Document of The World Bank

FOR OFFICIAL USE ONLY

Report No. 42835-CI

EMERGENCY PROJECT PAPER

FOR A

PROPOSED GRANT

IN THE AMOUNT OF

SDR57.10 MILLION (US$94 MILLION EQUIVALENT)

TO THE

REPUBLIC OF COTE D’IVOIRE

FOR AN

EMERGENCY URBAN INFRASTRUCTURE PROJECT

May 29,2008

Africa Urban Development Sector Country Department AFCF2 Africa Regional Office

This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization.

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CURRENCY EQUIVALENTS (Exchange Rate Effective March 3 1,2008)

AfDB AIDS

AGEROUTE

AGETU ANASUR

BCEAO

BNEDT

CAS CDD

CFAA CIE

CNDDR CNSI

CPAR

CSA CQ

DAD

DAF D C

DDM

DDR

DHH DLCT DMP DPE EA

EERC EPCA ESIA

Currency Unit = CFA Francs BCEAO 1US$ = CFAF415 1 US$ = SDR0.60730

FISCAL YEAR January 1 - December 31

ABBREVIATIONS AND ACRONYMS

African Development Bank Acquired Immunodeficiency Syndrome Roads Management and Maintenance Agency (Agence de Gestion et d'Entretien des Routes) Urban Transport Management Agency National Urban Sanitation Agency (Agence Nationale de la Salubrite' Urbaine) Central Bank of West-African States (Banque Centrale des Etats de 1 'Afrique de 1'Ouest) National Office for Development and Technical Studies (Bureau National d'Etudes Techniques et de Developpement) Country Assistance Strategy Community-Driven Development Country Financial Accountability Assessment National Power Company (Compagnie Ivoirienne d 'Electricite') National Commission for DDR (Commission Nationale DDR) National Commission to Monitor Identification (Commission Nationale de supervision de 1 'identification) Country Procurement Assessment Report (Rapport Analytique sur la Situation des Marche's duns un Pays) Country Social Assessment (Evaluation Sociale d 'un Pays) Consultant's Qualifications (Qualifications du Consultant) Department of Sanitation and Drainage (Direction de 1 'Assainissement et du Drainage Administrative and Financial Department Direct Contracting (Passation de Marche'par Entente Directe sans Appel d: la Concurrence) Disarmament, Demobilization and Reintegration (De'samement, De'mobilisation et Re'inte'gration) Disarmament and Dismantlement of Militias (De'samement et De'mantdement des Milices) Department o f Human Hydraulics (Direction de 1 'Hydraulique Humaine Logistics and Technical Coordination Department Procurement Department (Direction des Marche's Publics) Projects and Studies Department Environmental Assessment (Evaluation Environnementale) Emergency Economic Recovery Credit Emergency Post-conflict Assistance Environmental and Social Impact Assessment (Evaluation de 1 'Impact Environmental et Social)

EC EU

FMA FMR FNA

FSPSW

GDP GTZ

HIPC HIV

IAPSO

ICB IC

IDA

IMF I N S ISN IU

LCS LICUS LIPW

MACOM MAP

MCUH

MIE

MIS NCB NGO

N S OSER

ON1 ONUCI

PACOM PCAP

PCF PEMFAR

PER PIM

PNDDR/RC

PRGF

PRSP

PSPSU

QCBS

FOR OFFICIAL USE ONLY

European Commission (Commission Europe'enne) European Union Fiduciary Management Agency (Agence de Gestion Fiduciaire) Financial Monitoring Report (Rapport d'Evaluation FinanciEre) National Investment Fund for Sanitation (Fonds National de 1 'Assainissement) Urban Sanitation Support Fund (Fonds de Soutien aux Programmes de Salubrite' Urbaine) Gross Domestic Product (Produit Inte'rieur Brut) German Technical Cooperation Agency (Gesellschaftfuer Technische Zusammenarbeit) Heavily-Indebted Poor Countries (Pays Pauvres trEs Endette's) Human Immunodeficiency Virus (Virus Immunode'ficitaire Humain) Inter-Agency Procurement Services Office (Bureau des Services d 'Achats Interorganisations) International Competitive Bidding (Appel d 'Offres Ouvert International) Individual Consultant (Consultant Individuel) International Development Association (Association Internationale de De'veloppement) International Monetary Fund (Fonds Monitaire International) National Institute of Statistics (Institut National de la Statistique) Interim Strategy Note (Note de Strate'gie Intirimaire) Identification Unit (Cellule Identification) Least-cost selection Low-Income Country Under Stress (Pays a Faiblse Revenus en Difficulte') Labor-Intensive Public Works (Travaux a Haute Intensite' de Main d 'Oeuvre) Mission d' Appui i la Conduite d'OpCrations Municipales Municipal Adjustment Program Ministry of Construction, Urban Planning and Housing (Ministere de la Construction, de 1'Urbanisme et de 1'Habitat) Ministry of Economic Infrastructure (Ministere des Infrastructures Economiques) Management Information System (SystPme de Gestion de 1 'Information) National Competitive Bidding (Appel d'Offres National) Non-Governmental Organization (Organisation Non-Gouvemementale) National Shopping Road Safety Office National Identification Office (Office National d 'Identification) United Nations Mission in CBte d'Ivoire Projet d' Appui B l a Conduite d'OpCrations Municipales Post-conflict Assistance Project Post-Conflict Fund Public Expenditures Management and Financial Accountability Review Public Expenditure Review (Revue des De'penses Publiques) Project Implementation Manual (Manuel d'Exe'cution du Projet) National DDR and RC Program (Programme National de De'sarmement, Dimobilisation et Re'integration et Rihabilitation Communautaire) Poverty Reduction and Growth Facility (Facilite'pour la Lutte contre la Pauvrete' et pour la Croissance) Poverty Reduction Strategy Paper (Document de Stratigie pour la Riduction de la Pauvrete') Urban Sanitation Support Fund (Fonds de Soutien aux Programmes de Salubriti Urbaine) Quality- and Cost-Based Selection (Se'lection Base'e sur la Qualite' et le

This document has a restricted distribution and may be used by recipients only in the performance o f their off icial duties. I t s contents may not be otherwise disclosed without Wor ld Bank authorization.

RC RE

SIGFIP

SITAF

SODECI

SOE SOTRA TEOM

UNDP

UNFPA

UNICEF UVICOCI

WGI

Cotit) Community Rehabilitation (Re'habilitation Communautaire) Economic Reintegration (Re'integration Economique) Integrated Fiscal Management System (Systtme Inte'gre' de Gestion des Finances Publiques) Private Solid-Waste Operator (Socie'te' Industrielle des Transports Automobiles Africains) CBte d'Ivoire Water Distribution Company (Socie'te' de Distribution d 'Eau de la Cdte d 'Ivoire) Statement of Expenditures (Releve' des De'penses) Abidjan Public Transport Agency (Socie'te' des Transports Abidjanais) Tax for Household-Refuse Removal (Taxe d 'Enltvement des Ordures Me'nagtres) United Nations Development Program (Programme des Nations- Unies pour le De'veloppement) United Nations Population Fund (Fonds National des Nations- Unies pour les Activite's en Matitre de De'veloppement) United Nations Children's Fund (Fonds des Nations-Unies pour 1 'Enfance) Union of Towns and Municipalities of C6te d'Ivoire (Union des Villes et Communes de C8te d ' Ivoire) Working Group on Identification (Groupe de Travail sur 1 'Identification)

Vice President: Obiageli K. Ezekwesili Acting Country Director: Antonella Bassani

Sector Manager: Eustache Ouayoro Task Team Leader: Catherine Farvacaue-Vitkovic

iii

COTE D’IVOIRE EMERGENCYURBANINFRASTRUCTUREPROJECT

Table of Contents

A . Introduction ............................................................................................................. 1

B . Bank Emergency Project ................................................................................................. 1

C . Bank Response: The Project .................................................................................... 3

D . Appraisal o f Project Activities ................................................................................. 7

E . Implementation Arrangements and Financing Plan ............................................... -11

Emergency Challenge: Country Context. Recovery Strategy. and Rationale for Proposed

F . Risks and Mitigation Measures ............................................................................. -14

G . Terms and Conditions for Project Financing .......................................................... 17

Annex 1 . Detailed Description o f Project Components ................................................. 19

Annex 2 . Results Framework and Monitoring ............................................................... 55

Annex 3 . Summary of Estimated Project Costs ............................................................. 59

Annex 4 . Financial Management and Disbursement Arrangements .............................. -61

Annex 5 . Procurement Arrangements ........................................................................... 71

Annex 6 . Implementation and Monitoring Arrangements .............................................. 86

Annex 7 . Project Preparation and Appraisal Team Members ........................................ 89

Annex 8: Environmental and Social Screening Assessment Framework (ESSAF) ........ -91

Annex 9: CBte d’Ivoire at a glance ................................................................................. 94

Annex 10: CAS Annexes on C6te d’Ivoire Country Program ........................................ 97

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EMERGENCY OPERATION PROJECT PAPER DATA SHEET Republic of CBte d’lvoire

Emergency Urban Infrastructure Project Africa Region

Project ID: P110020 Expected effectiveness date: September 15, 2008

Date: May 29,2008 Country: Republic o f C8te d’Ivoire Project Name: Emergency Urban

Infrastructure Project

Total Amount: US$94 mil l ion equivalent Expectedhevised closing date: September 15,2012

Short Description: The project wi l l include five main components as follows:

Component I: Urban Water Supply - US$28 Million equivalent. Increase access to water services and improve the availability and quality of water services through: (i) provision o f subsidized service connections and standposts to selected urban areas in Abidjan and BouakC; including informal neighborhoods, together with connections o f schools and health centers (ii) expansion o f water production capacity in Abidjan; (iii) reinforcement and expansion of water distribution networks in Abidjan and Bouakk.

Component 11: Sanitation (Sewerage) - US$15.2 Million equivalent. Increase access to the sewer network and limit the discharge o f raw wastewater in the Abidjan lagoon and improve the functioning o f sewerage services, through: (i) rehabilitation o f main pumping stations and treatment plant feeding the ocean outfall; (ii) rehabilitation o f neighborhood pumping stations; and (iii) connecting secondary sewers to the main interceptor.

Component 111: Solid Waste Management - US$12 Mill ion equivalent. Increase collection, removal, and disposal o f household solid waste in the city o f Abidjan to contribute to the protection o f public health and the environment. To th is end, activities

V

under this component w i l l aim to: (i) eliminate the main unregulated dump sites in the city; (ii) support the establishment o f an efficient system o f solid waste pre-collection, collection, transfer, and disposal, relying primarily on the local private sector; (iii) improve the routing o f waste transfer vehicles through the rehabilitation o f the Williamsville transfer station; (iv) implement an outreach campaign on hygienehanitation, including an HIV/AIDS component; and (v) improve l iving conditions for those l iving close to the AkouCdo landfill site.

Source Local Recipient Total IDA 48.30 Trust funds Others Total 48.30

Component IV: Urban Road Rehabilitation - US$% Million equivalent. Increase urban mobility and restore access to transportation services by improving road networks To t h i s end, activities under this component w i l l aim to: (i) restore, in underprivileged neighborhoods, public transportation services that had ceased due to poor road conditions; (ii) improve traffic f low in all seasons through measures to address congestion and runoff management at critical locations; (iii) connect secondary streets to the main network to ease access to new neighborhoods that generate significant traffic; and (iv) refurbish horizontal and vertical signage to improve road safety.

Foreign Total

45.70 94

45.70 94

Total IDA Trust funds

2009 2010 2011 2012 14.00 36.00 29.00 15.00

Have these been approved by Bank management? Are any critical risks rated “substantial” or “high”?

Grant effectiveness: - A condition o f effectiveness has been included prior to negotiations and involves

the completion o f the ESMF and RPF

Yes [I No [I Yes [XI No [I

v i

What safeguard policies are triggered, if any? OP4.01 OP4.12

A. Introduction

1. This Project Paper seeks the approval o f the Executive Directors to provide a grant in an amount o f SDR57.10 mil l ion (US$94 mil l ion equivalent) to CGte d’Ivoire for an Emergency Urban Infrastructure Project.

2. The project aims to address consequences o f conflict and support current recovery process through emergency delivery o f basic services and infrastructure to the urban population. The proposed grant would help finance the costs associated with the following activities: (i) urban water supply; (ii) urban sanitation (sewerage); (iii) solid waste management; (iv) urban roads rehabilitation; and (v) municipal contracts. The proposed support w i l l address the urgent and immediate needs o f the country by increasing accessibility and upgrading the quality o f urban infrastructure and services in the country’s two largest cities, Abidjan and BouakC. The project i s also intended, at the same time, to carry out urban and financial audits o f 10 cities in the country in order to jumpstart management improvement and needs assessment in these cities. The anticipated results w i l l support the Government’s efforts to show visible and tangible improvement in the lives o f citizens, with a view to lasting social and political stability in the country.

3. Partnership arrangements: There i s no formal co-financing for the project. However, many activities covered under the project w i l l complement actions funded by other donors such as the European Commission.

B. Emergency Challenge: Country Context, Recovery Strategy, and Rationale for Proposed Bank Emergency Project

Country Context:

4. One o f the largest economies in the West African sub-region, CBte d’Ivoire was for many years a beacon o f high economic per capita growth, dynamism and political stability. However, since the late 1990’s’ CBte d’Ivoire’s political turmoil has brought the country to a political-military crisis. President Houphouet-Boigny’s death in 1993 was the tipping point after which a series o f periodic constitutional and economic crises undermined the Ivorian model. The country has faced a whole range of socio-economic issues around c iv i l and economic rights, land-ownership and national governance, and access to power which have fragilized i ts economic model. These underlying fissures resulted in the coup o f December 1999 and then a brief period o f open hostilities between September 2002 and January 2003, triggered by a rebellion led by the Forces Nouvelles (FN).

5. The conflict in September 2002 interrupted the implementation o f the previous Interim-Country Assistance Strategy (CAS) but the Bank stayed engaged in CBte d’Ivoire during the past three years through Post-Conflict Fund (PCF) and L o w Income Country Under Stress (LICUS) grants.

6. A breakthrough was achieved with the signing o f the latest peace accord o f Ouagadougou (March 4, 2007). While the signing o f the first Peace Agreement (Linas- Marcoussis) in January 2003 ushered in the ‘neither-war-nor-peace’ stalemate o f the last four

1

years, the Ouagadougou peace accord resulted from direct dialogue between the two main protagonists, President Laurent Gbagbo, and the leader o f the rebel forces, Guillaume Soro. I t led to the formation o f another transitional government with a first time power-sharing arrangement between President Gbagbo and Guillaume Soro as Prime Minister.

Recovery Strategy

7. Following progress on the peace process after Ouagadougou, the Bank started to support CBte d’Ivoire with an emergency Post Conflict Assistance Project (PCAP) o f US$120 mil l ion in August 2007. Full re-engagement i s now underway with a new Interim Strategy Note (ISN) prepared for FYO8-09 and presented to the Board on April 1, 2008. The ISN revolves around three pillars: (i) support stabilization and peace-building; (ii) assist war- affected populations through provision o f basic services; and (iii) further economic recovery and governance reform.

8. The planned Bank program i s expected to provide US$428 mil l ion to CBte d’Ivoire in FY08, comprising: (i) an Economic Governance and Recovery Grant (EGRG, US$308 million); (ii) an Emergency Urban Infrastructure Project o f US$94 million; (iii) an HIV/AIDS project o f US$20 million, and (iv) a Governance and Institutions Technical Assistance (TA) grant o f US$13 million. In addition, the existing portfolio o f US$104 mil l ion in education, rural development and transport, which was suspended, w i l l be reactivated in 2008. In light o f the s t i l l fragile post-conflict situation, all new projects would be processed pursuant to OP 8.0 Rapid Response to Crises and Emergencies. The FYO9 indicative IDA post-conflict allocation i s expected to be around US$lOO mil l ion and would continue to support key governance reforms and emergency infrastructure needs.

Rationale for Proposed Bank Emergency Project

9. The proposed Emergency Urban Infrastructure Project (US$94 million) would constitute a key pillar o f the reengagement strategy. The financing i s urgently required due to: (a) lack o f maintenance and new investments which have considerably hampered the delivery o f basic municipal services; and (b) dramatic increase in urbanization, largely compounded by crisis-led population displacement contributing to increased pressure on existing infrastructure and services.

10. CBte d’Ivoire i s one o f the most rapidly urbanizing countries in Africa (46 percent or more o f its population), with one third of i ts urban population l iving in Abidjan. The project addresses the large scale needs o f Abidjan while at the same time improving the conditions in other cities across the country. The North-South split i s s t i l l palpable and the inclusion o f Bouake i s important from both a peace-building point o f view as well as relieving the increasing socio-political pressures on the capital o f the north. In addition, the introduction o f municipal contracts in 10 urban centers w i l l mitigate the risk o f over-centralization of resources on the largest cities and help build up capacities across the urban fabric o f the country.

2

C. Bank Response: T h e Project

Project development objectives

11. The Project Development Objective (PDO) i s to increase access to and improve the quality o f urban infrastructure and services in the country’s two largest cities, Abidjan and BouakC. The achievement o f t h i s objective would support GoCI’s efforts to demonstrate concrete improvements in the lives o f i t s citizens, a critical step for sustaining social and political stability in the country.

Summary of project components

12. The project i s in the amount of US$94 mil l ion and consists o f five main components, totaling US$90.20 mil l ion plus US$2 mil l ion for project coordination and an additional US$1.80 mil l ion for contingencies. Annex 1 provides a detailed description o f the project components.

Component I: Urban Water Supply - US$28 Million equivalent

13. The backlog o f investments in renewal and expansion o f water facilities throughout the country, combined with the influx of displaced persons into Abidjan, has resulted in severe water shortages and the reduction o f access to water services.

14. The component aims at increasing access to water services and improve the availability and quality o f water services, through (i) provision o f subsidized service connections and standposts to selected urban areas in Abidjan and BouakC; including informal neighborhoods, together with connections o f schools and health centers (ii) expansion o f water production capacity in Abidjan; (iii) reinforcement and expansion o f water distribution networks in Abidjan and BouakC.

15. The activities under this component include: (i) increasing the water production capacity in Abidjan by (at least) 4,000 m3hour by drilling and equipping production boreholes and expanding the capacity o f some treatment plants; (ii) reinforcing primary distribution networks in selected areas o f Abidjan (Djibi and Petit Bassam); (iii) expanding distribution networks in BouakC; (iv) connecting some neighborhoods in Abidjan to the distribution system; (v) increasing access by installing 20,000 subsidized service connections, 65 standposts in Abidjan and 33 standposts in BouakC; and (vi) providing water to 38 primary schools and 2 health centers in Abidjan that lack access to potable water services.

Component 11: Urban Sanitation (Sewerage) - US$lS.2 Million equivalent

16. The lack o f maintenance and timely renewal o f pumping and treatment facilities combined with the backlog o f investments in connecting neighborhood sewers to the main interceptor resulted in the continuous discharge o f most o f the uncollected wastewater (from about 600,000 people) in the Abidjan lagoon.

17. The objective o f th is component w i l l be to increase access to the sewer network and limit the discharge o f raw wastewater in the Abidjan lagoon. This w i l l happen by improving the functioning o f sewerage services, through the: (i) rehabilitation of main pumping stations

3

and treatment plant feeding the ocean outfall; (ii) rehabilitation o f neighborhood pumping stations, and (iii) connecting secondary sewers to the main interceptor. T h i s component aims at l imiting th i s continuous flow o f discharged wastewater in the lagoon, reducing i t s pollution by organic wastes by connecting some secondary networks to the main interceptor and the ocean outfall. Activities under this component include: (i) rehabilitating two main pumping stations in Abobo and Marcory and the pumping station and pre-treatment plant at Koumassi- digue; (ii) rehabilitating five secondary pumping stations in Cocody, Koumassi, Marcory and Treichville; and (iii) connecting secondary sewers in Abobo, AdjamC and Treichville to the main interceptor.

Component 111: Solid Waste Management - US$12 Million equivalent

18. The activities under th is component include: (i) A Clean City Program with the aim to remove all unsanitary/informal solid waste disposal sites in the city o f Abidjan and provide a clean start for private operators’ future interventions; (ii) Rehabilitation o f the Williamsville transfer station with the aim to make the station operational and enable solid waste storage and transportation to the landfill site with appropriate means; (iii) Mass Media Campaign with the aim to sensitize communities about health and environmental risks associated with inappropriate management o f solid waste. The campaign w i l l focus on hygiene, but w i l l also include a component on HIV-AIDS under the leadership o f the HIV-AIDS focal point o f the Ministry o f Urban Affairs and Sanitation; (iv) Institutional support with the aim to improve the institutional environment and capacity o f all stakeholders, including local governments, for the supervision o f service performance in their respective jurisdictions; (v) Improvement o f l iv ing conditions o f neighboring communities l iving in the vicinity o f the disposal site o f AKOUEDO. The disposal site does not comply with sanitary landfill norms and odors, released gas, lixiviats and other nuisances have negative impacts on the health and the well- being o f the neighboring communities. The project includes the construction o f a health center and an extension to an existing school (6 additional classrooms) to improve the l iving conditions o f the neighboring communities.

Component IV: Urban Roads Rehabilitation - US$28 Million equivalent

19. The activities under th is component include: (i) Rehabilitation o f roads bearing public transport services. The project w i l l finance road surface refurbishment and drainage networks on seven roads on which transportation lines have ceased operation due to their poor condition. In addition, appropriate treatment w i l l be given to two particularly critical areas routinely flooded during the rainy seasons and inaccessible to vehicles for prolonged periods; (ii) Works improvement including (a) construction o f a footbridge extending pedestrian walkways in two underserved neighborhoods, to ensure safe crossing over an expressway for numerous pedestrians in a location with a high rate o f fatal accidents, (b) construction o f a 120-meter bridge and a road to improve accessibility o f new residential areas, thereby addressing congestion problems at intersections, (c) the conversion o f one o f the worst trouble spots into an interchange; (iii) Horizontal and vertical signage (the current absence o f horizontal and vertical signage on roads i s considered a major factor in traffic disruptions and traffic accidents). The project w i l l finance the provision and installation o f standing road signs and the painting o f road-surface markings on as many roads as possible and; (iv) Rehabilitation o f six heavily degraded roads totaling 7 kilometers in the City o f BouakC, supplementing the 5-road, 1 1 -kilometer rehabilitation program already funded by the European Commission.

4

Component V: Municipal Contracts - US$7 Million equivalent

20. This component w i l l address the medium and long-term problems o f cities and re- energize some municipal functions that have largely been taken over by the central Government during the crisis. The following cities have been selected: in Abidjan, the municipalities o f Port Bouet, Yopougon, Koumassi, AdjamC and Abobo, and in the interior o f the country, the towns o f Divo, Daloa, Korhogo, San Pedro and BouakC. T h i s first group o f cities was chosen according to the following criteria: (a) an explicit desire on the part o f the mayor to comply with the principles and rules o f the Municipal Contract; (b) a more or less functional municipal team that i s ready to work; (c) a population size and investment requirements that would yield a visible impact on as many people as possible; (d) the existence o f planning tools and data that could be used as a basis for the audits; (e) consolidation o f European Commission (EC) interventions. The activities under this component include: (i) Urban, organizational, and financial audits o f the 10 selected municipalities with the aim to carry out a needs assessment in terms o f services, infrastructure, management, organization and finances and determine, through a participatory process, a Priority Investment Program (PIP), a Priority Maintenance Program (PMP) and a Municipal Adjustment Program (MAP); (ii) Accompanying measures which w i l l be identified during the audits and w i l l serve to support and motivate local governments, as an adjunct to the preparation o f the audits.

Eligibility for processing under OP/BP 8.00

21. The project i s a critical first step in the Bank’s carefully sequenced emergency response in support o f the post conflict recovery in C6te d’Ivoire, as described above. The project i s consistent with the ISN, which provides for application o f the emergency response policy for all new C6te d’Ivoire operations in support o f the interim recovery period o f FYO8- 09. Under OP/BP 8.00, Rapid Response to Crises and Emergencies, emergency support can be provided in response to a request by the Government for urgent assistance in response to an event that has caused, or i s l ikely to cause, a major adverse economic and social impact. Specific objectives that may be supported through emergency assistance under OPBP 8.00 include the facilitation o f peace building, the restoration o f economic activities, and the restoration o f physical and productive assets.

22. Consistent with these objectives, the activities planned under the Emergency Urban Infrastructure Project wil l: (i) improve access to key infrastructure which i s urgently needed to support the country’s restoration o f economic activities; and (ii) improve the delivery o f key basic services. The activities under the project w i l l address peace building, restoration o f economic activities and the restoration o f physical assets. The anticipated results wil l support the Government’s efforts to show visible and tangible improvement in the lives o f citizens, with a view to lasting social and political stability in the country.

23. Success o f the activities financed under the project requires delivery at specific moments in the upcoming months in order to have the desired positive impact on the socio- economic situation. This in turn depends on the use o f flexible and accelerated procedures as allowed under OPBP 8.00, particularly in the processing o f project preparation, safeguards compliance, procurement, and disbursement arrangements. Without such provisions, the project inputs cannot be mobilized quickly enough to contribute to the key moments in the implementation o f the peace agreement and stabilization o f the situation in C6te d’Ivoire.

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Consistency with Country Strategy (CAS or ISN)

24. As stated above, the proposed activities are consistent with the overall objectives and the three pillars of the Interim Strategy. The activities covered under the Emergency Urban Infrastructure wil l: (i) support stabilization and peace-building; (ii) assist war-affected populations through the provision o f basic services; and (iii) encourage economic recovery and governance reform. B y focusing on Abidjan and Bouake (Components 1 to 4), the project w i l l address immediate and urgent needs in basic service delivery in the northern and southern parts o f the country. B y including 10 cities in the formulation o f their city program (Municipal Contracts - Component 5), the project i s also setting the stage for addressing the medium and long-term needs of local governments and building a momentum for normalization.

Expected outcomes

25. The urban water supply component w i l l help restore the availability and quality o f services by reducing water shortages and increasing service pressure for about one mil l ion inhabitants. In addition, this component w i l l provide access to safe water to an additional 330,000 people in Abidjan and 40,000 people in BouakC and to children in 225 classes and patients of eight health centers. Monitoring indicators o f the outcome wi l l consist o f (i) the increased water consumption in selected areas results framework); (ii) the actual availability o f services (hourdday); and (iii) the number o f additional people getting access to services.

26. The sewerage services com onent w i l l help reduce the f low o f wastewater into the Abidjan lagoon by about 40,000 m /day and w i l l connect an additional 100,000 people to a functioning sewerage network. Monitoring indicators o f the outcome wi l l consist o f (i) the additional f low o f wastewater not discharged in the lagoon; and (ii) the number o f additional people connected to the interceptor.

P

27. The solid waste management component w i l l help: (i) eliminate informal disposal sites in Abidjan through the evacuation o f 500,000 tons o f solid waste to the AKOUEDO landfil l site; (ii) support stakeholders to put in place efficient systems for pre-collection, transfer, transportation, disposal o f solid waste with private sector participation: (iii) improve solid waste collection and transfer through rehabilitation o f the WILLIAh4SVILLE transfer station; and (iv) improve l iving and environmental conditions o f neighboring communities in the vicinity o f the AKOUEDO landfill. Increased level o f collection and disposal o f solid waste w i l l be the key outcome indicator.

28. The urban roads component w i l l include: (i) rehabilitation o f six roads on which Abidjan Public Transport Agency (SOTRA) services are suspended or operating in difficult conditions; (ii) installation o f adequate drainage systems at two very critical low-lying points; (iii) construction of a 50m overpass above the expressway and o f pedestrian access ramps; (iv) provision o f services to new neighborhoods by directly connecting roads, including the 9th allotment phase for Cocody and CSU RiviCra Palmeraie in Abidjan and construction o f multilevel junctions on a national highway; (v) repair o f horizontal signs and o f traffic signs over a large part o f the urban road network; and (vi) rehabilitation o f f ive roads measuring a total of 6.1 km.

6

29. The municipal contracts component w i l l provide: (i) 10 urban audits detailing the physical diagnosis of the 10 municipalities with data, maps and cost tables as well as a municipal program to address investment needs and priorities (PIP and PMP); (ii) 10 financial and organizational audits detailing the existing conditions o f the municipalities in terms o f resources and expenditures, budgetary practices, staffing, and management capacity as well as the needed city-specific adjustment measures required to improve the situation (MAP). I t i s also expected that specific activities such as street addressing could be financed to complete EC programs.

D. Appraisal of Project Activities

30. The proposed project i s a grant. There i s no counterpart funding required from the central government nor the local governments. The financial allocation to each component i s based on the compilation o f existing cost estimates for each activity. An unallocated amount has been set aside to cover any additional need for financing (contingencies).

31. emergency o f the project.

The project economic and financial study has not been carried out because o f the

Economic

32. The project intangible benefits, including their contribution o f the MDGs include (i) reducing poverty by stimulating economic growth; (ii) improvement o f health care through the provision of water and sanitation to the poorer persons, clinics, hospital, schools and community centers; (ii) improving in education; (iv) improving in environmental quality through better waste water and solid water management, roads and travelers’ security, employment creation o f small contractors, management o f municipalities, etc.; and (vi) Improvements in project management and technical operational ski l ls o f the project management teams, which would lead to improved productivity

Financial

33. The project’s financial management system would be comprehensive and allow for the proper accounting o f all the transactions at every level o f the implementation. The system would be capable o f producing financial management report, as required by IDA, as well as meeting project information needs in a timely manner. The project financial system management w i l l consist o f a proper book o f accounts, and a reliable and functional internal control. I t w i l l have competent experienced accounting and financial staff with more than three year o f experience with the Bank-previous financed projects. Annual audit w i l l be carried out by external auditors on the basis o f competitive bidding.

Technical

34. The project i s ready technically. The technical solutions are quite simple and within the reach o f the Ivorian counterparts. All details can be found in Annex 1. The five components have been identified in close consultation with all parties involved and respond to a very real and urgent need on the ground. The rehabilitation o f basic infrastructure i s the first requirement towards a normalization o f the situation. The World Bank has a long history o f

7

experience and involvement in the areas o f the five components, and technical discussions have been grounded in long-standing interventions and dialogue between the World Bank and the GoCI on all five topics. Within each component, the activities have been identified and selected on the basis o f the availability and quality o f technical studies. In some cases, bidding documents are available and an update would only be required. Such a readiness w i l l facilitate the rapid and timely implementation o f the procurement plan and the quick disbursement during year one and beyond. The supervision missions o f qualified engineers wil l be deployed for both components. When required (such as for the water supply and sewerage components), a quality control team (mission de controle) wi l l be recruited to ensure quality and timeliness of works.

Water Supply

35. The investment program prepared by the Department o f Human Hydraulics (Direction de I’Hydraulique Humaine, DHH) and CBte d’Ivoire Water Distribution Company (Sociktk de Distribution d’Euu de la Cdte d’lvoire (SODECI) has been reviewed during the appraisal mission to take into account available financing (from European Union (EU), Islamic Development Bank (BID) and the OPEC Fund), which led to focus on the Eastern, Northeastern and Southern parts o f Abidjan and on BouakC. Priority was given to activities that have immediate impact, in line with the objectives o f the component and that do not require significant relocation and for which most o f the technical documentation i s available.

Increasing production capacity in Abidjan, in order to reduce water shortages. New boreholes and the equipment o f existing boreholes, together with the development o f a new production scheme in the Northeast and complementary equipment in an existing treatment plant w i l l allow adding 4,000 m3/h (an increase of 24 percent o f the current production capacity),

Reinforcing primary distribution networks, in order to improve the quality o f service (water pressure) in the Northeastern and Southern parts of the city.

Increasing access in Abidjan by constructing 20,000 new subsidized connections, 65 standposts and ensuring the connection to the distribution network o f informal settlements, which are currently deprived o f water services. Further, 38 primary schools and 2 health centers without water service w i l l also be connected to the network.

Increasing access in BouakC by expanding secondary networks, which w i l l in turn allow constructing service connections, and by constructing 33 standposts in neighborhoods that are not currently served.

Sanitation

36. The investment program prepared by the Department o f Sanitation and Drainage (Direction de 1 ’Assainissement et du Drainage, DAD) has been reviewed with the appraisal mission to take into account available financing from the EC for rehabilitating part o f the pumping stations. Priority was given to activities that have immediate impact on the reduction o f lagoon pollution, in line with the component objectives, and that do not require significant relocation and for which most o f the technical documentation i s available.

8

Providing an environmentally sound discharge o f collected wastewater by restoring the adequate functioning o f the interceptor and the ocean outfall through the rehabilitation o f two main screening pumping stations o f the interceptor (in Abobo and Marcory) and rehabilitating the pretreatment plant and the outfall pumping station o f Koumassi-digue.

Restoring the flow o f wastewater to the interceptor by rehabilitating neighborhood pumping stations in Cocody, Koumassi, Marcory and Treichville.

Increasing the f low o f wastewater into the interceptor and reducing network anomalies by connecting neighborhood sewers in Abobo, AdjamC and Treichville to the interceptor.

Solid Waste

37. The situation i s such that solid waste cannot be ignored. The activities under the project have been selected in view o f their immediate impact (Clean City Program) and the medium term benefits (rehabilitation o f Williamsville Transfer station, support to institutional reformsNationa1 Urban Sanitation Agency (Agence nationale de la salubrite' urbaine, ANASUR). The long-term issues such as the landfill site cannot be addressed in the context o f th is emergency project.

Urban roads rehabilitation

38. The activities under th i s component were selected through a participatory process involving the various stakeholders: the Roads Management and Maintenance Agency (Agence de Gestion et d'Entrentien des Routes) (AGEROUTE), as manager o f the road network; the District and the municipalities o f Abidjan; the Urban Transport Management Agency (AGETU); and the mass transit operators. In response to numerous requests from transit operators, administrative and political authorities, and road users for maintenance and rehabilitation work on the roads o f the City o f Abidjan, in December 2003 AGEROUTE, with the help of staff from the technical services o f the municipalities o f Abidjan, conducted a cursory inspection campaign to assess needs. Subsequently, detailed discussions with stakeholders defined priorities which were the basis for the first Government-financed works. Lastly, on the occasion of the project appraisal mission and in light of the resources to be made available for the component, priorities were refined after further discussions with the various stakeholders (operators, local communities, etc.) and on-site visits. The goal was to avoid scattering activities with little significant impact on the improvement o f services. Instead, priority was given to a limited number o f activities designed to restore suspended public transport routes, to ensure traffic continuity and the same level o f service over sufficiently long stretches. The program adopted i s designed to have major impacts on the mobility of a large number o f inhabitants from all social classes.

39. The activities selected for the City o f BouakC are based on the findings o f the feasibility and technical survey o f 2007 EU-funded road works in the towns o f BouakC, Korhogo and OdiennC. The roads chosen were selected with the aim o f providing a logical complement for the program o f works over 11 km, which are funded by the European Commission and wi l l be executed during the f i rs t half o f 2008.

9

Municipal Contracts

40. The identification o f the 10 cities has been carried out in close consultation with the Ministry o f Urban Affairs and Sanitation, the Ministry o f Interior and Local Governments, the Union o f Towns and Municipalities of CGte d’Ivoire (WICOCI). The introduction o f this component stems from the recognition by the Ivorian authorities that recent political instability has significantly hampered the decentralization process and the proper functioning o f local governments, and that a return to a normal situation would necessarily focus on municipal needs and issues. When properly prepared and monitored, a Municipal Contract can be an important instrument for channeling aid, regulating the funding o f local investments, reorganizing finances, and implementing a city’s development strategy or a coherent municipal program. The methodology o f municipal audits and municipal contracts exists and w i l l be made available to the local consulting f i r m s selected to conduct the audits along with training. The IDA allocation does not include the financing o f the implementation phase o f the municipal contracts. I t i s hoped that a free-standing municipaVloca1 government IDA project w i l l follow to build on the momentum created.

Fiduciary

41. In terms o f procurement, a procurement capacity assessment has been carried out in the field for all entities responsible for implementation. Procurement staff in need of further training have been identified and w i l l receive relevant procurement training before project effectiveness. Regarding the financial management o f the project, the use o f a coordinating unit with successful prior experience with the implementation o f IDA projects [Macom: Mission d’ Appui

la Conduite d’ OpCrations Municipales) w i l l facilitate the fulfil lment o f all requirements, including: proper financial management system, proper financial software and training, proper reporting processes, a proper financial management manual, and timely recruitment o f a financial auditor.

All fiduciary aspects have been reviewed during project appraisal.

42. Annual audits (financial and technical) w i l l be carried out to review proper use o f IDA funds both in terms o f financial transactions and accounting, but also in terms o f actual physical implementation on the ground.

Environmental and Social Compliance with Bank Safeguard Policies

43. The project i s classified as Environmental Category B as the potential environmental and social impacts are not significant. They are l ikely to be small-scale, specific and thus easily manageable. The project triggers two safeguards policies: OP 4.01 on Environmental Assessment and OP 4.12 on Involuntary Resettlement. These triggered policies are applicable to the five components. The two safeguard instruments to be prepared are the Environmental and Social Management Framework (ESMF) and the Resettlement Policy Framework (RPF). The selected proposed works comply with the provisions o f OP 8.00 and are considered to be addressed on an emergency basis. I t i s envisaged that the general environmental management clauses for civi l works w i l l be inserted into the bidding documents and contracts. Detailed environmental assessments and Resettlement Action Plans, if necessary, would be carried out for all project activities that w i l l trigger them and disclosed in-country and at the Bank’s Infoshop before specific works could start.

10

44. As per required under OP 8.00, the Bank has prepared an Environmental and Social Screening and Assessment Framework, which outlines the approach to be taken during implementation (See Annex 8).

E. Implementation Arrangements and Financing Plan

45. Implementation arrangements have been kept simple and they capitalize on existing structures. Project coordination and execution w i l l rely upon three pillars: (i) a Monitoring and Steering Committee; (ii) a Coordination Unit and; (iii) relevant Technical Departments. Implementation arrangements are based on the following principles: (i) all components were selected in consultation with the Ivorian counterparts and respond to key critical needs o f the country; (ii) each component i s free-standing and independently managed by respective technical department so if there are delays under one component, i t i s not going to affect the overall performance o f the other components; (iii) the project w i l l be implemented in phases and not all activities w i l l start at the same time; and (iv) despite the war, CGte d’Ivoire has very strong institutions with a higher capacity than other countries in sub-Saharan Africa (see diagram on page 13).

0 Monitoring and Steering Committee

46. This Committee was established to ensure ministerial coordination for project preparation. I t i s chaired by the Minister o f Economic Infrastructure, and coordinates the project at the government level. I t i s made up o f (i) the Department for Human Hydraulics o f the Ministry o f Economic Infrastructure; (ii) the Roads Management Agency [Agence de gestion des routes] o f the Ministry o f Economic Infrastructure; (iii) the Ministry of Urban Affairs and Sanitation [Ministire de la Ville et de la salubrite‘ urbaine]; (iv) the Sanitation Department o f the Ministry o f Construction, Urban Planning and Housing; and (v) the Public Debt Department o f the Ministry o f Economy and Finance. The Department o f Decentralization and Local Development, and the Union o f Towns and Municipalities o f CGte d’Ivoire (UVICOCI) are also expected to j o in the Committee, which w i l l continue to ensure inter-ministerial coordination and serve as a mediating entity.

Coordination Unit

47. The Project Coordination Unit (PCU) would consist o f a Project Coordinator, a Procurement Specialist, an Administrative and Financial Officer, an Accountant, an Accountant from the government appointed to work on the project, and an Administrative Assistant. I t would be anchored within MACOM, which already has some experience in coordinating World Bank-financed projects (Projet d’ Appui 2 la Conduite d’OpCrations Municipales (PACOM)) and i s therefore familiar with Bank procedures and requirements. The PCU wi l l essentially have a fiduciary role and w i l l monitor day-to-day project activities. The Unit i s to be equipped with all the necessary fiduciary monitoring tools (see section on financial and accounting management, as well as with a manual of project implementation procedures).

0 Technical Departments ( responsible for specific components)

48. These entities w i l l implement their respective components in accordance with the following organizational chart. In terms o f procurement, the technical departments w i l l carry out technical studies all the way to bidding documents for Components 1, 2, 3, and 5.

11

Procurement focal points from the entities w i l l be included in the procurement evaluation committees. Technical staff from these entities w i l l be responsible to supervise the implementation o f their respective activities and monitor the work o f the consulting engineers in charge o f the technical review o f contractors. AGEROUTE has developed a strong experience in managing Bank operations and dealing with large contracts financed by other donors and has therefore the capacity to manage the urban road component. With regard to Component 4 (Urban Roads Rehabilitation), bidding documents and contract adjudication w i l l be carried out by AGEROUTE, which has full capacity to do so in view o f i t s experience under other Bank-financed projects. The detailed description o f components indicates the mandates and implementation arrangements o f each o f these departments (see Annex 1).

49. The Technical Departments w i l l be responsible for monitoring the indicators and a focal person w i l l be designated for that purpose in each department. MACOM wi l l be in charge o f collecting information for the progress report.

12

F. Risks and Mitigation Measures

50. The main risk associated with the project i s the potential lack of political stability which would jeopardize not only this project but the implementation o f the entire Bank’s portfolio in CBte d’Ivoire, and i s addressed in the Interim Strategy Note. An associated risk i s an unexpected change o f ministers, in particular the Minister o f Economic Infrastructure who has emerged as a champion for the project. However, the fact that there i s an inter-ministerial coordinating committee and that t h i s committee has been involved in the project since i t s inception has facilitated the buy-in o f key governmental entities into the project and wil l ensure a sense o f continuity and commitment. Corruption and governance risks are major r isks facing the project in a post-conflict country l ike CBte d’Ivoire and they should be addressed. Mit igation measures, through fiduciary arrangements have been built in to reduce these risks. The project design, the institutional arrangements, the financing mechanisms have been kept simple, thereby reducing the risk o f implementation delays: (i) each component i s free-standing and independently managed by respective technical department, so if there are delays under one component, i t i s not going to affect the overall performance o f the other components; (ii) the project wi l l be implemented in phases and not al l activities wi l l start at the same time; (iii) despite the war, CBte d’Ivoire has very strong institutions with high capacity. The level o f procurement readiness i s such that disbursements are l ikely to start at effectiveness, thereby reducing the disbursement risks which have traditionally plagued the portfolio. The financial management r isks are expected to be high for the following reasons: (i) governance and transparency has deteriorated at all country levels; (ii) the control environment i s generally weak; (iii) there have been delays in executing public expenditures due to lack o f accountability and inexperience o f some Administrative and Financial Directors who are key participants in the process; (iv) disbursement o f external assistance has been slow, and in particular, World Bank financed projects have experienced low disbursement rates compared to the sub-region; (v) project components management requires the careful coordination o f multiple actors within a complex organization (Ministry o f Economic Infrastructure, Ministry o f Construction, Urban Planning and Housing, ANASUR, AGEROUTE, Ministry o f Interior and Local Governments, selected Municipalities). These risks wil l be mitigated by enhancing the control environment. This wil l include:

The coordination unit (PCU) w i l l be strengthened to ensure that sound financial management and procurement w i l l be maintained throughout the l i fe o f the project and that appropriate staffing arrangements are maintained throughout the l i fe o f the project.

A computerized accounting system SUCCESS already in place w i l l be updated and upgraded to allow for close monitoring o f project financial management implementation.

Annual technical and financial audits including an opinion on the project’s performance during the first year w i l l also provide an early feedback on the project and on the PCU performance

Regular supervision missions w i l l be carried out in collaboration with national authorities.

14

Agreement wi th the Government on .a special procedure for emergency projects that allows project funds to by-pass the cumbersome regular national procedure has been reached (Transfer en capital).

Risk Rating

51. project.

The table below summarizes the specific risks and mitigating measures related to the

Risk Mitigating Measures Type of Risk

Country Level Political instability

Uncertainty o f the elections and government ownershiphtability

Entity Level

MACOM ‘s capacity to coordinate project activities

Project Level Project implementation arrangement

H

S

H

A PEMFAR was conducted early 2008. The conclusion i s that significant progress has been made in the Public Financial Management system.

The current Peace Agreement i s being implemented, with delays but with unprecedented political w i l l and significant political steps.

PEMFAR findings are not only highlighted PFM progress but also remaining weaknesses that are addressed through the Governance TA.

The Bank, together with the IMF and other partners i s closely supporting the preparation process o f the PRSP and elections.

- M A C O M wil l be in charge o f overall project financial management and disbursement.

- Project fiduciary staff are adequately qualified and experienced, and w i l l be maintained throughout the l i fe of the project.

- The project staff w i l l be trained continuously during the l i fe o f project; project software and procedures manual are in place and w i l l be updated or upgraded as necessary. All staff wi l l be trained in the use o f project tools (software, procedures manual) and Bank fiduciary procedures.

-

Residua 1 Risk Rating

H

M

S

15

involves different actors (including different technical departments)

CONTROL RISKS ensure funds used ecc Budgeting Budget preparation i s a relatively strong part o f the C I budget process, but improvements are needed in the consistency among projections used by various ministries and agencies. Funds may be delayed.

Accounting SIGFIP does not provide all information required by the Bank for financial reporting and auditing.

Some staff may not be familiar with project software (SUCCESS)

Internal Control National internal control systems do not have the capacity to cover project activities.

M A C O M does not have i t s own internal control unit Funds Flow

sk that omicall

S

M

H

S

- Resource transfers to beneficiaries such as I AGEROUTE,will be well-documented and supervision missions wil l be conducted three times over the course o f the project .

M - The Bank team and project staff w i l l work closely to establish comprehensive project cost tables, detailed work programs, and quarterly budgeting for the first 12 months o f the project.

- The budget wil l provide funding for additional training for project staff in preparing budgets consistent with disbursement plans.

- Training, mentoring, and hands-on experience w i l l be provided to fiduciary staff in financial planning and budget preparation by the Bank team. The accounting system w i l l be supported by an ad hoc customized computer software, updated as necessary to accommodate project needs.

-

- The project Financial Manual w i l l be updated by the project implementing unit.

- The project does not have an internal control department. However, the project accounting and administrative manual outlines approval and authorization procedures that should work relatively well.

- The project w i l l be supervised closely and, if necessary, recruitment o f internal control staff wi l l be considered as an option to mitigate this risk. The arrangements for the f low o f funds as detailed in the Project FA manual are

-

L

M

S

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Disbursement o f external assistance has been slow. In particular, Bank- financed projects have experienced low disbursement rates compared to the sub-region.

Financial Reporting

The project team has experience in producing interim un-audited financial reports.

Auditing Auditors w i l l be selected through a transparent selection process.

OVERALL RISK

M

M

H

acceptable to the Bank.

- A designated account wil l be managed by the treasurer.

- A project account w i l l also be located at a reliable commercial Bank. They wil l be managed by the public accountant in coordination with M A C O M .

- The project w i l l use the “transfer en capital” procedures for al l disbursement transactions. The IF% guidelines w i l l be used by the project management team over the l i fe o f the project.

-

- Training w i l l be provided to financial, accounting and M&E staff.

- The format, content, and periodicity o f FMR have been discussed and agreed during negotiations.

- The process of recruiting an auditor i s underway.

- In commenting on audit reports, dates for receipt o f an action plan from MACOM w i l l be agreed upon.

- A technical audit w i l l be conducted on an annual basis to control quality and conformity

H - High S - Substantial M - Modest L - Low

G.

52.

Terms and Conditions for Project Financing

The Project i s proposed for financing under an IDA grant.

L

M

H

53. A detailed Action Plan has been identified during the preparatiodappraisal mission to ensure successful project processing. This action plan involves a set o f actions related to: (i) project management; (ii) fiduciary and safeguard issues; and (iii) detailed project component activities.

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Conditions of Effectiveness

54. A number o f actions are currently underway to ensure that conditions are right for a timely project launch and implementation. These are: (i) Partnership agreement between the government and the P C U M A C O M ; (ii) confirmation o f key PCU staff (Project Coordinator, a Procurement Specialist, an Administrative and Financial Officer, an Accountant, an Accountant from the government appointed to work on the project, and an Administrative Assistant); (iii) Manual o f Procedures (implementation manual); (iv) project accounting and financial software (SUCCESS); and (v) selection o f technical and financial auditors.

55. completion o f the ESMF and RPF.

A condition o f effectiveness has been included prior to negotiations and involves the

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Annex 1. Detailed Description of Project Components

Component I: Urban water supply (US$28 million equivalent)

Objective and results indicators

1. The objectives of th is component are to increase access to water services and improve the availability and quality o f water services, through (i) provision of subsidized service connections and standposts to selected urban areas in Abidjan and BouakC, including informal neighborhoods, together with connections of schools and health centers; (ii) expansion of water production capacity in Abidjan; and (iii) reinforcement and expansion of water distribution networks in Abidjan and BouakC.

2. The component’s activities would aim particularly at:

Reducing water shortages and service interruptions by increasing the capacity of water production facilities in Abidjan;

Restoring the functioning of the water systems by strengthening the primary distribution networks;

Increasing coverage by constructing household service connections and standposts in Abidjan and BouakC and connecting informal settlements, primary schools and health centers in Abidjan.

0

3. Performance indicators to measure the outcomes of this component wi l l include the average daily consumption in selected areas (domestic customers), the actual availability of service (hourdday) in selected areas and the additional number of people getting access to the services through water connections and standposts.

Key elements of background

Past Pellformance of the Urban Water Supply Sector

4. The urban water supply (UWS) sector of C8te d’Ivoire used to be a model in the Africa region. A private operator, SODECI, delivered an excellent (24 hour a day/7 days a week) quality of service to more than 700 cities and towns under a 20-year affermage contract signed in 1987, which followed several contracts, the oldest of which (covering only Abidjan) had been signed in 1959. The development of services was almost entirely self-financed. The 1987 contract, which vested also SODECI with the management of the Water Development Fund (Fonds de Dkveloppement de l’Eau, FDE) had allowed a considerable increase of access to services through household connections, the number of which i s about 560,000. This increase of access had been almost entirely self-financed from the water sales by the contributions o f FDE.

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The average water tariff (excluding VAT) o f CFAF 393/m3 (US$0.89/m3) thus could cover entirely SODECI’s operations and maintenance costs (CFAF 228/m3), finance FDE (CFAF 121/m3) and cover the debt service o f the sector (CFAF 44/m3). These remarkable performances result both f rom the existence o f relatively cheap water resources for supplying Abidjan (which represents half o f the customers of the country and 68 percent of the water consumption) and from the good performances o f the private operator (unaccounted-for water (UFW) o f less than 20 percent, collection rate o f 98 percent on private customers and high staff productivity wi th less than 2.7 staff per 1,000 connections). The Department o f Human Hydraulics (Direction de 1 ’Hydraulique Humaine, DHH), under the Ministry o f Economic Infrastructure i s in charge o f supervising the execution o f the afermage contract, approving SODECI’s investment programs financed by FDE and o f preparing and managing the investment programs financed by budgetary resources and external assistance.

Impact of the Crisis

5. The country crisis took place at a time when the further development o f water services has required for some time a substantial increase of capital expenditures in the renewal o f facilities and the development o f additional capacities for the production o f water and the expansion o f primary distribution networks, which went beyond the resources o f FDE and required external financing. One o f the first results o f the crisis was to halt the financing o f an important expansion program financed b y donors. The political troubles at the end o f 2002 caused some damages to facilities and generated a significant deterioration o f operating performances: UFW increased to more than 28 percent in Abidjan and the collection rate decreased by several percentage points, whereas the Government stopped paying the bills o f public customers (about 22 percent o f total water sales), The accumulated arrears o f the Government amount now to more than CFAF 34 bi l l ion (US$77 million). T h i s issue w i l l not be fixed during this project but discussions with the Government on the way to reduce these arrears w i l l continue to take place. I t i s clear that the resolution of such‘a complex issue could not be addressed under an emergency operation and preparation in the future o f a water sector-based investment operation w i l l offer the best opportunity to tackle this problem.

6. The de facto division o f the country also prevented SODECI to bill and collect revenues in the Central-Northwestern (CNO) zone. The latter regrouped 86,000 customers (about 15 percent o f SODECI’s customers) and represented about 11 percent o f i t s water sales. SODECI maintained altogether the service in the CNO zone and received some financial assistance from the European Commission. In addition, the conflict stimulated an inf lux o f displaced persons into Abidjan, whose number reached almost 1.5 million in 2005. Even though most o f the displaced people found accommodations with friends and relatives, the sudden increase o f more than 40 percent o f the city’s population placed a huge stress on the water supply systems and the daily water consumption per capita decreased by one third. The operator had to resort to periodic interruptions o f service and lowering o f water pressure to allocate equitably the water shortages. The Abidjan population and particularly the newcomers can no longer benefit f rom the social connections programs as the sectoral cash-flows, which subsidized them, decreased drastically. In the absence o f a sufficient supply o f service connections and standposts, a significant portion o f the population has now to rely on high-costs water vendors.

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Donors’ Response

7. T o address the consequences o f the crisis in the U W S sector, the external assistance focused first on helping maintaining water services and supporting specific actions to rehabilitate facilities outside Abidjan and in rural areas. The European Commission has provided Euros 12 mil l ion (US$16 million) since 2003 under emergency programs (PUR I to PUR 111). More recently, the Islamic Development Bank (BID) and the OPEC Fund provided loans o f CFAF 8.75 bi l l ion (US$20 million) to reinforce production facilities and distribution networks in the Western part o f Abidjan, whereas FDE devoted CFAF 5.2 bi l l ion (US$11.8 million) to increase the water storage capacity. These funds do not allow, however, addressing the emergency needs o f Abidjan, particularly in the Eastern and Southern parts o f the city. In parallel, EC provided grants o f about CFAF 1.22 bi l l ion (US$2.8 million) to rehabilitate the production facilities in Bouak6, but the immediate investment needs o f water supply distribution are not currently funded.

8. Government’s Response. Even though the budgetary constraints did not allow the Government to finance investments, the donors’ response was facilitated by the preparation b y DHH and SODECI of a global review o f priority investment needs and o f detailed design studies. In addition, the Government and SODECI have been able in September 2007 -following an independent audit o f the aflermage contract-to carry out successfully the negotiation of a new afleermage contract wi th duration o f 15 years. The creation o f a National Water Supply Authority (Oflice National de Z’Eau Potable, ONEP), which w i l l take over the current responsibilities o f the public parties in the sector, under a more autonomous framework, i s also expected. This strengthening o f the institutional and contractual framework o f the sector represents a positive contribution to the rehabilitation and restoration o f water services. However, the restoration o f the financial viability of the sector remains to be addressed.

Key elements of deszgn

Selection of Activities

9. The investment program prepared by DHH and SODECI has been reviewed with the appraisal mission to take into account available financing (from EU, BID and the OPEC Fund), which led to focus on the Eastern, Northeastern and Southern parts o f Abidjan and on Bouakt. Priority was given to activities that have immediate impact, in line with the objectives o f the component and that do not require significant relocation.

10. costs (excluding taxes) and their eventual impact. Four sets of activities were identified:

The table below summarizes the selected activities, together wi th their location, base

Increasing production capacity in Abidjan, in order to reduce water shortages. New boreholes and the equipment of existing boreholes, together with the development o f a new production scheme in the Northeast and complementary equipment in an existing

0

21

treatment plant wi l l allow adding 4,000 m3/h (an increase of 24 percent of the current production capacity).

Reinforcing primary distribution networks, in order to improve the quality of service (water pressure) in the Northeastern and Southern parts of the city.

Increasing access in Abidjan by constructing 20,000 new subsidized connections, 65 standposts and ensuring the connection to the distribution network of informal settlements, which are currently deprived of water services. 38 primary schools and 2 health centers without water service wi l l also be connected to the network.

Increasing access in BouakC by expanding secondary networks, which wi l l in turn allow constructing service connections and by constructing 33 standposts in neighborhoods that are not currently served.

1.13 M

Palmeraie

Improved service for 340,000 people

Zone Nord treatment plant

1.25 M

1.59 M

Equipment of existing boreholes

New boreholes

Improved service for 400,000 people

Improved service for 200,000 people

Abatta

Supply and laying o f 7.7 km of mains

Supply and laying of 6 km o f mains

2.41 M

1.5 M

AdjamC

Improved service for 220,000 people

Improved service for 180.000 Deoule

Abidjan, Bingerville Abobo, Yopougon

Service connections S tandposts

Schools and health centers

Informal neighborhoods

Network expansion

Standposts

R

Entire city Construction of 20,000 4.55 M 200,000 additional

Entire city Construction of 65 standposts 1.03 M 33,000 additional

Entire city Connection of 38 schools and 0.79 225 classes served

Yopougon Secondary network expansion 3.86 100,000 additional

household service connections people served

people served

2 health centers

and connections people served BouakC

See next column Secondary network expansion 1.07 M Allow serving 25,000 in Tolakouadiokrou, people

Languibonou, TSF Sud et zone industrielle

of 33 standposts people served Entire city Construction and connection 0.84 M 17,000 additional

Bassam to Port Bouet

Deux Plateaux

icrease of production capacity Drillinglequipment of two

boreholes (500 m3/h), chlorination plant and

transmission pipes Equipment for continuous

operation of the plant (+500 m3h)

Equipment of eight boreholes (2000m3h)

Drilling of four boreholes and equipment of five boreholes

capacity for 44,000 people

I

22

Readiness

11. The detailed design studies of a l l these activities have been already prepared, with the exception of the construction of service connections, which will be designed by SODECI, as it i s customary for the annual social connections programs financed by FDE. According to the aflermage contract, SODECI executes a l l service connections in general and the subsidized connection program based on clearly defined eligibility criteria in particular, using a price l i s t annexed to the contract. The price l i s t i s being reviewed in order to verify that the prices are competitive. The bidding documents of the first phase (see below the phasing of activities) wil l be prepared by DHH in accordance with the procurement plan. The environmental and social assessments of the first phase wil l be managed and funded by DHH and should be completed by May 30, 2008. The other assessments wil l be funded by the project and should be completed by October 30, 2008.

Financing and Phasing

12. The IDA grant wil l not finance taxes (VAT) and duties. The grant-financed amounts include, in addition to the base costs of works and equipments, the costs of supervision (5 percent of base costs), and physical and price contingencies (7.5 percent and 6 percent of base costs, respectively). The financing table i s presented below.

13. As the startup of some of the above activities i s contingent on the completion of upstream works financed in parallel (e.g. the construction of a water storage tank in Djibi and the reinforcement of production capacity to supply Petit Bassam), the activities wil l be executed in three phases separated by five to eight months. The time schedule of the activities i s as follows:

Phase I (tendering scheduled at the end of June 2008): Zone Nord, equipment of four existing boreholes (eight in option 2), drilling of four new boreholes, reinforcement of Djibi, connection of schools and health centers, network expansion and standposts in Bouakt

Phase I1 (tendering scheduled at the end of November 2008): Production Palmeraie, equipment of five new boreholes, informal neighborhoods (option 2)

Phase 111 (tendering scheduled at the end of January 2009): Reinforcement Petit Bassam

The subsidized connections and the standposts in Abidjan wil l be constructed on a continuous basis.

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. . - Palmeraie

- Zone Nord treatment plant - Equipment o f existing boreholes (4)

- New boreholes Reinforcement o f primary networks :

- Petit Bassam - Djibi

Increase o f access (Abidjan) - Service connections

- Standposts - Schools and health centers - Informal neighborhoods

Bouakt Expansion o f secondary networks

- Standposts Supervision

Total Base Costs

Grand Total Contingencies

3.06 1.13 1.25 1.59 3.91 2.4 1 1 S O 10.23 4.55 1.03 0.79 3.86 1.91 1.07 0.84 1.15

24.23 3.77 28.00

Impact and Monitoring Indicators

The urban water supply component wil l help restoring the availability and quality of service by reducing water shortages and increasing service pressure for about one million people and providing access to safe water to an additional 330,000 people in Abidjan and 40,000 people in Bouak6, children in 225 classes and patients of 2 health centers. The corresponding monitoring indicators have been defined with DHH and SODECI.

Increase of access Outcome indicator: Additional people served by SODECJDHH service connections Additional people served by SODECYDHH standposts Intermediate outcome indicator: Number o f constructed service DHH connections Number o f constructed DHH standposts

Implementation Arrangements

14. The UWS component wil l be executed by DHH, which will be responsible for preparing the draft bidding documents, and managing the environmental and social assessments. DHH will

24

monitor the performance of the consulting f i r m s which wi l l be recruited to supervise the execution of works and equipment contracts, with the exception of the service connection contracts to be executed by SODECI and, supervised by DHH.

15. The procurement plan has been designed on the basis of one contract per activity, with the exception of the connection of informal neighborhoods (two contracts) and of the Palmeraie scheme (one contract for the boreholes and one contract for the mains).

16. Monitoring and reporting of outcome indicators wi l l be carried out jointly by DHH and SODECI. Progress reports wil l be prepared by DHH. SODECI wi l l be providing DHH with a l l the necessary informatioddocuments needed for the preparation of the reports.

17. Abidjan and BouakC wil l be involved in siting the standposts. Standposts are currently managed by caretakers (fontuiniers) paid by municipalities. These arrangements are not always satisfactory and it has been agreed to modify the payment system of the fontuiniers by remunerating them on the basis of water sales, and adding a small markup to the vending price, as it i s customary in the other countries of the sub-region.

Component 11: Urban sanitation (sewerage) (US$l5.2 million equivalent)

Objective and results indicators

18. The objective of t h i s component i s to increase access to the sewer network and limit the discharge of raw wastewater in the Abidjan lagoon by improving the functioning of sewerage services through: (i) rehabilitation of main pumping stations and treatment plant feeding the ocean outfall; (ii) rehabilitation of neighborhood pumping stations; and (iii) connecting secondary sewers to the main interceptor.

19. The component’s activities would aim particularly at:

restoring the normal functioning of the sewerage system by rehabilitating the network’s pumping equipment and the pre-treatment plant and pumping station feeding the ocean outfall;

reducing the discharge of collected wastewater into the lagoon and the environment by connecting secondary sewers to the main interceptor.

20. Performance indicators to measure the outcomes of t h i s component wi l l include: the increased access to the sewer network (additional people connected to the interceptor) and the reduced waster water volume being discharged in the lagoon.

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Key dements of background

Past Pe@ormance of the Abidjan Sewerage System

21. Abidjan i s equipped with a relatively complete sewerage system consisting o f (i) a 30-km North-South interceptor equipped with four major screeninglpumping stations, a pre-treatment plant (for eliminating floatables and grease) and a booster pumping station discharging into an ocean outfall; and (ii) about 1,000 km o f secondary sewers equipped with 51 neighborhood pumping stations. About 35 percent o f the urban population (a high proportion o f the population by regional standards) i s connected to the sewers through 102,000 service connections; 45 percent o f the population relies on on-site facilities o f variable quality (latrines, vault and septic tanks). The main discharge system (interceptor and ocean outfall) was constructed in three successive phases from 1977 to 1996 with joint financing from the National Investment Fund for Sanitation [Fonds National de Z’Assainissement (FNA]), the IBRD and o f the European Investment Bank (BEI).

22. Although the interceptor and the outfall have the capacity to convey al l o f the wastewater produced in the city, only a part o f the urban population connected to the secondary sewers (600,000 equivalent-inhabitants) i s eventually connected to the interceptor. A significant part o f sewerage s t i l l flowed into the lagoon or the city’s thalwegs. Anomalies such as interferences between sewers and drains, and faulty household connections into the drainage network, are frequent and compound the situation.

23. The system has been operated by SODECI since 1999 under an affermage contract, that i s in a long l ine o f service contracts granted since 1974. The contracting authority i s the Ministry o f Construction, Urban Planning and Housing (MCUH) and i ts Department o f Sanitation and Drainage (Direction de Z’Assainissement et du Drainage, DAD) monitors the execution o f the affermage contract and manage the sewerage investments. The operation and maintenance costs are partly financed by a sewerage surcharge o f CFAF 41/m3 added to the water rate charged to the water service customers of the city o f Abidjan.

Impact of the Crisis

24. The above-mentioned anomalies were expected to be addressed in parallel with the execution o f the affermage contract, but these expectations could not be met in the face o f budget constraints resulting from the crisis. Even more importantly, the absence o f financial resources prevented the timely renewal o f electromechanical equipment, and as a result most o f the waste water collected from the neighborhoods i s discharged into natural drainage courses in the open environment and ultimately into the lagoon. The pumping stations, as well as the ocean outfall, came progressively to a halt. The hauling companies stopped discharging septage from cesspits and septic tanks into the facilities built on the interceptor and reverted to open areas. The environmental conditions o f the lagoon and o f the low-lying areas o f the city have substantially deteriorated, particularly in the Indtnit and Cocody bays.

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25. As for the UWS sector, the inf lux of displaced people into Abidjan has limited the access to sewerage services and new land development operations could not be linked to the main sewerage system in the absence o f any significant investment in connecting neighborhoods to the sewers.

Government and Donors’ Response

26. To address the consequences o f the crisis, the M C U H identified an emergency program focusing on the rehabilitation o f the system. The EC has granted part o f the funding (Euros 9.5 million, or about US$14 million), but the financing covers only half o f the rehabilitation needs and w i l l not alone enable restoration o f adequate functioning o f the interceptor and o f the outfall, nor addressing the emergency needs in connecting neighborhoods sewers to the interceptor.

Key elements of deszgn

Selection of Activities

27. The investment program prepared by DAD has been reviewed with the appraisal mission, taking into account available financing from the EC for rehabilitating part o f the pumping stations. Priority was given to activities that have immediate impact on the reduction of lagoon pollution, in line with the objectives o f the component and that do not require significant relocation.

28. costs and their eventual impact. Three sets o f activities were identified:

The table below summarizes the selected activities, together with their location, base

Provide an environmentally sound discharge o f collected wastewater by restoring the adequate functioning o f the interceptor and the ocean outfall through: (i) the rehabilitation o f two main screening pumping stations o f the interceptor (in Abobo and Marcory) and (ii) rehabilitating the pretreatment plant and the outfall pumping station of Koumassi-digue;

Restore the f low o f wastewater to the interceptor by rehabilitating neighborhood pumping stations in Cocody, Koumassi, Marcory and Treichville;

Increase the f low o f wastewater into the interceptor and reduce network anomalies b y connecting neighborhood sewers in Abobo, Adjam6 and Treichville to the interceptor.

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Rest .ation of functioning of interceptork Station S7 [ Abobo Rehabilitation of pumping station

Station 751 Marcory

Koumassi-digue

Abobo 4 Ctages

Bietri

Abobo

I

- Station RC11 Cocody

Connection Dokui-Djoni Connection TC secteur

CIE Connection TC secteur

Sodeci

AdjamC Quartier Latin

- Station MU7 - Station MU 8 - Station RM1 - Station RM4

Abobo

Abobo

Abobo

AdjamC

- Station KS 1 - Station RK1 - Station RK2 - Station RK3 - Station RK4 - Station RK6 - Station RK8

- Station RK11 - Station RK12 - Station RK13

- Station Biafrais

Marcory Marcory Marcory Marcory

Koumassi Koumassi Koumassi Koumassi Koumassi Koumassi Koumassi Koumassi Koumassi Koumassi

Treichville

AdjamC Reboul et Garden Center

AdjamC

Connection Belleville Treichville

Connection Palais des Sports

Treichville

I

Rehabilitation of screener and pumping station

Rehabilitation of vis d’ Archimkde, screener, pretreatment and outfall

pumping station .litation of neighborhood pumping si Rehabilitation of pumping station Rehabilitation of pumping station Rehabilitation of pumping station

Rehabilitation of pumping station Rehabilitation of pumping station Rehabilitation of pumping station Rehabilitation of pumping station

Rehabilitation of pumping station Rehabilitation of pumping station Rehabilitation of pumping station Rehabilitation of pumping station Rehabilitation of pumping station Rehabilitation of pumping station Rehabilitation of pumping station Rehabilitation of pumping station Rehabilitation of pumping station Rehabilitation of pumping station

Rehabilitation of pumping station

on of neighborhood sewers to the in Replacement of asbestos pipes by

PVC and network extensions Extension secondary sewers

Extension secondary sewers

Extension secondary sewers

Replacement of asbestos pipes by PVC and network extensions Access road to the interceptor

Extension secondary sewers

Extension secondary sewers

[fall 1.25 M I Restoration of wastewater

1.36 M

2.27 M

collection through the interceptor

Restoration of ocean outfall

;ions 0.57 M 0.27 M 0.22 M

0.57 M 0.22 M 0.12 M 0.15 M

0.27 M 0.15 M 0.12M 0.28 M 0.15 M 0.12 M 0.22 M 0.12 M 0.33 M 0.17 M

0.15 M

rceptor 0.46 M

0.45 M

0.11 M

0.77 M

1.02 M

0.27 M

0.20 M

0.11 M

Reduction of discharge of wastewater into the lagoon

(IndCniC et Cocody)

Reduction of discharge of wastewater into the lagoon

and drains

Reduction of discharge of wastewater into the lagoon

and drains

Reduction of discharge of wastewater into the lagoon

and drains

Reduction of discharge of wastewater into the lagoon

and drains

Reduction of sewer breaks and connection of housing Connection of housing and

elimination of faulty service connections

Reduction of sewer breaks and connection of housing

Facilitation of maintenance of interceptor

Connection of housing and elimination of faulty service connections

Connection o f housing and elimination of faulty service connections

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Communication Campaign Information and awareness I Vicinity o f I Media campaign, focus groups and I 0.22 M I Facilitation of operations

I o f riparians of facilities I stations I hygiene education I I o f the system I - -

Readiness

29. The detailed design studies o f al l these activities have already been prepared by DAD with the assistance o f SODECI. The bidding documents o f the first phase (see below for the phasing o f activities) wil l be prepared by DAD before May 30, 2008. The environmental and social assessments o f the first phase (see below the phasing o f activities) w i l l be managed and funded by DAD and should be completed by June 30, 2008. Insufficient wastewater flows had previously caused intermittent operations of the ocean outfall, resulting in a malodorous nuisance in the vicinity o f the surge tower o f the outfall in Port-Bouet. A detailed mitigation plan w i l l be prepared (including operating guidelines such as the addition o f l ime to the effluent and the abstraction o f lagoon water into the outfall to ensure continuous pumping) to address this. An awareness and communication campaign to alleviate the concerns o f the riparians o f the facilities w i l l be designed by SODECI and DAD before June 30, 2008. The other environmental and social assessments w i l l be funded by the project and should be completed by October 30,2008.

Financing and Phasing

30. The grant-financed amounts include, in addition to the base costs o f works and equipments, the costs o f supervision (5 percent o f base costs), and physical and price contingencies (7.5 percent and 6 percent o f base costs, respectively). The financing i s presented in the following table.

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Rehabilitation of main pumping stations and outfall facilities:

- Station S7 (Abobo) - Station 7J1 (Marcory)

- Koumassi-digue

Rehabilitation o f neighborhood pumping stations:

- Marcory - Koumassi - Treichville

- Cocody

Connection o f neighborhood sewers to the interceptor :

- AdjamC - Treichville

- Abob0

4.88 1.25 1.36 2.27

4.20 1.06 1.06 1.90 0.15

3.40 1.79 1.29 0.3 1

Communication campaign I 0.22

Supervision I 0.63

Total Base Costs I 13.36 Contingencies I 1.87

Grand Total I 15.20

31. schedule of the activities i s as follows:

The activities wil l be executed in two phases separated by three months. The time

Phase I (tendering scheduled at the beginning of September 2008): Rehabilitation of main pumping stations, of outfall facilities and of neighborhood pumping stations

Phase I1 (tendering scheduled at the end of November 2008): Linkage of neighborhood sewers to the interceptor.

Impact and Monitoring Indicators

32. The sewerage corn onent wil l help reducing the flow of wastewater into the Abidjan lagoon by about 40,000 m /day and will connect an additional 100,000 people to the interceptor and the ocean outfall. The corresponding monitoring indicators have been defined with DAD and SODECI.

P

30

Type of impact Indicator Source Outcome indicators:

Reducedflow of waste Number of additional people DAD/SODECI water discharged in the connected to the interceptor lagoon and increased access to the sewer Intermediate outcome indicator:

network (interceptor) Reduced flow of wastewater SODECI operations being discharged in the lagoon

Outcome indicators

Improvement Of Operations Number of standardized service SODECI operations of the system connections

Implementation Arrangements

33. The sewerage component wi l l be executed by DAD, which wi l l be responsible for drafting, finalizing the bidding documents, and managing the environmental and social assessments. Consulting f i rms wi l l be recruited to supervise the execution of works and equipment contracts. DAD wi l l monitor the performance of the consulting f i r m s which wi l l be recruited to supervise the execution of works and equipment contracts.

34. The procurement plan has been designed on the basis of one contract for the supply of rehabilitation equipment (al l stations and plants), one contract for the installation of equipment and two contracts for the connection of neighborhood sewers to the interceptor. Given the lack of qualified equipment installers in C8te d’Ivoire, DAD proposed to contract SODECI on a sole- source basis. This arrangement has been used in a previous rehabilitation project financed by the EU, which faced unsuccessful tenders of installation contracts. The proposal wi l l be reviewed after verifying that SODECI’s services are competitive.

35. Communication activities, as well as the monitoring and reporting of outcome indicators wi l l be carried out by SODECI under DAD supervision. In addition, SODECI wi l l provide DAD with necessary information and documents for the preparation of progress reports.

Component 111: Solid Waste Management (US$12 million equivalent)

Objective and results indicators

36. The main objective of this component i s to increase the collection, removal and disposal of household solid waste in the city of Abidjan to help improve public health and living and environmental conditions for the city dwellers.

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37. The specific objectives are the following:

0 Eliminate the main unregulatedhformal disposal sites in the urban area; 0 Establish an efficient system o f waste collection and disposal, wi th the local private

sector; 0 Improve routing o f waste transport vehicles through rehabilitation and resumption o f

the Williamsville transfer station; Conduct an outreach campaign on sanitation and hygiene, including an HIV/AIDS component; Improve living conditions o f those l iving near the AkouCdo landfi l l site (Akouedo Village).

38. The Solid Waste Management component performance indicators are the following: (i) establishment o f an effective system o f waste collection and disposal; (ii) quantity o f waste collected and dumped at the Akouedo disposal site over the next four years; (iii) quantity o f waste transiting through the Williamsville transfer station over the next four years; (iv) number o f messages delivered to households through public outreach campaign on hygiene and sanitation, include an HIV/AIDS component; (v) number o f students l iv ing near the Akouedo dump who are enrolled in school beginning in 2008/2009 academic year; (vi) additional number of beds in the health center maternity clinic.

Key elements of background

39. Household waste collection and disposal in the City of Abidjan were handled by a private solid waste operator (Socie‘te‘ industrielle des transports automobiles africains) until 1990 and by public and private operators thereafter. The collection rate, which had been 75 percent in 1989, fe l l to 65 percent by 2000. Despite the private sector participation instituted by the City o f Abidjan, the collection rate continued to drop dramatically, settling at 46 percent in 2006. There are no waste collection statistics for 2007, but the rate has not exceeded 50 percent due to numerous disruptions, including the strike by private operators who were not being paid regularly by local governments.

40. Solid waste management in the City o f Abidjan i s currently characterized by the absence o f a sustainable financing strategy, a fragmented institutional framework, and inefficient solid waste pre-collection, collection, transfer, transport, and disposal systems that lead to huge sanitary and environmental risks.

41. Solid waste management service i s financed by a Tax for Household-Refuse Removal (Taxe d’Enlkvement des Ordures MCnagkres-TEOM) based on electricity consumption (about US$0.056 per KWh) and, until 2003, by a contribution from the City Council. The national power company (Compagnie ivoirienne d’electricitk, CIE) has never transferred the taxes to local governments, claiming that the latter have not paid amounts due for public lighting. In addition, the tax regime regarding the solid waste sector i s poorly documented.

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42. The following table shows waste management expenditures for 2006 and 2007.

2006

2007

Summary of costs o f household waste collection (in CFAF thousands) and quantity of solid waste collected (in thousands o f tons).

January Feb. March April May June July August Sept. Oct. Nov. Dec. Total Waste expendi- tonnage

tures 341 944 792 425 650 597 553 541 0 0 881 461 898

369 686 628 677 618 576 602 493 509 608 600 0 685

43. While the sum required for effective waste management in Abidjan i s estimated at US$27.27 mi l l ion per year, expenditures in 2006 and 2007 barely exceeded 50 percent o f th is envelope. The average cost o f collecting and transporting one ton o f waste to the AkouCdo disposal site ranges from US$18.18 to US$22.73, while the cost o f disposal o f one ton i s about US$7.95.

44. The Urban Sanitation Support Fund (Fonds de soutien aux programmes de salubrite' urbaine, FSPSU) was created by government decree (No 2007-588) in October 2007. The fund i s managed by a committee and replenished by resources derived from: property tax payments, Government budget, loan, sanitation taxes and financial aids.

45. In 2007, the institutional framework for solid waste management underwent a significant change with the creation of a National Urban Sanitation Agency (Agence nationale de la salubrite' urbaine) (ANASUR) (by Decree 2007-587 dated October 4, 2007). The purpose o f ANASUR i s to:

Regulate management o f the disposal circuit for a l l types o f waste having an impact on urban sanitation; Serve as the public service concessionaire charged with the cleanliness and hygiene o f cities, towns, and districts in CBte d'Ivoire; Serve as the concessionaire charged with waste treatment and processing; Oversee the proper operation o f infrastructure entrusted by the Government to third parties or to local governments for the transfer, recycling, and processing o f solid waste; Organize and manage emergency operations; Manage the Urban Sanitation Support Fund (Fonds de soutien aux programmes de salubritC urbaine PSPSU); Combat hygiene and sanitation hazards in urban areas.

46. ANASUR has an Administrative and Financial Department (DAF), a Projects and Studies Department (DPE), and a Logistics and Technical Coordination Department (DLCT). The staff of the agency i s currently being recruited and technical and material resources are being put in place. ANASUR has a budget o f US$830,000 for 2008. In 2008, the Government allocated CFAF12 bi l l ion (US27.27 million) to ANASUR.

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47. As o f 2008, ANASUR i s exclusively responsible for waste management in the City o f Abidjan, and issued a bidding invitation to assign four solid waste removal zones to private operators. This initiative was unsuccessful, since the resources and capacities o f the private f i rms were not adequate to provide services in zones that were too large. ANASUR re-divided the urban territory into six zones, and has launched a second bidding process with the public procurement department (Direction des murchks publics) (DMP), which has allowed to concede the six zones to four operators.

48. With a waste collection rate scarcely exceeding 50 percent over the past three years, the city has experienced a proliferation o f unregulated dump sites that constitute a nuisance and pose health and environmental risks.

49. The AkouCdo landfill site i s not managed according to environmental and sanitary standards. In addition, highly toxic waste exported f rom Europe has been transferred there, leading to environmental pollution, poisonings and deaths. According to the authorities, the landfi l l i s to be closed within three years. People living in proximity to it regularly complain o f i t s harmful effects and often resort to blocking access for solid waste disposal vehicles.

50. Subsequent to an international bidding invitation, an Italian firm i s now constructing a sanitary landfi l l (centre d’enfouissement technique, CET) at the Akoueka site using a BOT (Build/Operate/Transfer) approach. The firm has not been paid, however, and the authorities have asked that the work be stopped in the wake o f a report f rom the BNEDT (Bureau National d’Etudes Techniques et de DCveloppement) indicating that the CET does not meet environmental standards.

Key elements of design

5 1. The fol lowing activities wil l be financed:

Operation “Clean City”

Outreach campaign Institutional support

0

Rehabilitation o f the Williamsville transfer station

Improvement o f living conditions for those living near the AkouCdo landfill site

52. eventual impact. Five sets o f activities were identified in four sub-components:

Eliminate the main unregulated disposal sites in the city; Establish an effective system o f waste collection and disposal, with the local private sector; Improve routing of waste transport vehicles through rehabilitation and resumption o f operation o f Williamsville transfer station;

The table below summarizes the selected activities, together with their location, and their

34

Conduct an outreach campaign on hygiene and sanitation, include an HIV/AIDS component; Improve living conditions of those living near the AkouCdo landfill.

Activity I Location I Description I Performance Indicator

- - Williamsville transfer station

Waste routed through the I Abidjan I Quantity of waste collected and

Waste Disposal

Establish an effective Waste collection

Abidjan Waste disposal at the Akoutdo 500,000 Tons AkouCdo disposal site

system of waste collection and disposal, with the local private sector Abidjan Waste to be collected and dumped

at the disposal site in

2008 706,000 Tons

2009 850,000 Tons

2010 910,000 Tons

201 1 1,100,000 Tons

2009

I I L V l L

I I 2010

575,000 Tons

201 1

ql -1

Williamsville transfer station

445.000 Tons

480,000 Tons

525,000 Tons

1 dumped at the disposal site in

Outreach campaigns CBte Messages delivered by 300 60,000 Households d’Ivoire facilitators reaching

Operation “Clean City” - US$3.3 Million

Improve Pupils enrollment

More beds to the maternity clinic

53. This sub-component consists of eliminating the main unregulated informal disposal sites within the City of Abidjan. It i s aimed at improving hygiene in the city, providing private operators with a better working environment, and reducing health and environmental hazards.

Messages delivered by mass media facilitators reaching

living conditions for people living near the Akouedo dump Akouedo Enrollment o f pupils beginning in

250,000 Households

2009120 10 academic year 1,200

Additional beds to the health center’s maternity clinic 10 Beds

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54. I t wi l l be carried out under the supervision o f a Steering Committee made up o f governmental representatives f rom the national, district and local levels, including: the Ministry o f Urban Affairs and Sanitation, Ministry o f the Environment, Ministry o f Interior and Local Governments, the District o f Abidjan, Municipalities o f Abidjan, the National Environmental Agency, ANASUR, and others, under the leadership o f the Ministry o f Urban Affairs and Sanitation. ANASUR i s the technical secretariat o f the Committee and wil l develop a priority intervention plan to be validated by the committee. ANASUR will draw up cost estimates, prepare and launch bidding invitations, and select f i r m s under the coordination o f the PCU.

Rehabilitation of the Williamsville transfer station - US$6.185 Million

55. storage o f waste and i t s removal to the landfill site. I t would include

This sub-component aims to resume operations at the transfer station and enable the

Rehabilitation o f the area on and around the weigh bridge; Construction o f fencing; Reconstruction and strengthening o f the access cross-over f rom the Abobo expressway and of internal roads; Rehabilitation o f the loadinghnloading platform; Renovation o f offices; Provision o f security and fire equipment; Installation o f silos and alveoli; Installation o f fuel tanks and pumps; Rehabilitation o f the water tower and water supply system; Construction o f a washing station; Refurbishment o f the workshop; Installation o f a collection and treatment system for wastewater and leachate.

56. The rehabilitated transfer station w i l l be ceded to a private operator on the basis o f competitive bidding. ANASUR wil l be responsible for supervising and evaluating the operator’s performance.

Outreach campaign - US$722,000

57. The campaign aims to raise popular awareness about hygiene and sanitation through the mass media, home visits, and the organization o f contests and sporting and cultural events. The focus wil l be on hygiene and sanitation, but the campaign wil l also include a component on HIV/AIDS awareness and education. The campaign w i l l be implemented over a period o f three months and w i l l include the fol lowing main components:

Campaign conducted through public service spots in the mass media (television, radio) to communicate messages on hygiene practices, HIV/AIDS and sanitation. The messages are expected to reach 25,000 households. A door-to-door campaign deploying 300 facilitators over a period of 20 days, for a coverage rate o f 60,000 households;

36

At least one cultural or sporting event in each of the city’s 13 townships, including the distribution of promotional items for the hygiene and HIV/AIDS prevention campaign; Participation in the National Hygiene and Sanitation Day.

58. under the authority of the Ministry of Urban Af fa i rs and Sanitation.

The campaign wil l be organized by a steering committee made up of al l stakeholders

Institutional support - US$722,000

59. This sub-component aims at improving the institutional environment and includes training, capacity building, and the development of tools. This support i s intended for a l l actors, including local governments, for oversight of services in their jurisdiction and compliance with good hygiene practices.

Training and capacity building;

0

Provision of equipment (computers, printers, scanners, etc.); Development of management tools (e.g., waste management software and manuals); Development of a GIS database for the routing of waste collection vehicles.

60. improve solid waste management services in the City of Abidjan.

ANASUR wi l l consult al l stakeholders in preparing a program of capacity building to

Improvement of living conditions close to the AkouCdo landfill site - US$515,000

61. This sub-component aims to improve conditions o f hygiene and educational access for people living close to the AkouCdo landfill site. The landfill site i s not in compliance with the standards of a technical subsurface containment center, and the resulting odors, leachates, and assorted hazards have a negative impact on the health of nearby residents.

62. The program consists of an expansion of the existing school, with the construction of six new classrooms and the conversion of the municipal dispensary into a health center with a maternity clinic, to reduce infant and maternal mortality rates.

37

Costs of the solid waste component in US$ are as follows:

Designation

Operation “Clean City”

Rehabilitation of the Williamsville transfer station

Outreach campaign

Institutional support

US$

3 300 000

6 185 000

122 000

122 000

AkouCdo dump, through construction of a school

Implementation arrangements

‘63. The project wi l l be managed by ANASUR in close collaboration wi l l a l l relevant ministerial departments (Environment, Education, Women’s Affairs, Youth, etc.) and local governments.

64. the contracts. ANASUR wi l l also monitor the performance of the component.

ANASUR i s responsible for drafting and finalizing the bidding documents, and managing

65. The outreach campaign wi l l be implemented by ANASUR in collaboration with the General Department for Urban Sanitation and Living Standards, the Ministry of the Environment, including inter alia the National Environmental Agency, the Ministry of Education, and the Ministry of Women’s Affairs.

Component IV: Urban Roads Rehabilitation (US$28 million equivalent)

Objective and results indicators

66. The objective of the component i s to help the Government increase urban mobility and restore access to transportation services by improving road networks, which in turn, contribute to improve functioning of institutions and economic activity. The component’s activities focus on: (i) repair of vertical and horizontal signs to improve road safety; (ii) restoring public transportation services in underprivileged neighborhoods, previously suspended because of poor road conditions; (iii) improving year-round traffic flow with measures to ease congestion and flooding at critical locations; and (iv) connecting the main road networks to secondary streets to ease access to new neighborhoods that generate significant traffic.

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Expected outcome

67. The overarching impact of the urban roads rehabilitation activities wil l be improved mobility in the Cities of Abidjan and Bouake. The following table provides an indication of expected effects by category of activity.

Category of activity Vertical and horizontal signs

Rehabilitation of roads that are mass transit routes

Construction of a pedestrian overpass from Williamsville to AdjamC Solibra

Building or upgrading of roads and works

BouakC urban roads

ExDected outcome Repair of vertical and horizontal road and traffic signs over a large part of the urban road network

Rehabilitation of six roads on which public transportation lines have been suspended or are operating in difficult conditions

Construction of a 50 m footbridge above the expressway and extension of pedestrian access ramps in two neighborhoods

Provision of services to new neighborhoods by direct connections to the road network, construction of a split-level highway interchange

Rehabilitation of five roads measuring a total of 7 k m s

Key elements of background

Current status of the urban road system and traffic

ExDected ImDacts Travel facilitated, reduction of the number of accidents and improved road safety

1. Suspended public transportation routes restored

2. More passengers transported in the zones served by rehabilitated roads

3. Reduced journey time on rehabilitated roads 1. Reduction of fatal accidents at the site 2. Facilitate access to public transport stations

1. Less congested intersections

2. Restoration of signs has helped to improve road safety in the city

3. Reduced traffic disruptions at two critical areas regularly flooded in the rainy season

4. Improved access to new neighborhoods. Improved traffic on rehabilitated roads

68. The road network of the City of Abidjan i s relatively well developed compared to other large cities in Sub-Saharan Africa. I t consists of over 1,200 km of paved roads, of which about 22 percent (272 km) are expressways, some of which meet the standards of motorways and urban expressways. Since the country became independent, th is network has been built up gradually and continuously by means of urban development programs initiated by the Government of C8te d’Ivoire and supported by development partners, including the World Bank.

39

Management of the road system:

69. The following agencies are involved in the management o f the road system: There i s a need, however, for a more precise project ownership o f the road network, and particularly o f the urban road system, between the State, the District and the municipalities. With this aim, and to remedy existing problems o f coordination between AGEROUTE and the local communities, AGEROUTE has proposed a new road network classification, which i s currently in the process o f being approved by the relevant authorities.

0 The Ministry o f Economic Infrastructure (Ministtre des Infrastructures Econorniques) (MIE) The Department o f Roads and Road Systems (Direction des Infrastructures routiires)

70. Located within the Ministry o f Economic Infrastructure, the Department for Roads and Road Systems i s responsible for: (i) defining policy, guidelines and strategies concerning road infrastructure; and (ii) formulating technical standards and specifications, and providing technical oversight.

0 The Roads Management and Maintenance Agency (Agence de Gestion et d’Entretien des Routes) (AGEROUTE)

71. AGEROUTE i s the national agency responsible for road maintenance, created in 2001. I t s governing body i s comprised o f ministerial representatives f rom Economic Infrastructure, Development Planning, Economy and Finance, and Agriculture and Animal Husbandry, and it reports to the Ministry o f Economic Infrastructure and the Ministry o f Economic and Finance. AGEROUTE’S responsibilities include: (i) programming and monitoring o f the execution o f maintenance and construction work; (ii) procurement o f studies and works; (iii) supervision o f studies and monitoring o f work; (iv) monitoring o f the road networks; and (v) creation and management o f road data banks.

72. AGEROUTE has signed a “Convention o f Delegated Contract Management’’ wi th the Government o f C8te d’ Ivoire for management o f the State-run road network. Responsibilities and tasks defined in the Convention Framework include: (i) management o f the State-run road network; (ii) monitoring, steering and coordination of studies and consultancies concerning the road sector; and (iii) management o f procurement o f works and supplies, study and consultancy contracts, and invoice payments. The Convention defines operational, financial and legal arrangements for the delegated contract management, including: (i) obligations o f the two parties, (ii) remuneration o f the delegated contract manager, (iii) management accounting procedures, and (iv) procurement procedures.

The Road Maintenance Fund (RMF)

73. The Road Maintenance Fund i s a government agency created in 2001 to finance (i) studies and maintenance of the road network; and (ii) project ownership and project management for studies and road maintenance work. I t s principal resources come from petroleum product

40

sales taxes for cars and trucks, road network tolls, proceeds from the operation of weigh stations, and fees from road works concessions. The RMF became fully operational in 2006.

74. The governing body of the RMF consists of representatives from Government, the private sector, and civil society, including the Ministries of Economic Infrastructure, Transport, Economy and Finance, Trade, and Decentralization; the Professional Petroleum Industry Group, and Chamber of Commerce and Industry; and the CGte d’Ivoire Federations of Transport Workers’ Unions, Drivers’ Unions, and Consumers’ Associations. As does AGEROUTE, the RMF reports to the Minister of Economic Infrastructure and the Minister of Economy and Finance.

The District of Abidjan

75. personality and financial autonomy. management of the road system in the District.

By virtue of Law No. 2001-478 of August 9, 2001, the District of Abidjan has legal I t s areas of competence include land use planning and

Municipalities of the City of Abidjan

76. Law No. 2003-208 of July 7, 2003 on the transfer and allocation of competencies of the State and the local communities gave the ten municipalities of the City of Abidjan have competencies in land use planning, particularly with regard to management of transportation routes and various networks.

Urban traffic

The urban transport system

77. Travel within the City of Abidjan (mainly NortWSouth) i s characterized by the economic and demographic layout of the city. Large entry and exit centers are located on either side of the lagoon. Most of the administrative, services, and industry economic sectors located in the southern zone, a sparsely populated area extending to the Plateau (Plateau, Port Boutt, Koumassi, Marcory, Treichville), while 65 percent of the population lives in the mainly residential northern zone (Cocody, Yopougon, Abobo, Adjamt, Atttcoubk).

78. The public transport system in the City of Abidjan consists o f

The Abidjan Transport Company (SOTRA), which provides combined road and lagoon transport and currently has a fleet o f about 662 buses with an average age of seven years. Under the concession agreement concluded with the Government, SOTRA has a monopoly of public transport in the City of Abidjan, with the exception of the Abobo and Yopougon neighborhoods, which since 1998 have been serviced by a private operator (SOTU). In practice, since SOTU i s not operational, SOTRA covers the entire urban area;

41

Mass transit services are provided by a number of private operators in the informal sector, which operate minibuses and city taxis commonly known as “gbakas” and “woro-woros”. Originally these vehicles were restricted to local transport between the city and the peripheral communes of Dabou, Bingerville and Anyama (in the case of the gbakas) and to trips within the municipalities (in the case of the woro-woros). Because SOTU i s non-existent and SOTRA i s unable to meet citywide demand, these private services now operate throughout the city. Following the liberalization of used vehicle imports, the development of the city and the reduction of SOTRA services, the fleets of gbakas and woro-woros have grown tremendously and reportedly now number 5,000, and 15,000 to 20,000 vehicles, compared with 2,700 and 5,000 in 2002;

Private services providing private group transportation, using buses with 40 to 50 seats;

Individual metered taxis operating throughout the city, which reportedly now number 15,000.

79. Private cars and individual taxis, which in 2002 represented 80 percent of the fleet of vehicles driven in the city (over 160,000 vehicles) account today for only about 30 percent of trips. Communal transport vehicles (buses, minibuses and communal taxis), though representing only just over 5 percent of the fleet, account for over 66 per cent of trips.

Management of urban transportation

The principal institutions involved are:

The Urban Transport Management Agency (AGETU)

80. AGETU i s the national urban transport agency responsible for regulating and overseeing mass transit in the 10 communes of the City of Abidjan and the six neighboring communes (Anyama, Bingerville, Grand-Bassam, Songon and Jacqueville). Created in 2000, i t s governing body i s comprised of representatives from the Government, local communities, transit operators and civil society (Ministries of Transport, Interior, Decentralization, and Economy and Finance; the City of Abidjan and i t s ten municipalities; the transport companies, Chamber of Commerce, consumers (users), and urban public transport service concession-holders.)

The Road Safety Office (OSER)

81. Created in 1978, OSER i s an administrative public agency in charge of conducting studies (accident data analysis and identification of corrective measures, researcWdevelopment) and improving road safety, particularly in the area of training (driving school instructors, driving test examiners, road safety education in schools, etc.). OSER reports to the Ministry of Transport.

42

Implications of the crisis for the urban road system and traffic

82. As a consequence of the political-economic crisis affecting the country, the once- satisfactory Abidjan road system has begun to deteriorate due to the lack o f regular maintenance and delays in necessary investment and network expansion. Cursory inspections o f primary and secondary roads conducted in 2003 by AGEROUTE revealed a relatively high level of deterioration (60% o f the surface inspected). In addition, critical low-lying areas are flooded during the rainy seasons because o f inadequate drainage systems, causing road dilapidation and traffic disruption, wi th roads in these areas remaining impassable for long periods.

83. The deterioration in road system services has created consequent limitations on the provision o f public transportation and the mobility o f a large share o f the urban population. These impacts are reflected particularly in: (i) deterioration of access to communal transport in poor neighborhoods, which used to be relatively well served; (ii) congestion on main roads that are s t i l l in good condition; and (iii) transportation difficulties in new neighborhoods.

84. At the time o f project appraisal, some poorer neighborhoods in the densely populated municipalities o f Abobo and Yopougon were no longer served by SOTRA, which had suspended some o f i t s routes because o f the deterioration o f the road network. In addition, as a result o f the numerous diversions required by localized degradation, travel and turnaround are affected.

Response of the Government and of other donors: Recent projects and projects under preparation

85. Because o f the critical conditions of the road system and the need to address the most urgent needs, the Government has mobilized local resources for repair work to restore especially dilapidated main roads and to treat areas that are critical for mobility in the City o f Abidjan. The work done in 2006 and 2007 (at a cost o f about 7.5 bi l l ion CFA francs) involved road reconstruction and rehabilitation, and works to improve rainwater drainage systems in the municipalities o f Cocody, Yopougon and Abobo.

86. Despite these considerable Government efforts, however, they are st i l l not commensurate wi th the great need to rehabilitate heavily dilapidated road pavement and to reinforce rainwater drainage systems in the City.

87. The program o f support for decentralization and municipal development funded by the European Commission in other cities includes a road component (US$17.04 million) for the towns o f Bondoukou, Bouakt, Daloa, Korhogo, San Pedro and Odiennt, involving maintenance o f urban roads and drainage works. In the particular case of the City o f Bouakt, work has started on 11 km for a total cost o f US$3.63 million.

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Key elements of design

City of Abidjan

88. The activities selected for the City of Abidjan and i t s municipalities were selected through a participatory process involving the various stakeholders: AGEROUTE, as manager of the road network; the District of Abidjan and the Communes; AGETU; and the mass transit operators. In response to numerous requests from transit operators, administrative and political authorities and road users for maintenance and rehabilitation work on the roads of the City of Abidjan, in December 2003 AGEROUTE, with the help of staff from the technical services of the communes of the City of Abidjan, conducted a cursory inspection campaign to assess needs. Subsequently, detailed discussions with stakeholders defined priorities which were the basis for the first Government-financed works. On the project evaluation mission, available component resources were considered and priorities refined after further discussions with the various stakeholders (operators, local communities, etc.) and on-site visits. The goal was to avoid scattering activities with limited impact on the improvement of services. Priority was given to a limited number of activities designed to restore suspended public transport routes, to ensure traffic and service continuity and the same level of service over sufficiently long stretches. The program adopted i s designed to have major impact on the mobility of a large number of inhabitants across the City’s socio-economic strata.

City of BouakC

89. The selected activities for the City of Bouakt are bas d on th findings of the feasibility and technical survey of 2007 EU-funded road works in the towns of Bouakk, Korhogo and OdiennC. The roads chosen were selected with the aim of providing a logical complement for the program of works over 11 km, which were funded by the European Commission and wil l be completed during the first half of 2008.

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90. the selected activities and their costs, excluding all taxes.

The total cost o f the component i s estimated at US$28,000,000. The following table l i s ts

No.

1

2

3

4

5 6

7 8 9

10

Activities of the urban road componi Description

Horizontal and vertical signs

Rehabilitation of roads that are mass transit routes (SOTRA and gbakas)

2.1 Anador - Derribre Rail - Abobo Sagbt - SOTRA terminus: 2.1 km

2.3 Rehabilitate pavement at low-lying point AGETU/Williamsville

2.4 Bushdustrial Center -TELCOM - Adjam6 town hall site: 1.350 km

2.5 Intersection SOTRA Depot - Andokoi bridge 1.6 km 2.6 Anoumabo road/ATCI bridge - AmCthier Alliodan

Pharmacy 2.7 Turnaround point - CitC verte: 0.300 km

2.8 Critical low-lying point at Industrial Zone intersection 2.9 Critical low-lying point at Saguidiba Technical Service town

hall Upgrading or building of roads or works

3.1 Overpass from Williamsville to Adjam6 Solibra

3.2 Construction of connection 7th - 9th allotment phases 3.3 Tarring of rue AndrC Malraux - I80 - CSU Riviera

palmeraie: 2km 3.4 Upgrading of Riviera 2 interchange

3.5 Enlargement of Zoo-Williamsville intersection 2.1 km BouakC road system

4.1 Road no 2: 1.500 km 4.2 Road 3: 0.500 km 4.3 Road 8: 1.400 km 4.4 Road 9: 1.500 km 4.5 Road 10: 0.600 km 4.6 Road 12: 1.400 km

Total cost of works Project management (study and works) - 8% of cost of works

6.1 Studies (2.5%) 6.2 Works oversight (5.5%)

Delegated project ownership Grand total

Unforeseen expenses (4.95% for total without VAT and 5.06% for total including all taxes)

Grand total

2.2 Route du Zoo - Sans manquer: 2 km

t Location

/municipality City

grouping

Abobo

Abobo Abobo

AdjamC

Yopougon Koumassi Yopougon Yopougon Yopougon

Abobol Adj am6 Cocody Cocody

Cocody Abobo

Amount in US$ (excluding taxes)

2.73

5.48 M

1.19 M

1.03 M 341,000

76 1,364

568,182 511,364 227,273 568,182 284,090

13.98 M 1.36 M 2.73 M 1.36 M 6.83 M

1.7 M 0

1.97 M 284,090 147,728 625,000 43 1,819 68,182

409,091 24.14 M

1.93 M

603,694 1.33 M

724,432 26.8 M 1.19 M

28 M

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Implementation Arrangements

Executing agency

91. The activities in the component wi l l be executed by the Road Management Agency (AGEROUTE) under the Convention o f Delegated Contract Management signed with the Government and under the supervision o f the Project Coordination Unit (PCU). Detailed Specifications signed by the Ministry o f Economic Infrastructure and the Ministry of Economy and Finance on behalf o f the Government and by AGEROUTE describe the delegated tasks and the obligations o f the two parties.

92. Respective implementation responsibilities o f the PCU and AGEROUTE are as follows.

Prepare and update consolidated Project Procurement Plan Ensure that project documents and bidding documents comply with Bank guidelines Analyze study and works progress reports produced by AGEROUTE Make invoice payments for services provided by AGEROUTE Make invoice payments to consultants and f i r m s Participate in provisional and final acceptance of work performed

Project Coordination Unit:

AGEROUTE: Prepare and update Procurement Plan for the Urban Road Rehabilitation Component Procurement management (invitation for bids, bid opening, evaluation, contract award and notification) Management and oversight o f studies and follow-up (TORS, instructions to proceed, supervision, assessment o f findings) Participation in bid evaluation and management o f documents (technical files, plans, special technical terms and conditions) Works management (on-site visits, orders to proceed, review o f works progress and of technical implementation problems, provisional and final acceptance o f works). Financial management (requests PCU approval o f changes with financial implications, verificatiodcertificatiodsubrnission to PCU o f project manager invoices, verificatiodapproval/submission o f progress payments).

93. The technical services departments o f AGEROUTE consist of:

Projects Department (4 Engineers) Network Management Department (5 Engineers, 1 Senior Technician) Road Maintenance Department (4 Engineers) Works Unit (2 Engineers, 1 Senior Technician) Procurement and Contracts Department (4 Engineers, Senior Staff).

94. Technical services f rom AGEROUTE for project execution w i l l include: (i) the Network Management Department, for monitoring studies and preparation o f technical bidding documents; (ii) the Projects Department, for supervision o f the road works; (iii) the

46

Constructions Unit, for monitoring studies, preparation o f bidding documents and works supervision; and (iv) the Procurement and Contracts Department, for management o f the procurement process. AGEROUTE’S current staff has the expertise and availability to perform these project implementation tasks

Allotment and implementation plan

95. Allotment of works under the component has been defined as wel l as an indicative implementation plan reflecting the project urgency and the need to achieve rapid results on the ground. The final design studies and the bidding documents for the signs and al l the rehabilitation work must be ready before the project initiation, so that invitations for bids can be issued immediately.

47

3

ri

N

r

e, e,

c, 8

E E E 6 % m 2 - z

E E r? 2 - F m E W

E s

Q VF hl W

E

Ln 0

Y

8 m m

3

c

I I

8 W* W

Component V Municipal Contracts (US$7 million equivalent)

Objective and results indicators

96. This component w i l l address the medium and long-term problems o f cities and aim to re- energize municipal functions that were largely taken over by the central government during the crisis. To th is end, the activities under th is component wi l l (i) draw up an inventory o f needs (services, infrastructure, management, organization and finances) and priority municipal investment, maintenance, and adjustment programs for an initial group o f 10 cities, based on urban, financial, and organizational audits, and (ii) support measures identified during the audits enabling local governments to reassume a portion o f their mandate with a view to normalization and stability. At the authorities’ request, two workshops were organized during the appraisal mission: one at the Ministry o f Urban Affairs and Sanitation for a l l the relevant national departments (Economic Infrastructure, Construction, Decentralization, Finance, Environment, etc.), and another at the headquarters o f UVICOCI (Union o f Towns and Municipalities o f CGte d’IvoirelUnion des Villes et Communes de C6te d’lvoire) at the request of the president of the Association o f Mayors o f CGte d’Ivoire. These workshops aim to explain the process and procedures used to prepare the Contracts.

Key elements of design

97. The following 10 cities have been selected: in Abidjan, the municipalities o f Port Bouet, Yopougon, Koumassi, Adjamt and Abobo, and in the interior o f the country the municipalities o f Divo, Daloa, Korhogo, San Pedro and BouakC. This first group o f cities was chosen according to the following criteria: (i) an explicit desire on the part o f the mayor to comply wi th the principles and rules o f the Municipal Contract; (ii) a more or less functional municipal team that i s ready to work; (iii) a population size and investment requirements that would yield a visible impact on as many people as possible; (iv) the existence of planning tools and data that could be used as a basis for the audits; (v) consolidation o f E C interventions.

98. Under the PSDAT, the European Commission has financed the fol lowing activities in 10 cities (Abidjan, Yamoussoukro, Bouakt, San Pedro, Korhogo, Man, Abengourou, Daloa, OdiennC and Bondoukou):

0

Satellite imagery: these are the property o f the Ministry of Planning and are now physically located at the BNETD; Atlas o f cities: under preparation. Due out in June 2008; Atlas o f facilities and populations, based on the 1998 census o f 10 dkpartements in the 10 regional capital regions: educational and health facilities, security, tourism, hydraulics. Statistics Department. Under preparation and due out in June 2008; Local planning documents [Documents d’aide d la programmation locale] for 6 cities (San Pedro, Daloa, Korhogo, OdiennC, Bouakt and Bondoukou). Just begun, and due out in July 2008; Mappingladdressing in San Pedro, Daloa, Bondoukou, Odiennt and Korhogo: surveys, address mapping, numbering o f doors, and compilation of address database completed.

0

0

51

Only street sign installation remains to be done. Bidding documents for street signs are ready, but have not been issued due to upcoming closure o f E C financing in September 2008.

99. All o f the selected municipalities within Abidjan now have the Greater Abidjan Master Plan as wel l as detailed city plans (except for Port Bouet, which i s under preparation). They also have sectoral documents concerning:

100.

Sector and neighborhood boundaries; Population and demographic trends; Sanitation; Road and urban transport networks; Safe water supply; Public lighting and mode of lighting; Household solid waste; School facilities; Healthcare facilities; Under-serviced neighborhoods; Identification o f under-serviced neighborhoods; Classification o f neighborhoods.

Municipal Contracts have been very successful in the sub-region, where they have been adopted over the past 15 years by over 160 cities in more than 13 African countries.

101. When properly prepared and monitored, a Municipal Contract can be an important instrument for channeling aid, regulating the funding o f local investments, reorganizing finances, and implementing a city’s development strategy. Such a contract i s signed between the central Government and a local government and includes a Priority Investment Program (PIP), a Priority Maintenance Program (PMP) and a Municipal Adjustment Program (MAP). These programs are developed by means of an audit process (urban, organizational, and financial). The Municipal Contract i s underpinned by supporting measures aimed at helping the municipality and the central Government to honor their respective commitments. Municipal Contracts are always followed by implementation and completion o f PIPS, PMPs, and MAPS. Funding for Municipal Contracts implementation i s partially included under the Emergency Urban Infrastructure Project, and it i s hoped that a free-standing Municipal Development Project w i l l follow to pick up implementation o f the Municipal Contracts. For the time being, the audits and the formulation of Municipal Contracts w i l l re-energize municipal teams, harmonize the relationship between the central Government and local governments, develop a database o f urban and financial data essential for decision-making, and provide a framework for programming priority investments.

Subcomponent 1: Urban, organizational, and financial audits (US$l million)

102. The urban, organizational and financial audits wil l be carried out by consulting f i r m s in close collaboration with municipal and central Government departments. These f i r m s w i l l be

52

trained in the use o f audit templates and in the participatory approach to consultation, validation, and final selection o f programs. Adherence to the template makes it possible to gather comparable data on al l cities and to compile a database.

103. The Urban Audit focuses on the city’s position in i ts region, the economic environment, population trends, the physical organization o f the city and the level o f services per neighborhood. I t identifies, locates and quantifies key investment and maintenance and leads to the formulation o f a Priority Investment Program and a Priority Maintenance Program.

104. The Financial and Organizational Audit focuses on the city’s financial health and managerial capacity. T h i s evaluation i s based on budgets, accounting, and tax documents produced by the city and by government departments responsible for the city’s financial and administrative oversight. I t attaches particular importance to the following key indicators:

Savings capacity; Level o f indebtedness; Dynamic nature of resources;

Investment efforts; Rate o f budget execution.

Dependency upon financial transfers from the central Government;

105. The audit i s accompanied by financial projections aimed at determining and quantifying the city’s commitments and at identifying specific, realistic, and concrete recovery/adjustment measures, which then lead to the formulation o f a Municipal Adjustment Program.

106. The PIP, PMP, and MAP thus constitute the content o f the Municipal Contract. This contract i s not legally binding, but instead represents a political, technical, and financial commitment and a platform for discussion among the various actors involved in local development.

Subcomponent 2: Accompanying measures (US$2 million)

107. These actions w i l l be largely identified during the audits and w i l l serve to support and motivate local governments, as an adjunct to the preparation o f the audits. They wil l also finance information and audit training workshops, as well as an ad hoc assistance mission responsible for quality control.

Subcomponent 3: Implementation of municipal contracts (US$4 million) 108. A small amount o f the grant (US$4 million) w i l l help finance a limited number of municipal contracts. Content of the municipal contracts (PIP, PMP, MAPS) wil l be identified through the audits and implemented by the PCU and the relevant municipalities.

53

Cost of the component 109. The estimated costs of the audits i s based essentially on the percentage of population, wi th some correction to take into account the complexities of large cities and the remoteness of some municipalities.

City Population

Port Bouet Yopougon Koumassi AdjamC Abobo Divo Daloa Korhogo San Pedro BouakC

Total

278 615 888 624 418 021 334 734 840 141 489 530 181 292 152 759 358 447 817 552

4 759 715

Audits US$

60 000 180 000 60 000 60 000

180 000 80 000 70 000 60 000 70 000

180 000

1 000 000

Accompanying Measures

2 000 000

Implementation

4,000,000

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Annex 2. Results Framework and Monitoring

Number o f additional people getting access to potable water

RESULTS FRAMEWORK

Assess project impact on population

1. Project design has been guided by a results framework used for both project management and Bank supervision. T h i s framework focuses on the project development objective (PDO) and the intermediate results expected from implementing each component. The matrix below w i l l be used to track progress towards the PDO and w i l l be changed accordingly if modifications are needed for the project during implementation.

Number o f constructed service connections and standposts

Results Framework

Assess the increase of production capacity

The Project Development Objective (PDO) i s to increase access to and improve the quality o f urban infrastructure and services in the country’s two largest cities, Abidjan and Bouake.

Number o f additional people connected to the interceptor

Improved infrastructure and priority basic services in water supply, sewerage, solid waste management and urban roads

Assess the increase o f access

Number o f rehabilitated pumping stations

Number o f people benefiting f rom

areas

Assess project impact on

I - Water Supply

Assess the increase o f production capacity

II - Urban Sanitation

Reduced waste water f low being discharged to the lagoon

Assess project impact on environment

55

Improved management capacity o f local governments

Number o f completed municipal audits and municipal contracts

111 - Solid Waste Management

Assess effectiveness o f municipal management activities

50% o f the quantity of solid waste produced in Abidjan i s collected and dumped to the Akouedo disposal site in 2008 The percentage increase respectively in 2009,2010, and 2011 to 60%, 65%, and 70%

I V - Urban Roads Rehabilitation

100% o f the solid waste management services i s delivered by the private sector and the budget allocated to the sector from the national and local authorities increase annually by 10% from 2008.

Number o f kms o f roads rehabilitated Assess impact on population and road network

V - Municipal Contracts

56

w w 0 kY

s 0

- cd

c a

4

8 8

-

v, m

9 n

8 8 m

0

x

0

2

0

0

0

2

Annex 3. Summary of Estimated Project Costs

Table A Project Costs Summary by Component

Local Foreign Total

Project Cost By Component US$ US$ US$ million million million

Component 1. Water Supply a. Increase of production capacity b. Reinforcement of primary networks c. Increase of access (Abidjan) d. Increase of access (BouakC) e. Supervision Price and Physical Contingencies Component 2. Urban sanitation (sewerage) a. Main pumping stations and outfall facilities b. Rehabilitation of neighborhood pumping stations c. Connection of neighborhood sewers to the interceptor d. Communication campaign e. Supervision Price and Physical Contingencies Component 3. Solid Waste Management a. Operation “Clean city” b. Rehabilitation of Williamsville’s transfer station c. Outreach campaign d. Institutional support e. Improvement of living conditions of those living near the Akouedo dump, through construction of a school (6 classrooms) and a health center Price and Physical Contingencies Component 4. Urban roads rehabilitation a. Horizontal and vertical signs b. Rehabilitation of roads that are mass transit routes (SOTRA & Gbakas) c. Upgrading or construction of roads or works d. Bouake road system e. Project management (study & works) f. Delegated project ownership Price and physical contingencies Component 5. Municipal contracts a. Municipal audits

28.00 20.11 7.89 1.63 5.40 7.03 1.16 2.75 3.91 4.03 6.20 10.23 0.74 1.17 1.91 0.33 0.82 1.15 0.00 3.77 3.77 3.70 11.50 15.20 1.08 3.80 4.88 0.94 3.26 4.20 1.36 2.04 3.40 0.13 0.09 0.22 0.19 0.44 0.63 0.00 1.87 1.87 9.59 2.41 12.00 3.30 0.00 3.30 4.33 1.86 6.19 0.72 0.00 0.72 0.72 0.00 0.72 0.52 0.00 0.52

0.00 0.55 0.55 20.52 7.48 28.00 0.00 2.73 2.73 4.74 0.74 5.48

11.81 2.17 13.98 1.79 0.18 1.97 1.54 0.39 1.93 0.64 0.08 0.72 0.00 1.19 1.19 6.40 0.60 7.00 0.80 0.20 1 .oo

59

b. Accompanying measures 1.60 0.40 2.00 c. Implementation of municipal contracts 4.00 0.00 4.00 Total Baseline Costs (including contingencies for each 48.10 42.10 86.20

Project Costs Total Project Financing Percent from IDA

component) Project Implementation coordination

Implementation period (FY July 1 -June 30) FY09 FY 10 F Y l l FY 12 Total 14.00 36.00 29.00 15.00 94 14.00 36.00 29.00 15 .OO 94

100 Dercent

0.20 1.80 2.00 Price and Physical Contingencies 0.00 1.80 1.80 Total Praiect Costs 48.3 45.70 94.00

Table B Financial Summary

(US$ million equivalent)

60

Annex 4. Financial Management and Disbursement Arrangements

Summary of Financial Management Capacity Assessment

1. The C6te d’Ivoire Urban Infrastructure Emergency Project w i l l be implemented as stated under the implementation arrangements through three pillars (i) a Monitoring and Steering Committee; (ii) a Coordination Unit and; (iii) relevant Technical Departments. The Project Coordination Unit (PCU) w i l l facilitate the overall management of the project. The PCU would be anchored within M A C O M which has a good and sufficient track record in managing Bank- financed projects namely PACOM.

2. M A C O M has satisfactorily managed the CI-PACOM, e.g. (i) project objectives and performance indicators were met and even exceeded in some cases; (ii) the disbursement rate was around 95 percent at project closing which was exceptional for the CGte d’Ivoire context; (iii) audit reports were submitted on time and unqualified with only a few reserves; and (iv) internal control has been strengthened by an updated project procedures manual and software, and training for project fiduciary staff.

Reviews over the four years o f implementation have shown that

3. As part o f the CGte d’Ivoire Urban Infrastructure Emergency Project preparation, a full financial management assessment was carried out in accordance with the Financial Management Practices Manual issued by the Financial Management Sector Board on November 3, 2005. The main objectives o f the assessment were to determine whether: (i) M A C O M has adequate financial management arrangements to ensure that project funds w i l l be used efficiently and economically for their intended purposes; (ii) project financial reports, including the Interim un- audited Financial Report (IFRs), w i l l be prepared in an accurate, reliable and timely manner; and (iii) project assets w i l l be safeguarded.

4. The conclusion o f the financial management assessment i s that financial management arrangements have an overall high risk rating because o f the country’s post-conflict context. The project w i l l be executed under the Bank’s Financial Management arrangement OPBP 8.00 “Rapid Response to Crises and Emergency Operations”. In that regard, financial management arrangements w i l l be streamlined and simplified during preparation while relying more on ex- post requirements during execution particularly early in project implementation.

5. The PCU wil l be responsible for the overall coordination and consolidation o f financial management and disbursement information. Staffing within M A C O M i s already comprised o f a core management team, including the Project Coordinator, a Procurement Specialist, an Administrative and Financial Officer (AFO), an Accountant, an Accountant from the government appointed to work on the project, and an Administrative Assistant. A Convention or Partnership Agreement i s about to be signed between the central Government and MACOM

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which w i l l confirm: (i) the scope o f MACOM’s mandate; (ii) staff selection decisions; and (iii) an operating budget.

Financial Management Risks

6. The financial management r isks are expected to be high for the fol lowing reasons: (i) governance and transparency have deteriorated at al l country levels; (ii) the control environment i s generally weak, as internal auditing i s not fully effective despite an extensive audit system in place, and external auditing bodies are not sufficiently functioning; (iii) there have been delays in executing public expenditures due to a lack o f accountability and inexperience o f key participants in the process, including Administrative and Financial Directors; (iv) disbursement o f external assistance has been slow; in particular, World Bank-financed projects have experienced low disbursement rates compared to the sub-region; and (v) project component management requires careful coordination o f multiple actors across complex organizations and levels o f governance (Ministry o f Economic Infrastructure, Ministry o f Construction, Urban Planning and Housing, ANASUR, AGEROUTE, Ministry o f Interior and Local Governments, Municipalities).

7. include:

However, these risks w i l l be mitigated by enhancing the control environment. T h i s w i l l

0 The Project coordination unit wil l be strengthened by some fiduciary training to ensure that sound financial management and procurement, and appropriate staffing arrangements w i l l be maintained throughout the l i fe o f the project; A computerized accounting system (SUCCESS) already in place wil l be updated and upgraded to allow for close monitoring o f project financial management implementation; Annual technical and financial audits, including an opinion on the project performance during the first year, wi l l provide early feedback on project and PCU performance; At least three supervision missions w i l l be carried out in collaboration with governmental authorities; Agreement wi th the Government w i l l be sought for a special emergency projects procedure that allows project funds to bypass standard national procedures embedded by SIGFIP (Transfer en capital) before project effectiveness.

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8. The financial management assessment has identified the following risk rating:

risk thai H

Type of Risk

rises f rom environment in which project is situatec A PEMFAR was conducted early 2008. The

INHERENT RISKS Country Level Political instability

Uncertainty o f the elections and government ownershidstabilitv Entity Level

M A C O M ‘s capacity to coordinate project activities

Project Level Project implementation arrangement involves different actors (including different technical departments)

S

H

Risk Mitigating Measures

conclusion i s that significant progress has been made in the Public Financial Management system.

The current Peace Agreement i s being implemented, wi th delays but with unprecedented political wi l l and significant political steps.

PEMFAR findings are not only highlighted PFM progress but also remaining weaknesses that are addressed through the Governance TA.

The Bank, together with the IMF and other partners i s closely supporting the preparation process o f the PRSP and elections.

- M A C O M wil l be in charge o f overall project financial management and disbursement.

- Project fiduciary staff are adequately qualified and experienced, and w i l l be maintained throughout the l i fe o f the project.

- The project staff w i l l be trained continuously during the l i fe o f project; project software and procedures manual are in place and w i l l be updated or upgraded as necessary. All staff w i l l be trained in the use o f project tools (software, procedures manual) and Bank fiduciary procedures.

-

- Resource transfers to beneficiaries such as AGEROUTE,will be well-documented and supervision missions w i l l be conducted three times over the course o f the project.

Residua 1 Risk Rating

H

M

S

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Budgeting Budget preparation i s a relatively strong part o f the C I budget process, but improvements are needed in the consistency among projections used by various ministries and agencies. Funds may be delayed.

Accounting SIGFIP does not provide all information required by the Bank for financial reporting and auditing.

S

Some staff may not be familiar wi th project software (SUCCESS)

M

Internal Control National internal control systems do not have the capacity to cover project activities.

H

M A C O M does not have i t s own internal

Disbursement o f external ass i s tance has been slow. In

I

Le project’s financial management system i s inadequate to

- The Bank team and project staff w i l l work closely to establish comprehensive project cost tables, detailed work programs, and quarterly budgeting for the first 12 months o f the project.

- The budget wil l provide funding for additional training for project staff in preparing budgets consistent wi th disbursement plans.

- Training, mentoring, and hands-on experience w i l l be provided to fiduciary staff in financial planning and budget preparation by the Bank team. The accounting system w i l l be supported by an ad hoc customized computer software, updated as necessary to accommodate project needs.

The project Financial Manual w i l l be updated by the project implementing unit.

- The project does not have an internal control department. However, the project accounting and administrative manual outlines approval and authorization procedures that should work relatively well.

- The project w i l l be supervised closely and, if necessary, recruitment o f internal control staff wil l be considered as an option to mitigate th is risk. The arrangements for the f low o f funds as detailed in the Project FA manual are acceptable to the Bank.

-

- A designated account w i l l be managed bv the

M

L

M

S

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particular, Bank- financed projects have experienced low disbursement rates compared to the sub-region.

Financial Reporting

The project team has experience in producing interim un-audited financial reports.

Auditing Auditors w i l l be selected through a transparent selection process.

OVERALL RISK

M

M

H

treasurer.

- A project account w i l l also be located at a reliable commercial Bank. They wil l be managed by the public accountant in coordination with M A C O M .

- The project w i l l use the “transfer en capitat’ procedures for al l disbursement transactions. The IFR guidelines wil l be used by the project - management team over the l i fe o f the project.

- Training wil l be provided to financial, accounting and M&E staff.

- The format, content, and periodicity o f FMR have been discussed and agreed during negotiations. The process o f recruiting an auditor i s underway.

-

- In commenting on audit reports, dates for receipt o f an action plan from M A C O M wil l be agreed upon.

- A technical audit w i l l be conducted on an annual basis to control quality and conformity o f physical investments.

L

M

H

H - High S - Substantial M - Modest L - Low

Overall Fiduciary implementation Arrangements staffing

9. The P C U N A C O M w i l l have the overall responsibility for project fiduciary management while al l other implementing units (technical departments) w i l l be responsible for the physical implementation o f the project.

Project’s Accounting and Financial Software

10. The P C U N A C O M w i l l use the computerized and integrated financial management system already purchased (SUCCESS). This software i s appropriate to the scale and nature o f the program and can record and report program operations (by origin o f funds, component, and

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activities) in a timely manner. The system i s multi-currency, multi-location, multi-donor and it includes the following modules: general accounting, cost accounting, budgeting, assets management, contract management, preparation o f withdrawal applications and tracking o f disbursements by donors, reports generating, including quarterly financial monitoring reports, and semi-annual financial statements.

Project Financial and Accounting Manual

11. The previous P A C O M Financial and Accounting Procedures Manual wil l be reviewed and adapted for the project. I t includes a description o f the financial management system and financial policies and procedures. The Financial and Accounting Procedures Manual needs to be updated to reflect the organization and activities o f the program, including an organizational diagram and job description o f the accounting and financial staff. I t already contains: (i) the accounting system to be used (chart o f accounts, budget coding, accounting standards); (ii) the main transactions cycles; (iii) internal control procedures; and (iv) a summary o f the various operational procedures related to budget management (planning, execution and monitoring) and assets management, procurement o f works, goods and services, and disbursements, which are detailed in the Project Implementation Manual (PIM).

Reporting

12. At least two sets o f financial reports w i l l be prepared by the PCU. The quarterly Interim Financial Reports (IFR) as required by the Bank and the Annual Financial Statements w i l l include the project’s consolidated financial statements. The quarterly I F R s agreed upon during appraisal w i l l be prepared and submitted to the Bank 45 days after closing o f each quarter. The I F R s wi l l be based on formats developed in the Bank’s Guidelines on Financial Monitoring Reports, as agreed with the PCU/MACOM with some adjustments. The I F R s w i l l include a table o f Source and Use o f Funds also a table o f Use o f Funds by activities or by components. A copy o f the Bank’s Financial Monitoring Report Guidelines w i l l be provided to the project team for reference. The financial reports should be prepared in a structure and detail that facilitate comparison with physical progress.

External Auditing

13. The audit report should reflect al l the activities of the financial management program and be submitted to IDA within six months after the end o f each fiscal year. The selection o f an external auditor o f project financial statements should be presented to IDA for non-objection. The external auditor should be appointed one month after effectiveness.

14. Technical and financial audits w i l l be conducted yearly. Audits w i l l be conducted b y independent auditors acceptable to the Bank in accordance with international auditing standards. Audit reports o f such scope and detail agreed by IDA would be submitted to the Bank within six months after the end o f the audit period. The auditor wil l review: (i) the program financial

66

statements, (ii) the statement o f expenditure; and (iii) the Designated Accounts. The auditor w i l l also provide a management letter on the internal control procedures outlining recommendations for improving the control system, accounting, and financial procedures as a result o f the audit.

Flow of Funds arrangement

15. The project w i l l have one Designated Account located at the Central Bank o f West African States (BCEAO) and one advance account in a commercial bank that w i l l be managed by a Public Accountant appointed by the Ministry o f Economy and Finance in coordination with the P C U N A C O M . All these accounts wil l be managed in accordance with Bank guidelines. T o facilitate quick disbursements, the Bank w i l l agree with the Government on a special procedure for emergency projects namely “transfer in capital”.

16. The transfer in Capital i s a simplified Public Financial Management procedure put in place for some specific activities to be financed under the national budget. In that regard, the national annual budget w i l l provide only one single budgetary line where a total amount o f project annual work program w i l l be allocated. This amount w i l l be transferred to the Designated Account opened at the BCEAO based on a realistic cash forecast derived from the approved annual work program.

Disbursement Arrangements: Use of Statement of Expenditures (SOEs)

17. Disbursements for al l expenditures w i l l be ful ly documented. Supporting documentation for SOEs would be retained by the P C U M A C O M and implementing entities for review by IDA missions and external auditor.

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Diagram Fund flow ~~

Grant Account in Washington R \

Direct pa, I Payment from PA Wash I

I

I I \ . Supporting documents

Component 2 I

ment from ngton

I I

I

Component 3 Component 4 Component 5

Legende DRF = Demandes de paiement direct, demande de remboursement,

demande de rCapprovisionnement du compte

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Allocation of Grant Proceeds

Amount of Percentage of the Grant Expenditures to

Project Cost By Component Allocated be Financed (expressed in

US$) Component 1. Increase of production capacity 28.00 100 % a. Increase of production capacity b. Reinforcement of primary networks c. Increase of access (Abidjan) d. Increase of access (BouakC) e. Supervision Price and Physical Contingencies

Component 2. Urban sanitation (sewerage) a. Main pumping stations and outfall facilities: b. Rehabilitation of neighborhood pumping stations: c. Connection of neighborhood sewers to the interceptor d. Communication campaign e. Supervision Price and Physical Contingencies Component 3. Solid Waste Management a. Operation “Clean city” b. Rehabilitation of Williamsville’s transfer station c. Outreach campaign d. Institutional support e. Improvement of living conditions of those living near the Akouedo dump, through construction of a school (6 classrooms) and a health center Price and Physical Contingencies Component 4. Urban roads rehabilitation a. Horizontal and vertical signs b. Rehabilitation of roads that are mass transit routes (SOTRA & Gbakas) c. Upgrading or construction o f roads or works d. Bouake road system e. Project management (study & works) f. Delegated project ownership Price and physical contingencies Component 5. Municipal contracts a. Municipal audits b. Accompanying measures c. Implementation of municipal contracts

Project Implementation coordination Price and Physical Contingencies

7.03 100% 3.91 100%

10.23 100% 1.91 100% 1.15 100% 3.77 100%

15.20 100 % 4.88 100% 4.20 100% 3.40 100% 0.22 100% 0.63 100% 1.87 100%

12.00 100 % 3.30 100% 6.19 100% 0.72 100% 0.72 100% 0.52 100%

0.55 100% 28.00 100 %

2.73 100% 5.48 100%

13.98 100% 1.97 100% 1.93 100% 0.72 100% 1.19 100% 7.00 100 % 1 .oo 100% 2.00 100% 4.00 100% 2.00 100% 1.80 100%

Total Praiect Costs 94.00 100 %

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Action

1 -Contract/convention between GoCI and MACOM 2- Designated Accounts

3- Adaptation of accounting and financial procedures manual 4- Recruitment of external auditor

5-Reporting

6-Installation of the integrated financial and accounting system

Tasks

Signing the convention between GoCI and MACOM Open one Designated Account at BCEAO Update existing Project Administrative, Financial and Accountant Manual. Develop and agree upon appropriate terms of reference (TOR) for the external auditor. Prepare a shortlist of fiims of qualified auditors to be invited to submit proposals for conducting the external audit on approved TOR acceptable to the Bank. Agreed format for I F R s and demonstrated ability to prepare I F R S Update existing SUCCESS software (installation, configuration testing and staff training)

Target completion date 0413012008

0513 112008

0413012008

0513 112008

0413012008

0513 112008

0413 012008

Responsible institution

GoCVMACOM

MACOMDDA

MACOM/IDA

MACOM

MACOM

MACOM/IDA

MACOM/IDA

Supervision Plan

18. A supervision mission wil l be conducted at least two times each year based on the risk assessment update of the project. The mission’s objectives wi l l include ensuring that strong financial management systems are maintained for the duration o f the project. A Statement o f Expenditures (SOE) review w i l l be carried out regularly to ensure that project expenditures remain eligible for IDA funding. The Implementation Status Report w i l l include a financial management rating for the project.

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Annex 5. Procurement Arrangements

A. Procurement Environment

1. 110 dated February 24,2005.

The current regulation on Public Procurement in CBte d’Ivoire i s the Decree No. 2005-

2. A Country Procurement Assessment Report (CPAR) for CBte d’Ivoire was carried out by the World Bank in June 2004. The Action Plan put in place for the reform i s under implementation by the Government, but very little progress has been realized due to country conditions. So far, no special permits or licenses need to be specified in the grant documents, since CBte d’Ivoire procurement practices allow IDA procedures to take precedence over any contrary local regulation or practice.

3. Institutional procurement arrangements and procedures have been designed in line wi th the emergency nature o f the project according the OP/BP 8.00 “Rapid Response to Crisis and Emergencies”. Also the need has been recognized for simple mechanisms to facilitate the procurement or contracting of a l l the activities o f the project. The procurement arrangements for the Emergency Urban Infrastructure Project have been designed in consideration o f the country’s post-conflict situation therefore, the procurement arrangements below are aimed at maximizing efficiency and flexibility in order to get kick results on the ground.

Use of Bank Guidelines

4. Procurement for the proposed Project would be carried out in accordance with the World Bank’s “Guidelines: Procurement under IBRD Loans and IDA Credits” dated M a y 2004, revised October 1 St, 2006; and “Guidelines: Selection and Employment o f Consultants by World Bank Borrowers” dated May 2004, revised October lSt, 2006, and the provisions stipulated in the Legal Agreement. The various items under different expenditure categories are described below. For each contract to be financed by the Grant, the different procurement methods or consultant selection methods, the need for pre-qualification, estimated costs, prior review requirements, and time frame are agreed between the Recipient and the Bank in the Procurement Plan that has been prepared and agreed during Negotiations. The Procurement Plan w i l l be updated at least annually, or as required, to reflect the actual project implementation needs and improvements in institutional capacity.

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Advertising

5. A General Procurement Notice (GPN) wil l be prepared and published in United Nations Development Business (UNDB), in Development Gateway (dgMarket) in at least one national newspaper after the project i s approved by the Bank Board, and/or before effectiveness. The GPN would show al l International Competitive Bidding for works and goods contracts and al l consulting services involving international f i rms. Specific Procurement Notices for al l goods and works to be procured under International Competitive Bidding (ICB) and Expressions o f Interest (EOI) for a l l consulting services costing the equivalent o f US$200,000 and above w i l l be published in the UNDB, dgMarket and in the national press.

B. Procurement Implementation Arrangements

6. component (or sub-component) to ensure smooth implementation.

Five executing entities have been identified to carry out procurement activities for each

(i)

(ii)

(iii)

(iv)

the “Urban Water Supply” component w i l l be implemented by the Department of Human Hydraulic “Direction de 1 ’Hydraulique Humaine” (DHH); the “Sanitation” (Sewerage) component w i l l be implemented by the Department of Drainage and Sanitation “Direction de 1 ’Assainissement et du Drainage” (DAD); the “Solid Waste Management” component wil l be implemented b y the National Urban Sanitation Agency “Agence Nationale de la Salubrite‘ Urbaine” (ANASUR). The “Municipal Contracts” component w i l l be implemented by the PCU/MACOM.

7. The specific responsibilities o f DHH, DAD and ANASUR include:

Manage the overall planning o f the activities, implementation o f procurement process and monitoring o f the activitieskomponent for which each entity i s directly responsible on a day-to-day basis in line wi th the PIM and Bank Guidelines; and Preparing draft bidding documents, draft RFP, Evaluation reports in close collaboration with the PCU/MACOM. The “Urban Roads Rehabilitation” component will be carried out by AGEROUTE through a contract management “maitrise d’ouvruge de‘le‘gue‘e”. AGEROUTE wil l be responsible for the procurement activities for t h i s component. AGEROUTE i s a well known agency o f the Recipient with experienced procurement staff familiar with Bank’s procedures. I t was in charge o f procurement for the Bank-financed infrastructure project currently awaiting Bank re-engagement. The Government proposed that AGEROUTE be selected on a Single Source basis within the framework o f O P B P 8.00 to carry out the procurement activities for this component. AGEROUTE w i l l be remunerated for the services provided. The justification o f the Single Source Selection (SSS) o f AGEROUTE i s as follow: (i) given the post conflict situation, wi th security problem in C6te d’Ivoire and considering the emergency nature o f the project, it i s unlikely that outside contract management firm w i l l be interested in working in the country. AGEROUTE has already demonstrated satisfactory performance in the implementation o f procurement activities o f

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the Bank financed infrastructure project; (ii) it has qualified staff with good knowledge o f Bank procurement procedures and guidelines.

8. The PCUMACOM w i l l be responsible for the overall coordination o f the procurement activities of a l l the entities and components of the project, except for the Urban Roads Rehabilitation and drainage. Given the emergency nature of the project and, the lack o f experience in Bank procurement of three selected entities (DHH, DAD and ANASUR), it was agreed with the Government, that M A C O M w i l l carry out the following activities in order to mitigate the procurement risk: (i) Overall coordination and quality controVassurance o f al l draft procurement documents (Bidding Documents, RFP, Evaluation reports, TORS etc. .) prepared by these three executing entities; (ii) Training and development o f two designated Procurement staff within each entity in Bank procurement procedures; (iii) Preparation and updating o f the procurement plan in close collaboration with the executing entities; and (iii) Seeking and obtaining approval o f “Direction des MarchCs Publics” and IDA on al l procurement documents, if necessary.

9. The Government proposed that M A C O M be selected on a Single Source basis to coordinate the procurement activities and manage the fiduciary responsibilities o f the project. M A C O M w i l l be remunerated for the services provided.

Justification o f Single Source Selection (SSS) o f M A C O M within the framework o f OPBP 8.00

0 Given the emergency nature of the project and the need for rapid results on the ground, the project has been designed to rely on implementation arrangements which are already in place and have been successfully tested under previous Bank-financed activities; M A C O M has experienced procurement staff familiar with Bank’s procedures and was the implementation agency for the Bank-financed project P A C O M (Projet d’Appui u la Conduite d ’Ope‘rations Municipales) and has demonstrated satisfactory performance in the implementation o f procurement activities; The fact that competitive process, at t h i s stage, in t h i s case would not lead to better results given the post conflict nature o f the country.

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10. of the project.

The table below shows the executing entities responsible for procurement implementation

Components Executing entity

1. Urban Water Supply (28 million) 2. Sewerage (15 million) I DAD

and Drainage (28 million) 5. Municipal Contracts (7

3. Solid Waste Management (12 ANASUR million) ll I I MACOM

4. Rehabilitation of urban Roads 11 AGEROUTE

6. Project Coordination I Overall quality control of procurements documents and Capacity building

MACOM

million)

Items to be procured

GoodsIWorksl Services

“

6 6

6 6

Services

AGEROUTE I MACOM

DHH Direction de 1’Hydraulique Humaine DAD Direction de 1’Assainissement et du Drainage ANASUR Agence Nationale de la SalubritC Urbaine AGEROUTE Agence de Gestion et d’Entretien des Routes MACOM Mission d’ Appui B l a Conduite d’OpCrations Municipales

Procurement Procedures

1 1. Simplified procedures for emergency projects will be used wherever needed, including full use of the flexibility allowed in paragraphs 6 through 9 of OP/BP 8.00 on Rapid Response and paragraphs 26 through 31 of the Rapid Response Procedural Guidelines. Consistent with OP/BP 08 provisions for streamlined procurement of civil works, goods and consultants wil l be carried out with reference to the World Bank’s Guidelines: Procurement and Selection of Consultants, current edition. Bank’s standard Bidding documents and evaluation report forms wil l be used. The Project Implementation Manual (PIM) describes in detail the above procurement arrangement and the following specific methods.

Procurement of Civil Works

12. Civil works procured under th is project would include: (i) repairs at certain critical sections on the water supply network, (ii) rehabilitation and extension of canal, (iii) rehabilitation of primary drainage network, (iv) construction and rehabilitation of urban roads, etc.

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International Competitive Bidding (ICB). Each civil works contract package estimated to cost U S $ 1,000,000 equivalent would be procured through International Competitive Bidding. National Competitive Bidding (NCB), advertised locally would be carried out in accordance with procedure acceptable to IDA. Each civil works contract package estimated to cost less than US$l,OOO,OOO equivalent may be procured using NCB procedures. Shopping. Smaller works estimated to cost less than US$75,000 equivalent per contract may be awarded as lump-sum, fixed-price contracts awarded on the basis of quotations obtained from not less than three (3) qualified domestic contractors invited in writing to bid. The requests of solicitation wil l specify that bids should be submitted sealed and opened at a public opening session. In the case of quotations, the use of pre-qualified contractors l i s t may play an important role to ensure that contractors invited to bid have sufficient experience. Therefore, i t i s suggested that a l i s t of pre-qualified contractors be used whenever possible at national level, and updated every year. Such works may be procured under shopping procedures as detailed in paragraph 3.5 of the “Guidelines: Procurement under IBRD Loans and IDA Credits” May, 2004, revised October 1’‘ 2006 and June 9,2000 Memorandum “Guidance on shopping” issued by the Bank. Direct contracting may be used where necessary if agreed in the procurement plan in accordance with the provisions of paragraph 3.9 of the Procurement Guidelines. Given the emergency nature of the project, and the need for rapid results on the ground, the following contracts wil l be awarded to SODECI under the Direct Contracting method: (i) the construction of 20,000 service connections and (ii) the installation of equipment of rehabilitated stations and pumping plants.

Procurement of Goods

13. Goods procured under t h i s Project would include: equipment, vehicles, computers and accessories, software, communication and office equipment, etc. Goods procurement wil l be done using the Bank’s SBD for a l l ICB and National SBD agreed with the Bank for National Competitive Bidding (NCB).

International Competitive Bidding (ICB). Each goods contract package estimated to cost US$500,000 equivalent and more per bid package would be procured through International Competitive Bidding. National Competitive Bidding (NCB). Contract estimated to cost less than US$500,000 equivalent and locally available at commercial price would be procured through National Competitive Bidding (NCB) procedures acceptable to IDA. Shopping. Procurement for readily available off-the-shelf goods that cannot be grouped, or standard specification commodities for individual contracts of less than US$50,000 equivalent, may be procured under shopping procedures as detailed in paragraph 3.5 of the “Guidelines: Procurement under IBRD Loans and IDA Credits” May, 2004, revised October lSt, 2006 and the Guidance on Shopping Memorandum’’ issued by IDA, June 9,

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2000. The requests o f solicitation w i l l specify that bids should be submitted sealed and opened at a public opening session. Direct Contracting may be used where necessary if agreed in the procurement plan in accordance with the provisions o f paragraph 3.9 o f the Procurement Guidelines.

Selection of Consultants

Firms: Consultancy services which include: engineering studies, specialized studies, technical assistance, control and supervision of works, financial management and procurement, external audits etc, w i l l be selected using Request for Expressions o f Interest, short-lists and the Bank’s Standard Requests for Proposal, where required by the Bank’s Guidelines. The selection method would include Quality and Cost Based Selection (QCBS) whenever possible, Quality Based Selection (QBS), Fixed Budget (FBS), Least Cost Selection (LCS), Single Source Selection (SSS) as appropriate; all consultancy services contracts estimated to cost less than US$200,000 equivalent for f i r m s could be awarded through Consultant’s Qualifications (CQ).

Individual Consultants: Specialized advisory services would be provided by individual consultants selected by comparison o f qualifications o f at least three candidates and hired in accordance with the provisions o f Section V o f the Consultant Guidelines

14. Short-lists o f consultants for services estimated to cost less than US$200,000 equivalent per contract may be composed entirely o f the national consultants in accordance with the provisions o f paragraphs 2.7 through 2.8 o f the Consultant Guidelines.

Single Source Selection (SSS): In exceptional cases, th is method would be used in accordance with the provisions o f paragraphs 3.9 to 3.13 o f the Guidelines, with IDA’S prior no-objection.

Training, Workshops, Seminars and Conference

15. Training activities wi l l comprise workshops and training in the region and abroad, based on individual needs as well as group requirements, on-the-job training, and hiring consultants for developing training materials and conducting training. All training and workshop activities w i l l be carried out on the basis o f approved annual programs that w i l l identify the general framework o f training activities for the year, including: (i) the type o f training or workshop; (ii) the personnel to be trained; (iii) the institutions which wil l conduct the training and (iv) the duration of the proposed training as well as the outcome and impact o f the training.

Operating costs

16. The operating costs shall include staff, travel expenditures and other travel-related allowances with prior clearance from IDA; equipment rental and maintenance, vehicle maintenance and repair; utilities and communication expenses. Operating costs financed by the

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project wil l be procured using the implementing agency’s administrative procedures described in the Project Implementation Manual (PIM) reviewed and found acceptable to the IDA.

C. Risk Assessment

Procurement risk at Countrv level

17. The CPAR for C8te d’Ivoire was carried out in June 2004, due to the country post- confl ict environment there i s no major progress in the implementation o f the action plan and the procurement reform, therefore the procurement risk in the country i s high.

Procurement risk at the Proiect level

18. An assessment o f the capacity o f the Executing Entit ies (DHH, DAD, ANASUR, AGEROUTE and MACOM) to implement procurement actions fo r the project was conducted by the Bank’s Procurement Analyst during IDA’S preparation and evaluation mission (February 3- 15, 2008) in accordance with Procurement Services Policy Group (OPCPR) guidelines dated August 11, 1998. The assessment has addressed the main issues and recommendations. The assessment revealed that AGEROUTE and MACOM have the required experience to implement the Wor ld Bank financed project. However, the assessment i s recommending a procurement capacity enhancement p lan that includes, among other things, a comprehensive and intensive procurement training program for a l l staff involve in the procurement process for DHH, DAD and ANASUR. Procurement capacity assessment reports supporting evidence i s kept in the project files.

1. SUMMARY OF ASSESSMENT OF THE AGENCY’S CAPACITY TO IMPLEMENT PROCUREMENT

DHH/DAD/ ANASUR

The DHH, the DAD and ANASUR wi l l prepare draft bidding documents, draft R F P s o f their respective components o f the project.

The identified risks include the following: All the existing staff do not have experience in Bank procurement procedures; Lack o f adequate record keeping

Lack o f appropriate procurement filing system Lack o f procurement planning;

The correctives measures include: The assessment i s recommending a procurement capacity enhancement plan that includes, among other things, (i) a comprehensive and intensive procurement-training program for all staff involve in the procurement process o f the project; (ii) establishment o f filling system for project records; (iii) Bank field supervision and procurement post review missions should take place every 6 months o f project implementation; (iv) re-assessment o f procurement capacity o f various executing entities-ne year after project effectiveness to ensure that appropriate capacity has been built.

77

AGEROUTE

MACOM

0

AGEROUTE has procurement capacity and i s knowledgeable o f Bank procurement The overall risk assessment i s high.

guidelines and procedures.

The strengths of AGEROUTE are the following: 0

0

0 AGEROUTE i s the implementing agency for two Bank projects, ADB,

Existence of procurement unit within the entity The internal controls seem adequate. There i s proper separation o f duties Authorization and approval process are properly followed A proper filing system i s being developed, but s t i l l need improvement;

European Commission, Islamic Development Bank projects.

Corrective measures are: (i) recruitment o f one additional relevant and experienced procurement consultant for the first year o f the project; (ii) reinforcement o f the entity with appropriate tools; (iii) training o f relevant project staff especially two designated Procurement Officers on Bank procurement procedure to update their knowledge three months after the project effectiveness and on a continuous basis during the project implementation; (iii) establishment o f electronic fi l l ing system for project records

0 The overall risk assessment is considered high due to the country context, although the structure meets procurement capacity requirements.

M A C O M has relevant procurement experience in Bank operations and has been identified to coordinate the overall procurement activities o f this project.

The strengths of MACOM include: The procurement staff‘s knowledge o f Bank procurement processing i s good. There i s proper separation o f duties. The procurement officer and the Director have attended Bank procurement training and they are very familiar with Bank procurement guidelines and procedures and have experience o f procurement planning. The Bank financed project PACOM has been implemented in a satisfactory manner by M A C O M according to the conclusion o f the PPR.

In addition to the preparation and finalization o f procurement plan, the corrective measures agreed upon during appraisal are (ii) the training o f relevant project staff especially the Procurement Officer / “Chef de project” to update their knowledge, (iii) the establishment o f electronic filing system for project records;

The overall risk assessment is considered high due to the country context, although the structure meets procurement capacity requirements.

78

Actions to be carried out

4

5

6

7

Actions

months wi l l be prepared and agreed with the Bank

Set up adequate electronic filing system for project records. Designate a staff for data management Preparation o f the Project Implementation Manual (PIM)

Participation in Bank’s procurement training and workshop at specialized institutions o f key staff in charge o f procurement within each entity Inclusion o f the procurement system (planning, monitoring and contract management) with the computerized project financial management system bv effectiveness.

- 2

- 3

Each entity wi l l designate two persons who wi l l be the focal point o f procurement. These staff wi l l participate in procurement training workshop at specialized institutions for project staff, Adoption o f Bank Standard Bidding Documents for use under NCB and update o f National Standard Bidding Documents.

Responsibility M A C O M

DHWDADI ANASUW AGEROUTE

Coordination M A C O M

M A C O M AGEROUTE

ComitC de Suivi et de Pilotage/ M A C O M DHWDADI ANASUW AGEROUTE

Coordination by M A C O M

Date Done - March 2008

Done on March 2008

Not later than 3 months within project implementation after effectiveness September 2008

Before June 30, 2008

June 30,2008

September 2008

Remarks Finalized during negotiations on April 24, 2008

Two focal points per executing entity with relevant knowledgelexperience on procurement.

To ensure easy retrieval o f informatioddata.

Before the effectiveness o f the project the PIM should be updated Improvement o f staff procurement ski l ls

To monitor the effectiveness and the efficiency o f the procurement plan

D. Procurement Plan

19. The Recipient, at appraisal, developed a draft procurement plan for the first 18 months of the project implementation with the basis for the procurement methods for each component. The procurement plan has been reviewed and agreed between the recipient and the Bank during negotiations on April 24, 2008. Immediately upon approval o f the Grant, with the Recipient’s agreement, the plan w i l l be published on the Bank’s public website and the Recipient’s intranet website. Once approved, the procurement plan shall be updated in agreement with the Project Team on an annual basis or as required, to reflect the actual project implementation needs and improvements in institutional capacity.

79

Publication of Results and Debriefing

20. Online (dgMarket, UN Development Business, and/or Client Connection) publication of contract awards would be required for a l l ICB, Direct Contracting, and the Selection of Consultants under QCBS, QBS, FBS, LCS, CQS and SSS. In addition, where prequalification has taken place, the l i s t of prequalified bidders wil l be published. With regard to ICB and large- value consulting contracts, the Recipient would be required to assure publication of contract awards as soon as IDA has issued i ts “no objection’’ notice to the recommended award in United Nations Development Business (UNDB) online and dgMarket. With regard to Direct Contracting and NCB, publication of contract awards could be in aggregate form on a quarterly basis and in local newspapers. All consultants competing for an assignment involving the submission of separate technical and financial proposals, irrespective of i t s estimated contract value, should be informed of the result of the technical evaluation (number of points that each firm received) before the opening of the financial proposals. The Project Executing Entities would be required to offer debriefings to unsuccessful bidders and consultants should the individual f i r m s request such a debriefing.

Fraud, Coercion, and corruption

21. Al l procuring entities, as well as bidders, suppliers, and contractors shall observe the highest standard of ethics during the procurement and execution of contracts financed under the project in accordance with paragraphs 1.15 & 1.16 of the Procurement Guidelines and paragraphs 1.25 & 1.26 of the Consultants Guidelines.

E. Frequency of procurement supervision

22. procurement post review missions should take place every 6 months of project implementation.

In addition to the prior review supervision to be carried out, Bank field supervision and

Procurement Audit

23. report on the procurement process, contract management, fiduciary compliance, etc.

A technical audit wil l be carried out once a year during the project implementation, to

80

Thresholds for Procurement Methods and Prior Review

Expenditure Category

1. Works

2. Goods

3. Consultants

Firms

Individuals

Contract Value ('I%reshoid)

US$ 000

2 1,000,000

<I ,000,000

<75,000

No threshold

>500.000

<500,000 <50,000 No threshold

No threshold

<200,000 No threshold

No threshold

Procurement ~ GontractSubjmtto ~ PriorRedew ~. Method '

\, ~ e

**. b .( US$ 000

ICB All

NCB

First 2 contracts from all entities in charge o f procurement

A t least 3 Quotations

Direct contracting All

ICB All First 2 contracts from all entities in charge of

NCB procurement Shopping

Direct contracting Al l

All contracts o f USD200,OOO and more and the first 2 contracts below USD200 000 First 2 contracts from all entities in charge o f

All contract of USD50,OOO and more

QCBS; QBS; LCS; FBS

CQ procurement I C (at least 3 CVs)

Single Source All (Selection Firms &

Individuals)

All TORS regardless of the value of the contract are subject to prior review

81

Overall Procurement Risk Assessment:

Ref* No.

1

Average Low

Review Expected bY Bid

Bank Opening

Estimated Procurement Domestic Cost (US$) Method ' - Q Preference Contract (Description)

2 3 4 5 6 7 8

Frequency of procurement supervision missions proposed: One every 6 month(s) (includes special procurement supervision for post-review) reviewing 100 percent o f signed contracts the first year and a sample o f 1 in 5 contracts signed the second year and thereafter.

10

11

Simplified Procurement Plan: Procurement of Goods

February 1, 2009

February 1, ICB NO PRIOR 2o09

1410000 ICB NO NO

3 860000

Equipment of 5 new boreholes (works)

Connection of informal settlements (alternative 2) (2 contracts)

Attachment 1 - Procurement Plan - Details of the Procurement Arrangements Involving International Competition

1. Goods, Works, and Non Consulting Services

82

12

13

14

15

16

17

18

19

20 21

22 23

24 25

26

ICB N O PRIOR

ICB NO PRIOR

Reinforcement of water supply distribution on Petit Bassam Island Construction of 65 standposts in Abidjan

2 410 000

030

April 1, 2o09

February 1, 2o09

Construction of 20,000 service connections 6 600 000 (3 yearly contracts)

2 068 182 5.1 Rehabilitation of SOTRA Bus site- TELCOM - Mairie Adjame- 1350 km, 5.2 Rehabilitation of road SOTRA

Sewerage I

PRIOR Nov.08 ICB NO NO

Equipment for the rehabilitation of pumping stations and pretreatment plant:

Marcory 751, Koumassi-digue, Lot 1-Major stations of Abobo S7, (4 880 000)

Lot 2 -Secondary pumpinistations of (4 200 000)

9 080 000 Cocody, Marcory, Koumassi & Treichville

Direct Contracting N O (SODECI)

Installation of equipment of rehabilitated stations and plants:

I Direct Contracting 1 1250000 1 SODECI

1 790000 ICB Connection of secondary sewers to the interceptor in Abobo

1 600000 ICB Connection of secondary sewers to the interceptor in AdjamC and Treichville Solid Waste Solid Waste Management system “Operation Ville Propre” (works) Rehabilitation of waste transfer in Williamsville 6 185 000 ICB Construction of a school of 6 classes and a health center of neighborhood of waste site NCB in Akouedo Rehabilitation of Urban roads & Drainage Lot 1-Rehabilitation of secondary roads in Bouake Lot 2-Construction o f bridge “liaison” between 7” and 9” zone - Cocody - Abidjan Horizontal and vertical signs 2 727 273 ICB

3 300 000 ICB

5 15 000

ICB 965 909

2 727 273

Lot 3 -Rehabilitation of road - Anador- 1193 182 T P D L L Y Abobo SagbC - SOTRA final stop: 2.1 k

L o t 4 - I 1363636 I I 4.1-Rehabilitation of road - Route du Zoo - Sans manquer: 2 km 4.2-Reconstruction o f critical section at AGETU HQ - Route du Zoo - Williamsville

PRIOR

PRIOR

NO 1 N / A 1 PRIOR

NO I [YES] I PRIOR

NO NO PRIOR

N O NO PRIOR

NO NO PRIOR

NO NO PRIOR

NO NO PRIOR

NO NO PRIOR

N O N O PRIOR

NIA

December 1,2008

December 1,2008

March 1, 2009

March 1, 2009

Nov. 08 Bidding

documents available

Nov. 08 (*)

Nov. 08

Nov. 08

83

- 27

- 28

- 28 - 29

30

31

- 1

Terminal - pont Andokoi- 1,6 km 5.3 Rehabilitation of road -Route d’ Anoumabo/pont ATCI-Pharmacie AmCthier Alliodan 5.4 Rehabilitation of road -Point de retournement - cite verte : 0,300 km Lot 6 Rehabilitation of critic points - Carrefour Zone industrielle 4 and Saguidba Services techniques Mairie (*) Studies and Bidding documents to be finalized by AGEROUTE before June 2008 Lot 1 - Construction of Foot bridge between Williamsville and Adjame Solibra Lot 2 - Construction of Andre Malraux street - Riviera Palmeraie: 2 km Lot 3 - Construction of Riviera 2 intersection

Urban Water Supply Control and supervision of production facilities QCBS PRIOR June30, in Abidjan (Phase I) 240 000 2008

Lot 10 - Road rehabilitation works - Carrefour of Williamsville and Carrefour of Zoo (2 km)

340 000

Works - Contrat de ville

QCBS PRIOR

(*) To be defined after the urban, organizational and financial audits o f selected cities

2 Consulting Services (a) List of Consulting Assignments with short-lists including international f irms.

2

- 3

Control and supervision of networks extension and connection of schoolshealth centers in Abidjan (Djibi) Control and supervision of water supply works in Bouake

Phases I1 and I11

165 000 ( 60000 I CQ 1 POST

June 30, 2008

June 30, 2008

June 30, 2008

September 30,2008

Below prior

review Below prior

review

84

6 I Control and suDervision of networks extension 220 000

175 000

454 000

September 30,2008

September 30,2008

July 30, 2008

QCBS

QCBS

QCBS

7

7

8

in Abidjan (Informal settlements) Control and supervision o f networks extension in Abidjan (Petit Bassam) Sewerage Control and supervision of rehabilitation of sewerage stations and treatment plant Control and supervision o f sewerage networks 170 000 PRIOR October 30,

2008 QCBS

220 000 July 30, 2008 QCBS PRIOR

Consulting Services

CQS 40,000

40 000 CQS

Consultancy services estimated to cost above US$200,000 equivalent per contract for Firms and US$50,000 and above for Individuals and all Single Source selection of consultants wi l l be subject to prior review by the Bank.

POST May 09

POST May 09

Short l is ts composed entirely o f national consultants: Short l is ts of consultants for services estimated to cost less than US$200,000 equivalent per contract may be composed entirely o f national consultants in accordance with the provisions o f paragraph 2.7 of the Consultant Guidelines.

11

12

13

14

85

from Williamsville to Adjamt Solibra Lot 2 - Supervision of Tarring o f rue AdrC Malraux - 180 - CSU Riviera Palmeraie : 2 km Lot 3 - Supervision o f Uuaading works of Riviera 2 interchange

AGEROUTE - Management contract (MOD)

MACOM

187 500

724 432

1 600 000

QCBS PRIOR May09

sss PRIOR May08

sss PRIOR May08

Annex 6. Implementation and Monitoring Arrangements

1. Implementation arrangements have been kept simple and they capitalize on existing structures. Project coordination and execution wil l rely on three pillars: (i) a Monitoring and Steering Committee; (ii) a Coordination Unit and; (iii) relevant Technical Departments. Implementation arrangements are based on the following principles: (i) all components were selected in consultation wi th the Ivorian counterparts and respond to key critical needs o f the country; (ii) each component i s free-standing and independently managed by respective technical department so if there are delays under one component, i t w i l l affect the overall performance o f the other components; (iii) the project wil l be implemented in phases and not al l activities wi l l start at the same time; and (iv) despite the war, CBte d’Ivoire has very strong institutions with a higher capacity than other countries in sub-Saharan Africa.

Monitoring and Steering Committee

2. T h i s committee was established to ensure ministerial coordination for project preparation. I t i s chaired by the Minister o f Economic Infrastructure, and coordinates the project at the government level. It i s made up o f (i) the Department for Human Hydraulics o f the Ministry o f Economic Infrastructure; (ii) the Roads Management and Maintenance Agency [Agence de gestion et d’entretien des routes] o f the Ministry o f Economic Infrastructure; (iii) the Ministry o f Urban Affairs and Sanitation [Minist&-e de la Ville et de la salubrite‘ urbaine]; (iv) the Sanitation Department o f the Ministry o f Construction, Urban Planning; and Housing, and (v) the Public Debt Department o f the Ministry o f Economy and Finance. The Department o f Local Governments and The Union o f Towns and Municipalities o f CBte d’Ivoire (UVICOCI) are also expected to j o in the Committee, which w i l l continue to ensure inter-ministerial coordination and serve as a mediating entity.

Coordination Unit

3. This Unit would consist o f a Project Coordinator, a Procurement Specialist, an Administrative and Financial Officer (AFO), an Accountant, a Public financial officer mandated by the government and an administrative assistant.. I t would be anchored within MACOM, which already has some experience in coordinating World Bank-financed projects (PACOM) and i s therefore familiar with Bank procedures and requirements. The PCU wil l essentially have a fiduciary role and w i l l monitor day-to-day project activities. The Unit i s to be equipped with all the necessary fiduciary monitoring tools (see section on financial and accounting management), as well as with a manual o f project implementation procedures.

Technical Departments ( responsible for specific components)

4. These entities wi l l implement their respective components in accordance with the following organizational chart. In terms o f procurement, the technical departments w i l l carry out technical studies al l the way to bidding documents for Components 1,2 3, and 5 and the procurement (signing o f contracts) w i l l be handled by the PCU . With regards to Component 4

86

(Urban Roads Rehabilitation), bidding documents and contract adjudication wil l be carried out by AGEROUTE which has full capacity to do so in view o f i t s experience under other Bank- financed projects. The detailed description o f components indicates the mandates and implementation arrangements o f each o f these departments (see Annex 1).

87

Annex 7. Project Preparation and Appraisal Team Members

Preparation- Appraisal PID and ISDS to Infoshop Decision Meeting Negotiations Board Approval Effectiveness Mid-term Review Closing Date

Planned 0 1 /2 1 /2008 01/27/2008 03/17/2008 04/29/2008 06/ 12/2008 09/15/2008 09/ 15/20 10 09/ 15/20 12

Actual 01/28/2008

03/27/2008 04/29-30/2008

Key institutions responsible for preparation of the Project:

Bank staff and consultants who worked on the Project included:

Name Title Unit Management Team Antonella Bassani Acting Country Director AFCF2 Eustache Ouayoro Sector Manager m u 2 Bernard Harborne Country Manager A F M C I Daniel Sellen Sector Leader m A R

Core Technical Team Catherine Farvacque- Vitkovic Ousseynou Diop Yao Badjo Richard Verspyck

Babaly Deme Aissata Zerbo Marie- Adele Tchakounte Jean Koua

Lead Urban Specialist, TTL

Sr. Water and Sanitation Specialist Sr. Infrastructure Specialist Water and Sanitation Specialist/ Consultant Engineer/Consultant Procurement Analyst Language Program Assistant InformationProgram Assistant

m u 2

ETWAF m u 2 m u 2

m u 2 m u 2 m u 2 m u 2

Bank Country Team

Sameena Dost Sr. Counsel LEGAF Wolfgang Chadab Finance Officer LOAG2

Ernestina Aboah-Ndow Program Assistant A F M C I

Bella Lelouma Dial lo Sr. Financial Management Specialist mFM Eric Yoboue Sr. Procurement Specialist AFTPC Wil l iam Dakpo Procurement Specialist m p c Siele Silue Sr. Transport Specialist AFTTR

89

Assiata Houedanou Soro Disbursement Assistant AFh4CI Warren Waters Regional Environmental and Safeguard AFTQK

Yvette Djachechi Sr. Social Development Specialist AFTCS A. Eshogba Olojoba/N.Chee Sr. Environmental Specialist AFTS3

Advisor

90

Annex 8: Environmental and Social Screening Assessment Framework (ESSAF)

1. A grant in the amount o f US$94 mi l l ion i s being sought to finance an Emergency Urban Infrastructure Project for the Republic o f C6te d’Ivoire. This Environmental and Social Screening Assessment Framework (ESSAF) aims to describe the approach and principles to be followed to ensure due diligence in managing the potential adverse environmental and social impacts and risks associated with the project.

Compliance with Safeguards Policies

2. The project i s classified as Environmental Category B because the potential environmental and social impacts are not significant. These potential impacts are l ikely to be small-scale, site-specific and thus easily managed. The project triggers two safeguards policies: OP4.01 on Environmental Assessment (EA) and OP4.12 on Involuntary Resettlement. These triggered policies are applicable to Component 1 and i ts four sub-components.

3. The approach to safeguards w i l l be to develop an Environmental and Social Management Framework (ESMF) and a Resettlement Policy Framework (RPF) to cover al l activities to be financed under the project, in particular, the rehabilitation o f urban roads, urban sanitation (sewerage), urban water supply, municipal contracts and solid waste management. I t i s expected that there w i l l be a coordination unit which w i l l monitor day-to-day project activities. This unit w i l l be complemented with different technical departments responsible for implementing the different components. The coordination unit w i l l recruit w i l l recruit a Safeguards Consultant within three months after grant effectiveness to manage safeguards aspects under the project. The consultant w i l l work to strengthen the ESMF and RPF procedures that wi l l improve component project quality and sustainability through compliance with safeguards. He/She w i l l also work with the technical departments responsible for implementing the components and ensure that environment and social concerns are mainstreamed into project implementation especially at the component level. For works that require Environmental Assessments and/or Resettlement Action Plans, a sequenced approach w i l l be adopted so that necessary assessments and actions are undertaken to address the high risk issues.

4. I t i s pertinent to note that, due to the emergency nature o f the operation, disclosures o f these instruments w i l l not be a condition o f appraisal; rather they w i l l need to be prepared and disclosed within six month after effectiveness. Before then, the Safeguards Consultant attached to the team w i l l undertake three activities: (i) assess the institutional arrangement for environmental and social safeguards within the coordination unit and the technical Departments; (ii) assess the Government environmental disclosure requirements and EA consultation process and ascertain if there i s an Environmental Impact Assessment (EIA) law in place; and (iii) provide ASPEN Toolkit for ESMFs for small-scale projects and run a two-day workshop on how to apply the guidelines to screen subprojects. On this, the consultant w i l l receive guidance from

91

the Bank’s environmental safeguards specialist based in the Abidjan office. H e wil l also facilitate a discussion on how to use and apply the environmental management clauses for construction contracts This i s critical, as c iv i l works may start right after grant effectiveness, and there i s need to equip the implementing entities with the tools to screen the subprojects, including mitigation measures to be adopted.

5. The Safeguards Consultant w i l l provide environmental and social management oversight in the design and execution o f component activities and proposed investments, (i) screening them for potential impacts and risks, (ii) planning mitigation measures, including consultation and disclosure requirements, to ensure due diligence, and (iii) facilitate consistent treatment o f environmental and social issues by the implementing agencies and contractor.

Social

Key Social issues Relevant to the Project Objectives

6. The project i s expected to increase sustainable access to infrastructure services to the population o f the Abidjan and BouakC and to deliver significant social benefits for the beneficiaries by improving their living and environmental conditions. I t wil l help reduce poverty among cities urban and peri-urban populations by creating short-term employment opportunities associated with the works contracts and by improving living conditions through better access to rehabilitated infrastructure services. The project w i l l increase the number o f inhabitants wi th access to year-round passable roads and to improved solid waste management services; it w i l l also reduce the number o f households flooded every year, increase the capacity o f the municipalities of Abidjan and BouakC to manage urban services, increase access to water supply services, and increase number o f people with temporary employment. B y improving living and sanitary conditions and services in poor areas and slums, and reducing flooding, the project wi l l also contribute to addressing human and social development issues.

7. The potential social impacts (such as temporary resettlement of households in targeted project areas) o f components under the project wi l l be small-scale and site-specific. It i s anticipated that project activities might not lead to land acquisition or major restriction o f access to sources of livelihood. Under the road component, al l sections with potential displacement issues have been taken out o f the program. However, a Resettlement Policy Framework wi l l be prepared and disclosed within six months o f grant effectiveness and this wil l be translated to Resettlement Action Plans as and when need arises during project implementation.

8. The Project Implementation team w i l l ensure that gender issues are adequately reflected in the project implementation process. Project implementation will incorporate consultation or collaboration with NGOs, other c iv i l society organizations, and other partners. The project design has involved key stakeholders, local NGOs working in urban development, water supply, solid waste management, and sanitation, as well as intervening partners such as line ministries. The Bank Team deepened coordination wi th other development partners to harmonize operations

92

and build synergies based implementation process i s into activities supported

on comparative advantage o f partners’ strengths and expertise. The designed to fol low a similar path and thus obtain community buy-in by the project thereby ensuring maintenance o f the rehabilitated

facilities.

Implementation Support

9. Regular reviews w i l l be carried out every 12 months after effectiveness to assess progress, achievement o f overall objectives, as well as the role of the different partners, and to eventually reorient the project if needed to ensure achievement o f objectives. Supervision missions w i l l take place quarterly in the first two years o f project implementation. The reviews and mission w i l l involve visits b y specialists to selected sites for first-hand assessment of progress o f executing entities performance.

93

Annex 9: C8te d’Ivoire at a glance

C6te d’Ivoire a t a glance 1W12/07

Key Development Indicators

P W Population, mid-year (millions) Surlace area (thousand sq. km) Population growth (%) Urban population (% 01 total population)

GNI (Atlas method, US$ billions) GNI per capita (Atlas method, US$) GNI per capita (PPP, international $)

GDP growih (%) GDP per capita growth (%)

(moat recent estlmste, 200&2006)

Poverty headcount ratio at $1 a day (PPP, %) Poverty headcount ratio at $2 a day (PPP, %) Life expectancy at birth (years) Infant mortality (per 1,ooO live births) Child mainutrition (% 01 children under 5)

Adult literacy, male (“/e 01 ages 15 and older) Adult literacy, female (% of ages 15 and older) Gross primary enrollment, male (% 01 age group) Gross primary enrollment, female (% of age group)

Access to an improved water source (% of population) Access to improved sanitation facilities (% 01 population)

cate d‘lvoire

18.1 322 2.0

16.6 920

1,550

0.9 .1.1

49 45

117 22

61 39 78 65

51

Sub- Saharan

Africa

770 24,265

2.3 36

648 842

2,032

5.6 3.2

41 72 47 96 29

69 50 98 86

56 37

~~

LOW income

2,403 29,215

1.8 30

1,562 650

2,698

8.0 6.1

59 75

72 50

108 96

75 38

Net Aid Flows

(US$ rnillionsJ Net ODA and official aid Top 3 donors (in 2005):

France United States Germany

Aid (% of GNI) Aid per capita (US$)

Long-Term Economic Trends

Consumer prices (annual %change) GDP implicit deflator (annual % change)

Exchange rate (annual average, local per US$) Terms of trade index (2ooO = 100)

Population, mid-year (millions) GDP (US$ millions)

Agriculture Industry

Services

Household linal consumption eqenditure General gov? final consumption expenditure Gross capital formation

Exports of goods and services Imports of goods and services Gross savings

Manulacturing

1980

210

118 1

12

2.2 26

17.9 35.5

21 1.3 56

8.2 10,175

25.9 19.7 12.8 54.4

62.8 16.9 26.5

35.0 41 .2

5.2

1990

686

416 17 19

6.9 59

-0.7 -7.3

272.3 94

11.5 11,487

2000

351

156 10 16

3.6 22

2.5 -0.4

709.9 100

16.0 10,448

rh of GDP) 30.6 24.2 24.7 24.9 22.6 21.7 44.8 50.9

67.6 74.9 21.4 7.2 6.7 10.8

29.8 40.4 25.5 33.3 .5.2 6.0

2008

119

68 33 13

0.8 7

2.5 5.6

522.4 89

18.1 17,568

22.7 26.3 18.3 51.0

71.7 8.2 9.7

51.3 41.0 12.7

Age dlstrlbutlon, 2oMT

Male Female

7074

POBI *?A

40-44

E44

Z-24

1014 0.4

20 10 0 10 20

percent

Jnder-5 mor(ll1ity rate (per 1 ,OOO)

180 180 140 120 1w 80 80 4c x ) 0

1880 1% 2m 2ws

0 C6le dlvolre USub-Saharan Africa

IGroWh of GDP and GDP per capita (K)

k i I \ ILIA

L +GDP -GDPpercapita

198c-90 19sa-2OOO 2oooQ8 (average annual growth %)

3.4 3.3 2.1 2.7 8.1 0.1

0.3 4.1 1.1 4.4 8.2 -1.3 3.0 7.6 -3.0 3.6 11.1 0.1

3.3 10.4 0.4 0.2 1.2 2.7

-12.2 19.6 -1.4

1.9 9.5 3.7 -2.5 18.3 5.1

Note: Figures in italics are for years other than those specilied. 2006 data are preliminary. .. indicates data are not available. a. Aid data are for 2005.

Development Economics, Development Data Group (DECDG).

94

CBte d’Ivoire at a Glance (Cont’d)

C6te d’lvoire

Balance of Payments and Trade

(US$ mdlions) Total merchandise exports (fob) Total merchandise imports (df) Net trade in goods and services

Current account balance as a % of GDP

Workers‘ remittances and compensation of employees (receipts)

Reserves, induding gold

Central Government Finance

(% of GDP) Current revenue (induding grants)

Current expenditure

Overall surplus/defiat

Highest marginal tax rate (%)

Tax revenue

Individual Corporate

External Debt and Resource Flows

(US$ mi//ims) Total debt Outstanding and disbursed Total debt service Debt relief (HIPC. MDRI)

Total debt (% of GDP) Total debt service (% of exports)

Foreign direct investment (net inflows) Portfolio equity (net inflows)

2000

3,740 2.788

742

-293 -2.8

119

566

17.2 14.6 15.5

-0.6

10 35

16.876 820 -

161.5 18.3

134 81

2006

8,144 6,067 1,817

524 3.0

160

1,732

18.8 15.3 17.0

-0.3

10 35

16,407 667 - 93.4 7.7

246 117

:ompositlon of total axlamal debt, 2005

PnYsle 8 288

Private Sector Development

Time required to stan a business (days) Cast to stan a business (%of GNI per capita) Time required to register property (days)

Ranked as a major mstraint to business (% of managers surveyed who agreed)

ma. n.a.

Stock market capitalization (% of GDP) Bank capital to asset ratio (%)

zoo0 2006

- 45 - 134.1 - 32

11.3 23.7

lovemanu, Indicators, 2000 and 2006

Voice and accountability

POllUcal Stability

Regulatory quality

Rule of law

Control of corruption

0 25 1 75 100

1urce: KBuimnnXraay-hiastNzzi, WOM Bank

Technology and Infrastructure

Paved roads (% of total) Fixed line and mobile phone

High technology exports subscribers (per 1,000 people)

(%of manufactured exports)

Environment

Agricultural land (% of land area) Forest area (% of land area) Nationally protected areas (% of land area)

Freshwater resources per capita (a. meters) Freshwater withdrawal (% of Internal resources)

CO2 emissions per capita (mt)

GDP per unit of energy use (Zoo0 PPP $ per kg of oil equivalent)

Energy use per capita (kg of oil equivalent)

Zoo0

9.7

2.0

62

7.2

0.35

3.9

410

2005

8.1

8.4

63

4,231

0.32

3.8

388

(US$ millions)

IBRD Total debl wtstanding and disbursed 1,657 1,734 Disbursements 0 0

32 12 Interest payments Prinapal repayments 57 64

IDA Total debt Outstanding and disbursed 290 366

76 -1 Disbursements Total debt service 8 43

IFC (fiscal year) Total disbursed and outstanding partfolio 125 45

of which IFC own account 98 34 Disbursements lor IFC own account 6 0 Portfolio sales, prepayments and

repayments for IFC own account 3 5

MlGA Grms exmure 15 20 New guarantees 0 0

Note: Figures in italicS are for years other than those specified. 2006 data are preliminary. .. indicates data are not available. -indicates observation is not applicable.

10/12/07

95

C8te d’Ivoire at a Glance (Cont’d)

Millennium Development Goals C6te d‘lvoire

With selected targets to achieve between 1990 and 2015 (estimate closest to date shown, +/- 2 years)

Goal 1: halve the rates for $1 a day poverty and malnutrltion 1990 1995 2000 2005 Poverty headcount ratio at 51 a day (PPP, Oh of population) Poverty headcount ratio at national poverty line (% of population) 36.8 38.4 Share of income or consumption to the poorest qunilile ( O h )

Prevalence of malnutrition (“h of children under 5) 24.0 21.7 7.3 7.2

Goal 2: ensure that children are able lo complete primary schooling Primary school enrollment (net, %) Primary completion rate (% of relevant age group) 41 37 40 Secondary school enrollment (gross, %) 21 22 Youlh literacy rate (% of people ages 15-24)

Goal 3: eilminate gender disparity in education and empower women Ratio of girls to boys in primary and secondary education ( O h )

Women employed in the nonagricukurai sector (% of nonagricukural employment) Proportion of seats held by wcfnen in national parliament (%)

Goal 4: reduce under-5 mortality by two-thirds Under-5 mortality rate (per 1,000) 157 112 192 Infant morlalily rate (per 1,000 live births) 103 180 117 Measles immunization (proporlion of one-year olds immunized, %)

Goal 5: reduce maternal mortality by three-fourths Maternal mortalii ratio (modeled estimate, per 100,000 live birlhs) Births altended by skilled heaith staff (% of total)

Goal 6: halt and begin to reversa the spread ot HIWAIDS and other major diseases Prevalence of HiV (%of population ages 1549) Contraceptive prevalence (% of women ages 15-49) Incidence of tuberculosis (per 1 00,000 people) Tuberculosb cases detected under DOTS ( O h )

7.1

Goal 7: halve the propottlon of people wlthoul sustalnabie access l o basic needs Access to an improved water source (% of population) 69 50 51 Access lo improved sanilation facilities (% of population) Forest area (% of total land area) Nationaiiy protected areas (% of total land area) C02 emissions (metric tons per capita) 0.4 0.5 0.4 0.3 GDP per unit of energy use (constant 2000 PPP 5 per kg of oil equivalent) 4.0 4.4 3.9 3.8

Goal 8: develop a global partnership tor development Fixed line and mobile phone subscribers (per 1,000 people) Internet users (per 1 ,000 people) Personal computers (per 1,000 people) Youth unemployment (% of total labor force ages 15-24)

Sducatlon Indicators (X)

25 1

O L 2Mo 2w2 2w5

+Primary net enrollment ratio (..)

+Ratio of girls to boys in primary & secondary education (..)

OCbte divoire (..) USub-Saharan Africa I

0

Weasles immunization (%of l-year olds) ~ 7

0 2 11

CT Indicators (per 1,000 people)

10

0 2Ma 2002

0 Fixed + mobile subscribers (,.) 13 Internet users

Note: Figures in nalics are for years other than those specilied. .. indicates data are not available. 10/12/07

96

Annex 10: CAS Annexes on CBte d’Ivoire Country Program

CAS Annex B3 - IBRD/IDA Program Summary CBte d’Ivoire As of Date 04/14/2008

Proposed IBRD/IDA Base-Case Lending Program

Fiscal Proj ID Year

US$(M) Strategic Rewards Implementation (H/M/L) Risks (H/M/L)

2008

2009

Post -Conflict Ass i s tance Program (PCAP) Economic Governance and Recovery Grant (EGRG) Emergency Urban Infrastructure Reconstruction MAP HIV/AIDS Institutions and Governance TA Reactivation of Existing Portfolio

Result

Economic Governance and Recovery Grant I1 (EGRG 11) Emergency Investments in Energy & Infrastructure

Result

120.0

308.0

94.0

20.0 13.0

104.0

659.0

TBD

TBD

100.0

H

H

H

H H H

H

H

H

H

H

M H M

M

M

Overall Result 759.0

97

CAS Annex B4 Summary of Non-lending Services

As of Date 03/25/2008

Product Audiencea Objectiveb US$ '000 Completion FY

Recent completions Poverty Diagnostic/Capacity Bldg. Post Conflict Recovery Planning

Underway Country Social Analysis Interim Strategy Note PEMFAR (PER&CFAA) Cocoa & Coffee Study TA on Energy

Planned' CEM Support for PRSP Support to PRIS and M&E W-Africa Post Conflict Eriv. Analysis Multi-donor AssessmentfCG Health CSR Post Conflict ICA Education CSR Poverty Assessment CAS Support for PRSP Progress Report

FY07 FY07

FY08 FY08 FYo9 FYo9 FYo9

FYo9 FYo9 FYo9 FYo9 FYo9 F Y l O F Y l O F Y l O F Y l O F Y l O F Y l O

70 G,D,B,PD PD, KG 46 G,D,B,PD PD, KG

200 75 65 60

135 40 40 60

120 50 35

KG KG

KG, PS KG

KG, PS KG, PS KG, PS

KG PD, KG

KG KG

a. Government, donor, Bank, public dissemination. b. Knowledge generation, public debate, problem-solving. c. Tasks planned currently being reviewedkonsolidated for greater strategic focus.

98