INTEGRATED SAFEGUARDS DATASHEET RESTRUCTURING STAGE I. Basic Information Date prepared/updated: 06/19/2013 Report No.: AC6277 1. Basic Project Data Country: Lao People's Democratic Project ID: P105331 Republic Project Name: GMS Power Trade (Laos) Project Task Team Leader: Veasna Bun Estimated Appraisal Date: March 15, 2007 Estimated Board Date: June 5, 2007 Managing Unit: EASTS Lending Instrument: Specific Investment Loan Sector: Power (86%); Renewable energy (14%) Theme: Infrastructure services for private sector development (29%); Regional integration (29%);Export development and competitiveness (14%);Rural services and infrastructure (14%);Climate change (14%) IBRD Amount (US$m.): 0.00 IDA Amount (US$m.): 10.20 GEF Amount (US$m.): 0.00 PCF Amount (US$m.): 0.00 Other financing amounts by source: BORROWER/RECIPIENT 3.80 3.80 Environmental Category: B - Partial Assessment Repeater [] Is this project processed under OP 8.50 (Emergency Recovery) Yes [ ] No [X] or OP 8.00 (Rapid Response to Crises and Emergencies) 2. Project Objectives The objective of the Project is to enhance regional power trade within the Greater Mekong Sub-Region with a view to also bringing reliable electricity to the Saravan province in Lao PDR, and creating the conditions for eventual interconnections of Lao PDR with other countries of the region. 3. Project Description The Project consists of the following activities before and after the proposed restructuring: Component L-1: Cancelled. Component L-1-b (new): Extension of the Saphaothong and Ban Na substations, construction of a small building within the developed perimeter of existing substation, changes of bus bars, addition of second bay to connect the second circuit of the already built double circuit line (Ban Na – Saphathong), second 115/22kV power transformer to provide secure supplies to the region and additional outgoing 22kV circuits. Component L-2: Construction of a 115 kV transmission system from Xeset 1 substation to Saravan now complete and operational since 2011. Component L-3 (modified): Activities to facilitate implementation of Components L-1b and L-2, including: (i) consulting services for project management and design of L-1-b and L-2; (ii) mitigation of social and environmental impacts of L-1-b and L-2; and (iii) provisions of vehicle, computers and office equipment. Component L-4 (modified): Consulting services only for the scoping and technical specification design for Load Dispatch Center (LCD) and the Supervisory Control and Data Acquisition (SCADA) system. Component L-5: Feasibility study of Houay Lamphan Gnai Hydropower Project – (completed). Component L-6: Cancelled. Component L-7: Technical assistance to Electricité du Laos (EdL) to update the Tariff Study – (completed). 4. Project Location and salient physical characteristics relevant to the safeguard analysis The component L 1: Construction of the high voltage transmission line from the Ban Hat in southern Lao PDR to the Cambodia Border under the original project design has now been cancelled due to unilateral withdrawal by the Cambodian side. Following the request from the GOL in March 2013 to utilize eligible undisbursed grand, while maintaining the PDOs, a new project has been identified at Saphaothong and Ban Na substation in Attapeu and Champak provinces, respectively. The new component L 1 includes the installation of one each, 115kV circuit breakers at Saphaothong and Ban Na substations to connect the existing second circuit of the double CCT line from the terminal tower to the substation busbars. This existing 115kV double circuit line (currently one circuit is connected) was built under Indian funding some 7 years ago but the second circuit was not terminated due to shortage of funds. It will also involve a) the extension of existing building to accommodate the expansion of the substation, b) replacement of inadequately sized bus bars to align it with current utility substation standards, c) installation of additional 115/22kV power transformer to provide secures and reliable supplies to the region and d) associated additional outgoing 22kV circuits. Minor civil works will be undertaken for the installation of the electrical equipment, within the compound of the existing substation. All new activities under the new component L 1 will be carried out within the existing boundary of the sub-stations. No other new physical investment is required under restructuring. 5. Environmental and Social Safeguards Specialists Makathy Tep (Environmental Safeguard Specialist) Satoshi Ishihara (Senior Social Safeguard Specialist) 6. Safeguard Policies Triggered Environmental Assessment (OP/BP 4.01) Natural Habitats (OP/BP 4.04) Forests (OP/BP 4.36) Pest Management (OP 4.09) Physical Cultural Resources (OP/BP 4.11) Indigenous Peoples (OP/BP 4.10) Involuntary Resettlement (OP/BP 4.12) Safety of Dams (OP/BP 4.37) Projects on International Waterways (OP/BP 7.50) Projects in Disputed Areas (OP/BP 7.60) Yes X X No X X X X X X X X II. Key Safeguard Policy Issues and Their Management A. Summary of Key Safeguard Issues 1. Describe any safeguard issues and impacts associated with the proposed project. Identify and describe any potential large scale, significant and/or irreversible impacts: Safeguard performance of the on-going project, both the environmental and social sides, is satisfactory. The proposed expansion of transmission capacity of existing substations will be carried out within the existing sub-stations that have been under operation. The expansion activities will involve minor civil works (such as expansion of office building, cable trenches, transformer foundations, and excavation works). There are likely to be some concerns relating to inconveniences or nuisances (e.g., dust, noise, construction waste) to surrounding areas during construction. However, these potential impacts on the environment are deemed to be minor, site-specific, and reversible in nature, and for which mitigation measures can be readily designed. Given the nature and small scale of the proposed civil works under the expansion project, a formal environmental assessment report is not considered necessary. For the purpose of enhancing environmentallyfriendly measures and mitigating any adverse impacts caused by the construction activities, the existing EMP of Xeset-Saravan 115kV transmission line is updated according to the nature of new investment including requirements on monitoring, supervision and reporting. The revised EMP has been disclosed locally and in the Bank’s Info Shop, both in English and in Lao languages and it will be included in bidding documents. No new social impact is expected to occur as a result of the restructuring. All civil works will be carried out within the existing premises of the substations, and no impact beyond the boundaries of the substations is expected to occur; no land acquisition, physical relocation or asset loss is expected to occur. 2. Describe any potential indirect and/or long term impacts due to anticipated future activities in the project area: No major indirect and/or long term impacts are anticipated. 3. Describe any project alternatives (if relevant) considered to help avoid or minimize adverse impacts. No alternatives are required. All civil works will be carried out within the existing premises of the substations, and no impact beyond the boundaries of the substations is expected to occur. 4. Describe measures taken by the borrower to address safeguard policy issues. Provide an assessment of borrower capacity to plan and implement the measures described. Environment Management Plans for the proposed expansion of capacity of existing substations have been revised and reviewed by the Bank. Implementation of these plans will be monitored as covenants of the proposed Grant. EDL has a successful experience in environmental and social impacts mitigation with the previous and ongoing projects financed by IDA, and has an adequate and proven capacity to plan and implement safeguard instruments under the project. The GMS project office, the corporate Environmental Office at EDL headquarters, EDL branch offices, and provincial environmental management committee comprising of provincial and district officials at provincial level, would be responsible for the implementation of environmental and social safeguards. Safeguard capacities of EdL, especially branch offices, is expected to be further enhanced through the Safeguard Capacity Building program to be implemented under the on-going REP II Project financed by IDA. 5. Identify the key stakeholders and describe the mechanisms for consultation and disclosure on safeguard policies, with an emphasis on potentially affected people. Local governments and local population in the project areas were consulted. The existing EMP of Xeset-Saravan 115kV transmission line is updated according to the nature of new investment including requirements on monitoring, supervision, reporting, and budgeting. The revised EMP will be disclosed locally and in the Bank’s Info Shop, both in English and in Lao languages and it will be included in bidding documents. B. Disclosure Requirements Date Environmental Assessment/Audit/Management Plan/Other: Was the document disclosed prior to appraisal? Yes Date of receipt by the Bank 06/12/2013 Date of "in-country" disclosure 06/12/2013 Date of submission to InfoShop 06/19/2013 For category A projects, date of distributing the Executive Summary of the EA to the Executive Directors Resettlement Action Plan/Framework/Policy Process: Was the document disclosed prior to appraisal? Yes Date of receipt by the Bank 02/14/2011 Date of "in-country" disclosure 04/01/2011 Date of submission to InfoShop 04/08/2011 Indigenous Peoples Plan/Planning Framework: Was the document disclosed prior to appraisal? NA Date of receipt by the Bank NA Date of "in-country" disclosure NA Date of submission to InfoShop NA Pest Management Plan: Was the document disclosed prior to appraisal? NA Date of receipt by the Bank NA Date of "in-country" disclosure NA Date of submission to InfoShop NA * If the project triggers the Pest Management and/or Physical Cultural Resources, the respective issues are to be addressed and disclosed as part of the Environmental Assessment/Audit/or EMP. If in-country disclosure of any of the above documents is not expected, please explain why: B. Disclosure Requirements Date C. Compliance Monitoring Indicators at the Corporate Level (to be filled in when the ISDS is finalized by the project decision meeting) OP/BP/GP 4.01 - Environment Assessment Does the project require a stand-alone EA (including EMP) report? If yes, then did the Regional Environment Unit or Sector Manager (SM) review and approve the EA report? Are the cost and the accountabilities for the EMP incorporated in the credit/loan? OP/BP 4.04 - Natural Habitats Would the project result in any significant conversion or degradation of critical natural habitats? If the project would result in significant conversion or degradation of other (non-critical) natural habitats, does the project include mitigation measures acceptable to the Bank? Yes Yes Yes No OP/BP 4.11 - Physical Cultural Resources Does the EA include adequate measures related to cultural property? Does the credit/loan incorporate mechanisms to mitigate the potential adverse impacts on cultural property? OP/BP 4.12 - Involuntary Resettlement Has a resettlement plan/abbreviated plan/policy framework/process framework (as appropriate) been prepared? If yes, then did the Regional unit responsible for safeguards or Sector Manager review the plan? OP 7.50 - Projects on International Waterways Have the other riparians been notified of the project? If the project falls under one of the exceptions to the notification requirement, has this been cleared with the Legal Department, and the memo to the RVP prepared and sent? Has the RVP approved such an exception? The World Bank Policy on Disclosure of Information Have relevant safeguard policies documents been sent to the World Bank's Infoshop? Have relevant documents been disclosed in-country in a public place in a form and language that are understandable and accessible to project-affected groups and local NGOs? All Safeguard Policies Have satisfactory calendar, budget and clear institutional responsibilities been prepared for the implementation of measures related to safeguard policies? Have costs related to safeguard policy measures been included in the project cost? Does the Monitoring and Evaluation system of the project include the monitoring of safeguard impacts and measures related to safeguard policies? Have satisfactory implementation arrangements been agreed with the borrower and the same been adequately reflected in the project legal documents? No Yes Yes No No Yes Yes Yes Yes Yes Yes D. Approvals Signed and submitted by: Name Task Team Leader: Environmental Specialist: Social Development Specialist Additional Environmental and/or Social Development Specialist(s): Veasna Bun Makathy Tep Satoshi Ishihara Date 06/20/2013 06/14/2013 06/14/2013 Paavo Eliste 06/19/2013 Approved by: Sector Manager: Comments: