INTEGRATED SAFEGUARDS DATA SHEET APPRAISAL STAGE Date prepared/updated: January 31, 2018 I. Basic Information 1. Basic Project Data Country: Morocco Project ID: P164288 Additional Project ID (if any): P131256 Project Name: Noor Solar Power Projects Additional Financing Task Team Leader: Moez Cherif and Sameh Mobarek Estimated Appraisal Date: January 26, 2018 Estimated Board Date: April 5, 2018 Managing Unit: GEE05 Lending Instrument: IPF Sector: Energy Theme IBRD Amount (US$m.): US$100 IDA Amount (US$m.): GEF Amount (US$m.): PCF Amount (US$m.): Other financing amounts by source: KfW (US$m.): US$852 European Investment Bank Amount (US$m.): US$420 Agence Française de Développement (US$m.): US$180 African Development Bank (US$m.):US$240 Clean Technology Fund (US$m.): US$50 Environmental Category: A Is this a transferred project Yes [ ] No [X ] Simplified Processing Simple [ ] Repeater [.] Is this project processed under OP 8.00 (Rapid Response to Crises and Emergencies) Yes [ ] No [X ] 2. Project Objectives: The PDO of the parent project (P131256) is being modified, as part of the restructuring, from “increasing (a) installed capacity (megawatt), and (b) electricity output (megawatt-hour), especially during peak hours, of the Noor-Ouarzazate Solar Power Project� to “increase innovative solar power generation in Morocco�, so that the restructured project can cover both the Noor-Ouarzazate and Noor-Midelt (phase 1) Solar Power Projects. 3. Project Description: The Additional Financing (AF) supports the development and construction of the next project in Morocco’s solar power program. The Noor-Midelt Solar Power Project is located on 4,141 hectares (ha) of land 20 km north of the town of Midelt in central Morocco, in the high plains surrounding the Moulouya river, between the Middle and High Atlas Mountains. The first phase of Noor-Midelt consists of two separate plants, Noor- Midelt I and II, each with 150-190 MW CSP capacity and a minimum of 5 hours of thermal storage. The capacity of the PV component, which is expected to provide daytime generation, is left to the bidders’ discretion but cannot exceed night-time net capacity from CSP by more than 20 percent. The PV component of each plant could be approximately 150-210 MW, making the total capacity of each of the proposed plants between 300 and 400 MW and the total capacity of this first phase 600-800 MW, with an overall cost of about US$2.1 billion. The proposed AF will contribute to finance construction of the Noor-Midelt I and II plants through an IBRD financing of US$100 million and a CTF loan of US$25 million, in addition to the US$100 million reallocated from Component 2 of P131256. The project will be developed through the formation of a partnership between MASEN and a competitively-selected private-sector developer. January 2018 4. Project Location and salient physical characteristics relevant to the assessment of environmental and social risks and impacts: The Noor-Midelt site is administratively located in the Midelt Province and comprises a total surface of 4141 ha. The site is located on the Haute Moulouya Plateau approximately 20 km Northeast from the town of Midelt. The site is accessible from the Route Nationale RN13, which links Meknes with Midelt. The plants are expected to be air-cooled, which significantly reduces their water consumption. Nonetheless, some water use is still needed for cleaning mirrors, sanitation, and other uses during construction and operations – the project’s Framework Environmental and Social Assessment (FESIA) addresses issues related to the plants’ water use and related potential impacts on other users of the reservoir. KfW finances a Water Resources Study analyzing the impacts of Climate Change on the water availability, future water use trends and its impacts on water users (this study will be available in first quarter of 2018). The Borrower (MASEN) has gained considerable experience during the implementation of the ESMPs for the Noor-Ouarzazate I, II and III projects. The Noor-Midelt solar power project is expected to be very similar, and MASEN has adequate capacity to implement the project in compliance with World Bank Performance Standards and Environmental, Health and Safety (EHS) Guidelines of April 2007. In 2017, MASEN obtained the certifications ISO 14001:2015 and OHSAS 18001:2007 for the Integrated Management System. The certification applies to all activities of and all sites managed by MASEN Services. All processes and procedures required by these standards are established and implemented (legal and regulatory monitoring, risk and impact assessment, control, audit, training, communication and public consultation, emergency management plans, management review, etc.). Noor-Ouarzazate III uses similar technologies as those expected to be used in Noor-Midelt. The project experienced a fatality in 2016 due to improper implementation of EHS procedure by sub-contractors to the Engineering, Procurement, and Construction (EPC) contractors, and inadequate oversight by the EPC contractor hired by the private sponsors implementing the project. This accident led to revision of the EHS procedures and significantly increased oversight by both the EPC contractor and the private sponsors. The new EHS procedures were deemed to meet the Bank’s EHS Guidelines and have, thus far, been implemented satisfactorily. The Borrower is expected to rely on this experience in the requirements for Noor-Midelt to avoid similar accidents in the new project. 5. Environmental and Social Safeguards Specialists on the Team: Robert Robelus (Environmental Safeguards Consultant) Mohamed Adnene Bezzaouia (Environmental Safeguards) Markus Vorpahl (Social Safeguards) 6.A. Applicable Performance Standards Yes No PS 1: Assessment and Management of Environmental and Social X Risks and Impacts PS 2: Labor and Working Conditions X PS 3: Resource Efficiency and Pollution Prevention X PS 4: Community Health, Safety, and Security X PS 5: Land Acquisition and Involuntary Resettlement X PS 6: Biodiversity Conservation and Sustainable Management of X Living Natural Resources PS 7: Indigenous Peoples X PS 8: Cultural Heritage X January 2018 6.B. Applicable Safeguard Policies Yes No OP/BP 4.01 Environmental Assessment X OP/BP 4.04 Natural Habitats X OP/BP 4.36 Forests X OP 4.09 Pest Management X OP/BP 4.10 Indigenous Peoples X OP/BP 4.11 Physical Cultural Resources X OP/BP 4.12 Involuntary Resettlement X OP/BP 4.37 Safety of Dams X OP/BP 7.50 Projects on International Waterways X OP/BP 7.60 Projects in Disputed Areas X 7. If PS 1 and PS 2 are NOT applicable, provide a brief explanation why: Both PS1 and PS2 are applicable. II. Key Safeguard Policy Issues and Their Management A. Summary of Key Safeguard Issues The main project will apply the Performance Standards under OP 4.03, while the 180 km 400 kV transmission line will apply safeguard policies: OP 4.01 for Environmental Assessment and OP 4.12 for Involuntary Resettlement. OP 4.37 (Dam Safety) will also apply to the Hassan II Dam that will provide water for plant construction and operations. See attached Environmental and Social Review Summary: Morocco - Noor Solar Power Project - Environmental and Social Impact Assessment - Executive Summary B. Disclosure Requirements Disclosure Requirement Date Environmental and Social Review Summary: Dates of "in-country" disclosure February 2nd, 2018 Date of submission to Bank website February 2nd, 2018 For Category A projects, date of distributing the Executive Summary of February 2nd, 2018 the client’s ESIA to the Executive Directors If in-country disclosure of any of the above documents is not expected, please explain why: Other Relevant Safeguard Instruments (add as appropriate): Environmental Assessment/Audit/Management Plan/Other Date of receipt by the Bank Not Yet Date of submission for disclosure Not Yet Date of "in-country" disclosure Not Yet For Category A projects, date of distributing the Executive Summary of December 6, 2017 the EA to the Executive Directors Comments: The 400kV transmission line connecting the site to the national grid requires an ESIA to be prepared by ONEE, which will construct and operate the line. Transmission Line-site Land Acquisition Plan Date of receipt by the Bank Not Yet Date of submission for disclosure Not Yet Date of "in-country" disclosure Not Yet January 2018 Comments: The 400kV transmission line connecting the site to the national grid requires a LAP to be prepared by ONEE, which will construct and operate the line. C. Compliance Monitoring Indicators at the Corporate Level (to be filled in when the ISDS is finalized by the project decision meeting) Performance Standards Client’s Environment and Social Assessment Does the project require a stand-alone Environmental and Social Assessment Yes [x] No [ ] N/A [ ] (including EMP) report? If yes, then did the Regional Environment Unit or Sector Manager (SM) Yes [x] No [ ] N/A [ ] review and approve the EA report? Client’s Environmental and Social Management System Has the client developed an appropriately detailed ESMS, and does the Yes [x] No [ ] N/A [ ] client have the technical and organizational capacity to implement it? Labor and Working Conditions Does the client have a written human resources policy available to all Yes [x] No [ ] N/A [ ] employees that describes labor and working conditions? Biodiversity and Natural Resource Management If PS 6 is applicable, would the project result in any significant conversion Yes [ ] No [x] N/A [ ] or degradation of critical natural habitats? If the project would result in significant conversion or degradation of other Yes [ ] No [ ] N/A [x] (non-critical) natural habitats, does the project include mitigation measures acceptable to the Bank? If the project entails use of living natural resources, has certification been Yes [ ] No [ ] N/A [x] obtained or a time-bound plan established to obtain certification? Physical Cultural Resources If PS 8 is applicable, does the project design include adequate measures Yes [ ] No [ ] N/A [x] related to physical cultural resources? Indigenous Peoples If PS 7 applicable, and have Indigenous Peoples communities been Yes [ ] No [ ] N/A [x] consulted in accordance with requirements of PS 7? Have the requirements for Free Prior Informed Consent been met, and is Yes [ ] No [ ] N/A [x] there reasonable evidence of broad community support by the affected Indigenous Peoples communities? Involuntary Resettlement If PS 5 is applicable, have the requirements been complied with by the Yes [x] No [ ] N/A [ ] client? Pollution Prevention and Efficient Use of Resources Does the project comply with good international industry practice as Yes [x] No [ ] N/A [ ] presented in the WBG EHSGs or a similar internationally recognized benchmark? Is the project designed for energy efficiency and waste minimization? Yes [x] No [ ] N/A [ ] Community Health and Safety Has the assessment determined that local communities could face significant Yes [ ] No [ ] N/A [x] adverse impacts in event of an accident or emergency situation associated with the project? If so, has an Emergency Preparedness Plan (EPP) been prepared and Yes [ ] No [ ] N/A [x] arrangements been made for public awareness and training? Projects on International Waterways Have the other riparians been notified by the Bank of the project? Yes [ ] No [ ] N/A [x] Projects in Disputed Areas January 2018 Has the memo conveying all pertinent information on the international Yes [ ] No [ ] N/A [x] aspects of the project, including the procedures to be followed, and the recommendations for dealing with the issue, been prepared by the Bank? Disclosure If Category A or B, has the ESRS been sent to the World Bank's Infoshop? Yes [x] No [ ] N/A [ ] Have relevant assessment documents prepared by the client been disclosed Yes [x] No [ ] N/A [ ] in-country in a public place in a form and language that are understandable and accessible to project-affected groups and local NGOs? Monitoring and Reporting Has the client agreed to submit an Annual Monitoring Report to the Bank to Yes [x] No [ ] N/A [ ] report on the management of environmental and social risks and impacts, and does the Legal Agreement contain this provision? Has the client agreed to report at least annually to local affected Yes [x] No [ ] N/A [ ] communities on how the project is performing with respect to environmental and social risks and impacts of concern to those communities? Safeguard Policies Environment Assessment Does the project require a stand-alone EA (including EMP) report? Yes [x] No [ ] N/A [ ] If yes, then did the Regional Environment Unit or Practice Manager (PM) Yes [ ] No [ ] N/A [ ] review and approve the EA report? Are the cost and the accountabilities for the EMP incorporated in the Yes [ ] No [ ] N/A [ ] credit/loan? Physical Cultural Resources Does the EA include adequate measures related to cultural property? Yes [ ] No [ ] N/A [ ] Does the credit/loan incorporate mechanisms to mitigate the potential Yes [ ] No [ ] N/A [ ] adverse impacts on cultural property? Involuntary Resettlement Has a resettlement plan/abbreviated plan/policy framework/process Yes [x] No [ ] N/A [ ] framework (as appropriate) been prepared? If yes, then did the Regional unit responsible for safeguards or PM review Yes [ ] No [ ] N/A [ ] the plan? Is physical displacement/relocation expected? Yes [ ] No [x] N/A [ ] Is economic displacement expected (i.e., loss of assets or access to assets Yes [x] No [ ] N/A [ ] that leads to loss of income sources or other means of livelihoods)? The World Bank Policy on Disclosure of Information Have relevant safeguard policies documents been sent to the World Bank for Yes [ ] No [ ] N/A [ ] disclosure? Have relevant documents been disclosed in -country in a public place in a Yes [ ] No [ ] N/A [ ] form and language that are understandable and accessible to project-affected groups and local NGOs? All Safeguard Policies Have satisfactory calendar, budget and clear institutional responsibilities Yes [x] No [ ] N/A [ ] been prepared for the implementation of measures related to safeguard policies? Have costs related to safeguard policy measures been included in the project Yes [x] No [ ] N/A [ ] cost? Does the monitoring and evaluation system of the project include the Yes [x] No [ ] N/A [ ] monitoring of safeguard impacts and measures related to safeguard policies? Have satisfactory implementation arrangements been agreed with the Yes [x] No [ ] N/A [ ] borrower and the same been adequately reflected in the project legal documents? January 2018 D. Approvals Signed and submitted by: Name Date Task Team Leader: Moez Cherif and Sameh Mobarek Environmental Specialist: Robert Robelus Social Development Specialist: Markus Vorpahl Additional Environmental and/or Mohamed Adnene Bezzaouia Social Development Specialist(s): Approved by: Regional Safeguards Adviser: Nina Chee Comments: Sector Manager: Erik Fernstrom Comments: January 2018