ASIAN DEVELOPMENT BANK PCR: INO 24145

PROJECT COMPLETION REPORT

ON THE

MARINE RESOURCE EVALUATION AND PLANNING PROJECT (Loan 1203-INO)

IN

INDONESIA

March 2001

CURRENCY EQUIVALENTS

Currency Unit - Rupiah (Rp)

At Appraisal At Project Completion(October 1992) (September 1998)

Rp1.00 = $0.00049 $0.00009$1.00 = Rp2,050 Rp10,600

For the purpose of project cost calculation in this report, prevailing exchange rates at the time ofpayments were used.

ABBREVIATIONS

ADB — Asian Development BankBAKOSURTANAL — Badan Koordinasi Survei Dan Pemetaan Nasional

(National Coordination Agency for Survey and Mapping)BAPEDAL — Badan Pengendalian Dampak Lingkungan

(National Agency for Environmental Impact Management)BAPEDALDA — Badan Pengendalian Dampak Lingkungan Daerah

(Regional Agency for Environmental Impact Management)BAPPEDA — Badan Perencanaan Pembangunan Daerah

(Regional Development Planning Agency)BAPPENAS — Badan Perencanaan Pembangunan Nasional

(National Development Planning Agency)EA — executing agencyGIS — geographic information systemGMRIS — Geographic Marine Resource Information SystemLREP — Land Resource Evaluation and PlanningLREP II — Second Land Resource Evaluation and PlanningMCRMP — Marine and Coastal Resource Management ProjectMCMA — marine and coastal management areaMCA — marine conservation areaPA — participating agencyPDC — provincial data centerPHPA — Direktorat Jendral Perlindungan Hutan dan Pelestarian

Alam (Directorate General of Forest and NatureConservation)

NOTES

(i) The fiscal year (FY) of the Government ends on 31 March.(ii) In this report, “$” refers to US dollars.(iii) The terms BAPPEDA and BAPEDALDA refer to provincial level agencies,

unless otherwise noted.

PS — project secretariatPSL — Pusat Studi Lingkungan

(Environmental Study Center)RTRWK — Rencana Tata Ruang Wilayah Kabupaten

(District Spatial Plan)RTRWP — Rencana Tata Ruang Wilayah Propinsi

(Provincial Spatial Plan)SMA — special marine area

GLOSSARY

Base map Map depicting basic terrain information including some or all of coastlines,rivers, roads, administrative boundaries, settlements, and contours. Thismap is the base on which all other information or themes are overlaid sothat such information can be directly and accurately related to fixedfeatures of the terrain.

Digital copy Information held on disk in a format that can be manipulated in acomputer environment; mapped information, once it is digitized, can bedistributed in digital (e.g., diskette) copy.

Digitize Conversion of information from a manuscript (hard copy) to a form thatcan be read by a computer using appropriate software.

Geographic Software capable of holding and manipulating spatial data.informationsystem (GIS)

Interfacesoftware

Software that allows databases created with a GIS software or created instandard exchange format to be accessed or manipulated by another GISsoftware

Land evaluation Determination of the appropriateness of a defined area of land for a rangeof possible uses based on the physical characteristics of the land.

Land use map Depiction of the actual use of the land at the time the data were collected,e.g., rice growing, tree crops, forest; this is a type of thematic map that issubject to continuous change and requires routine updating.

Map sheet One element of a grid of maps covering a country or region in which thegrid normally conforms to standard latitudes and longitudes. Numberingof map sheets is in accordance with an agreed national system that allagencies generating maps should use.

Physical plan Identification of the optional ways in which geographically defined areasof land might be used, and the implications of each optional use, basedon the physical attributes of the land. Such attributes may include theclimate, altitude, slope, soil type, and current land use, and land status,i.e., ownership, licenses, or legal designation.

Semidetailed A scale of mapping usually between 1:50,000 and 1:100,000 andconsidered to provide adequate detail for planning up to, but not at thelevel of, detailed physical layout.

Spatial data Information or data with a geographical attribute; on a map it may refer toa line (e.g., a road, river, administrative boundary), or an area, (e.g., awatershed or a town).

Spatial plan A document usually having legal force that determines ways in whichgeographically defined areas of land may be used and managed. InIndonesia this is designated at the provincial level as the provincial spatialplan (Rencana Tata Ruang Wilayah Propinsi).

Standard exchangeformat

Common database format that can be accessed (or read) by manydifferent GIS software through interface software

Suitability analysis Assessment of the physical characteristics and resource capacities ofdifferent areas within a map to gauge their relative suitability for aparticular use (i.e., mariculture, community settlement, port development,shipping lanes, or conservation area).

Thematic map Map depicting the spatial distribution of an aspect of an area such as landuse, soil type, legal status of the land, or population density.

TABLE OF CONTENTS

Page

BASIC DATA ii

MAP vii

I. PROJEC DESCRIPTION 1

II. EVALUATION OF PROJECT IMPLEMENTATION 2

A. Project Components 2B. Implementation Arrangements 6C. Project Costs 6D. Project Schedule 7E. Engagement of Consultants and Procurement of Goods and Services 7F. Performance of Consultants, Contractors, and Suppliers 8G. Conditions and Covenants 9H. Disbursements 9I. Environmental and Social Impacts 9J. Performance of the Borrower and Executing Agencies 9K. Performance of the Asian Development Bank 10

III. EVALUATION OF INITIAL PERFORMANCE AND BENEFITS 10

A. Economic and Financial Performance 10B. Attainment of Benefits 11

IV. CONCLUSIONS AND RECOMMENDATIONS 12

A. Conclusions 12B. Lessons Learned 12C. Recommendations 13

APPENDIXES 15

BASIC DATA

A. Loan Identification

1. Country Indonesia2. Loan Number 12033. Project Title Marine Resource Evaluation

and Planning4. Borrower Republic of Indonesia5. Executing Agencies (i) Directorate General of Regional

Development (DGRD)(ii) National Coordinating Agency forSurveys and Mapping(BAKOSURTANAL)

6. Amount of Loan $33.0 million7. PCR Number PCR:INO 617

B. Loan Data

1. Appraisal– Date Started 18 August 1992– Date Completed 28 August 1992

First Follow-Up– Date Started 15 September 1992– Date Completed 18 September 1992

Second Follow-Up– Date Started 7 October 1992– Date Completed 9 October 1992

2. Loan Negotiations– Date Started 6 November 1992– Date Completed 7 November 1992

3. Date of Board Approval 8 December 1992

4. Date of Loan Agreement 16 March 1993

5. Date of Loan Effectiveness– In Loan Agreement 16 June 1993– Actual 25 May 1993– Number of Extensions None

6. Closing Date– In Loan Agreement 30 September 1998– Actual 16 May 20001

– Number of Extensions One

1 Delay in loan closing of 19.5 months was caused by a delay in the refund of the imprest account advance by the

Government. Physical activities were terminated on 30 September 1998.

iii

7. Terms of Loan– Commitment Charge 0.75% per annum– Interest Rate Pool-based variable rates– Maturity (number of years) 25– Grace Period (number of years) 5

8. Disbursements

a. Dates

Initial Disbursements7 October 1993

Final Disbursement16 May 2000

Time Interval79 months

Effective Date25 May 1993

Original Closing Date30 September 1998

Time Interval64 months

b. Amount ($’000)

Appraisal Final Amount UndisbursedCategory Allocation Allocation Disbursed Balance a

A. DGRDCivil Works 150 64 64 0Equipment 1,063 1,801 1,689 112Consulting Services 3,729 4,127 4,104 23Training 1,772 2,517 2,380 137Survey and Mapping 586 370 370 0Computer Equipment Maintenance 230 71 56 15Unallocated 1,195 0 0 0

Subtotal (A) 8,725 8,950 8,663 287

B. BAKOSURTANALCivil Works 12 9 9 0Equipment 3,104 3,595 3,593 2Consulting Services 1,899 2,059 2,037 22Training 1,677 3,037 3,031 6Survey and Mapping 7,204 2,606 2,200 406Computer Equipment Maintenance 1,108 207 7 200Unallocated 2,203 0 0 0

Subtotal (B) 17,207 11,513 10,877 636

C. Operational Costfor Project Secretariat 1,268 1,455 1,434 21Unallocated 200 0 0 0

Subtotal (C) 1,468 1,455 1,434 21

Interest During Construction 5,600 4,267 4,267 0

Total 33,000 26,185 25,241 944

BAKOSURTANAL = National Coordinating Agency for Surveys and Mapping, DGRD = Directorate General ofRegional Development.

a A portion of the undisbursed loan balance—$6.815 million—was canceled effective 16 July 1998. Theundisbursed balance of $0.943 million was canceled effective 16 May 2000.

iv

9. Local Costs (Financed)

Amount $2.828 millionPercentage of Local Costs 11percentPercentage of Total Costs 5 percent

C. Project Data

1. Project Cost ($ million)

Cost Appraisal Estimate Actual Foreign Exchange Cost 27.10 22.42 Local Currency Cost 28.90 25.87 Total 56.00 48.29

2. Financing Plan ($ million)

Appraisal Actual

Cost Foreign Local Total Foreign Local Total

Implementation Costs Borrower-Financed ADB-Financed Total

0.0021.5021.50

23.005.90

28.90

23.0027.4050.40

0.0018.1518.15

23.042.83

25.87

23.0420.9844.02

IDC Costs Borrower-Financed ADB-Financed Total

0.005.605.60

0.000.000.00

0.005.605.60

0.004.274.27

0.000.000.00

0.004.274.27

ADB = Asian Development Bank.

3. Cost Breakdown by Project Components ($ million)

Appraisal ActualComponent Foreign Local Total Foreign Local Total

Strengthening of Marine andCoastal Planning andManagement (Part A) 4.91 8.08 12.98 6.82 12.29 19.11

Strengthening of Marine andCoastal Information System(Part B) 12.23 12.18 24.41 10.16 11.37 21.53

Project ManagementCoordination 0.77 1.33 2.10 1.17 2.01 3.18

Physical Contingency andPrice Escalation 3.60 4.55 8.15 0.00 0.00 0.00Taxes 0.00 2.76 2.76 0.00 0.20 0.20

Interest During Construction 5.60 0.00 5.60 4.27 0.00 4.27

Total 27.11 28.90 56.00 22.42 25.88 48.29

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4. Project Schedule

Component Appraisal Estimate Actual

a. Date of Contract with Consultants Part A (Package 1)

Part B - Package 2 - Package 3 - Package 4

November 1993

May 1993May 1993October 1994

3 May 1994

29 June 199424 Nov 199428 June 1995

b. Civil Works Contracts, Date of Award Part A Part B

May 1994April 1994

12 October 199430 April 1994

c. Equipment and Supplies Procurement First Procurement Part A Part B

d. Last Procurement Part A Part B

e. Completion of Equipment Installation Part A Part B

3rd quarter 19934th quarter 1993

1st quarter 19981st quarter 1998

3rd quarter 19943rd quarter 1994

15 August 199430 May 1994

27 March 19986 November 1998

12 September 199425 April 1998

D. Data on ADB Missions

Name ofMission Date

No. ofPersons

No. ofPerson-

days Specialization of Members

Fact-FindingMission

AppraisalMission

23 Apr - 8 May 1992

18-28 Aug 1992

4

5

94

63

Senior Project Engineer/Mission LeaderPrograms OfficerMarine Resource Planning Specialist(Staff Consultant)Information System Specialist (StaffConsultant)

Senior Project Engineer/Mission LeaderCounselPrograms OfficerMarine Resource Planing Specialist(Staff Consultant)Institutional Specialist (Staff Consultant)

1st Follow-Up(AppraisalMission)

2nd Follow-Up(AppraisalMission)

15-18 Sep 1992

7-9 Oct 1992

2

1

8

2

Senior Project Engineer/Mission LeaderMarine Resource Planning Specialist(Staff Consultant)

Senior Project Engineer/Mission Leader

vi

Name ofMission Date

No. ofPersons

No. ofPerson-

Days Specialization of Members

InceptionMission

28 Nov - 6 Dec 1993 1 8 Project Engineer (Mission Leader)

Loan Review 1 31 Jan - 10 Feb 1995 2 22 Project Engineer (Mission Leader)Senior Project Administration Staff

DisbursementMission

MidtermReview

1 Mar 1995

23 Mar - 5 Apr 1996

1

4

1

83

Disbursement Officer, DisbursementOperations Division

Senior Project Specialist (NaturalResources)/Mission LeaderProject Implementation Officer,Indonesia Resident MissionMarine Resource Planning Specialist(Staff Consultant)Geographic InformationSystem/Information Systems Specialist(Staff Consultant)Project Administration Staff

DisbursementMission

24 Mar 1995 1 1 Disbursement Officer, IndonesiaResident Mission

Follow-Up(MidtermReview)

22 Oct 1996 1 1 Senior Project Specialist (NaturalResources)/Mission Leader

DisbursementMission

Loan Review 2

4 Apr 1997

20-25 Apr 1998

1

1

1

6

Disbursement Officer, IndonesiaResident Mission

Senior Project Specialist (NaturalResources)/Mission Leader

Loan Review 3 19 Aug 1998 1 1 Senior Project Specialist (NaturalResources)/Mission Leader

ProjectCompletionReview

16 Oct - 1 Nov 2000 3 57 Project Economist/Mission LeaderInformation Systems Specialist (StaffConsultant)Assistant Project Analyst

Total 348

I. PROJECT DESCRIPTION

1. On 8 December 1992, the Asian Development Bank (ADB) approved a $33 million loanfrom its ordinary capital resources for the Marine Resource Evaluation and Planning Project.The Project was to complement initiatives carried out under the ADB-funded Land ResourceEvaluation and Planning (LREP) Project and second LREP Project1, which aimed to helpIndonesia modernize its land evaluation and physical planning capability. As the LREP projectsdealt exclusively with terrestrial features, the Project was to strengthen the capabilities of theGovernment to cover marine and coastal areas in 10 provinces: Bali, East Java, EastKalimantan, East Nusa Tenggara, Irian Jaya, Maluku, North Sulawesi, South Sulawesi, SouthSumatra, and West Nusa Tenggara (map). The specific project objectives were to (i) improvecapacity for marine and coastal planning and management, and (ii) strengthen the existingmarine and coastal information system to maximize the benefits to be obtained from the optimalmanagement of the marine and coastal resources.2 The objectives were to be accomplishedthrough two components: (i) strengthening of marine and coastal management (part A) and (ii)strengthening of the marine and coastal information system (part B).

2. Parts A and B were implemented by two executing agencies (EAs): the DirectorateGeneral of Regional Development of the Ministry of Home Affairs, and the National CoordinationAgency for Surveys and Mapping (Badan Koordinasi Survei dan Pemetaan Nasional orBAKOSURTANAL) of the State Secretariat, respectively. The EAs, in turn, supervised nineparticipating agencies (PAs). Three PAs took part in part A: (i) National Agency forEnvironmental Impact Management (Badan Pengendalian Dampak Lingkungan or BAPEDAL),(ii) Directorate General of Forest Protection and Nature Conservation (Direktorat JendralPerlindungan Hutan dan Pelestarian Alam or PHPA),3 and (iii) the National Law DevelopmentAgency (Badan Pembinaan Hukum National). Six PAs participated in part B: (i) CentralResearch Institute for Fisheries of the Ministry of Agriculture, (ii) National Land Agency (BadanPertanahan Nasional) under the State Secretariat, (iii) National Agency for Meteorology andGeophysics (Badan Meteorologi dan Geofisika), (iv) Research and Development Center forOceanology (Pusat Penelitian dan Pengembangan Oceanologi), (v) Marine Geological Institute,and (vi) Agency for Assessment and Application of Technology (Badan Pengkajian danPenerapan Teknologi).

3. Project activities were coordinated at the national level by a project coordination board(PCB) chaired by the National Development Planning Agency (Badan PerencanaanPembangunan National or BAPPENAS). The routine functions of the PCB were performed by aproject secretariat (PS). At the provincial level, the Directorate General of RegionalDevelopment coordinated activities of 10 regional development planning agencies (BadanPerencanaan Pembangunan Daerah or BAPPEDA) and environmental study centers (PusatStudi Lingkungan) based at local universities.

4. The Project was implemented from 1993 to 1998. The activities of various nationalagencies were interlinked in a collaborative effort to produce outputs under part A. The outputsare (i) a physical plan for each marine and coastal management area (MCMA) in each project

1 Loan 730-INO: Land Resource Evaluation and Planning, for $23.4 million, approved on 17 January 1985; and Loan

1099-INO: Second Land Resource Evaluation and Planning, for $57 million, approved on 19 September 1991. Thetwo projects covered all provinces of Indonesia, except the Jakarta Special Capital Region. LREP II and the Projectwere implemented concurrently between 1993 and 1998.

2 Loan 1203-INO: Marine Resource Evaluation and Planning Project, Appraisal Report, November 1992 ,para. 51.3 PHPA has now been reorganized and renamed the Directorate General of Nature Protection and Conservation

(Perlindungan dan Konservasi Alam) under the Ministry of Forestry.

2

province; (ii) management principles and procedures for three special marine areas (SMAs),which include the formulation of oil-spill contingency models for the SMAs; (iii) managementplans for five marine conservation areas (MCAs) and the implementation of these plans; and (iv)establishment and implementation of environmental monitoring programs for the MCMAs andSMAs. A flow chart of the production of these outputs is provided in Appendix 1. Aside fromthese outputs, part A included a review of the institutional framework and legislation relevant tothe management of marine and coastal areas, and provided assistance to integrate the marineresources data collected under the Project with the LREP databases.

5. Part B was to support the collection and compilation of marine and coastal resource dataand maps, and the installation of an electronic information network to facilitate informationexchange among the EAs, PAs, and local governments, including the compilation of a centralmarine data catalogue. The network is known as the geographic marine resource informationsystem (GMRIS). Database creation under part B was to support the formulation of the outputsunder part A, as well as meet the data needs of the individual PAs under part B.

II. EVALUATION OF PROJECT IMPLEMENTATION

A. Project Components

6. The following sections provide an overview of implementation accomplishments byproject subcomponents. The details of physical targets and their accomplishments are given inAppendix 2.

1. Part A: Strengthening Marine and Coastal Planning and Management

a. Marine and Coastal Planning and Management

7. Activities under this subcomponent comprise the identification of data to be collected inthe MCMAs and formulation of semidetailed4 MCMA plans based on the data collected. Theactual plan formulation was hampered by slow progress in data collection and map production(paras. 16 and 17) and lack of clear guidance by the consultants about the data and mapsrequired for the MCMA and SMA planning (para. 26). The broad MCMA planning approach,known as the hierarchical planning framework, was documented fairly late in 1995, after datacollection had commenced. The framework comprises three distinct outputs: (i) the provincialcoastal and marine strategic plans, (ii) MCMA zoning maps, and (iii) management and actionplans. As a result of late collection of data and slow development of methodology, the MCMAplans were only partly completed. At project completion, all provinces had completed a strategicplan. Due to time constraints, the zoning maps were completed only at a scale of 1:250,000instead of 1:50,000 and covered only 25 percent of the MCMA area.5 Management and actionplans were not completed, although guidance was provided on the content of such plans.

8. Limited progress had been made since project completion in continuing the planningactivities because of national and provincial budgetary constraints. The province of EastKalimantan refined its strategic plan in 1999 through a series of stakeholder consultations, whilezoning maps were developed at a scale of 1:50,000 for selected districts in Bali, EastKalimantan, and North Sulawesi. Further formulation of the MCMA plans, following the manuals

4 Semidetailed refers to the scale of 1:50,000.5 One map sheet at the scale of 1:250,000 for each province.

3

prepared under the Project, is expected under new investment projects, including the ADB-funded Marine and Coastal Resource Management Project (MCRMP).6

b. Special Marine Area Management

9. Complementing the MCMA planning process, resource inventory and economic activitydata were to be collected from three previously identified SMAs, to be followed by theformulation of procedures and principles for the sustainable management of SMAs byBAPEDAL. As the Project began in 1993, the Timor Gap SMA was excluded from the Projectsince the area’s resource use is partly governed by international treaties, making itsmanagement formulation too complicated to be handled within the Project. For the SMAs in thestraits of Lombok and Makassar, data were collected on fisheries, oil/gas exploration andmining, and traffic of sea vessels, among others. Data collection was substantially delayed, andmap delivery only commenced in mid-1997. The maps and data facilitated the formulation byBAPEDAL of water circulation models intended to help upgrade the existing oil spill contingencyplans for the international shipping lane traversing the straits of Lombok and Makassar.However, the envisaged formulation of the principles and procedures for SMA managementcould not be completed by project completion because of persisting staff constraints andcounterpart fund shortages suffered by BAPEDAL.

c. Conservation Area Planning and Management

10. Under part A, PHPA of the Ministry of Forestry was to survey potential sites for MCAs inthe 10 MCMAs. In 5 provinces, MCAs were to be established with clearly formulatedmanagement plans, followed by concrete actions to implement the plans. The MCA surveys andplan formulation were successfully carried out. The plans divide MCAs into permitted-use areas,buffer zones, and conservation areas, among others, and outline actions required to managethe MCAs. By October 2000, 4 MCAs had been granted Marine Tourism Park status (Table 1).The approval for 1 proposed park in Bali is still being processed. Between 1998 and 2000,implementation of the plans focused on the installation of observation posts in the MCAs anddeployment of surveillance officers. In Bali and West Nusa Tenggara, zoning demarcationsinside the MCAs are being updated in response to local government and community concernsthat were not addressed in the management plans completed under the Project.

Table 1: Survey and Establishment of Marine Conservation AreasMCMA

ProvinceSurve yed Marine Tourism

Park ManagementPlan

Governor'sEndorsement

Approval ofMinistry ofForestry

South Sumatra XEast Java XBali X XWest Nusa Tenggara X X X XEast Kalimantan XSouth Sulawesi X X X XNorth Sulawesi XMaluku XEast Nusa Tenggara X X X XIrian Jaya X X X X

MCA = Marine Conservation Area, MCMA = Marine and Coastal Management Area.Source: Ministry of Forestry

6 Loan 1770-INO(SF): Marine and Coastal Resource Management Project, for $50 million, approved on 26 October

2000.

4

d. Environmental Monitoring and Risk Assessment

11. To support the formulation of MCMA management plans, the Project was to helpdevelop water quality monitoring programs in the MCMAs. BAPEDAL developed 10 MCMAenvironmental monitoring guides and programs. The guides and programs specify the baselineenvironmental status of the MCMAs, and monitoring methods and standards required for eachMCMA. Accompanying the monitoring guidelines and programs, a qualitative risk assessmentstudy was carried out to determine the vulnerability of coastal villages, mangrove forests, fishinggrounds, coral reefs, and tourism locations to oil spills and other pollution hazards.

12. Environmental monitoring has thus far covered only small pilot areas due to budgetconstraints. The programs have been adopted in two districts in the provinces of EastKalimantan and North Sulawesi under the Coastal Resource Management Project.7 Overall,monitoring activities have been impeded by the devolution of BAPEDAL’s responsibilities to thenewly created provincial and district BAPEDALs (BAPEDAL Daerah or BAPEDALDA). Atpresent, the BAPEDALDAs still need to familiarize themselves with the environmentalmonitoring guidelines, build staff skills, and obtain the equipment required for the monitoringprograms.8

e. Legal and Institutional Framework for Marine and Coastal Areas

13. The Project supported a review of the legal and institutional arrangements for themanagement of marine and coastal areas. The review focused on two aspects: (i) theevaluation of national laws on coastal and marine resource management, and (ii) the evaluationof international treaties affecting Indonesia. These evaluations led to recommendations ofactions to reduce inconsistencies and overlapping mandates in the existing laws. Two pieces ofdraft legislation were prepared as part of activities under the subcomponent. These relate to(i) the jurisdictions of the national and local governments over the coastal areas, and (ii)management and development of marine and coastal resources. The draft legislation was usedin 1999 to enact the Law on Regional Autonomy (Law 22/1999) that was promulgated the sameyear. The legislative review contributed to discussions leading to the establishment of theMinistry of Marine Affairs and Fisheries in 1999.

f. Institutional Strengthening of Provincial Governments

14. The Project improved the skills of BAPPEDA and environmental study center staff fordata collection, computer operations, data management, and map production through domesticand international training and on-the-job training on geographic information system (GIS)applications and computer technology. A total of 118 person-months of overseas and 1,472person-months of domestic training was provided, compared with the appraisal estimates of 162person-months and 502 person-months, respectively (Appendix 3). Some training in integratedcoastal zone planning and management, planned for outside the country, was held in Indonesiabecause domestic universities were considered capable of providing the required training.9 Theconsultants reported that the on-the-job training built skills by directly involving staff in projectactivities. An evaluation survey conducted in 1998 indicated that only about 50 percent of theBAPPEDA staff trained under the Project remained in relevant positions. The poor retention of

7 The Coastal Resource Management Project is funded by the United States Agency for International Development.8 In at least three of five provinces visited by the Project Completion Review Mission, BAPEDALDA staff were

unaware of the availability of the environmental monitoring programs because while the documents had beencompleted, they had not been provided to the BAPEDALDAs.

9 These universities had become centers of excellence under Loan 894-INO: Marine Science Education Project, for$43,250, approved on 14 July 1988.

5

trained staff in spatial planning positions is related to the functions and mandate of theBAPPEDAs, which foster staff career development along general rather than specialist technicalexpertise. Despite the staff movements the skills developed remain relevant to the organizationas a whole.

2. Part B: Strengthening of Marine and Coastal Information System

a. Database Creation and Mapping

15. According to the project design, five PAs (Central Research Institute for Fisheries,Marine Geological Institute, National Agency for Meteorology and Geophysics, National LandAgency, and Research and Development Center for Oceanology) were to collect and processdata on the resource base and economic activities in the MCMAs and SMAs. In collaborationwith BAKOSURTANAL and consistent with base maps prepared by BAKOSURTANAL, mapswere to be generated to facilitate the planning and environmental monitoring activities underpart A and enhance the general availability of data on the marine and coastal areas.

16. Field surveys were initiated in the MCMAs from 1993 to 1996 and continued in the SMAsuntil 1998. Extensive data were collected on climate, coastal geodynamics, mineral resources,ecosystems, existing land and marine area uses, and fisheries activities (Appendix 2). Databasecreation, however, proved to be more arduous and time consuming than envisaged partlybecause collecting data in marine areas is more difficult than on land. The delayedengagements of consultants, a lengthy equipment procurement process, unfavorable weather,and the delayed release of annual budgets delayed the fielding of surveys. Map production,which started with inventory taking and the preparation of base maps to scales of 1:50,000 and1:250,000, was impeded by the slow procurement of aerial photographs and satellite images,and staff constraints at BAKOSURTANAL affecting the laborious tasks of photo/imageryinterpretation and map digitizing. A map evaluation in 2000 showed that some base maps needto be updated as they are derived from older aerial photographs.

17. The quality of thematic maps was affected by poor coordination betweenBAKOSURTANAL and the PAs as thematic data surveys began before base maps had beencompleted for certain areas. This, combined with the inexperience of some PAs, led toinaccurate georeferencing of the data collected, lowering the accuracy of the affected thematicmaps. Given the time constraints and the limited interest of the provincial BAPPEDAs inplanning at a semidetailed scale, thematic maps were produced at a reconnaissance scale of1:250,000, instead of the envisaged 1:50,000, except for the land-use maps (Appendix 2).10

Digital maps and the associated databases were delivered to the BAPPEDAs in 1996 and 1997,but some maps required correction after delivery. An inventory in 2000 showed gaps in thecoverage of the thematic maps, so that additional surveys are needed to improve the accuracyof the maps.

b. Geographic Marine Resource Information System

18. The Project provided for the development of a GMRIS. This includes integrating marineand coastal area databases in each EA, PA, and BAPPEDA, and establishing a nationalelectronic network to allow an interagency exchange of databases. The GMRIS was expected tobe linked to the geographic land resource information system installed under LREP II.

10 Climatic data collected by the National Agency for Meteorology and Geophysics were appropriately mapped at

1:250,000 since climate does not vary over small areas.

6

19. As part of the GMRIS, a standard data exchange format and interface software weredeveloped under the Project to enhance data compatibility and facilitate data transfers betweenagencies. National and provincial electronic data catalogues were compiled and local areanetworks were installed at BAKOSURTANAL and selected BAPPEDAs. Equipment andtechnical support were provided to the provincial data centers (PDCs) of the BAPPEDAs,established under the Project and LREP II, to centralize access to provincial databases at thePDCs. By October 2000, interagency collaboration had resulted in the preliminary operation ofan internet-based national GIS (Sistem Informasi Geografik Nasional) linking national agencies’homepages and data catalogues. Access to data across agencies, however, has remainedseverely constrained by concerns in the EAs and PAs over unauthorized copying anddistribution of data and maps. In the provinces, weak public demand for marine and coastalresources data, due to the absence of procedures for data sales, and still limited utilization ofthe databases in the BAPPEDAs’ routine works have generated little impetus for theBAPPEDAs to centralize access to databases at the PDCs. Similarly, due to the lack ofdemand, data catalogues produced under the Project have not been updated since projectcompletion or integrated with the second LREP catalogues (Appendix 4). These factors haveimpeded the full operationalization of the GMRIS as envisaged at appraisal.

c. Institutional Strengthening

20. BAKOSURTANAL and the PAs under part B received survey, mapping, laboratory andoffice equipment, and vehicles. A total of 416 person-months and 1,358 person-months offormal international and domestic training, respectively, were provided to national and provincialagency staff. The training courses covered remote sensing, mapping, GIS applications,database development and management, fisheries resource management, and integratedcoastal zone planning and management (Appendix 3).

B. Implementation Arrangements

21. Throughout its implementation period, the Project’s institutional framework remained thesame as envisaged at appraisal. The PCB and PS were established within the first month ofloan effectiveness. The PCB was convened to discuss findings of ADB review missions andprovided broad guidance to the EAs and PAs. The PS carried out the routine projectcoordination functions, as intended at appraisal, with the assistance of a project technicalcoordination committee, staffed mostly by BAKOSURTANAL personnel. The nationalcoordination framework was mirrored at the provincial level. A provincial steering committee andprovincial task force were formed in each province to provide strategic guidance and operationalcoordination assistance, respectively. The institutional framework envisaged at project design islargely appropriate for the tasks at hand. However, coordination among the 11 EAs and PAs,which had not previously worked together, was challenging. In retrospect, projectimplementation would have benefited from fewer EAs and PAs, closer coordination andmonitoring by the PCB, and a more independent PS staffed with senior personnel.

C. Project Costs

22. The actual project cost was $48.29 million, compared with the appraisal estimate of$56.0 million (Appendix 5). Expenditures were higher than appraisal estimates for consultingservices, training, and equipment purchase, but below appraisal estimates for equipmentmaintenance, field surveys, mapping, and contingencies for part B. The expenditure on surveyand mapping was only 33 percent of the budgeted amount because of the limited acquisitions ofaerial photographs and satellite images, since BAKOSURTANAL relied on the existing stock ofimages to produce the required base maps. The actual foreign exchange and local currency

7

expenditures for the Project were $22.42 million and $25.87 million equivalent, compared withappraisal estimates of $27.10 and 28.90 million equivalent. The Government financed $23.04million equivalent of the total cost, while ADB provided $25.25 million equivalent, including$4.27 million for interest and commitment charges. The saving from the ADB loan proceeds was$7.75 million.

D. Project Schedule

23. Project implementation commenced on schedule with the signing of the loan agreementin March 1993. The loan became effective in May 1993. The actual implementation of variousactivities vis-à-vis the appraisal schedule is given in Appendix 6. Under part A, PDCestablishment and review of the legal and institutional framework began on schedule in 1993and 1994. Formulation of work programs for the MCMAs, SMAs, and MCAs started about ninemonths behind schedule due to the late engagement of consultants. Some field surveys andmapping activities were initiated earlier than scheduled, and intensified with the engagement ofthe consultants in mid-1994. Most databases and maps were delivered to the BAPPEDAs at theend of 1996, six months behind schedule (paras. 16 and 17). This was followed by substantialdata augmentation and map correction, which lasted until project completion in 1998.Consequently, the preparation of the MCMA plans, environmental monitoring programs, anddata catalogues was deferred to 1997. Activities that required less field data, such as oilspill/water circulation modeling, pollution risk assessment, and MCA planning were completedwith a delay of one year or less.

E. Engagement of Consultants and Procurement of Goods and Services

24. International and domestic consultants were engaged under four separate contractpackages: (i) marine coastal planning and management, (ii) marine and coastal informationsystems, (iii) marine and coastal ecological systems and processes, and (iv) projectmanagement and coordination. No major issues were encountered in engaging the consultants,but they started work 5-13 months behind schedule (Table 2). The delays were caused bylengthy government procedures and extended contract negotiations relating to the introductionof new billing rates by the Government.

Table 2: Fielding of ConsultantsProject Component Scheduled

FieldingActual

FieldingPackage 1 July 1993 July 1994Package 2 October 1994 February 1995Package 3 October 1993 October 1994Package 4 May 1994 May 1994

25. Aerial photographs, satellite pictures, computers, software, survey, office equipment,and motorcycles and other vehicles were procured through international shopping. Small-scalecivil work contracts for PDC construction were awarded through local competitive bidding. Theprocurement actions were generally satisfactory except that the delivery of survey equipmentwas delayed by 11 months at the beginning of the Project, delaying the field surveys. Theselection of training institutions and awarding of training contracts were done satisfactorily.

8

F. Performance of Consultants, Contractors, and Suppliers

26. Against the original provision of 1.148 person-months of consulting services, 1,059person-months were actually provided (Table 3). The consulting teams provided significanttechnical and institutional support to the pioneering attempt of the Government in systematicallyevaluating and managing its marine and coastal resources using advanced technologies.Nonetheless, the performance of the planning specialists engaged under the Project had somecritical shortcomings. The MCMA planning framework was fully developed only about 1.5 yearsafter the arrival of the planning specialists. From 1994 to 1996, the planners did not provideadequate information to the PAs and environmental study centers about the volume and type ofdata required for the zoning and management plan formulation envisaged for the MCMAs. As aresult, in 1997 the socioeconomic and environmental data collected by the environmental studycenters was identified as being inadequate for planning purposes, while the data collectedunder part B only partially met the planning requirements. The planning specialists spent aninordinately long time organizing separate data collections by the BAPPEDAs, instead ofstrengthening cooperation with the PAs and environmental study centers. The MCMA planningprocess took most of the consultants' time, and not enough attention was given to thedevelopment of SMA management principle and procedures.

27. The consultants worked in independent teams and were involved in excessive debatesregarding the forms of outputs sought under the Project. The lack of communication among theconsultants led to difficulties in distinguishing project outputs, primarily between the MCMA andMCA management plans, and in clarifying the functional relationship between the environmentalmonitoring programs and pollution contingency planning, on the one hand, and the MCMA andSMA plan formulation, on the other. The consultants' performance gradually improved withcloser collaboration of the teams. Nonetheless, the problems relating to the consultants'performance contributed to the loss of time and resources, and the shortfall in output andinstitutional strengthening accomplishments at project completion.

Table 3: Consulting Inputs(person-months)

Agency International Domestic TotalAppraisal Actual Appraisal Actual Appraisal Actual

Package 1 (Part A) 175 166 179 182 354 348Package 2 (Part B) 101 61 276 256 377 317Package 3 (Part B) 75 72 126 126 201 198Package 4(ProjectAdministration)

68 48 148 148 216 196

Total 419 347 729 712 1,148 1,059 Source: Staff estimates

28. The performance of the equipment suppliers was partly satisfactory. Equipment deliverywas largely on time. Postinstallation services during and after the warranty period weresatisfactory in Jakarta, but less so in the provinces. Part of the cause was also attributed toinadequate follow-up of these problems by the BAPPEDAs. The relevant agencies undertakingimage processing reported that the quality of aerial photographs and satellite/radar imageryacquired were satisfactory.

9

G. Conditions and Covenants

29. The Borrower complied with most loan covenants (Appendix 7). The covenant onsubmission to ADB of audited financial statements was complied with, albeit with delay. TheBorrower partially complied with the stipulations requiring expeditious collection and assemblyof data required by the BAPPEDAs due to the reasons provided in paras. 16 and 17. TheGovernment was also to introduce appropriate procedures and schedule of fees for thedissemination of data and maps on marine and coastal areas. The covenant aimed to enhanceproject benefits by lowering the information-gathering costs of all parties interested in thecoastal and marine information, and to strengthen the funding for maps and databasesproduction and updating.11 As of October 2000, with the exception of BAKOSURTANAL andthe BAPPEDA of South Sulawesi, the EAs and PAs had not been successful in establishing therequired procedures and fees due to concerns over unauthorized duplication of digital data.Data and map sales are undertaken on still a very limited basis, through case-to-caseconsideration by the agencies involved for each data request.

H. Disbursements

30. The progress of disbursement was slower than expected at appraisal due to the slowimplementation progress, particularly during the initial years of implementation. Totaldisbursements for the Project amounted to $25.25 million, or 76 percent of the $33 million loan.Detailed data on disbursements are provided in the Basic Data sheet and Appendix 8.

I. Environmental and Social Impacts

31. The Project's physical activities were limited to surveys, sample collection, andconstruction of small office buildings. As such, the Project generated negligible direct social andenvironmental impacts. The development of environmental monitoring programs, support of oilspill contingency planning, and the establishment of MCAs represents key institutionalassistance to strengthen environmental management and conservation in the project provinces.The creation of databases on coastal and marine geodynamics, ecology, land use, fisheriesactivities, and coastal socioeconomic characteristics will aid future studies and foster moreinformed policy decision making affecting the marine and coastal areas. As such, the Project willhave a positive social and environmental impacts in the long run.

J. Performance of the Borrower and Executing Agencies

32. The project agencies made earnest efforts to accomplish the targeted project outputs,while at the same time undertaking capacity building activities. PHPA, National LawDevelopment Agency, and the PAs under part B performed satisfactorily in establishing MCAs,facilitating legislation review, and collecting data. However, the time required for survey anddata collection was substantially lengthened by delayed engagement of consultants, release offunds, and equipment procurement by the Borrower, BAPPENAS, and the EAs. Data collectionefficiency could have been improved by enhancing coordination of surveying activities at thePCB and PS. In map production, BAKOSURTANAL was found to be lacking staff and resourcesto transfer the survey data collected onto maps in required quality for 1:250,000 scale planning.Overall, the EAs should have conducted more critical evaluation of the reports, database, maps,and equipment provided by the consultants, PSLs, and contractors. From an administrativestandpoint, project record keeping and submission of audited financial reports could have beenimproved (para. 29).

11 Support for the formulation of the sales policies and procedures was provided under the LREP II.

10

33. The BAPPEDAs, as the end-users of project outputs, played a rather passive role underthe Project. This was partly due to the implementation arrangements that directed nationalagencies to manage budgets, activity programming, consultant recruitment, and procurement,and therefore, failed to generate the sense of involvement among BAPPEDAs in the projectactivities and outputs. The BAPPEDAs, as institutions that have functioned mainly ascoordinating agencies, had difficulties under the Project in absorbing assistance to strengthentheir planning capacities. The agencies’ personnel policy espouses career advancement basedon general skills rather than specific expertise; This undermined efforts to hire and retainqualified planners and GIS technicians. The minimum requirement for provincial BAPPEDAs toplan at 1:250,000 scale also limited the agencies’ interest in the plan formulation at 1:50,000,which is more rigorous and meaningful from a management planning point of view.

34. Cooperation among EAs, PAs, and BAPPEDAs also needed strengthening. In particular,interagency arrangements to ease the fear of unauthorized use of digital databases andfacilitating the transfer of electronic data between agencies. This was the main factor thatimpeded the full functioning of the GMRIS, lowered the quality of maps produced, causedduplication of efforts, increased the costs of map production, and prevented wider disseminationand utilization of data and mapped products. BAPPEDAs needed to strengthen collaborationwith the BAPEDALDAs by providing environmental monitoring manuals produced under theProject to BAPEDALDAs.

K. Performance of the Asian Development Bank

35. The Project is generally well designed and accommodates an ambitious—yetnecessary—effort on the part of Government to improve the standards of marine and coastalarea planning and management. The project implementation experience showed, however, thatthe targeted MCMA and SMA areas are generally too large to be surveyed at 1:50,000 scale,given the capacities of BAKOSURTANAL and the PAs. At the project design stage, moreattention should have been given to (i) examining institutional mandates and capacities of theBAPEDAL and BAPPEDA; (ii) enhancing the involvement and ownership of local governmentsin project activities; and (iii) consolidating and reducing the number of agencies involved in theProject. These aspects are discussed as lessons learned in para. 43.

36. ADB fielded the Loan Inception Mission in November 1993, six months after loaneffectiveness, and five review missions over 5 years and 4 months. Three disbursementmissions were carried out to evaluate the use of loan funds and imprest accounts. In total, 181mission days were spent on project administration. The findings and urgent follow-up actionsprovided by the missions were effective in resolving bottlenecks and expediting projectimplementation. Due to staff constraints, project review missions were not fielded in 1994 and1997. The Project would have benefited from closer monitoring and more frequent reviewmissions. These would have helped resolve the confusion about the project design, identifyactions needed to clarify planning methodologies to be adopted under the Project, andstrengthen interagency cooperation, particularly between 1993 and1996.

III. EVALUATION OF INITIAL PERFORMANCE AND BENEFITS

A. Economic and Financial Performance

37. The Project aimed at improving operational guidelines, facilities, databases, plans, andhuman resource that would have broad economic impacts. However, the economic or financialvalues of these outputs cannot be directly quantified. As such, economic and financial rates ofreturn of the Project were not estimated at appraisal or at project completion. Based on the

11

evaluation of the product price lists, BAKOSURTANAL and BAPPEDA of South Sulawesi fullyrecover the material and labor costs to customize and reproduce mapped products. Theseagencies, however, do not recover investment costs of data collection and map production sincethe extent of recovery allowed on these costs and the revenue sharing arrangements betweenthe agencies involved remain unclear. Other EAs, PAs, and BAPPEDAs have not establishedformal cost recovery mechanisms. Data and map requests have been considered on a case-to-case basis, and charges are levied to partially meet the costs of materials and labor required.

B. Attainment of Benefits

38. At project completion, the capacities of the EAs, PAs, and BAPPEDAs had beenupgraded through the provision of detailed guidelines, extensive classroom and on-the-jobtraining, and equipment and facility improvements. The Project enhanced the GIS capability ofthe BAPPEDAs and selected PAs. The Project enriched the database available for nationalagencies, notably BAKOSURTANAL, National Land Agency, Marine Geological Institute, andResearch and Development Center for Oceanology, to carry out further research and resourceevaluation on the coastal and marine areas. Aside from government agencies, bilateral aidagencies, universities, nongovernment organizations, and the private sector have utilized theproject-generated maps and databases for research, evaluation of investment opportunities,and project preparation. Furthermore, the National Law Development Agency efforts shed lighton urgent initiatives needed by national and local governments to rationalize the laws andregulations governing the coastal zone management.

39. The project goal of strengthening the marine and coastal resource planning capacity hasnot been fully achieved. BAPPEDA staff still need to complete their hands-on training on MCMAhierarchical planning, specifically the formulation of the management and action plans, whichare key to the planning framework. The SMA planning procedures are still to be identified basedon the survey data collected, and the BAPEDALDAs need to adopt and start implementing theenvironmental monitoring programs provided by the Project. Overall, institutionalization of theplanning methodology introduced under the Project is rather limited. The provincial spatial plans(Rencana Tata Ruang Wilayah Propinsi or RTRWP) and district spatial plans (Rencana TataRuang Wilayah Kabupaten or RTRWK) include some resource evaluation and zoning over theland areas. The project outputs, such as the zoning over the marine areas, to a large extent,have not been incorporated into the RTRWP or RTRWK (Appendix 4). This is expected to beaccomplished under the regional autonomy law.

40. As regards establishment of the GMRIS, the databases and maps produced still need tobe rectified and expanded in geographical coverage. Information flow between agencies anddissemination of project data and maps to the public and private sector remained hampered byunresolved issues on copyright protection and interinstitution sharing of sales revenue.

41. Additional capital investments are needed to complete the MCMA planning cycle, refinethe strategic and management plans to better suit the aspirations of local governments andcommunities, and initiate actions/physical works identified in the management/action plans.These steps will improve ownership of the project outputs at the provincial and district levelsand will be supportive of the devolution of the national Government’s fiscal and managementresponsibilities to the local governments, which started in 2001. In this regard, the Coral ReefRehabilitation and Management Project,12 Coastal Resource Management Project, and MCRMPare examples of projects that are aimed at building on and advancing the initiatives startedunder the Project.

12 Loan 1613-INO: Coral Reef Rehabilitation and Management Project, for $7 million, approved on 26 March 1998.

12

IV. CONCLUSIONS AND RECOMMENDATIONS

A. Conclusions

42. The project interventions at project completion were highly relevant to the developmentpriorities of Indonesia as it supported the modernization of resource evaluation and spatialplanning, and were consistent with efforts of Indonesia to devolve planning and developmentmanagement to the local governments. The legislative review under the Project directlysupported the policy reforms for decentralization. Nonetheless, the efficacy and efficiency of theProject’s assistance were considered partly satisfactory due to the implementation delays andcoordination difficulties experienced that led to shortfalls in achieving institutional strengtheningactivities (paras. 39 and 40). Sustainability of the Project’s activities and benefit impacts aredependent on additional investments and follow-on projects necessary to complete the Project’sinitiatives and institutionalize the resulting outputs in the routine activities of the provinces anddistricts. At its completion, the Project is considered to be less than successful. Appendix 9provides the summary assessment of the project performance.

B. Lessons Learned

43. The following are the lessons learned from project experience. These are to be takeninto consideration when preparing and implementing similar projects, and were incorporated inthe designs of the Coral Reef Rehabilitation and Management Project and MCRMP.

(i) Activity coordination among the 11 EAs and PAs proved difficult because of thelarge number of agencies involved and the interdependence of agencies’activities. The Project would have benefited from involvement of fewer agencies,allowing more intensive cooperation among agencies.

(ii) In carrying out field surveys under part B, the PA survey schedules were greatlyinfluenced by the timing of the budget release and the pressure on each agencyto utilize allocated funds within the budget year. This factor constantlyundermined attempts to synchronize survey schedules and locations that arecritical for efficient database building and map making. In light of this experience,budget allocations need to be better coordinated with physical activities under aproject. Alternatively, the end-users of data and maps (e.g., the localgovernments) should be given direct control over funds allocation and activitymonitoring responsibilities so that data collection is performed according to theschedule and requirements of the data users, rather than data providers.

(iii) Local government and community ownership of MCMA, MCA, and SMAmanagement/action plans are critical in ensuring the adoption andimplementation of these plans. In this regard, the formulation of strategic visions,demarcation of priority areas, data collection, and identification of priorityactivities are better undertaken under the leadership of local governments, inconsultation with local stakeholders and the national Government.

(iv) The inadequate guidance provided by consultants in MCMA planning suggestedthat EAs or ADB need to devote resources early in project implementation toengage supervisory technical consultants. These consultants would help theBorrower and ADB evaluate the work and advisory guidance provided by theproject consultants involved in technically complex assignments, such as GIS-based spatial planning.

13

(v) Consultants engaged under different contract packages tended to reflect theperceived views and perspective of the agencies to which they were attached,rather than acting in concert. Employment of all consultants under one contractwould have been more effective.

(vi) In devising training programs, more resources should be provided and closermonitoring should be given to on-the-job training.

C. Recommendations

44. To fully realize the project benefits, the activities carried out under the Project should becontinued. The following are proposed:

1. Project Related

(i) The BAPPEDAs should provide copies of the relevant manuals andprograms produced under the Project to the newly createdBAPPEDALDAs, so the latter can be assisted in performing theirenvironmental monitoring tasks, pollution risk assessment, andformulation of pollution contingency plans.

(ii) The provincial steering committees and provincial task forces establishedunder the Project should be maintained as permanent working groups ortask forces in the project provinces to maintain the institutional memoryand ensure continuity between the initiatives of past, ongoing, and futureprojects in the marine and coastal areas.

(iii) The five project provinces that are not included in the MCRMP shouldseek additional capital investment to complete the formulation of MCMAmanagement/action plans and MCA management plans; This wouldrequire additional data analyses and stakeholder consultations. Inaddition, the environmental monitoring programs should be implementedthrough the capacity building of the BAPEDALDAs. 13

(iv) BAKOSURTANAL should strengthen the GMRIS operations by rectifyingand expanding coverage of the marine and coastal maps. This should beaccompanied by upgrading of the national marine and natural resourcedata catalogue and developing on-line ordering and transmission of digitaldata.14

(v) The EAs, PAs, and BAPPEDAs should continue to review their respectivepolicies on cost recovery for the sales of data and mapped products,specifically to (a) firm up the extent of cost recovery that is appropriate forvarious products and users, and (b) establish transparent management ofthe funds raised to improve the funding of database and equipmentmaintenance, and staff compensation.

13 The MCRMP provides for completing the management and action plans for the MCMAs and refinement of the MCA

management plans.14 Support for these are being provided under the MCRMP.

14

(vi) BAKOSURTANAL needs to provide leadership in an interagency effort toclarify copyright protection and enhance enforcement of the copyrightlaws for georeferenced data. BAKOSURTANAL should also provideleadership in coordinating the agency efforts in data collection, mapping,and interagency sharing of revenues. Enhanced collaboration will lessenthe duplication of work and reduce the incompatibility of outputs producedby different agencies.

(vii) A project performance audit report may be prepared by ADB in 2003 toassess the sustainability of project benefits.

2. General

(i) As the BAPPEDAs will assume more active planning functions under thedecentralized framework, the agency needs to adopt human resourcespolicies that promote retention of qualified technical staff, particularly inthe areas of economic and spatial planning, and GIS systems operation.

(ii) The province and district governments should review and revise the localspatial planning acts with a view to upgrading the standards of theprovince and district spatial plans (RTRWPs and RTRWKs) to include (a)disclosure of detailed data and maps relevant to the formulation of themedium and long-term development plans; (b) in-depth analyses of landand marine area suitability for various potential uses; and (c) moredetailed zoning maps and management/action plans. The more rigorousspatial planning requirements will help institutionalize the tools andmethodologies introduced under the Project, LREP, and LREP II for theroutine activities of the BAPPEDAs.

(iii) The spatial acts should also require the formulation of detailed guidelinesfor carrying out stakeholder consultations as an integral part of the spatialplan formulation, as well as procedures to resolve conflicts between thepresent resource uses and the optimal uses of the land and marine areasas outlined in the zoning maps in the RTRWP and RTRWK.

(iv) Consistent with the decentralization framework, district BAPPEDAs havebecome the focal points for development planning. In this connection,planning capacity at a semidetailed scale needs to be urgentlystrengthened at the district level, to ensure cost effectiveness inundertaking the required data processing and map production. Theseactivities may be carried out on behalf of the district BAPPEDAs by theprovincial BAPPEDAs and line agencies, where capacity buildingassistance has been provided under the Project.

(v) District BAPPEDAs should consider contracting out data collection,database management, and map production, on a competitive basis, tothe private sector, BAKOSURTANAL, or other institutions capable ofefficiently carrying out these tasks.

15

APPENDIXES

Number Title Page Cited on(page, para.)

1 Project Activity Flow Chart 16 2, 4

2 Project Accomplishments 17 2, 6

3 Training Accomplishments 23 4, 14

4 Summary Findings of Provincial Visits 25 6, 19

5 Summary of Project Costs 31 6, 22

6 Implementation Schedule 33 7, 23

7 Compliance with Loan Covenants 34 9, 29

8 Loan Disbursements 38 9, 30

9 Assessment of Project Performance 40 12, 42

BMG

BPN

CRIFI

M GI

PPPO

Base Maps

Databases

A ir Photo

Sate lliteIm ageries

Them atic M aps

Survey Data

ExistingData

BAPEDAL

PHPA

Survey Data

ExistingData

activity

institution

input/output

BAKOSURTANAL

M CMA Planningby BAPPEDAs

SMA Planning andEnvironmenta lM onitoring by

BAPEDAL

M arineConservation Area

P lanning byPHPA/PKA

PROJECT ACTIVITY FLOW CHART

Universities/PSLs

BAKOSURTANAL = National Coordination Agency for Survey and M apping, BAPEDAL = National Agency forEnvironm ental Im pact M anagem ent, BAPPEDA = Regional Developm ent P lanning Agency, BM G = National Agencyfor M eteorology and Geophysics, BPN = National Land Agency, CRIFI = Central Research Institute for F isheries,M G I = M arine G eological Institute, PHPA = D irectorate G eneral of Forest and Nature Conservation (now known asPKA =D irectorate G eneral of Nature Protection and Conservation) , PPPO = Research and Developm ent Center forO ceanology, PSL = Environm ental S tudy Center, SM A = Special M arine Area.

16 Appendix 1

Appendix 2, page 1PROJECT ACCOMPLISHMENTS

(As of October 2000)

17

PlanningComponent

Appraisal Report(As per Appendix 6)

Status Degreeof

CompletionPart A - DGRD,BAPPEDA

1. Strengthening ofMarine andCoastal PlanningandManagement

1.1 Planning for 10marine andcoastalmanagementareas (MCMAs)at 1:250,000scale

Following the hierarchical planning approach forintegrated coastal zone management, the subcomponentachievements are as follows:

(i) A provincewide coastal and marine strategic plan wascompleted for each province. Implementation of theactions identified in the document varies from province toprovince. More public and interagency consultations arerequired to improve the documents

(ii) Zoning plans covering 10 map sheets (scale:1:250,000) were completed. One for each MCMA. Fortysheets are needed to cover the 10 MCMAs.

Management and action plans for the MCMAs have yet tobe completed.

100%

25%

0%

1.2 Semidetailedplanning at1:50,000 for the10 MCMAs

Due to the paucity of data and the late completion of datacollection and mapping, semidetailed planning in theMCMAs could not be carried out. A semidetailed draft planwas completed for a priority area within the Bali and WestNusa Tenggara MCMAs; it could serve as models forother provinces.

10%

1.3. Collection ofsocioeconomicdata andinformation

Surveys were completed by the environmental studycenters (PSLs) as part of MCMA planning. The datacollected, however, are not complete.

50%

1.4 Integration ofmarine andcoastaldatabase anddatabasescreated underLand ResourceEvaluation andPlanning Project(LREP) andLREP II

LREP activities were implemented by the Spatial PlanningUnit while the project activities were implemented by theNatural Resources and Environment Unit. Achievement indatabase integration vary from province to province.

50%

1.5 Provision ofoffice facilities

Facilities were provided as intended at appraisal. In someregional development planning agencies (BAPPEDAs)(e.g., in Irian Jaya and Maluku), the provincial data center(PDC) facilities were constructed some distance (7-8 km)from the main BAPPEDA office.

100%

Appendix 2, page 218

PlanningComponent

Appraisal Report(As per Appendix 6)

Status Degreeof

Completion1. 6 Equipment for

the operations ofPDCs

Equipment was satisfactorily provided for data processing,map production, and office operations.

100%

1.7 Local and inter-national training

The required training was provided overseas and in-country.

100%

Part A – DGRD,BAPEDAL

2. Special MarineArea (SMA)Planning andManagement

2.1 Principles andprocedures forformulation ofmultiusemanagementregimes inSMAs

Activity was not undertaken because (i) the NationalAgency for Environmental Impact Management(BAPEDAL), the agency responsible for this task, was notmandated to manage the SMAs; (ii) data collection forSMAs was completed late in 1997; and (iii) budget andstaff resources of BAPEDAL were inadequate to carry outall of its tasks under the Project.

0%

2.2 Oil spillcontingencymodel for theLombok andMakassar straits

An oil spill contingency model based on a water circulationmodel developed by the Research and DevelopmentCenter for Oceanology (PPPO), was completed. Thesimulation model predicts where oil spills might impactcoastal areas in the straits of Lombok and Makassar.Contingency plans in the event of a spill are still to bedeveloped.

100%

Part A – DGRD,BAPEDAL

3. EnvironmentalMonitoring

3.1 Baselinemonitoring of theMCMAs

Baseline surveys of environmental status were carried outby BAPEDAL.

100%

3.2 Baselinemonitoring of theSMAs

Baseline surveys of environmental status were carried outby BAPEDAL.

100%

3.3 Risk assessmentof naturalresources in theMCMAs andSMAs

Evaluation and inventory of natural resources andeconomic activities were conducted for the straits ofLombok and Makassar. Risk assessment and the possibleeconomic losses due to pollution damage were formulatedfor specific natural resources including mangrove areas,coastal fisheries, coral reefs, and tourism.

100%

3.4 Establishment ofenvironmentalmonitoringprogram foreach MCMA

Guidelines for marine and coastal environmentalmonitoring were formulated for each MCMA. Theguidelines include monitoring methodologies andparameters, and a long-term program of monitoringactivities. The implementation of the programs will requireextensive training of BAPEDALDA staff and the provisionof testing equipment in provincial laboratories.

100%

Appendix 2, page 319

PlanningComponent

Appraisal Report(As per Appendix 6)

Status Degreeof

CompletionPart A – DGRD,PHPA

4. MarineConservation AreaManagement

4.1 Survey anddemarcation ofmarineconservationareas (MCAs)

As a prelude to formal declaration of their status, surveyswere undertaken in the 10 MCMAs to identify potentialMCAs.

100%

4.2 Managementplans preparedfor five MCAsidentified underthe Project

Five MCA management plans were formulated. TheKupang MCA plan serve as examples for the formulationof four other plans. The planning activity involved the localNGOs.

100%

4.3 Formaldeclaration formarineconservationstatus

Four of the five identified MCAs have been gazetted. 80%

4.4 Implementationof managementplan

Plan implementation has been limited to deployment ofpark rangers, installation of monitoring posts, additionalsurveys of resources, and community consultations.Physical investments are constrained by budget limitation.

40%

Part A – DGRD,BPHN

5. Review of Lawsand Regulations

Legislative review ofthe legal andinstitutionalarrangement for themanagement ofmarine and coastalareas

The legislative review lead to the establishment ofseaward limits for management jurisdiction for theprovinces and districts at 22.2 km and 7.4 km, respectively(under Law 22/1999). A decree of the Ministry of HomeAffairs is being drafted to provide the necessary details onthe provincial, district, and municipal jurisdiction andresponsibilities over the marine areas.

100%

1. Part BBAKOSURTANAL

1. Establishment ofmarine and coastalinformation system

1.1 Acquisition andprocessing ofaerialphotography,satellite imageries(includingRadarsat)

Acquisition of aerial photography and satellite imageriesand their processing were satisfactorily carried out.

100%

Appendix 2, page 420

PlanningComponent

Appraisal Report(As per Appendix 6)

Status Degreeof

Completion

No. ofMap

Sheetsat

1:50,000

No. ofMap

Sheetsat

1:250,000

1.2 Preparation ofbasemaps forthe MCMAs

Basemaps were completed forall 10 MCMAs and digitizing wasundertaken in the provinces byteams from BAKOSURTANAL.The numbers of map sheetsproduced are as follows:1. Bangka Strait2. Madura-Kangean3. Eastern Bali4. Western and South Lombok5. Samarinda-Sangkulirang6. Majene-Makassar7. Menado-Karake8. Ambon-Western Seram9. Kupang10. BiakTotal

1517 6

41012271418

9132

771134744

341

100%

1.3 Preparation ofthematic mapsfor the MCMAs

Thematic maps covering a variety of themes werecompleted. The type of coastal and marine resourcesfound dictated thematic coverages (Table A1).

100%

1.4 Updating of thenational marineresource atlas

A map atlas containing MCMA thematic coverages and adata dictionary was produced by BAKOSURTANAL for1:250,000 maps.

100%

1.5 Development of ageographicmarine resourceinformationsystem (GMRIS)

The GMRIS was to be based on active management ofdatabases by institutions involved in the informationnetwork and operations of three types of electronicnetwork: (i) local area network (LAN) within institutions; (ii)wide area network (WAN) between institutions; and (iii)the Internet for institution and public access. Progress hasbeen made in the establishment of LAN and Internet-based network. Limited progress is made in WANestablishment due to the lack of copyright protection. Moreactive management and dissemination of data is neededin the provinces and districts.

50%

1.6 Integration of theGMRIS with ageographic landresourceinformationsystem (GLRIS)

The GMRIS developed under the Project and GLRISdeveloped under the LREP have partially been integratedwithin BAKOSURTANAL. Databases and catalogues ofthe Project and LREP have not been integrated within theBAPPEDAs.

50%

1.7 Establish astandard ex-change format(SEF) and pro-vide interfacesoftware

SEF and interface software was developed to facilitateusers of various software platforms to access differentdatabases developed under the Project.

100%

Appendix 2, page 521

PlanningComponent

Appraisal Report(As per Appendix 6)

Status Degreeof

Completion1. Part BBAKOSURTANAL

2. Marine andCoastal EcologicalSystems andProcess

2.1 Surveys ofMCMAs andSMAs to collectdata useful fortheir planningandmanagement

2.2 Data and mapdisseminationand costrecovery

Survey results were transferred to base maps to developthematic maps useful for GIS-based overlay analyses.

Central Research Institute for Fisheries (CRIFI) ___

biological and ecological assessment of selected fisheriesresources and fishery activities were completed for the 10MCMAs.

CRIFI — biological and ecological surveys and fishery-related economic survey and database creation werecompleted for the one of the two SMAs (i.e., LombokStrait). The Makassar Strait was not assessed due to therelatively large area involved.

PPPO — data collection and processing were carried outfor the evaluation of ecosystems (e.g., mangrove, coral,seagrass) within the MCMAs. No surveys were conductedfor the SMAs.

PPPO — data on sea currents or water circulation werecollected for the Lombok and Makassar strait SMAs.

BPN — Land-use maps were produced at 1:50,000 scale,of the coastal areas in the MCMAs. Only hard copy mapswere released.

MGI — data collection and processing were completed forcoastal geodynamics and morphology, coastalcharacteristics, seabed sediment analysis, and limitedanalysis of mineral resources.

BMG — meteorological and surface wind data werecollected and processed.

Mechanism for data and map dissemination and costrecovery have not been established for most participatingagencies and BAPPEDAs. Only BAKOSURTANAL andBAPPEDA of South Sulawesi have established price listsand a mechanism for sales. Other agencies rely on acase-to-case consideration of data requests, and informalsetting of charges that results in inadequate cost recovery.

100%

50%

77%

100%

100%

100%

100%

20%

Table A1: Base and Thematic Maps Produced for the Marine and Coastal Management Areas

Marine and Coastal Management Area Province

Sou

thS

umat

ra

Eas

t Jav

a

Bal

i

E. N

usa

Ten

ggar

a

Eas

tK

alim

anta

n

Sou

thS

ulaw

esi

Nor

thS

ulaw

esi

Mal

uku

W. N

usa

Ten

ggar

a

Iria

n Ja

ya

Agency/Map Type

A B A B A B A B A B A B A B A B A B A BBAKOSURTANAL01 Base Maps 7 15 7 17 1 6 1 4 3 10 4 12 7 27 4 14 4 18 3 9CRIFI02 Fisheries technology 4 - 4 - 1 - 1 - 2 - 3 - 5 - 1 - 3 - 3 -03 Coastal fish resources 4 - 4 - 1 - 1 - 2 - 3 - 5 - 1 - 3 - 3 -04 Fishing grounds 4 - 4 - 1 - 1 - 2 - 3 - 5 - 1 - 3 - 3 -05 Fisheries infrastructure 4 - 2 - 1 - 1 - 2 - 3 - 5 - 1 - 3 - 1 -06 Postharvest processing 4 - 4 - 1 - 1 - 2 - 3 - 5 - 1 - 3 - 3 -07 Aquaculture technology 3 - 4 - 1 - 1 - 2 - 3 - 5 - 1 - 3 - 3 -PPPO08 Ecosystems-mangrove, coral, seagrass 1 - 2 - 1 - 1 - 2 - 2 - 1 - 1 - 2 0 2 009 Water circulation - - - - - - 1 - 1 - 1 - - - - - 2 - - -10 Area vulnerable to pollution from oil spill - - - - - - - - - - - - - - - - - - - -BPN11 Land use - 12 - 17 - 6 - 4 - 13 - 12 - 17 - 12 - 15 - 8MGI12 Coastal morphology 5 - 4 - 1 - 1 - 5 - 2 - 7 - 2 - 3 - 5 -13 Coastal characteristics 5 - 4 - 1 - 1 - 5 13 2 11 7 25 2 - 3 - 5 -14 Mineral resources 5 - 4 - 1 - 1 - 3 - 2 - 7 - 2 - 3 - 5 -15 Sea bottom sediments 5 - 4 - 1 - 1 - 3 - 2 - 7 - 2 - 3 - 5 -16 Geology 5 - 4 - 1 - 1 - 3 - 2 - 7 - 2 - 3 - 5 -BMG17 Rainfall, wind speed and direction 4 - 4 - 1 - 1 - 3 - 4 - 4 - 4 - 4 - 3 -18 Temperature 4 - 4 - 1 - 1 - 3 - 4 - 4 - 4 - 4 - 3 -BAKOSURTANAL = National Coordination Agency for Survey and Mapping, BMG = National Agency for Meteorology and Geophysics, BPN = National LandAgency, CRIFI = Central Research Institute for Fisheries, MGI = Marine Geological Institute, PPPO = Research and Development Center for Oceanology.A – Sheets at 1:250,000, B – Sheets at 1:50,000.Source: BAKOSURTANAL

22 Appendix 2, page 6

Descr ipt ion

A. Overseas TrainingComputer science 0 0 0 0 0 24 0 0Database management 0 0 0 0 0 42 0 0Remote sensing/GIS 0 60 0 0 0 90 3 12Image processing 0 0 0 0 0 12 0 0Graphics image processing 0 0 0 0 0 12 0 0Electronics 0 0 0 0 0 0 0 0Cataloguing systems 0 0 0 0 0 0 0 0Data library 0 0 0 0 0 8 0 0Nautical cartography 0 0 0 0 0 6 0 0Signal processing 0 0 0 0 0 12 0 0Coastal geodynamics 0 0 0 0 0 12 0 0Fishery sociology and anthropology 0 0 0 0 0 24 0 0Fisheries resource economics 0 0 0 0 0 12 0 0Fisheries resource management 0 0 0 0 0 24 18 54Assessment of coastal resources 0 24 0 0 0 4 0 0Management of coastal marine environment 0 60 0 0 0 8 0 0Circulation modeling 0 0 0 0 0 12 0 0Oilspill contingency planning 0 12 0 0 0 0 0 0Cartography 0 0 0 0 0 0 0 0Study tour 0 6 0 0 0 0 0 0Integrated coastal zone planning and management I 0 0 18 48 0 0 18 54Integrated coastal zone planning and management II 0 0 18 54 0 0 0 0Comparative study ICZPM I 0 0 12 6 0 0 0 0Comparative study ICZPM II 0 0 11 6 0 0 0 0Comparative study strategic plan 0 0 17 4 0 0 10 5Computer technology 0 0 0 0 0 0 18 72Mulitmedia training 0 0 0 0 0 0 14 25Data communication and computer networking 0 0 0 0 0 0 2 5Advance multimedia 0 0 0 0 0 0 6 9Data center management 0 0 0 0 0 0 21 126Integrated database management for thematic maps 0 0 0 0 0 0 4 12Establish and manage earth science information center 0 0 0 0 0 0 3 6English course 0 0 0 0 0 0 18 36

Total (International) 0 162 76 118 0 302 135 416 GIS = geographic information system, ICZPM = integrated coastal zone planning and management.Source: Staff estimates

TraineesTrainees

Part AAppraisal Actual

Part BAppraisal Actual

Person-Months Trainees

No. ofNo. of Person-Months

TRAINING ACCOMPLISHMENTS

Person-Months

No. ofTrainees

Person-Months

No. of

23 Appendix 3, page 1

Appendix 3, page 2

Description

B. Local TrainingComputer operation/technology 0 24 0 0 0 24 100 400Computer programming 0 6 0 0 0 54 0 0Computer operating systems 0 2 0 0 0 14 50 20LAN 0 11 0 0 0 4 0 0Database management 0 52 0 0 0 62 0 0Computer graphics 0 10 0 0 0 12 0 0Remote sensing and GIS 0 198 26 52 0 104 100 300System operation and data manage survey techniques 0 0 0 0 0 0 0 0Ground and sea truth GPS 0 0 0 0 0 36 0 0Cartography 0 60 0 0 0 12 6 36Hydrography 0 0 0 0 0 12 6 12Rural surveys 0 0 0 0 0 4 0 0Marine resource surveys 0 40 0 0 0 0 0 0Marine conservation management 0 20 0 0 0 0 0 0Fish ecology 0 0 0 0 0 12 12 7Electronic equipment 0 0 0 0 0 6 0 0Marine physical planning 0 50 0 0 0 0 0 0Training of trainers 0 5 0 0 0 0 0 0Workshops 0 4 0 0 0 0 0 0Diving 0 8 0 0 0 3 17 17Desktop publishing 0 12 0 0 0 5 16 16English 0 0 0 0 0 87 0 0Integrated coastal zone planning and management I to IX batches 0 0 267 844 0 0 20 100On the job training in GIS-assisted coastal planning and management 0 0 24 576 0 0 150 450

Total (Local) 0 502 317 1,472 0 451 477 1,358 GIS = geographic information system, GPS = global positioning sytem, LAN = local area network.

Part A Part BAppraisal Actual Appraisal Actual

TraineesPerson-Months

TRAINING ACCOMPLISHMENTS (continued)

No. ofTrainees

Person-Months

No. ofNo. ofTrainees

Person-Months Trainees

Person-Months

No. of

24 Appendix 3, page 2

Appendix 4, page 125

SUMMARY FINDINGS OF PROVINCIAL VISITS

A. Nusa Tengara Barat

1. Provincial Data Center

1. A provincial data center (PDC) was established within the Regional DevelopmentPlanning Agency (BAPPEDA) through a Governor’s Decree. Equipment provided under theSecond Land Resource Evaluation and Planning (LREP II) and the Project were integrated inthe center. The local area network (LAN) server provided by the Project are currently connecting30 workstations throughout the BAPPEDA. After project completion, data storage andmanagement systems within the PDC have deteriorated somewhat, primarily due to limitedbudget and the lack of need for the data in the routine functions and planning process of theagency. File directories are based on user names rather than mapping scales and thematiclayers. Similarly, printed maps are stored without a systematic cataloguing system, whichhinders retrieval. The computerized map catalogue developed under the Project was no longerfunctional due to software failures. Work is currently ongoing to develop a more user-friendlyand comprehensive catalogue.

2. Training and Staffing

2. Under the Project, selected provincial and district staff were trained in computertechnology, integrated coastal zone planning and management (ICZPM), and geographicinformation system (GIS). The courses were provided at Gajah Mada University in Yogjakarta,Bogor Agricultural Institute, Agency for Assessment and Application of Technology (BPPT), andNational Coordination Agency for Survey and Mapping (BAKOSURTANAL). Most staff remainedwith their institutions, although some BAPPEDA staff have been transferred to the RegionalAgency for Environmental Impact Management (BAPEDALDA) or seconded to the districtBAPPEDAs.

3. Status and Utilization of Management Plans

3. The Mission was informed that the draft Provincial Marine and Coastal Area StrategicPlan prepared under the Project needs to be refined, through stakeholder consultations, to gainbroader acceptance by other agencies and public in the province. The BAPPEDA confirmed thatit has a draft zoning map prepared under the Project covering one 1:250,000 map sheet.However, with the end of the Project, the envisaged activities to expand zoning map coverageand formulation of marine and coastal management area (MCMA) management and actionplans have not been initiated. The BAPPEDA foresee these activities to resume under the AsianDevelopment Bank (ADB)-funded Marine and Coastal Resource Management Project(MCRMP).

4. A review of the latest draft of the provincial spatial plan (RTRWP) revealed that LREP IIand the Marine Resource Evaluation and Planning Project (MREP) planning approach andoutputs have not been substantially used in the document. The RTRWP particularly lacks thezoning of coastal and marine areas.

4. Marine Conservation Area

5. A management plan was developed for the Tiga Gili Marine Conservation Area (MCA)under the Project. Following the plan, progress was made in construction of monitoring posts

Appendix 4, page 226

and detail surveying of the zones within the MCA. Although the plan was approved by thegovernor in 1998, two alternative zoning plans have since been proposed to better account forcommunity feedback on the present plan. Therefore, more stakeholder and communityconsultations are planned before the key investments are made in the MCA.

5. Environmental Monitoring

6. The guidelines for MCMA environmental monitoring and an oil spill model werecompleted under the Project and provided to the BAPPEDA. Between 1998 and 2000, however,little progress was made on the MCMA environmental monitoring due to budget constraints.Further, the BAPEDALDA—the agency responsible for the task—still lacks qualified staff.Therefore, the province needs to elevate the priority of environmental monitoring andmanagement for these activities to substantially progress.

B. Bali

1. Provincial Data Center

7. A PDC was established under the BAPPEDA’s Statistics and Reporting Unit. The centerhas not fully functioned as intended since it does not have direct access to the project andLREP II data. Project data are only accessible by the Natural Resource and Environment Unit,while LREP II data are kept within the Spatial Planning Unit. The computer server provided in1998 has been used to establish a LAN although progress is being made in its cable installationduring 1999. The computerized map catalogue created under the Project is not used as it is notneeded. The list of mapped products is still fairly short and retrieval of maps and data isperformed only by a few staff who are familiar with the database. Thematic maps includingsurvey results from the participating agencies (PAs) under the Project are available at the PDC.Digital datasets are available and can be found on a reasonably well organized computerizeddata directory structure.

2. Training and Staffing

8. About 80 percent of staff trained under the Project are still with their institutions, althoughmost of the provincial BAPPEDA staff trained by the Project are no longer performing tasks forwhich training was provided. To retain technical mapping expertise, the BAPPEDA retains twocontracted GIS operators who were also trained under the Project. The BAPPEDA reported thatmore computer technology training is needed for the GIS operators since more and newerequipment and software were installed in the PDC after the completion of the training coursesunder the Project.

3. Status and Utilization of Management Plans

9. The MCMA strategic plan and zoning maps (1:250,000) produced under the Project arebeing used in the five-year review of the RTRWP for 1996-2010. The provincial strategic plan isnow used as an example for the formulation of the district strategic plans for marine and coastalareas. All strategic plans and zoning maps need to be improved through consultations with localgovernment and communities affected by the plans.

10. The Project contributed significantly to the formulation of the tourism management planfor selected priority coastal zones. A consultation session is planned for the affected districts torefine these plans. While BAPPEDA felt that consultations should begin when a final planning

Appendix 4, page 327

document was ready, the Mission recommended that the draft plan should be made availablefor review and comment by other local government agencies and communities as early aspossible.

4. Environmental Monitoring

11. The Environmental Study Center (PSL) informed the Mission that the provincepossesses a fairly sophisticated water analysis laboratory at Udayana University in Denpasar.Regular seawater analyses are undertaken to monitor marine and coastal pollution. Regularenvironmental monitoring is also being conducted by cities of Denpasar and KabupatenBadung. It was not clear, however, whether the monitoring activities conform to the guidelinesproduced under the Project. As regards the implementation of the oil spill contingency plan forthe Lombok Strait, the province of Bali, in general, still relies on the national Government andNational Oil Mining Company (PERTAMINA) to perform this function.

C. North Sulawesi

1. Provincial Data Center

12. Map production and data processing within the PDC have substantially declined sincethe completion of the Project and LREP II in 1998 due to budget constraints for consumablesand limited use of the databases and maps. Digital files of the maps are available and wellorganized according to scale, and are in a proper directory structure making data retrievalstraightforward. Printed and digital data catalogue are also available for LREP II and projectoutputs. The catalogues, however, have not been integrated into one comprehensive cataloguesince they are written on different software programs and in different formats. Computers in thefacility are networked, but the PDC does not have direct access to the socioeconomic data ofthe Statistics and Reporting Section. Therefore, it cannot perform as a ‘one-stop shop” for dataand product dissemination by the BAPPEDA

13. The BAPPEDA has not established a procedure for sales of data and maps. Requestsfor these are considered on a case-by-case basis with payment set to partially cover the costsof reproduction. A price list is not available. The lack of copyright protection has so far impededthe sharing of data even among Government agencies.

2. Status and Utilization of Management Plans

14. With the limited budgetary resources, MCMA planning activities started under the Projecthave not progressed. The coverage of zoning map (one sheet at 1:250,000 scale) providedunder the Project has not been expanded, and the envisaged management and action planshave not been prepared. These activities are expected to resume with the implementation of theMCRMP.

15. The Mission’s review of the latest RTRWP showed several weaknesses, which werediscussed with the BAPPEDA. These include (i) a lack of factual information on coastal andmarine resources, which were collected under LREP II and the Project; (ii) no analyses on thecoastal land and marine-area management options; (iii) the RTRWP maps do not showmanagement options or zoning plans on the marine areas; and (iv) the RTRWP is too detailedto read and provides no summary to facilitate review by policymakers and local stakeholders.Further, some key maps used are outdated and do not accurately present current land uses,forest areas, and resource allocation. The document preparation was subcontracted to

Appendix 4, page 428

consultants. The limited involvement of the BAPPEDA staff in the drafting of the spatial plan,combined with a rapid turnover of staff, has constrained the capacity of the BAPPEDA tointegrate the outputs produced by various past and ongoing projects in its planning process.

3. Environmental Monitoring

16. As of October 2000, the BAPEDALDA had not received a copy of the MCMAenvironmental monitoring guidelines produced under the Project. The Mission, therefore,requested that a copy be provided by the BAPPEDA. Currently, there is no BAPEDALDAmonitoring of coastal water quality in the MCMA. Monitoring is undertaken only in the BunakenMCA. Given the present level of staff skills of the BAPEDALDA, additional training is neededbefore the agency can perform the monitoring activities as outlined in the guidelines.

D. South Sulawesi

1. Provincial Data Center

17. One PDC was established by the Project, and another by LREP II. The two centers aremanaged by the Spatial Planning Unit and Natural Resources and Environment Unit of theBAPPEDA. In the meantime, the Coral Reef Rehabilitation and Management Project(COREMAP)1 established the Coral Reef Information and Training Center (CRITC), which alsoacts as a data center. The databases generated by different projects have not been integratednor have the overall management activities for planning. The situation showed that theBAPPEDA still needs to overcome the compartmentalization of project activities in its units.Most equipment in the PDCs is functional, but usage has dropped as newer and technologicallymore advanced equipment has been provided under COREMAP.

18. CRIFI and the provincial fisheries office provided a report on the fishery sector surveysin the MCMA. Similarly, the Marine Geological Institute (MGI) provided a report of its surveys.Maps (in printed and digital formats) provided by the Project were available in the project PDC.According to BAPPEDA, the digital map and data catalogue created under the Project continuesto be updated with new entries. In addition, COREMAP activities have produced a listing of1,059 individual report titles.

19. In support of the information dissemination and cost recovery initiatives, a provincialregulation has been approved authorizing charges for map sales. A price list has beendeveloped, and revenues generated have been deposited to the provincial revenue bureau,where the funds are pooled together with the province’s general revenues. The BAPPEDAreported, however, that the revenues are generally low because of low demand and the ongoingunauthorized reproductions of the maps. BAPPEDA is considering obligating purchasers ofmapped products and data to enter into a memorandum of agreement with the BAPPEDA torestrict the reproduction of these materials.

2. Status and Utilization of Management Plans

20. The provincial strategic plan for marine and coastal area management provided by theProject is currently being revised through wider interagency consultation. No progress has beenmade thus far in expanding the zoning map prepared under the Project or formulating the

1 Loan 1613-INO: Coral Reef Rehabilitation and Management Project, for $7 million, approved on 26 March 1998.

Appendix 4, page 529

marine and coastal area management and action plans following the guidelines provided by theproject consultants. These activities are expected to resume under the MCRMP.

21. The latest RTRWP contains limited factual overview on marine resources and does notadequately reflect the information already collected under the Project and LREP II. Since thezoning map prepared under the Project covers only a limited area (one 1:250,000 scale mapsheet), RTRWP does not contain any zoning of the marine area.

3. Management of Marine Conservation Area

22. Similar to the case in the province of Nusa Tenggara Barat (NTB), the implementation ofthe management plan for the Kapoposang MCA is being delayed by the need for the provincialgovernment to revisit and review the plan. The BAPPEDA reported that the plan was developedin 1998 without adequate consultation with local governments and affected communities. Assuch, the MCA management efforts will be vigorously pursued only after the revision andimprovement of the MCA management plan.

4. Environmental Monitoring

23. Although aware of its responsibilities, the BAPEDALDA of South Sulawesi currently doesnot have enough staff and technical capability to monitor coastal water quality in the province’sMCMA and SMA as prescribed in the environmental monitoring guidelines prepared under theProject. With ongoing decentralization of the BAPEDAL’s responsibilities, the province expectsthat more skilled staff of the BAPEDAL will be transferred to BAPEDALDA in 2001 and 2002.

E. East Kalimantan

1. Provincial Data Center

24. The PDC was established under the Infrastructure and Facilities Section of theBAPPEDA. The center stores all data, software, and maps produced under the Project andLREP II. A LAN, however, has not been established and data kept in other sections ofBAPPEDA cannot be accessed from the center. The BAPPEDA has also formed a cartographyunit with the German Agency for Technical Cooperation (GTZ) assistance. The unit producesmaps manually rather than using a computerized approach. Integration of the three units into anewly created provincial spatial information center (PSIC) is planned; The center will function asan integrated data center, the way the PDC is intended to operate.

25. Printed (hard copy) and digital thematic maps, including survey results from theResearch and Development Center for Oceanlogy (PPPO), Central Research Institute forFisheries (CRIFI), and MGI are available in the PDC. The datasets are stored following a well-organized computerized data directory structure. Since the digital files can be easily located andthe file directory is fairly small, PDC staff do not need to use and update the digital datacatalogue supplied under the Project. Some maps from the LREP II and the Project cannot bejoined because they were drawn on two different base maps.

26. Since databases are stored in different locations, requests by outside parties for mapsand data are being met by the different sections of BAPPEDA. The cartographic unit publishes amap catalogue entitled Cartographic News, which is well presented. Cost recovery for the saleof maps is limited to the costs of materials, labor, or photocopying. No price list for the productsdisseminated is available, and the sales are limited to printed (hard) copies.

Appendix 4, page 630

2. Training and Staffing

27. Almost all of staff trained under the Project are still with their institutions. GIS training atthe provincial BAPPEDA was provided to contracted staff. At present only three such staffremain engaged by the BAPPEDA.

3. Status and Utilization of Management Plans

28. The marine and coastal area strategic plan and MCMA zoning maps produced under theProject are being used in the ongoing review of the RTRWP for 1996-2010. The strategic planprepared in 1998 had been refined through interagency consultations. It was revised andapproved by the governor in September 1999. The most updated RTRWP, however, still hassparse content and strategies for the coastal zones and marine areas; This reflects a lack of aclear mandate for the province to manage the coastal and marine areas.

29. The provincial strategic plan is now used as an example for formulating district strategicplans for marine and coastal areas. All strategic plans and zoning maps produced by theprovince and districts need to be discussed by the agencies and with communities affected bythe plans before they are brought for consideration by the provincial and district houses ofrepresentatives.

4. Environmental Monitoring

30. The BAPEDALDA was unaware of the Marine and Coastal Environment MonitoringGuidelines and the Oil Spill Contingency Study for the Makassar Strait prepared under theProject. However, the BAPPEDA confirmed that it had received the documents and will providethese to the BAPEDALDA. Detailed water quality monitoring is currently carried out inBalikpapan Bay as a part of the Coastal Resource Management Project funded by UnitedStates Agency for International Development.

31 Appendix 5, page 1

A. Strengthening of Marine and CoastalPlanning and Management1. Civil Works 150 450 600 64 539 6032. Equipment and Materials 1,063 126 1,189 1,689 877 2,5663. Consulting Services 2,389 2,800 5,189 3,027 4,365 7,3924. Training 960 711 1,671 1,658 2,012 3,6705. Survey and Mapping (Contract) 174 496 670 262 575 8376. Survey and Mapping (Force Account) 62 248 310 62 37 997. Computer Equipment Maintenance 109 109 218 56 46 1028. Project Operation and Administration 0 3,137 3,137 0 3,844 3,844 - Base Cost 4,907 8,077 12,984 6,818 12,300 19,118 - Physical Contigency 531 732 1,263 0 0 0 - Price Escalation 664 1,169 1,833 0 0 0 - Taxes and Duties 0 1,316 1,316 0 88 88

Subtotal (A) 6,102 11,294 17,396 6,818 12,388 19,206

B. Strengthening of Marine and CoastalInformation System1. Civil Works 12 38 50 9 50 592. Equipment and Materials 3,104 168 3,272 3,593 1,136 4,7293. Consulting Services 1,899 1,613 3,512 2,037 2,354 4,3914. Training 1,430 208 1,638 2,315 1,168 3,4835. Survey and Mapping (Contract) 4,285 4,448 8,733 2,128 1 2,1296. Survey and Mapping (Force Account) 963 2,283 3,246 70 4,665 4,7357. Computer Equipment Maintenance 534 534 1,068 6 2 88. Project Operation and Administration 0 2,889 2,889 0 1,990 1,990 - Base Cost 12,227 12,181 24,408 10,158 11,366 21,524 - Physical Contigency 810 827 1,637 0 0 0 - Price Escalation 1,393 1,442 2,835 0 0 0 - Taxes and Duties 0 1,160 1,160 0 111 111

Subtotal (B) 14,430 15,610 30,040 10,158 11,477 21,635

C. Project Management and Coordination - Base Cost 768 1,332 2,100 1,170 2,007 3,177 - Physical Contigency 115 160 275 0 0 0 - Price Escalation 85 220 305 0 0 0 - Taxes and Duties 0 284 284 0 0 0

Subtotal (C) 968 1,996 2,964 1,170 2,007 3,177

D. Overall (Items A-C) - Base Cost 17,902 21,590 39,492 18,146 25,673 43,819 - Physical Contigency 1,456 1,719 3,175 0 0 0 - Price Escalation 2,142 2,831 4,973 0 0 0 - Taxes and Duties 0 2,760 2,760 0 199 199

Subtotal (D) 21,500 28,900 50,400 18,146 25,872 44,018

E. Interest During Construction 5,600 0 5,600 4,267 0 4,267

Total 27,100 28,900 56,000 22,413 25,872 48,285Source: Staff estimates

CurrencyLocal Total

CostTotalCost

ForeignCurrencyItem

ForeignCurrency

LocalCurrency

SUMMARY OF PROJECT COSTSTable A5.1: Project Costs

($'000)

Appraisal Actual

Total

A. DGRD1. Civil Works 326,583 69,182 75,655 55,993 11,183 0 538,5962. Equipment 313,992 294,383 124,026 98,993 45,517 0 876,9113. Consulting Services 0 660,586 889,839 1,109,795 560,083 67,494 3,287,7974. Overseas Training 0 25,438 53,362 802,858 409,054 0 1,290,7125. Survey and Mapping (contracts and 0 260,807 104,496 70,475 134,245 0 570,023 force account) 06. Computer Equipment Maintenance 0 0 0 17,557 28,583 0 46,1407. Project Operation and Admin. Cost 245,576 886,904 846,029 1,518,134 224,760 122,841 3,844,2448. Taxes 0 1,471 2,472 33,231 51,048 0 88,222

Subtotal (A) 886,151 2,198,771 2,095,879 3,707,036 1,464,473 190,335 10,542,645

B. BAKOSURTANAL1. Civil Works 33,438 0 0 16,693 0 0 50,1312. Equipment 226,209 551,534 308,400 0 48,116 1,860 1,136,1193. Consulting Services 0 466,278 765,388 997,159 0 125,471 2,354,2964. Overseas Training 0 0 0 301,967 0 149,764 451,7315. Survey and Mapping (contracts and 1,006,508 1,657,033 1,102,178 856,367 34,659 8,003 4,664,748 force account) 06. Computer Equipment Maintenance 0 0 0 0 0 708 7087. Project Management and Coordination 430,159 720,867 309,962 208,330 38,747 34,703 1,742,7688. Project Operation and Admin. Cost 427,100 672,846 513,435 323,328 39,029 13,681 1,989,4199. Taxes 23,837 30,747 17,709 26,515 8,302 3,776 110,886

Subtotal (B) 2,147,251 4,099,305 3,017,072 2,730,359 168,853 337,966 12,500,806Total 3,033,402 6,298,076 5,112,951 6,437,395 1,633,326 528,301 23,043,451

BAKOSURTANAL = National Coordination Agency for Survey and Mapping, DGRD = Directorate General of Regional Development.Source: Staff estimates

28-10t00:cum-disb

Table A5.2: Government Expenditures($)

Fiscal YearItem 1993/94 1994/95 1995/96 1996/97 1997/98 1998/99

32 Appendix 5, page 2

33 Appendix 6

A. Strengthening of Marine and Coastal Planning and Management

1. Marine and Coastal Planning - provincial data centers

- management guidelines

- strategic and physical plans

2. Special Marine Areas - management prescriptions

not done - administrative and legal arrangements

not done - oil spill study and contingency models

3. Conservation Area Planning - field survey

- management plans

- implementation management plans

4. Environment Monitoring - development of monitoring methodology and program - development of capability for risk assessment

- pollution risk assessment and contigency planning

5. Legal and Institutional Framework - legal and administrative review

- international treaties

B. Strengthening of Marine and Coastal Information System

1. Base Mapping and Inventory - data acquisition and processing

- preparation of maps

2. Climatic, Geodynamic, Ecosystem, and Coastal Land Databases - image interpretation

- data acquisition and field surveys

- data processing, mapping

3. Coastal Fisheries Resource Assessment - assessment of fisheries and fishing communities

- data collection and processing

4. Marine Resources Information System - establishment of marine data catalogue

- establishment of GMRIS

5. Technology Support - software development

- database and SIF development and installation

C. Institutional Development

1. upgrading of buildings

2. purchase of equipment

3. staff recruitment

4. consulting services

5. training

D. Project Coordination

GMRIS = Geographic Marine Resource Information System, SIF = standard interchange format. - Appraisal - Actual

1997/98 1998/99

IMPLEMENTATION SCHEDULE

1993/94 1994/95 1995/96 1996/97

Appendix 7, page 134

COMPLIANCE WITH LOAN COVENANTS

Loan Covenant Reference Status ofCompliance

Project Coordination at National Level

1. The Borrower will establish, within one monthfrom loan effectivity, a project coordinationboard in the National Development PlanningAgency (BAPPENAS) to be chaired by thedeputy chairman for regional affairs,BAPPENAS.

LA, Schedule 6, para. 2.Due date: 25 June 1993

Complied with.

Project Secretariat

2. The Borrower will establish, within one monthfrom loan effective, a project secretariat inBAPPENAS to be chaired by the bureau chieffor aerospace, science, and technology,BAPPENAS.

LA, Schedule 6, para. 3.Due date: 25 June 1993

Complied with.

Project Coordination at the Provincial Level

3. A provincial steering committee (PSC) will beestablished in each project province withinthree months after the effective date.

LA, Schedule 6, para. 5.Due date: 25 August1993

Complied with.

Project Implementation at the Provincial Level

4. A provincial task force will be established ineach project province within three monthsafter the effective date.

LA, Schedule 6, para. 6.Due date: 25 August1993

Complied with.

Project Staff

5. The Borrower to appoint all staff (includingprofessional, technical, and supporting staff)as required for successful projectimplementation.

LA, Schedule 6, para. 7.Due date: As required.

Complied with.

Training

Overseas Training

6. The Borrower will submit to the AsianDevelopment Bank (ADB) a comprehensiveoverseas staff training program for reviewand approval within nine months after theeffective date, and prior to the assignment ofany staff for overseas training.

LA, Schedule 6, para.8(a).Due date: 25 February1994

Complied with.

7. The Borrower will ensure that contractualarrangements are made for the trainees toserve in the Project for a reasonable periodof time not less than two years uponcompletion of their training.

LA, Schedule 6, para.8(b).Due date: As required.

Complied with.

Appendix 7, page 235

Loan Covenant Reference Status ofCompliance

Local Training

8. The Borrower will formulate and undertake atraining program for concerned staff atsuitable local institutions promptly after theeffective date. The Borrower to ensure thatthe training center established at theNational Coordination Agency for Surveyand Mapping (BAKOSURTANAL) underADB-funded Land Resource Evaluation andPlanning Project will provide a substantialpart of the training courses.

LA, Schedule 6, para. 9.Due date: Promptly aftereffective date of 25 May1993.

Complied with.

Access to Information

9. The Borrower will ensure expeditiouscollection and assembly of data required bythe regional development planning agencies(BAPPEDAs) to improve their coastal andmarine physical planning process. TheBorrower will ensure that the data stored inboth the national and provincial marineresource data centers are made available foruse by any interested data user.

LA, Schedule 6,Para. 10.Due date: As required.

Partially compliedwith. Data werenot made availableto the BAPPEDAsin a timely manner.Formal proceduresfor data access bythe public are notyet established inmost agencies.

10. Within one year after the establishment ofprovincial data centers (PDCs), theBorrower will implement a schedule of feesand charges for the use of data by all users.The fees and charges will be fixed to fullyrecover, at the minimum, labor cost,maintenance and depreciation cost ofequipment, and the cost of materialsincurred in the provision of services.

LA, Schedule 6,Para. 11.Due date: one year afterestablishing the MarineResources Data Center

Partly compliedwith. OnlyBAKOSURTANALand oneBAPPEDA has aschedule of fees.Agencies do notrecovermaintenance anddepreciation costsof equipment.

Regional Forestry Services

11. The Borrower will ensure that, within threeyears after the effective date, each of theregional forestry services responsible formarine conservation areas will designate anexisting section or establish a section toimplement the marine conservation areamanagement plans.

LA, Schedule 6,Para. 12.Due date: 25 May 1996

Complied with.Regional forestryservices isresponsible for themanagement ofconservationareas.

Appendix 7, page 336

Loan Covenant Reference Status ofCompliance

Marine Legislation

12. The Borrower will give its best efforts tointroduce legislation within the projectimplementation period to define thejurisdiction of national, provincial, anddistrict authorities over marine areas.

LA, Schedule 6,Para. 13.Due date: As required.

Complied with.A draft law onmarine areajurisdiction wasprepared by theNational LawDevelopmentAgency.

Operation and Maintenance

13. The Borrower will appoint in a timelymanner, all additional staff (includingprofessional, technical, and supporting staff)required for the operation and maintenanceof project facilities.

LA, Schedule 6,Para. 14.Due date: As required.

Partly compliedwith. Staff andoperators werereduced in theBAPPEDAs afterprojectcompletion.

Project Monitoring and Evaluation

14. Within one year after the effective date, theproject secretariat will, in consultation withADB, establish an appropriate system tomonitor and evaluate (i) the performance ofagencies involved in the Project, and (ii) thebenefits achieved from the Project.

LA, Schedule 6,Para. 15(a).Due date: 25 May 1994

Complied with.

15. The project secretariat will prepare projectmonitoring and evaluation reports on anannual basis and transmit them to ADB.

LA, Schedule 6,para. 15(b).Due date: Annually-1June

Complied with.

16. Upon completion of the Project, evaluationof the project impacts will be carried out inaccordance with a schedule and terms ofreference to be mutually agreed upon by theBorrower and ADB.

LA, Schedule 6,para. 15(c).Due date: Completion ofProject CompletionReview within threemonths of loan closing.

Complied with .Submitted on 28September 1998.

Reports

17. The Borrower will (i) maintain separateaccounts for the Project; (ii) have theaccounts and related financial statementsaudited annually, by auditors acceptable toADB; (iii) provide ADB with certified copiesof the audited financial statements and thereport of the auditor in English not later thannine months after the end of each fiscalyear; and (iv) provide other informationconcerning the financial statements andaudit requested by ADB.

LA, Article IV, Section4.06(b).Due date: 31 Decemberfor previous fiscal year.

Complied withdelay.All auditedfinancialstatements weresubmitted beyondthe due date.

Appendix 7, page 437

Loan Covenant Reference Status ofCompliance

18. The Borrower will furnish informationrequested by ADB on (i) the loan, and theuse of loan proceeds; (ii) the goods andservices and other expenditures financed bythe loan proceeds; (iii) the Project; and (iv)the administration, operations, and financialcondition of the Directorate General ofRegional Development andBAKOSURTANAL and other agenciesresponsible for carrying out the projectoperation.

LA, Article IV, Section4.07(a).Due date: As required.

Complied with.

19. The Borrower will provide ADB withquarterly progress reports on projectimplementation.

Article IV, Section4.07(b).Due date: Everyquarter.

Complied with.

Original FinalAllocation Allocation 1993/94 1994/95 1995/96 1996/97 1997/98 1998/99 Total

A. Foreign Exchange Costs

1. DGRD a. Civil Works 150,000 64,568 0 33,887 29,085 1,434 0 0 64,406 b. Equipment 1,063,000 1,801,026 56,892 180,035 684,638 147,835 134,699 485,000 1,689,099 c. Consulting Services 2,389,000 2,964,650 90,851 677,393 1,031,090 642,931 327,024 258,080 3,027,369 d. Overseas Training 960,000 1,791,674 52,407 0 0 670,472 533,981 401,317 1,658,177 e. Survey and Mapping (contracts) 174,000 216,053 38,612 2,077 61,818 125,040 6,896 27,569 262,012 f. Survey and Mapping (force account) 62,000 32,365 37,205 0 0 0 24,464 0 61,669 g. Computer Equipment Maintenance 109,000 53,636 18,421 0 2,778 4,197 30,646 0 56,042 h. Unallocated 1,195,000

Subtotal (1) 6,102,000 6,923,972 294,388 893,392 1,809,409 1,591,909 1,057,710 1,171,966 6,818,774

2. BAKOSURTANAL a. Civil Works 12,000 9,146 0 9,146 0 0 0 0 9,146 b. Equipment 3,104,000 3,594,990 31,511 425,031 597,658 613,282 688,569 1,236,787 3,592,838 c. Consulting Services 1,899,000 2,058,736 0 182,968 613,471 501,359 410,519 328,918 2,037,235 d. Overseas Training 1,430,000 2,305,332 168,154 0 0 549,659 961,890 635,006 2,314,709 e. Satellite Imagery - 2,104,893 154,313 493,035 631,874 406,379 151,193 258,500 2,095,294 f. Aerial Photography - 0 0 0 0 0 0 0 0 g. Survey and Mapping (contracts) 4,285,000 22,827 29,437 0 0 0 2,854 0 32,291 h. Survey and Mapping (force account) 963,000 57,145 70,502 0 0 0 0 0 70,502 i. Computer Equipment Maintenance 534,000 53,348 4,374 0 0 0 1,533 0 5,907 j. Project Management and Coordination 768,000 1,161,649 18,608 367,931 119,970 224,283 221,511 217,474 1,169,777 k. Unallocated 2,403,000

Subtotal (2) 15,398,000 11,368,066 476,899 1,478,111 1,962,973 2,294,962 2,438,069 2,676,685 11,327,699Subtotal (A) 21,500,000 18,292,038 771,287 2,371,503 3,772,382 3,886,871 3,495,779 3,848,651 18,146,473

BAKOSURTANAL = National Coordination Agency for Survey and Mapping, DGRD = Directorate General of Regional Development.Source: Staff estimates

2000:cum-disb

Fiscal Year

LOAN DISBURSEMENTS($)

Item 38 A

ppendix 8, page 1

Original FinalAlloction Allocation 1993/94 1994/95 1995/96 1996/97 1997/98 1998/99 Total

B. Local Currency Costs

1. DGRD a. Consulting Services 1,340,000 1,161,872 0 0 509,615 299,045 268,321 0 1,076,981 b. Training 812,000 725,171 0 2,991 193,829 235,186 289,728 0 721,734 c. Survey and Mapping (contracts) 240,000 14,881 0 0 0 0 9,401 0 9,401 d. Survey and Mapping (force account) 110,000 75,485 0 0 0 0 36,696 0 36,696 e. Computer Equipment Maintenance 121,000 44,360 0 0 0 0 0 0

Subtotal (1) 2,623,000 2,021,769 0 2,991 703,444 534,231 604,146 0 1,844,812

2. BAKOSURTANAL a. Training 247,000 732,016 0 0 430,675 285,508 0 0 716,183 b. Aerial Photography - 0 0 0 0 0 0 0 0 c. Survey and Mapping (contracts) 1,402,000 101,026 0 0 0 0 1,331 0 1,331 d. Survey and Mapping (force account) 554,000 320,000 0 0 0 0 0 0 0 e. Computer Equipment Maintenance 574,000 154,000 0 0 0 0 1,533 0 1,533 f. Project Management and Coordination 500,000 293,418 49,850 131,308 80,748 2,624 0 264,530

Subtotal (2) 3,277,000 1,600,460 0 49,850 561,983 366,256 5,488 0 983,577Subtotal (B) 5,900,000 3,622,229 0 52,841 1,265,427 900,487 609,634 0 2,828,389

C. Interest and Commitment Charges 5,600,000 4,266,537 28,975 166,714 432,612 852,251 1,206,719 1,579,266 4,266,537

Total 33,000,000 26,180,804 800,262 2,591,058 5,470,421 5,639,609 5,312,132 5,427,917 25,241,397

Fiscal YearItem

LOAN DISBURSEMENTS($) (continued)

39 Appendix 8, page 2

Appendix 9, page 140

ASSESSMENT OF PROJECT PERFORMANCE

Criterion Assessment Remarks on Assessment Wei ght(%)

Rating

Relevance

Efficacy

Efficiency

Sustainability

HighlyRelevant

LessEfficacious

LessEfficient

Less Likely

The project interventions are highly relevant to thepriorities of Indonesia. The Project supported themodernization of provincial and district resourceevaluation and development planning process;This is consistent with ongoing efforts todecentralize planning and developmentmanagement responsibilities to local governments.

The Project successfully assisted the creation ofthe marine conservation areas (MCAs), enricheddatabases, and provided staff training andequipment. However, more investments areneeded to fully achieve the Project's keyinstitutional strengthening goals. These include (i)providing a working-level understanding on the partof provincial governments of the marine andcoastal management area (MCMA) and specialmarine area (SMA) physical planning process; (ii)awareness and adoption of the Project’senvironmental monitoring programs; and (iii)operationalization of the Geographic MarineResource Information System (GRMIS), whichfacilitates data exchange among all partiesinvolved in marine and coastal area management.

Project implementation progress was substantiallyhindered by less than satisfactory technicalguidance by the spatial planning consultants,inadequate interagency coordination in fieldsurveys, and delay in equipment procurement andconsultant recruitment. These impediments werepartly alleviated toward the end of projectimplementation.

Without adoption of the improved planning andenvironmental monitoring practices and enhanceddata exchange under the GRMIS concept, theProject’s benefit impacts are limited and thesustainability of the project facilities, equipment,and training programs will be undermined.Additional investments in the project provinces willcomplete the works initiated under the Project topromote sustained usage of project facilities and,thus, sustained benefit impacts.

20

25

20

20

3

1

1

1

41Appendix 9, page 2

Criterion Assessment Remarks on Assessment Wei ght(%)

Rating

InstitutionalDevelopmentand OtherImpacts

Moderate The Project enhanced the accountability andtransparency of the local governments in selectedprovinces through a participatory consultationprocess in improving the provincial marine andcoastal strategic plans and MCA managementplans. With the eventual use of the databasescreated and adoption of a more systematic coastalzone planning process, the Government will beable to undertake more-informed policy formulationon a wide range of issues.

15 2

OverallRating

Less thanSuccessful

100 1.55

Assessment Ratings:Relevance: 3 = highly relevant; 2 = relevant; 1 = partly relevant; 0 = irrelevantEfficacy: 3 = highly efficacious; 2 = efficacious; 1 = less efficacious; 0 = inefficacious.Efficiency: 3 = highly efficient; 2 = efficient; 1 = less efficient; 0 = inefficient.Sustainability: 3 = most likely; 2 = likely; 1 = less likely; 0 = unlikely.Institutional Development and Other Impacts: 3 = substantial; 2 = moderate; 1= little; 0 = negligible