MZ - Additional Financing - Water Services and Institutional Support II (WB-P165463)

Countries
  • Mozambique
Geographic location where the impacts of the investment may be experienced.
Financial Institutions
  • 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
Proposed
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
B
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
Jun 14, 2019
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
Government of Mozambique
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Technical Cooperation
  • Water and Sanitation
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Grant
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 75.00 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)
$ 101.00 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 Jul 26, 2019

Disclosed by Bank May 1, 2019


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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 bank documents, the objectives of the Project are to: (i) Increase water service coverage in key cities of Mozambique’s territory; (ii) Strengthen the institutional and regulatory capacity for water supply services in the northern, central and southern regions of Mozambique’s territory; and (iii) Support Mozambique to respond promptly and effectively to an Eligible Crisis or Emergency.

The additional funding (AF) will finance water supply investments in the cities of Tete and Moatize that have been affected by the Cyclone Idai, extend project activities to the city of Nacala with co-financing from the Government of the Netherlands. The project has two components;

  1. Rehabilitation and Expansion of Water Supply Production and Distribution (total cost U$153.8 million – U$26 million from DRIVE and U$127.8 million from IDA, of which US$61.3 financed from AF). The restructured Component 1 will continue to support the investments in Beira, Dondo, Pemba, Tete and Moatize, and will finance investments in Tete and Moatize and scale investments in one new city, Nacala and small towns affected by the Cyclone Idai. These investments will enable the GoM to provide services to a large number of low-income residents in the largest urban areas in the country and to reconstruct part of the damaged water supply infrastructure by the Cyclone Idai. Component 1 will be scaled up to include new investments in Nacala. These investments are aimed at restoring the water supply production and distribution capacity, as well as enhance the system resilience to climate related events. The Government of the Netherlands will co-finance 50 percent of the costs of the project activities in Nacala. Specifically, this component will be modified to include:
    1. Subcomponent 1a:
      1. Electromechanical equipment for the existing raw water intake that was built at the time the Nacala Dam was rehabilitated, along with 2 km of raw water transmission main from the intake to the water treatment plant.
      2. Construction of a water treatment plant (to replace the old one) with treatment capacity of 25,000 m3/day, including the associated electromechanical equipment, pumping stations and a 400 m3 reservoir.
      3. Construction of a 33 km transmission main (to replace the old one) with associated booster stations, rehabilitation of existing reservoirs.
    2. Subcomponent 1b:
      d. Rehabilitation and construction of distribution centers.
      e. Rehabilitation and expansion of 150 km of distribution network.
      f. Rehabilitation of 15 km of large distribution main
  2. Institutional Support (U$18.9 million from IDA). This Component will cover the financing gap of U$6.4 million from the original project and utilize the resources to cover operating costs, in addition to the costs related to project management, supervision of contracts under Component 1, audits, training and various technical studies as needed.
Investment Description
Here you can find a list of individual development financial institutions that finance the project.

World Bank Group Financing
IDA Grant - USD 75.00M


Non-World Bank Group Financing
NETHERLANDS: Min. of Foreign Affairs / Min. of Dev. Coop. - USD 26.00M


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.

World Bank:
Lizmara Kirchner
Senior Water Supply and Sanitation Specialist

Odete Duarte Muximpua
Water Supply and Sanitation Specialist

Borrower:
Ministryof Economy and Finance

Implementing Agency:
FIPAG
Pedro Paulino
General Director
fipag@fipag.co.mz 

ACCOUNTABILITY MECHANISM OF 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. You can learn more about the Inspection Panel and how to file a complaint at: http://ewebapps.worldbank.org/apps/ip/Pages/Home.aspx.

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