The World Bank RESTRUCTURING ISDS Transformation of the Tertiary Technical and Technological Institutes Project (P157425) Integrated Safeguards Data Sheet Restructuring Stage Restructuring Stage | Date ISDS Prepared/Updated: April -2019| Report No: ISDSR25389 Regional Vice President: Axel van Trotsenburg Country Director: Alberto Rodriguez Senior Global Practice Director: Jaime Saavedra Chanduvi Practice Manager/Manager: Rita Kullberg Almeida Task Team Leader: Diego Angel-Urdinola The World Bank RESTRUCTURING ISDS Transformation of the Tertiary Technical and Technological Institutes Project (P157425) . I. BASIC INFORMATION 1. BASIC PROJECT DATA Project ID Project Name Transformation of the Tertiary Technical and P157425 Technological Institutes Project Task Team Leader(s) Country Diego Angel-Urdinola Ecuador Approval Date Environmental Category 23-Nov-2016 Partial Assessment (B) Managing Unit Is this a Repeater project? GED04 PROJECT FINANCING DATA (US$, Millions) 2. PROJECT INFORMATION Current Project Development Objective The objectives of the Project are: to increase enrollment and persistence in public technical and technological programs designed and implemented in collaboration with Employers, and to strengthen the institutional management of Tertiary Technical and Technological Education. . 3. PROJECT DESCRIPTION Component 1. Optimizing and upgrading the supply in targeted provinces (Total: US$66.0.7 million, Bank: US$58.40 million). 1. The objective of this component is to improve the actual and perceived quality of education services, accessed by students, which is expected that would positively impact enrollment and graduation. It would also enable a more efficient allocation of the existing resources, both physical (e.g., infrastructure facilities, science and technical labs) and in human resources, through the reorganization of IST supply by consolidation of institutes into new IST “hubs� and upgrading the infrastructure and facilities. The component will support 6 IST and will specifically finance five types of activities: (i) construction of 3 new ISTs, (ii) rehabilitation/expansion/completion of 3 ISTs, (iii) supervision of civil works, and (iv) The World Bank RESTRUCTURING ISDS Transformation of the Tertiary Technical and Technological Institutes Project (P157425) equipment, labs and ICT equipment and furniture for 6 IST, and (v) and technical studies. The plan to consolidate ISTs, the magnitude of infrastructure and equipment packages, and the academic supply of each of the 6 ISTs where the Project will be implemented will be based on and individual IST “Transformation Plan� (also known as “microplanning�). This plan consists of a comprehensive document, including: (i) related merging/closing of ISTs plan at the provincial level; (ii) technical analysis of student demand and ISTs supply ( based on demographic and schooling projections) and definition of quota of expected number of students to be absorbed in each proposed program, based on estimated labor market’s needs ( made by local and national surveys on labor demand of employers); (iii) infrastructure dimensioning. These 6 ISTs would serve up to 40% of the total enrollment in public ISTs in the selected provinces by the end of the Project. Targeted Provinces.i The Project is aligned with the GoE’s PRETyT national program, which is being implemented in most of the country’s territory and would be financed through three main financial sources: fiscal, European Investment Bank (BEI) and World Bank. In terms of ISTs construction and equipment, out of Ecuador’s 24 provinces, 20 are supported currently: GoE is supporting 5 provinces (5 ISTs) with its own resources, European Investment Bank (BEI) is supporting 8 provinces (8 ISTs) and the World Bank would support 5 provinces (6 ISTs). The provinces selection was based on TyT enrollment rates (“more beneficiaries�), poverty rate and indigenous people (“poverty and shared prosperity�) and is complementing interventions from GoE and BEI (no overlap) -- the result of this selection will also give the opportunity to evaluate the interventions in very different context. The provinces selected areSucumbios, Manabi, Pichincha, El Oro and Bolivar, with a technical and technological (TyT) gross enrollment rate and poverty rates much higher than the national average of 25% (based on Life Conditions Survey, Encuesta de Condiciones de Vida – ECV, 2014); 2 are among the poorest (Bolivar and Sucumbios 43%) and have a large indigenous population; and two are among the largest provinces (Pichincha and El Oro). Component 2. Improving program relevance, quality of teaching and IST management capacity (estimated cost $9.79 million: Bank: $8.61 million). The specific objective of this component is to improve the technical and operational capacity of SENESCYT to design new and relevant academic programs according to market demand (public and private); to develop new training programs for professors, tutors and rectors; and to introduce a new administrative and academic management system at IST level. With an increase on budget allocation from $5.00 million to $8.61, additional investments will be made to support teacher training at the national level and the development of information systems. (a) Sub-Component 2.1. Development of relevant programs. This sub-component would finance technical assistance to support the development of technical and technological education programs. The design of the new programs would follow a defined methodology comprising: (i) a “relevance� analysis including macro and micro labor market studies by technical specialty through surveys and available data; (ii) the institutionalized involvement of employers through the Consultative Councils (“Consejos Consultivos�); and (iii) a technical assistance that documents rigorously which of the currently approved programs have been designed in collaboration with the employers. (b) Sub-Component 2.2. Training of Teachers and management staff of ISTs. This sub-component would finance a technical assistance for: (i) the design and implementation of training programs, including training programs for management staff (rectors, vice-rectors, academic coordinators), teachers and tutors of dual programs of ISTs (to institutionalize a process of continuous training) and (ii) support the design of the selection process and teacher career pathway (assessment/review/guidance/evaluation). (c) Sub-Component 2.3. Administrative and Academic Management System. This sub-component would finance technical assistance for the development of the administrative and academic management system of ISTs. The new tool would be an integrated IT system that would facilitate and optimize the management of IST, specifically: (i) register, The World Bank RESTRUCTURING ISDS Transformation of the Tertiary Technical and Technological Institutes Project (P157425) monitoring and evaluation of academic processes, including modules for programs, library, diplomas; (ii) financial management, budgeting, accounting and auditing processes; and (iii) a specific module for the continuous gathering of information of ISTs graduates’ employment. The system would be a common platform shared for national and ISTs levels. At the national level, the main users would be authorities and technical units of SENESCYT, while at the ISTs’ level users would be management staff, teachers, students, graduates and tutors. Component 3. Strengthening Mechanisms for Institutional Coordination, Boosting Demand and Management, Monitoring and Evaluation of the Project (Total: US$6.30 million; Bank: US$5.49 million). The specific objectives of this component are to support improved governance of technical and technological education including (i) institutional mechanisms for effective public-private coordination in the development of programs; and (ii) institutional mechanisms to monitor and inform public and private sector decision-makers on: the employability of graduates of the tertiary technical and technological training system on the one hand, and employment opportunities on the other. (a) Sub-Component 3.1. Institutional Partnerships with Employers. This sub-component would finance technical assistance and training for the strengthening of permanent institutional arrangements for SENESCYT and employer’s association (the “Consejos Consultivos�), including their involvement in collaboration for re-designing of programs, estimation of the labor demand, implementation, follow up and evaluation of dual and traditional programs. (b) Sub-Component 3.2. Estimation of Labor Market Demand. This sub-component would finance technical assistance, training and surveys for the upgrading of the methodology to estimate the demand from employers and, therefore, determination of “quotas� for each program at provincial and ISTs level. The approach is two -fold: (i) methodology for estimating the demand by SENESCYT through surveys carried out in collaboration with employers; (ii) agreement with the National Institute of Statistics (INEC) to include a module for technical higher education in their surveys of employment, carried out semi-annual, including all productive and services sectors at national level. (c) Sub-Component 3.3. Boosting the Demand for ISTs. This sub-component would finance communication campaigns, training and technical assistance to foster the demand of technical higher education. It would also include an agreement with MINEDUC to build awareness among upper secondary students on the benefits of technical higher education. (d) Sub-Component 3.4. Management, Monitoring and Specific Impact Evaluations. This sub-component would finance: (i) the technical and administrative management of the Project, including the hiring of specialists in financial management, procurement, monitoring and evaluation, social management and other technical temporary staff needed during Project implementation; (ii) the carrying out of Project external audits; (iii) the financing of Operating Costs (if necessary, currently these costs are financed with Fiscal resources) related to Project’s activities; and (iv) the carrying out of three research/impact evaluation studies. The Component would focus on strengthening INEC’s capacity and coordinate information gathering from employers. Thus, the new budget allocation for this component would be reduced to US$5.49 million (from US$9.10 million). This budget reduction for INEC will go hand in hand with similar increase in funds for SENESCYT to develop surveys and information systems. This resource allocation reflects both (i) the urgent need to strengthen SENESCYT’s capacity to develop its own information systems and (ii) INEC’s limited capacity to implement sector-specific surveys. INEC is currently managing several statistical operations with already limited resources and personnel. The World Bank RESTRUCTURING ISDS Transformation of the Tertiary Technical and Technological Institutes Project (P157425) . 4. PROJECT LOCATION AND SALIENT PHYSICAL CHARACTERISTICS RELEVANT TO THE SAFEGUARD ANALYSIS (IF KNOWN) The Project activities would imply land acquisition for 03 New building construction (IST Machala – El Oro, IST Chimbo – Bolívar, IST Saberes Ancestrales – La Moya-Quito), but the land property is public, without any illegal/informal occupants identified or/and affected. In the case of the 03 Rehabilitation and Improvement (IST Lago Agrio – Sucumbios, IST Quito – Yavirac, IST Manta – Manabí), there is no need of land acquisition. 5. ENVIRONMENTAL AND SOCIAL SAFEGUARDS SPECIALISTS ON THE TEAM Mariana T. Felicio, Social Specialist Ximena Rosio Herbas Ramirez, Environmental Specialist SAFEGUARD_TABLE 6. SAFEGUARD POLICIES TRIGGERED Safeguard Policies Triggered Explanation The Project is classified as Category B under OP/BP 4.01. This classification is based upon the temporary and non-significant nature of most of its anticipated impacts. The potential negative impacts can be grouped into two categories: those associated with typical small to medium civil works during construction and upgrade of infrastructure (ITS), and those associated with the installation and operation of equipment in ancillary facilities such as workshops and laboratories which might generate health, safety and environmental risks. Environmental Assessment (OP) (BP 4.01) Yes The Project will finance investments in three defined locations. In Machala and Chimbo the project will finance new buildings and equipment and in Yavirac the rehabilitation/completion of the IST building and equipment. For the three known locations the Borrower has prepared Environmental Forms (EF) with their respective Environmental Management Plans (EMPs). For investments in Pichincha, Manta and Lago Agrio provinces, whose specific location is not yet fully defined and not technical studies are available, the Borrower has prepared in accordance with The World Bank RESTRUCTURING ISDS Transformation of the Tertiary Technical and Technological Institutes Project (P157425) World Bank policies an Environmental and Social Management Framework (ESMF). The ESMF includes a review of applicable national policies and regulations as well as WB Safeguard Policies and their requirements for the Project; feedback from stakeholders, including but not limited to affected communities, user groups and beneficiaries, and government and officials at municipal level; and an assessment of institutional capabilities and implementation arrangements for the project Performance Standards for Private Sector The operation doesn't apply to private sector No Activities OP/BP 4.03 activities. No impacts on natural habitats are expected an no significant conversion or degradation of critical or natural habitats will occur. Nonetheless, as the Natural Habitats (OP) (BP 4.04) Yes exact location of some of the activities isn't defined yet, the policy has been triggered. The specific EFs and EMPs will have screening tools and mitigation measures to avoid affecting natural habitats. The projects will not have impacts on the health and quality of forests, nonetheless, as the exact location of some of the activities isn't defined yet Forests (OP) (BP 4.36) Yes the policy was triggered. The specific EFs and EMPs will have screening tools and mitigation measures to avoid affecting forests. This policy is not triggered. Project activities will not Pest Management (OP 4.09) No lead to any environmental and health risks associated with pesticide use. The project does not expect to find physical cultural resources, but given the nature of civil works, including excavation, this policy is triggered on a precautionary basis. The ESMF includes clear Physical Cultural Resources (OP) (BP 4.11) Yes procedures for assessing locations for physical cultural resources aspects and how to manage chance finds in accordance with WB policy and national legislation. A social assessment (SA) conducted in provinces with high indigenous peoples (IPs) and Afro- descendants presence, indicated some concerns on the ISTS’s technical and technological education programs and locations. Those concerns pointed Indigenous Peoples (OP) (BP 4.10) Yes the need to ensure culturally appropriated opportunities in the education programs offered by ISTs that would benefit IPs. An IPF has been prepared and disclosed in the website of SENESCYT on August 30, 2016 and made available in the site, for local teachers and potential The World Bank RESTRUCTURING ISDS Transformation of the Tertiary Technical and Technological Institutes Project (P157425) students. The IPF defines the measures for education managers of ISTs, so as to ensure IPs and afro-descendants are not adversely affected or excluded from the Project activities. Indigenous and Afro-descendant peoples plans (IPPs) were prepared according to the IPF to identify activities, procedures and arrangements to be apply to IPs and Afro-descendants in the provinces with high presence of these populations. Free, prior and informed consultations with affected IPs communities was carried out and their support to the project confirmed during the elaboration of the SA, IPF and IPPs to fully meet the objectives of the OP 4.10 and facilitate consultation and active participation. However, the published information must be updated. This policy was triggered since the works planned could involve potential temporary and permanent impacts on land, assets, and livelihoods; and a RPF was prepared for the interventions unidentified at the time of project appraisal to guide the preparation of RPs, for investments that would involve land acquisition. A Due Diligence (DD) was carried out to document a detail status of the landholding identified at the Involuntary Resettlement (OP) (BP 4.12) Yes Project’s preparation stage to be used for Component 1 investments. The DD confirmed that in all cases the landholding for ISTs investments do not have any illegal/ informal occupants/ settlers identified and only entails state land which will be donated (at no cost) for the Project’s investments to SENESCYT and the EOD SENESCYT following the pertinent norms. This policy is not triggered given that the project will not support the construction or rehabilitation Safety of Dams (OP) (BP 4.37) No of dams nor will it support other investments which rely on the services of existing dams. This policy is not triggered as the project will not Projects on International Waterways (OP) No finance activities involving the use or potential (BP 7.50) pollution of international waterways. This policy is triggered as the project will not Projects in Disputed Areas (OP) (BP 7.60) No finance activities in disputed areas as defined in the policy. The World Bank RESTRUCTURING ISDS Transformation of the Tertiary Technical and Technological Institutes Project (P157425) KEY_POLICY_TABLE II. KEY SAFEGUARD POLICY ISSUES AND THEIR MANAGEMENT A. SUMMARY OF KEY SAFEGUARD ISSUES 1. Describe any safeguard issues and impacts associated with the Restructured project. Identify and describe any potential large scale, significant and/or irreversible impacts. SOCIAL i. Due to the request of the Ministry of Economy and Finance – MEF (September 26 and on October 2, 2018) to the World Bank, for reducing 18 million dollars from the Loan, the budget assigned to Component 01 (construction and rehabilitation of Institutes) has been reduced, and this implies the elimination of 05 ISTs, the omission of 01 province, prioritized before (Tungurahua), and the incorporation of 01 Institute of Ancestral Knowledge. So, it is extremely necessary to implement a communication process with the stakeholders which supported the project initially. ii. The OP 4.12 was triggered, because of land acquisition, but in all cases, it is about public ownership, without any illegal/informal occupants identified or/and affected; so, the risk on physical and economic displacement is low, and there is not any large scale or significant impacts. ENVIRONMENT The project triggers OP 4.01, OP 4.04, Op 4.36 and OP 4.11. The project activities, therefore the civil works, have been reduced and no new environmental impacts are foreseen 2. Describe any potential indirect and/or long term impacts due to anticipated future activities in the project area. There are no long term impacts anticipated due to the activities in the project area 3. Describe any potential alternatives (if relevant) considered to help avoid or minimize adverse impacts. SOCIAL It is strongly recommended to implement an information and consultation process with stakeholders, because of the new works for the Institute of Ancestral Knowledge, and an information process for the 05 ISTs separated from the project and transferred to SECAP (Quito – Secap Iñaquito, Quito – Secap Norte, Ambato, Duran, and Colon). ENVIRONMENT Due to the time lapsed between the preparation of the 3 EMPs and the scope of work being reduced, the environmental safeguards specialist of the PIU should review and validate the adequacy of the EMPs, 4. Describe measures taken by the borrower to address safeguard policy issues. Provide an assessment of borrower capacity to plan and implement the measures described. SOCIAL: NONE ENVIRONMENTAL: A PIU safeguards specialist has been hired to support the implementation of the project and to make sure that every IST implements the EMPs and complies with the WB policies. The World Bank RESTRUCTURING ISDS Transformation of the Tertiary Technical and Technological Institutes Project (P157425) 5. Identify the key stakeholders and describe the mechanism for consultation and disclosure on safeguard policies, with an emphasis on potentially affected people. Stakeholders: (i) Direct beneficiaries: Students currently attending ISTs (and conservatories) (ii) Potential beneficiaries: Local Communities, Indigenous peoples, interested on join the IST. (iii) Indigenous Organizations (CONAIE, etc.). (iv) ISTs Management staff (rectors, vice-rectors, academic coordinators), (v) ISTs Teachers (perhaps is the most strong and relevant stakeholder) (vi) Productive sector (employers) (vii) Consultive Councils (“Consejos Consultivos�) (viii) SENESCYT’s staff Mechanisms form consultation and disclosure: Although social instruments were prepared in the past (with their consequent consultation process implemented), due to the elimination of 05 ISTs, and the introduction of 01 new IST (Institute of Ancestral Knowledge) a new process of consultation and disclosure is needed. So, an information process with the 05 IST’s Stakeholders, has to be done, explaining the reasons and the sense of the changes; and a consultation process, with the Institute of Ancestral Knowledge, should be done in a participative manner. The final versions should have inform and incorporate comments and suggestions, obtained from consultation with their stakeholders. Finally, the documents related to the social management has to be disclosure on SENESCYT’s and, some of them, updated. DISCLOSURE_TABLE B. DISCLOSURE REQUIREMENTS ENV_TABLE Environmental Assessment/Audit/Management Plan/Other Date of receipt by the Bank Date of submission for disclosure 14-Sep-2016 14-Sep-2016 For Category ‘A’ projects, date of distributing the Executive Summary of the EA to the Executive Directors “In country� Disclosure Country Date of Disclosure Ecuador 14-Sep-2016 Comments The World Bank RESTRUCTURING ISDS Transformation of the Tertiary Technical and Technological Institutes Project (P157425) RESETTLE_TA BLE Resettlement Action Plan/Framework Policy Process Date of receipt by the Bank Date of submission for disclosure 30-Aug-2016 07-Sep-2016 “In country� Disclosure Country Date of Disclosure Ecuador 30-Aug-2016 Comments INDIG ENOUS_TA BLE Indigenous Peoples Development Plan/Framework Date of receipt by the Bank Date of submission for disclosure 05-Dec-2018 05-Dec-2018 “In country� Disclosure Country Date of Disclosure Ecuador 05-Dec-2018 Comments COMPLIANCE_TABLE C. COMPLIANCE MONITORING INDICATORS AT THE CORPORATE LEVEL EA_TABLE OP/BP/GP 4.01 - Environment Assessment Does the project require a stand-alone EA (including EMP) report? No NH_TABLE OP/BP 4.04 - Natural Habitats PCR_TABLE OP/BP 4.11 - Physical Cultural Resources The World Bank RESTRUCTURING ISDS Transformation of the Tertiary Technical and Technological Institutes Project (P157425) Does the EA include adequate measures related to cultural property? Yes Does the credit/loan incorporate mechanisms to mitigate the potential adverse Yes impacts on cultural property? IP_TABLE OP/BP 4.10 - Indigenous Peoples Has a separate Indigenous Peoples Plan/Planning Framework (as appropriate) Yes been prepared in consultation with affected Indigenous Peoples? If yes, then did the Regional unit responsible for safeguards or Practice Manager Yes review the plan? If the whole project is designed to benefit IP, has the design been reviewed and No approved by the Regional Social Development Unit or Practice Manager? IR_TABLE OP/BP 4.12 - Involuntary Resettlement Has a resettlement plan/abbreviated plan/policy framework/process framework Yes (as appropriate) been prepared? If yes, then did the Regional unit responsible for safeguards or Practice Manager Yes review the plan? FO_TABLE OP/BP 4.36 - Forests Has the sector-wide analysis of policy and institutional issues and constraints been carried out? Does the project design include satisfactory measures to overcome these constraints? Does the project finance commercial harvesting, and if so, does it include provisions for certification system? PDI_TABLE The World Bank Policy on Disclosure of Information Have relevant safeguard policies documents been sent to the World Bank for Yes disclosure? Have relevant documents been disclosed in-country in a public place in a form and language that are understandable and accessible to project-affected groups Yes and local NGOs? The World Bank RESTRUCTURING ISDS Transformation of the Tertiary Technical and Technological Institutes Project (P157425) ALL_TABLE All Safeguard Policies Have satisfactory calendar, budget and clear institutional responsibilities been Yes prepared for the implementation of measures related to safeguard policies? Have costs related to safeguard policy measures been included in the project Yes cost? Does the Monitoring and Evaluation system of the project include the monitoring Yes of safeguard impacts and measures related to safeguard policies? Have satisfactory implementation arrangements been agreed with the borrower Yes and the same been adequately reflected in the project legal documents? III. APPROVALS Diego Angel-Urdinola Task Team Leader(s) Nelson Gutierrez Approved By Practice Manager/Manager Yves Jantzem 26-Apr-2019 . Note to Task Teams: End of system generated content i The list of the targeted provinces is included in the OM. Any change in targeted provinces during implementation would need to be agreed between the GoE and the Bank.