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The World Bank's PAD1203 Document of The World Bank FOR OFFICIAL USE ONLY Public Disclosure Authorized Report No: PAD1203 INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT PROJECT APPRAISAL DOCUMENT ON A PROPOSED LOAN IN THE AMOUNT OF EURO 460 MILLION Public Disclosure Authorized (US$504 MILLION EQUIVALENT) TO THE REPUBLIC OF POLAND FOR A ODRA-VISTULA FLOOD MANAGEMENT PROJECT July 1, 2015 Public Disclosure Authorized Water Global Practice Central Europe and the Baltic Countries Country Unit Europe and Central Asia Region This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Public Disclosure Authorized Bank authorization. CURRENCY EQUIVALENTS (Exchange Rate Effective May 31, 2015) Currency Unit = Polish Zloty (PLN) €1 = PLN 4.11263 €1 = US$1.096 GOVERNMENT’S FISCAL YEAR January 1 – December 31 ABBREVIATIONS AND ACRONYMS AAD Annual Average Damages CEB Council of Europe Development Bank CPS Country Partnership Strategy DA Designated Account DG Directorate General (a unit in the EC) EC European Commission EMF Environmental Management Framework EMP Environmental Management Plan ERR Economic Rate of Return EU European Union FD Flood Directive FIDIC Fédération internationale des ingénieurs consultants (International Federation of Consulting Engineers) FM Financial Management ICB International Competitive Bidding ICR Implementation Completion Report IFR Interim Financial Report (un-audited) IMGW Instytut Meteorologii i Gospodarki Wodnej (Institute of Meteorology and Water Management) IMGW-PIB Państwowy Instytut Badawczy (IMGW National Research Institute) IT Information Technology IWRM Integrated Water Resources Management KZGW Krajowy Zarząd Gospodarki Wodnej (National Water Management Authority) LA Loan Agreement MAD Ministry of Administration and Digitization M&E Monitoring and Evaluation MIS Management Information System MoE Ministry of Environment MoF Ministry of Finance NCB National Competitive Bidding NFEP&WM Polish National Fund for Environmental Protection and Water Management (NFOSiGW) NFOSiGW Narodowy Fundusz Ochrony Środowiska i Gospodarki Wodnej NGO Nongovernmental Organization NIK Najwyższa Izba Kontroli (Supreme Audit Chamber) O&M Operation and Maintenance ONDR Office of Natural Disaster Recovery OP Operational Policy PCU Project Coordination Unit PDO Project Development Objective PIU Project Implementation Unit PLN Polish Zloty (Currency of Poland) POM Project Operational Manual RAP Resettlement Action Plan RBMP River Basin Management Plan RZGW Regionalny Zarząd Gospodarki Wodnej (Regional Water Management Authority) RPF Resettlement Policy Framework SBD Standard Bidding Documents SMOK Hydrometeorological Monitoring, Forecasting and Warning System SOE Statement of Expenditures TA Technical Assistance Voievode Provincial Governor WFD Water Framework Directive (of the European Union) ZMiUW Zarząd Melioracji i Urządzeń Wodnych Województwa (Board of Land Reclamation and Waters) Regional Vice President: Cyril Muller Country Director: Mamta Murthi Senior Global Practice Director: Junaid Kamal Ahmad Practice Manager: Dina Umali-Deininger Task Team Leader: Winston Yu REPUBLIC OF POLAND Odra-Vistula Flood Management Project TABLE OF CONTENTS Page I. STRATEGIC CONTEXT .................................................................................................1 A. Country Context ...........................................................................................................1 B. Sectoral and Institutional Context ................................................................................1 C. Higher Level Objectives to which the Project Contributes .........................................3 II. PROJECT DEVELOPMENT OBJECTIVE ..................................................................4 A. PDO..............................................................................................................................4 B. Project Beneficiaries ....................................................................................................4 C. PDO Level Results Indicators ......................................................................................5 III. PROJECT DESCRIPTION ..............................................................................................6 A. Project Components .....................................................................................................6 B. Project Financing .........................................................................................................8 C. Lessons Learned and Reflected in the Project Design .................................................8 IV. IMPLEMENTATION .....................................................................................................10 A. Institutional and Implementation Arrangements .......................................................10 B. Results Monitoring and Evaluation ...........................................................................11 C. Sustainability..............................................................................................................12 V. KEY RISKS AND MITIGATION MEASURES ..........................................................12 VI. APPRAISAL SUMMARY ..............................................................................................14 A. Economic Analysis ....................................................................................................14 B. Technical ....................................................................................................................15 C. Financial Management ...............................................................................................16 D. Procurement ...............................................................................................................17 E. Social (including Safeguards) ....................................................................................18 F. Environment (including Safeguards) .........................................................................19 G. Other Safeguards Policies Triggered .........................................................................20 Annex 1: Results Framework and Monitoring and Evaluation ..............................................22 Annex 2: Detailed Project Description .......................................................................................27 Annex 3: Implementation Arrangements ..................................................................................64 Annex 4: Implementation Support Plan ....................................................................................77 Annex 5: Economic and Financial Analysis ..............................................................................80 Annex 6:Maps IBRD 41244 and IBRD 41363 .............................................................................92 . PAD DATA SHEET Poland Odra-Vistula Flood Management Project (P147460) PROJECT APPRAISAL DOCUMENT . EUROPE AND CENTRAL ASIA 0000009087 Report No.: PAD1203 . Basic Information Project ID EA Category Team Leader(s) P147460 B - Partial Assessment Winston Yu Lending Instrument Fragile and/or Capacity Constraints [ ] Investment Project Financing Financial Intermediaries [ ] Series of Projects [ ] Project Implementation Start Date Project Implementation End Date July 24, 2015 June 15, 2023 Expected Effectiveness Date Expected Closing Date October 15, 2015 December 15, 2023 Joint IFC No Practice Senior Global Practice Country Director Regional Vice President Manager/Manager Director Dina Umali-Deininger Junaid Kamal Ahmad Mamta Murthi Cyril Muller . Borrower: Republic of Poland Responsible Agency: Ministry of Administration and Digitization Contact: Mr. Stanislaw Huskowski Title: Secretary of State Telephone No.: 48222455846 Email: [email protected] i Responsible Agency: Ministry of Environment Contact: Mr. Stanislaw Gawlowski Title: Secretary of State Telephone No.: 48223692377 Email: [email protected] . Project Financing Data (in USD Million) [ X ] Loan [ ] IDA Grant [ ] Guarantee [ ] Credit [ ] Grant [ ] Other Total Project Cost: 1,317 Total Bank Financing: 504 Financing Gap: 0.00 . Financing Source Amount Borrower 210 International Bank for Reconstruction and 504 Development Borrower European Union (EU) Funds 219 Council of Europe Development Bank (CEB) 329 Polish National Fund for Environmental 55 Protection and Water Management (NFEP&WM) Total 1,317 . Expected Disbursements Fiscal Year 2016 2017 2018 2019 2020 2021 2022 2023 2024 Annual 9 42 63 84 105 84 76 36 5 Cumulative 9 51 114 198 303 387 463 499 504 . Institutional Data Practice Area (Lead) Water Contributing Practice Areas Cross Cutting Areas [ X ] Climate Change [ ] Fragile, Conflict & Violence [ ] Gender ii [ ] Jobs [ ] Public Private Partnership Sectors / Climate Change Sector (Maximum 5 and total % must equal 100) Major Sector Sector % Adaptation Mitigation Co- Co-benefits % benefits % Water, sanitation, and flood General water, 100 100 protection sanitation, and flood protection sector Total 100 I certify that there is no Adaptation and Mitigation Climate Change Co-benefits information applicable to this project. Themes Theme (Maximum 5 and total % must equal 100) Major theme Theme % Environment and natural resources Water resource management 100 management Total 100 . Proposed Development Objective(s) The project development objectives are to increase access to flood protection for
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