THE WORLD BANK - ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP) Government of the Republic of North Macedonia Social Insurance Administration Project (SIAP) ENVIRONMENTAL and SOCIAL COMMITMENT PLAN (ESCP) November 2019 1|Page THE WORLD BANK - ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP) Republic of North Macedonia Social Insurance Administration Project (SIAP) ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN 1. The Republic of North Macedonia is planning to implement a Social Insurance Administration Project (SIAP) (the Project) by the Ministry of Labour and Social Protection as the main implementing agency, Ministry of Health and the Ministry of Finance/Tax Administration (UJP) as supporting ministries and with national competences for Health insurance and contribution/tax collection. 2. The SIAP project will support the government’s efforts to create a more efficient social insurance administration system. The Project will consist of the following components: Component 1. Improving the quality of the social insurance administration services, Component 2. Strengthen the regulatory framework for people with disabilities and for hazardous occupations and Component 3. Project management, monitoring and evaluation. The Government of North Macedonia intends to receive a loan from the International Bank for Reconstruction and Development (IBRD) for the implementation of the Social Insurance Administration Project. 3. The MLSP will implement material measures and actions so that the Project is implemented in accordance with the World Bank Environmental and Social Standards (ESSs). This Environmental and Social Commitment Plan (ESCP) sets out a summary of the material measures and actions, any specific documents or plans, as well as the timing for each of these. 4. Where the ESCP refers to specific plans or other documents, whether they have already been prepared or are to be developed, the ESCP requires compliance with all provisions of such plans or other documents. In particular, the ESCP requires compliance with the provisions set out in Stakeholder Engagement Plan (SEP), as well as other instruments that will be or have been prepared for the Project, Labor Management Procedures (LMPs). 5. The table below summarizes the measures and actions that are required as well as the timing of the material measures and actions. The Republic of North Macedonia is responsible for compliance with all requirements of the ESCP even when implementation of specific measures and actions is conducted by a Ministry, agency or unit referenced in paragraph 1 above, including the Project Management Unit (PMU). 6. Implementation of the measures and actions set out in this ESCP will be monitored and reported to the World Bank through the MLSP as required by the ESCP and the conditions of the legal agreement, and the Bank will monitor and assess progress and completion of the measures and actions throughout implementation of the Project. 7. As agreed by the Bank and the Government of North Macedonia, this ESCP may be revised from time to time during Project implementation, to reflect adaptive management of Project changes and unforeseen circumstances or in response to the assessment of Project performance conducted under the ESCP itself. 2|Page THE WORLD BANK - ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 2.0 – July 2019 MATERIAL MEASURES AND ACTIONS TIMEFRAME RESPONSIBILE ENTITY/AUTHORITY MONITORING AND REPORTING A REGULAR REPORTING: Every six months during the Operation’s Project Management Unit within the Prepare and submit regular monitoring reports on the implementation in conjunction with the MLSP implementation of the ESCP that also shows the status of Project’s progress reports. compliance with the legal framework. ). B INCIDENTS AND ACCIDENTS Immediately, and no later than 48 PMU project manager. Funding from the Promptly notify the Bank of any incident or accident related to or hours after knowledge about such project having an impact on the Project which has, or is likely to have, a accidents or incidents, report to the significant adverse effect on the environment, the affected Task Team Leader of the Bank. Later communities, the public or workers, including risks based on the provide a full report in form and environmental and social assessment. Indicative examples: during substance satisfactory to the Bank. The the visits of the companies where the jobs are at high risk – obligation exists throughout project engaged experts may injury of hand, foot, head, etc. due to implementation improper wearing of the protective equipment. The MLSP will provide sufficient detail regarding the incident or accident, indicating immediate measures taken to address it. Incident and accidents reporting requirements will be incorporated into the project implementation and procedures manuals. ESS 1: ASSESSMENT AND MANAGEMENT OF ENVIRONMENTAL AND SOCIAL RISKS AND IMPACTS 3|Page THE WORLD BANK - ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 2.0 – July 2019 MATERIAL MEASURES AND ACTIONS TIMEFRAME RESPONSIBILE ENTITY/AUTHORITY 1.1 Organizational Structure By project effectivness. Maintain the Project Management Unit (PMU) structure throughout Project Monitoring & Evaluation Officer, Establish and maintain an organizational structure with qualified Implementation. Project Coordinator, Environmental staff and resources to support management of E&S risks including and Social Specialist a risk to the health of experts undertaking the review and assessment of hazardous occupations in case they visit hazardous workplaces without proper personal protection. The Project Management Unit (PMU) under the Ministry of Labour and Social Policy will closely coordinate with the Ministry of Health and will maintain the position of the Environmental and Social Specialist who will ensure an adequate management of the E&S risks, including by the application of the General and Industry-Specific Environmental, Health and Safety Guidelines (EHS). 1.2 ENVIRONMENTAL AND SOCIAL ASSESSMENT Update, adopt, and Prepared before the appraisal. To be Project Management Unit implement, the instruments (LMP, SEP) that have been prepared for the implemented throughout Project Project, in a manner acceptable to the Bank Implementation 1.3 MANAGEMENT TOOLS AND INSTRUMENTS: Final drafts of the instruments have Project Management Unit Adopt and implement the following in a manner acceptable to the been prepared and disclosed before the Bank: appraisal. To be updated as needed in • Labor Management Procedures (LMP) manner acceptable to the Bank and • Stakeholder Engagement Plan (SEP) ESHS Guidelines and Technical • the provisions of the General and Industry Specific Specifications throughout Project Environmental, Health and Safety Guidelines (EHS) which Implementation provide examples of Good International Industry Practices (GIIP). Ensure that technical specifications of the equipment to be purchased under the project meet advanced environmental safety requirements 4|Page THE WORLD BANK - ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 2.0 – July 2019 MATERIAL MEASURES AND ACTIONS TIMEFRAME RESPONSIBILE ENTITY/AUTHORITY 1.4 MANAGEMENT OF CONTRACTORS Prior to the preparation of procurement Project Management Unit documents. Incorporate the relevant aspects of the ESCP, including the relevant E&S Supervise contractors throughout Project documents and/or plans, and the Labor Management Procedures, into implementation. the ESHS specifications of the procurement documents with contractors. Thereafter ensure that the contractors comply with the ESHS specifications of their respective contracts. ESS 2: LABOR AND WORKING CONDITIONS 2.1 LABOR MANAGEMENT PROCEDURES: Develop and, thereafter, The LMP, acceptable to the Bank has PMU funding from the budget maintain and implement, throughout Project implementation, been prepared before appraisal and will labor management procedures consistent with national be implemented prior to performing legislation and ESS2, and ensure they are available to Project work. LMP to be applied throughout workers. The Labor management procedures (LMP) will address project implementation. all issues identified in ESS2, including the applicable requirements regarding non-discrimination and equal opportunity. The procedures will also include practical guidelines for the use of adequate Protective Personal Equipment (PPE) such as boots, gloves, masks by the engaged persons that will assessing and revising hazardous occupations and workplaces. These shall be with reference to the the General Environmental, Health and Safety Guidelines (EHS), industry-specific examples of Good International Industry Practices (GIIP), and relevant Industry Sector EHS Guidelines addressing specific industry sectors. . 2.2 GRIEVANCE MECHANISM FOR PROJECT WORKERS: Develop and Mechanism operational and Project Manager (PMU) maintain a grievance mechanism for any Project-related labor and information about it disseminated employment matters, easily accessible and promptly disclosed to project workers and maintained Funding from project resources and Project workers, in line with ESS2 and labor laws in North throughout Project implementation contractor budget Macedonia. . 5|Page THE WORLD BANK - ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 2.0 – July 2019 MATERIAL MEASURES AND ACTIONS TIMEFRAME RESPONSIBILE ENTITY/AUTHORITY 2.3 OHS MEASURES: Develop and implement occupational health and Prior to commencing any productive PMU Manager. Funding from the project safety measures (OHS), including emergency preparedness and inclusion activities. Throughout Project response measures. Implementation 2.4 Preparation of Labor Management Procedures. Prior to commencing project activities. Project Manager (PMU) Develop and implement management measures for Project Implementation throughout project workers duration. Funding from project resources and contractor budget ESS 10: STAKEHOLDER ENGAGEMENT AND INFORMATION DISCLOSURE 10.1 SEP PREPARATION: Prepare the Stakeholder Engagement Plan SEP has been prepared before the Project Preparation team and the PMU (SEP). appraisal. Updates, amendments as Update, adopt, and implement Stakeholder Engagement Plan (SEP). required during the implementation 10.2 SEP IMPLEMENTATION: Implement the SEP. The SEP may be During Project preparation, at PMU funding from the Project amended and updated (and redisclosed) as needed during commencement and throughout Project implementation Project life cycle 10.3 PROJECT GRIEVANCE MECHANISM: PMU (Project Manager) Funding from the First draft before the World Bank’s Project Develop and implement a grievance mechanism for the entire Project Appraisal (as a component of Project. the SEP). Amendments as needed throughout the Project. The SEP includes a commitment to communicate to stakeholders the establishment of the grievance mechanism to ensure that Prior to commencement of the Project affected stakeholders are aware of its existence and familiar with activities. Maintained throughout the process for submitting grievances to such grievance Project implementation mechanism. Semi Annual Grievance Redress Report throughout the Project 6|Page THE WORLD BANK - ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 2.0 – July 2019 MATERIAL MEASURES AND ACTIONS TIMEFRAME RESPONSIBILE ENTITY/AUTHORITY 10.4 Evaluate effectiveness of the grievance mechanism. Analysis of Annually throughout the project PMU (Project Manager) the mechanism to determine if it needs adjustments to manage implementation. the claims received by beneficiaries belonging to vulnerable and disadvantaged groups and individuals. Adjustment of the mechanism based on the results of the analysis. 10.5 CAPACITY SUPPORT (TRAINING) CS1 As example, training may be required in: Throughout Project Duration MLSP/ Pension and Disability • ESS1: Environmental and Social Assessment Insurance Fund (PIOM)/MH/FZO/ • ESS2: Labor and working conditions Employment Fund (AVRM) • Stakeholder identification and engagement • Contents of the Environmental and Social Commitment Plan (ESCP) • • Contents of the Stakeholder Engagement Plan (SEP) CS2 Occupational Health and Safety Module: Throughout Project Duration MLSP/ Pension and Disability • Personal protection equipment Insurance Fund (PIOM)/MH/FZO/ • Workplace risk management Employment Fund (AVRM) • Prevention of work accidents Civil Society, Local NGOs • Health and safety rules • Preparedness and response to emergency situations Provisions of the General Environmental, Health and Safety Guidelines (EHS), industry-specific examples of Good International Industry Practices (GIIP), and relevant Industry Sector EHS Guidelines addressing specific industry sectors shall be duly incorporated in the training modules. 7|Page THE WORLD BANK - ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 2.0 – July 2019 MATERIAL MEASURES AND ACTIONS TIMEFRAME RESPONSIBILE ENTITY/AUTHORITY CS3 Grievance Mechanism Module, design and production of a Throughout Project duration PMU , support from relevant, civil society , training module addressing the following aspects: local NGOs • Registration and processing procedure • Grievance redress procedure • Documenting and processing grievances • Use of the procedure by different stakeholders 8|Page