Document Date2019/12/19 00:08:02Document TypeProject Paper;Report NumberPAD3323Volume No1Total Volume(s)1CountryNepal; RegionSouth Asia; Disclosure Date2020/01/17 22:00:53Disclosure StatusDisclosedBoard Meeting Date2020/01/14 00:00:00Absence of Objection Date2020/01/14 00:00:00Doc NameNepal - Earthquake Housing Reconstruction Project : Second Additional Financing
Project ID : P170565 Status : Active Team Leader : Kamran Akbar, Hemang D. Karelia Country : Nepal Approval Date : (as of board presentation)January 14, 2020 Total Project Cost : US$ 239.40 million Implementing AgencyN/A Region : South Asia Commitment AmountUS$ 200.00 million
INTERNATIONAL DEVELOPMENT ASSOCIATION PROJECT PAPER ON A PROPOSED ADDITIONAL CREDIT IN THE AMOUNT OF (SDR 145 MILLION) (US$ 200 MILLION EQUIVALENT) TO NEPAL
FOR SECOND ADDITIONAL FINANCING EARTHQUAKE HOUSING RECONSTRUCTION PROJECT
A. Introduction 1. This Project Paper seeks approval of the Executive Directors to provide an additional credit in the amount of SDR 145 million (US$200 million equivalent) to the Nepal Earthquake Housing Reconstruction Project (EHRP; Project ID: P155969; Credit Number: 5706‐NP and 6164‐NP; US$500 million equivalent). The EHRP and the Second Additional Financing contribute to the Government of Nepal’s (GoN) umbrella Housing Reconstruction Program (HRP) which aims to rebuild earthquake‐resistant core housing units by providing housing grants – divided into three tranches – to eligible beneficiaries who have enrolled in the program. The proposed second additional financing (AF2) will scale up EHRP’s support to the Government’s HRP by financing reconstruction of an additional 86,680 houses in the 32 districts affected by the 2015 earthquakes. The Project Paper does not propose any major changes to the design and activities supported by the project.
2. The original EHRP (US$200 million, approved on June 29, 2015) supports resilient reconstruction of approximately 55,000 houses in the districts most affected by the 2015 earthquakes. An additional IDA credit of US$300 million was approved on December 15, 2017 to scale up the EHRP and help bridge the financing gap in the GoN’s HRP by supporting 96,000 additional households under the project. The EHRP adopts an owner‐driven housing reconstruction approach that promotes earthquake‐resistant building techniques and materials and aims at improving long‐term resilience through a culture of safer and sustainable housing and settlements. The project also finances (a) social, environmental and technical support mechanisms for beneficiary households; (b) training of artisans and beneficiaries; (c) communication and outreach; (d) supervision and certification of compliance with construction guidelines; (e) implementation of environmental and social management framework including identified safeguard mitigation measures; (f) development of grievance redress mechanism; and (g) other enabling activities.
3. Eligible beneficiaries receive grants of NPR 300,000 (approximately US$2,7301 ) each for reconstruction of their houses in compliance with approved reconstruction guidelines. Housing grants are provided in three tranches: a. First tranche of NPR 50,000 is paid upon signing of the Participation Agreement by an eligible beneficiary; b. Second tranche of NPR 150,000 is paid once it is established that the plinth has been constructed in accordance with the reconstruction guidelines approved by the National Reconstruction Authority (NRA); and. c. Third tranche of NPR 100,000 is paid after inspection at roof‐band level upon finding it to be compliant with the reconstruction guidelines. There is a provision of ascertaining completion of house reconstruction that serves as output verification. 4. In view of the large scope of the housing reconstruction program, a World Bank‐administered Multi‐ Donor Trust Fund (MDTF)2 has been established to facilitate the participation of development partners interested in contributing to the housing reconstruction program. This MDTF, through its $10 million Recipient‐ executed grant, finances housing grants to approximately 3,200 eligible beneficiaries. Bank‐executed grants of the MDTF support the implementation of the EHRP, provision of technical assistance to NRA, vulnerable population and economic recovery assistance to women and Persons with Disabilities and will continue supporting EHRP’s expanded scope with the proposed AF2. The MDTF has received commitments from the United States Agency for International Development (USAID), United Kingdom’s Department for International Development, Switzerland, and Canada, totaling to US$34.54 million to date. Japan International Cooperation Agency is providing parallel financing of about US$100 million and the Government of India is providing US$100 million grant and US$50 million concessional credit to support GoN’s housing reconstruction program. 5. Country Context. Nepal is one of the world’s most disaster and climate vulnerable countries. An estimated 80 percent of the geographic area in Nepal is at risk from multiple hazards, with the vast majority of the country’s population, inhabiting high risk areas. Its per capita income is estimated at USD 730 and about 25 percent of its population lives below the poverty line. In last 50 years (from 1971 to 2015), disasters claimed lives of 40,000 people, injured more than 75,000 and affected 3 million people. The resilient development of Nepal is seriously hindered by these disasters and climate risks. The impact of the 2015 Gorkha earthquake and its major aftershocks are estimated at 35 percent of GDP with recovery needs of about USD 7 billion. Every year, intense monsoon rainfall causes floods in many parts of the country. The country was severely affected by monsoon floods in year 2017 that impacted more than 30 districts. So far3 , this year’s monsoon floods, landslides and heavy rainfall have affected 67 districts, causing loss of 113 lives, disappearance of 34 persons and damage to 67,413 households4 . In some cases, debris from landslides blocks rivers and when released suddenly, causes disastrous inundation downstream. The increased instability and intensity of geological and climate events on top of the fragile landscape is worsening landslide risks. Nepal is also highly vulnerable to Glacial Lake outburst floods (GLOFs). Glacier thinning and retreat in the Himalayas has resulted in the inherently unstable process of formation of new glacial lakes and the enlargement of existing ones. Recent surveys indicate that many glacial lakes in the country are expanding at a considerable rate, increasing the risk of sudden outbursts. For Nepal to continue to make progress on its key development indicators, it is critical to invest in resilient recovery and reconstruction post‐earthquakes to avoid creating new risks and strengthen disaster preparedness and response capacity to manage the disaster risks.
6. Strategic Context of Disaster Risk Management Sector: Under the provisions of the new constitution, Disaster Risk Management (DRM) is on the list of concurrent subjects, thus all the tiers of government share authority and responsibility in this regard. In October 2017, the Disaster Risk Reduction and Management Act (DRRM Act) was enacted to streamline the disaster risk management, relief and response related processes across all line Ministries. The Act provides a platform to address climate and disaster risk reduction in a systematic manner and is the foundation of the GoN’s DRM program. It mandates the establishment of a National Disaster Risk Reduction and Management Authority and Disaster Committees at the Federal, Provincial, District and Municipal levels. The Act is consistent with the Sendai Framework 2015‐2030 and its predecessor the Hyogo Framework for Action 2005‐2015 (HFA), and sets in motion the ongoing GoN’s DRM Program that aims to reduce climate and disaster risk and loss of life, livelihoods and health. The activities planned under EHRP Component 2: Disaster Risk Management Systems will directly support some elements of GoN’s DRM program and will also complement the DRM Development Policy Credit (DPC) Catastrophe Deferred Draw‐down Option (Cat‐DDO) that is under preparation. 7. Institutional Context. Following the devasting earthquakes occurred in April 25, 2015 and May 12, 2015, Government of Nepal (GoN) established National Reconstruction Authority (NRA) in December 2015 to lead and manage recovery, rehabilitation and reconstruction of affected infrastructures. The mandates of NRA are to: reconstruct, retrofit and restore damaged infrastructure and houses in disaster resilient manner following the Build Back Better principle and with the overall aim of building resilient communities; develop opportunities for economic growth and livelihood; undertake research and studies on the science of earthquakes and their impact; and manage relocation and resettlement of vulnerable and displaced communities. The NRA’s roles and responsibilities include: identifying priorities for reconstruction based on damage assessments; allocating reconstruction funds based on agreed priorities; approve plan and budget for the allocated funds; relocation and rehabilitation; collaborating with key stakeholders; building implementation capacity; developing and implementing programs related to reconstruction and rehabilitation of infrastructures related to education, health, agriculture, cultural heritage and industry; monitoring and quality control; and ensuring accountability and transparency. The Project and proposed additional financing will complement these efforts and lay the groundwork for a longer‐term program to strengthen disaster and climate resilience in Nepal. 8. The project aligns with the objective of the 2014–2018 Nepal Country Partnership Strategy (CPS) 5 as well as the 2019–2023 Nepal Country Partnership Framework (CPF) 6 to address natural disaster risks in a cross‐ cutting manner. The CPS and the CPF recognize Nepal’s high vulnerability to climate change and disaster risks, particularly the high earthquake risks, and commits to continue mainstreaming contingent emergency response components across its portfolio to allow the GoN to request the reallocation of project funds to support response and reconstruction in the case of an adverse natural event. The project with its focus on disaster‐resistant reconstruction, strengthening of the DRM systems, and inclusion of the contingent emergency response component directly contributes to achieving the objectives of the CPS and the CPF objective 3.3 for increasing resilience to natural disasters and climate change. The project is also consistent with the World Bank’s twin goals of ending extreme poverty and promoting shared prosperity and fully aligns with the GoN’s post‐earthquake Housing Reconstruction Policy. The project objectives also align with the Sendai Framework for Disaster Risk Reduction (2015–2030) priority 4 that calls for enhancing disaster preparedness for effective response and to ‘Build Back Better’ in recovery, rehabilitation, and reconstruction.
#tenders #tendersgo #construction #build #building #project #projetcs #bid #bids #procurement #nepal #nepalcosntruction #projectsnews #worldbank #wb #worldbankprocurement #nepaltenders #reconstruction #Housing #구성 #барилгын #construção #Konstruktion #בנייה #budowa #строительство #निर्माण #būvniecība #bouw #izgradnja #b2b #b2g #اعمال بناء #konstruktion #bâtiment #rakennus #建物 #зграда #будівництво #bygning #purchase #сохтан