DRAFT E785 Public Disclosure Authorized MOLDOVA SOIL CONSERVATION PROJECT ENVIRONMENTAL ANALYSIS AND ENVIRONMENTAL MANAGEMENT PLAN Public Disclosure Authorized Public Disclosure Authorized July 15, 2003 Public Disclosure Authorized FILE COPY Abbreviations BLS Baseline Studies CDM Clean Development Mechanism EIA Environmental Impact Assessment EMP Environmental Management Plan EPL Environmental Protection Law ER Emission Reduction ERPA Emissions Reductions Purchase Agreement HA Hectares ICAS Forest Management and Research Institute ISDS Integrated Safeguard Data Sheet MP Monitoring Plans NFA National Forest Agency NPV Net Present Value PCF Prototype Carbon Fund PCN Project Concept Note PDD Project Design Document PF Process Framework PID Project Information Document PIN Project Idea Note VR Validation Report CONTENTS 1. Project Description ..... 3..................................3 2. Status of Afforestation Lands ....................................... 6 3. Forest Operations ........................................ 6 3.1 Seedlings and trees protection measures....................................... 6 3.2 Maintenance works ........................................ 6 3.3 Forest Roads...................................... 7 4. National EIA Legal Framework .. 7 5. Forestry Legislation and Legal Provisions with Regard to Afforestation .. 10 6. Monitoring and Enforcement of Environmental and Forestry Legislation .. 13 7 Environmental Analysis: Without the Project . .15 7.1 Biodiversity Baseline Scenario (Without-Project).15 7.2 Soil Conservation Baseline Scenario (Without-Project).25 7.3 Other EnvironmentalIssues in the BaselineScenario (Without-Project) 26 8. Environmental Analysis: With the Project .. 28 8.1 Expected Project Contributionsto SustainableDevelopment 28 8.2 Biodiversity Impacts of the Project.36 8.3 Soil Conservation Effects of the Project.40 8.4 Other EnvironmentalEffects of the Project.41 8.5 Outlook on Project Contributionsto SustainableDevelopment 42 9 Project Alternatives .. 43 10 World Bank Safeguard Policies .. 44 11. Environmental Management Plan (EMP) ..................................... 46 11.1 EMPSummary................................................. 46 11.2 Monitoring.................................................. 50 11.3 InstitutionalArrangements and CapacityBuilding ................................... 54 12. Record of Consultations and Information Disclosure . .......................................56 12.1 Consultationsand Information Disclosure in Moldova............................. 56 122 Consultationsand Information Disclosurein the World Bank and PCF. 57 12.3 Additional Planned Consultations and Disclosure..................................... 57 ii 1. Project Description The development objective of the project is to promote sustainable soil conservation in and around degraded agricultural areas. In addition to improving soil quality and preventing further erosion, the project's afforestation activities will support global objectives of carbon sequestration and reduction of greenhouse gas concentrations. The project will conserve soils on 14,494 hectares of degraded pasturelands, by means of afforestation with tree and shrub species adapted to these adverse site conditions, providing urgently needed fuel wood and timber to rural people. This Project fits in the general framework of global climate change mitigation, a growing area of activity for the World Bank Group. The Bank serves as Trustee of the Prototype Carbon Fund (PCF), which implement the Kyoto Protocol on climate change on an experimental basis. In establishing this Fund, the World Bank had three strategic objectives: (a) to demonstrate how project-based Emission Reductions transactions can promote and contribute to the sustainable development of developing countries and countries with economies in transition; (b) to share with the Parties to the UN Framework Convention on Climate Change knowledge gained by the Trustee and Participants in the course of the Fund's operations; and (c) to demonstrate how the Bank can work in partnership with the public and private sectors to mobilize new resources for its borrowing member countries while addressing global environmental concerns. From the total project afforestation area of 14,494 ha, some 9,106 ha (63%) are property of Moldsilva or are being transferred from local communities to Moldsilva and 5,389 ha (37%) are owned by the local communities and which have contracted Moldsilva for a period of 5-10 years for executing the afforestation work on their behalf. The decisions of local councils have been taken and the contracts for the planting and maintenance activities have been concluded with Moldsilva. After the contract period forest management activities will be continued by the municipalities. The project afforestation area of 14,494 ha consists of 1,891 plots distributed among 151 primarii (mayoralties, municipalities, local communities) and 22 forest districts (forest enterprises), in all 11 judets (provinces)' of the country. The average and median plot sizes are 7.7 and 4.5 hectares, respectively (range, 1.1 ha tol 15.6 ha). Table 1 summarizes the project sites according to area classes and Figure 1 illustrates the data graphically. Table 2 summarizes the geographic distribution of the project sites across the country and indicates whether ownership is with Moldsilva or local communities. The judets were created by merging the former 50 raions (districts) that will be recreated in 2003. 3 Table 1. Size characteristics of the sites for afforestation: i Area class (ha) No. of plots Area (ha) Area (%) 1-4.9 1,009 2,596 18% 5-9.9 456 3,150 22% 10-14.9 189 2,271 16% 15-19.9 93 1,576 11% 20-29.9 77 1,845 13% 30-49.9 48 1,739 12% >50 19 1,317 9% Total 1,891 14,494 100% Figure 1. Size distribution of sites selected for afforestation Distribution of afforestation plots 3500 3000- 0 number of sectors , _ |area (ha) 2500'1i 2000r/ 1500 1 | i _ 500 @ l = 14,9 5-9,9 10-14,9 15-19,9 20-29,9 3049,9 >50 Sector size class 4 Table 2. Distribution of Proj ct Sites by Zone and Forest Enterprise Forest Managers of Forests Enterprises Lands for Afforestation Forest Fund Under the Transfer (ha) State Forest Agency Process to SFA Local Councils I_MOLDSILVA MOLDSELVA Northern Zone Edinet 335.2 9.6 159.2 166.4 Glodeni 768.9 168.3 253.4 347.2 Balti 534.2 189.6 344.6 0 Soroca 562.3 78.4 277.5 206.4 $oldaneqti 68.8 31.0 10.2 27.6 Padurea 125.0 85.0 40.0 0 Domneasca Total 2394.4 561.9 1089.9 747.6 Central Zone Telene,ti 176.1 30.9 0 145.2 Orhei 625.3 351.3 106.1 167.9 Calara,i 177.3 13.2 53.4 110.7 Ungheni 775.7 376.2 105.8 293.7 Nisporeni 401.7 31.5 188.8 181.4 Stra,eni 330.1 32.1 298.0 0 Chi,inau 967.0 463.0 11.8 492.2 Hinceti 849.3 261.5 305.3 282.5 Rezeni 111.3 60.7 0 .50.6 Tighina 2139.0 933.3 727.2 478.5 RNS Codrii 12.0 0 0 12.0 RNS Plaiul 52.3 0 0 52.3 Fagului Total 6617.1 2553.7 1796.4 2267.0 Southern Zone largara 1337.3 570.3 375.7 391.7 Comrat 2494.3 510.7 0 1983.6 Manta-V 315.2 211.0 104.2 0 Silva-Sud 1335.2 0 0 1335.2 Total 5482.4 2627.2 479.9 2375.3 Total general 14493.9 5742.8 3361.2 5389.9 % from the 100 39.6 23.2 37.2 project Time Frame for Proiect Activities. The project planting started in October 2002 when 50% of the project areas were established. Planting will continue in 2003 (18% of 5 plantation), 2004 (13%), and 2005 (19%). The scheduled PCF Project Crediting Period will be for 15 years (2002-2017). 2. Status of Afforestation Lands According to the cadastre inventory the lands intended to be included in project (originally 14,912.7 ha) are distributed in the following land use categories: * Pastures - 5578,0 ha; * Glades and places without vegetation - 4939 ha; * Abandoned arable lands - 195,5 ha; * Perennial plantations - 257,24 ha; * Degraded lands - 3943,0 ha. To facilitate the project review, these categories were combined to form two larger categories, based on erosion conditions, fertility and vegetative cover: * Pastures 10,713 ha, incl. pastures (5,578 ha), glades (4,939 ha), abandoned arable lands (195 ha) * Degraded lands 3943 ha, incl. landslides, ravines, other degraded lands Different forms of erosion are common on the project sites, including landslides, soil creep, tillage erosion and particle movements (through-wash, rainsplash, rainflow, rillwash, gully erosion. 35% of the project sites show moderate to excessive, mainly surface erosion (Error! Reference source not found.). About 27% of the project sites are classified as degraded lands that essentially have no productive potential due to the occurrence of ravines and landslides. 3. Forest Operations This section contain a short description of the proposed forest operations. 3.1 Seedlings and trees protection measures Generally the seedlings diseases protection measures will comprise the following: * Supplementary treatment of seedlings with phosphorus and potassium. * Removal of infected seedlings and fallen leaves Tree protection measures outside those mentioned above for seedlings will include also the creation of multi-species stands according to the forest vegetation conditions. There are no plans to use pesticides. 3.2 Maintenance works All the interventions carried out in the framework of forest plantation from the canopy closure stage and up to the harvest are called maintenance cuttings. Through these 6 procedures, forest functions and phyto-sanitary conditions are improved, and the resistance of trees to harmful environmental factors is increased. Maintenance cuttings are programmed and carried out according to the Technical guidelines on maintenance and management of forests in the forest fund (CACS, Chisinau, 1995). The maintenance work falls into the following categories: * Thinning - 4,2 m3 /ha, including 4,2 m3 twigs, boughs, branches; * Thinning - 5,9 m 3 /ha, including 0,2 m3 of fuelwood and 5,7 m3 twigs, boughs, branches; * Thinning - 19,9 m3 /ha, including 2,1 m 3 timber, 15,6 m3 fuelwood and 2,2 m3 twigs, boughs, branches; * Hygienic cuttings - 16,4 m 3/ha, including 1,5 m 3timber, 13,8 m3 fuelwood and 1,1 m3 twigs, boughs, branches.