related disaster risks B. Fiduciary (i) Financial Management There will be seven accounting centers for this project - FREMAA, WRD-PIU, four divisions of WRD (Dibrugarh, Tinsukia, Barpeta, and Baksa), and ASDMA-PIU. The finance function will be coordinated by FREMAA under overall supervision of the State Project Director and CEO FREMAA. GoA has created a separate budget head in the WRD budget, and the same will be operated by FREMAA. With respect to fund-flow, separate parent-child banking arrangements will be established for the project. All project accounts will be maintained in an off-the- shelf accounting software by the accounting centers, based on which FREMAA will prepare and submit quarterly Interim Unaudited Financial Reports (IUFRs) to the Bank within 45 days from the close of the quarter. The annual consolidated financial statements will be audited by a private chartered accountant firm and the same will be submitted to the Bank within 9 months from the close of the financial year. A detailed Financial Management Manual has been prepared for the project. The project has acceptable FM arrangements to account for and report on project expenditures including (a) use of funds in an efficient and economical manner for the purposes intended, (b) preparation of accurate and reliable periodic financial reports, and (c) acceptable audit/assurance arrangements. The FM arrangements for the project are reliant on the use of country fiduciary systems to the extent feasible. The overall FM risk is assessed as Moderate. (ii) Procurement Procurement activities will be carried out following the World Bank’s Procurement Regulations for IPF Borrowers dated Nov 2020. Details of procurement activities are specified in the procurement plan. The project will be subject to the World Bank’s Guidelines on Preventing and Combating Fraud and Corruption in Projects Financed by IBRD Loans and IDA Credits and Grants. A Project Procurement Strategy for Development (PPSD) was developed during the early stages of project preparation. As of October 20, 2022, approximately US$44 million in contracts have been awarded following Bank procurement regulations. The World Bank has carried out a procurement risk assessment of FREMAA, WRD, and ASDMA. Based on the assessment, the overall residual procurement risk rating for the project is determined as ‘Moderate’. Procurement related risks have been identified, and mitigation measures have been agreed upon. The details of procurement arrangements can be found in Annex 1. .C. Legal Operational Policies . Triggered? Projects on International Waterways OP 7.50 Yes Projects in Disputed Areas OP 7.60 No Page 27 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) . 83. Projects on International Waterways (OP 7.50). This policy is triggered since project activities will involve the use or potential pollution of the tributaries of the Brahmaputra River, which is considered an international waterway. Project activities include renovation of existing flood embankments and protecting river stretches from erosion under Component 2.1, which will be limited to rehabilitation and upgrade of the existing schemes. The project also finances feasibility studies for river works under Component 2.2. The terms of reference for these studies will include an examination of any potential riparian issues. Thus, (i) the project will not adversely impact the quantity or quality of water in the international waterway and (ii) the project investments will not be adversely affected by the other riparians’ possible water use. Therefore, the project falls within the exception to the notification requirements as set forth in paragraph 7(a) of OP 7.50. The exception to the notification requirement was approved by the South Asia Regional Vice President on October 25, 2022. D. Environmental and Social 84. The environmental risks and impacts of the construction works under Components 2 and 3 include, amongst others: loss of vegetation cover; air, soil, and water pollution; community and worker health and safety; impacts from disposal of a large quantity of excavated materials and impacts on fishes and aquatic fauna. Large number of trees will be cut to rehabilitate and expand embarkments but there are no impacts on biodiversity and critical habitats. The construction-related impacts are localized, temporary in nature and with known and readily available mitigation measures. The key social risks and impacts include acquisition of 163 ha of land, of which 36 ha are privately owned and 127 ha are government owned. In total, 553 households are impacted, including 476 titleholders and 77 non-title holders (informal occupants of government land). Impacts include 91 fully affected residential and commercial structures; loss of trees and crops; and cultural and common properties such as burial area, mosque, etc. The number of physically and economically displaced households will be confirmed during implementation based upon detailed surveys prior to the commencement of works and the RAP will be updated. 85. Due to recent flooding events and incessant river erosion, people along the rivers often move out of the area. Despite efforts to trace these households, only around half of the affected households were included in the household-level surveys. Tribal groups are present in project areas falling within designated tribal (Schedule VI) areas or outside which meet Environmental and Social Standard (ESS) 7 characteristics. However, these tribal groups will not experience adverse impacts requiring Free Prior and Informed Consent. Another social risk is the inadequate engagement of stakeholders during project implementation, and in particular the exclusion of disadvantaged and vulnerable groups from the design and management of flood shelters. Using the Gender- Based Violence (GBV) risk assessment tool, the Sexual Exploitation and Abuse and Sexual Harassment (SEA/SH) risk is assessed to be (14.0) Moderate (14.0) as these risks mainly arise from project works in vicinity of habitations, deployment of women staff/ workers at work sites, presence in Labour Camps, as well as limited Page 28 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) influx of labor into the project area. All ESSs except ESS 9 are relevant to this operation. (See ESRS for more details). 86. For all identified works, ESIA has been conducted. Mitigation plans, including Environment and Social Management Plans (ESMPs) and a RAP with commensurate provisions for physically and economically displaced households have been prepared in consultation with affected persons, communities and other relevant stakeholders and comply with current national and state level regulatory frameworks and Bank ESS requirements. The costs for land acquisition and resettlement will be met from counterpart funding. An Environmental and Social Management Framework (ESMF) and Resettlement Policy Framework have been prepared to guide the screening and preparation of specific assessments and plans of subprojects to be identified during implementation. The ESMF includes provisions for incorporating E&S analyses as part of the IFRMP process, including cumulative impact assessments for proposed investments. The ESMF also includes provisions for ensuring social and environmental dimensions are incorporated into the Brahmaputra State of the Basin Report. The ESMF includes a SEA/SH risk mitigation framework and a Tribal Development Framework. Mitigation measures to address SEA/SH requirements include creation of Internal Committees (IC) by all three agencies; provisions in the bid/contract documents; training of project personnel and awareness amongst communities on available GM; separate and safe facilities for women and men in the place of work and the labor camps, etc. In addition, a stand-alone Labor Management Procedure has been prepared to guide management of all categories of workers. A Stakeholder Engagement Plan (SEP) and Environment and Social Commitment Plan (ESCP) have been prepared. FREMAA disclosed draft versions of the Environmental and Social Framework (ESF) documents on October 15, 2022 and updated versions on December 23, 2022. WRD and ASDMA disclosed the ESF documents on January 2, 202346. The World Bank disclosed the ESF documents on November 24, 2022 and February 2, 2023. 87. FREMAA and ASDMA have E&S specialists, communication specialists, and designated gender focal points who are also responsible for SEA/SH aspects, with some prior experience of working in WB and ADB financed operations. WRD will contract E&S specialists before project effectiveness. All three implementing agencies will be supported by the PMTC which includes environmental, social, and communication experts. Both WRD and FREMAA have functional Grievance Mechanisms, though these will need to be further strengthened. ASDMA too will form, operationalize, and maintain a GRM throughout the project period as provided in SEP. These are reflected in the ESCP as part of broader capacity building measures given that E&S aspects will be significant in this MPA operation. 88. Citizen Engagement: CE has been ensured during project preparation through consultations, household surveys and FGDs with communities in the project area and their feedback has been incorporated into the various assessments and mitigation instruments. During implementation CE shall be ensured by: i) ensuring a broad range of stakeholders are actively engaged in the preparation of the IFRMPs by preparing and implementing 46 WRD website: https://waterresources.assam.gov.in/documents-detail/assam-integrated-river-basin-management-program-airbmp-0; and ASDMA website: https://asdma.assam.gov.in/documents-detail/asdma-assam-integrated-river-basin-management-programairbmp Page 29 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) basin specific SEPs; ii) engaging the community during the implementation of non-structural solutions such as early warning, emergency preparation, disaster response and recovery comprising of training and equipping CQRTs– sourced from local communities with representation of women and without discrimination against transgender people; iii) climate resilient villages plans developed through the participatory preparation of VDMPs using locally sourced community volunteers and implemented by the VLCDMC with adequate representation from various stakeholders including vulnerable groups; and iv) community participation, including women and other disadvantaged groups, in the decision-making of the Flood Shelter Management and Maintenance Committees. Extensive communication outreach activities, and effective grievance redress mechanism will supplement these activities. The CE indicators in the RFM are (i) the number of climate risk-informed village disaster mitigation plans developed in a participatory manner with local communities; and (ii) percent of grievances received from project affected people that have been redressed satisfactorily within stipulated timelines. Baseline 0: End Target: 85 percent V. WORLD BANK GRIEVANCE REDRESS 88. Grievance Redress. Communities and individuals who believe that they are adversely affected by a project supported by the World Bank may submit complaints to existing project level grievance redress mechanisms or the Bank’s Grievance Redress Service (GRS). The GRS ensures that complaints received are promptly reviewed in order to address project related concerns. Project affected communities and individuals may submit their complaint to the Bank’s independent Accountability Mechanism (AM). The AM houses the Inspection Panel, which determines whether harm occurred, or could occur, as a result of Bank non-compliance with its policies and procedures, and the Dispute Resolution Service, which provides communities and borrowers with the opportunity to address complaints through dispute resolution. Complaints may be submitted to the AM at any time after concerns have been brought directly to the attention of Bank Management and after Management has been given an opportunity to respond. For information on how to submit complaints to the Bank’s Grievance Redress Service (GRS), please visit http://www.worldbank.org/GRS. For information on how to submit complaints to the Bank’s Accountability Mechanism, please visit https://accountability.worldbank.org. VI. KEY RISKS 89. The overall risk is determined to be moderate. Environment and social risks are rated as substantial. The overall residual risk ratings for all other categories are moderate or low, and thus the overall risk rating is judged to be moderate. The following paragraphs present key mitigated risks. 90. Environment and Social Risk is Substantial. Physical works under the project, including river works, flood shelters and small-scale village level infrastructure generate typical construction related environmental impacts that can be mitigated through ESMPs. Social risk is categorized as Substantial. Significant land acquisition is required for the river works under Component 2 and these risks are addressed through a well-developed RAP. Page 30 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) Ensuring social inclusion and participatory approaches for climate resilient villages, flood shelters, IWRM planning, and EWDS are important but challenging elements in the project and the risks are mitigated through a comprehensive SEP, and robust communication and GRMs. The ESF instruments will help mitigate these risks, but the residual risk is still considered substantial. . Page 31 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) VII. RESULTS FRAMEWORK AND MONITORING Results Framework COUNTRY: India Assam Integrated River Basin Management Program Project Development Objective(s) To reduce the vulnerability of people to climate-related disasters and improve integrated water resources management in Assam. Project Development Objective Indicators RESULT_FRAME_TBL_ PD O Indicator Name PBC Baseline End Target Institutional Strengthening and Strategic Studies Adoption of Assam State Water Policy (Text) No state water policy in place Water Policy Approved by GoA Water Resources Management People with enhanced flood protection in Beki and Buridehing. 0.00 100,000.00 (Number) People with improved flood forecasting information (Number) 0.00 4,200,000.00 Disaster Risk Management Page 32 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) RESULT_FRAME_TBL_ PD O Indicator Name PBC Baseline End Target People receiving emergency alerts from State EOC (Number) 0.00 6,000,000.00 People with access to new or enhanced flood shelters (Number) 0.00 10,000.00 PDO Table SPACE Intermediate Results Indicators by Components RESULT_FRAME_TBL_ IO Indicator Name PBC Baseline End Target Institutional Strengthening and Strategic Studies Completion of Assam Brahmaputra State of the Basin Report. None State of the basin report completed. (Text) Completion of Disaster Risk Financing Study (Text) None Study report completed Completion of Flash Flood Forecasting Study (Text) None Report submitted Grievances from PAPs redressed satisfactorily within timelines 0.00 85.00 (Percentage) Water Resources Management Riverbank and flood protection embankments improved 0.00 40.00 (Kilometers) Upgrading the flood forecasting system in three basins (Text) None Flood Forecasting System operational Preparation of IFRM Plans (Text) None Works procurement completed Collection of hydrological baseline data (Text) None Baseline information utilized. Flood Embankment Asset Management Program (Text) None Report finalized Disaster Risk Management Flood Shelters constructed. (Number) 0.00 25.00 Page 33 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) RESULT_FRAME_TBL_ IO Indicator Name PBC Baseline End Target Upgraded State and District EOCs operational. (Text) Upgraded state EOC and 10 upgraded District EOCs None operational. CQRT teams receiving basic training (Number) 0.00 39.00 Climate risk-informed VDMPs developed in a participatory 0.00 40.00 manner with local communities (Number) Flood shelter management committees have 40% female decision making members (Percentage) 0.00 75.00 VLCDMC have 40% female decision making members 0.00 75.00 (Percentage) IO Table SPACE UL Table SPACE Monitoring & Evaluation Plan: PDO Indicators Methodology for Data Responsibility for Data Indicator Name Definition/Description Frequency Datasource Collection Collection Project FREMAA monitors Annual FREMAA, WRD Adoption of Assam State Water Policy Adoption of Policy Reports drafting and approval WRD estimates by People living in Jiadhal and Project People with enhanced flood protection in Annual monitoring construction WRD, FREMAA Buridehing basins. Reports Beki and Buridehing. progress. (Climate) People living in Jiadhal, Project ASDMA monitors status People with improved flood forecasting Annual ASDMA and WRD Beki, and Buridehing Reports with State EOC alert information basins. (Climate) system. Page 34 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) ASDMA monitors status Wireless users in Assam Project People receiving emergency alerts from Annual on geotargeted ASDMA receiving geotargeted cell- Reports State EOC emergency alerts. based emergency alerts. ASDMA estimates by People's access to new and Project People with access to new or enhanced Annual monitoring construction ASDMA retrofitted/augmented Reports flood shelters progress. flood shelters. (Climate) ME PDO Table SPACE Monitoring & Evaluation Plan: Intermediate Results Indicators Methodology for Data Responsibility for Data Indicator Name Definition/Description Frequency Datasource Collection Collection Various elements to Project FREMAA monitors the Completion of Assam Brahmaputra State Annual FREMAA, WRD approach transboundary Reports progress of the study. of the Basin Report. IWRM Project FREMAA monitors the Completion of Disaster Risk Financing A multi-hazard risk Annual FREMAA, ASDMA Reports progress of the study. Study financing strategy study Project FREMAA monitors the Completion of Flash Flood Forecasting A study to better predict Annual FREMAA, ASDMA Reports progress of the study. Study flash floods Project FREMAA monitors the Grievances from PAPs redressed Grievances from PAPs to be Annual FREMAA Reports progress of cases. satisfactorily within timelines solved in time Project WRD monitors Riverbank and flood protection River works in Beki and Annual WRD Reports construction progress embankments improved Buridehing (kms). Page 35 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) WRD monitors Flood forecasting systems Project Upgrading the flood forecasting system in Annual forecasting system WRD for Jiadhal, Beki, and Reports three basins progress and operation. Buridehing in operation. WRD and ASDMA IFRM Plans for the Beki, Project Annual monitor the progress of WRD and ASDMA Preparation of IFRM Plans Buridehing, and Jiadhal Reports the IFRM plans. basins within Assam. WRD monitors the Hydrological surveys for Project Annual progress of station WRD Collection of hydrological baseline data Beki, Buridehing, and Reports installation and surveys Jiadhal Embankment Asset Project WRD monitors progress Flood Embankment Asset Management Management System for Annual WRD Reports of the Program. Program Beki, Buridehing, and Jiadhal. The number of newly Project ASDMA monitors Annual ASDMA Flood Shelters constructed. constructed/augmented Reports construction progress. flood shelters. ASDMA monitors Project Upgraded State and District EOCs Upgraded EOCs in Annual number of improved ASDMA Reports operational. operation. EOCs operational ASDMA monitors the The number of CQRT Project Annual number of CQRTs ASDMA CQRT teams receiving basic training members that receive at Reports trained least the basic training. VDMPs developed in a Climate risk-informed VDMPs developed Project ASDMA monitors CRVs participatory manner with Annual ASDMA in a participatory manner with local Reports program. local communities (Citizen communities Engagement). Page 36 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) ASDMA gender focal Flood shelter management committees The committees have 30% Project Annual point monitors ASDMA have 40% female decision making women in leadership Reports progress. members position (Gender) VLCDMC have 40% women Project ASDMA gender focal VLCDMC have 40% female decision Annual ASDMA in leadership position Reports point monitors progress. making members (Gender) ME IO Table SPACE . Page 37 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) ANNEX 1: Implementation Arrangements and Support Plan COUNTRY: India Assam Integrated River Basin Management Program A. Overall Implementation Arrangements 1. There are three Implementing Agencies (IA) under the Project: FREMAA, WRD, and ASDMA. FREMAA, which is a Special Purpose Vehicle under WRD, is responsible for the implementation of externally aided projects.47 A project operations manual (POM) has been prepared that will guide overall project implementation, including a detailed project description with estimated costs, organizational arrangements, RFM, financial management manual, and procurement manual. 2. Project Management Unit: A Project Management Unit (PMU) has been constituted within the FREMAA, which will be responsible for overseeing and coordinating project activities. It consists of dedicated staff in project management, technical, financial management, procurement, environment, social, communications in addition to other support staff such as administration, information technology, and human resources. The PMU will be supported by a full-time Project Management and Technical Consultant (PMTC) firm. 3. Project Implementation Units: Component 1 of the project will be implemented through FREMAA’s PMU with the support of WRD and ASDMA. Component 2 will be implemented by WRD and Component 3 by ASDMA. WRD has established a Project Implementation Unit (PIU) which is headed by the WRD Chief Engineer and supported by WRD’s “externally aided projects” (EAP) unit which consists of staff specialized in financial management, procurement, and safeguard management for multi-lateral development projects. Various units within WRD will provide technical support to the project as appropriate. ASDMA has also established a PIU led by the ASDMA Chief Executive Officer which consists of dedicated financial management, procurement, social, environmental, and communication staff. Each ASDMA subcomponent in Component 3 is led by an ASDMA staff focal point supported by a subcomponent technical lead consultant. 4. Governance: FREMAA’s existing Governing Body will serve as the project’s State-level Steering Committee to guide the overall direction of the project, ensure inter-agency coordination of activities between the project and other related government Programs, and provide approval of annual budgets. The Governing Body is chaired by the Chief Secretary, GoA and includes representatives from relevant line departments, including WRD, Finance, Revenue, Agriculture, Animal Husbandry, amongst others. FREMAA’s existing Executive Body will provide relevant administration and process approvals. The Executive Body is chaired by the Additional Chief Secretary, WRD, and includes the head of WRD Finance Department as Vice Chairman. In addition to WRD and ASDMA, the Executive Body includes members from the following departments: Revenue, Agriculture, Inland Waterways, Environment and Forest, and Urban Development. 5. Other implementation arrangements. FREMAA/WRD have signed an MOU with the Northeastern Space Applications Center (NESAC) under which NESAC will provide technical support and other such information required by WRD-ASDMA in the development and operationalization of the flood forecasting system. ASDMA has signed an MOU with the Assam Public Works Department (PWD), whereby PWD provides procurement and construction supervision services for ASDMA for the flood shelters in Component 3.1. ASDMA still retains 47 FREMAA was set up in 2010-11 as an Executing Agency (EA) under the Society Registration Act 1860. Page 38 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) procurement and financial management responsibility for Component 3.1, but the flood shelter contracts will be jointly signed by ASDMA and PWD. B. Financial Management 6. FM staffing and training. Dedicated FM staff have been appointed for all IAs. At each of the WRD divisions, the existing divisional finance officers and accountants will discharge the FM functions. All IAs will be staffed with adequate specialists with requisite qualifications and experience throughout the implementation period. WRD and ASDMA are implementing a World Bank-financed project for the first time; adequate training on World Bank procedures will be provided to the staff of all IAs. 7. Planning and budgeting. The GoA is committed to the project and there is no significant risk of non- commitment of funds to the project. A separate budget line has been created by GoA under WRD’s demand to be operated by FREMAA. WRD-PIU and ASDMA-PIU will prepare their respective Annual Work Plans (AWP) for the subsequent year and submit to FREMAA. FREMAA will review, finalize, and ensure its approval in its Governing Body. These budget estimates will be submitted to the GoA’s WRD for transmission to the GoA’s Finance Department for inclusion in the state’s annual budget proposal. GoA shall make adequate budgetary allocation for the project in its annual budget, following the State’s systems for budget requisition and authorization by the State Legislature, following its budget calendar. 8. Banking Arrangements. The project will maintain ‘Parent-Child’ banking arrangement, as specified below: a. FREMAA will open a separate bank account for the purposes of this Project - a ‘Parent Account’. This Bank account will be maintained by the CEO, FREMAA and all financial transactions will be transacted from this Bank account. There shall be two authorized signatories for this account, the CEO and such authorized signatory/s’ as approved by the Executive Committee of FREMAA. b. WRD-PIU, all four divisional offices of WRD implementing the river works and ASDMA-PIU shall open a project specific, zero-balance bank account (‘child’ account) that will be linked to the abovementioned ‘parent’ account of FREMAA. These accounts shall be opened at a convenient branch of the same bank as the FREMAA Parent Account; and will be maintained by the Nodal Officer of the respective accounting center or head of the WRD divisional office, as applicable. These bank accounts will be used exclusively for receipts and payments of the project fund. Using network of the same bank will enable efficient transmission of funds. All bank accounts under the project will be under joint signatures i.e., to be signed jointly by more than one officer. FREMAA will have the viewing right of transactions of all child bank accounts. 9. Fund flow. Separate banking arrangements will be established for the project. The World Bank loan will be available to the GoA in accordance with standard arrangements between the GoI and the states. The budgeted funds for the project will be routed through the GoA’s State Treasury into the project specific bank account(s) periodically on a need basis. 10. Withdrawal of funds from State Treasury: The project funds drawn from the GoA Treasury shall be deposited in the Parent account maintained by FREMAA for the purpose of project implementation. Funds will be released by GoA at periodic intervals based on FREMAA’s fund requirement, in the form of Grants-in-Aid following the State’s Fixation of Ceiling (FoC) mechanism. Prior to the FoC, the project must obtain Administrative Sanction (from WRD) and Financial Sanction (from WRD and/or Finance Department) as per the applicable GoA procedures. 11. Transfer of Funds to the PIUs/ WRD Divisions for implementation: ASDMA-PIU and WRD-PIU (for itself and divisional funds requirement) will submit Fund Release Proposal (FRP) on a quarterly basis to FREMAA based on Page 39 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) their AWP and the progress to-date. The format for this FRP will be included in the Project Financial Management Manual. FREMAA will set a ceiling for fund utilization at the accounting centers and issue a Fund Limit Order (FLO) to the bank. This will be based on the availability of funds from State Government and review of the FRP (against the approved AWP and utilization reported thus far). The withdrawal limits of each child account set by the FLO will be dynamic, i.e., for every payment made by the accounting center the limit will be decreased. The CEO, FREMAA may increase or decrease the limit and/or direct the bank to stop payment against draw down requests received from any child account. All project-related payments made by the child accounts within the established withdrawal limits will be honored by the bank. At the end of each day, the total payment made in any Child Account will be swept from the Parent Account. 12. Payment to contractors, consultants, suppliers or any third party: All payments will be made only through the above-mentioned banking arrangements via RTGS/NEFT system. The accounting center responsible for making the payment will provide mobile phone number of the payee to the bank in the letter issued for transfer of funds. The bank will send SMS to the mobile numbers on transfer of funds to bank account or another payee. 13. Internal control, rules, and regulations. FREMAA and ASDMA’s internal control and administrative procedures are laid out in the rules and regulations (bylaws) respectively and these will apply to the project transactions. With respect to WRD division the internal control framework and administrative procedures of the GoA will apply. These include the procedures for budgeting, financial delegation, internal controls, reporting and record keeping and audit. Key internal control arrangements include (a) approval of all activities by the Executive Committee; and (b) deliverables approved by respective executing officers based on which payments will be made at the accounting center after review and approvals. With respect to the WRD divisions the GoA. These include the procedures for budgeting, financial delegation, internal controls, reporting and record keeping, and audit. A POM will guide overall project implementation, including a detailed project description with estimated costs, organizational arrangements, RFM, financial management manual, and procurement manual. Further, project arrangements include regular internal audit, which will review transactions and processes on a sample basis across all accounting centers on a quarterly basis during the project period. A private chartered accountant firm will be appointed for this function—the qualification and terms of reference (ToR) for internal audit will be agreed with the World Bank. Follow-up of internal audit observations shall be done on priority with the oversight of the Executive Committee (or a delegated Audit Committee) of FREMAA. 14. Accounting. The project accounts will be maintained in double entry system of accounting and will follow the cash basis of accounting. Proper books of accounts, based on generally accepted accounting standards and principles, will be maintained electronically in an off-the-shelf accounting software by each accounting center following a standardized Chart of Accounts (CoA) keeping in view the needs of the internal and external reporting requirements. Each accounting center will be subject to the financial supervision under the project including timely reporting, compliance with project financial management guidelines as documented in the FMM, audit etc. Nodal officer of each PIU shall be assisted through training, capacity building support to implement and comply with the FM guidelines. 15. Financial Reporting. FREMAA will prepare quarterly Interim Unaudited Financial Reports (IUFRs) based on the abovementioned accounting records reflecting the actual expenditures incurred at all accounting centers. The IUFRs will be prepared in agreed formats (annexed in the FMM) will be submitted to the World Bank within 45 days from the close of the quarter. Additionally, FREMAA will also prepare the annual financial statements (AFS) of the project reporting consolidated expenditures. 16. Disbursement arrangements. The applicable disbursement method will be ‘reimbursement’ of eligible expenditures reported in the quarterly IUFRs. The definition of eligible expenditures (amounting to US$122.7 Page 40 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) million) is provided in the table under para 17 below and will be reimbursed at 88 percent. It is important to note that the cost of land acquisition will not be reimbursed by the Bank – such land acquisition cost (estimated at US$12.3 million) will be financed entirely by GoA as their counter-part financing under the project. Although the Bank will not finance this cost, the same will be tracked in the IUFRs to ensure adequate counter-part financing is provided by GoA. The overall reimbursement by the Bank will be 80 percent (i.e., US$108 million) of the total estimated project cost of US$135 million. 17. Disbursement schedule. Loan funds will be disbursed against the following category subject to the allocated amount, reported eligible expenditure, and the disbursement percentage as indicated in table below. Category Amount of the Loan Percentage of Expenditures to be financed Allocated (inclusive of Taxes) (expressed in US$) (1) Goods, works, non-consulting 107,730,000 88% services, consulting services, Incremental Operating Costs, and Training for the Project (2) Emergency Expenditures 0 100% (3) Front-end Fee 270,000 Amount payable pursuant to Section 2.03 of Loan Agreement in accordance with Section 2.07 (b) of the General Conditions (4) Interest Rate Cap or Interest 0 Amount due pursuant to Section 4.05 (c) of the Rate Collar premium General Conditions TOTAL AMOUNT 108,000,000 18. Statutory audit. The consolidated AFS of the project will be audited by an independent, private audit firm appointed by the society based on a ToR agreed with the World Bank. Audit report for the project will be submitted by FREMAA to the World Bank within nine months from close of the financial year, that is, December 31. The annual audit reports and audited project financial statements will be disclosed on the GoA/ project and World Bank websites. 19. Implementation support. As implementation progresses, it will involve review of financial and audit reports. In the initial years, the project staff may require support/training on project FM and disbursement processes/procedures and guidance on contract management. The World Bank will undertake at least semiannual implementation support missions (ISMs) to ensure that agreed FM arrangements are appropriately followed. C. Procurement 20. Procurement Regulations: Procurement for the project will be carried out in accordance with the World Bank’s Procurement Regulations for IPF Borrowers dated July 2016, and revised in August 2018 and November 2020, and the provisions stipulated in the Legal Agreement. Further, the project would be subject to the World Bank’s Anti-Corruption Guidelines, dated October 15, 2006, and revised in January 2011 and July 2016. Unless otherwise agreed with the World Bank, the World Bank’s standard procurement documents will be used. 21. Project procurement strategy: Major civil works to be procured under the project include civil works related to flood embankments and river erosion, flood shelters, and an WRD building. Large consultancies include the PMTC and a flood forecasting and IFRM planning consultancy. Significant goods contracts include items related Page 41 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) to the EWDS including IT based equipment and cell tower transmission equipment. A PPSD has been developed based on detailed requirements, capacity assessment, and market analysis. 22. Procurement risk assessment: The risk ratings have been decided based on both the probability of occurrence of various events and their likely impact. Assessment parameters, include, among others, procurement capacity and experience of the IAs, complexity of procurement, and possibilities of fraud and corruption/transparency-related risks. Based on the assessment, the overall residual procurement risk rating for the project is determined as ‘Moderate’. The residual rating on procurement will be reviewed and updated periodically by the World Bank in PRAMS. All the three agencies FREMMA, WRD and ASDMA are assessed for procurement risk and the same is captured in latest PRAMS. Table 1.1 describes major procurement-related risks and the mitigation measures with responsibility matrix. 1.1 Key Procurement-Related Risks and Mitigation Measures Risks Identified Mitigation Measures Proposed Responsibility Institutional capacity as no • Organizing regular training on procurement to enhance IA/World previous experience in World capacity Bank Bank procurement • Guidance of a procurement chapter in POM Complex and high-value • Use of appropriate market approach based on IA/World procurement recommendations of the PPSD Bank • Monitoring through the Procurement Plan and quarterly reports External interference in the • Use of e-Procurement IA procurement process, • Fair complaint handling mechanism transparency, and fraud and • Disclosure of procurement-related information corruption issues • External/internal procurement audits 23. Procurement readiness: As of October 20, 2022, approximately US$44 million in works, consultancies and goods have been awarded through Systematic Tracking of Exchanges in Procurement (STEP), indicating a high degree for project implementation readiness and procurement capacity. Most of the procurement will follow the national market using Request for Bids (RFB). A few RFBs for high value equipment could follow an international approach. There is no proposal to use the best and final offer or negotiations. Table 1.2 Procurement Category and Method of Selection Process Category Description Selection Method Works Including supply-cum-installation works RFB - International/National; Request for Quotations (RFQ) - National Goods/non- RTDAS, HPCS, IT systems, computers and RFB-International/National, RFQ - National consultancy services accessories, software and related items, including GeM; a few may be DS and so on Consultancy PMTC, river basin planning and other QCBS, LCS, FBS, QBS, CQS, a few may be DS technical consultancies, internal audit, and so on, research activities and capacity-building activities Note: CQS = Selection based on Consultant’s Qualifications; DS = Direct Selection; FBS = Selection under a Fixed Budget; GeM = Government eMarketplace; LCS = Least-Cost Selection; QCBS = Quality- and Cost-Based Page 42 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) Selection; RFQ = Request for Quotations. 24. Arrangements under National Competitive Procurement: National competition for the procurement of goods, works, and non-consulting services according to the established thresholds will be conducted in accordance with paragraphs 5.3–5.6 of Section V of the Regulations and the following provisions: (i) Only the model bidding documents for National Competitive Procurement agreed with the GoI task force (and as amended for time to time) shall be used for bidding. (ii) Invitations to bid shall be advertised on a widely used website or electronic portal with free open access at least 30 days before the deadline for the submission of bids, unless otherwise agreed in the approved Procurement Plan. (iii) No special preference will be accorded to any bidder either for price or for other terms and conditions when competing with foreign bidders, state-owned enterprises, small-scale enterprises, or enterprises from any given state. (iv) Except with the prior concurrence of the World Bank, there shall be no negotiation of price with the bidders, even with the lowest evaluated bidder. (v) GeM set up by the Ministry of Commerce, GoI, will be acceptable for procurement under the RFQ method. (vi) At the borrower’s request, the World Bank may agree to the borrower’s use, in whole or in part, of its electronic procurement system, provided that the World Bank is satisfied with the adequacy of such system. (vii) Procurement will be open to eligible firms from any country. This eligibility shall be as defined under Section III of the Procurement Regulations. Accordingly, no bidder or potential bidder shall be declared ineligible for contracts financed by the World Bank for reasons other than those provided in Section III of the Procurement Regulations. (viii) The RFB/Request for Proposals document shall require that bidders/proposers submitting bids/proposals include a signed acceptance in the bid, to be incorporated in any resulting contracts, confirming application of, and compliance with, the World Bank’s Anti-Corruption Guidelines, including without limitation the World Bank’s right to sanction and the World Bank’s inspection and audit rights. (ix) The borrower shall use an effective complaints mechanism for handling procurement-related complaints on time. (x) Procurement documents will include provisions, as agreed with the World Bank, intended to adequately mitigate against environmental, social (including sexual exploitation and abuse and GBV), and health and safety risks and impacts. 25. Use of GeM will be allowed instead of RFQ/Shopping for all activities with estimated value less than US$ 100,000. 26. STEP: The project will implement STEP, a planning and tracking tool, for procurement-related communications with the World Bank. Details of the procurement activities that have been prepared, including the Procurement Plan, will be entered in the STEP tool. A few staff from the IAs have already been trained by the World Bank to use STEP, and others will be trained as and when required. 27. Procurement Review thresholds: Table 1.3 lists the procurement thresholds for the various procurement methods. Page 43 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) Table 1.3 Procurement Thresholds for the Various Procurement Methods Procurement Type Market Approach method Threshold orld Bank’s Prior Review Threshold (US$, millions) (US$ millions) Works Open International: More than 40 All contracts > 15 Open National: up to 40 National RFQ: up to 0.1 Goods, IT, and Open International: More than 10 Goods and IT: All contracts > 4 non-consulting Open National: up to 10 Non-consulting services: All contracts > 4 services National RFQ: up to 0.1 Consulting firms Open International: More than 2 All contracts > 2 National market approach < 2 CQS < 0.3 LCS, FBS - in Justified cases QCBS, QBS - in all other packages Individual No thresholds All contracts > 0.4 consultants DS No thresholds With prior agreement based on justification • For goods/works /non-consulting services: According to paragraphs 6.8– 6.10 of the Procurement Regulations • For consultants: According to paragraphs 7.13–7.15 of the Procurement Regulations 28. Retroactive financing: As of October 20, 2022 approximately US$44 million has been contracted by the IAs. Twenty percent of the World Bank loan amount, US$21.6 million, will be made available for retroactive financing as stipulated in the Loan Agreement. All eligible expenses incurred within one year before the expected project signing, i.e. April 15, 2022, including incremental operating expenses can be reimbursed through retroactive financing. 29. Post review: All contracts not subject to prior review by the World Bank will be subject to post review. Post review of the sampled procurements would be carried out during the project’s implementation support missions and/or special post review missions. The World Bank may conduct, at any time, independent procurement reviews of all the contracts financed under the loan. 30. Complaint handling mechanism: To address procurement complaints received by the project, a link disclosing details about the complaint handling mechanism for this project will be given on the IA’s websites. The mechanism would include a brief on whom to complain to, how it will be resolved, and what will be the estimated timeline. The IAs are also required to ensure recording of procurement-related complaints in the STEP tool. Both the World Bank and the borrower will use STEP to track complaints. The borrower will be responsible for performing the following actions in STEP: (i) promptly record all complaints relating to procurement process in IPF operations; (ii) for procurement process complaints received on contracts subject to the World Bank’s prior review, submit the borrower’s proposed response to each complaint before issuing it to the complainant(s); ( iii) record the borrower’s response to the procurement process complaints upon issuance to the complainant(s); and Page 44 of 45 The World Bank Assam Integrated River Basin Management Program (P174593) (iv) promptly register requests for debriefings and update STEP with the record of the debriefings to interested parties. 31. Record keeping: All records pertaining to award of contracts—including bid notifications; bidding documents; bid opening minutes; bid evaluation reports; signed contracts; and all correspondence pertaining to bid evaluation, communication exchanged with the World Bank and the bidders/consultants in the process, bid securities, and approval of invitation/evaluation of bids—must be retained by the IAs. These will also be uploaded in STEP. 32. Disclosure: The minimum documents that will be disclosed on the IAs' website include (i) RFB/Request for Expressions of Interest; and (ii) details of contract awards. The following details are published on the United Nations Development Business website through STEP: (i) an invitation for bids for procurement of goods and works using open international procedures; and (ii) contract award details of all procurement of goods and works using open international procedures. Page 45 of 45