MEDIUM-SIZED PROJECT PROPOSAL 41228 REQUEST FOR GEF FUNDING

FINANCING PLAN (US$) GEF PROJECT/COMPONENT AGENCY’S PROJECT ID: P077800 Project 863,100 Public Disclosure Authorized COUNTRY: Bulgaria PDF A 25,000 PROJECT TITLE: Lake Pomorie Conservation, 888,100 Restoration and Sustainable Management Project Sub-Total GEF GEF AGENCY: The World Bank OTHER EXECUTING AGENCY(IES): None CO-FINANCING DURATION: 4 years Green Balkans 154,805 GEF FOCAL AREA: Biodiversity Conservation Pomorie Municipality 846,605 GEF OPERATIONAL PROGRAM: Coastal, Marine and MoEW 48,070 Freashwater Ecosystems (OP 2) Local Stakeholders 22,610 GEF STRATEGIC PRIORITY: Mainstreaming Project Preparation * 46,000 Biodiversity in Productive Landscapes and Sectors, and Sub-Total Co-financing: 1,118,090 Catalyzing Sustainability of Protected Areas Total Project Financing: 2,006,190 ESTIMATED STARTING DATE: August 1, 2004 MPLEMENTING GENCY EE * Project preparation activities supported by Public Disclosure Authorized I A F : US$146,000 other stakeholders.

CONTRIBUTION TO KEY INDICATORS OF THE BUSINESS PLAN: Support sustainable protected areas management in 1,000 ha. Mainstreaming biodiversity into tourism and fisheries. Put in place a local- based and innovative institutional arrangement (public-private partnership) for protected areas management, which if successful, could be replicated in other protected sites covering 30,000 ha. RECORD OF ENDORSEMENT ON BEHALF OF THE GOVERNMENT: Ms. Fathme Iliaz, Deputy Minister of Date: 10/11/2001 and 07/07/04 Environment and Waters, National Focal Point

Public Disclosure Authorized

This proposal has been prepared in accordance with GEF policies and procedures and meets the standards of the GEF Project Review Criteria for a Medium-Sized Project.

GEF Executive Coordinator: Project Contact Person Steve Gorman GEF Regional Coordinator: Emilia Battaglini

Public Disclosure Authorized Date: 07/01/04 Tel./email: (1-202) 473-3232 [email protected] BULGARIA Lake Pomorie Conservation, Restoration and Sustainable Management Project

MEDIUM-SIZED PROJECT BRIEF

PROJECT SUMMARY Project Identifiers

1. Project Name::Lake Pomorie Conservation, 2. GEF Implementing Agency: World Bank Restoration and Sustainable Management

3. Country in which the Project is Implemented: 4. Country Eligibility: Convention on Bulgaria Biodiversity, ratified by Government of Bulgaria on 29 February 1996

5. GEF Focal Areas(s): Biodiversity Conservation 6. Operational Program / Short-Term Measure: Operational Program 2 – Coastal, Marine and Freshwater ecosystems

7. Project linkage to national priorities, action plans, and programs:

The conservation of Bulgaria’s biodiversity and improving wetlands protection and management is a stated national priority for the government of Bulgaria. The proposed Lake Pomorie Medium-Sized Project’s activities are in conformation with the goals and strategic directions of the following national strategy documents:

ƒ National Biological Diversity Conservation Strategy, approved in 1998, analyzes threats to Bulgaria’s biological diversity, and states that the key to conserving biological diversity lies in approaches that recognize the value of retaining and restoring diversity at all levels. It emphasizes integrated land, water and biological resource management on both reserved and non-reserved lands through various management schemes and collaborative partnerships. The National Strategy gives special attention to the high conservation value of the Black Sea lakes and lagoons as important sites for migrating birds along the Via Pontica.

• National Plan for the Conservation of the Biological Diversity, approved by the Bulgarian Council of Ministers in August 1999, defines Bulgaria’s coastline ecosystems as one of nine priority ecosystems for conservation action. The plan reviews the specific threats to these ecosystems: (a) the need for bird migration corridors along the Black Sea coast, (b) the development and implementation of protected area management plans, and (c) natural resource restoration and maintenance. Under the criteria identified in the National Plan, Pomorie Lake can be classified as a site “highest conservation significance.”

• National Action Plan for the Conservation of the Most Important Wetlands in Bulgaria (1995) develops a wetlands strategy consistent with EU directives on habitats and the protection of wild birds. Pomorie Lake and its wetlands is identified as one of two lakes of significant national importance for biodiversity, and identifies the current status and trends of the natural resources at the Project site.

• National EcoTourism Strategy and Action Plan (2004) identifies Pomorie Lake and

2 surrounding areas as an area for potential development of eco-tourism focusing on birdwatchers due to its location along the Via Pontica, and promotes the concept of “tourism clusters” which can establish regional centers for tourism – helping individual ecological or cultural heritage sites boost their tourism potential and revenues by working together.

The justification for the use of GEF funds to sustain and conserve the biological diversity and ecological integrity of the one of the two remaining coastal hyper-saline lagoon ecosystems in the Black Sea region is detailed in the Project Brief. Apart from global benefits, there are also national and local benefits derived from the project.

From the global point of view, together with the Burgas Lakes complex, Lake Pomorie is considered an Important Bird Area (IBA) of global significance. Pomorie Lake and its wetlands is identified as one of two lakes of significantly high biodiversity importance to breeding, wintering and migrating birds along the European’s second flyway, “Via Pontica.” It is estimated that Lake Pomorie provides a haven for at least 70% of the migration birds that passes through the Pomorie/Burgas Lakes bottleneck, and is the first large station for rest and migration for birds after the Danube Delta, thus serving as a critical habitat of key European conservation significance for Central and Eastern Europe and Western Asia. The long term viability of the bird population directly depends on the Lake Pomorie ecosystem, in which they find regular sanctuary along their seasonal migration routes. Lake Pomorie is considered a site of international importance under the Ramsar Convention, but at present there are no arrangements for its formal management and/or protection.

Lake Pomorie supports many national and internationally red-listed plant and animal species – some 240 birds have been recorded, including four globally threatened ones (e.g., Halietor pygmeus, Pelecanus crispus, Oxyura leucocephla, and Crex crex), and some that are adapted to the hyper-saline conditions. Of the 100 bird species included in the Red Data Book of Bulgaria, some 65 have been observed in the region of the lake. It is an important stopover site for migratory birds such as waders, cormorants, pelicans, egrets and herons, terns and gulls; and offers suitable conditions for wintering of shellducks, swans, pochards, tufted ducks, coots, etc., and for breeding of several species of plovers, avocets, stilts, and terns. It is one of the two most important nesting areas for Recurvirostra ovesetta, Charadrius alexandrinus, Tadorna tadorna, Gelachelidon nilotica, Sterna albifrons and some other species adapted to hyper-saline waters.

One gap in the current system of protected area management in Bulgaria is the absence of locally-based protection and management arrangements. From the national point of view, the Project will assist in piloting implementation of sustainable management of the lake’s natural resources through a multi- stakeholder partnership among an NGO (Green Balkans), the Pomorie Municipality and local cultural heritage sites, and the private sector. Although the Bulgarian Protected Areas Law supports the delegation of management authority of selected protected areas to locally-based management regimes, only 2 out of 146 protected sites are managed locally -- the Kalimok-Brushlen Protected Site managed by a partnership between the local municipalities and central government, and the Poda Protected Site managed by an NGO. This will be the first project that will bring together three partners: NGO, public sector and private sector. It will also be one of the first protected areas administrations that will join together with the administration of a prominent local heritage site (the Pomorie Salt Museum) to form a “tourism cluster” as recommended under the Bulgaria Eco-tourism Strategy and UNESCO, and to implement management plans which are mutually complementary.

The experience of Pomorie Protected Site will be carefully documented and disseminated, and if successful, it will be replicated to other “paper” protected sites covering about 30,000 ha. Locally-based management regimes have stronger motivation to manage, maintain and provide security for protected sites than state institutions, which at present are preoccupied with the management of larger protected areas; and have more changes to ensure their financial sustainability than if they depend on state funds.

3 At the local level, several stakeholders derive part of their livelihood from the resources of Pomorie lake through salt production, curative mud extracted from the lake, extraction of biological products for the pharmaceutical industry and fishing. These economic activities depend on an active ecological management of Lake Pomorie and long-term maintenance of the stability of the salinas’ ecosystems. The active engagement of the municipality, private stakeholders and the adjacent Salt Museum throughout project design has ensured a project specifically designed so that once initial financial barriers to long- term management are reduced (which also bring down the cost of operations and maintenance in perpetuity), local stakeholders will be able to implement the management plans post-project – either through direct financial contributions or in-kind contributions.

As an EU pre-accession country, the Project will help Bulgaria meet the legislative requirements for the Conservation of the Habitats and Protection of Wildbirds reflected in the EU Directive 92/43 and EU Water Management Framework Directives 79/409. Bulgaria is signatory to the following international agreements that are directly related to the proposed project: the Convention on Biological Diversity (1992), Bonn Convention on the Conservation of Migratory Species and Wild Animals (1979); the Bern Convention on the Conservation of European Wildlife and Natural Habitats (1979); the Convention on Wetlands of International Importance, especially as Waterfowl Habitat (Ramsar Convention) (1971); the Helsinki Convention on Transboundary Watercourses and International Lakes (1992); and the Seville Strategy for Biosphere Reserves (UNESCO resolution 28 C/29-1995).

A detailed review of the GEF portfolio in Bulgaria and in the Danube/Black Se Basin reveals that the proposed Project complements past and ongoing GEF-funded efforts, by supporting a innovative locally- based public-private partnership for the management of protected areas, which could be replicated throughout other protected sites in Bulgaria, and mainstreaming biodiversity conservation in tourism and salt production in one of the only two hyper-saline lagoon ecosystems along the Black Sea coastline.

8. GEF national operational focal point and date of country endorsement:

Ms. Fathme Iliaz, Deputy Minister of Environment and Waters, dated October 11, 2001 and July 7, 2004.

4 Project Objectives and Activities

9. Project Rationale and Objective

Objective: This Project aims to promote the sustainable management of the Lake Pomorie and wetland ecosystem by fostering a combination of restoration, conservation and sustainable production activities. Through a partnership comprised of an NGO, the local municipality and the private sector, the Project will integrate the conservation of globally important bird habitat and unique hyper-saline plant and animal communities with the sustainable management of tourism and the area’s natural resources. To achieve this, the project will: (i) support the development and implementation of long-term protected area management plans which emphasize natural resource conservation, restoration, and management, (ii) restore the ecosystem’s natural resources base and hydrological balance; (iii) promote the sustainable management of the lake’s natural resources through an innovative multi-stakeholder partnership; (iv) build awareness among local communities and the tourism sector about the benefits of eco-tourism; and (v) improve collaboration with other wetland restoration sites in Bulgaria.

Rationale: Lake Pomorie, a 860 ha (7km by 1.2-3 km wide) natural hypersaline- lagoon within a larger 1000 ha wetland complex, lies on the Bulgarian Black Sea coast 20 km north of Bourgas (42° 35′ N, 27° 37′ ). The lake complex contains a rich diversity of European and global significance which has led the Ministry of Environment and Waters (MoEW) to designate the Lake as a protected area on January 23, 2001. Formal RAMSAR designation occurred in on September 24, 2002.

Due to its location along the Eastern European migratory flyway (Via Pontica “bottleneck” site), Lake Pomorie is renown for its population of resident, breeding and migratory birds of European and global significance, and has been designated as an IBA (Important Bird Area). Each autumn more than 250,000 migratory birds at the lake and its surrounding areas, including geese, pelicans, diurnal raptors. Despite the unfavorable variations of the hydrological balance of the lake waters and the destruction of breeding habitats in the past decades, the lake still harbors a rich breeding ornithofauna: 30,000 birds winter there; 215 bird species inhabit the lake all year, 93 of which are of European and global nature conservation value (SPEC 1-4).

The lake’s average salinity of 50% -- three times higher than the Black Sea – has led to the development of an ultra-halide ecosystem with specific flora and fauna (in particular benthos and bottom fauna), a unique ecosystem in the Balkan peninsula and the Southeastern European context.

5 Threats: Greek settlements existed at the southern end of the lake at least 2000 years ago, and biodiversity and human activities have been able to co-exist without the significant loss of biodiversity value until recently. Historically, the southern and northern sections of the lake were used as areas for artisinal salt production. While the extent of salt and fish production has declined in the past forty years, today the area is a popular destination for Bulgarian tourists who are attracted to its beaches and the lake’s black hydrogen sulfide mud renowned for its curative and cosmetic benefits, around which a vibrant tourism industry has developed.

While the lake ecosystem never had effective management regime, the needs of the various users of the lake’s natural resources (salt, fish, curative mud) could be balanced without significant conflict or loss of biodiversity. However, in the past four decades (in particular the last ten years), historical use patterns have begun to break down, and the physical site has begun to deteriorate rapidly. It was only in the 1960s and 1970s that large-scale dikes were constructed which destroyed valuable habitat of ground breeding bird species. In the 1990s, mainly due to the economic crisis, the age-old salt production systems broke down. State organizations and cooperatives that had been responsible for investing in, and maintaining the lake’s systems restructured, disappeared or saw their resources dwindle. Freshwater now flows into the lake – causing a visible change in the specific hyper halide flora and fauna. The unique benthos and plankton that form the foundation of the lake’s food chain are threatened.

Today, threats to the region’s biodiversity come mainly from: (i) the disruption of the historical hydrological water balance, due to the interruption of the historical channel connection between the lake and the Black Sea and the dilapidation of historical freshwater drainage systems and internal dykes; (ii) insufficient consideration of biodiversity and sustainable natural resource use within local land use patterns; (iii) uncontrolled hunting and egg collecting; and (iv) inadequate municipal solid waste management practices.

The local communities recognize these threats, most which feel a personal connection to the lake. However, there has been inadequate financial resources to initiate needed capital investment and management programs. There is an opportunity to address these challenges and assist local stakeholders to an ecologically sustainable program within the project area.

Indicators: • Lake Pomorie is protected within a functioning Protected Site management framework according to a management plan which is widely accepted and implemented jointly by local stakeholders; • Establishment of a multi-stakeholder consultative group that oversees the management of the Pomorie Protected Site. • Establishment of a partnership between an NGO and the Pomorie municipality for Project Implementation, with the hopes to extend this arrangement to the formal management of the Protected Site; • Restoration of specific composition and the trophic significance of the ecosystem’s unique hyper- halide flora and fauna, and a stabilized number of high conservation value species; • Significantly reduced threats from poaching, habitat destruction and unsustainable resource use; • Annual operations and maintenance of all physical works covered 100% by local stakeholders within the first year, and is proven to be financially viable by final year of the project.

10. Expected outcomes: Indicators:

ƒ Integrated natural resources management ƒ Effective partnership between public sector, within the Lake Pomorie wetland ecosystem civil society and the private sector codified in with active involvement of stakeholders. protected area management, through the commitment of each to commit human and

6 financial resources to both capital investments and long-term operations and maintenance and mandated by the Ministry of Environment and Waters (MoEW).

ƒ In-situ conservation of the biodiversity of Lake ƒ Restoration of species composition and trophic Pomorie. significance of specific hyper-halide flora and . fauna (to be identified after specific baseline surveys to be implemented during initial stages of management plan). ƒ 200 % increase number of breeding pairs of 6 rare bird species identified during Ramsar designation process. ƒ 100% improvement in indicators effectiveness of protected areas management (over baseline 21% as of August 2004 – See annex __). Process indicators: ƒ Baseline studies completed (started during Project preparation) ƒ Management plan for the sustainable use of other natural resources developed and under implementation (including management, conservation, monitoring, education and tourism programs), adopted by all stakeholders and implemented according to the BG Protected Areas Law. ƒ Restoration of the hydro-biological and hydrological status and the salinity of the lagoon; restoration of breeding habitats. ƒ Additional 43 ha of land (which are currently included within the RAMSAR designation) added to the Pomorie Lake Protected Site. ƒ Established eco-tourism product (e.g., bird watching). ƒ Local communities possess good ƒ Increase by 25% number of local understanding of the project, support its stakeholders familiar and supportive of project objectives and are updated on its results objectives and technical solutions proposed Process indicators: ƒ Building of local stakeholder platform for promoting conservation and sustainable resource use, with regular meetings and protocols for conflict resolution. ƒ Training for stakeholders, including NGOs, the private sector, the municipality, the private sector and the regional representatives of the MoEW. • Updates of the initial Social Assessment.

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ƒ Collaboration of Regional ƒ Partnerships between the various Environmental Inspectorates and Ministry of governmental agencies responsible for various Health in the management of the Protected aspects of the Site’s natural resources Site established with the Protected Site’s administration.

ƒ Improved coordination and • Regular co-operation with other NGOs and collaboration with other wetland ecosystems national protected areas’ management units within Bulgaria established through joint training programs – in particular with other GEF projects in the country such as the Wetlands Restoration and Pollution Reduction Project, the Rhodopes Mountains Project, and the protected areas component of the World Bank Forestry Project.

11. Project activities to achieve outcomes: Indicators:

1. Development of management framework ƒ Confirmation of collaborative management ƒ MoU between Green Balkans and the framework between NGO, municipality municipality confirming collaboration during and the private sector Project duration confirmed; ƒ Establishment of Lake Pomorie ƒ Statement of intent from stakeholders Consultative Group regarding the long-term operations and ƒ Identification of options for formal maintenance of physical works (including designation of management administration financing) secured by the MoEW (to be identified during the ƒ Identification through consultative management planning process processes of a long-term management authority for the Lake Pomorie Protected Site ƒ MoEW official designation of authority to manage Pomorie Lake Protected Site.

2. Development of Lake Pomorie Management Plan ƒ Critical assessment and design studies for ƒ Baselines inventories for all species programs such as water management, (including specific threat analysis), technical ecosystem resources status and threats, studies and stakeholder consultations carried environmental monitoring, public out. awareness, training needs assessments, ƒ Zoning plan developed. socio-economic surveys, and financial ƒ Boundaries protected site demarcated sustainability1 ƒ Management plan for Pomorie Protected ƒ Local consensus on and physical Site completed and adopted by the Ministry of demarcation of zones Environment and Waters. ƒ Development of long-term plans for conservation, monitoring, resource management, and financial sustainability, using consultation and disclosure processes outlined under the Bulgarian Protected

1 Initial studies based on existing information were produced during Project preparation, but further in-depth studies will be necessary during the initial stages of the management planning process.

8 Areas Law, as well as the World Bank’s Operational Policies

3. Implementation of Management Plans (i) Strengthening of Institutional Structure ƒ Park headquarters established and (a) Major Investments equipped with the necessary equipment for • Establishment of administration / visit management, monitoring, tourism center interpretation, etc. • Tourism infrastructure and equipment ƒ Public information centers and tourist • Equipment for all programs facilities constructed. (b) Operational Programs ƒ Training for staff of administration, • Institutional strengthening of joint municipality and other stakeholders management structure with Green Balkans completed and implemented. and local municipality (management ƒ Joint training and workshops with other training, stakeholder exchange programs, management units and stakeholders. equipment)

(ii) Public Awareness and Education • Continuation of local stakeholder platform ƒ 10-fold increase in paying visitors to the programs to foster support and knowledge of lake by year 3. sustainable resource use and conservation. ƒ Establishment of Lake Pomorie • Improvement in solid waste management in Consultative Group prior to the onset of the Pomorie environs development of the management plans. ƒ Municipality engages in concerted solid • Public relations and environmental education waste management program. programs ƒ Provide interpretive materials for visitors of the protected areas. ƒ Community outreach campaign implemented. ƒ Reduced levels of poaching and habitat destruction.

(iii) Natural Resources Management and Restoration (a) Major Investments ƒ Physical works completed. • Construction activities to repair ƒ 200 % increase number of breeding pairs of 6 ecosystem hydrological balance and rare bird species identified during Ramsar link with the Black Sea designation process. • Restoration and conservation of the ƒ Restoration of species composition and bird habitat trophic significance of specific hyper- halide flora and fauna (to be identified after specific baseline surveys to be implemented during initial stages of management plan).

(b) Programs for the management of natural resources and operation/maintenance of civil ƒ Implementation of major natural resources works workprograms identified under management plan (water and land programs). (iv) Monitoring Program

9 • Monitoring of ecosystem health ƒ M&E plan developed and under implementation for biodiversity, water quality, habitat and social issues. ƒ O&M for physical works undertaken by local stakeholders (without project support).

4. Project Management and National Collaboration ƒ Project Management Unit established, with • Project management unit operational joint management arrangements between • Improved collaboration with other stakeholders Green Balkans and Pomorie municipality involved with wetlands restoration and confirmed within a Memorandum of management in Bulgaria Understanding. ƒ Key project management and implementation personnel engaged. ƒ Project accounting system set up and financial audits completed. ƒ Program for information dissemination established. ƒ Project website made operational. ƒ Project stakeholders well informed about the project objectives, activities and results.

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12. Estimated budget (in USD):

Preparation Implementation Total

GEF MSP 25,000 863,100 888,100 Green Balkans 4,0002 154,805 158,805 Municipality 36,0003 846,605 882,605

Ministry of -- 48,070 48,070 Environment and Waters

Local Stakeholders -- 22,610 22,610

Others & donor 6,000 -- 6,000 programs TOTAL 71,000 1,935,190 2,006,190 Green Balkans will provide 8000 man-hours for the duration of the project in the following activities: habitat restoration, management and conservation equipment maintenance, and monitoring, and partial project management.

13. Information on Project Proposer: Green Balkans is Bulgaria’s largest non-governmental nature- conservation organization. The Green Balkans NGO was established in 1988, with the mission to conserve nature in Bulgaria and within the Balkan peninsula. Its main areas of activity include (a) biodiversity conservation, (b) habitat restoration, (c) sustainable natural resource management, (d) improvement of nature conservation policy and legislation and (e) Environmental education. By 1992, regional societies within the country united in a national network called GREEN BALKANS Federation of Nature Conservation NGOs. At the end of the year 2000, the GREEN BALKANS network comprised 4,000 members united in 4 regional offices and 25 correspondent centers.

Green Balkans programs have been supported by donors such as the European Union, USAID, GEF, UNDP, WWF, EURONATURE, REC and many others, and have implemented over 70 nature conservation projects. Direct investments amounting to 1.5 million include projects managed by Green Balkans or in partnership with other organizations (WWF, BTCV, CEEWEB, Frankfurt Zoological Society etc.). Green Balkans has also organized hundreds of volunteers with a wide range of skills, totaling voluntary work amounting to 12,500 man-days.

To date, Green Balkans has identified and proposed to the Government 26 new protected areas with a total area of 700,000 ha which, if protected, would ensure the habitats of species of high European conservation significance. Green Balkans’ experts have been actively involved in the reform of Bulgarian nature conservation legislation. The organization initiated, or participated in the elaboration of a great number of political documents for biodiversity management, which became part of the state policy, including the National Biological Diversity Conservation Strategy, Strategy for the Protection and

2 US$3,000 of which were allocated by Green Balkans at a time when the PDF-A grant application was delayed due to GEF cash flow issues in Fall 2002. Rather than wait, Green Balkans implemented this preparatory activity nonetheless, and it is considered part of the Green Balkans contribution to the preparation stage. 3 US$30,000 was obtained by the Pomorie municipality during Fall 2002 to serve as preparation co-financing for clean-up of the hydrological civil works. Due to the delay in the project (see footnote 1), rather than lose these grant funds, the municipality used these funds for construction efforts to clean-up the construction waste in the existing hydrological facilities.

11 Restoration of Floodplain Forests on the Bulgarian Danube Islands and Action Plan for the Protection and Restoration of Floodplain Forests on the Bulgarian Danube Islands. Citizens’ groups and volunteers of Green Balkans have carried out more than 400 campaigns, 180 of which were of national importance.

Further details on the results of Green Balkans’ work are presented in Annex 3.

14. Information on proposed executing agency (if different from above): As above. 15. Date of initial submission of project concept: April 25, 2002 Information on Institution Submitting Project Brief 16. Project Identification Number: P077800 17. Implementing Agency contact person: Rita Cestti, (ECSSD), World Bank. Tel: 001 202 473 3473; Fax: 011 202 614 3473 18. Project Linkage to Implementing Agency Program(s): The project is included in the Bulgaria Country Assistance Strategy (CAS) (Report No. 23927-BUL, dated May 31, 2002, Annex B.3. ), which emphasizes environmentally sustainable development. This MSP complements the FY02 Bulgaria Wetland Restoration and Pollution Reduction Project currently under implementation – and World Bank staff are committed to facilitating the sharing of lessons between this MSP and the larger Project (in particular for experience with alternative institutional model for protected area management .in the Kalimok Brushlen Association in this project), the protected areas component of the proposed World Bank Forestry Project, and the past experiences with the World Bank GEF Danube Delta Project.

12 1. PROJECT DESCRIPTION

I. Project Objective and Rationale

The Balkan region, including Bulgaria, harbors a rich and varied biodiversity due to its transitional location between three major biogeographic subregions: European-Siberian, Mediterranean and Irano- turanean. A relatively small country (110,912 square km), Bulgaria covers a territory of highly varied climatic, geological, topographic and hydrologic conditions. These characteristics predetermine the occurrence of biota – ranking among the countries of the greatest biological diversity in Europe4. Apart from residential and endemic species, the region also acts as an important corridor for Eastern European flyway for migratory birds that cross into Asia and Africa via the Black Sea each year (Via Pontica). Bulgaria’s coastal areas along the Danube River and the Black Sea are important wintering and stopover sites for migratory waterfowl and shorebirds. Over the past century, many of the coastal marshes in Eastern Europe (with the exception of the Danube Delta) have been drained for agricultural and public health (malaria) reasons, increasing the distances between these migratory staging groups – each wetland loss effectively “weakening the chain” as migratory species find it increasingly hard to sufficiently “refuel” during their journey. In Bulgaria, the situation is no different, with only 11,000 hectares of the countries original 200,000 hectares of natural lakes and swamps remaining. Aquatic ecosystems are considered among the most endangered and disturbed habitats in the country. The Lake Pomorie wetland complex, located on the Black Sea coast 20 km north of Bourgas, has been impacted by human activity for centuries, but is still considered significantly important in the race to conserve biodiversity.

Objective: The Lake Pomorie Conservation, Restoration and Sustainable Management Project will improve the in-situ conservation and sustainable management of Lake Pomorie ecosystem, with the goal of integrating the conservation of globally important bird habitat and a unique hyper-saline plant and animal communities with the sustainable management of regional tourism and the area’s other natural resources. To achieve this, the Project will support: (i) the establishment of an innovative management scheme that partners civil society, local government and the private sector; (ii) the development and implementation of a long-term protected area management plan which emphasize natural resource conservation, restoration and management (which includes strengthening institutional capacity to do so); (iii) restoration of the ecosystem’s natural resource base and hydrological balance; (iv) building awareness among local communities and the tourism sector about the positive benefits of eco-tourism; (v) development of a comprehensive monitoring and evaluation program; (vi) improved collaboration with other wetland sites within Bulgaria; and (vii) project management activities during the Project duration.

Without intervention, the Lake Pomorie ecosystem will gradually degrade. At this point of time, there is a great opportunity to not only save this important wetland complex, but also to provide a working example of alternative management models for designated protected sites throughout Bulgaria – a model that incorporates existing local entities with civil society groups and the private sector5.

4 Estimated known species: 94 mammals, 383 birds, 36 reptiles, 16 amphibians, 207 Black Sea and freshwater fish, and approximately 27,000 insects and other invertebrates, 3,700 high plant species, more than 6,500 lower plants and fungi. 5 The Bulgarian Protected Areas Law allows for protected areas which have been categorized as “protected sites” to be managed by entities other than traditional units under the Ministry of Environment and Waters (for National Parks) or Ministry of Agriculture and Forests (responsible for Nature Parks). By allowing for the designation of management entities such as NGOs or municipalities, the government is recognizing the important role that other organizations can play in the conservation of the nation’s biodiversity – especially at a time when the governmental resources are stretched to capacity. 1. Project Description – Annex 1: Global Significance of Project Site

GEF Operational Strategy / Program Objective Addressed by the Project: The Project activities go beyond the current national conservation effort and would provide for increased sustainability of the wetlands ecosystems of the Bulgarian coasts by showing how other entities can assume management responsibilities for protected areas.

The Project addresses the GEF Operational Program 2 – Coastal Marine and Freshwater Ecosystems (Biodiversity Conservation) by supporting in-situ conservation and sustainable use in a biodiversity significant wetland along the Black Sea coast. The Project responds to COP3, COP4 and COP5 guidance by promoting capacity building (especially for the participatory management by stakeholders and NGOs); promoting conservation and sustainable use within production landscapes; and promoting conservation through comprehensive ecosystem management interventions. It also meets the objectives of other international conventions.

II. Current Situation

Description of Lake Pomorie: The main feature of Lake Pomorie is the large, relatively shallow 860- hectare (7km by 1.2 -3 km wide) natural hypersaline lagoon that sites within a larger 1000 ha wetland complex. The lake is bordered by the town of Pomorie, a town growing mainly due to increases in tourism. A broad reinforced beach bulkhead protects the lake and therefore the town from Black Sea storms and breaches in the sand dunes to the east. Agricultural lands border the eastern and northern sides, where freshwater runoff flows towards the lake and has historically been captured by drainage canals to the west of the lake. The dynamics of saltwater influx is relatively less well understood: while there is a direct connection with the sea in the southern end of the lake via a gravity canal which is believed to have been constructed by Greek salt producers settling in Pomorie in ancient times, it is thought that perhaps underground filtration of saline water enabled the development of the hypersaline flora and fauna communities long before this canal was ever constructed. Within the lake, dykes have been created to demarcate saltpans. Today, only production facilities in the north exist, although the earthen dykes remain. The main beach area, the curative mud flats and the recent development of the Pomorie Salt Museum are major tourism attractions, but they cause relatively little disturbance to the lagoon itself.

National, European and Global Importance: The Lake Pomorie wetland ecosystem (1,000 ha) and related territory present unique natural values of European and global significance, prompting the Ministry of Environment and Waters (MoEW) to designate the Lake as a protected area on January 23, 2001. Formal RAMSAR designation occurred in September 2002 (under No. 1229).

The lake’s average salinity, which at present is three times higher than the Black Sea, has led to the development of an ultra-halide ecosystem with specific flora and fauna (in particular benthos and bottom fauna), a unique ecosystem in the Balkan Peninsula and the southeastern European context. Botanically, despite the fact that the hyper saline environment limits the species diversity, the lake has conserved species populations of national and European significance such as Corispermum nitidum, Lepidotrichum uechtritzianum,Eryngium maritimum L., Lactuca tatarica (L.) C. A. Meyer, Stachys maritime Gouan, Centaurea arenaria Bieb, Gypsophila trichotoma Wend, Calystegia soldanella (L.) R. Br., Parapholis incurva (L.) C. E. Hubb., Euphorbia peplis L., Euphorbia paralias L., Hypecoum ponticum Velen, Limonium latifolium (Sm.) O. Kuntze, Trachomitum venetum (L.) Woodson, Suaeda heterophylla (Kar. et Kir.) Bunge ex Boiss, Halimione portulacoides (L.) Aelen, Silene auxina, Petrosimonia brachiata.

In particular, however, Lake Pomorie is renowned for its population of resident, breeding and migratory birds of European and global significance – easily qualifying for RAMSAR designation in 2002 despite the limited amount of studies that have been completed. The lake, plus the Bourgas Lakes complex, is considered a “bottleneck site” along the West-Paclearctic migratory flyway (Via Pontica) and has been

14 1. Project Description – Annex 1: Global Significance of Project Site designated an Important Bird Area (IBA). Despite its small size, it is estimated that Lake Pomorie provides a haven for at least 70% of the migration that passes through the Pomorie / Bourgas Lakes bottleneck, and is the first large station for rest and migration for birds after the Danube Delta – thus serving as a lake habitat of key European conservation significance for Central, Eastern Europe and Western Asia. Each autumn 250,000 migrating white storks, geese, pelicans and diurnal raptor birds can be observed there. The number of wintering birds reaches 30,000 specimen, among which the globally threatened SPEC1 category White-headed duck (Oxyura leucocephala), Red-breasted goose (Branta ruficolis) and Ferrugionous duck (Aythya nyroca), the largest roosting site in the country of the Gadwall (Anas strepera) and the Whooper swan (Cygnus Cygnus). The Slender-billed curlew (Numenius tenuirostris) - a globally threatened species, is observed during migration. One of the largest populations of the Sandwich tern in Europe is located at the lake as well. The lake is inhabited all year round by 215 bird species, 93 of which are of European and global nature conservation significance (from SPEC 1 to SPEC 4).

Issues / Problems:

With Greek settlements sited at the southern end of the lake since at least 2000 years ago, the wetlands of Lake Pomorie have been impacted by human activity for centuries. However, biodiversity and human activities have been able to co-exist without the significant loss of biodiversity value until recently. Historically, the southern and northern sections of the lake were used as areas for artisinal salt production. While the extent of salt and fish production has declined in the past forty years, today the area is a popular destination for Bulgarian tourists who are attracted to its beaches and the lake’s black hydrogen sulfide mud renowned for its curative and cosmetic benefits, around which a vibrant tourism industry has developed.

While the lake ecosystem never had an effective management regime, the needs of the various users of the lake’s natural resources (salt, fish, curative mud) could be balanced without significant conflict or loss of biodiversity. However, in the past four decades (in particular the last ten years), historical use patterns have begun to break down, and the physical site has begun to deteriorate rapidly. It was only in the 1960s and 1970s that large-scale dikes were constructed which destroyed valuable habitat of ground breeding bird species. In the 1990s, mainly due to the economic crisis, the age-old salt production systems broke down. State organizations and cooperatives that had been responsible for the maintenance of the lake’s systems were restructured, disappeared, and/or had their resources drastically reduced by the state. At the same time, infrastructure vandalism and theft were rampant. Freshwater now flows into the lake – causing a visible change in the specific hyper halide flora and fauna. The unique benthos and plankton that form the foundation of the lake’s food chain are now threatened.

Today, the major issues threatening the ecosystem health of Lake Pomorie, which the Project aims to address, includes:

a) Disruption of fresh-saltwater circulation and sedimentation: Historically, Lake Pomorie was most likely a brackish water system – judging from the evolved hypersaline flora and fauna communities, as well as its attractiveness to the Greek settlers who saw its potential for salt production. Control of the fresh and salt-water flows was established early on, through rudimentary drainage systems for incoming freshwater, and a controlled canal with sluice gates between the Black Sea and Lake Pomorie. Although salinity varies throughout the year with precipitation and evaporation patterns, this enabled the Pomorie settlements to control the salinity levels according to the needs of the saltpans or fisheries. By the 1940s, large-scale industrial saltpans were subsidized through the development of large earthen dykes and power plants to pump the fresh water. The canals were lined with concrete and controlled with sluice gates. Within the past ten years, as the salt industry has collapsed, so have these physical works. Today, the historical hydrological water balance is in danger of disappearing, threatening the ultra-saline

15 1. Project Description – Annex 1: Global Significance of Project Site

ecosystem -- the species composition and number of plankton and benthos fauna which are a key nutritional factor for the migratory birds (and contributing to increased death rates during migrations). The present eurihaline aquatic invertebrates are dominant, where the hyperhaline organisms predominated in the past. During recent years, the Glareola pratincola habitants have almost disappeared. Other species that depend on ultra-saline ecosystems are: Recurvirostra avosetta, Himantopus himantopus, and Charadrius alexandrinus.

b) Inadequate water resources management: Since all uses within the lake require a certain amount of water, water resources management within the catchment area need to balance economic interests (e.g., salt production and mud extraction) with high biodiversity conservation objectives (e.g., long term maintenance of habitants and ecosystems). This is a serious threat during dry years, which requires a framework for cooperation and mediation between stakeholders.

c) Uncontrolled hunting and egg collection: While hunting and egg collecting within the Pomorie Protected Site have been illegal for several years, these practices still exist. Such practices are incompatible with the proposed eco-tourism development based on international bird-watchers. While these practices were not found to be widespread in the social assessment conducted during project preparation (under PDF-A), it is noted that it takes only a few individuals to cause significant damage to rare bird populations through hunting and egg collection. Increasing number of stray dogs is also having a serious impact in the population of ground-nesting species. A possible mitigation measure is the construction of artificial islands for birds in the lake.

d) Inadequate municipal solid waste management: Select areas around Lake Pomorie are covered in plastic, broken bottles and other garbage. Although there is no data on the damage due to solid waste or the direct threat that solid waste may pose to birds, it is believed that aquatic ecosystems are clogged with household waste seriously threatening the habitats of some rare species and ornithological communities nesting underground. The Pomorie Municipality has adequate landfill capacity and programs – with a Waste Management Plan under implementation since 1998, and the European Blue Flag given for all three of Pomorie’s beaches since 2000. However, these programs appeared to focus on the main tourist areas, not the lake, and has been ultimately been unable to ensure that all populations of the lake participate in the program. The municipality however has started to address this problem with the assistance of ISPA.

e) Agricultural pollution. Utilization of lands around lake for agriculture production, namely vegetable, is a direct threat to the existence of critical wetlands due to chemical pollution. The management plan for Lake Pomorie will address this issue.

f) Increased summer populations and insufficient consideration of biodiversity within local land use plans: The population of Pomorie explodes every summer as tourist flock to the beach and the spa complexes. Local development planning efforts seeks ways to attract more tourists each year. While ecotourism is seen as a complimentary activity to the traditional tourist attractions, it has also proven difficult to ensure that development proposals that offer significant local development benefits adhere to environmental safeguards. Eagerness to provide alternative tourist sights may lead to the fast-track approval of a sports stadium adjacent to the protected site without comprehensive environmental impact assessments being completed. It is hoped that the active engagement of the municipality in the management of Lake Pomorie will raise awareness about these issues and ensure that they are effectively addressed in future municipal planning initiatives.

According to the social survey conducted during the PDF-A phase of the Project, the local communities recognize these threats, most of whom feel a personal connection to the lake. However, there has been

16 1. Project Description – Annex 1: Global Significance of Project Site inadequate human and financial resources to initiate needed capital investment and management programs. There is an opportunity to address these challenges and assist local stakeholders to an ecologically sustainable program within the project area.

Baseline Course of Action

The Government of Bulgaria, NGOs and local governments are committed to protect and enhance the environment of the country and have recognized biodiversity conservation and improved water management as two important environmental priorities. The idea for conservation activities in the Lake Pomorie area is not new. Starting in the 1990s, the conservation of Bulgaria’s biodiversity and improving wetlands protection and management became a stated national priority for the government of Bulgaria. Lake Pomorie has been consistently mentioned as an area for priority conservation action:

ƒ National Biological Diversity Conservation Strategy gives special attention to the high conservation value of the Black Sea lakes and lagoons as important sites for migrating birds along the Via Pontica.

• National Plan for the Conservation of the Biological Diversity identifies criteria through which Lake Pomorie can be classified as a site “highest conservation significance.”

• National Action Plan for the Conservation of the Most Important Wetlands in Bulgaria identifies Lake Pomorie as one of two lakes of significant national importance for biodiversity, and identifies the current status and trends of the natural resources at the Project site; and

• National EcoTourism Strategy and Action Plan identifies Lake Pomorie and surrounding areas as an area for potential development of ecotourism focusing on birdwatchers due to its location along the Via Pontica.

Practical steps to conserve biodiversity include the following investments and administrative measures related to the Project’s objectives:

• The number of protected areas in Bulgaria has increased since independence by about 292, 000 hectares, raising the area under protection from 1.8% to 4.6%.

• The Bulgarian Protected Areas Law allows for protected areas which have been categorized as “protected sites” to be managed by entities such as NGOs or municipalities, recognizing the important role that other organizations can play in the conservation of the nation’s biodiversity – especially at a time when the governmental resources are stretched to capacity.

• The Ministry of Environment and Waters and Ministry of Agriculture and Forests have been working together to create an endowment fund for the long-term operational costs of protected areas throughout Bulgaria. This fund has been designed but is not yet operational.

• The Pomorie municipality has been investing in infrastructure which can serve as the foundation for sustainable tourism development in the region – such as solid waste management programs, and the development of cultural tourism nodes based on artisinal salt production. A new Solid Waste Management Plan will be developed and implemented in 2005, which will include components specifically for areas surrounding the lake.

17 1. Project Description – Annex 1: Global Significance of Project Site

• The NGO Green Balkans has been active in Pomorie Lake for the past ten years, undertaking bird surveys and constructing small-scale bird habitats (artificial floating docks).

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III. Expected Project Outcomes with Underlying Assumptions

The Project expects to have an impact on threatened biodiversity that depend on the Lake Pomorie ecosystem.

In order to address the major threats to biodiversity within Pomorie Lake, the project will assist in undertaking some restoration works that would allow for the control of the water inflows according to the needs of the various uses of natural resources. To ensure that the interests of the Lake are balanced, a management body guided by a comprehensive management plan will need to be established and implemented. The interests of the stakeholders in the management of Lake Pomorie is sufficient to ensure the long-term operations and maintenance of these investments and the Lake Pomorie Management Plan, once the substantive restoration works have been made (and which the local stakeholders cannot currently afford).

To ensure this solid foundation for long-term natural resources management is secured, the Project can expect the following outcomes:

ƒ Effective protected area management via a strong private-public partnership. Initially the Project Management Unit will have shared decision-making and implementation responsibilities between the NGO Green Balkans and the Pomorie Municipality. Under the protected areas management planning process, however, alternative management schemes will be analyzed. The strengths and vested interests of civil society, local government and the private sector will be assessed and the most effective management entity (joint between NGO and municipality, or otherwise) which will be identified through a consensus building process. The MoEW will then designate management authority of the protected site to this body, as authorized by the Bulgaria Protected Areas Law6. Through this process and the authorization by the MoEW, this locally based integrated management body will have a list of statutory duties, procedural rules for potential resource conflicts and the prescription of a Consultative Group.

Underlying assumptions here are that local stakeholders will maintain their interests in the sustainable management of the lake, will be a to overcome any potential conflicts over resource management, and will have resources available to contribute to the management of these resources.

ƒ Elaboration and implementation of management plans will set the foundation for permanent Protected Site management programs. These will include critical initial investments in training, equipment, civil works and ecosystem restoration, and the establishment of natural resources and conservation work-programs to be implemented both during and after the project by local stakeholders in collaboration with the protected areas administration. The design of program ensures that the implementation of these work-programs will continue after the life of the Project (e.g. e.g. public awareness and education, biodiversity monitoring, tourism and waste management, natural resources management). Training will ensure that the administration and

6 Under the Bulgaria Protected Areas Law, protected areas categorized as “protected sites” are allowed to have management bodies (e.g. NGOs, municipalities, other organizations) other than those mandated for all other protected area categories in Bulgaria (namely, either the administrations under the Ministry of Environment and Waters, or the Ministry of Agriculture and Forests). To date, Bulgaria has only been able to experient with this type of management designation: in Kalimok Bruslen Protected Site, management authority has been designated to the Kalimok – Brushlen Protected Site Association, which is composed of different stakeholder members. The Association has been in existence for only 1 year, is supported by the GEF Wetlands Restoration and Pollution Reduction Project. The lessons learned from the Kalimok-Brushlen Protected Sites’s management administration will be important for the Pomorie site.

19 1. Project Description – Annex 1: Global Significance of Project Site

local stakeholders have had access to international best practice experts, helping to guide them in the long-term management of the lake’s natural resources.

ƒ Improved local support for the objectives of project is an expected outcome as local communities appreciate the value of biodiversity and realize that improved natural resources management within the Protected Site actually benefits the local economy through increased tourism based on the “eco-cultural heritage tourism cluster” concept promoted by UNESCO and the Bulgarian National Ecotourism Strategy;

ƒ Improved coordination and collaboration with other wetland ecosystems in Bulgaria will be supported under the Project – with other sites, in particular the GEF funded Wetlands Restoration and Pollution Reduction Project . Better cooperation and exchange of information with relevant institutions, authorities and NGOs in Bulgaria will be established, and coordinated management and biodiversity monitoring of the coastal wetlands will be achieved.

IV. Activities and Financial Inputs

Total project costs are estimated at US$1.94 million, of which US$863,100 will be financed by the GEF. The following activities will be implemented:

1. Development of management framework (estimated GEF US$8,090, total US$18,890): The Project will start by securing the multi-stakeholder management framework for Project implementation. A Memorandum of Understanding between Green Balkans (Project proposer) and the Pomorie municipality has already been agreed upon during project preparation, and it will be revised as appropriate during project implementation. During the management planning process, various options for formal management designation will be analyzed and subject to review by the local Consultative Group.

2. Development of Lake Pomorie Management Plan (estimated GEF US$131,250, total US$162,750): The Project will finance the development of long-term plans for the conservation, management and restoration of the Lake’s natural resources. Programs itineraries developed to achieve these goals will include water management, management of ecosystem resources (including in-depth baseline studies on status and threats), environmental monitoring, public awareness, training needs assessments, socio-economic surveys, and financial sustainability. Necessary steps during this design stage will include technical studies for the critical assessment for these programs, expert review of the programs as they develop, local consultative processes to review the programs and proposed zoning.

3. Implementation of Management Plan (estimated US$561,760 GEF, total cost US$1,510,350) This component will consist of four major sub-components: (i) Institutional Strengthening which includes the establishment of administration and tourism infrastructure with associated equipment, training for local stakeholders as well as stakeholder exchange programs); (ii) Public Awareness and Environmental Education Programs which will raise the awareness and involvement of local communities in the management of the lake’s resources; (iii) Natural Resources Management and Restoration, including restoration of existing civil works which maintain the lake’s hydrological balance, the restoration of critical habitat and the development and implementation of a long-term natural resources management program which is to be jointly implemented by the administration and local stakeholders; (iv) a monitoring program which will provide continual updates on the status of not only the lake’s biodiversity, but also other critical natural resources and social indicators related to the lake’s management; and parallel financing from the Municipality through an EU Phare proposal on the “Development of Pomorie Ecotourism” which will focus on the development of diversification of the ecotourism sector by focusing on attractions related to the regulation of the curative mud sector as well as the development of salt baths (located near the proposed administrative center).

20 1. Project Description – Annex 1: Global Significance of Project Site

4. Project Management and National Collaboration (estimated US$162,000 GEF, total cost US$243,200). Green Balkans and the Pomorie municipality will install a small Project Management Unit at the Project Site. Green Balkans will be the legal grantee, and therefore responsible for all procedures related to procurement, financial management and project monitoring & evaluation functions. Actions and major decision-making regarding project implementation will be done collaboratively between Green Balkans and Pomorie representatives, who will together establish a joint PMU, which may be formally designated as Protected Site Administration by the MoEW if deemed appropriate after significant analysis and review have been done during the management planning process. This component will cover minor operational costs and workshops necessary for stakeholder consultations and joint training programs with stakeholders from other wetland ecosystems in Bulgaria and the region, such as the Persina and Kalimok- Brushlen protected areas (both supported under the Wetlands Restoration and Pollution Reduction Project) and possibly with the Danube Delta wetlands area which is along the same bird migratory route (previously supported under a World Bank GEF Project).

V. Sustainability Analysis and Risk Assessment

The project is expected to be institutionally, financially and socially sustainable in the long-term. The active engagement of the municipality, private stakeholders and the adjacent Salt Museum throughout project design has ensured a project specifically designed so that, once initial financial barriers to long- term management are reduced (which also bring down the cost of operations and maintenance in perpetuity), local stakeholders will be able to be implemented the management plans post-project – either through direct financial contributions or in-kind contributions.

The project recognizes that cash investments are a problem during the current economic situation, but that the in-kind labor and enthusiasm required for operations and maintenance is not. Therefore, the majority of the costs are one-time costs which reduce the local stakeholders’ barriers to long-term management, by making the necessary infrastructure investments and bringing down the cost of operations and maintenance. The interests of the stakeholders in the management of Lake Pomorie is sufficient to ensure the long-term operations and maintenance of these investments and the Lake Pomorie Management Plan, once the substantive the required investments have been made (and which the local stakeholders cannot currently afford). Private interests and municipal resources (including those generated at the Salt Museum) will contribute to the long-term operation of the civil works and monitoring which will regulate the management of the lake’s water resources. Because of certainty that the stakeholders will cover the long- term operational costs immediately, the project has been designed to cover mainly one-time costs and a very small proportion of operational costs7.

Processes to ensure conflict resolution have already been developed (e.g. a Memorandum of Understanding between Green Balkans and the Pomorie municipality has been signed) to ensure that conflicts will not interfere with the continuous management of the site.

Long-term administrative sustainability: The consortium between Green Balkans and the municipality has the capacity to maintain sufficient resources to maintain the administration’s work-programs and staff. Initial plans by Green Balkans and the municipality have already calculated estimated annual costs, and revenue-generating schemes, mainly (a) minimal bird watching fees for tourists using administration or municipal infrastructure; (b) Green Balkans contributions financed via their membership fees and international volunteer programs; (c) municipal resources allocated in their annual budget; (d) grants for further development of the eco-cultural heritage sites (not operating costs) applied for by either Green

7 . Those operational costs that are covered are mainly for the management of the project according to GEF and World Bank requirements.

21 1. Project Description – Annex 1: Global Significance of Project Site

Balkans or the municipality; and (e) users-fees from private users of the lake’s natural resources in return for the management benefits they receive (already discussed with some users). The Ministry of Environment and Waters also will recognize that it is responsible, by law and under the Ramsar Convention, to assist in the maintenance of the site and will finance 3 staff positions after the adoption of the management plan of this Ramsar Site.

However, there are several potential factors that could influence or hinder the achievement of the overall Lake Pomorie management plan:

ƒ To attain the long-term goal of the Lake Pomorie management plan, a clear political will especially a the local municipal level needs to be developed with the cooperation of different sectors, and between public and private interests. This will depend on the recognition that integrated management of natural resource use, human welfare and economic development are intrinsically linked in the long-term.

To this end, the Project advocates the joint management unit between an NGO and the local municipality (in coordination with the MoEW) and the creation of a Consultative Group during the project implementation and management planning process, which will hopefully also serve as the long-term management administration of the Protected Site;

ƒ Efficient management will depend on the long-term development of institutional capacities and responsibility sharing of the joint NGO-municipal management body. The Project proposer has significant experience in advocacy and environmental education programs, and habitat restoration. It does not, however, have the experience or mandate to dictate land management reforms or regulations. The municipality, however, does have this type of experience and mandate, and it is hoped that joint management will allow for the management body to be able to complement each other effectively. To support this, the Project will finance a training needs assessment and training for the institutions and stakeholders involved in the management of Lake Pomorie’s resources.

ƒ Financial sustainability is a concern for most protected areas around the world. The Ministry of Environment and Waters as well as the Ministry of Agriculture and Forests, both the conventional managers of protected areas in Bulgaria, have had limited resources in the past to ensure adequate management in all of Bulgaria’s protected areas. With GEF, World Bank and USAID support, significant efforts have been made to develop ways in which protected areas can become self- financing. In 2003, the Bulgarian government proposed the development of a trust fund to finance special projects and operational / management costs of Bulgarian protected area.

Under the Protected Areas Law, protected sites under alternative management schemes (such as Lake Pomorie and Kalimok – Bruslen) will be responsible to secure their own long-term financing, with little expected support from annual MoEW / MoAF budget. It is expected, however, that under the Project, the Pomorie administration will lobby to ensure that protected sites are eligible to receive funding from the MoEW trust fund, and that there is a legal basis for the administration to collect fees for services and goods provided by the administration, as well as other means by which the administration can guarantee that funds collected will be used for the collective good of the Lake Pomorie Protected Site. Funds from tourism are expected to be a major source of revenue for the administration directly. In addition, with the municipality involved in the management of the lake, it is expected that the municipality will help to finance the operations of the protected area, recognizing the value that the lake brings to local tourism.

One of the important lessons to be learned from this project will be the relative success at a joint NGO-municipal management structure to secure long-term financing vis-a-vis conventional

22 1. Project Description – Annex 1: Global Significance of Project Site

protected area management approaches in Bulgaria.

ƒ Counterpart funding is often a constraint for implementation of project because of financial difficulties of implementing entities. In order to reduce this risk, a large part of counterpart funding will be in-kind. The Project is specifically designed so that operations and maintenance costs associated with the restoration works will be low. The GEF grant will cover virtually no operations and maintenance of facilities even during the first 4 years. Experience during the first 2 years will be evaluated to see if the scope of the projects needs to be revised based on the ability of stakeholders to cover operational costs.

VI. Stakeholder Involvement and Social Assessment

A Social and Legal Assessment were undertaken in February – March 2004 during the Project preparation process (supported by the GEF PDF-A). While there are no settlements within the Pomorie Protected Site, the town of Pomorie is immediately adjacent to the lake. A household survey with 300 respondents, randomly selected among the town population, has been carried out and was complemented by in-depth interviews with different stakeholders.

Social Assessment Findings: Pomorie, a small town of 13,599 inhabitants ( 4,500 households) is located at the Black sea cost. The income level is close to the average country salary (288 BGL). Tourism is a traditional activity for the region and provides the highest income (246 BGL). Survey data show that one third of the households receive income from tourist services, mainly by offering accommodation..

Tourism is perceived as the sector that could catalyze general economic revitalization and increase household incomes, with a good potential for development and diversification of tourist services (in particular foreigners). While the SA identifies a potential for future development of opportunities associated with the Lake itself, present benefits from the Lake Pomorie are very small for local households. It is not a source of income for the population, except for a very small number associated with the artisinal salt works and the use of curative mud for spa treatments. Bird watching tourists could be seen as a way to extend the tourist seasons beyond the traditional summer months. The project will continue to finance the detailed study of the tourist attitudes, including nature landmarks, satisfaction, preferences, spending patterns, etc.

The project was designed through a wide range of consultations, meetings and workshops, conducted during the preparation phase by the project proponent NGO “Green Balkans” and other actively engaged in the development of the project concept. A social assessment (SA) was conducted, consisting of household surveys and forty in-depth interviews. The project development process involved:

ƒ Authorities with current responsibilities of the running and regulation of the activities on the territory of Pomorie Lake Protected Site such as the: o MEW – National Nature Protection Service, o Regional Environmental Inspectorate Bourgas, o Water Basin Directorate for the Black Sea Region, o Pomorie Municipality ƒ Land owners and users such as o Rehabilitation Hospital “National Complex EAD, Pomorie Branch o “St. George” Hospital Facility for Treatment under the Military Medical Academy, o The new Salt Museum, o Pomorisjki Solnitsi AD, o “St. George” National Center for Social Rehabilitation, o “Anhealski Solnitsi” Cooperative, o Solari-98 OOD),

23 1. Project Description – Annex 1: Global Significance of Project Site

ƒ Bodies and organizations conducting activities in the territory o NGO “Green Balkans” o NGO Bulgaris Swiss Biodiversity Project - Bourgas Wetlands Project, o National Balneology Tourism Association ƒ Organizations that have plans directly related to future use of the natural resources such as o Naftex sports facility (sports complex on the shore offering curative-mud treatment), o “Fish Commerce” interested in the development of fish breeding in the lake, o “Golf nd Beach Resort” Project Unit, which would like to see the lake as tourist attraction

The social assessment found that local communities felt personal connections to the lake, and we relatively aware of the challenges that face the lake. While there appears to be lack of an integrated vision about the future of the lake, there appears to be a willingness to support the Project objectives. However, there has been inadequate financial resources to initiate needed capital investment and management programs. There is an opportunity to address these challenges and assist local stakeholders to an ecologically sustainable program within the project area.

As a result of the social assessment, stakeholders became familiar with the project and have had a significant input to project designing process by providing important information. A relatively stable planning group was established which will probably serve as the foundation for the Project Consultative Group. Details of the results of the Social Assessment can be found in Annex 5.

The project will continue to implement the participatory approach as a main guarantee for successful implementation. In particular, the following actions have been agreed upon to ensure continued stakeholders’ support:

1) Setting up a joint project management unit (PMU) and hopefully ultimately, the Protected Site Administration, between “Green Balkans” NGO and Municipality of Pomorie. The unit should subsequently become an effective representative of the Project in maintenance of contacts and contracts in the course of the project development. 2) Guaranteeing the successful finalization of the Project in regard of stability, financial security, effectiveness and transparency have been agreed in the MoU . The Supervisory Board involving PMU members and national governmental authorities, chaired by MoEW, would do this. 3) A wide consultative (information sharing) group would be established. Through the group, the PMU will distribute all collected scientific information, wanted by the stakeholders. From other hand the group will assists the PMU in conducting project activities (developing ToRs, implementing of survey results in the management planning, dissemination of results, supporting field activities and access to the ownership, etc.). 4) The awareness raising campaign will be conducted to provoke motivation for support and participation, and to prevent any kind of tension in the future. This will answer to the survey conclusion that there is insufficient information and unawareness of the Lake Pomorie protected site and the Project. The materials of the significance of major natural resources as an environment-forming factor and the importance and uniqueness of biodiversity in the region will be prepared, in accordance with surveyed preferences of local people

24 1. Project Description – Annex 1: Global Significance of Project Site

ANNEX 1: MAP OF LAKE POMORIE

25 1. Project Description – Annex 1: Global Significance of Project Site

ANNEX 2: CONSERVATION SIGNIFICANCE OF LAKE POMORIE

Geographic location and description: Lake Pomorie is located at the Bulgarian part of the Black Sea, 20 km north from Bourgas town (Coordinates: 42°35’ N and 27°37’ E. Its core area totals 850 ha, with up to 1,000 ha with the surrounding areas. The hyper-saline lake is separated from the sea by a natural sand strip of 6 km length, on which an artificial dike of rock fragments was built. A narrow concrete gravity canal, located in the south part of the lake, connects the Black Sea with Lake Pomorie. The south and north parts of the lake are used for salt production, achieved by a method of open (through evaporation). The yield of salt dates back to ancient times (ca. 2000 years – the town of Pomorie situated in the vicinity used to be an ancient Greek colony). The hyper saline ecosystem, containing a specific plankton and benthos has formed a black hydrogen sulphide medicinal mud, unique for the Balkan Peninsula, which is an important resource in the field of definite cosmetics and mud cure. The average salinity 20-50 ‰ (2 to 3 times higher than the Black Sea) has given ground to the specific flora and fauna.

European and Global Significance: The significance of the proposed area is determined by its rich ornithofauna, and the fact that the lake and its vicinity are the bottleneck of the Via Pontica migration route. Each autumn 250,000 migrating white storks, geese, pelicans and diurnal raptor birds can be observed there. The number of wintering birds reaches 30,000 specimen, among which the globally threatened SPEC1 category White-headed duck (Oxyura leucocephala), Red-breasted goose (Branta ruficolis) and Ferrugionous duck (Aythya nyroca), the largest roosting site in the country of the Gadwall (Anas strepera) and the Whooper swan (Cygnus Cygnus). The Slender-billed curlew (Numenius tenuirostris - a globally threatened species, is observed during migration. One of the largest populations of the Sandwich tern in Europe is located at the lake as well. The lake is inhabited all year round by 215 bird species, 93 of which are of European and global nature conservation significance (from SPEC 1 to SPEC 4). Acknowledgement to the high conservation value of Lake Pomorie is the list of the Ramsar Convention sites.

Brief description of the biological diversity.

A. Flora and vegetation communities. The hyper saline basins harbor communities of Salicornia herbacea, Salicornia europaea, etc. In the west and south parts with fresher waters Typha angustifolia, Phragmites australis and Schoenoplectus lacustris dominate. Puccinelieta convolutae, Limonieta gmelinii, Salicornieta europae, Aleuropeta littoralis of the halophyte grass formations are prevalent. There are no tree formations, with the exception of the Tamarix tetrandra community, located in the east banks and the sand strip.

Despite the fact that the hyper saline environment limits the species diversity, the lake has conserved limited species populations of national and European significance as: ƒ Corispermum nitidum ƒ Lepidotrichum uechtritzianum ƒ Eryngium maritimum L. ƒ Lactuca tatarica (L.) C. A. Meyer ƒ Stachys maritime Gouan ƒ Centaurea arenaria Bieb ƒ Gypsophila trichotoma Wend ƒ Calystegia soldanella (L.) R. Br. ƒ Parapholis incurva (L.) C. E. Hubb. ƒ Euphorbia peplis L. ƒ Euphorbia paralias L. ƒ Hypecoum ponticum Velen ƒ Limonium latifolium (Sm.) O. Kuntze

26 1. Project Description – Annex 1: Global Significance of Project Site

ƒ Trachomitum venetum (L.) Woodson ƒ Suaeda heterophylla (Kar. et Kir.) Bunge ex Boiss ƒ Halimione portulacoides (L.) Aelen ƒ Silene euxina ƒ Petrosimonia brachiata ƒ Frankenia pulverulenta

B. Fauna: Ichtyofauna. The extreme hydro-chemical conditions (hyper-saline), as well as the climatic conditions (up to 1 m depth) sharply limit the fish diversity. Although the lake has not been profoundly researched, there is no expectance of rich ichtyofauna. Five fish species have been identified so far - Atherina oyeri Risso 1810, Liza aurata (Risso 1810), Liza saliens (Risso 1810), Knipowitschia caucasica (Berg 1916), Zosterisessor ophiocephalus (Pallas 1814).

Extreme fluctuations in the lake’s conditions lead to periodical elimination of the ichthyofauna. Most often this occurs due to the increased salinity in July and August, as well as due to the shallow lagoons freezing in winter periods. The only permanent inhabitant – Caucasian goby (Knipowitschia caucasica), is for the first time identified in Bulgaria in 1956. The species is included in the Red Data Book in Bulgaria with a ‘threatened to extinction’ category. The species of Atherina (Atherina oyeri) and Round goby (Zosterisessor ophiocephalus) are included in the IUCN Red list of threatened species, with a DD category.

Amphibians and reptiles. Unfortunately, there is no study conducted on these groups in the lake area. 31 species are recorded in nearby Bourgas lakes and Black seaside areas. The wide distribution of species Rana ridibunda, Bufo bufo, Podarcis muralis, Podarcis taurica, Natrix tesselata, as well as the sinanthropous species of Cyrtodactylus kotscyi is expected.

Birds. Researches have been done only recently in the past 10 years. Although for a short period, now 250 species have been identified, of which 55 breeding, 41 wintering and 151 observed during migration. Of the 250 species, great part has a high conservation status, distributed as follows:

• 219 species have been designated as protected in compliance with the Bulgaria Biological Diversity Act and Order 342 (OJ 42 of 1986). • 70 species have been included in the Red Data Book of Bulgaria, Volume 2 – out of them 21 species fall within the ‘rare’ category, 45 species – in the ‘threatened category, and 4 species – in the ‘extinct’ category. • 78 species are included in the threatened species lists under the CORINE Biotopes Programme. • 135 species are included in the categories of BirdLife International, respectively: - SPEC 1 – 8 species of global nature conservation significance - SPEC 2 – 15 species concentrated in Europe, with unfavorable conservation status - SPEC 3 – 66 species, not concentrated in Europe with unfavorable conservation status - SPEC 4 – 46 species, not concentrated in Europe with favorable conservation status • 90 species are distributed according to the European conservation status as follows: - threatened – 10 species - vulnerable – 34 species - rare – 8 species - decreasing – 32 species - localized – 6 species • Ramsar Convention. According to the criteria of the Ramsar Convention, one species exceeds the breeding criteria – Sterna sandvicensis, and one – the wintering criteria. • Bern Convention

27 1. Project Description – Annex 1: Global Significance of Project Site

- 169 species are included in Appendix of the Convention, which requires a strict protection provided by the Government. - 67 species are included in Appendix of the Convention, which requires a seasonal protection during breeding. • Bonn Convention. - 3 species have been included in Appendix of the Convention as threatened migrating species. - 147 species have been included in Appendix of the Convention as species of unfavorable conservation status, which conservation requires the adoption of international agreements.

Mammals. With the exclusion of bats, mammals in the lake have not been systematically studied. The brief bat study conducted just recently identified 8 species. Although the short species composition list, some of the species have great numbers and represent an important unit in the food chain of the lake. These are mainly Pipistrellus pipistrellus and Pipistrellus nathusii. The latter species is considered rare for Bulgaria, but a great number of it has been identified in the lake area. Often Eptesicus serotinus and Nyctalus noctula occur.

Mammal fauna still need to be systematically studied. In the close vicinity of the neighboring Atanasovo Lake 21 species have been identified. The lake area is not favorable for breeding more of the predator mammals, due to the lack of suitable habitats (mainly agro-cenoses occur in the vicinities of the lake), however the area offers a goof food base, especially of ground breeding birds, as well as their young (when the excrements of the Canidae family were examined, 100 % of the Caradriformes class were identified). The short studies identified that the protected species of Lutra lutra is a permanent inhabitant of the lake.

28 ANNEX 3: ADDITIONAL INFORMATION ON MSP PROPOSER INSTITUTION

1. Official Name of the Proposing Institution Green Balkans NGO

Contact address: 160 Shesty Septemvry Blvd., 4000 Plovdiv Tel: +359-32-626-915; +359-32-626-977 Fax: +359-32-635-921 -mail: [email protected] http://www.greenbalkans.org Contact person: Hristo Nikolov

2. Mission Green Balkans is Bulgaria’s largest non-governmental nature-conservation organization. The Green Balkans NGO was established in 1988, with the mission to conserve nature in Bulgarian and within the Balkan peninsula. It’s main areas of activity include (a) biodiversity conservation, (b) habitat restoration, (c) sustainable natural resource management, (d) improvement of nature conservation policy and legislation and (e) environmental education.

Background: In 1988, over one million wild bird wintering in Bulgaria died due to the inappropriate spread of tons of poisonous chemicals (rodenticides). In December 1988, an informal group of students and scientists of the Plovdiv University and the Ecology Institute gathered the carcasses of dead birds and organized the group of activists and a new organization – Green Balkans -- was established. By 1992, regional societies within the country united in a national network called GREEN BALKANS Federation of Nature Conservation NGOs. At the end of 2002, the GREEN BALKANS network comprised 4 000 members united in 4 regional offices and 25 correspondent centers.

Green Balkans programs have been supported by donors such as the European Union, USAID, GEF, UNDP, WWF, EURONATURE, REC and many others, and have implemented over 70 nature conservation projects. Direct investments amounting to EUR 1.5 million include projects managed by Green Balkans or in partnership with other organizations (WWF, BTCV, CEEWEB, Frankfurt Zoological Society etc.). Green Balkans has also organized hundreds of volunteers with a wide range of skills, totaling voluntary work amounting to 12 500 man-days.

To date, Green Balkans has identified and proposed to the Government 26 new protected areas with a total area of 700 000 ha which, if protected, would ensure the habitats of species of high European conservation significance, including wetlands and floodplain forests along the Danube and the Maritsa rivers and the Black sea coast, as well as primary forest communities, habitats of rare and globally threatened species. Green Balkans’ experts have been actively involved in the reform of Bulgarian nature conservation legislation. During the past eight years, Green Balkans prepared 120 texts, which became part of five Bulgarian resource conservation acts. The organization initiated, or participated in the elaboration of a great number of political documents for biodiversity management, which became part of the state policy, including the National Biological Diversity Conservation Strategy, Strategy for the Protection and Restoration of Floodplain Forests on the Bulgarian Danube Islands and Action Plan for the Protection and Restoration of Floodplain Forests on the Bulgarian Danube Islands. Citizens’ groups and volunteers of Green Balkans have carried out more than 400 campaigns, 180 of which were of national importance.

3. Type of the Organization: Non-profit society with public benefit, registered in Bulgaria under the Non-profit Legal Entities Act.

1. Project Description – Annex 3:Info on Proposer

4. Managing Board and Key Personnel:

Managing Board: Toma Belev (Chairperson), Valentina Fidanova (Board Member), Hristo Nikolov (Board Member).

Key personnel: Valentina Fidanova – Manager of “Management and Administration”, Hristo Nikolov – Senior Adviser “Conservation policy and management”, Constantin Dichev – Conservation Officer “Forest Guarding”, Ivelin Ivanov – Conservation Officer “BIRD Conservation”, Doncho Kirov – Conservation Officer “Wetlands”, “Youth Programs”, Elena Kmetova – Conservation Officer “Forest Guarding”, “NATURA 2000”, Ivaylo Klissurov – Manager of Wildlife Rehabilitation and Breeding Center, Tsveta Hristova – Lawyer, Zlatka Nikolova – Financial Manager.

5. Membership Green Balkans has 4000 individual members. The organization is a member of international organizations and networks as: CEEWEB, International Wildlife Rehabilitation Center, Society for Conservation Biology, Danube Environmental Forum, Conservation Volunteer Alliance, Bulgarian Business Leaders Forum, Union of Bulgarian Foundations and Associations in Bulgaria.

6. Brief Presentation of Activities in Areas Green Balkans has programs in 7 major areas: conservation, legislation and policy, habitat restoration, sustainable development, youth programs and wildlife rehabilitation and breeding. Highlights from 4 of these programs are listed in Boxes 1-4.

1 Conservation Program (56 projects, EUR 1.4 million) This Program covers conservation activities within key eco-systems and species of high conservation value.

Major partners: WWF-DCPO, EURONATUR, WWF-Auen Institute, BTCV (British Trust for Conservation Volunteers), WWF-Greece, CEEWEB (Central and East European Working Group for the Enhancement of Biodiversity) etc.

Major donors: GEF, EU PHARE Programme, EURONATUR, USAID (US Agency for International Development), Regional Environmental Center, Frankfurt Zoological Society, UNDP, British Council, etc.

Major results: 1) Strengthened protected nature areas network: Over the past 15 years, staff of Green Balkans have identified and elaborated proposals to the Ministry of Environment and Waters for the designation of 26 new protected areas totaling to over 700 000 ha. Most have been approved, or are in the process of being approved and are highlighted below:

• Maritsa River Basin: Habitats of colonially nesting birds • Thracia and Sakhar Mountain Area: Habitats of the Pygmy cormorant and the Dalmation pelican - species of global significance • Danuabian Wetlands in the Danube river valley of European conservation significance (including the Persina Nature Park of 22 000 ha) • Western Rhodopes: proposal and designation for Bulgaria (and Europe’s) largest protected area(800 000 ha.) 2) Habitat conservation – wetlands: Conservation activities have been conducted (estimated 6 thousand mandays) to support wetland management and rare bird populations (Pygmy cormorant, Dalmation pelican, Imperial eagle, Sandwich tern, Squacco heron, Little egret and Night heron, Sandwich tern, Avocet, Black-winged stilt) Other actions include the purchasing of 650 ha of land for the protection of the habitats of threatened species as Ferruginous duck and the Red-breasted goose, as well as a series of actions and campaigns helped to save 20000 ha of floodplain forests from felling.

30 1. Project Description – Annex 3:Info on Proposer

3) Policy Development and Conservation of forest and mountain habitats: In order toe ensure adequate policy actions to help conserve Bulgaria’s biodiversity, teams of the organization have taken active part in the development of the new forest legislation and forest policy. Attempting to balance the roles of partner and advocacy organization, Green Balkans staff have written and proposed ten legislation articles, but has also coordinated advocacy initiatives. The organization was part of the team for the preparation of key political documents in the field of forests (Strategy for the conservation and restoration of Floodplain forests on the Bulgarian Danube Islands and the National Forest Strategy). The Organization is the only NGO, which is a part of the Management Government Committee responsible for the establishment of the new Bulgarian Forest-economic policy. In terms of law enforcement, Green Balkans has examined over 300 poaching incidents, with many being forwarded to the Prosecutor’s Office.

2 Legislation and policy 1) Nature conservation legislation: In the beginning of 1991 Green Balkans adopted their program “Support for the reform in nature conservation legislation”. For the period 1994-2001, through various projects, the program was supported by US and European donors – EU PHARE Programme, USAID through the Institute of Sustainable Communities, etc. Results achieved include the following: • Organized in 1994-96, the campaign and systematic lobbying for the ratification of the Convention on Biological Diversity significantly accelerated the process of the convention ratification in Bulgaria. • Protected Natural Area Act. As a result of a two-year work, 40 text developed by Green Balkans were adopted by Bulgarian Parliament and became a part of the new law. • Forest Act. As a result of three expert discussions during the period 1996 -1997, the statements intended for the Forest Bill have been elaborated and 11 of the proposed by the Parliament. • Biological Diversity Act. The Government has been provided with several statements, elaborated by Green Balkans’ experts, with more than 20 particular texts. The scope of proposals was wide, comprising: formulation of the management for habitats of high conservation value; establishment of the Natura 2000 national network; redactions and amendments to the applications of the Act (lists of species and habitats); forms of public participation etc. The elaborated statements have been presented at public forums and press conferences in order to exert influence on the policy-makers. Articles and interviews have been published in the national media.

2) Nature conservation policy: Green Balkans has been a direct participant in the reform of Bulgarian nature conservation policy. For the period 1994-2003 the society has taken part in the preparation of 26 policy documents of international, national and regional importance. The drafts and concepts of the seven documents have been written by Green Balkans experts entirely. The more important political documents and author’s publications are the following: • National Strategy for the Conservation of Biological Diversity. Main reports. Volume 2, 1994,) • Legislation Bill for Biological Diversity Conservation Act – non-governmental nature-conservation organizations’ concept, • Report-concept “Guidelines for elaboration of a National Action Plan for Biological Diversity Conservation”. The report has been intended for the governmental team, elaborating the National Plan. • Strategy for Protection and Restoration of Floodplain Forests on the Bulgarian Danube Islands. • Problems of management and development, deriving from the shortcomings of the laws and normative base in the field of landscape and biological diversity and sustainable resource management-Green Balkans author publication. • Assessment of Bulgarian nature conservation policy in the context of the accession of the country to the European Union.- Green Balkans author publication. • Evaluating the implementation of international commitments in (international conventions and agreements in the field of biological diversity) - Green Balkans author publication • Evaluating the implementation of the Pan-European Biological and Landscape Diversity Strategy-- Green Balkans author publication • Evaluation of the biological diversity conservation in the National Development Plans Green Balkans author publication

31 1. Project Description – Annex 3:Info on Proposer

3 Youth programs Almost every month, Green Balkans organizes various activities (conservation working holiday, guarding of rare bird species’ nests and expeditions), involving youths from Bulgaria and many European countries as well. So far, youth conservation activities with a volume of 8 500 mandays have been carried out. Main sponsors are the volunteers themselves, Further information on the youth conservation working holidays is available at http://www.greenbalkans.org/work_holydays_en.html

An important element of the youth programs is the voluntary forest protection system, established and functioning due to the efforts of numerous nature-conservationists and volunteers. For the past ten years Green Balkans has also implemented lots of educational programs, aiming at perfection of the environmental education in Bulgarian schools. Various educational initiatives, such as photo exhibitions and quizzes, involving at least 20 000 schoolchildren and hundreds of teachers, have been implemented in 12 towns throughout the country.

4 Wildlife Rehabilitation and Breeding Center The Wildlife Rehabilitation and Breeding Center was established in 1992, The Center is constructed on an area of 0,8 ha. 25 facilities for rehabilitation and breeding of rare species (aviaries, medical treatment and auxiliary premises) have been built on an area of 800 square meters. Activities include (a) treatment and recovery of rare birds in disaster (wounded or exhausted) and release back into the wild; (b) Program development for reintroduction, breeding and population support of rare raptor bird species and (c) Youth Environmental Educational Programs . For the period 1995 - 2003 500 birds have undergone treatment, of which 170 have been released back into the wild. Since 2000 the WRBC has been a member of the International Wildlife Rehabilitation Centre and an initiator of the establishment of a Balkan Wildlife Rehabilitation Centers Network Since 2003 the Wildlife Rehabilitation and Breeding Centre has been acknowledged as a CITES Rescue Center by the Government of Bulgaria.

32 ANNEX 4: INCREMENTAL COST ASSESSMENT

I. BASELINE SCENARIO

The Government of Bulgaria has recognized biodiversity conservation as a high propriety. Through the Biodiversity Action Plan and other strategy documents, it has identified main directions and programs for improving the biodiversity conservation in the country. Through its own programs and those with major donors (GEF and USAID notable partners) and NGOs, it has begun to implement many of these programs. Green Balkans and other Bulgarian NGOs, often in collaboration with major donors or international NGOs, have made notable strides in developing their capacity to be actual implementing bodies of major conservation initiatives which take into consideration economic and social considerations, expanding upon their traditional roles in the advocacy and scientific expertise realms. Even due to the economic situation in the country, significant work has been done by both the government and other partners at both the policy and investment levels.

Specifically in regards to the Lake Pomorie area, the baseline is estimated to include the following items:

For Component 1: Development of a Management Framework, only an estimated US$1,000 would be spent by Green Balkans on coordination and consultative workshops to develop local support platforms and lobby the Ministry of Environment for the designation of management rights of the Pomorie Protected Site.

For Component 2: Development of Management Plan , (i) estimated US$1,600 cash plus US$2,500 in voluntary man-hours investment Green Balkans would invest in biodiversity surveys, in particular for bird species and the designation of additional hectares to be included in the Protected Site; (ii) estimated US$1,000 from the Ministry of Environment and Waters to finance the development of long-term plans for the conservation, management and restoration of the Lake’s natural resources (US$6,000 had been allocated during project preparation); and (iii) US$3,900 in contributions from NGO / donor programs such as the Bulgaria Biodiversity Foundation (through the Pomorie municipality).

For Component 3: Implementation of Management Plan: (i) estimated US$15,400 from Green Balkans in the reconstruction of sandwich tern habitats (mainly using volunteer man-labor through “nature conservation holidays”), the operations and maintenance of these artificially constructed habitats, and related equipment; (ii) US$720,000 from the Pomorie municipality (financed by the EU Phare program) to construct a cultural heritage “salt museum” and access road to cultural heritage sites located along the borders of the Lake ; (iii) estimated US$4,070 from the Bulgarian Biodiversity Foundation for equipment; (iii) US$4,100 in a course in conservation management conducted for the municipal ecologists (includes information packages and publications); (iv) US$25,000 from the Toyota Environment Fund to finance annual conservation working holidays at Pomorie Lake (habitat reconstruction), and (v) US$10,000 .for a component of the 2005 proposed IPSA grant to the municipality for solid waste management which will focus specifically on the Lake.

For Component 4: Project Management: (i) estimated US$5,200 for guarding and monitoring of areas of high conservation value, financed by Open Society - New York through National Debate Association

II. GEF ALTERNATIVE

Under the GEF alternative, GEF funds would be used for incremental activities needed to ensure biodiversity conservation and promote the sustained protection and rehabilitation of the ecosystem.

33 Building on the baseline activities described above (some of which are parallel activities), the GEF Alternative would ensure that existing actions at the Lake Pomorie will be based on a comprehensive technical foundation, more likely be sustainable financially and within the socio-economic context of the municipality, that local tourism will incorporate principles of ecotourism and “tourism clustering” (thereby further ensuring its long-term sustainability), and that the management structure is acceptable from all stakeholders’ point of view. Specifically, the Project will:

1. Ensure that the development of the management framework for the Protected Site is based on international best-practice with a consultative process that has looked at all possible management alternatives and how the proposed management structure can best be developed and supported with the necessary resources. 2. Ensure that the development and implementation of the management plan is based on solid, comprehensive international-standard surveys of not only the natural resource base, but also the broader socio-economic context in which all conservation activities will have to be based. 3. Ensure that the development and implementation of the management plan has wide involvement and buy-in from local stakeholders as well as local institutions responsible for the management or regulation of the region’s natural resources and tourism initiatives. 4. Provide the resources to implement one to two years of the implementation of the management plan with guidance from international experts, and necessary one-time reconstructive efforts which break initial barriers and reduce the costs for long-term operations for both hydrological and habitat needs, and catalyze local stakeholders’ ability to maintain the necessary civil works into the future. 5. Ensure that tourism development will contribute to the financial sustainability of the protected area and its administration, and is consistent with the draft National EcoTourism Strategy, that tourism investments are channeled in ways that are environmentally and culturally friendly; and that the area’s landscape is managed in a way that integrates biodiversity conservation principles. 6. Ensure that development municipal waste programs include specific work for areas around the lake (and now just the main existing tourism areas in the downtown area and the Blue Flag beaches). 7. Ensure full public awareness and participation of local communities and institutions in the sustainable management of their natural resources. 8. Ensure a collaborative management structure that, by aligning with the natural vested interests of local stakeholders, will ensure long-term operations of the protected site.

Without the GEF alternative, the marginal and ad hoc efforts to conservation the biodiversity and natural resources of Lake Pomorie, site of international importance under the Ramsar Convention, would continue, but could not ensure the long term viability of the bird population along the European’s second flyway, “Via Pontica.” Lake Pomorie serves as a critical habital of key European conservation significance for Central and Eastern Europe and Western Asia. protection of the high biodiversity Protected Site. In addition, the GEF Alternative will help the country develop an alternative locally-based management structure – private-public partnership, that could be used as a model throughout Bulgaria at a time when governmental funds for biodiversity are not adequate. The total cost of the GEF Alternative is estimated at US$2.042 million.

III. INCREMENTAL COSTS

The difference in cost between the baseline scenario (US$865,270) and the GEF Alternative (US$2,006,190) amounts to US$1,119,420 million. The availability of GEF Funds for the proposed MSP would leverage this additional funding that would not otherwise be available.

34 Incremental Cost Assessment Summary

BASELINE ALTER- INCREMENT (US$) NATIVE (US$)

Green Other Total TOTAL GEF Other Total Balkans Preparation (PDF) Preparation of MSP 1,000 42,000 43,000 71,000 25,000 3,000 28,000

A. Establishment of 1,000 0 1,000 18,890 8,090 9,800 17,890 Management Framework

B. Development of 4,100 4,900 9,000 162,750 131,250 22,500 153,750 Management Plans

C. Implementation of 15,400 763,170 778,570 1,510,350 561,760 170,000 731,780 Management Plans

D. Project Management 0 5,200 5,200 243,200 162,000 76,000 238,000

Total Implementation (I) 20,500 823,270 843,770 1,935,190 863,100 228,320 1,091,420

Total (PDF+I) 24,500 865,270 886,770 2,006,190 888,100 231,320 1,119,420

35 ANNEX 5: DETAILED PROJECT BUDGET

ITEM TOTAL COST GEF GB Municipality Saltworks MoEW

Development of Management Framework 18,890 8,090 4,450 6,350 0 0 Consultative workshops 1,000 1,000 0 0 0 Confirmation of MoU for Project Management 2,000 1,000 1,000 0 0 Establishment & meetings of LP Consultative Group 0 0 0 0 Local Consultant 5,000 5,000 0 0 0 0 International Consultant 2,000 2,000 0 0 0 0 Workshops 1,890 1,090 450 350 0 0 Municipality & GB staff time 4,000 2,000 2,000 0 0 Municipality office space 3,000 0 3,000 0 0

Development of Management Plan 162,750 131,250 23,600 3,000 0 4,900 Biodiversity surveys 4,100 4,100 0 0 0 Development of management plan 4,900 0 0 0 4,900 Develop TOR 3,000 1,500 1,500 0 0 Review TOR 3,000 1,500 1,500 0 0 Technical studies 0 0 0 0 Curative mud: extraction & sustainable use 15,000 15,000 0 0 0 0 Hydrology 13,000 13,000 0 0 0 0 Flora and fauna 5,000 5,000 0 0 0 0 Fisheries 5,000 5,000 0 0 0 0 Design of env monitoring 2,000 2,000 0 0 0 0 Training needs assessment 1,000 1,000 0 0 0 0 S&E econ survey 7,000 7,000 0 0 0 0 Financial sustainability 2,500 2,500 0 0 0 0 Legal services 4,500 4,500 0 0 0 0 Zoning, land ownership, border demarcation 4,000 4,000 0 0 0 0 GIS mapping services 10,000 10,000 0 0 0 0 Analysis, mgt planning and coordination 0 0 0 0 Int’l experts 30,000 30,000 0 0 0 0 Travel 10,000 10,000 0 0 0 0 Local experts under PAM 1 contract 14,000 14,000 0 0 0 0 Local experts individually hired 8,000 8,000 0 0 0 0 Local experts 6,000 6,000 0 0 0 Local Green Balkans experts 10,000 10,000 0 0 0 Support for designation 750 250 500 0 0 0

36 ITEM TOTAL COST GEF GB Municipality Saltworks MoEW

Implementation of Management Plan 1,510,350 561,760 45,555 837,255 22,610 43,170 Restoration of habitats 15,400 15,400 0 0 0 Salt Museum 720,000 0 720,000 0 0 Other activities 43,170 0 0 0 43,170 I. Institutional Development 0 0 0 0 0 IA. Administration Infrastructure 0 0 0 0 0 Border demarcation 45,000 20,000 5,000 20,000 0 0 Admin center 0 0 0 0 Land 80,000 0 80,000 0 0 Construction adm ctr 90,000 90,000 0 0 0 0 Design of admin center 10,800 10,800 0 0 0 0 Spn construction admin center 4,500 4,500 0 0 0 0 Furniture and Equipment 35,000 35,000 0 0 0 0 Operations and Maintenance 12,000 2,000 5,000 5,000 0 0 Info & tourism infrastructure 0 0 0 0 Construction info ctrs & tourism 35,000 30,000 0 5,000 0 0 Design of info ctrs & tourism infra 4,200 4,200 0 0 0 0 SPn info ctrs & tourism infra 1,750 1,750 0 0 0 0 Furniture and Equipment 1,500 1,500 0 0 0 0 0 0 0 0 IB. Program Implementation 0 0 0 0 Environmental Education Program 0 0 0 0 Equipment 5,000 5,000 0 0 0 0 Working materials 2,000 2,000 0 0 0 0 Local Expert 8,000 8,000 0 0 0 0 Environmental Monitoring Program 0 0 0 0 Equipment 14,000 14,000 0 0 0 0 Working materials 6,000 6,000 0 0 0 0 Local Expert 6,000 6,000 0 0 0 0 Waste Management Program 0 0 0 0 Community Involvement Program 0 0 0 0 Local consultant 7,000 7,000 0 0 0 0 Materials 2,000 2,000 0 0 0 0 0 0 0 0 IC. Training and Development 40,000 40,000 0 0 0 0 English training 0 0 0 0 Management Training 0 0 0 0 Green Balkans & municipality 0 0 0 0 Technical Training 0 0 0 0 GB, municipality, local stakeholders 0 0 0 0 Nt’l and int’l training 10,000 10,000 0 0 0 0 Workshops for exchange 9,000 9,000 0 0 0 0 0 0 0 0

37 ITEM TOTAL COST GEF GB Municipality Saltworks MoEW

Implementation of Management Plan 1,510,350 561,760 45,555 837,255 22,610 43,170 Restoration of habitats 15,400 15,400 0 0 0 Salt Museum 720,000 0 720,000 0 0 Other activities 43,170 0 0 0 43,170 I. Institutional Development 0 0 0 0 0 IA. Administration Infrastructure 0 0 0 0 0 Border demarcation 45,000 20,000 5,000 20,000 0 0 Admin center 0 0 0 0 Land 80,000 0 80,000 0 0 Construction adm ctr 90,000 90,000 0 0 0 0 Design of admin center 10,800 10,800 0 0 0 0 Spn construction admin center 4,500 4,500 0 0 0 0 Furniture and Equipment 35,000 35,000 0 0 0 0 II. Renovation of Water Balance 0 0 0 0 Sea-lake connection and N/S protective canals 0 0 0 0 Construction 20,000 20,000 0 0 0 0 Design of construction 2,400 2,400 0 0 0 0 Spn construction 1,000 1,000 0 0 0 0 Maintenance 9,020 2,255 2,255 4,510 0 Drainage canals and N/S protective canals 0 0 0 0 Construction 105,100 105,100 0 0 0 0 Design of construction 12,605 12,605 0 0 0 0 Spn construction 5,255 5,255 0 0 0 0 Maintenance 40,000 7,000 9,900 5,000 18,100 0 0 0 0 0 III. Habitat Reconstruction 0 0 0 0 Construction 45,000 45,000 0 0 0 0 Design of construction 5,400 5,400 0 0 0 0 Spn construction 2,250 2,250 0 0 0 0 Maintenance 8,000 8,000 0 0 0 0 0 0 0 IV. Implementation Review 0 0 0 0 International review specialists 7,500 7,500 0 0 0 0 International review spec travel 12,000 12,000 0 0 0 0 Other specialists 7,500 7,500 0 0 0 0 Travel 20,000 20,000 0 0 0 0

Project Management 243,200 162,000 81,200 0 0 0 Guarding and monitoring 5,200 5,200 0 0 0 Coordinator 70,000 30,000 40,000 0 0 0 Procurement 0 0 0 0 Specialist (part-time) 40,000 40,000 0 0 0 0 Financial Management 0 0 0 0 Softward upgrades 4,000 4,000 0 0 0 0 Annual Audits 24,000 24,000 0 0 0 0 Staff 36,000 36,000 0 0 0 Consultant 10,000 10,000 0 0 0 0 Workshops 7,000 7,000 0 0 0 0 Op costs PIU 13,000 13,000 0 0 0 0 Local Consultants 13,000 13,000 0 0 0 0 Operational Costs 21,000 21,000 0 0 0 0 TOTAL COST 1,935,190 863,100 154,805 846,605 22,610 48,070

38 ANNEX 6: IMPLEMENTATION PLAN

The duration of the Project is 4 years. The NGO Green Balkans will have overall responsibility for project implementation, but in accordance with the MoU signed in 2003, will share major management and decision-making responsibilities with the Pomorie municipality. The collaboration between project proponent NGO “Green Balkans” and Pomorie municipality was formally confirmed by signing the Memorandum of Understanding for joint project preparation and implementation of the proposed main grant.

Green Balkans will install a small Project Management Unit within its organization, located within the Municipality of Pomorie, to handle all procedures related to procurement, financial management and project monitoring and evaluation functions. As part of the monitoring and evaluation system, the project will use the Protected Areas Management Effective tool.

Project implementation will be guided by a multi-sectoral Consultative Group, which has already been established and comprises major stakeholders who are responsible for various aspects of land management of regulation in the Lake Pomorie area.

Project Implementation Plan Activities Project-months 6 12 18 24 30 36 42 48 A. Development of management framework ------x B. Development of management plans ------x C. Implementation of management plans ------x E. Project management ------x

39 ANNEX 7: PUBLIC INVOLVEMENT PLAN

A Social and Legal Assessment were undertaken in February – March 2004 during the Project preparation process (supported by the GEF PDF-A). The legal assessment outlined the legal context within which the protected site administration will need to work. The particular legal instruments and mechanisms related to the proposed project activities are listed, as well as the administrative framework, such as bodies in charge of the management and use of Lake Pomorie resources are identified and afforded.

Social Assessment Findings: While there are no settlements within the protected site Pomorie, the town of Pomorie is immediately adjacent to the lake. A household survey with 300 respondents, randomly selected among the town population, has been carried out and was complemented by forty in-depth interviews with different stakeholders.

Pomorie, a small town of 13,599 inhabitants ( 4500 households) is located at the Black sea cost. The income level is close to the average country salary (288 BGL). Tourism is a traditional activity for the region and provides the highest income (246 BGL). Survey data show that one third of the households receive income from tourist services, mainly by offering accommodation.. Most employed in the tourism sector (89.5%) have a specialized educational degree/qualification in tourism. The household survey was the first to measure data about household provided services in the town: size and profile of the tourist flow, number of accommodations, spending patterns, income generated and other services. The municipality is exerting efforts in this direction but annual data have been collected for several hotels and accommodations only.

Tourism is being perceived as the sector that could catalyze general economic revitalization and increase household incomes. The estimated tourist flow in 2003 shows a good potential for development and diversification of tourist services - approximately 100,000 persons, about 40-50% of them are foreign tourist – Slovaks, Serbs, Germans, Czechs, Macedonians, English. The duration of the tourist season is from June to September, the busiest months are July and August, and it is mainly during these months that foreign guests visit the town. Bird watching tourists could be seen as a way to extend the tourist seasons beyond these traditional months. The project will continue to finance the detailed study of the tourist attitudes, including nature landmarks, satisfaction, preferences, spending patterns, etc. The survey results will support to design information and educational project activities, as well as the development of eco tourist services for summer tourists.

The majority of the population (86%) views Lake Pomorie as an important factor that may assist the development of the town because they connect the value of the lake with a) the natural products extracted from the lake - curative mud (38.4%), salt (19.6%) and lye (11.0%), b) the lake's environmental importance - rare birds (9.9%), natural sightseeing spot (6.7%), and vegetation (4.3%), and c) other opportunities provided by the lake – the main emphasis is tourism and fish breeding which, according to the respondents, could be restored. While the SA identifies a potential for future development, present benefits from the Lake Pomorie are very small for local households. It is not a source of income for the population, except for a very small number associated with the artisinal salt works and the use of curative mud for spa treatments. In addition, the private salt enterprises’ managers declare that the salt production is not profitable at this time. In spite of the lake’s proximity, only one third of the respondents have visited the lake recently, mainly just to take walks.

The awareness about the condition of Lake Pomorie is very low - 2/3 cannot give assessment of the condition both at present and in the future. Among those, who have answered this question, the prevailing opinion is that the lake is getting worse due to poor management (pollution, poor regulation, increased number of visitors, lack of funds for restoring infrastructure). One tenth of the respondents indicated that 5. Public Involvement Plan they knew of illegal activities in and around Lake Pomorie. In their opinion the violation occurring most often is dumping waste and pollution around the lake, poaching, extraction of lye and taking out mud without recycling the excess. One tenth realize that these violations disturb the birds.

The results of the survey show that only 13.2 % of the respondents know that Lake Pomorie has been declared a Protected Area and are aware of the current restrictions on the activities. The population lacks information about the project as well. Regardless of the lack of information, 2/3 views its implementation as necessary. This is connected most of all with expectations for preservation of the lake environment as a unique natural site, giving unique mud, and for support to the development of salt production. 90% are ready to give support for a successful conducting of the activities planned under the project by "lobbying among colleagues, acquaintances and friends" and "providing knowledge". Most of the Pomorie citizens (72%) expect the project implementation to be supported also by the municipality, citizenry and hospitals that use curative mud, some opposition in case the interests of the salt producers are damaged, could be expected. The expectations of the surveyed individuals for getting more information are quite high, which may be interpreted as a high level of interest in the project implementation. The main sources of information preferred by the citizens are the electronic mass media – TV and radio.

The measures suggested by the respondents for improvement and maintaining the Lake Pomorie condition, are aimed generally at the territory management, use and control. The public has big expectations to the municipality for the implementation of the above measures and ensuring better support for them from main users and institutions/organizations that recently conduct activities in the protected area. There are four main groups of activities, which the population expects to see funded with priority under the project: a) setting up of a specialized management unit, enforcement of an arrangement that will guarantee the sustainable use of the natural resources; b) conducting of scientific research of the curative properties of the natural products, which may be extracted from the lake, as well as a study of the flora and fauna; c) development of a program for raising tourist interest in the lake, development of programs for environmental education; d) recovery and maintenance of the sea-lake channel, conducting hydrological exploration and recovery of the salt fields

In terms of environmental and social development outcomes, the project will support: a) repairing the necessary infrastructure such as the gravity canal connecting Lake Pomorie with the Black Sea and the drainage ditches to the west of the lake in order to maintain the typical lake hydrological balance; b) funding the most necessary survey - covering biodiversity, tourism and marketing strategy for lake products, curative mud deposits, impact assessment regarding the dykes; c) the engagement of local communities/users in sustainable management and use of natural resources and environmental protection by involvement in the preparation of the protected areas management plan; d) promotion of biodiversity value, nature protection and sustainable use of lake natural resources through education and awareness raising activities and building facilities, such as an information visitors center. The project will facilitate, determine and practically establish the suitable and self-sustainable management model and unit. The experience of the GEF-financed project Bulgaria Wetlands Restoration and Pollution Reduction, which is financing wetland restoration and protected areas management in wetland areas along the Danube coast of Bulgaria, will be used when carrying out these activities. Lessons from these two projects will be shared with each other and other protected areas in the country.

Stakeholder involvement

As a result of the preparatory work and the social assessment, stakeholders became familiar with the project and have had a significant input to project designing process by providing important specialized information. The project will continue to use this participatory approach as a main guarantee for successful implementation. In particular the following possibilities for keeping and increasing stakeholders’ support have been identified:

41 5. Public Involvement Plan

1) setting up a joint project management unit (PMU) between “Green Balkans” NGO and Municipality of Pomorie. The unit should subsequently become an effective representative of the Project in maintenance of contacts and contracts in the course of the project development. 2) Guaranteeing the successful finalization of the Project in regard of stability, financial security, effectiveness and transparency have been agreed in the MoU . The Supervisory Board involving PMU members and national governmental authorities, chaired by MoEW, would do this. 3) A wide consultative (information sharing) group would be established. Through the group, the PMU will distribute all collected scientific information, wanted by the stakeholders. From other hand the group will assists the PMU in conducting project activities (developing ToRs, implementing of survey results in the management planning, dissemination of results, supporting field activities and access to the ownership, etc.). 4) The awareness raising campaign will be conducted to provoke motivation for support and participation, and to prevent any kind of tension in the future. This will answer to the survey conclusion that there is insufficient information and unawareness of the Lake Pomorie protected site and the Project. The materials of the significance of major natural resources as an environment-forming factor and the importance and uniqueness of biodiversity in the region will be prepared, in accordance with surveyed preferences of local people

The PMU will ensure full participation of stakeholders in the implementation and monitoring of the project. The PMU with the support of consultants will carry out socio-economic surveys to monitor the progress of the project and measure the impact of project activities compared to the initial socio- economic baseline survey carried out during the preparatory phase and intended project outcomes.

42 ANNEX 8: MONITORING AND EVALUATION PLAN

Project monitoring will be carried out by the NGO Green Balkans in collaboration with the municipality. The evaluation will include data on performance indicators, a mid-term review, surveys of stakeholder participation and involvement, and explanations of how monitoring and evaluation results will be used to adjust the project implementation plan, if necessary. Performance indicators will be incorporated into a detailed Monitoring and Evaluation Plan prepared in the first 3 months of project implementation. The monitoring evaluation will be based on the WWF framework for assessing management effectiveness of protected areas. The PAM effectiveness tracking tool was applied by the project team in August 2004. The baseline total scoring was 21% (see table below). The tool will be applied annual during project implementation to monitor changes in management over the life of the project.

The PMU operating within Green Balkans offices, will prepare the following progress reports on a semi- annual basis:

Project status reports, reflecting (i) the status of project implementation, problems encountered, actions suggested for overcoming these problems; (ii) the current state of project indicators; and (iii) the costs incurred to date for each project component and estimated costs of completion; and

Procurement reports describing the progress of procurement activities against the procurement plan, deviations from this plan, reasons for them, and remedial actions.

Ranking Sheet for Pomorie Lake Protected Site, August 2004

Main Issues Criteria Maximum Current Effectiveness score score (Percentage) Status of the PA 1. Legal status 3 3 2. Regulations 3 1 3. Law enforcement 3 0 4. Planning objectives 3 0 5. Boundaries 3 2 6. Boundary demarcation 3 1 18 7 38.89% Management 7. Existence of management plan 3 0 Planning & 8. Existence of workprogram 3 0 Implementation 9. Resource inventory 3 1 10. Level of research 3 1 11. Existence of management 3 0 15 2 13.33% Financial and 12. Staffing 3 0 human resources 13. Personnel management 3 0 sustainability 14. Staff training 3 0 15. Budget 3 0 16. Security of budget 3 0 17. Management of budget 3 0 18. Existence of equipment 3 1 19. Maintenace of equipment 3 1 24 2 8.33% Public involvement 20. Public awareness 3 1 21. Cooperation between users 3 2 22. Stakeholder input 3 1 9 4 44.44% Tourism 23. Visitor facilities 3 0 24. Commercial tourism 3 0 25. Fees 3 0 9 0 0.00% Condition 26. Degree of degradation 3 1 assessment 27. Access control 3 0 28. Economic benefit 3 1 29. Monitoring and evaluation 3 1 12 3 25.00% Total score: 87 18 20.69%

44 Reporting Progress at Protected Area Sites: Data Sheet

Name of protected area Pomorie Lake Protected Site

Location of protected area (country and if Bulgaria, on the Bulgarian Black Sea coast 20 km north of possible map reference) Bourgas (42° 35′ N, 27° 37′ ). Agreed Gazetted Date of establishment (distinguish between Designated protected area on agreed and gazetted*) January 23, 2001 Ownership details (i.e. owner, Mixture of state, municipal, and private ownership. tenure rights etc)

Management Authority Not yet designated by Ministry of Environment and Waters8

860 ha (7km by 1.2-3 km wide) natural hypersaline- lagoon within a larger 1000 Size of protected area (ha) ha wetland complex Permanent Temporary Number of staff 0 0

Budget 0

Designations (IUCN category, World Ramsar, September 24, 2002 Heritage, Ramsar etc) The lake complex contains a rich diversity of European and global significance which has led the Ministry of Environment and Waters (MoEW) to designate the Lake as a protected area on January 23, 2001. Formal RAMSAR designation occurred in on September 24, 2002.

Due to its location along the Eastern European migratory flyway (Via Pontica “bottleneck” site), Lake Pomorie is renown for its population of resident, breeding and migratory birds of European and global significance, and has been designated as an IBA (Important Bird Area). Each autumn more than 250,000 migratory birds at the lake and its surrounding areas, including geese, pelicans, diurnal raptors. Despite the Reasons for designation unfavorable variations of the hydrological balance of the lake waters and the destruction of breeding habitats in the past decades, the lake still harbors a rich breeding ornithofauna: 30,000 birds winter there; 215 bird species inhabit the lake all year, 93 of which are of European and global nature conservation value (SPEC 1-4).

The lake’s average salinity of 50% -- three times higher than the Black Sea – has led to the development of an ultra-halide ecosystem with specific flora and fauna (in particular benthos and bottom fauna), a unique ecosystem in the Balkan peninsula and the Southeastern European context.

8 The Bulgarian Protected Areas Law allows for protected areas which have been categorized as “protected sites” to be managed by entities other than traditional units under the Ministry of Environment and Waters (for National Parks) or Ministry of Agriculture and Forests (responsible for Nature Parks). By allowing for the designation of management entities such as NGOs or municipalities, the government is recognizing the important role that other organizations can play in the conservation of the nation’s biodiversity – especially at a time when the governmental resources are stretched to capacity. However, the PAL does not mandate MoEW funding for these protected sites, and designated management authorities are responsible to find their own funding. 45 This Project aims to promote the sustainable management of the Lake Pomorie and wetland ecosystem by fostering a combination of restoration, conservation and sustainable production activities. Through a partnership comprised of an NGO, the local municipality and the private sector, the Project will integrate the conservation of globally important bird habitat and unique hyper-saline plant and animal communities with the sustainable management of tourism and the area’s natural resources. To achieve this, the project will: (i) support the development and Brief details of World Bank funded implementation of long-term protected area management plans which project or projects in PA emphasize natural resource conservation, restoration, and management, (ii) restore the ecosystem’s natural resources base and hydrological balance; (iii) promote the sustainable management of the lake’s natural resources through an innovative multi-stakeholder partnership; (iv) build awareness among local communities and the tourism sector about the benefits of ecotourism; and (v) improve collaboration with other wetland restoration sites in Bulgaria.

Brief details of WWF funded project or projects in PA

Brief details of other relevant projects in PA List the two primary protected area objectives

Objective 1 No objectives yet, as management plan has not yet been developed

Objective 2

List the top two most important threats to the PA (and indicate reasons why these were chosen) Disruption of the historical hydrological water balance, due to the interruption of the historical Threat 1 channel connection between the lake and the Black Sea and the dilapidation of historical freshwater drainage systems and internal dykes insufficient consideration of biodiversity and sustainable natural resource use within local land Threat 2 use patterns; List top two critical management activities

Activity 1 No management activities identified yet as management plans not yet developed

Activity 2

Date assessment carried out: August 29, 2004 Name/s of assessor: Ms. Kerstin Canby

* Or formally established in the case of private protected areas

46 ANNEX 9: TECHNICAL REVIEW Not Applicable

47 ANNEX 10: PROJECT CHECKLIST

PROJECT ACTIVITY CATEGORIES Biodiversity Climate Change International Waters Ozone Depletion Prot. Area Efficient prod. & Water body: X Monitoring: zoning/mgmt.: X distrib.: Buffer zone Efficient consumption: Integrated land and Country program: development: X water: X Inventory/monitoring: Solar: Contaminant: ODS phaseout: X Ecotourism: X Biomass: Other: Production: Agro-biodiversity: Wind: Other: Trust fund(s): Hydro: Benefit-sharing: X Geothermal: Other: Fuel cells: Eco-networking X Other: TECHNICAL CATEGORIES Institution building: X Investments: Policy advice: X Targeted research: X Technical/management advice: X Technology transfer: Awareness/information/training: X Other:

48 ATTACHMENT 1: PROCUREMENT ARRANGEMENTS

A. General

Procurement for the proposed project would be carried out in accordance with the World Bank’s “Guidelines: Procurement Under IBRD Loans and IDA Credits” dated May 2004; and “Guidelines: Selection and Employment of Consultants by World Bank Borrowers” dated May 2004, and the provisions stipulated in the Legal Agreement. The general description of various items under different expenditure category are described below and summarized in Annex 4. For each contract to be financed by the Grant, the different procurement methods or consultant selection methods, estimated costs, prior review requirements, and time frame are agreed between the Borrower and the Bank project team in the Procurement Plan. The Procurement Plan will be updated at least annually or as required to reflect the actual project implementation needs and improvements in institutional capacity.

Procurement of Works: Works procured under this project, would include civil works for (a) administrative buildings for the protected area; (b) the repair of existing infrastructure necessary for the the restoration of the water balance of the lake and (c) the construction of critical habitats for breeding birds, tourism and administrative infrastructure. The procurement will be done using the Bank’s Standard Bidding Documents (SBD) for all ICB and National SBD agreed with the Bank.

Procurement of Goods: Goods procured under this project would include equipment and furniture. The procurement will be done using Bank’s SBD for all ICB and National SBD agreed with (or satisfactory to) the Bank.

Selection of Consultants: Management planning and implementation, socio-economic surveying, design and supervision of civil works, audit services, procurement and financial management consultants. Short lists of consultants for services estimated to cost less than US$200,000 equivalent per contract may be composed entirely of national consultants in accordance with the provisions of paragraph 2.7 of the Consultant Guidelines.

Operational Costs: The grant will finance operational costs such as operation and maintenance costs, staff salaries, transportation, travel costs, vehicles, rent, office equipment, maintenance of physical works, insurance for equipment and vehicles procured under the project, office supplies, utilities and communication expenditures required for the implementation of the project. Operational costs would be procured using the implementing agency’s administrative procedures which were reviewed and found acceptable to the Bank. The Bank will finance operating costs in accordance with an agreed plan.

Training/workshops/conferences. All training and workshops will be conducted according to semi- annual plans agreed with the Bank before implementation.

B. Assessment of the Agency’s Capacity to Implement Procurement

Green Balkans is the Implementing Agency which would have the overall responsibility for project implementation and will be responsible for conducting and overseeing procurement. The PIU will be established within Green Balkans offices in Plovdiv and Pomorie (with the possibility to be moved to the administrative center of Pomorie Protected Site in later years). The PIU will have strong physical presence at the project site. Green Balkans will select and will assign among its members staff to work as part of the PIU. Expertise not available within Green Balkans will be procured on competitive basis following World Bank procedures and rules. Most of the issues/ risks concerning the procurement component for implementation of the project have been identified and include lack of experience in procurement following World Bank rules and procedures. The corrective measures which have been agreed are providing training to the PIU on small-value procurement procedures for the staff of the PIU and hiring a procurement consultant to PIU. The procurement consultant will be hired on a part-time basis for the whole life of the project. He/she will be responsible for preparation of bidding documents,

49 providing advise and support to the PIU in the evaluation and selection and contract award procedures in procurement of goods, works and services.

The overall project risk for procurement is high.

Procurement Plan

Green Balkans developed a Procurement Plan for project implementation which provides the basis for the procurement methods. This plan has been agreed between the Borrower and the Project Team on June 28, 2004 and is available at the office of Green Balkans. It will also be available in the Project’s database and in the Bank’s external website. The Procurement Plan will be updated in agreement with the Project Team annually or as required to reflect the actual project implementation needs and improvements in institutional capacity.

D. Frequency of Procurement Supervision

In addition to the prior review supervision to be carried out from Bank offices, the capacity assessment of the Implementing Agency has recommended bi-annual supervision missions to visit the field to carry out post review of procurement actions.

E. Details of the Procurement Arrangement involving international competition.

Goods and Works and non consulting services. (a) List of contract Packages which will be procured following ICB and Direct contracting: not envisaged

Consulting Services. (a) List of Consulting Assignments with short-list of international firms.

Ref. No. Description of Estimated Selection Review Expected Comments Assignment Cost Method by Bank Proposals (Prior / Submission Post) Date 1 Management 150,000 QCBS prior 8/1/05 Planning

(b) Consultancy services estimated to cost above US$ 50,000 per contract, the audit contract, all individual contract estimated to cost above US$5,000 will be subject to prior review by the Bank.

(c) Short lists composed entirely of national consultants: Short lists of consultants for services estimated to cost less than US$ 200,000 equivalent per contract, may be composed entirely of national consultant1s in accordance with the provisions of paragraph 2.7 of the Consultant Guidelines.

50 GEF MSP BG Conservation, Restoration and Management of Lake Pomorie ORIGINAL ACTIVITIES UNDER THE PROJECT DATA PROCUREMENT PLAN - CONSULTANT SERVICES Bid Bid Ref Type No: of Method Total Bid Exp. of Finaliz. Cost Short Reqt. Invitat.To Sel. Firm RFP issues Techn. Eval. Final Receipt Award of Contr Prior No: Slices/items/packages Est. interst of TOR Estim/ List Of For Propos. Tech. Eval Of Draft contract comp Review Budget Cons. Props Open prop Rep contract

A. Consultant Services 1 Community CS 1 Ind Cons 12,000 3/1/2005 4/1/2005 Mobilization 2 Protected Areas CS 1 QCBS 137,500 5/15/2005 7/15/2005 9/15/2005 Yes Management 3 Socio-Economic CS 1 CQ 7,000 3/1/2005 4/1/2005 Assessment 4 Management CS Several Ind Cons 62,500 3/1/2005 4/1/2005 planing and program implementation 5 Detailed engin CS 1 CQ 21,250 11/1/2005 12/1/2005 design /super administration building

6 Detailed engin CS 1 CQ 28,910 5/1/2005 6/1/2005 design and super restoration works

7 Procurement CS 1 Ind Cons 40,000 1/15/2005 2/15/2005 Yes specialist 8 Financial man CS 1 Ind Cons 10,000 1/15/2005 2/15/2005 specialist 9 Financial audit CS 1 LCS 24,000 Spread over the project duration Yes Subtotal 343,160 D. Workshops/Study Tours/Training 1 Special courses Per ann. 40000 Spread over the project duration Budget

2 Workshops Per ann. 17090 Spread over the project duration Budget 3 National & int’l conferences Per ann. 10,000 Spread over the project duration Budget Subtotal 67,090 E. Operating Costs PIU Operation Per ann. 17,000 Spread over the project duration Budget 2 General operating costs for programs Per ann. 31,250 Spread over the project duration Budget 3 O&M for facilities Per ann. 9,000 Spread over the project duration Budget

4 Green Balkans staffing Per ann. 30,000 Spread over the project duration Budget

Subtotal 87,250

52 GEF MSP BG Conservation, Restoration and Management of Lake Pomorie ORIGINAL ACTIVITIES UNDER THE PROJECT DATA PROCUREMENT PLAN - GOODS AND WORKS

Bid Bid Ref Type No. of Method Contract Price Specific Bidder Draft Bid Invitat. Bid Bid Recomnd Contract Contract Prior Review No: packages Estimate Procurem. Short Bidding Packages To Opening Eval. For Signature Completion Notice List Docs. Available Bidder Report Ctr. Awd. B. Goods 1 Furniture and GW Several Shopping 36,500 5/1/2005 6/1/2005 Equipment 2 Office equipment GW Several Shopping 5,000 5/1/2005 6/1/2005

3 Monitoring GW 1 Shopping 14,000 2/1/2006 3/1/2006 equipment Subtotal 55,500 C. Civil Works 1 Administration CW 1 Shopping 140,000 7/15/2007 8/15/2007 building 2 Water balance CW 2 Shopping 125,100 2/1/2006 3/1/2006 Yes restorations works

3 Habitat restoration CW 1 Shopping 45,000 6/15/2007 7/15/2007

Subtotal 310,100 ATTACHMENT 2: PROJECT FINANCIAL MANAGEMENT AND DISBURSEMENT ARRANGEMENTS

Country Issues A Country Financial Accountability Assessment (CFAA) for Bulgaria has been carried out in 2003. The CFAA concludes that the public financial management (PFM) framework in Bulgaria is still evolving, and improvements are required in many of the components comprising the PFM system. In addition to establishing modern financial institutions, the country has had to develop the skills and capacities to manage its own affairs. Given the current state of public financial management in Bulgaria, the CFAA assesses the global fiduciary risk to the government as substantial and the overall fiduciary risk to Bank project funds as moderate. Thus, the GB has established FM arrangements acceptable to the Bank and will strictly follow WB requirements concerning adequate operation of project’s FM system.

The Accounting and Auditing Report on the Observance of Standards and Codes (A&A ROSC) of June 2003 concludes that there are serious audit quality issues and absence of an adequate professional auditing organization and recommends the establishment of a regime to regulate the audit profession. Accordingly, the GB NGO entity and the GEF MSP project financial statements, accounts and records will be audited each fiscal year by independent auditors acceptable to the Bank and in accordance with standards and guidelines acceptable to the Bank. Strengths and weaknesses The main strength is the accounting system implemented as part of the preparation for the project. There are no significant weaknesses. Implementing Entity Project implementation will be coordinated by the Green Balkans (GB) NGO, which has significant experience in implementing donor funded projects, however, no experience specifically with the Bank. GB will be responsible for monitoring the use of funds, for procurement and disbursement, and reporting on the use of project funds. Special Account and Funds Flow Project funds will flow from the Bank, either via a Special Account, opened in a Bulgarian Commercial Bank, which will be replenished on the basis of SOEs, or by direct payment on the basis of direct payment withdrawal applications. The initial deposit will be limited to US$60,000 corresponding to estimated GEF- eligible project expenditures for the first 4 months of the project. Subject to the Bank’s approval, the threshold of the Special Account will be increased to US$85,000, once the total disbursements from the Grant to Special Account reach US$150,000. The officials who will be authorized to sign payment orders are the Financial Director and the CEO of GB. Staffing of the Accounting/Finance Function GB has an accountant and a Financial Director who are overall responsible for all aspects of financial management and accounting for the projects, including managing the accounts, maintaining books of accounts and reports preparation. Accounting Policies and Procedures GB have written internal procedures, which are being followed in the normal course of activities of the NGO. Due to the limited number of transactions and contracts that will be financed by the grant a formal Financial Management Manual is not a top priority and should not be considered a milestone to signing the Grant Agreement. Internal audit Not applicable. External audit GB will have its entity financial statements and the GEF MSP project financial statements, accounts, records and SOEs audited yearly, both by external auditors and on terms of reference acceptable to the Bank. The audited yearly GB entity and GEF MSP project financial statements together with the auditor’s opinion thereon will be provided to the Bank within six months of the end of the reporting period, being the fiscal year. Reporting and Monitoring GB will prepare quarterly financial reports for the project. The reports will include: Project Sources and Uses of Funds; Uses of Funds by Project Activity.

Information Systems A financial management system has been implemented in GB based on the platform of Satellite – a local accounting software. The system was adapted by external consultants to record transactions and produce reports for both statutory and Bank monitoring purposes Disbursement The following table summarizes estimated disbursement scheduled by expenditure category.

GEF Grant by Disbursement Categories Category GEF Consultant Services 343,160 Goods 55,500 Civil Works 310,100 Workshops / Training 67,090 Operational costs 87,250 Project GEF grant 863,100

Disbursement Arrangements Bank funds will be disbursed under the Bank’s traditional procedures including SOEs and direct payments. Supporting documentation for SOEs, including completion reports and certificates, will be retained by GB and made available to the Bank during project supervision. Disbursements for expenditures above the SOE thresholds will be made against presentation of full documentation relating to those expenditures. There is no plan to move to periodic disbursements. Action Plan None

Financial Covenants GB is to maintain a satisfactory Financial Management System, including records and accounts, and to prepare financial statements in accordance with accounting standards satisfactory to the Bank. GB will have its entity financial statements and the GEF MSP project financial statements, records, accounts and SOEs audited yearly, both by external auditors and on terms of reference acceptable to the Bank. Supervision Plan The project FMS will carry out a supervision after the first disbursement under the Grant takes place and will after that assess the need for further supervisions.

55 ATTACHMENT 3: SAFEGUARDS

The environmental assessment and management plan satisfies World Bank requirements for a “Category B” project, as outlined in the Bank’s Operational Policy 4.01 “Environmental Assessment”. The project will also be implemented in accordance with Bulgarian regulations, which is expected to require an environmental assessment of any new infrastructure within protected areas.

A summary of potential environmental and/or social issues and the mitigation measures incorporated into the Environmental Management Plan are as follows:

Issue/impact: The project management process will discuss zoning and allowable use issues. The land and resource uses are not expected to change under the project, although improved natural resource use measures are expected to have a positive impact on tourism development and high conservation value areas. These issues will be addressed in the management plans prepared for the Protected Site.

Mitigation. The management planning process will ensure that increased management of the protected site will not have adverse environmental or social impacts.

Issue/impact: The project would finance small-scale construction and/or renovation of protected area infrastructure.

Mitigation. Locations for infrastructure investments would be identified in the protected areas management plans, and will be reviewed under Bulgarian environmental review procedures. Location of the areas will be reviewed with known inventories of flora and fauna; and local stakeholders will be represented on the Consultative Council which collaborate with park administrations on all aspects of protected area planning and implementation.

Issue/impact: The proposed “tourism cluster” composed of the protected area and the nearby cultural heritage sites are expected to attract recreational tourists and there is a need to minimize the disturbance to wildlife and natural communities. There is a need to allocate zones with specific designations for recreational use. The project area contains sensitive bird nesting and foraging sites, shelter areas with concentrations of mammals and also high value grasslands where recreation is and will be prohibited or restricted. These will be maintained under the project and reflected in the protected area management plans prepared under the project. Mitigation. The park and Salt Museum administrations will be responsible for ensuring that existing and future recreational uses are consistent with both local livelihoods and the biodiversity conservation objectives of the protected area. The protected area management plans will include a chapter on visitor management which will be implemented by the site’s administration, the Salt Museum, and the municipal authorities, and which will summarize measures to be taken to protect sensitive sites of high biodiversity value.

Issue / Impact: No major social impact was identified during the MSP preparation social assessment. Further information on this can be found in Annex 5 on the social assessment and stakeholder involvement plan.

57