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46495-002: Building Resilience to Climate Change in Papua New Project Administration Manual Project Number: 46495-002 Papua New Guinea: Building Resilience to Climate Change in Papua New Guinea 1 CONTENTS Page I. PROJECT DESCRIPTION 1 A. Output 1: Climate change and vulnerability assessments carried out and adaptation plans developed for target communities: 1 B. Output 2: Sustainable fishery eco-systems and food security investments piloted in nine vulnerable island and atoll communities 7 C. Output 3: Enabling framework for climate-resilient infrastructure and early warning and communication network extended 9 II. IMPLEMENTATION PLANS 12 A. Project Readiness Activities 12 B. Overall Project Implementation Plan 13 III. PROJECT MANAGEMENT ARRANGEMENTS 16 A. Project Implementation Organizations - Roles and Responsibilities 16 B. Key Persons Involved in Implementation 20 C. Project Organization Structure 21 D. Implementation Arrangements 24 IV. COSTS AND FINANCING 26 A. Detailed Cost Estimates by Expenditure Category 27 B. Allocation and Withdrawal of Grant Proceeds 28 C. Detailed Cost Estimates by Financier 29 D. Detailed Cost Estimates by Outputs/Components 31 E. Detailed Cost Estimates by Year 32 F. Contract and Disbursement S-curve 33 G. Fund Flows 34 V. FINANCIAL MANAGEMENT 35 A. Country Issues 35 B. Entity Specific Issues 37 C. Risk Analysis 42 VI. PROCUREMENT AND CONSULTING SERVICES 47 A. Advance Contracting and Retroactive Financing 47 B. Procurement of Goods, Works 48 C. Recruitment of Consultants 48 D. Procurement Plan 50 E. National Competitive Bidding 54 F. Consultants’ Terms of Reference 57 VII. SAFEGUARDS 92 A. Resettlement 92 B. Environment 93 VIII. GENDER AND SOCIAL DIMENSIONS 95 A. Design Features to Ensure Tangible Benefits to Women 95 B. Implementation Arrangements 96 2 IX. PERFORMANCE MONITORING, EVALUATION, REPORTING AND COMMUNICATION 99 A. Project Design and Monitoring Framework 99 B. Monitoring 102 C. Stakeholder Communication Strategy 106 X. ANTICORRUPTION POLICY 109 XI. ACCOUNTABILITY MECHANISM 110 XII. RECORD OF PAM CHANGES 111 Annexes Annex 1: Operational Policies for the Small Grants Facility……………………………..………112 Annex 2: Vulnerability Assessment Procedures and Sample Output…………………………..116 List of Tables Table LD3.1: Target Vulnerable Islands for Output 1.................................................................. 2 Table LD3.2. Detailed Cost Estimate and Expenditure Category ..............................................27 Table LD3.3. Allocation and Withdrawal of Grant Proceeds ......................................................28 Table LD3.4: Detailed Cost Estimates by Financier ..................................................................29 Table LD3.5: Detailed Cost Estimates by Output ......................................................................31 Table LD3.6: Detailed Cost Estimates by Year..........................................................................32 Table LD3.7: Risks and Mitigation Measures ............................................................................43 Table LD3.8: Proposed Consultant Inputs .................................................................................58 Table LD3.9: Summary Inputs for the PEFCs ...........................................................................73 List of Figures Figure LD3.1: Project Organization Structure ............................................................................22 Figure LD3.2: Project Management Unit Structure ....................................................................23 Figure LD3.3: Estimated Semi-Annual Disbursements ..............................................................33 Figure LD3.4: Funds Flow Diagram ...........................................................................................34 Figure LD3.5: Subproject Application and Approval Process ................................................... 117 3 Project Administration Manual Purpose and Process The project administration manual (PAM) describes the essential administrative and management requirements to implement the project on time, within budget, and in accordance with Government and Asian Development Bank (ADB) policies and procedures. The PAM should include references to all available templates and instructions either through linkages to relevant URLs or directly incorporated in the PAM. The Climate Change Development Authority (CCDA) (Executing Agency), the Coastal and Inland Fisheries Development Authority, the National Agricultural Research Institute, PNG Ports Corporation Limited (implementing agencies) are wholly responsible for the implementation of ADB financed projects, as agreed jointly between the and ADB, and in accordance with Government and ADB’s policies and procedures. ADB staff is responsible to support implementation including compliance by the CCDA (Executing Agency), the Coastal and Inland Fisheries Development Authority, the National Agricultural Research Institute, PNG Ports Corporation Limited (implementing agencies) of their obligations and responsibilities for project implementation in accordance with ADB’s policies and procedures. At Grant Negotiations the Recipient and ADB shall agree to the PAM and ensure consistency with the Grant Agreement. Such agreement shall be reflected in the minutes of the Grant Negotiations. In the event of any discrepancy or contradiction between the PAM and the Grant Agreement, the provisions of the Grant Agreement shall prevail. After ADB Board approval of the project's Report and Recommendation of the President (RRP) changes in implementation arrangements are subject to agreement and approval pursuant to relevant Government and ADB administrative procedures (including the Project Administration Instructions) and upon such approval they will be subsequently incorporated in the PAM. 4 ABBREVIATIONS ADB - Asian Development Bank AFS - audited financial statements BRCC - Building Resilience to Climate Change (in PNG) CCDA - Climate Change Development Authority CIFDA - Coastal and Inland Fisheries Development Agency CQS - consultant qualification selection CSIRO - Commonwealth Scientific and Industrial Research Organization DAL - Department of Agriculture and Livestock DMF - design and monitoring framework DOH - Department of Health DSIP - District Services Improvement Program EA - executing agency EARF - environmental assessment and review framework EMP - environmental management plan GAP - gender action plan IA - implementing agency ICB - international competitive bidding IEE - initial environmental examination LMMA - locally managed marine area NARI - National Agricultural Research Institute NCB - national competitive bidding NDC - National Disaster Center NGOs - nongovernment organizations OCCD - Office of Climate Change and Development PAC - provincial advisory committee PAM - project administration manual PISC - project implementation support consultants PMU - project management unit PNG - Papua New Guinea PPCL - PNG Ports Corporation Limited QBS - quality based selection QCBS - quality- and cost based selection RRP - Report and Recommendation of the President to the Board SBD - standard bidding documents SCF - Strategic Climate Fund SGF - small grants facility SOE - statement of expenditure SPCR - Strategic Program for Climate Resilience SPRSS - summary poverty reduction and social strategy SPS - Safeguard Policy Statement TOR - terms of reference VLNSF - voluntary land-use and negotiated settlement framework 5 I. PROJECT DESCRIPTION 1. The proposed “Building Resilience to Climate Change” (BRCC - the project) will implement Papua New Guinea’s (PNG) Strategic Program for Climate Resilience (SPCR)1 aimed at achieving transformational change in addressing the current and future threats from climate change and related hazards. This will be achieved by mainstreaming climate resilience into development planning and addressing country priorities that focus on vulnerable communities in the provinces of Bougainville, East New Britain, Manus, Milne Bay and Morobe comprising 21 priority vulnerable islands/atolls identified through a participatory process using SPCR identified risk factors across four sectors including (i) infrastructure, (ii) natural resources, (iii) health, and (iv) agriculture against potential impacts from climate change and variability. 2. The project impact is increased resilience to the impacts of climate change and climate variability. The outcome is “improved capacities of communities (in vulnerable atolls and islands), government agencies, and civil society to plan and respond to the impacts of climate change.” 3. The project has three outputs: (i) climate change and vulnerability assessments carried out and adaptation plans developed for target communities, (ii) sustainable fishery eco-systems and food security investments piloted in nine vulnerable island and atoll communities, and (iii) enabling framework for climate resilient infrastructure established and communications network extended. A. Output 1: Climate change and vulnerability assessments carried out and adaptation plans developed for target communities: 4. Climate change vulnerability assessment and adaptation plans developed and implemented by target communities: The project will, for the 21 identified vulnerable islands (Table LD3.1): (i) prepare local climate projections; (ii) undertake climate vulnerability assessments in consultation with provincial administrations and beneficiary communities, develop climate change vulnerability assessment and adaption plans, emergency response strategies in the event
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