INTEGRATED SAFEGUARDS DATASHEET

APPRAISAL STAGE

I. Basic Information

Date prepared/updated: 04/07/2010 / Report No.: AC5239
1. Basic Project Data
Original Project ID: P077452 / Original Project Name: Zm: Increased Access to Electricity
Country: Zambia / Project ID: P121325
Project Name: Additional Financing for Zambia Increased Access to Electricity Services Project
Task Team Leader: Abdolreza B. Rezaian
Estimated Appraisal Date: March 19, 2010 / Estimated Board Date: May 27, 2010
Managing Unit: AFTEG / Lending Instrument: Specific Investment Loan
Sector: Power (100%)
Theme: Infrastructure services for private sector development (100%)
IBRD Amount (US$m.): 0.00
IDA Amount (US$m.): 20.00
GEF Amount (US$m.): 0.00
PCF Amount (US$m.): 0.00
Other financing amounts by source:
BORROWER/RECIPIENT 2.00
2.00
Environmental Category: B - Partial Assessment
Simplified Processing / Simple [X] / Repeater []
Is this project processed under OP 8.50 (Emergency Recovery) or OP 8.00 (Rapid Response to Crises and Emergencies) / Yes [ ] / No [X]

2. Project Objectives

The proposed Additional Financing would support the on-going project's development objective 'to increase access to electricity services and improve efficiency and quality of the electricity distribution system in targeted areas'. The proposed activities will enhance the achievement of results under the ZESCO Efficiency Improvement component described below.

3. Project Description

1. The original project has three components (A) Efficiency Improvement; (B) Access Expansion; and (C) Technical Assistance. The proposed activities include (i) responding to the urgent need for building a new bulk supply point substation at Kanyama near Lusaka to off-load one of the four main bulk supply points that feed Lusaka city distribution system; (ii) eliminating the growing peak hour load shedding at Livingstone by adding a third substation to the town's power supply system; and (iii) fixing the distribution infrastructure in the mine-townships in Kitwe and Chingola to resolve line overloads, and to provide increase access.

2. No significant changes are proposed to the general design and implementation modalities of the Project. The proposed activities will enhance the achievement of results under the ZESCO Efficiency Improvement component. The Additional Financing would support the original development objective of the current project and would be implemented using the same framework and implementation arrangements as the original project. Project activities are described in more details below.

i. Reinforcement of Coventry Substation at Kanyama Township. Coventry substation is the biggest of the four main bulk supply points that feed Lusaka city distribution system. Kanyama Township is one of the areas supplied by Coventry substation. The proposed Kanyama Substation will off-load the Coventry substation and will bring safe and reliable power to Kanyama Township and the surrounding areas. The standard of living of people in the area will improve as a result of this intervention. The total cost of this activity is estimated at US$5.1 million.

ii. Reinforcement of Distribution Network for Livingstone City. The city of Livingstone is fed by two 33kV lines from the Victoria Falls Power Station through a distance of 8km terminating in Linda substation. The transformer capacity at Linda Substation has been experiencing regular overloading during peak hours. The proposed substation will mitigate the risk of distribution system failure and will address the overload and capacity challenges. The total cost of this activity is estimated at US$6.9 million.

iii. Reinforcement of Wusakile, Mindolo and Chamboli townships in Kitwe and Nchanga North and Chililabombwe townships in Chingola. The electricity distribution network in all of these mine-townships is old, dilapidated and unsafe. The initial design of the mine township network was for lighting purposes only with looped overhead lines and unmetered services. Over time customers in mine township acquired household electrical appliances and the demand for electricity has increased beyond the capacity of the network. The present distribution network is no longer capable of handling the increased demand. There is therefore an urgent need to improve the distribution infrastructure in the mine townships to address the safety concerns, handle increased load, reduce losses and improve reliability of the electricity supply. The total cost of this activity is estimated at US$10 million.

4. Project Location and salient physical characteristics relevant to the safeguard analysis

The original project is national in scope, covering urban, peri-urban and rural areas. The substation development activities proposed under the additional financing will be in Kanyama and Livingstone. The reinforcement activities will be carried out in Wusakile, Mindolo and Chamboli townships in Kitwe and Nchanga North and Chililabombwe townships in Chingola, primarily in urban and peri-urban areas.

5. Environmental and Social Safeguards Specialists

Ms Kristine Schwebach (AFTCS)

Ms Lungiswa Thandiwe Gxaba (AFTEN)

6. Safeguard Policies Triggered / Yes / No /
Environmental Assessment (OP/BP 4.01) / X
Natural Habitats (OP/BP 4.04) / X
Forests (OP/BP 4.36) / X
Pest Management (OP 4.09) / X
Physical Cultural Resources (OP/BP 4.11) / X
Indigenous Peoples (OP/BP 4.10) / X
Involuntary Resettlement (OP/BP 4.12) / X
Safety of Dams (OP/BP 4.37) / X
Projects on International Waterways (OP/BP 7.50) / X
Projects in Disputed Areas (OP/BP 7.60) / X

II. Key Safeguard Policy Issues and Their Management

A. Summary of Key Safeguard Issues

1. Describe any safeguard issues and impacts associated with the proposed project. Identify and describe any potential large scale, significant and/or irreversible impacts:

The Environmental Category of the on-going project is B, and the proposed changes will neither raise the environmental category of the Project nor trigger any new safeguard policies. The additional financing also does not involve any exceptions to Bank policies.

2. Describe any potential indirect and/or long term impacts due to anticipated future activities in the project area:

Potential adverse environmental impacts as a result of the project are those associated with the construction of a new bulk supply substation at Kanyama near Lusaka and the reinforcement of distribution networks in Kanyama Township, Livingstone City and the four townships in Kitwe, Nchanga and Chingola in the Copperbelt Province. These impacts are modest and relatively easy to manage through good engineering and construction practices.

The environmental and social management framework (ESMF) prepared for the ongoing project is still applicable and relevant to this Additional Financing Project as the proposed changes will neither raise the environmental category of the Project nor trigger any new safeguard policies.

The ESMF is designed to ensure that the environmental and social issues associated with the program are adequately analyzed and understood, and that all associated adverse impacts are identified through screening, and are effectively mitigated and monitored. All investments by the project will comply with the applicable provisions of both the RPF and ESMF.

The project is likely to have several positive environmental impacts as it will improve the distribution infrastructure in the areas concerned to address the safety concerns, handle increased load, reduce losses and improve reliability of the electricity supply. These improvements will have positive effects on the standard of life of the people.

3. Describe any project alternatives (if relevant) considered to help avoid or minimize adverse impacts.

Project alternatives are not applicable to the Additional Financing phase as the project will be reinforcing existing lower capacity, old, and dilapidated substations and improving the distribution infrastructure in existing townships in Kitwe and Chingola.

4. Describe measures taken by the borrower to address safeguard policy issues. Provide an assessment of borrower capacity to plan and implement the measures described.

An ESMF was prepared and disclosed for the ongoing project. The ESMF is designed to ensure that environmental and social issues associated with the project are adequately analyzed and effectively mitigated and monitored. Capacity for implementing the ESMF procedures has been established at REA through the appointment of a qualified environmental and social specialist and is further ensured by ZESCO's well established and experienced environmental and social management unit. The environmental specialist at ZESCO is also updating their current safeguards document to align it with the Additional Financing project safeguards requirements. The ESMF and RPF for the ongoing project were disclosed in-country and at the InfoShop.

5. Identify the key stakeholders and describe the mechanisms for consultation and disclosure on safeguard policies, with an emphasis on potentially affected people.

B. Disclosure Requirements Date
Environmental Assessment/Audit/Management Plan/Other:
Was the document disclosed prior to appraisal? / Yes
Date of receipt by the Bank / 08/10/2006
Date of "in-country" disclosure / 10/16/2006
Date of submission to InfoShop / 12/11/2006
For category A projects, date of distributing the Executive Summary of the EA to the Executive Directors
Resettlement Action Plan/Framework/Policy Process:
Was the document disclosed prior to appraisal? / Yes
Date of receipt by the Bank / 01/30/2007
Date of "in-country" disclosure / 03/05/2007
Date of submission to InfoShop / 03/06/2007
Indigenous Peoples Plan/Planning Framework:
Was the document disclosed prior to appraisal? / Yes
Date of receipt by the Bank
Date of "in-country" disclosure
Date of submission to InfoShop
Pest Management Plan:
Was the document disclosed prior to appraisal?
Date of receipt by the Bank
Date of "in-country" disclosure
Date of submission to InfoShop
* If the project triggers the Pest Management and/or Physical Cultural Resources, the respective issues are to be addressed and disclosed as part of the Environmental Assessment/Audit/or EMP.
If in-country disclosure of any of the above documents is not expected, please explain why:
N/A

C. Compliance Monitoring Indicators at the Corporate Level (to be filled in when the ISDS is finalized by the project decision meeting)

OP/BP/GP 4.01 - Environment Assessment
Does the project require a stand-alone EA (including EMP) report? / Yes
If yes, then did the Regional Environment Unit or Sector Manager (SM) review and approve the EA report? / Yes
Are the cost and the accountabilities for the EMP incorporated in the credit/loan? / Yes
OP/BP 4.12 - Involuntary Resettlement
Has a resettlement plan/abbreviated plan/policy framework/process framework (as appropriate) been prepared? / Yes
If yes, then did the Regional unit responsible for safeguards or Sector Manager review the plan? / Yes
The World Bank Policy on Disclosure of Information
Have relevant safeguard policies documents been sent to the World Bank's Infoshop? / Yes
Have relevant documents been disclosed in-country in a public place in a form and language that are understandable and accessible to project-affected groups and local NGOs? / Yes
All Safeguard Policies
Have satisfactory calendar, budget and clear institutional responsibilities been prepared for the implementation of measures related to safeguard policies? / Yes
Have costs related to safeguard policy measures been included in the project cost? / Yes
Does the Monitoring and Evaluation system of the project include the monitoring of safeguard impacts and measures related to safeguard policies? / Yes
Have satisfactory implementation arrangements been agreed with the borrower and the same been adequately reflected in the project legal documents? / Yes

D. Approvals

Signed and submitted by: / Name / Date
Task Team Leader: / Mr Abdolreza B. Rezaian / 04/07/2010
Environmental Specialist: / Ms Lungiswa Thandiwe Gxaba / 04/07/2010
Social Development Specialist / Ms Kristine Schwebach / 04/07/2010
Additional Environmental and/or Social Development Specialist(s):
Approved by:
Sector Manager: / Mr Subramaniam V. Iyer / 04/07/2010
Comments: The Africa Regional Safeguards Advisor has reviewed and cleared this first AF, PAD-ISDS for disclosure on March 18, 2010. SMU has agreed to accept transfer of safeguards responsibilities.