United Nations Development Programme Project Document for projects financed by the various GEF Trust Funds Project title: Promoting sustainable livestock management and ecosystem conservation in Northern Ukraine Country(ies): Ukraine Implementing Partner (GEF Executing Entity): Ministry Execution Modality: Assisted of Environmental Protection and Natural Resources of National Execution (NIM) Ukraine Contributing Outcome (UNDAF/CPD, RPD, GPD): UNDAF (2018-2022) Outcome: 4.2. By 2022, national institutions, private business and communities implement gender-responsive policies and practices to achieve sustainable management of natural resources, preservation of ecosystems, mitigation, adaptation to climate change and generation of green jobs CPD (2018-2022) Outputs: • Output 2.1. National and subnational institutions are better able to develop and implement policies and measures that generate sustainable jobs and livelihoods • Output 3.1. Comprehensive measures on climate change adaptation and mitigation across various sectors are scaled up • Output 3.3. Local authorities develop gender-responsive solutions at subnational levels for the sustainable management of natural resources, ecosystem services, chemicals and waste UNDP Social and Environmental Screening Category: UNDP Gender Marker: Moderate Gender Marker 2 Atlas Award ID: 00128575 Atlas Project/Output ID: 00122538 UNDP-GEF PIMS ID number: 6395 GEF Project ID number: 10264 GEF Program ID number: 10201 LPAC meeting date: TBC Latest possible date to submit to GEF: December 13, 2020 Latest possible CEO endorsement date: June 13, 2021 Planned start date: July 1, 2021 Planned end date: December 31, 2026 Expected date of posting of Mid-Term Review to ERC: Expected date of posting Terminal evaluation report to September 30, 2024 ERC: October 1, 2026 Brief project description: As an Ukraine-dedicated initiative within the global GEF Impact Program on Food Systems, Land Use, and Restoration (FOLUR), this project will catalyze a transition to sustainable livestock farming in the Northern Ukraine Landscape, which is dominated by peatlands, while combating land degradation and restoring key areas for maintenance of ecosystem services to support vibrant livestock agriculture, sustainable land management, GHG mitigation, and biodiversity. In the mid-20th century much of the wet peat soils in the region were drained for agriculture, but over a short time these areas have become degraded, and the water table continues to subside, which causes forest die-offs. Land use is not optimized, so agriculture continues to encroach on high value ecosystems. Underlying drivers of this situation are limited local and national capacity and coordination in land use planning, limited technical knowledge for sustainable livestock on wet peat soils, limited capital access and investment in sustainable livestock, limited and deteriorating water management infrastructure, and UNDP Project Document Template – March 2020 1 | P a g e livestock value chains that currently do not sufficiently incentivize sustainable livestock production. Ukraine is among the world’s 20 leading livestock production countries, and the livestock sector is one of the drivers of rural development in the Northern Ukraine Landscape. Domestic markets consume 80% of Ukrainian beef and dairy products, while Ukraine annually exports 30,000-40,000 tons of beef products. Over 60% of population in the region are engaged in agriculture. Over 67% of cattle ownership is with small-holders (with land parcels up to 10 hectares), and 69% of farms own less than 500 heads, while there are 97 large enterprises in the Northern Ukraine Landscape who own over 1,000 heads. The project objective will be achieved through i) implementation of sustainable Integrated Land Use Plans (ILUPs); ii) land restoration, and promotion of sustainable livestock production practices and value chains, including a multi-stakeholder sustainable livestock platform; iii) conservation and restoration of natural habitats; and iv) coordination, learning, information dissemination, and knowledge management. Planned project results include 2.98 million hectares of production landscape under improved agricultural practices; more than 9,000 direct beneficiaries; improved status of biodiversity including 18 globally significant species; 36,100 ha of land restored; 68,000 ha of high value ecosystems conserved; and increased knowledge and understanding of sustainable livestock practices in wet peat soils. In addition, the project will support implementation of national voluntary targets and supplementary activities to achieve Land Degradation Neutrality in Ukraine, and implement the National Action Plan to combat land degradation and desertification. All aspects of the project have been developed to ensure gender mainstreaming. The project will share its lessons and in turn learn from other Global GEF FOLUR initiatives, in particular those dedicated to sustainable livestock management. (1) FINANCING PLAN GEF Trust Fund USD $6,756,000 UNDP TRAC resources USD $300,000 (1) Total Budget administered by UNDP USD $7,056,000 (2) CONFIRMED CO-FINANCING Ratnivsky LLC $2,000,000 UkrMilkInvest $3,000,000 Deddens Agro Company $1,000,000 Private Agricultural Enterprise "Ukraine" $1,000,000 Ukrainian Cooperative Federation $1,000,000 Ukrainian Genetic Company $150,000 Ministry for Economic Development, Trade, and $52,914,980 Agriculture of Ukraine Ministry of Environmental Protection and Natural $1,820,000 Resources of Ukraine Rivne Regional State Administration $594,000 Association of Rivne Amalgamated Territories $21,386 Zabrody Village Council $20,000 Institute of Water Problems and Melioration of $2,300,000 Ukraine Institute of Space Research of Ukraine $1,255,000 Volyn Regional Public Union Association of Regional $10,000 Development (2) Total further confirmed co-financing USD $67,085,366 (3) Total confirmed co-financing USD $67,385,366 (4) Grand-Total Project Financing (1)+(2) USD $74,141,366 UNDP Project Document Template – March 2020 2 | P a g e SIGNATURES Signature: print name below Agreed by Date/Month/Year: Government Development Coordination Authority Signature: print name below Agreed by Date/Month/Year: Implementing Partner Signature: print name below Agreed by UNDP Date/Month/Year: Key GEF Project Cycle Milestones: Project document signature: within 25 days of GEF CEO endorsement First disbursement date: within 40 days of GEF CEO endorsement Inception workshop date: within 60 days of GEF CEO endorsement Operational closure: within 3 months of posting of TE to UNDP ERC Financial closure: within 6 months of operational closure UNDP Project Document Template – March 2020 3 | P a g e Table of Contents I. Development Challenge 8 II. Strategy 12 III. Results and Partnerships 15 3.1 Project description and expected results 15 3.2 Partnerships, Stakeholder Engagement, and Coordination 21 3.3. FOLUR Global Platform Engagement, Liaison and Guidance / Support (“Docking”) 26 3.4 Gender equality and women’s empowerment 30 3.5 Risks to project success and social/environmental safeguards 32 3.6 Innovativeness, sustainability and potential for scaling up 33 3.7 Knowledge management 34 3.8 South-south and triangular cooperation 35 3.9 COVID-19 Opportunity Analysis in Relation to “Green Recovery” 35 IV. Project Results Framework 37 V. Monitoring and Evaluation (M&E) Plan 51 VI. Governance and Management Arrangements 54 VII. Financial Planning and Management 58 VIII. Total Budget and Work Plan 62 IX. Legal Context 68 X. Risk Management 68 XI. Annexes 71 Annex 1: Project map and geospatial coordinates of project sites 72 Annex 2: Multi-Year Work Plan 74 Annex 3: UNDP Social and Environmental Screening Procedure (SESP) 96 Annex 4: UNDP Risk Register 107 Annex 5: Monitoring Plan 111 Annex 6. Results Framework Indicators Design and Target Explanation and Rationale 127 Annex 7: GEF Core Indicators at Baseline 139 Annex 8: GEF PA Management Effectiveness Tracking Tool 146 Annex 9: Baseline Protected Areas Capacity Assessment 146 Annex 10: Carbon calculations tracking tool (EX-ACT) 149 Annex 11: GEF 7 Taxonomy 149 Annex 12: Draft TORs and responsibilities of project staff and contractors 156 Annex 13: Initial Project Procurement Plan 165 Annex 14: Comprehensive Stakeholder Engagement Plan 166 Annex 15: Stakeholders consulted during project development 180 Annex 16: Expanded Development Context 182 Annex 17: Gender Analysis and Gender Action Plan 182 Annex 18: Knowledge Management Plan in connect with the Global IP FOLUR Platform 183 Annex 19: Co-financing letters 194 Annex 20: Restoration Sites Summary Sheets 194 Annex 21: Restoration Expert PPG Report 194 Annex 22: Northern Ukraine Landscape Livestock Value Chain PPG Report 194 Annex 23: Sustainable Beef Platform Concept 194 Annex 24: Project Oblasts GIS Summary Analysis Reports 194 UNDP Project Document Template – March 2020 4 | P a g e Annex 25: Project Validation Workshop Report 194 Annex 26: Global-Country Project Linkages in the Northern Ukraine Landscape Project 195 Annex 27: Response to Initial Informal Upstream Project Review of GEF Secretariat 201 Annex 28: GEF Execution Support Letter and prior correspondence between Government and GEF 209 UNDP Project Document Template – March 2020 5 | P a g e Acronyms ARMR Annual Results Monitoring Report ATC Amalgamated Territorial Communities BD Biodiversity CEO Chief Executive Officer CGIAR Formerly the Consultative Group for International Agricultural Research CIS Commonwealth of Independent States CPD