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World Bank Document Document of The World Bank FOR OFFICIAL USE ONLY Public Disclosure Authorized Report No: 4 1404-AR PROJECT APPRAISAL DOCUMENT ON A PROPOSED LOAN Public Disclosure Authorized IN THE AMOUNT OF US$60 MILLION TO THE ARGENTINE REPUBLIC A SUSTAINABLE NATURAL RESOURCES MANAGEMENT PROJECT January 23,2008 Public Disclosure Authorized Sustainable Development Department Argentina, Chile, Paraguay and Uruguay Country Management Unit Latin America and the Caribbean Region 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. Public Disclosure Authorized CURRENCY EQUIVALENTS Exchange Rate Effective November 5,2007 Currency Unit = Peso $Peso 3.136 = US$1 US$0.3196 = AR$1 FISCAL YEAR January 1 - December 31 ABBREVIATIONS AND ACRONYMS AGN National General Auditors Office APN National Parks Administration BNA National Bank of Argentina CAS Country Assistance Strategy CGN Accountant General Office DA Designated Account EA Environmental Assessment EMP Environmental Management Plan DNCAP National Directorship for Conservation of Protected Areas - APN FAP Fiduciary Action Plan FDA Forestry Development Agents FDO Forestry Development Offices FIRR Financial Rate of Return FM Financial Management FMR Financial Monitoring Reports GDP Gross Domestic Product IAU Internal Audit Unit IBRD International Bank for Reconstruction and Development IFR Interim Unaudited Financial Report IFPAs Integrated Fiduciary Performance Assessments INAI National Institute for Indigenous Issues INFONA National Forestry Institute INTA National Agricultural Technology Institution NAP National Action Plan NEFs Forestry Extension Nodes NFD Native Forest Directorate NGO Non-governmental Organization PEFTS Federal Strategic Plan for Sustainable Tourism PES Payment for Environmental Services POA Annual Operational Plan SAGPyA Secretariat of Agriculture, Livestock, Fisheries and Food SAyDS Secretariat of Environment and Sustainable Development SFM Sustainable Forest Management FOR OFFICIAL USE ONLY SIDIF Integrated Financial Information System SIFAP National Protected Areas System SIGEN General Syndicate of the Nation SNAPS Argentina’s National Protected Areas System SOE Statement of Expenditure TFO Technical and Fiduciary Office TOR Terms of Reference UEPEX Executing Unit for International Loans UPAF Upper Parana Atlantic Forest WA Withdrawal Application Vice President: Pamela Cox Country ManagedDirector: Pedro Alba Sector Manager: Ethel Sennhauser Task Team Leader: Robert Ragland Davis This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not be otherwise disclosed without World Bank authorization. ARGENTINA Sustainable Natural Resources Management Project CONTENTS Page A . STRATEGIC CONTEXT AND RATIONALE .................................................................. 6 1. Country and sector issues .................................................................................................... 6 2 . Rationale for Bank involvement ........................................................................................ 11 3 . Higher level objectives to which the project contributes .................................................. 11 B. PROJECT DESCRIPTION................................................................................................ 12 1. Lending instrument ............................................................................................................ 12 2 . Project development objective and key indicators ............................................................ 12 3 . Components of the project ................................................................................................. 13 4 . Lessons learned and reflected in the project design .......................................................... 18 5 . Alternatives considered and reasons for rejection ............................................................. 19 C. IMPLEMENTATION ......................................................................................................... 21 1. Partnership arrangements .................................................................................................. 21 2 . Institutional and implementation arrangements ................................................................ 21 3 . Monitoring and evaluation of outcomeshesults ................................................................ 22 4 . Sustainability and Replicability ......................................................................................... 23 5 . Loadcredit conditions and covenants ............................................................................... 26 D . APPRAISAL SUMMARY.................................................................................................. 27 1. Economic and financial analyses ....................................................................................... 27 2 . Technical ........................................................................................................................... 28 3 . Fiduciary ............................................................................................................................ 29 4 . Social ................................................................................................................................. 29 5 . Environment ...................................................................................................................... 30 6 . Safeguard policies .............................................................................................................. 31 7 . Policy Exceptions and Readiness ...................................................................................... 31 Annex 1: Country and Sector Background............................................................................... 32 Annex 2: Major Related Projects Financed by the Bank and/or other Agencies .................. 39 Annex 3: Results Framework and Monitoring ......................................................................... 42 Annex 4: Detailed Project Description ...................................................................................... 61 Annex 5: Project Costs ................................................................................................................ 71 Annex 6: Implementation Arrangements.................................................................................. 73 Annex 7: Financial Management and Disbursement Arrangement ....................................... 78 Annex 8: Procurement Arrangements....................................................................................... 89 Annex 9: Economic and Financial Analysis .............................................................................. 95 Annex 10: Safeguard Policy Issues........................................................................................... 110 Annex 11: Project Preparation and Supervision .................................................................... 118 Annex 12: Documents in the Project File ................................................................................ 120 Annex 13: Statement of Loans and Credits............................................................................. 124 Annex 14: Country at a Glance ................................................................................................ 127 Annex 15: Detailed Park Descriptions..................................................................................... 129 Annex 16: Subproject Implementation Arrangements .......................................................... 140 Annex 17: Partnering Provincial Initiatives ........................................................................... 147 Annex 18: Biodiversity Conservation in Productive Forestry Landscapes Project ............ 150 Annex 19 Plantation Extension and Technology Transfer (TT) ........................................... 152 Annex 20: Plantation Forestry Research................................................................................. 162 Annex 21: Maps (IBRD 35976) ................................................................................................. 170 ARGENTINA SUSTAINABLE NATURAL RESOURCES MANAGEMENT PROJECT APPRAISAL DOCUMENT LATIN AMERICA AND CARIBBEAN LCSAR Date: January 23,2008 Team Leader: Robert Ragland Davis Country Director: Pedro Alba Sectors: General agriculture, fishing and Sector ManagedDirector: Ethel Sennhauser forestry sector (60%); Forestry (20%); Central Project ID: P100806 government administration (20%) Environmental Assessment: Partial Themes: Other environment and natural Assessment resources management (P);Other rural Lending Instrument: Specific Investment Loan development (P);Participation and civic engagement (P) Global Supplemental ID: PO94425 Team Leader: Robert Ragland Davis Lending Instrument: Specific Investment Loan Sectors: Forestry (5OY0);Central government Focal Area: B-Biodiversity administration (3O%);General agriculture, Environmental Assessment: Partial fishing and forestry sector (1O%);Sub-national Assessment government administration (5Y0);Agricultural Supplement Fully Blended?: No extension and research (5%) Themes: Biodiversity (P);Other environment and natural resources management (S);Other rural development (S);Environmental policies
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