THE RESILIENT KERALA PROGRAM ADDITIONAL FINANCING (WB-P177980)

Regions
  • South Asia
Geographic location where the impacts of the investment may be experienced.
Countries
  • India
Geographic location where the impacts of the investment may be experienced.
Specific Location
Kerala- Alappuzha, Idukki, Kottayam, and Pathanamthitta
Whenever identified, the area within countries where the impacts of the investment may be experienced. Exact locations of projects may not be identified fully or at all in project documents. Please review updated project documents and community-led assessments.
Financial Institutions
  • Asian Infrastructure Investment Bank (AIIB)
  • World Bank (WB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Approved
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
A
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Voting Date
May 4, 2022
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
Borrower
India
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Climate and Environment
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 150.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Loan Amount (USD)
$ 150.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Project Cost (USD)
$ 745.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Primary Source

Original disclosure @ WB website

Updated in EWS May 11, 2023

Disclosed by Bank Jan 27, 2022


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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

According to World Bank, the objective of the project is to "enhance Kerala’s resilience against the impacts of climate change and natural disasters, including disease outbreaks and pandemics."

State of Kerala is highly vulnerable to natural disasters such as cyclone, monsoon storm surge, coastal erosion, sea level rise, tsunami, flood, drought, landslides/ land subsidence and earthquakes and changing climatic dynamics given its location between the western coast and steep slopes of the Western Ghats. In last 4 years the state has seen several such adverse events one after the other, starting with Cyclone Ockhi in 2017, floods and landslides in 2018, 2019 and 2020, Nipah virus in 2019 and present COVID-19 pandemic. The 2018 floods led to widespread loss of life, property, and habitats, affecting several millions and leading to economic losses of nearly US$3.74 billion (Rs. 26,720 crores). These events and their impacts highlighted the level of under-preparedness of the State to deal with these natural disasters and climate change shocks.

In order to support GoK, World Bank initiated a strategic engagement to build multidimensional resilience in Kerala through First Resilient Kerala Development Policy Operation (DPO 1, US$250 million- June 2019) by extending support to the Government’s Rebuild Kerala Development Programme (RKDP) — the state’s strategic roadmap for recovery, rebuilding and resilience. This partnership has improved state’s capacity to respond to disasters and improved resilience of the community and treat resilience and disaster risk management as cross-cutting and important concerns in policy formulation and implementation. It has also led the way towards deepening and broad-basing this partnership by looking at additional sectors crucial for building the resilience of the state and citizens to shocks of climate change, natural disasters and disease outbreaks.

Building on the foundations of policy and institutional reforms initiated under Resilient Kerala DPO 1, the World Bank supported a Program for Results (PforR), which forms a part of the overall Government program. The PforR’s development objective was to enhance the State Government of Kerala’s (GoK) resilience against the impacts of climate change, natural disasters and disease outbreaks. The PforR will support the two Results Areas (RAs) that contribute to the outcomes of RKDP - first through support for state- wide systems and institutions development for managing shocks from climate change, natural disasters and disease outbreaks, and second for piloting sectoral investments in four districts along the Pamba river basin- Alappuzha, Idukki, Kottayam, and Pathanamthitta. The duration of the PforR is 2021–2026, and the sectoral coverage is as follows: RA 1: Fiscal, Disaster Risk Financing and Insurance, Social Protection, Urban, and Disaster Risk Management and RA 2: HealGeetika Hora Page 2 4/25/22th, Agriculture, Water Resource Management, and Roads. The Program cost is US$ 530 million.

 

ENVIRONMENTAL AND SOCIAL INFORMATION

 This risk is rated as ‘Substantial’ as there are investment activities – coastal resilience and WRM – that will require environmental management attention during implementation. Through the ESSA, it was confirmed that all the proposed interventions in line with what is permissible under a PforR and that environmental impacts can be addressed through adequate management. These will not result in any major environmental impacts. None of these interventions will be in eco-sensitive areas. The scale of environmental impacts is limited and restricted to the vicinity of the minor works. In the construction phase, the type of impacts include (i) air and noise pollution due to civil works and movement of vehicles; (ii) increase in turbidity in the coastal waters; (iii) construction/labor camp impacts such as incidental fuel, oil and lubricant spillages; (iv) waste and debris storage, management and disposal; and (v) worker and community health & safety impacts particularly in densely populated areas. All these impacts are temporary and reversible. Proper environmental, health, and safety (EHS) management measures will be required during construction. In the operational phase, the interventions could aggravate shoreline erosion if not properly designed. To ensure design appropriateness, GoK has streamlined the use of expert institutions such as the NCCR and IIT Madras to provide the required technical advisory support.

he environmental legal framework such as the Coastal Regulation Zone (CRZ) notification and Environmental Impact Assessment (EIA) notification has been established both at the national and state levels. The associated institutions and systems such as the Ministry of Environment, Forest and Climate Change’s (MoEFCC) CRZ and Environmental Clearance Cell, Kerala Coastal Zone Management Authority (KCZMA) and the Kerala State Environmental Impact Assessment (SEIAA) are functioning. The implementing departments such as the WRD and Harbour Engineering Department (HED) have the required capacity to adhere to the legal procedures and integrate environmental requirements in their civil works. RKI Secretariat's supervision oversight will be required to ensure that the procedures are followed, and on-the-ground good practices are adopted. A periodic external agency audit to identify implementation gaps and to suggest improvements will also be required.

Investment Description
Here you can find a list of individual development financial institutions that finance the project.

The cost of the Government Reform Program for the activities under the AF for FY 2022-2026 is estimated at US$260 million, of which US$150 million will be financed by IBRD. The government reform program converges with the broad umbrella of GoK’s ongoing RKDP. The cost of the parent program for Resilient Kerala PforR is US$ 530.02 million out of which the World Bank finances US$125 million, representing 24 percent of the Program cost. Further, AIIB supports the Program with a financing of US$125 million, equal share to Bank financing, and AFD provides Euro 100 million (US$120 million equivalent). The remaining US$ 160.02 million which is 30 percent of the Program will be financed by GoK. With the proposed the AF, the total program cost including additional $ 65 million GoK financing for the AF will increases to US$ 745 million. Under the AF, US$90 million will be allocated to the coastal resilience activities, US$50 million to WRM in the Pamba Basin, and US$10 million to Climate Budgeting. The PforR Program will be complemented by a strong technical assistance program financed by the GoK, the KfW and the World Bank.


Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

1. Balakrishnan Menon Parameswaran,

Lead Urban Specialist

Telephone:5220+85850

Email ID: bmenon@worldbank.org

2. Elif Ahyan, 

Senior Disaster Risk Management Specialist

Telephone:5220+33455

Email ID: eayhan@worldbank.org

3. Natsuko Kikutake,

Disaster Risk Management Specialist

Telephone: 5220+34230

Email ID: nkikutake@worldbank.org

 

Borrrower:

Hanish Chhabra

Director, Department of Economic Affairs

Telephone:911123092883

Email ID: hanish.ias@ias.nic.in page9image1197623872 page9image1197624160 page9image1197624448

Government of Kerala

RK Sighm

Additional Chief Secretary Finance, Finance Department

Telephone: 914712327586

Email ID: acs.finance@kerala.gov.in

 

ACCESS TO INFORMATION

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ACCOUNTABILITY MECHANISM OF THE WORLD BANK

The World Bank Inspection Panel is the independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by a World Bank-financed project. If you submit a complaint to the Inspection Panel, they may investigate to assess whether the World Bank is following its own policies and procedures for preventing harm to people or the environment. You can contact the Inspection Panel or submit a complaint by emailing ipanel@worldbank.org. Information on how to file a complaint and a complaint request form are available at: https://www.inspectionpanel.org/how-to-file-complaint

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