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World Bank Document INTEGRATED SAFEGUARDS DATASHEET APPRAISAL STAGE I. Basic Information Date prepared/updated: 02/08/2011 Report No.: AC5850 Public Disclosure Authorized 1. Basic Project Data Country: Azerbaijan Project ID: P107617 Project Name: Water Users Association Development Support Project Task Team Leader: Sari K. Soderstrom Estimated Appraisal Date: February 15, Estimated Board Date: April 19, 2011 2011 Managing Unit: ECSSD Lending Instrument: Specific Investment Loan Sector: Irrigation and drainage (60%);Central government administration (30%);Sub- national government administration (10%) Theme: Water resource management (29%);Rural services and infrastructure (29%);Rural policies and institutions (14%);Decentralization (14%);Administrative and Public Disclosure Authorized civil service reform (14%) IBRD Amount (US$m.): 4.00 IDA Amount (US$m.): 76.00 GEF Amount (US$m.): 0.00 PCF Amount (US$m.): 0.00 Other financing amounts by source: BORROWER/RECIPIENT 34.30 34.30 Environmental Category: B - Partial Assessment Repeater [] Is this project processed under OP 8.50 (Emergency Recovery) Yes [ ] No [X] Public Disclosure Authorized or OP 8.00 (Rapid Response to Crises and Emergencies) 2. Project Objectives The project’s development objective is to improve the effectiveness and financial viability of on-farm irrigation water distribution and management in the project areas. 3. Project Description The project objective will be achieved through capacity building and support to water users associations (WUAs), WUA support units, and the Azerbaijan Irrigation Amelioration Open Joint Stock Company (AIOJSC), and through rehabilitation of on- farm irrigation and drainage (I&D) infrastructure. The project has three components: (1) Institutional Strengthening and Capacity Building Public Disclosure Authorized including capacity building of WUAs ; provision of operations and maintenance equipment and management facilities to WUAs; establishment of a state supervisory body for monitoring and evaluation of WUA performance; and preparation of selected studies, research and demonstration pilots in irrigation and drainage and integrated water resource management; and institutional and capacity building for AIOJSC; (2) On-farm Irrigation and Drainage Rehabilitation, which will finance rehabilitation of on-farm irrigation and drainage systems for about 34 WUAs in 15 core raions which have been selected based on irrigated area and agricultural production potential; and (3) Project Management, and Monitoring and Evaluation, which will finance project management and implementation activities, and monitoring and evaluation by AIOJSC. 4. Project Location and salient physical characteristics relevant to the safeguard analysis With a project envelope of about US$ 114.3 million, the project will support about 34 WUAs on 85,000 ha with rehabilitation, and about 379 WUAs and 760,000 farmers in 27 raions (districts) with targeted capacity building measures like equipment and training. Component 2 will target nine core raions which were also included in the previous Bank financed irrigation project (Irrigation Distribution System and Management Improvement Project (IDSMIP): Quba, Khachmaz, Sabirabad, Saatli, Imishli, Beylagan, Aghjabedi, Zardab, Goranboy, and six new core raions: Gusar, Ismaili, Gabala, Balakan, Zagatala, Gakh). Component 1 will target core raions and twelve additional WUA focus raions: Samukh, Shamkir, Hadjigabul, Salyan, Neftchala, Goychay, Aghsu, Kurdamir, Ucar, Bilasuvar, Barda, Samaxi. The project sites are all irrigated agricultural lands with already existing irrigation infrastructure, much of which requires rehabilitation. The bulk of the project areas are located in the Kura-Araz basin; the remaining areas are in the mountainous northern raions. The project sites draw irrigation water from international waterways under established international agreements and discharge into these waterways and eventually the Caspian Sea. In some cases, project sites are near protected natural areas. These include protected wetlands in the Kura-Araz basin and national parks, forests and natural areas in the mountainous raions. 5. Environmental and Social Safeguards Specialists Mr I. U. B. Reddy (SASDS) Mr Ximing Zhang (EASCS) Ms Gulana Enar Hajiyeva (ECSS3) 6. Safeguard Policies Triggered Yes No Environmental Assessment (OP/BP 4.01) X Natural Habitats (OP/BP 4.04) X Forests (OP/BP 4.36) X Pest Management (OP 4.09) X Physical Cultural Resources (OP/BP 4.11) X Indigenous Peoples (OP/BP 4.10) X Involuntary Resettlement (OP/BP 4.12) X Safety of Dams (OP/BP 4.37) X Projects on International Waterways (OP/BP 7.50) X Projects in Disputed Areas (OP/BP 7.60) 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: Environmental Assessment Safeguard Policy: Component 2 (irrigation and drainage rehabilitation) will involve environmental and social impacts triggering OP4.01. Because the anticipated adverse impacts are neither significant nor irreversible, and can be prevented or reduced through appropriate preventive actions or mitigation measures, the project has been classified as environmental Category B, requiring partial environmental assessment. The exact number and location of the specific rehabilitation sub-projects to be undertaken under the project have yet to be determined. Therefore, the EA identifies generic impacts, both positive and negative, for infrastructure rehabilitation in the project areas and specifies generic prevention and mitigation measures for these impacts. Positive impacts include increased agricultural productivity, improved management of water resources, increased irrigation system efficiency, enhanced soil fertility, and reduced exposure to water-borne disease vectors. Many of these are also adaptation measures for the impacts of climate change. Potential negative impacts are construction- related, such as limited access, cutting of trees, improper waste management, and improper disposal of sediments excavated from canals and drains. There are also potential impacts on water quality from drainage discharge, on the quantity and quality of downstream river flows, on biodiversity and natural habitats in the project areas, and increasing use of pesticides. These potential adverse impacts will require attention, preventive action, and appropriate mitigation measures in the planning, design, construction, operation, and maintenance phases of the on-farm infrastructure rehabilitation component of the project. Specific impacts and preventive and mitigation measures will be identified during project implementation through environmental screening and review of sub-projects. Pest Management Safeguard Policy: More generally, the recovery of the agricultural sector that is currently taking place in Azerbaijan is likely to increase pesticide use. Furthermore, with access to improved irrigation and drainage, it is likely that project beneficiaries will increase their use of pesticides. The Bank#s Agricultural Development and Credit Project (ADCP), with its training courses and national information campaigns on pesticide application, provides awareness raising and training on pesticide management and integrated pest management (IPM) for water users. In addition, the project will develop its own training program on pesticide management and IPM under Component 1. Involuntary Resettlement Safeguard Policy: It is unlikely that the project (Component 2) will involve land acquisition since all irrigation infrastructure rehabilitation is planned on Government owned lands. However, there could be some temporary or permanent impacts in the form of loss of economically viable trees along irrigation canals and drainage collectors, which may affect the income of people deriving benefit from the trees. It is also proposed to construct four regional support centers and about 200 WUA offices, which might require some land. Therefore, OP 4.12 is triggered. It is estimated that about 9,000 m2 (0.90 ha) of land will be needed for construction of four (4) regional support centers and about 200 WUA offices. Most of these sites could be on Government lands. Safety of Dams Safeguard Policy: The project triggers OP4.37 because the project will divert water from reservoirs formed by a number of existing upstream dams, and project areas will depend on the storage and operation of these existing dams for their supply of water and could not function if the dam failed. Furthermore, there are also a number of upstream dams which provide flood control protection to the project areas, and the Bank funded irrigation system will rely on the performance of these dams # failure of which could cause extensive damage to or failure of the irrigation systems. A total of 5 dams trigger OP4.37, Ashig Bayramli and Yeka-khana Dams in Ismailli District, Nohurgishlag Dam in Gabala District, Safikurd Dam in Goranboy District and Mingechevir Dam in Yevlakh District. Based on official documents provided by the Borrower, these 5 dams are deemed to be operationally safe. International Waterways Safeguard Policy: The Samur, Kura, and Araz Rivers, which supply most of the water to the irrigation systems to be rehabilitated under the project, as well as the Caspian Sea into which these rivers flow, are all international waterways that trigger OP7.50. By design, the proposed project, however, is not
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