The World Bank. Key Dates. Project Development Objectives. Components. Overall Ratings. Public Disclosure Authorized

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1 Public Disclosure Authorized AFRICA Mozambique Water Global Practice IBRD/IDA Specific Investment Loan FY 2008 Seq No: 16 ARCHIVED on 30-Oct-2015 ISR21080 Implementing Agencies: Public Disclosure Authorized Key Dates Key Project Dates Board Approval date:11-sep-2007 Planned Mid Term Review Date:31-Oct-2015 Original Closing Date:31-Oct-2012 Project Development Objectives Effectiveness Date:17-Mar-2008 Actual Mid-Term Review Date:-- Revised Closing Date:31-Oct-2015 Public Disclosure Authorized Project Development Objective (from Project Appraisal Document) The development objective of the project is to increase water service coverage in the cities of Beira, Nampula, Quelimane, and Pemba under the delegated management framework and to establish an institutional and regulatory framework for water supply in smaller cities and towns. Has the Project Development Objective been changed since Board Approval of the Project Objective? Yes Board Approved Revised Project Development Objective (If project is formally restructured) The objectives of the Project are to: (i) increase water service coverage in the cities of Beira, Dondo, Nampula, Quelimane, IlhadeMocambique, Mocimboa da Praia, Pemba, Tete, Chimoio, Gondola, Angoche, Moatize, and Nacala under the delegated managementframework,and (ii) establish an institutional and regulatory framework for water supply in a smaller cities and towns of therecipient's territory. Public Disclosure Authorized Components Name Component A: Investments and continuing support in Beira, Dondo, Nampula, Quelimane, Pemba, Tete, Chimoio, Gondola, Angoche, Moatiz e and Nacala under the responsibility of FIPAG:(Cost $58.00 M) Component B: Capacity Building, Institutional and Operational Support to AMU:(Cost $18.60 M) Component C: Capacity Building, Institutional and Operational Support to CRA:(Cost $3.50 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO Satisfactory Satisfactory Overall Implementation Progress (IP) Satisfactory Satisfactory Page 1 of 8

2 Overall Risk Rating Low Low Implementation Status and Key Decisions The implementation of the project is progressing satisfactorily. A review of results reported in September, 2015 combined with supervision mission findings from June, 2015 confirm that PDO indicator targets have been reached or exceeded. Fundo de Investimento e Patrimonio do Abastecimento de Agua (FIPAG), Administracao de Infra-estruturas de Agua e Saneamento (AIAS), and Conselho de Regulacao Abastecimento de Agua (CRA) have substantially progressed the implementation of all on-going activities supported by the Additional Financing of the WASIS project and are now preparing for project closure. Component A (Investments and continuing support in 11 cities under the responsibility of FIPAG): Progress in the implementation is highly satisfactory. Through the execution of the planned civil works, FIPAG achieved around 149,725 new connections by September, 2015; more than the results framework end target of 110,000. Also, through the execution of civil works, about 890km of network pipeline has been installed exceeding the intermediate target value of 757km. This component has exceeded the targets established in the original Project design and the updated negotiated targets at restructuring for the second Additional Finance. Component B (Capacity building, institutional, and operational support to AIAS) is progressing satisfactorily. Activities carried out under this component are now substantially complete. The new water supply systems constructed in Ilha da Mozambique and Mocimboa da Praia were commissioned in late 2014 and are now operational. Service contract operators have been appointed under the delegated management framework for small towns - guided by regulatory framework agreements which establish service standards and procedures for tariff reviews. Some 3,577 new connections have been installed and 146 new stand pipes reaching some 62,758 direct beneficiaries. In response to a high demand, AIAS is supporting the operators in the two systems to install a further 900 connections, prior to project closure (31 October, 2015). The institutional aspects of this component are progressing well, and AIAS has established 4 provincial representations and have used the model developed and tested under WASIS to expand delegated operations in small towns through the signing service operating contracts for 18 systems. The Provincial Water and Sanitation Council has also been established in Cabo Delgado and Nampula provinces. Component C (Capacity building, institutional, and operational support to the CRA) of the project is progressing highly satisfactory. This component involves expanding CRA's mandate to cover secondary systems, as established in a Decree (published June 8, 2011) which sets out the scope of CRA's mandate, performance principles, authority for regulation, service standards and enforcement compliance, and penalties for all water and sanitation utilities. The new CRA mandate covers all urban water and sanitation sub-sector. For testing the new system, agreements for Ilha de Mozambique and Mocimboa da Praia were signed allowing CRA to regulate the cities and small towns included in the WASIS program. CRA has established fully functional provincial representation in Nampula (Northern region), Beira (Central region) and Inhambane (Southern region). Local Regulatory Commission' have been established and are operational in Ilha de Mozambique and Mocimboa da Praia. CRA is gradually implementing the Regulatory Framework in the 18 water systems for small towns, contracted out by AIAS with private operators. Page 2 of 8

3 Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance -- Moderate Moderate Macroeconomic -- Moderate Moderate Sector Strategies and Policies -- Low Low Technical Design of Project or Program -- Low Low Institutional Capacity for Implementation and Sustainability -- Low Low Fiduciary -- Low Low Environment and Social -- Low Low Stakeholders -- Low Low Other Overall -- Low Low Results Project Development Objective Indicators PHINDPDOTBL Number of people in urban areas provided with access to Improved Water Sources under the project (Number, Core) Value Date 03-May Mar Sep Oct-2015 Includes - 149,725 new household connections under Component A, plus 3,577 new household connections and 146 public standpipes installed under Component B. Beneficiaries are estimated at 5.3 persons per household and 300 persons per public standpipe. PHINDPDOTBL Number of Provincial Delegations that have capacity to manage service operator contracts (Number, Custom) Page 3 of 8

4 Value Provincial delegations / representations in four provinces include: Nampula, Cabo Delgado, Zambezia and Inhambane. This exceeds original target of 2 delegations (Nampula and Cabo Delgado) Overall Global Environmental Objective Indicators Overall Intermediate Results Indicators Component A: Kilometers of new water supply network laid and operational (Number, Custom) Value Date 03-May Mar Sep Oct-2015 Component B: AMU (AIAS) has deconcentrated the management of provincial water supply to service operators (Text, Custom) Value AMU did not exist 7 service contracts operational and 10 additional service contracts signed 18 service contracts signed and operational AMU (AIAS) legally established and operational Date 03-May May May Oct-2015 AIAS has deconcentrated the management of provincial water supply to service operators through signing contracts for operations in 18 systems. Including Maputo Province: Namaacha & Moamba, Gaza Province: Mabalane & Praia de Bilene, Sofala Province: Nhamatanda & Caia, Nampula Province: Ilha Moçambique, Nametil, Ribáuè & Malema, Zambezia Province: Mopeia, Alto Molócuè, & Mocuba, Tete Province: Ulónguè & Massinga, Inhambane Province: Massinga, Cabo Delgado Province: Montepuez & Mocímboa da Praia. The new systems for delgated management were successfully tested under the project in two pilot towns, Ilha de Mozambique and Mocimboa da Praia and drawing upon lessons learnt and building upon successful experience, the concepts for decentralized operations and regulation were further scaled up, with support of the project and are being implemented in 18 systems across eight provinces Page 4 of 8

5 extending well beyond the projects end targets. Component B: Number of strategic sanitation plans for small cities and towns completed (Number, Custom) Value Strategic sanitation plans were prepared for Ilha de Mozambique and Mocimboa da Praia Component B: Number of water systems rehabilitated and expanded in target small cities and towns (Number, Custom) Value The water supply systems in Ilha de Mozambique and Mocimboa da Praia were rehabilitated and expanded. The new systems were commissioned and have been in operation, under the delegated management framework, since late Component B: Piped household water connections affected by rehabilitation works undertaken under the project (Number, Custom) Value As reported by AIAS a further 900 connections will be installed by the system opreators in the two small towns, prior to project closure. Page 5 of 8

6 Component B: Improved community water points constructed or rehabilitated under the project (Number, Custom) Value Date 03-May May May To optimise project impacts and expand number of beneficaries, additional public standpipes were installed in peri-urban areas of both Ilhad de Mozambique and Mocimboa da Praia Component A: New Piped household water connections resulting from the project intervention (Number, Custom) Value Date 03-May Mar Sep Oct-2015 This component has exceeded the targets established in the original Project design and the updated negotiated targets at restructuring for the second Additional Finance Component B: Number of water utilities the project is supporting (Number, Custom) Value Includes operators of the systems in Ilha de Mozabique and Mocimboa da Praia - under delegated management framework. Page 6 of 8

7 Component C: Legal decree established for regulation of small cities and towns and CRA's provincial representation operationalized (Number, Custom) Value The project supported the estblishment of Decree 23/2011, of June 8: to strengthen decentralized regulation by allowing three levels of regulations, according to size of the system. This enabled CRA to create regional offices and to develop simplified regulatory arrangements for small private providers. For testing the new system, agreements for Ilha de Mozambique and Mocimboa da Praia were signed allowing CRA to regulate the cities and small towns included in the WASIS program. CRA has also established fully functional provincial representation in Nampula (Northern region), Beira (Central region) and Inhambane (Southern region). Local Regulatory Commission's have been established and are operational in Ilha de Mozambique and Mocimboa da Praia. CRA is gradually implementing the Regulatory Framework in the 18 water systems for small towns, contracted out by AIAS with private operators. Overall Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed Disbursed P IDA Effective USD % P IDA Effective USD % P TF Closed USD % P TF Closed USD % Key Dates (by loan) Page 7 of 8

8 Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P IDA Effective 11-Sep Sep Mar Oct Oct-2015 P IDA Effective 30-Sep Nov Feb Oct Oct-2015 P TF Closed 21-Sep Sep Mar Oct Oct-2012 P TF Closed 17-Nov Nov Feb Oct Sep-2014 Cumulative Disbursements Restructuring History There has been no restructuring to date. Related Project(s) P Additional Financing - Water Services and Institutional Support (WASIS) Project,P Water Services and Institutional Support Project Page 8 of 8

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