INTEGRATED SAFEGUARDS DATA SHEET APPRAISAL STAGE Report No.: ISDSA5916 Public Disclosure Copy Date ISDS Prepared/Updated: 05-Sep-2014 Date ISDS Approved/Disclosed: 17-Sep-2014 I. BASIC INFORMATION 1. Basic Project Data Country: Georgia Project ID: P145040 Project Name: Supporting Sustainable Wastewater Management (P145040) Task Team Xiaolan Wang Leader: Estimated 15-Sep-2014 Estimated 31-Oct-2014 Appraisal Date: Board Date: Managing Unit: GSURR Lending Specific Investment Loan Instrument: Sector(s): Wastewater Treatment and Disposal (80%), Public administration- Water, sanitation and flood protection (20%) Theme(s): City-wide Infrastructure and Service Delivery (100%) Is this project processed under OP 8.50 (Emergency Recovery) or OP No 8.00 (Rapid Response to Crises and Emergencies)? Financing (In USD Million) Public Disclosure Copy Total Project Cost: 13.19 Total Bank Financing: 0.00 Financing Gap: 0.00 Financing Source Amount Borrower 1.72 SIDA Georgia Wastewater Management Program 11.47 Total 13.19 Environmental B - Partial Assessment Category: Is this a No Repeater project? 2. Project Development Objective(s) The objective of the Project is to promote sustainable wastewater management in Georgia and pilot the implementation of wastewater treatment plants. 3. Project Description The Program consists of the following two components: Page 1 of 7 Component 1: Technical Assistance Public Disclosure Copy (a) Providing technical assistance to support the Recipient in developing adequate policy environment documents for improved wastewater treatment infrastructure. (b) Carrying out on-the-job training in wastewater operation and maintenance, including sludge management, disposal and reuse of water resources. (c) Carrying out: (i) training on wastewater management, including affordability, sustainability and cost recovery; and (ii) study tours to learn about good practice of different sustainable wastewater technologies. (d) Developing a policy for sludge management, including final disposal. (e) Carrying out of stakeholder consultations on wastewater management to promote public participation. (f) Preparing feasibility studies, engineering designs, construction supervision, monitoring and evaluation activities and providing technical assistance to the Project Implementing Entity and the United Water Supply Company of Georgia (UWSC). Component 2: Investment Grants (a) Rehabilitating 2-3 wastewater treatment plants in support of the regional development programs (Imereti and Kakheti regions). 4. Project location and salient physical characteristics relevant to the safeguard analysis (if known) Technical assistance will be provided countrywide, while the investment component will be implemented in Imereti and Kakheti regions, covered by the ongoing regional development program supported by the World Bank. The first wastewater treatment plant to be rehabilitated in Imereti region is already selected. It serves the town of Tskaltubo, a well established spa report with the population of about 17,200. The existing wastewater plant is located in the outskirts of the town, has Public Disclosure Copy been out of operation for years and is grossly dilapidated. The other one or two wastewater treatment plants to be covered by the Program are not selected yet. 5. Environmental and Social Safeguards Specialists Darejan Kapanadze (GENDR) Nino Metreveli (GURDR) 6. Safeguard Policies Triggered? Explanation (Optional) Environmental Assessment OP/ Yes The Program carries investment components in BP 4.01 support to infrastructure development and therefore triggers OP/BP 4.01 Environmental Assessment. None of the Project supported activities are expected to have significant, long term, or irreversible impacts on the natural environment, therefore the project is classified as environmental Category B. Discharged water quality standards applicable to the wastewater treatment plants to be rehabilitated Page 2 of 7 under the Program will be in line with EU directives and will differ for release into regular water bodies and water bodies of high sensitivity. Public Disclosure Copy Parameters to be used for measuring discharged water quality will include concentration of suspended particles, biological oxygen demand (BOD) and chemical oxygen demand (COD). The technical assistance to be provided by the Program will be used for improving institutional and regulatory framework for sustainable management of waste water in country, including introduction of innovative technologies of wastewater treatment feasible in the Georgian context. The recently developed national Wastewater Management Strategy will be a guiding document for technological improvements. Natural Habitats OP/BP 4.04 No The Program will finance rehabilitation of the existing wastewater treatment plants, and will not support construction of new treatment facilities in the locations previously not used for this purpose. Land plots carrying the existing deteriorated treatment plants are heavily transformed and cannot represent natural habitats. Forests OP/BP 4.36 No Public Disclosure Copy Pest Management OP 4.09 No Physical Cultural Resources OP/ No BP 4.11 Indigenous Peoples OP/BP 4.10 No Involuntary Resettlement OP/BP Yes Because the Program will finance rehabilitation 4.12 of the existing wastewater treatment plants, all of which had been placed on publicly owned land plots, no land take and physical relocation will occur. There is a minor likelihood of informal land use in the proximity to the existing non- operational treatment plants which would have to be terminated upon the program intervention. Also, there is a possibility of temporary relocation and/or loss of income or productive assets during construction. These aspects will be taken into consideration in the course of site selection and screening in accordance with the provisions of Page 3 of 7 EMF documents, and if occurrence of informal land use is identified, the client will be obligated to develop Resettlement Action Plans (RAPs) and Public Disclosure Copy handle compensation in full agreement with the principles provided in the Resettlement Policy Framework (RPF). Works contractor may not be mobilized to a work site unless the process of compensation is completed and all requirements of RAP are met. Safety of Dams OP/BP 4.37 No Projects on International Yes Once operational, the rehabilitated wastewater Waterways OP/BP 7.50 treatment plants will discharge treated water into rivers or other natural water bodies, which may be an international waterways. Therefore, the Program triggers OP/BP 7.50 Projects on International Waterways. Because operationalizing of the treatment plants will contribute to the improvement of water quality in the recipient water bodies and will not alter cumulative water discharge, communication to the riparian states is not required. Exemption from the requirement for the communication to riparians was granted by the Regional Vice President of the Bank. Projects in Disputed Areas OP/BP No 7.60 Public Disclosure Copy II. Key Safeguard Policy Issues and Their Management A. Summary of Key Safeguard Issues 1. Describe any safeguard issues and impacts associated with the proposed project. Identify and describe any potential large scale, significant and/or irreversible impacts: The Program includes investment components to develop sewerage and wastewater treatment infrastructure and thus triggers the OP/BP 4.01 Environmental Assessment. Because the Program will not invest in the construction of new wastewater treatment plants, there areno risks commonly related to the site selection and soil breaking. However, rehabilitation of the existing treatment plants, which have been out of operation for extended periods of time, may require replacement and/or addition of sewage piping and other elements of infrastructure. Other typical risks of medium size construction works will also have to be considered and handled. The most important issue of the operation phase would be the management of sludge, especially because the country lacks solid waste management system and infrastructure that would provide straightforward arrangements for sludge acceptance and disposal. Nonetheless, the environmental risks of the construction and operation phases of the Program are fully manageable and none of them is expected to have significant, long term or irreversible impacts on the natural environment. Thus, the Program is classified as environmental Category B. 2. Describe any potential indirect and/or long term impacts due to anticipated future activities Page 4 of 7 in the project area: The expected long term environmental and social impacts of the Program implementation are positive, because operationalizing of the wastewater treatment plants will lead to the decrease of Public Disclosure Copy human health risks and environmental pollution from the discharge of raw sewage. 3. Describe any project alternatives (if relevant) considered to help avoid or minimize adverse impacts. Analysis of alternatives will be undertaken at the subproject level and will affect selection of the wastewater treatment plans as well as the choice of technological solutions to be applied to individual wastewater treatment plants. This process has already beenapplied in the process of the preparation of the first investment subproject in Imereti. 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. The Environmental Management Frameworks (EMFs) prepared for the ongoing Regional Development Projects were used as a basis for developing an EMF for the Program in Support to Sustainable Wastewater Management. The EMF guides the preparation of subproject-specific Environmental Impact Assessments (EIAs), including Environmental Management Plans (EMPs). Similarly, the Resettlement Policy Framework (RPFs) prepared for the Regional Development Projects were updated for the purposes of the Program implementation. RPF provides an outline for the preparation of Resettlement Action Plans (RAPs), as they may be required. The Municipal Development Fund of Georgia (MDF) will be the implementing agency for the Program. MDF has long history of implementing World Bank supported projects, though its in- house institutional capacity for safeguards application and monitoring is relatively weak. Arrangements for safeguards management under the currently ongoing Regional Development Projects implies using of external international consultant services for technical supervision of works, including supervision of safeguards application. This arrangement shall hold for implementation of activities financed from the Program. Public Disclosure Copy 5. Identify the key stakeholders and describe the mechanisms for consultation and disclosure on safeguard policies, with an emphasis on potentially affected people. The Ministry of Regional Development and Infrastructure of Georgia, MDF, regional administrations of Imereti and Kakheti, as well as the municipal governments of the selected towns are the key stakeholders of the Program. Population of these towns, their visitors, and businesses located in them will be direct beneficiaries of the planned investments. The EMF, which is an update of the already disclosed and publicly discussed EMFs for the Regional Development Projects, was disclosed in-country and through the Bank's InfoShop. Site- specific EIA reports will be prepared satisfactory to the Bank, disclosed, and discussed with the subproject-affected communities prior to tendering works under any individual investment. Local stakeholders will be provided the EIA-related information in the format and through the media most suitable for them. The RPF, which is also an update of the already disclosed and publicly discussed RPFs for the Regional Development Projects, was disclosed in-country and through the Bank's InfoShop. Site- specific RAPs, as required, will be prepared satisfactory to the Bank, disclosed, discussed with affected people, and implemented prior to mobilization of contractor to such site. B. Disclosure Requirements Page 5 of 7 Environmental Assessment/Audit/Management Plan/Other Date of receipt by the Bank 01-Apr-2013 Date of submission to InfoShop 20-Jun-2013 Public Disclosure Copy For category A projects, date of distributing the Executive Summary of the EA to the Executive Directors "In country" Disclosure Georgia 28-May-2013 Comments: Resettlement Action Plan/Framework/Policy Process Date of receipt by the Bank 04-Apr-2013 Date of submission to InfoShop 28-May-2013 "In country" Disclosure Georgia 08-May-2013 Comments: If the project triggers the Pest Management and/or Physical Cultural Resources policies, the respective issues are to be addressed and disclosed as part of the Environmental Assessment/ Audit/or EMP. If in-country disclosure of any of the above documents is not expected, please explain why: C. Compliance Monitoring Indicators at the Corporate Level OP/BP/GP 4.01 - Environment Assessment Does the project require a stand-alone EA (including EMP) Yes [ ] No [ ] NA [ ] report? If yes, then did the Regional Environment Unit or Practice Yes [ ] No [ ] NA [ ] Public Disclosure Copy Manager (PM) review and approve the EA report? Are the cost and the accountabilities for the EMP incorporated Yes [ ] No [ ] NA [ ] in the credit/loan? OP/BP 4.12 - Involuntary Resettlement Has a resettlement plan/abbreviated plan/policy framework/ Yes [ ] No [ ] NA [ ] process framework (as appropriate) been prepared? If yes, then did the Regional unit responsible for safeguards or Yes [ ] No [ ] NA [ ] Practice Manager review the plan? OP 7.50 - Projects on International Waterways Have the other riparians been notified of the project? Yes [ ] No [ ] NA [ ] If the project falls under one of the exceptions to the Yes [ ] No [ ] NA [ ] notification requirement, has this been cleared with the Legal Department, and the memo to the RVP prepared and sent? Has the RVP approved such an exception? Yes [ ] No [ ] NA [ ] The World Bank Policy on Disclosure of Information Have relevant safeguard policies documents been sent to the Yes [ ] No [ ] NA [ ] World Bank's Infoshop? Page 6 of 7 Have relevant documents been disclosed in-country in a public Yes [ ] No [ ] NA [ ] place in a form and language that are understandable and Public Disclosure Copy accessible to project-affected groups and local NGOs? All Safeguard Policies Have satisfactory calendar, budget and clear institutional Yes [ ] No [ ] NA [ ] responsibilities been prepared for the implementation of measures related to safeguard policies? Have costs related to safeguard policy measures been included Yes [ ] No [ ] NA [ ] in the project cost? Does the Monitoring and Evaluation system of the project Yes [ ] No [ ] NA [ ] include the monitoring of safeguard impacts and measures related to safeguard policies? Have satisfactory implementation arrangements been agreed Yes [ ] No [ ] NA [ ] with the borrower and the same been adequately reflected in the project legal documents? III. APPROVALS Task Team Leader: Name: Xiaolan Wang Approved By Practice Manager/ Name: Sumila Gulyani (PMGR) Date: 17-Sep-2014 Manager: Public Disclosure Copy Page 7 of 7