The World Bank Report No: ISR2574

Implementation Status & Results REGIONAL & MUNICIPAL INFRASTRUCTURE DEVELOPMENT PROJECT (P110126)

Operation Name: REGIONAL & MUNICIPAL INFRASTRUCTURE Project Stage: Implementation Seq.No: 6 Status: ARCHIVED Archive Date: 01-Jan-2011 DEVELOPMENT PROJECT (P110126)

Public Disclosure Authorized Country: Georgia Approval FY: 2009 Product Line:IBRD/IDA Region: EUROPE AND CENTRAL ASIA Lending Instrument: Emergency Recovery Loan Implementing Agency(ies): Georgia Municipal Development Fund Key Dates Public Disclosure Copy Board Approval Date 02-Oct-2008 Original Closing Date 30-Jun-2013 Planned Mid Term Review Date 15-Mar-2010 Last Archived ISR Date 01-Jan-2011 Effectiveness Date 12-Dec-2008 Revised Closing Date 30-Jun-2013 Actual Mid Term Review Date 15-Mar-2010

Project Development Objectives Project Development Objective (from Project Appraisal Document) The objectives of the Project are to: (a) improve the efficiency and reliability of selected municipal infrastructure and service; and (b) assist in restoring infrastructure and services and improving the housing conditions of conflict-affected people in Georgia. Has the Project Development Objective been changed since Board Approval of the Project?

Public Disclosure Authorized Yes No

Component(s)

Component Name Component Cost Infrastructure Investment 72.00 Emergency Construction 10.00 Institutional Development 3.00

Overall Ratings Previous Rating Current Rating Progress towards achievement of PDO Satisfactory Satisfactory Overall Implementation Progress (IP) Satisfactory Satisfactory Public Disclosure Authorized Overall Risk Rating NA

Implementation Status Overview The overall implementation of the Regional and Municipal Infrastructure Development Project (RMIDP) and its Additional Financing (RMIDP-AF) is satisfactory. The Project is

Public Disclosure Copy expected to meet its Development Objective.

Under the original RMIDP, the Georgia Municipal Development Fund (MDF) successfully implemented 49 water, wastewater and road subprojects throughout Georgia, in 22 Local-

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Self Governments (LSGs). The MDF is currently implementing Phase II improvements to housing and infrastructure conditions in 12 settlements where internally displaced persons (IDP) live, with co-financing provided by the European Commission (EC). Most of the subprojects under Phase II will be completed by the end of summer 2012.

Under the RMIDP-AF, MDF has 69 water, wastewater and road subprojects throughout Georgia (13 subprojects are under component 1.1 and 56 subprojects under component 1.2). To-date, MDF has successfully completed 62 subprojects (11 subprojects are under component 1.1 and 51 subprojects under component 1.2), while 6 are under implementation and one under bidding (Meskhtea sewerage treatment plant subproject, which is expected to be cofinanced with Swedish SIDA). All subprojects are expected to be completed by the Project closing date in June 30, 2013.

Disbursement to date under the original RMIDP is 97.5% (XDR 24.8m out of XDR 25.5m) and 86.2% under the RMIDP-AF ($29.6m out of 33.5m and XDR6.5m out of XDR7.7m). Both, RMIDP and RMIDP-AF, are almost fully committed and actual disbursed amount exceeded planned. The last two activities under contracting are: IDPs house improvement under RMIDP, and construction of wastewater treatment plant under RMIDP-AF. For the latter, SIDA proposed to provide $1.6m trust fund grant to cofinancethe proposed WWTP ($1.5m to the estimated cost of the WWTP, representing 40% of the total cost, while RMIDP-AF provides 45% and LSG provides 15%, in addition to $0.1m TA).

Public Disclosure Copy The RMIDP and RMIDP-AF achieved most of their intermediary results, some of which exceeded the planned target values: - Number of implemented subproject investments: 125 subprojects (End target: 113) - Average liters of water produced per capita per day: 100 l/p/d (End target: 120 l/p/d) - Average cubic meter of collected sewerage: 28,724 m3 (End target: 30,000m3) - Length of roads rehabilitated: 227 km (End target:192 km) - No. of people in urban areas provided with access to improved water sources: 181,700 persons (End target: 45,000) - No. of people in urban areas provided with access to improved water sources: 181,835 persons (End target: 45,000) - Piped household water connections that are benefiting from rehabilitation works: 117,799 connections (End target: 30,000) - No. of durable houses constructed for IDPs: 738 houses (End target: 738)

Locations Country First Administrative Division Location Planned Actual Georgia Not Entered

Georgia Samegrelo and Zemo

Georgia

Georgia Imereti

Georgia

Georgia Not Entered Tqibuli

Georgia Not Entered Tibaani

Georgia Mtskheta-Mtianeti T'ianet'i

Georgia Imereti T'erjola

Georgia T'elavi Public Disclosure Copy Georgia Samegrelo and Zemo Svaneti Skurdi

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Country First Administrative Division Location Planned Actual Georgia Skra

Georgia Not Entered Shavshvebi

Georgia Samegrelo and Zemo Svaneti Senakis Raioni

Georgia Kakheti

Georgia Samegrelo and Zemo Svaneti Pirveli Balda

Georgia Not Entered Patara-Khurvaleti

Public Disclosure Copy Georgia Mtskheta-Mtianeti P'asanauri

Georgia Not Entered Omalo

Georgia Samtskhe-Javakheti

Georgia Not Entered Mokhisi

Georgia Shida Kartli Metekhi

Georgia Imereti Mat'khoji

Georgia Kvemo Kartli

Georgia Kvemo Kartli

Georgia Racha-Lechkhumi and Kvemo Svaneti

Georgia Imereti K'ut'aisi

Georgia Imereti

Georgia Not Entered Karalet'i

Georgia Kakheti

Georgia Kakheti Gremi

Georgia Not Entered Gergeti

Georgia Kvemo Kartli

Georgia Kakheti Eniseli

Public Disclosure Copy Georgia Mtskheta-Mtianeti Dushet'i

Georgia Kvemo Kartli Didi Gomaret'i

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Georgia Kakheti Dedop'listsqaro

Georgia Samegrelo and Zemo Svaneti Ch'khorotsqu

Georgia Not Entered Ch'ikhareshi

Georgia Imereti Chiat'ura

Georgia Shida Kartli Bret'i

Georgia Not Entered Bodbiskhevi

Georgia Not Entered Berbuki Public Disclosure Copy Georgia Ajaria Bat'umi

Georgia Imereti Bagdat'i

Georgia Racha-Lechkhumi and Kvemo Svaneti

Georgia Kakheti

Georgia Not Entered Akhalsop'eli

Georgia Mtskheta-Mtianeti

Georgia Shida Kartli Aghaiani

Georgia Samtskhe-Javakheti

Georgia Samegrelo and Zemo Svaneti

Georgia Not Entered

Georgia Not Entered T'eliani

Not Entered Not Entered Not Entered

Georgia Kvemo Kartli K'alak'i Rust'avi

Not Entered Not Entered Not Entered

Georgia Samegrelo and Zemo Svaneti Samegrelo-Zemo Svanetis

Not Entered Not Entered Not Entered

Georgia Imereti Khoni Public Disclosure Copy Georgia Imereti

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Georgia Not Entered

Georgia Samegrelo and Zemo Svaneti

Georgia Kvemo Kartli Gardabani

Georgia Kvemo Kartli Marneuli

Georgia Kakheti

Georgia Samegrelo and Zemo Svaneti

Georgia Samtskhe-Javakheti Adigeni Public Disclosure Copy Georgia Racha-Lechkhumi and Kvemo Svaneti Oni

Georgia Mtskheta-Mtianeti Akhalgori

Georgia Kakheti Akhmeta

Georgia Kakheti Sagarejo

Georgia Kakheti Sighnaghi

Georgia Kakheti Dedoplis Tskaro

Georgia Kvemo Kartli Tsalka

Georgia Imereti

Results

Project Development Objective Indicators Indicator Name Core Unit of Measure Baseline Current End Target Average reduction in KWh consumed per m3 Number Value 0.70 0.50 0.40 due to introduction of energy efficient production methods. Date 03-Oct-2008 06-Dec-2011 30-Jun-2013 Comments

Average increased number of hours per day of Hours Value 7.00 15.00 12.00 piped water service Date 03-Oct-2008 06-Dec-2011 30-Jun-2013 Comments

Average reduction in vehicle operating cost Percentage Value 100.00 85.00 75.00 Public Disclosure Copy due to improved urban roads Date 03-Oct-2008 06-Dec-2011 30-Jun-2013

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Indicator Name Core Unit of Measure Baseline Current End Target Comments

Average improved quality of water bodies due Percentage Value 0.00 20.00 60.00 to reduction in wastewater pollution Date 03-Oct-2008 06-Dec-2011 30-Jun-2013 Comments

Number of people benefiting from completed Number Value 0.00 14504.00 3600.00 emergency rehabilitation Date 03-Oct-2008 06-Dec-2011 30-Jun-2013 Comments Public Disclosure Copy Intermediate Results Indicators Indicator Name Core Unit of Measure Baseline Current End Target Number of implemented investments Number Value 0.00 125.00 113.00

Date 03-Oct-2008 06-Dec-2011 30-Jun-2013 Comments

Average liters of water produced per capita per Number Value 40.00 100.00 120.00 day Date 03-Oct-2008 06-Dec-2011 30-Jun-2013 Comments

Average cubic meter of collected sewerage per Cubic Meter(m3) Value 0.00 28724.00 30000.00 day Date 03-Oct-2008 06-Dec-2011 30-Jun-2013 Comments

Length of roads rehabilitated Kilometers Value 0.00 227.00 192.00

Date 03-Oct-2008 06-Dec-2011 30-Jun-2013 Comments

Number of people in urban areas provided with Number Value 0.00 181700.00 45000.00 access to Improved Water Sources under the project Date 03-Oct-2008 06-Dec-2011 30-Jun-2013 Comments

Number of people in rural areas provided with Number Value 0.00 181835.00 45000.00 access to Improved Water Sources under the project Date 03-Oct-2008 06-Dec-2011 30-Jun-2013

Public Disclosure Copy Comments

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Indicator Name Core Unit of Measure Baseline Current End Target Piped household water connections that are Number Value 0.00 117799.00 30000.00 benefiting from rehabilitation works undertaken by the project Date 03-Oct-2008 06-Dec-2011 30-Jun-2013 Comments

Number of durable houses constructed Number Value 0.00 783.00 783.00

Date 03-Oct-2008 06-Dec-2011 30-Jun-2013 Comments

Increased volume of water supply in IDP Cubic Meter(m3) Value 0.00 879.00 800.00 settlements Public Disclosure Copy Date 03-Oct-2008 06-Dec-2011 30-Jun-2013 Comments

Number of improved public water standpipes in Number Value 0.00 240.00 60.00 IDP settlements Date 03-Oct-2008 06-Dec-2011 30-Jun-2013 Comments

Number of provided grey water house Number Value 0.00 1220.00 1220.00 connections in IDP settlements Date 03-Oct-2008 06-Dec-2011 30-Jun-2013 Comments

Number pedestrian crossings constructed in Number Value 0.00 150.00 150.00 IDP settlements Date 03-Oct-2008 06-Dec-2011 30-Jun-2013 Comments

Construction of a bridge at the Mtkvari River in Number Value 0.00 1.00 1.00 Akhalsopeli IDP settlement Date 03-Oct-2008 06-Dec-2011 30-Jun-2013 Comments

Number of IDP settlements served with solid Number Value 0.00 12.00 12.00 waste collection system Date 03-Oct-2008 06-Dec-2011 30-Jun-2013 Comments

Number of IDP houses with the improved Number Value 0.00 1263.00 1263.00 physical conditions Date 03-Oct-2008 06-Dec-2011 30-Jun-2013 Comments Public Disclosure Copy

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Number of local budgets complied with Number Value 0.00 64.00 64.00 improved budgeting and reporting system Date 03-Oct-2008 06-Dec-2011 30-Jun-2013 Comments

Improved performance benchmarks of MDF Text Value 0 1 1

Date 03-Oct-2008 06-Dec-2011 30-Jun-2013 Comments MDF has taken actions to hire new consultants and construction supervision specialists to improve quality of construction. MDF hasalso Public Disclosure Copy taken actions to improve its contract management and financial management performance Number of completed feasibility studies and Number Value 0.00 113.00 113.00 engineering designs Date 03-Oct-2008 06-Dec-2011 30-Jun-2013 Comments

Number of Cities completed their Strategic Number Value 0.00 2.00 3.00 Development Plans Date 03-Oct-2008 06-Dec-2011 30-Jun-2013 Comments

Data on Financial Performance (as of 12-Dec-2011)

Financial Agreement(s) Key Dates Project Loan No. Status Approval Date Signing Date Effectiveness Date Closing Date P110126 IBRD-79620 Effective 02-Nov-2010 08-Nov-2010 15-Dec-2010 30-Jun-2013 P110126 IDA-45160 Effective 02-Oct-2008 03-Oct-2008 12-Dec-2008 30-Jun-2013 P110126 IDA-48240 Effective 02-Nov-2010 08-Nov-2010 15-Dec-2010 30-Jun-2013 P110126 TF-97715 Effective 06-Sep-2010 13-Sep-2010 13-Sep-2010 30-Jun-2012

Disbursements (in Millions) Project Loan No. Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P110126 IBRD-79620 Effective USD 33.50 33.50 0.00 29.68 3.82 89.00 P110126 IDA-45160 Effective USD 40.00 40.00 0.00 38.25 1.01 96.00 Public Disclosure Copy P110126 IDA-48240 Effective USD 11.50 11.50 0.00 10.01 1.93 87.00

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P110126 TF-97715 Effective USD 3.71 3.71 0.00 2.15 1.65 58.00

Disbursement Graph Public Disclosure Copy

Key Decisions Regarding Implementation The overall implementation of the Regional and Municipal Infrastructure Development Project (RMIDP) and its Additional Financing (RMIDP-AF) is satisfactory. The Project is expected to meet its Development Objective.

Under the original RMIDP, the Georgia Municipal Development Fund (MDF) successfully implemented 49 water, wastewater and road subprojects throughout Georgia, in 22 Local- Self Governments (LSGs). The MDF is currently implementing Phase II improvements to housing and infrastructure conditions in 12 settlements where internally displaced persons (IDP) live, with co-financing provided by the European Commission (EC). Most of the subprojects under Phase II will be completed by the end of summer 2012. Under the RMIDP- AF, MDF has 69 water, wastewater and road subprojects throughout Georgia. To-date, MDF has successfully completed 62 subprojects, while 6 are under implementation and one under bidding- Meskhtea wastewater treatment plant (WWTP) subproject, which is expected to be cofinanced with Swedish SIDA. All subprojects are expected to be completed by the Project closing date in June 30, 2013.

Restructuring History There has been no restructuring to date.

Related Projects P120887-ADDITIONAL FINANCING TO THE REGIONAL & MUN. INFRA. DEV. PROJECT, P122641-GEORGIA: EMERGENCY REHABILITATION AND CONSTRUCTION, P126033-REGIONAL DEVELOPMENT PROJECT Public Disclosure Copy

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