PROJECT INFORMATION DOCUMENT (PID) CONCEPT STAGE Report No.: AB5179 Project Name Region Sector Project ID Borrower(s) Implementing Agency Environment Category Date PID Prepared Estimated Date of Appraisal Authorization Estimated Date of Board Approval I. Bangladesh Rivers Information and Conservation (BRIC) Program South Asia Water Resources Management (40%); Institutions and Governance (25%); General Agriculture, Fishing and Forestry (10%); Rural Services and Infrastructure (25%) P117206 Government of Bangladesh Bangladesh Water Development Board (BWDB) WAPDA Building, Motijheel Commercial Area Dhaka -1000, Bangladesh [X] A [] B [ ] C [ ] FI [ ] TBD (to be determined) March 03, 2010 October 2010 March 2011 Key Development Issues 1. A country shaped by rivers. Water plays a significant role in every aspect of Bangladesh’s economy. Bangladesh’s 310 rivers constitute the lifeline for this densely populated landmass (1,200 inhabitants per square kilometers). Around 1,200 km3 of freshwater flows through these rivers every year. During the monsoon, up to 70% of Bangladesh’s mostly low-lying delta is highly prone to flooding. Yet behind this apparent abundance hides tremendous variability. 2. From abundance to scarcity: managing spatial and temporal variability. Although Bangladesh receives considerable freshwater, over 95% of all flows are concentrated in just three rivers the Ganges, Brahmaputra and Meghna. Most of the water flows within just 5 months of the year, with limited infrastructure and space to store the water for the long dry season. These mighty rivers also carry heavy silt loads which clog distributaries and reduce fresh water availability during the dry-season. Both surface and groundwater water availability are further reduced through declining water quality in many areas. In the coastal belt, low flows and storm surges are resulting in increased saline intrusion, whilst urbanized areas are increasingly contaminated with anthropogenic pollution sources from domestic and industrial waste. Combined, this hydrological variability presents considerable water resource management challenges, which will only be exacerbated by climate change. 3. Bringing Bangladesh’s hydrology network into the digital era. Bangladesh’s existing hydrology network is ill-equipped to manage one of the most complex river systems in the world. Most of its hydrology network was established back in 1960-1980, with support from development partners. There has been little upgrading since. The overall network remains manually operated with old and poorly maintained equipment. This limits the ability of the BWDB to effectively provide reliable information to various stakeholders. To meet the tremendous challenge of managing its rivers in the 21 st century, the existing hydrological network needs to be entirely modernized, optimized and automated in an integrated platform which directly builds onto the Government’s Digital Bangladesh agenda. 1 4. Improving data collection and management to better support a comprehensive national water information system. There are currently more than 35 institutions across Bangladesh dealing with data collection and monitoring. This makes it harder to process and disseminate relevant, accurate and just-in-time information to support the needs of decision-makers and other users alike. The mandating by the Government of Bangladesh of the Water Resources Planning Organization (WARPO) as custodians of a National Water Resources Database is an important first step. However, the primary data inputted into the database are not always reliable and suffer from extensive collection and processing time-lags. Since a large proportion of the dynamic time-series water data available to the national water resources database is collected by BWDB, the modernization of BWDB’s hydrology data collection and processing will in itself be an important first step in enhancing the quality of the national database. 5. Water challenges impact heavily on the development agenda particularly in the Southwest Region. Bangladesh’s economy is highly dependent on, and vulnerable to, the country’s extremely variable water resources. The silting up of the Gorai River, the last remaining major channel in the Southwest, underscores the consequences of river sedimentation - with the livelihoods of 40 million people under threat due to lack of fresh and reliable water. Yet the Gorai proposed activities are not new in terms of the scope of water resources development in Bangladesh. Substantive feasibility studies were carried out ten years ago. However, those activities were not implemented due to divergence between the incoming and outgoing ruling parties, notably regarding the relative merits between the restoration of the Gorai and the construction of a full-fledged Ganges Barrage. Following this impasse, the situation in the Gorai and its dependant areas have worsened with increased sedimentation and salinity, threatening the living conditions of people, reducing economic opportunity and increasing the ecosystem fragility particularly on the sundarbans. Indeed, feasibility studies have shown that dry season low flows can be significantly increased through a sequenced intervention initiated with capital dredging works; followed by the construction of flow diversion and erosion protection structures at the mouth of the Gorai, and finally supplemented by continued (lower-level) maintenance dredging. There is now a renewed interest in government for restoring the Gorai, which offers a window of opportunity for action. Indeed, sustained and widespread benefits to the local people and ecosystems can be achieved by embedding these workswithin a broader long-term integrated basin planning framework, while maximizing the linkages and synergies with other regional initiatives in the Southwest, notably the construction of the Padma Bridge which will provide a direct road link from this cut-off region to the capital Dhaka. To achieve this, sound institutions overseeing the Gorai Basin will be necessary to support this integrated planning process, and will need to be gradually strengthened through a phased and long-term commitment. 6. Strengthening water institutions for better water resources management. Better infrastructure and hydrological equipment alone will not adequately respond to Bangladesh’s considerable water resources management challenges unless the appropriate financial, human resources, accountability and decision-making systems are strengthened. Actions to enhance the incentives and performance of water institutions, including the identification of institutional shortcomings within line agencies, notably the BWDB, and the removal of existing barriers for their effective performance, would be much needed. Human resources and capacity gaps within the BWDB are a particular concern. Around 50% of posts remain unfilled, a situation that will only be exacerbated by the current wave of retiring staff. Adequate replacements are often unavailable, with young and talented engineers lacking incentives to join and/or build careers as civil servants. A careful consideration of strategic staffing options and incentives will be required to ensure that this emerging generation gap does not threaten the effective management of Bangladesh’s water resources. 7. Pursuing a parallel national and regional water resources management agenda. Given Bangladesh’s situation as the lowest riparian country, occupying only 7% of the Ganges-BrahmaputraMeghna river basin and receiving water from 57 international rivers, it inevitably faces numerous 2 challenges associated with the greater watershed beyond its borders. In the long-term, achieving sustainable water resources management will require enhanced regional cooperation with riparian countries. However, this must be balanced against critical short-term needs. The GoB is therefore seeking to adopt a two pronged strategy; focused on short-term concrete actions at the national level combined with on-going discussions with riparian countries bilaterally and through regional platforms such as the Abu Dhabi Dialogue. II. Rationale for Bank Involvement 8. The World Bank has a comparative advantage to help Bangladesh address the above challenges. The Bank rationale is to support Bangladesh to better manage its water resources through three keys developmental pillars namely institutions, information and investments. First, the institution pillar will help Bangladesh rejuvenate its aging water resources institutions within the context of integrated water resources management for the 21st century. This would involve strategic staffing and capacity building for targeted institutions. Furthermore, this pillar will also include revamping some institutions by building from inside to address the current water institution crisis and low performance. These activities will be implemented in parallel to the second, information pillar which will support the improvement of water resources information and associated digital systems. This will provide valuable data for water resources planning and development and will increase Bangladesh readiness in the context of climate change adaptation. In addition, it will also enhance preparedness for water extreme events (floods and droughts) thus safeguarding both lives and damages to economic property. Finally, the third investment pillar will address one of the most pressing problems of Bangladesh today by increasing freshwater availability in the Gorai during the dry season. As the traditional water life-line for the Southwest region, the restoration of the Gorai River will help improve key regional environmental and ecological services and functions, including those of the Sundarbans mangrove forests. This in turns will have both positive economic and social impacts on the overall Southwest Region. 9. The Bank now has a unique comparative advantage to assist Bangladesh to better manage and conserve its rivers. First, the political environment in Bangladesh has positively evolved towards sustainably restoring rivers in the Southwest Region – and political risks associated with electoral cycles are better factored into the proposed project design. Second, the Bank is actively engaged in identifying new climate change adaptation strategies (notably through the Bangladesh PPCR) and can help support the transfer of advanced technology and skills to better measure water-related impacts and develop associated resilience strategies. Third, the Bank’s facilitation of the Abu Dhabi Dialogue, provides Bangladesh with an opportunity to explore long-term solutions with its neighbors to better manage their transboundary waters. Fourth, under the forthcoming Country Assistance Strategy (CAS) the Bank’s is also supporting the development of the Southwest Region, for which the Gorai restoration and provision of additional freshwater resources, plays an integral role. Finally the Bank has been active in supporting South Asian countries in upgrading their hydrology networks (e.g. India Hydrodrolgy I & II, Sri Lanka and Afghanistan). The project will build upon these on-going experiences ensuring progressive harmonization in data collection and monitoring within a potential framework of regional cooperation. Therefore, the project design takes into account the short, medium and long term approach to address boarder water resources management issues within Bangladesh. 10. The Bank has been one of Bangladesh’s main partners in water resources and environmental management over the past decades. Efforts in water resources management have primarily focused on preventing the damaging impact of floods and in improving water resources management for agriculture through better irrigation. Lessons learnt through several decades of engagement in the water sector in Bangladesh show that institutional fragmentation, decreasing capacity and lack of clear focus on specific water issues are the main challenges. Despite obvious progress on water infrastructure development and 3 prevention of water related hazards, the sector is still constrained by a number of factors among which the absence of a regional cooperation framework, politicization of priorities, inadequate policies for operation and maintenance of existing water assets, and above all declining capacity of the lead water institution at both the national and local level. While the strengthening of water institutions remains an objective for many projects, to date, these have not achieved the results needed to address the root causes of the problem. An integrated approach that establishes a comprehensive institutional framework with clear arrangements for sustainable management of water resources is therefore required. The project will build upon these recent experiences, which have highlighted the need for incremental, targeted, pragmatic interventions, to further enhance capacity and stimulate changes in critical new areas such as data collection and monitoring, and integrated river basin management. The proposed project is fully consistent with both the 2006-2009 and the forthcoming Bangladesh Country Assistance Strategy which underscore the importance of water resources management, disaster mitigation, and climate change. It also builds upon the 2006 Country Environmental Analysis which emphasized environmental preservation and conservation. Furthermore, the project is aligned with GoB planning instruments notably the National Water Policy, National Water Management Plan and the draft Five Year Plan (2011-2015) all of which emphasize a more comprehensive and integrated water resources management approach. Finally, the project is consistent with GoB commitment to address water resources management for the welfare of the nation and reflected in the present Government’s manifesto. Complementarities with on-going Bank projects and lessons learnt. The BRIC project complements and follows on from existing work carried out under the Water Management Improvement Project (WMIP) in two specific ways. First, while both projects seek to strengthen the provision and dissemination of reliable water resources management information, the WMIP efforts focus on the National Water Resources Database (NWRD) under WARPO, whereas the BRIC project will help enhance the quality and relevance of the primary data feeding into it (since BWDB accounts for 80% of the dynamic water datasets received). Second, the WMIP will play a critical role in translating the increased dry-season water flows into the Gorai and the Ganges dependant areas (GDA) provided under the BRIC project, into actual benefits for people through its local community livelihood outreach programs. Furthermore, the BRIC project will also complement efforts being initiated under the Dhaka Environment and Water Program Project, particularly on issues related to water quality and monitoring with the modernization of the groundwater network. The proposed project will complement the Bank's regional water resources engagement, especially the proposed National Ganga River Basin project and Northeast India Multistates Water Resources Project recently requested by the Government of India since Bangladesh is both the delta of the Ganges River and the most accessible maritime gateway for Northeast India. It also fits with the overall regional strategy being developed under the Ganges Strategic Basin Assessment, and will complement activities to be initiated under the Climate Change Multi-donor Trust Funds; the proposed Sundarbans NTLA in India and Bangladesh; the Southwest Region re-engagement and several on-going and proposed hydrology network up-grading projects in other SAR countries including India and Nepal. Moreover, the proposed project builds upon lessons from similar projects within the Region and across the world in two ways: (i) technical specifications and standardization of equipments in designing a modern and operational hydrology network. This project will build upon experiences from the hydrology I-II in India as well as those underway in Afghanistan and Sri Lanka to ensure consistent procurement packages of equipments; and (ii) state of the art expertise for deltaic environments. Capacity building and adequate skills are required to deal with complex issues such as sediment management and operation of infrastructure in deltaic zones such as Bangladesh. The project will consolidate the existing partnership with the Netherlands in this particular case and explore further best practices such as those implemented in the Mississippi Delta. 4 III. Proposed Objective 11. The proposed project development objective (PDO) is to help the Government of Bangladesh modernize its hydrology network and restore the productivity of the Gorai river systems. The PDO will be achieved through the five following intermediate outcomes: IV. Installation of modern tools and instruments to better monitor information and collect real time data on its rivers network; Consolidation of state-of-the-art knowledge on water resources information, planning and development through training and capacity building programs for targeted water resources institutions (Gorai River and Hydrology Units); Effective increase of flow availability on the Gorai through construction of required water infrastructure (flow divider, Gorai guide bundh and river training works); Increase of activities through a restored Gorai river system thus bringing potential benefits to stakeholders and contributing to the revitalization of the Southwest region; Operational flood early warning system with an effective dissemination of information to stakeholders leading to saving of lives and properties. Preliminary Description 12. Developing a long term engagement. The identified priority actions will be framed around a long term engagement to enhance water resources management and planning of Bangladesh’s rivers, with an initial focus on the Southwest Region. The approach is phased, and focuses on three intertwined pillars: Institutions, Information, and Investments. 13. The proposed project is a 5 year Specific Investment Loan (SIL) with an overall estimated cost of US$160 million. It should be noted that this SIL is only the first intervention within a broader 10-15 year programmatic vision to strengthen Bangladesh’s water resources management systems within three above mentioned pillars. 14. Within the umbrella of this 5 year SIL, a two step approach is proposed for the project design. Year one will focus on implementing key building blocks including: (i) the upgrading of the hydrological network combined with the institutional capacity building of the hydrology units; (ii) finalization of the detail design for the Gorai restoration associated with the establishment of the Gorai unit; (iii) Gorai River conservation pilots building on the proposed environmental and social mitigation activities; (iv) initial works in relation to the restoration of the Gorai river mouth. The second year of the project implementation will then involve the financing of major river restoration works in the Gorai River. This sequencing will ensure that, once the major works are ready to be financed, these are efficiently carried out within a strong institutional framework, and long-term planning vision for sustainable operation and maintenance, where the environmental, social and economic benefits of increased dry-season flows to the Southwest can be maximized. 15. The proposed components are detailed below. Component 1. Modernization of the hydrology network (estimated cost US$40 million) This component will support the information pillar and includes: Modernization of the network design, data collection and data transmission (US$25 million). This sub-component will support the rehabilitation, upgrading, and expansion of network stations, data 5 collection and data transmission for rainfall, specific river sections and groundwater aquifers. Key activities would include: (i) review of the information needs and an analysis of the current data sets; (ii) expansion and consolidation of the national hydrology monitoring network (rainfall, surface water and groundwater); (iii) installation of automated hydrometric and weather observing stations (AHWOS); (iv) rehabilitation and upgrading of the overall groundwater network; (v) upgrading of operation and maintenance systems; (vi) establishment of national workshops for repair and maintenance; and (vii) ensuring adequate security of equipment and infrastructure. Modernization and upgrading of data processing, storage and dissemination (USS15 million). This sub-component will support a long-term process for effective data management across the country. Key activities would consist of: (i) modernization of the data transmission system (telemetry, satellites, radio, GRPS, IP networks etc.); (ii) upgrading data transmission procedures and establishment of regional dispatching centers; (iii) enhancement of data storage, processing and retrieval capacity and procedures; and (iv) provision for enhanced water quality analysis including upgrading of laboratory equipment. Component 2. Gorai River Restoration (US$98 million). Consistent with the investment pillar, this component will focus on the following activities: Gorai River conservation pilots (US$18 million). This sub-component will pilot initial activities which provide quick and tangible benefits on the ground – based on the recommendation of the updated environmental and social study of the Gorai restoration. The objective is to foster local stakeholder ownership and involvement. It will also help maximize community benefits derived from the increased flows during dry season, once the full Gorai River restoration works are completed. The proposed interventions include: (i) the construction of small river training works; (ii) slope stabilization through vegetation and aforestation; (iii) community training and restoration of small channels, tributaries and fisheries; and (iv) identification and implementation of recommended livelihood options. Gorai River restoration works (US$80 million): The proposed activities include: (i) training works at the Gorai mouth (flow divider and guide bund); (ii) river training works in the Gorai River (river bank revetments and rehabilitation of existing groynes); and (iii) the restoration of distributaries of the Gorai River. Component 3. Institutional Water Resources Development (US$22 million) This component will primarily support the institutional pillar with an emphasis on the following activities: Capacity building of BWDB hydrology unit and decentralized sub-divisions (US$5 million). The proposed activities would be synchronized with the modernization of the hydrology network and expansion of the flood early warning system. The activities consist of: (i) preparation and funding of a comprehensive training program in parallel with the upgrading of the hydrology network and telemetry systems; (ii) upgrading of the national hydrology training center; and (iii) training of trainers for wider dissemination. Support to the Gorai River Management Unit (US$5 million). This activity supports the establishment of the Gorai River Management Unit as a specialized entity to ensure effective management from a sub-basin approach with long term sustainability and adequate operation and 6 maintenance of the Gorai system and its dependent areas. Activities would consist of: (i) institutional provisions to enable the staffing of the Gorai River Unit under the BWDB; (ii) the development of a model to explore options for a sustainable O&M financing framework for Gorai investments; (iii) support to an independent panel of experts to guide the implementation of river restoration activities, and mainstream wider water resource interventions required for basin wide management and augmentation; ; and (iv) preparation of a dredging strategy for Bangladesh Rivers.. Expansion of the flood early warning and community awareness (US$7 million). This subcomponent will scale up the nation-wide early warning system and improve the dissemination of flood and erosion early warnings to grassroots communities. Key activities include: (i) expansion of the Digital Elevation Model (DEM) to the coastal zone; (ii) improvement of flood forecasting and warning services; (iii) consolidation and expansion of the flood early warning system using modern and automated dissemination systems (iv) implementation of the BWDB national communication action plan inclusive of comprehensive sensitization for flood warnings using mosque radio transmitters; (v) translation and dissemination of early warning message in local languages; (vi) development of feedback mechanism to assess community involvement and satisfaction.. Project oversight and monitoring (US$5 million). This subcomponent would support the following activities: (i) project oversight at the highest level; (ii) monitoring, evaluation and auditing; (iii) dissemination and exchange of best practices; (iv) audit; and (v) additional studies. V. Safeguard Policies that might apply Safeguard Policies Triggered by the Project Environmental Assessment (OP/BP 4.01) Natural Habitats (OP/BP 4.04) Pest Management (OP 4.09) Physical Cultural Resources (OP/BP 4.11) Involuntary Resettlement (OP/BP 4.12) Indigenous Peoples ( OP/BP 4.10) Forests (OP/BP 4.36) Safety of Dams (OP/BP 4.37) Projects in Disputed Areas (OP/BP 7.60)* Projects on International Waterways (OP/BP 7.50) Piloting the Use of Borrower Systems to Address Environmental and Social Issues in Bank-Supported Projects (OP/BP 4.00) VI. Yes [X] [X] [] [] [X ] [] [X] [X] [] [X ] No [] [] [X] [X] [] [X] [] [] [X] [] [] [X] Tentative Financing Source: Borrower/Recipient IDA ($m.) Total VII. TBD 160 160 Contact Point * By supporting the proposed project, the Bank does not intend to prejudice the final determination of the parties' claims on the disputed areas 7 Contact: Title: Tel: Fax: Email: Location: Ousmane Dione Lead Water Resources Specialist +1 (202) 473-5574 +1 (202) 614-1074 odione@worldbank.org 1818 H Street NW, Washington DC, 20433 8