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World Bank Document The World Bank 23rd Floor, Taipan Building Telephone: (632) 6375855 / 9173000 / 9173050 INTERNATIONAL BANK FOR RECONSTRUCTION NND DEVELOP ,IENT F. Ortipas Jr. Ave. formerly Emerald Ave Facsimile: (632) 6375870 INTERNATIONAL DEVELOPMENT ASSOCIATION ortigas denter,"asig City Piiies TF ( 42 OFICIAL OcUM WTS , November 27, 2012 Public Disclosure Authorized Honorable Cesar V. Purisima Secrelary Department of Finance Bangko Sentral Complex Roxas Boulevard Manil- Dear Secretary Purisima: GEI-Manila Third Sewerage Project GEF GrantNo. (TFO5 7296-PH) Amendments to the GrantAgreement Public Disclosure Authorized We refer to the Grant Ag -eement dated August 16, 2007, between the Republic of the Philippines ("Recipient") and the International Bank for Reconstruction and Development ("Bank"), acting as implementing agency of tae Global Environment Facility ("GEF"), pursuant to which the Bank agreed to extend a GEF Grant ("Grant") to assist in the financing of the GEF - Manila Third Sewerage Project ("Grart Agreeme it"). We also refer to the letter from Undersecretary Rosalia de Leon of the Department of Financ dated August 17, 2012, endorsing the request from Secretary Ramon Paje of the Department of Eivironment and Natural Resources dated July 30, 2012, to amend certain provisions in the Grant Agreement, including extension of the Grant Closing Date. We are pleased to inform y )u that the Bank concurs with your request and hereby agrees to amenc the Grant Agreement as set o it in this letter of amendment ("Letter of Amendment"): Schedule 2 to the Grant Agreement is amended to extend the Public Disclosure Authorized (1) Section IV.B.2 of Closing Date as follows: "2. The Closing; Date referred to in Section 3.06(c) of the Standard Conditions is May 31, 2014." (2) Annex 2 to Schedule 2 (Performance Indicators) of the Grant Agreement is amended to reflect the revised targets for the Performance Indicators and to replace Manila Water Company Inc. ("MWCI") with Maynilad Water Services Inc. ("MWSI") under the heacing "Part E: Technical Assistance for Rate Rebasing" as shown in the Attachment to this Letter of Amendment. (3) In the Appendix to the Grant Agreement (Definitions), item (in) is replaced by the following definitior: Public Disclosure Authorized "(in) 'MWSI" means Maynilad Water Services Inc., a privately-owned corporation established and op(rating pursuant to its Articles of Incorporation dated January 22, 1997, and amended as approved by the stockholders and the Securities and Exchange Commission on August 12, 2011 and October 26, 2011, providing water supply and sanitaticn services in the western part of the Metro Manila." Secretary Cesar Purisima -2- November 27, 2012 Unless the context otherwise requires and except where otherwise defined in this Letter of Amendment, all the capitalized terms contained herein shall have the meanings given to them in the Grant Agreement. All other sections of the Grar t Agreement not amended hereby shall remain unchanged and in full force and effect. Please confirm your agreemcnt with the foregoing amendments on behalf of the Recipient, by signing, dating, and returning to us cne signed original of this Letter of Amendment. Upon receipt by the Bank of the original of this Letter of Amendment countersigned by you, this Letter of Amendment will become effective as of the date cf the countersignature. Sincerely, Motoo Konishi Country Director, Philippines East Asia and Pacific Region Enclosure: As stated CONFORMED: REPUBLIC OF THE PHILIPPINES By: Name: _ E____V_Pu_r___ Title: SrETr" Date: A/OV. O'g, S2I1 cc: Hon. Arsenio Balisacan, Dir,ctor General, National Economic and Development Authority Hon. Florencio A bad, Secretary, Department of Budget and Management Hon. Ramon J.P. Paje, Secretary, Department of Environment and Natural Resources Hon. J. R. Nereus Acosta, Piesidential Advisor on Environmental Protection and General Manager, L igun i Lake Development Authority Mr. Rolando Tungpalan, De'uty Director General, National Economic and Development Authority Ms. Laura Pascua, Undersecretary, Department of Budget and Management Mr. Manuel Gerochi, Underiecretary, Department of Environment and Natural Resources Atty. Analiza Re:)uelta-Teh, Undersecretary, Department of Environment and Natural Resources Mr. Gerardo Esqaivel, Adm nistrator, Metropolitan Waterworks and Sewerage System Ms. Ma. Edita Tan, Assistant Secretary and Officer-in-Charge, International Finance Group, Department of Finance Ms. Stella Laureano, Director, Department of Finance Mr. Roderick Ph.nta, Director, National Economic and Development Authority Atty. Juan Miguel Cuna, Dit ector, Department of Environment and Natural Resources Secretary Cesar Purisima -3- November 27, 2012 Mr. Edwin Domingz, OIC-Director, Department of Environment and Natural Resources Ms. Eugenia Lagmay, Director, Pasi - River Rehabilitation Commission Ms. Neria Andin, Regional Executive Director, Department of Environment and Natural Resources Mr. Christopher Ch uengan, Ma iager, Metropolitan Waterworks and Sewerage System Mr. Ramon Aguilar, GEF MTSP Project Manager, Department of Environment and Natural Resources Mr. Roberto Tan, Executive Director for the Philippines, World Bank Attachment Results Framework and Monitoring GEF-Manila Third Sewerage Project (TF 057296-PH) Project Development Objective (PDO): The GEF project development objectives are to assist the GOP in the Project Areas in: (a) identifying essential adjustments to administrative, institutional, and regulatory practices and existing legislations in order to attract private investments in the Recipient's wastewater sector; (b) promoting innovative, simpie and effective wastewaier ireahneii teiiniques, MnU(U) 1uUsing UIe e1iCALvnCb o ufh agenom responsible for water pollution control through improved coordination. Revised Project Development Objective: No change D=Droppe Cumulative Target Values** PDO Level Results d=Continu Unit of Baseline Data Source/ Resonsibility Indicators* e Measure 2007 Frequency Methodology for Data N= New 2010 2012 2014Collection R=Revised 2008 Indicator One: R % of 12 12 18 Consolidate Participatin DENR, EMB -Coverage of sewerage population (6 - Male; (6- (9- d g agencies FASPO, service in MWSS 6 - Female) Female; Female; semiannual monitoring MWSS jurisdiction progress reports, reports supervision reports Indicator Two: R % of 24 25.31 100 Consolidate Participatin DENR, EMB -Coverage of sanitation population (12- Male; (12.655- (50- d g agencies FASPO, in MWSS 12- Female) Female; Female; servicin12.655-service 50-Male) semiannual monitoring MWSS Male) progress reports, reports supervision reports Indicator Three: R % of 0 2 9 Consolidate Participatin DENR, EMB -Reduction of pollution -] population d g agencies FASPO, reaching Manila Bay I semiannual monitoring MWSS Attachment progress reports, reports supervision INTERMEDIATE RESULTS Intermediate Result (Part A): Partnership strengthening Rawi-d Intarmpdintp Rpcit (Psart Al* No chnnap Intermediate Result Consolidate Participatin DENR, indicator One: d g agencies FASPO A 1. c,mnn in mnntnrn( Strengthening progress reports, / reports supervision - Agencies responsible C cumulative U I for water pollution # reports control signing a Memorandum of Understanding (MOU) - Other stakeholders R 0 7 14 signing on to this cumulative MOU - Bi-annual C # 0 6 10 Partnership meetings 1 -Water Quality C cumulative 0 0 3 monitoring areas # established - Numbers of policy cumulative issuance c # 0 3 8 (administrative orders) on sewerage and sanitation related matters issued by cumulative national authorities # Attachment Intermediate Result Consolidate Participatin DENR, EMB indicator Two: d g agencies FASPO, A-h: 1nformalloft IL en.)mo I fl a3nstaxxxu axU aIIassemana1 asI Y, vo center l # progress reports, - Publication of annual reports supervision Metropolitan Manila reports water Quaity iviunior Intermediate Result C cumulative 0 500 1000 indicator Three: # of A-4: Public households assessment on water services - Testing of Public Assessment of Water Services with sewerage and sanitation parameters Intermediate Result (Part B): Planning and policy development Revised Intermediate Result (Part B): No change Intermediate Result C # of 0 0 1 Consolidate Participatin DENR, indicatorOne: Master d g agencies FASPO, B-1: Masterplanning Plan semiannual monitoring MWSS -Sewerage and E] progress reports, sanitation master plan reports supervision with new criteria reports _ _ _ _ _ updated _____ ______ ______ ____ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ Attachment Intermediate Result (Part C): Innovative financing mechanisms DENR, EMB Iwormodint Reult I C 0 0 2 Consolidate Participatin d g agencies FASPU indicator C-1: - investment monitoring Investment proposals proposals semiannual using innovative O progress reports, financing mechanism reports supervision for sewerage and reports sanitation in Metronlitan Mnnfln Intermediate Result (Part D): Use of market-based incentives Intermediate Result Consolidate Participatin LLDA, DENR, indicator D-1: - R cumulative 1000 2200 2400 d g agencies a,aiuati0 6 A cr , INUmDef01 - establishments progresIs reports supervision covered by the reports environment user fee C cumulative 1 2 3 reports - Parameters covered # by the environment R 5202 4942 4682 user fee metric tons - Biochemical Oxygen per year Demand (BOD) discharged from all regulated sources Intermediate Result (Part E): Technical Assistance for Rate Rebasing MWSS-RO, Intermediate Result Consolidate Participatin DENR, indicator
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