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Progress Report 2Nd Quarter 2014

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Progress Report 2Nd Quarter 2014 TONLE SAP POVERTY REDUCTION AND SMALLHOLDER DEVELOPMENT PROJECT Progress Report 2nd Quarter 2014 MAFF/NCDD 7/16/2014 Tonle Sap Poverty Reduction and Smallholder Development Project Q2 2014 Progress Report TABLE OF CONTENTS Contents Appendix 1 Design and Monitoring Framework Appendix 2 Financial Reports for each EA/IA Appendix 3 Status of Block Grants Appendix 4 Statement of Withdrawal Applications Appendix 5 Project Staffing Appendix 6 Summary of Project Physical Progress Appendix 7 Summary of Rural Infrastructure sub-projects Appendix 8 Summary of LIG Formation Appendix 9 Summary of Trainings/Workshops Appendix 10 Updated Agreed Action Plan from ADB Review Mission Appendix 11 Gender Action Plan Appendix 12 Risk Management Matrix Appendix 13 Compliance with Loan Covenants i Tonle Sap Poverty Reduction and Smallholder Development Project Q2 2014 Progress Report ACRONYMS AND ABBREVIATIONS ADB Asian Development Bank AEA Agro-ecosystems Analysis AWPB Annual Work Plan and Budget BMC Banteay Meanchey province CAA Commune Administrative Assistant CEW Commune Extension Worker CARD Council for Agriculture and Rural Development CC Commune Council CDF Commune Development Fund CIP Commune Investment Plan DCU Development Coordination Unit DoA Department of Agriculture (District) DST District Support Team DTL Deputy Team Leader EA Executing Agency ECCE Environmental and Climate Change Expert GAP Good Agricultural Practice GnAP Gender Action Plan GDA General Directorate of Agriculture GoF Government of Finland IA Implementing Agency IFAD International Fund for Agriculture KPC Kampong Cham province KPT Kampong Thom province LIG Livelihood Improvement Group MAFF Ministry of Agriculture, Forestry and Fisheries M & E Monitoring and Evaluation MCA Mobile Commune Access (Program) MPTC Ministry of Posts and Telecommunications NGO Non-Government Organisation PIC Project Implementation Consultants PID Planning and Investment Division PST Provincial Support Team RGC Royal Government of Cambodia RSPG Rice Seed Producer Group SRP Siem Reap province TA Technical Assistance ToT Training of Trainers TL Team Leader TSSD Tonle Sap Poverty Reduction and Smallholder Development Project TSTD Tonle Sap Technology Development and Productivity Enhancement ii Tonle Sap Poverty Reduction and Smallholder Development Project Q2 2014 Progress Report A. INTRODUCTION AND BASIC DATA ADB Loan/Grant L 2599 - CAM (SF); G0186 - CAM (SF) Numbers Project Title Tonle Sap Poverty Reduction and Smallholder Development Project (TS-PRSDP) Borrower Royal Government of Cambodia Ministry of Agriculture, Forestry and Fisheries (MAFF) Executing Agencies National Committee on Sub-National Democratic Development Secretariat (NCDDS) MAFF - General Directorate for Agriculture (GDA) Implementing Agencies NCDDS Ministry of Posts and Telecommunications (MPTC) Project Steering Headed by the Council for Agriculture and Rural Development (CARD) Committee Total Project Cost 50.37 (excluding taxes and duties of USD 5 million) (USD million) ADB IFAD GoF RGC Project Financing Grant 27.38 Grant 6.80 Grant 1.59 4.48 (USD million) Loan 3.32 Loan 6.80 Date of Loan/Grant th 8 December 2009 Approval by ADB ADB/RGC 27th December 2009 Date of Signing of th IFAD/RGC 15 February 2010 Loan/Grant Agreements th GoF/RGC 20 September 2010 Date of Effectiveness of st 31 March 2010 ADB Loan/Grant Closing Date of ADB th 28 February 2018 Loan/Grant Dates of Last ADB rd th 3 - 16 June 2014 Review Mission To improve the livelihoods of approximately 630,000 households in four provinces Project Impact (Banteay Meanchey, Siem Reap, Kampong Thom and Kampong Cham) in Tonle Sap Basin by 2020. Increased agricultural productivity and improved access to markets within the Project Outcome Project area. 1. Commune Development through a commune block grant: - Improved rural infrastructure supporting agricultural productivity; - Improved capacity of smallholder farmers; - Strengthened commune project management capacity. Components 2. Enabling environment for agricultural productivity and diversification: - Improved agricultural policy environment; - Increased availability and access to quality seeds; - Increased access to agricultural information and market data. 3. Project Management The Project covers 196 communes: BMC (32), SRP (58), KPT (45) and KPC (61). Selection of the Project communes was based upon (i) relative poverty; (ii) donor Project Area interventions; (iii) synergy and complementarity; (iv) growth potential by agro- ecological region; and (v) geographical focus. 1 Tonle Sap Poverty Reduction and Smallholder Development Project Q2 2014 Progress Report B. UTILIZATION OF FUNDS 1. The TSSDP is funded through grants/loans from ADB, IFAD, Government of Finland (GoF) and the Royl Government of Cambodia (RGC) with a total amount of USD 50.37 million as follows:1 ADB Grant 01866 - CAM (SF) USD 27.38 million ADB Loan 2599 - CAM (SF) USD 3.32 million IFAD Grant DSF-8048-KH & Loan 793-KH USD 13.60 million GoF Grant 0191-CAM USD 1.59 million Royal Government of Cambodia USD 4.48 million 2. The Cumulative Disbursement (for investment and recurrent costs) at the end of the Q2 2014 amounted to USD 10,548,464 for NCDDS (Component 1 & 3), USD 1,119,983 for MAFF-GDA (under Components 2 & 3), USD 3,453,236 for MAFF/DCU (under Components 2 & 3) and USD 330,345 for MPTC (Components 2 & 3). This was equivalent to Disbursement Rates of 27.7, 21.3, 54.2 and 46.4 per cent for NCDDS, MAFF/GDA, MAFF/DCU and MPTC respectively.2 3. The cumulative disbursement to date can be summarised as follows: - The overall cumulative disbursement to date for investment and recurrent costs are USD 13,911,495 (29.7 per cent) and 1,540,534 (44.4 per cent) respectively and the overall disbursement rate is now 30.7 per cent. - The total disbursement during Q2 2014 amounted to USD 3,563,567 and the cumulative disbursement during 2014 is USD 7,162,978 representing a disbursement rate of 32.2 % against the AWPB. 4. There has now been a total expenditure of USD 5,206,633 through transfers to the 196 communes as Block Grants up to the end of Q2 2014 (representing 16.6 per cent of the total allocation). These funds have been used to support the rural infrastructure sub-projects, to cover some minor expenditure incurred during the selection of the target villages and in meeting the CC administrative costs. A total of USD 1,091,005 was expended during Q2 2014. The cumulative total disbursement from the commune accounts is now USD 1,890,211 (6.1 per cent of the total CDF allocation). The current remaining balance in the 3 commune accounts is USD 3,316,421. 1 This total is exclusive of the allocated amount under category of ADB Supervised amounting to USD 938,900 and the interest during Implementation amounting to USD 97,600. 2 Annex 2 contains Summary Tables of Expenditure and Disbursement Progress. 3 Annex 3 contains Summary of Block Grant Transfers to CC Accounts and quarterly disbursements by each commune. 2 Tonle Sap Poverty Reduction and Smallholder Development Project Q2 2014 Progress Report Table 1 Summary of Utilization of CDF Block Grants (USD) Disbursement from CDF Accounts Cumulative Current No. of Total CDF Remaining CDF % of total Province CDF Transfers Cumulative Cumulative Balance of communes Allocation Allocation Q2 2014 allocation to Q2 2014 to Q1 2014 to date CDF Accounts disbursed BMC 32 5,051,093 1,120,913 3,930,179 172,412 201,145 373,557 7.4% 747,357 SRP 58 9,128,132 1,452,673 7,675,459 184,491 222,172 406,663 4.5% 1,046,010 KPT 45 6,865,272 1,213,801 5,651,471 223,129 315,540 538,670 7.8% 675,131 KPC 61 10,135,286 1,419,245 8,716,040 219,174 352,148 571,322 5.6% 847,923 Total 196 31,179,782 5,206,633 25,973,149 799,207 1,091,005 1,890,211 6.1% 3,316,421 5. The following Withdrawal Applications (WAs) and Replenishments were made during this quarter:4 - ADB Loan No. 2599 - One WA, submitted by NCDDS on 2 April for USD 276,589 which was replenished (71 days elapsed). An application for an additional advance of USD 400,000 was also processed during the quarter. - ADB Grant No. 0186 - Under NCDDS two WAs were submitted, which totalled USD 870,744 and both were replenished (64 days elapsed). Under MAFF/GDA there was one WA submitted on 25 June tor USD 242,750. Under MPTC there was no replenishments. Under MAFF/DCU there were three WAs submitted, which totalled USD 357,697 and two of the WAs were replenished (average elapsed time of 37 days) and there was a direct payment to SMEC amounting to USD 84,235. - IFAD Loan No. 8243 - CAM/IFAD Grant No. 0192 - CAM: There was a request for an additional advance of USD 300,000 on 2 April which was not yet received. - RGC: NCDDS submitted one WA amounting to USD 316,805 and also a request for an additional advance of USD 300,000. MAFF/GDA submitted one WA for USD 20,970 but no replenishments were made. MPTC submitted in WA for USD 2,869 which was not yet replenished. MAFF/DCU submitted three WAs amounting to USD 32,333 but no replenishments were made. 4 Annex 4 contains a Cumulative Summary of Withdrawal Applications up to Q1 2014. 3 Tonle Sap Poverty Reduction and Smallholder Development Project Q2 Progress Report 2014 TSSD - Tonle Sap Poverty Reduction and Smallholder Development Project Grant Number: 0186-CAM(SF), Grant No. 0191-CAM, RGC Disbursement Accounts by Financiers (USD) Cummulative since Effectiveness Date SUMMARY BY EAS/ IAS: Report for the Quarter Ending: 30th June 2014 Cumulative Disbursement Rate % Revised Cat. Revised Allocation Unliquidated Cumulative Budget Balance (4) = EAs/ IAs 2014 Annual Budget Expenditure EAs/IAs Allocation (1) 2014 Overall Ref. (1) Obligations (2) Expenditure (3) (1)-(2)-(3) 30 June 2014 I.
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