The World Bank PROJECT TO SUPPORT THE COMPETITIVENESS OF THE GREATER ABIDJAN AGGLOMERATION SUF (P159697) Note to Task Teams: The following sections are system generated and can only be edited online in the Portal. Project Information Document/ Integrated Safeguards Data Sheet (PID/ISDS) Concept Stage | Date Prepared/Updated: 09-Feb-2018 | Report No: PIDISDSC19130 Jun 07, 2017 Page 1 of 20 The World Bank PROJECT TO SUPPORT THE COMPETITIVENESS OF THE GREATER ABIDJAN AGGLOMERATION SUF (P159697) BASIC INFORMATION A. Basic Project Data OPS TABLE Country Project ID Parent Project ID (if any) Project Name Cote d'Ivoire P159697 PROJECT TO SUPPORT THE COMPETITIVENESS OF THE GREATER ABIDJAN AGGLOMERATION SUF (P159697) Region Estimated Appraisal Date Estimated Board Date Practice Area (Lead) AFRICA Apr 15, 2018 Jun 28, 2018 Transport & Digital Development Financing Instrument Borrower(s) Implementing Agency Investment Project Financing Ministry of Finance PRICI (PCU) Proposed Development Objective(s) The Project Development Objective (PDO) is to support the competitiveness of the Greater Abidjan Agglomeration through smart city planning, efficient and sustainable transport and logistics system, and a conducive business environment. Financing (in USD Million) Finance OLD Financing Source Amount Borrower 120.00 International Development Association (IDA) 315.00 Total Project Cost 435.00 Environmental Assessment Category Concept Review Decision A-Full Assessment Track II-The review did authorize the preparation to continue Note to Task Teams: End of system generated content, document is editable from here. Jun 07, 2017 Page 2 of 20 The World Bank PROJECT TO SUPPORT THE COMPETITIVENESS OF THE GREATER ABIDJAN AGGLOMERATION SUF (P159697) Other Decision (as needed) B. Introduction and Context 1. Country Context: 1. Côte d’Ivoire is transitioning from a decade-long fragility induced by a political crisis and conflict, into an emerging economy. The country is the third largest economy in West Africa, with a GDP of around US$35 billion and a population of 23.3 million in 2016. Since 2011, thanks to the improved political and socio-economic context, the country knew a robust and broad based economic recovery, growing at an average rate of 8.9 % per year, with a controlled inflation below 3%. Over the period of 2017-2019, the country is projected to grow at about 7.7% yearly1, reflecting buoyant domestic demand, steady foreign direct investments and continued public spending on key catalytic infrastructure (transport, communication, and energy). The economy remains however vulnerable to external shocks, in particular the volatility of international prices of the country’s main trading commodities (cocoa, cashew nuts, palm oil, and cotton). 2. Côte d’Ivoire is one of the most urbanized countries in Sub-Saharan Africa with high spatial disparities between Abidjan and the rest of the country. The country is urbanizing at a high rate of 5% yearly, resulting in more than half (54 %) of the population living in urban centers, of which approximately 42% living in the Greater Abidjan Agglomeration (GAA) (5.4 million). The GAA covering 19 municipal jurisdictions, 13 under the Autonomous District of Abidjan and 6 surrounding municipalities, is the country’s main economic hub, contributing to approximately 60% of its GDP (implying an average urban wealth2 4.5 times higher than the rest of the country), 80 % of formal employment, and 90 % of formal enterprises. The Agglomeration is expected to play a crucial role in the future economic growth of Cote d’Ivoire, and in the achievement of the 10% yearly GDP growth rate needed to meet the national objective of a middle income country by 2035. 2. Sectoral and Institutional Context 3. The concentration of population and economic activities in the Greater Abidjan Agglomeration has created an unprecedented pressure on infrastructure, service delivery and job market. Such unbalanced geospatial distribution of wealth, implies a strong attractiveness of the GAA, and results in a high demographic pressure in the future induced by the migrating labor force and rural-to-city exodus, with ever increasing demand for quality jobs, affordable housing, transport and other public services that need to be accommodated. In addition, despite the concentration of economic activities in the GAA, widespread poverty and unemployment remain high at a rate of 19.5% in 20133. The failure to provide an inclusive environment with equal access to opportunities and services represents a source of fragility and threatens the sustainability of the growth path. In particular, the current investment pattern will taper off over time as the production costs increase due to higher transport costs and unreliable logistic services, the increase of protests and insecurity, as well as the shortage of skilled labor and 1 IMF (International Monetary Fund). 2 GDP/capita as a proxy of wealth 3 Emploi des jeunes, stratégie de relance, MEMEASFP, 20/12/2013 Jun 07, 2017 Page 3 of 20 The World Bank PROJECT TO SUPPORT THE COMPETITIVENESS OF THE GREATER ABIDJAN AGGLOMERATION SUF (P159697) affordable land for investment and housing. 4. Another challenge for the GAA is the pressing need to develop new sources of growth to reduce the reliance on public investment, the vulnerability to primary commodities’ international prices, and achieve faster creation and distribution of wealth through industrialization and greater added value activities. This requires lifting constraints to private investment through deeper and wider business environment reforms, improved market contestability, and better quality and affordability of infrastructure and associated services4. 5. To achieve and maintain such needed growth (10% yearly), the Greater Abidjan Agglomeration will need to: i) attract significant amount of financial resources (deployed in productive investment); ii) attract qualified human resources (with skills, know-how and capacity to innovate); and iii) achieve sound urban planning. The future competitiveness of GAA will therefore lie in its ability to compete with other Agglomerations in the sub region and the rest of the world in attracting these growth factors. 6. This is very much in line with the World Bank Competitive Cities Framework5 (see box 1), designed to harness the competitive potential of cities for higher private investment and jobs creation, that identifies Infrastructure, Land, and Enabling Business Environment (with appropriate policies and regulations in place, Enterprises’ easy access to finance and assistance, abundance of skilled and innovative workforce). While Energy, Water & Sanitation, and ICT infrastructure are being developed under the Bank financed PRICI project as well as other donors’ projects, the inappropriate Transport infrastructure and inefficient services are hindering the movement of people and goods within the city and with the rest of country, and require immediate attention to support future development of Abidjan as a single Economic Agglomeration, benefiting from the interactions between its different parts as a single integrated land, labor and consumer markets. Box 1: World Bank Group Competitive Cities Framework - What Makes a City Competitive? In Competitive Cities for Jobs and Growth (World Bank 2015), the authors identified the following four pillars for the development of competitive cities:  Infrastructure and Land The availability of suitable land for specific business purposes, as well as a wide range of economic infrastructure such as roads, electricity, water, sanitation, transportation, communications, and land (including collocation arrangements for similar firms).  Institutions and Regulations A wide range of enabling environmental policy and regulatory issues, as well as the ability of institutions to effectively implement policies and actions. Examples are issues related to taxes, licenses and other business regulations, duties, promotion, and branding.  Enterprise Support and Finance Direct support to enterprises: Access to capital, subsidies, incentives, export assistance, and capacity development for operational activities (legal, financial, and administrative) are commonly found in this category.  Skills and Innovation The provision of basic education, vocational training, and workforce development on the one hand and innovation networks on the other. 4 According to CDI Investment Promotion Agency (CEPICI), there is over XOF900billion (USD1.5billion) of private investments projects in the pipeline constrained by lack of access to serviced industrial and commercial land 5 World Bank. 2015. Competitive Cities for Jobs and Growth. Jun 07, 2017 Page 4 of 20 The World Bank PROJECT TO SUPPORT THE COMPETITIVENESS OF THE GREATER ABIDJAN AGGLOMERATION SUF (P159697) 3. Relationship to CAS and Ivory Coast National and Local Development Plans 7. The proposed interventions are fully aligned with the Country Partnership Framework for Cote d’Ivoire adopted in August 2015. The CPF comprises three pillars of intervention: (i) accelerate sustainable growth, driven by the private sector; (ii) build human capital for economic development and social cohesion; and (iii) strengthen the management of public finances and responsibility. It also includes two cross-cutting themes: spatial inequalities and governance, with the latter being at the center of the proposed project through the support to urban governance. 8. The proposed project, which supports the development of Greater Abidjan Agglomeration’s competitiveness through the promotion of efficient and sustainable mobility of goods and people in the urban area of Abidjan, and the development of the competitiveness of industries, value chains, and local SMEs, is fully consistent with CPF, particularly with the Focus Area One, and will contribute to the achievement of the following objectives: (i) improve productivity in key value chains; (ii) strengthen economic infrastructure in Greater Abidjan Agglomeration; (iii) improve business regulatory framework and access to finance; and (iv) enhance access to land for business. 9. The project will also leverage the existing Bank portfolio and planned operations under the CPF, which supports the government strategy to promote private sector-led development and improve competitiveness. It will complement ongoing or planned projects focused on (i) the urban infrastructure rehabilitation and access to basic services in Abidjan such as the Emergency Infrastructure Renewal Project (PRICI); (ii) trade and transport facilitation for regional integration such as Abidjan-Lagos Trade and Transport Facilitation Project (PFCTCAL); and iii) the Transport Sector Modernization and Corridor Trade Facilitation (PAMOSET). In addition, the project is designed to complement and be implemented in synergy with activities under preparation and/or implementation funded by other development partners: (i) the African Development Bank (AFD) projects in Great Abidjan that aim at facilitating urban mobility through the provision of key transport infrastructure (the 4th bridge, part of the Y4 ring road, signaling in main road junctions, etc.); (ii) Japan International Cooperation Agency (JICA) projects that aim at providing support to economic growth and mobility (SOLIBRA interchange, extension of the cereal terminal at the port of Abidjan, three interchanges at François Mitterrand Bv. etc.); and the (iii) Millennium Challenge Corporation that has prioritized for its Ivorian Compact transport interventions in Abidjan port area the Redesign of road junctions along the Valery Giscard d’Estaing Bv.; support to the creation of a Great Abidjan Authority as well as other investments along the key t ransport corridors with the Abidjan Port hinterland. 10. The Ivorian authorities have identified structural reforms and actions that are needed to strengthen the competitiveness of urban economies. The National Development Plan (PND) for the period 2016-2020, confirms infrastructure and transport as major sources of growth, as well as a condition to ensure mobility and access to other basic services, and a solid ground for economic competitiveness. In addition, the Plan highlights the overarching objectives of reinforcing the quality of institutions and governance, accelerating the development of the human capital and social welfare, and accelerating the structural change of economy. Promotion of efficient and sustainable mobility of goods and people, urban governance and competitiveness of industries, value chains, and local SMEs, will help restore foundations of a strong inclusive economic growth, increase the competitiveness of Greater Abidjan, and help Cote d’Ivoire regain its critical and pivotal economic role in the sub-region. 11. The project is also fully consistent with the findings of the Greater Abidjan Urbanization Master Plan (SDUGA) which has estimated that the needed growth of 10 % yearly, would lead to a much higher: a) demand for skilled labor, which in turn would generate demand for affordable housing and social services; b) demand for land for future investments and areas of economic activity and habitat; and c) demand for transport and communication, to facilitate Jun 07, 2017 Page 5 of 20 The World Bank PROJECT TO SUPPORT THE COMPETITIVENESS OF THE GREATER ABIDJAN AGGLOMERATION SUF (P159697) the movement of goods and services, as well as the residents’ access to basic public services, workplaces, shops and recreation. It will therefore support the implementation of its main recommendations. C. Proposed Development Objective(s) Note to Task Teams: The PDO has been pre-populated from the datasheet for the first time for your convenience. Please keep it up to date whenever it is changed in the datasheet. The Project Development Objective (PDO) is to support the competitiveness of the Greater Abidjan Agglomeration through smart city planning, efficient and sustainable transport and logistics system, and a conducive business environment. Key Results (From PCN) PDO-level expected project outcomes are: - Lower travel time and costs for people and lower costs of transport and logistics for goods in the GAA; - Increased private investments in GVCs with a higher participation of local SMEs; Better and more efficient city planning and management by implementing the Urban Master Plan of Greater Abidjan SDUGA. D. Concept Description 12. In order to achieve the project PDO of “support the competitiveness of the Greater Abidjan Agglomeration through improved access to private sector generated quality jobs, goods and services, enabled by a smart city planning, an integrated and sustainable transport system, and a conducive business environment�, a specific focus need to be placed on the specific set of activities: i) infrastructure services to support the growth and reduce the costs of production. One of the major impediments constraining the economic growth of GAA is the lack of (a) affordable, reliable and environmentally sustainable transport services to facilitate the movement of goods and services, as well as the residents’ access to basic public services, workplaces, shops and recreation areas; and (b) efficient and available logistics and storage services (for inputs to industries and final products for consumption or export), at competitive prices to improve the performance and competitiveness of Greater Abidjan's economy as a whole, ii) municipal services (in particular the supply of land for future investments and areas of economic activity, and the affordable housing), delivered through a sound institutional framework that foster good policies coordinated planning of interventions to support the harmonious growth of the Agglomeration and a pleasant living urban environment, iii) conducive business environment for investments that encourage and facilitate the flow of capital, technology, information, mixing and cultural exchanges, as well as industries and SMEs to increase productivity, efficiency and effectiveness. 13. Accordingly, the following project components and activities were designed to support the GAA’s ability to fulfill the above three demands: Jun 07, 2017 Page 6 of 20 The World Bank PROJECT TO SUPPORT THE COMPETITIVENESS OF THE GREATER ABIDJAN AGGLOMERATION SUF (P159697) Component A: Promotion of inclusive and sustainable mobility of people and goods in the Greater Abidjan Agglomeration (US$ 333.4 million) 14. Sub-component A1. Easing congestion in the Port of Abidjan (PAA) and improving its accessibility and connectivity to the main industrial zones (US$ 305 million). This sub-component will support the development and rehabilitation of road infrastructure in the port area as well as its connection to the main industrial zones. The Port of Abidjan is an essential driver of Greater Abidjan’s economy in particular and the national economy in general. It is also a main port for landlocked countries in its hinterland as Burkina Faso and Mali. However, the port is currently heavily congested, with constantly full warehouses and long processing times reaching an average of ten days and resulting in the stacking of goods (containerized or not) within the Port (platforms and warehouses) which reduces the operating space, slows the handling and extends berthing and waiting times. This is mainly due to long customs formalities and difficulties in land accessibility and parking availability around the port, slowing down the loading and evacuation of processed goods and leading to more congestion within the port. 15. This sub-component will thus include the following activities: i) Construction of a dry port with a logistics platform and heavy vehicle parking (Around US$ 130.0 million) in the North of Abidjan and south of Anyama, at the intersection of the A1 highway and the future Y4 bypass, and adjacent to the railway line between Abidjan and Ouagadougou. The new dry port and logistics platform will consist of an extension of the Port of Abidjan, keeping most port traffic out of the city of Abidjan. The construction of the missing sections of the highway A1, will provide freight traffic with a direct access to the future parking, where they can load goods for import and unload goods for exports. Stripping and stuffing of containers will be done at the adjacent dry port, which will benefit from not only a direct rail connection to the port of Abidjan, but also from access roads to the industrial zone in the north of Yopougon and A1 highway. In addition, the future bypass Y4, providing direct access to the main consumption centers in Abidjan, to the new industrial zone PK24-26 and to the highway A3, will also provide access to the dry port. Customs procedures will also take place at the dry port, reducing handling operations and delays inside the Port of Abidjan and allowing a rapid evacuation of goods destined to other cities in Cote d’Ivoire and to landlocked countries in the hinterland. The dry port will also allow storage and distribution of goods destined to Abidjan which will ease storage warehouses inside the old port, reduce delays and will significantly reduce transport cost and time - important factors for the competitiveness of Cote d’Ivoire- and the maintaining of the regional position of the Port of Abidjan. The “Cascade� approach will be used for the design and structuring of this key component of the Project to leverage as much as possible the limited public funding in Cote d’Ivoire and ensure that the quality of service sought behind this strategic infrastructure is delivered. Before applying concessional resources to the logistics platform, the overall business case and viability of the project will be assessed to explore various business models and PPP structures. ii) Construction of a section of Abidjan bypass (Y4) connecting Anyama to the Autoroute du Nord (PK26) (Around US$ 90 million) This bypass is a vital infrastructure that will significantly enhance the mobility in Greater Abidjan by facilitating the suburb-suburb trips which will reduce congestion in the center of Abidjan and provide access to land resources necessary for the future development of the district. In particular, this bypass will allow for the development of: (i) residential zones in Songon Area in order to meet the future housing needs of the population working in the industrial zone PK24-26; and (iii) the extension of the Port of Abidjan in the west. The African Development Bank is financing the development of a section of Y4 between Mitterrand Boulevard and Alépé road (24,4 Km). Thus, the development of the Y4 section connecting the A1 Jun 07, 2017 Page 7 of 20 The World Bank PROJECT TO SUPPORT THE COMPETITIVENESS OF THE GREATER ABIDJAN AGGLOMERATION SUF (P159697) to A3 (Autoroute du Nord) will achieve the connection to the industrial zone PK24-26 and to the port of Abidjan through the Dry port and the railway connection. iii) Rehabilitation of Abidjan Port’s access roads (Around US$ 45 million): This activity will improve the accessibility to the port’s basic infrastructure and facilities and reduce congestion, accidents and vehicles’ operating costs. A feasibility study for the rehabilitation of the roads inside the port of Abidjan is being prepared under the Trade and Transport Facilitation Project on Abidjan-Lagos Corridor. Results will be available by June 2017. iv) Redesign of Akwaba intersection to improve its capacity, reduce delays and accidents (Around US$ 40 millions): The rehabilitation of Akwaba intersection is necessary in view of the importance of the traffic transiting through this main node in the network of Abidjan. In addition, this intersection is a necessary transit point for all traffic to Félix Houphouët Boigny airport (located at 3.5km from the intersection), the Bassam zone currently under development, Vridi industrial zone and the port of Abidjan. In particular, in order to ease congestion in Valéry Giscard d'Estaing (VGE) Boulevard, where users and riparian suffer major problems of accessibility, delays, air and noise pollution, and accidents, it is necessary to upgrade this key bottle neck junction. 16. Sub-Component A2. Promotion of inclusive and sustainable urban mobility (Around US$ 25.4 million). This sub-component will support the economic growth of Greater Abidjan through the consolidation of an efficient urban transport system, which provides the population with improved access to jobs, public services, businesses and leisure activities. The future economic growth of Abidjan will generate new job opportunities and enhance the quality of life of residents, which will certainly increase the attractiveness of the city and attract further people from other cities and rural areas of Cote d’Ivoire and neighboring countries. 17. Currently, 57% of urban travel in Greater Abidjan is by car (Private cars, Taxis and Wôro-Wôro), 43% by public transport (mainly by GBAKA (2/3), SOTRA buses (1/3, including lagoon transport) and some work shuttles). In spite of the significant government investments in road infrastructure, the population is still suffering from slow and unreliable transport, especially for commuting during peak hours when travel time could reach 3 hours. Thus, an efficient and sustainable solution would be the development of massive, inclusive and attractive public transport, which will reduce (i) travel times (non-productive time), (ii) pollution and greenhouse gas emission, and (iii) road accidents. This system would take advantage of Abidjan water plan (low maintenance costs) for the integration of lagoon transport with the ground urban mass transport. In addition, it will be important to promote measures to make the best use of the transport network and existing roads by an optimized traffic management. 18. Thus, this sub-component will finance the following investments: i) Development of a multi-modal Transport plan for Abidjan (Around US$ 2.4 million): As part of the operationalization of the SDUGA Urban Plan, a multi-modal transport plan will be developed based on Origin-Destination surveys to enable the Government and the municipalities of the District of Abidjan to benefit from a tool for general transport planning, and small-scale urban planning to be part of the Detailed Urban Plans which will be implemented under this project at the level of each municipality of Abidjan (Cf. Component B). The objective of the model is to put in place an operational planning of urban travels in order to improve traffic and public transport in Abidjan based on the travel patterns and forecasted demand of its citizens. More specifically, this activity will:  Conduct a diagnosis of mobility in Abidjan; Jun 07, 2017 Page 8 of 20 The World Bank PROJECT TO SUPPORT THE COMPETITIVENESS OF THE GREATER ABIDJAN AGGLOMERATION SUF (P159697)  Coordinate the different mobility-related investments in Abidjan;  Plan and prioritize public transport (including Rapid Mass Transit Systems) lines; and  Propose circulation plans for municipalities of the District of Abidjan. ii) Densification of lagoon waterway public transport (Around US$ 8.0 million): by the development of stations for SOTRA lagoon transport network, including the renovation of Abobodoumé station, the construction of new stations at Niangon Lokoua and Koumassi Nord Est, and the development of access infrastructure to the newly constructed docks by CITRANS and STL. These projects which are located in the municipalities of Yopougon and Koumassi, will serve several other municipalities like Marcory-Cocody- Treichville-Plateau-Attecoubé, with the main objective of:  Reducing congestion on Abidjan streets by encouraging modal shift to lagoon transport;  Ensuring an efficient use of Abidjan natural asset of Ebrié lagoon;  Providing a better (more reliable and affordable) public transport service;  Improving transport offer; and  Enhancing intermodality. iii) Development of 50 Km of pedestrians and cycle routes in Abidjan (Around US$ 10 million): Cycling and walking are two transport modes frequently used by the population (Around 4 million non-motorized daily trips compared to 13 million total daily trips), reaching a percentage of 60% of daily trips in some municipalities as Abobo. However, these daily trips occur in deplorable conditions, such as:  Lack of footways and pedestrian circulation network in Abidjan;  When existing, uncontrolled occupation of sidewalks by small businesses or vehicle parking; and  Road safety issues and general pedestrian insecurity. Hence, and given the environmental and health benefits of soft transport modes, this activity will help provide the city of Abidjan with a good pedestrian and cycling routes network. Based on the circulation plans developed by the project, the pedestrian network will be designed to ensure its smooth connectivity to the public transport nodes, with particular emphasis on the last kilometers around those nodes. iv) Feasibility study and detailed preliminary design of a pilot BRT corridor (Around US$ 5 million): This study will allow the preparation of an investment project that could be eventually implemented in a future operation of the Bank. The BRT provides an efficient, affordable and highly performant transport supplyr with high commercial speed and a high level of service and reliability. It allows the separation of bus traffic from the rest of road traffic through dedicated lanes and ensures coherence between urban transport and urban planning options in a sustainable manner. In addition, The BRT meets the transport needs of population with reduced costs and environmental impacts, high service quality and better security conditions. Thus, a potential corridor serving the following dense areas was identified:  West -Yopougon: Siporex - Boulevard Alassane OUATTARA – 5th bridge route;  Centre : Attecoubé (Bori bana) interchange - blvd de la Paix ;  Centre - Adjamé: 5th bridge Sebroko – Town hall – Indenié;  East - Cocody : la Vie interchange- Boulevard Latrille ; and  North- Abobo: Biabou. Jun 07, 2017 Page 9 of 20 The World Bank PROJECT TO SUPPORT THE COMPETITIVENESS OF THE GREATER ABIDJAN AGGLOMERATION SUF (P159697) 19. Sub-Component A3. Support to urban transport governance in Greater Abidjan (Around US$ 3 million). This subcomponent will finance the following activities: i) Support for creating an Urban Transport Authority in Greater Abidjan (Around US$ 3 million): This activity will provide assistance for the creation of a coordinating authority of urban transport in Greater Abidjan. This authority will be responsible for the planning and management of transport and urban development (Such as the European model: Transport for London, STIF in Paris). More specifically, this activity will support:  Institutional study for the creation of an urban transport authority in Greater Abidjan, proposing a draft legal text for its creation, an organizational chart, and an operational manual;  Study tour to an exemplary metropolitan area with a successful integrated urban transport system; and  Providing technical assistance to the created Urban Transport Authority during its first 3 years of operation. Component B: Urban planning and implementation of the urban master plan (Estimated cost of US$ 106.6 million) 20. Urbanization is a major challenge for the economic and social development in Cote d’Ivoire. In fact, the urban population accounts for half of the country's total population. Greater Abidjan alone accounts for more than 20% of the country's total population, 60% of formal jobs and 90% of formal enterprises. 21. A recent World Bank review of urbanization in Cote d’Ivoire, shows a correlation between the Gross National Income (GNI) per capita and the urbanization rate. Cote d’Ivoire was found to have lower GNI per capita compared to other countries which have the same urbanization rate (US$ 1450 compared to US$ 3500). Thus, a better management of urbanization can contribute to improving this situation by promoting higher income-generating activities. 22. The government of Ivory Coast, with the assistance of JICA, approved a National Urban Master Plan for Greater Abidjan (SDUGA), and the relative Transport Master plans, with the main objective of ensuring better coherence between the public and private investments in the different zones of Greater Abidjan. These investments should include the development of economic activities sources of economic growth and competitiveness, residential activities and green spaces. Activities under this component will be structured around three sub-components as follows: 23. Sub-component B1. Urban planning (Around US$ 41.3 million). All activities financed under this sub- component will contribute directly to the competitiveness of Greater Abidjan: i) Implementation of the urban master plan of Greater Abidjan-SDUGA (US$ 40 million): The National Urban Master Plan (SDUGA), that was approved and disseminated to the administrations and population, needs to be correctly implemented, in order to significantly contribute in addressing urbanization problems in Greater Abidjan. Therefore, it is necessary to elaborate Detailed Urban Plans in order to clarify the orientations of SDUGA for land use, transport, housing, land supply and basic urban services. Thus, this sub- component will finance the studies and the preparation of detailed urban plans for 10 urban units defined in SDUGA, as well as the Master Plans for the 13 municipalities in the District of Abidjan. In addition to climate change considerations and environmental approaches for urbanism, these urban plans will take into account urban densification and regeneration, property valuation, and functional mix. The project will also finance SDUGA general planning regulation, specific urban planning regulations, and the updating of the legislative and regulatory texts for urbanism, including the elaboration of a new urban planning code. Furthermore, the project will finance the following activities in order to ensure the availability of land for investments projected in the urban plans: Jun 07, 2017 Page 10 of 20 The World Bank PROJECT TO SUPPORT THE COMPETITIVENESS OF THE GREATER ABIDJAN AGGLOMERATION SUF (P159697)  Delimitation of land plots and right-of-ways for infrastructure and structuring facilities projected in SDUGA and detail plans to avoid their occupation by the population;  Communication around SDUGA and the Urban Detailed Plans and their appropriation by the actors and the populations are a powerful guarantee for their respect. In this context, the project will finance information, communication and sensitizing campaigns to promote ownership of the projected investments among population and the different actors; Based on the detailed urban plans, a priority investments program for each municipality will be set up. These programs will guide the future financing of municipal investments. A budget of $3 million will be allocated to each municipality to enable them to finance priority investments for the implementation of the detailed urban plans. ii) Establishment of a metropolitan governing structure for SDUGA implementation (US$ 500,000): This activity will ensure the efficient implementation of the SDUGA through the establishment of a metropolitan governing structure that will coordinate the actions of the different stakeholders. Activities financed under this component are as follows:  A review of urban governance in order to assess the different stakeholders and propose, in the light of international best practices, the responsibilities of this structure, its operation and intervention mode, its interaction with the other urban stakeholders, its structure, its organizational chart and its institutional framework. iii) Strengthening the capacities of SDUGA implementing institutions (US$ 800,000): Capacity building within the Ministry of urbanism, District of Abidjan and the 13 municipalities of Abidjan. This activity will also finance a study that will define the type of needed institutional support and capacity building activities, as well as the establishment of Land and Housing observatory. 24. Sub-component B.2 : Urban development investments to consolidate and strengthen the competitiveness of Greater Abidjan (Around US$ 28 million): This sub-component finances activities that aim to improve Greater Abidjan attractiveness, a key factor for its competitiveness: i) Street labeling in the district of Abidjan (US$ 18 million): This aims at facilitating the citizens’ movement inside the city by providing visible inscriptions identifying streets’ names and buildings’ entrees. Financed activities will complete what has been already started in the District and extend it to the municipalities of Anyama, Bingerville and Songon that were not included in the past project. In the light of the multiplicity of actors involved in street labeling (Ministry of Interior, ministry of posts, ministry of urbanism, District of Abidjan and its 13 municipalities), a single coordination structure will be put in place for the implementation of this activity. ii) Preservation and upgrading of the green belt of the urban master plan of Abidjan (US$ 10 million): The SDUGA has advocated the establishment of a green belt in the peri-urban zone of Greater Abidjan and recommended to urgently conduct a study for its future preservation. In addition to its primary function of limiting urban sprawl, this green belt has three other functions:  Environmental function: Sequester the carbon released by the city and fight against climate change;  Economic function: Host and preserve the agro-pastoral activities in order to contribute effectively to food supply to the Autonomous District of Abidjan and to create induced jobs; and Jun 07, 2017 Page 11 of 20 The World Bank PROJECT TO SUPPORT THE COMPETITIVENESS OF THE GREATER ABIDJAN AGGLOMERATION SUF (P159697)  Landscape and recreational function: Offering spaces for promenades and relaxation (gardens, parks and open reserves, sports spaces, agro pastoral complexes, forests) to improve the attractiveness of the city. The activity will include belt delimitation, the elaboration of a zoning plan, the definition of a Designated Development Area, emergency community works and the promotion of Public Private Partnerships for the management of some activities projected in the urban development plan. 25. Sub-component B.3 : Delimitation and parceling of land plots in Songon and Bingerville villages (Around US$ 37.3 million): This is one of the main challenges of SDUGA implementation facing urban managers. In fact, Land control in the periphery of the city of Abidjan is a major challenge. The rapid development of many economic and social sectors such as agriculture, housing and basic infrastructure requires an effective land management and decision-making tool. To this end, the Autonomous District of Abidjan is now engaged to harmonious and sustainable development by implementing the real estate security for populations and economic operators on the impacted sites, delimiting and parceling land plots concerned with future urbanization projects located in Songon and Bingerville municipalities. The objective of the project is to guarantee sustainable development and social cohesion by ensuring land security in the future urbanization zones of the two (02) municipalities mentioned above. i) Development of satellite urban villages in Greater Abidjan area (US$ 14.5 million). This activity will focus on the preparation of local sustainable Development Plans for central villages in the Autonomous District of Abidjan, the implementation of a program to combat poverty, and the development of basic social infrastructure. The project will mainly support the following activities: (i) The development of structural infrastructure and facilities to create an urban unit able to improve the population living conditions; (ii) Creating income-generating activities; and (iii) reducing the ecological footprint of these villages. These activities will have the objective of reducing the rural exodus and immigration from these villages to Abidjan. ii) Rehabilitation of BRESSOLLES & BRIAND squares in the municipality of Plateau, Abidjan (US$ 2.5 million). BRESSOLLES & BRIAND squares are the only forest park in Plateau. They were created in the 50s, at the République Boulevard, separated by Chard Boulevard, and representing the main green spaces in the municipality of Plateau. They are visited by more than 1000 person per day. This activity has the following objectives:  Contribute to the preservation of the green space of Plateau;  Rehabilitation in order to increase the number of visitors;  Create a space for fun and exchange in the heart of Plateau;  Improve the squares’ attractiveness;  Enhance the security; and  Promote day and night activities. iii) Pilot project of landscaping and developing the management of Rosiers storm basin, Municipality of Cocody, District of Abidjan (US$ 300,000). Due to the lack of an efficient management framework, detention ponds in Abidjan are squatted by illegal and anarchic constructions, and are used as garbage depots by informal operators. This activity will improve the attractiveness of the basin by conducting landscaping activities. iv) Urban unit PK24 (US$ 20 million). This activity will finance the development of an urban industrial zone (total area of 900 ha), at PK24 of the highway in the north. The positive impact of this industrial zone will be Jun 07, 2017 Page 12 of 20 The World Bank PROJECT TO SUPPORT THE COMPETITIVENESS OF THE GREATER ABIDJAN AGGLOMERATION SUF (P159697) even more important with the construction of the Y4 bypass, the highway connecting the industrial zone of Yopougon and Agboville interchange, the olympic stadium of Ebimpé and the railway connection of the Dry port at PK26 to the highway in the North. The three surrounding villages Attingue, Akoupe-Zeudji and Allokoi, knew a rapid population growth in the last 16 years, reaching a total population of 44,000 habitants in 2014. The proper implementation of all the projected development will result in a total population of 200,000 habitants by 2030. The PK24 will therefore consist of an urban unit, for which an Urban Master Plan and relative detailed urban plans, should be prepared in order to manage its development. This is even more important given the numerous environmental constraints to the development of this zone. This activity will focus on developing a suitable system that will receive the population generated by the strong initiated urban growth. The project will also finance the development of a first 50 ha of this unit. Component C: Support to Cross Cutting Business Climate Reforms, Private Investment and Enterprise Development (US$ 80 million) 26. This Component will support the creation of a conducive business environment to spur private investment and increase SME participation in competitive sectors with higher value chains. Sectors under consideration include Transport-logistics, ICT, Construction, Agribusiness, Tourism-Hospitality. This component will build on IFC led projects through MAS, IFC Investment and the newly created PSW facility, as well as ongoing or upcoming projects from GPs including but not limited to Agriculture, Transport-ICT, F&M, and Education. 27. The component will in particular support lifting constraints to investment and private sector development including the frequently cited: (i) delays in administrative procedures and services; (ii) difficulty of accessing industrial land; and (iii) operational inefficiencies observed at the Port of Abidjan which lays a significant burden on the logistics chain. 28. Sub-Component C.1. Cross-cutting Business Environment Reforms (US$30 Million). Major constraints cited for private sector and enterprise development are: (i) the burdensome, costly and time consuming process of interacting with various agencies and ministries to get administrative services delivered (ii) the procedural and operational inefficiencies at the Port of Abidjan, and (iii) the difficulty of accessing industrial land. The activity addresses these constraints 1) Improve Delivery of Administrative Services to Private Sector (US$20 Million). (i) Support cross-agencies collaboration to reduce procedural delays and improve customer service . The activity will support the implementation of an integrated one-stop-shop electronic platform system through the investment promotion agency (CEPICI) for paperless issuance of certificates, licenses and permits to investors and SMEs, from across a select number of key departments and agencies. The system will improve service quality and delivery time through more effective communication and collaboration between departments and agencies. Stakeholder agencies and departments will undergo a comprehensive training and capacity building program for the implementation of the one-stop-shop system. The program of institutional and operational capacity building will also support a broad-based communication strategy and action plan to raise beneficiaries’ awareness, and ensure optimal use by private sector operators. The PK24 Jun 07, 2017 Page 13 of 20 The World Bank PROJECT TO SUPPORT THE COMPETITIVENESS OF THE GREATER ABIDJAN AGGLOMERATION SUF (P159697) 50-ha industrial park may be used as a pilot for the streamlining of some of these processes, such as the granting of construction permits. (ii) Provide TA to improve Port of Abidjan operations and logistics efficiency. This activity will review and assess key administrative, operational, procedural, and systems related bottlenecks for a more efficient transit of goods in and out the Port of Abidjan and propose a technical assistance framework to improve port operations and logistics management and address efficiency gap in systems, processes, and human capital. This TA activity will be conducted in parallel with a capacity building program to support the competitiveness of transport and logistics operators as part of SME support component. (iii) Addressing competition restrictions in key input sectors. Identify key market segments in inputs sectors and apply market and competition policy assessment tool modules resulting in recommendations and an action plan to be implemented for a more open and healthy competition dynamics in targeted markets. The activity will consist in the application of the WBG’s Markets and Competition Policy Assessment Tool to (i) understand what stifles effective competition dynamics in specific selected markets, including how government interventions shape incentives for firms to compete and invest, (ii) design more effective policies that foster competition in those markets and (iii) depending on data availability, assess the expected effects of competition policy interventions on economic variables in order to prioritize reforms and provide evidence to overcome political economy constraints. Markets for assessment will be selected using the following standard MCPAT criteria: (i) significant contribution to GDP, productivity, or investment; (ii) generation of essential inputs for businesses that have significant linkages with the local economy; (iii) supply of essential goods or services that represent a high percentage of consumer expenditures, especially of poor households; (iv) markets susceptible to anti-competitive practices, or that have significant barriers to the development of the private sector, or that have shown evidence of anticompetitive behavior in the past. 2) Support access to industrial land at PK24 (US$10 Million) (i) Support the development of PK24 industrial zone extension. Out of an allotted 900ha for industrial zones development, the Ministry of Industry has developed and is managing 62ha of an initial industrial land surface called ‘emergency phase’ to meet pressing demand. As demand has vastly outpaced the initial 62ha land allocation, the Ministry plan to extend the zone with an additional 50ha of land. It requested that the project provide technical assistance and investment for a comprehensive zone development strategy, and to help develop primary infrastructure. (ii) Provide institutional and operational support for zone management. The activity will support agencies in charge of the development and management of industrial zones infrastructures respectively AGEDI (Zone management) and FODI (Zone development), for a more efficient management of existing industrial zones across Greater Abidjan Agglomeration. The TA will address the institutional set-up of AGEDI and FODI, to support better demand forecasting capabilities, zone development planning and land allocation. Managing demand also require increased collaboration between AGEDI and upstream stakeholders namely the investment promotion agency (CEPICI) through which most of the demand for industrial land abounds. The Ministry of Industry requested that the project supports the design and implementation of an integrated IT Jun 07, 2017 Page 14 of 20 The World Bank PROJECT TO SUPPORT THE COMPETITIVENESS OF THE GREATER ABIDJAN AGGLOMERATION SUF (P159697) system that connects AGEDI with CEPICI in particular, to improve industrial land demand management by aligning it with investors requests. 29. Sub-Component C.2. Value Chain and Enterprise Development (US$50 Million). The objective of this activity is to spur private investment and increase SME participation in competitive sectors and high growth value chains identified in the National Development Plan 2016-2020 and the CPF, primarily along the Abidjan Port/PK24 industrial zone and Abidjan/Grand Bassam corridors, by addressing firm level constraints including access to market, access to finance and productivity. IFC’s MAS, Investment, SME Ventures, and PSW Window related projects will be closely associated to the framing and implementation of these activities. 1) Develop Value Chain Linkages Framework (US$5 Million) (i) Identify and structure high growth potential value chains. This activity will help develop and operationalize a linkage framework leveraging the Port of Abidjan, PK24 industrial zone development, and Grand Bassam Industrial zone, by identifying local and regional VCs with private investment potential working closely with local industry associations as well as relevant government agencies and departments including the CEPICI. Value chains will be selected within the (5) priority sectors of Transports-logistics, ICT, Construction, Agribusiness, Tourism-Hospitality, for their growth and competitiveness potential, based on factors that include: (i) Level of existing activity in the VC (ii) Domestic and FDI potential (iii) Attainable domestic and foreign markets (iv) Degree of value added in activities (v) Potential for SME participation (vi) Developmental timeframe: complexity of physical and institutional binding constraints to be removed. (ii) Develop a framework to operationalize a two-tiered SME value chain linkages. The activity will use an investor or project centric approach by identifying, qualifying and working with anchor investors along the Abidjan Port/PK24 industrial zone and Abidjan/Grand Bassam corridors across selected value chains to assess their needs and requirements from across the local SME supply chain. Capacity building programs will be designed for SMEs identified within the supply chains to allow them to meet those requirements to capture new market opportunities, or become and/or remain competitive within existing markets. The proposed SME linkages system will be a two-tier system with a cascading effect: the first tier is the linkage between established local companies and large multinationals. The second tier will be linkages between local SMEs and the established large local companies supplying multinationals. Support activities will include project preparation, development and implementation such as feasibility and market studies, financial and technical partnerships, training programs for skilled labor or expertise. 2) Enterprise Development and SME Competitiveness Facility (US$45 Million) (i) Establish an SME Equity Investment Readiness Facility. The facility will be designed to support enterprise development and SME competitiveness within select value chains, across the SME ecosystem including incubation, growth and expansion, through entrepreneurship and value chain linkages programs, as well as access to financial services and capital including equity investment. The facility will be set up to build a viable pipeline for PE/VC by strengthening SMEs that are potentially attractive targets to fund managers working in collaboration with CDI PE/VC Industry Association, and locally established PE/VC funds. The Facility will be used to open new markets opportunities, strengthen the operational capabilities of SMEs, Jun 07, 2017 Page 15 of 20 The World Bank PROJECT TO SUPPORT THE COMPETITIVENESS OF THE GREATER ABIDJAN AGGLOMERATION SUF (P159697) finance joint ventures and/or technical partnerships between Ivorian and foreign SMEs in order to promote the exchange of knowledge, technology or processes, and to identify, access, and execute new markets. (ii) Develop a network of value-based strategic partnerships. This activity will be carried out by integrating priority activities under the Government-funded SME program (Phoenix) as well as private sector partners such as CGECI with their National Champions Initiative, the Chamber of Commerce (the Chamber has an incubator project at PK24 industrial zone) or private operators such as Orange Telecom or MTN. The activity will identify, build on, or reinforce ongoing programs by these potential strategic partners leveraging WBG convening power and financial resources. For incubation and entrepreneurship, strategic partners will be drawn from a network of academic institutions and NGOs involved in incubation and entrepreneurships activities, as well as from private operators such as Orange Telecom, MTN, or VITIB already very active on the incubation front and looking for partners. On access to finance and equity readiness, partners will be drawn from within the financial services industry including banks and PE/VC, working in close collaboration with IFC to assess how to better leverage the program to make use of IFC partial risk guarantee within local banks, and IFC SME Ventures on the PE/VC side. The facility will support the development of a PE/VC ecosystem to promote PE/VC financing for Cote d’Ivoire SMEs with the im plementation of the recommendations of the PE/VC diagnosis study currently conducted by F&M GP and IFC’s SME ventures. Note to Task Teams: The following sections are system generated and can only be edited online in the Portal. SAFEGUARDS A. Project location and salient physical characteristics relevant to the safeguard analysis (if known) The project interventions will be located in Greater Abidjan. In terms of safeguard matters, the first analysis' findings show potential safeguard concerns. On environmental level, adverse impacts will mainly be related to risks of accidents and noise as works will take place in inhabited areas. The disruption of road services may also occur. As for social side, there will be displacements of populations as well as lost of assets. B. Borrower’s Institutional Capacity for Safeguard Policies In Cote d’Ivoire, the Ministry of Sanitation, Environment, and Sustainable Development (MINSEDD) is responsible for setting policy guidelines on environmental issues and ensuring compliance with national environmental standards. It has different departments among which the National Agency of Environment (ANDE, Agence Nationale de l’Environnement) in charge of safeguards compliance of all projects in the country. The unit is qualified to review and approve environmental impact assessments and to ensure the monitoring of required mitigation measures. However, it faces some challenges in terms of the number of qualified staff, a lack of vehicles for field visits, a shortage of funds to finance the oversight of the implementation of the Environmental and Social Management Plans(ESMP). In addition to that, the recipient has several years of experience in applying and implementing World Bank funded projects. That means, it is well familiar with bank’s environmental and social safeguard policies requirements. With regard to the PIU, the project will be implemented under PRICI Management Unit. This entity already hosts 2 Jun 07, 2017 Page 16 of 20 The World Bank PROJECT TO SUPPORT THE COMPETITIVENESS OF THE GREATER ABIDJAN AGGLOMERATION SUF (P159697) environmental staff who demonstrate their capacity to handle safeguard aspects. In addition to that, the project will have its dedicated environmental safeguard specialist and social safeguard specialist. That means building efforts to support project implementation will be done by implementing recommendations contained in the safeguards instruments to be prepare for the project. The project will also receive guidance from the Bank’s environmental and social specialists during implementation support missions as well as through specific training sessions. C. Environmental and Social Safeguards Specialists on the Team Abdoul Wahabi Seini, Social Safeguards Specialist Abdoulaye Gadiere, Environmental Safeguards Specialist D. Policies that might apply Safeguard Policies Triggered? Explanation (Optional) The proposed project will fund the development and construction of urban infrastructure, such as roads, squares and an industrial zone. All these activities may induce potential adverse impacts on environmental components. For the interventions for which the exact locations are known or will be defined soon, such as Abidjan bypass (Y4), the construction of a dry port and logistic zone, the development of port's access roads and the Environmental Assessment OP/BP 4.01 Yes rehabilitation of Akwaba interchange, Environmental and Social Impact Assessments (ESIAs) will be prepared. For the rest of investments for which the location is not yet defined, an Environmental and Social Management Framework (ESMF) will be developed.Once ESIAs and the ESMF prepared, they will be reviewed, consulted upon and disclosed both within Cote d’Ivoire and at the Infoshop at least 120 days prior to board. The project will not undertake any investments that Natural Habitats OP/BP 4.04 No may impact on natural habitats. It is not anticipated that forests will be impacted by Forests OP/BP 4.36 No the project. The project does not finance activity that may induce Pest Management OP 4.09 No the use of pesticides or chemical products. This policy is triggered because of activities requiring civil works and excavations with potential discoveries of physical cultural resources. In order to anticipate Physical Cultural Resources OP/BP 4.11 Yes and to be sure that all the precautions have been taken to protect and safeguard physical cultural resources, the ESMF prepared in line with the OP4.01 will include a section on how to handle the chance of Jun 07, 2017 Page 17 of 20 The World Bank PROJECT TO SUPPORT THE COMPETITIVENESS OF THE GREATER ABIDJAN AGGLOMERATION SUF (P159697) finding physical cultural assets within the project area. There are no indigenous people as defined by the Indigenous Peoples OP/BP 4.10 No policy in the project area. The project supports some activities that may lead to land acquisition or restriction of access to sources of livelihood such as the Abidjan bypass (Y4), the rehabilitation of the port's access roads, the rehabilitation of Akwaba interchange and the construction of a dry port with a logistics platform and heavy truck parking. Resettlement Action Plans (RAPs) will therefore be prepared for activities for which locations are already known, and a Resettlement Policy Framework (RPF) will cover the activities for Involuntary Resettlement OP/BP 4.12 Yes which locations are not known yet. The Resettlement Policy Framework (RPF) consistent with OP 4.12 will be prepared by the Borrower as well as the RAPs, reviewed and cleared by the RSA and disclosed in- country and at through the Bank external website prior to appraisal. The RPF will be used as a guide to conduct specific Resettlement Action Plans (RAPs) for other further investments. All these reports will be submitted to the Bank for approval and disclosure prior to the commencement of any civil works with lands related issues. Safety of Dams OP/BP 4.37 No The project will not finance dams or rely on dams Projects on International Waterways The project is not expected to affect international No OP/BP 7.50 waterways Projects in Disputed Areas OP/BP 7.60 No The project will not be located in a disputed area. E. Safeguard Preparation Plan Tentative target date for preparing the Appraisal Stage PID/ISDS Jan 24, 2018 Time frame for launching and completing the safeguard-related studies that may be needed. The specific studies and their timing should be specified in the Appraisal Stage PID/ISDS The borrower will prepare an Environmental and Social Management Framework (ESMF), and a Resettlement Policy Framework (RPF). In addition to these two documents, the client will also prepare ESIAs and RAPs for investments for which exact locations are known. These instruments, once prepared, will be reviewed, consulted upon and disclosed within the country by the Government of Cote d’Ivoire, and at the World Bank’s website . Jun 07, 2017 Page 18 of 20 The World Bank PROJECT TO SUPPORT THE COMPETITIVENESS OF THE GREATER ABIDJAN AGGLOMERATION SUF (P159697) CONTACT POINT World Bank Hatem Chahbani, Mahine Diop, Mohamadou S Hayatou Sr Transport. Spec. Borrower/Client/Recipient Ministry of Finance Adama Coulibaly Director adcoulibaly@hotmail.com Implementing Agencies PRICI (PCU) Gilbert EPKINI Project Coordinator gekpini@gmail.com FOR MORE INFORMATION CONTACT The World Bank 1818 H Street, NW Washington, D.C. 20433 Telephone: (202) 473-1000 Web: http://www.worldbank.org/projects APPROVAL Task Team Leader(s): Hatem Chahbani, Mahine Diop, Mohamadou S Hayatou Approved By APPROVALTBL Safeguards Advisor: Maman-Sani Issa 13-Feb-2018 Practice Manager/Manager: Nicolas Peltier 13-Feb-2018 Country Director: Pierre Laporte 15-Feb-2018 Jun 07, 2017 Page 19 of 20 The World Bank PROJECT TO SUPPORT THE COMPETITIVENESS OF THE GREATER ABIDJAN AGGLOMERATION SUF (P159697) Note to Task Teams: End of system generated content, document is editable from here. Jun 07, 2017 Page 20 of 20