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Baghdad Water Supply and Sewerage Improvement Project





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Location
Iraq

Development Updates
Update TitleDescriptionDate
Project Appraisal Document - PAD2405Jan 9, 2018 - mziade@worldbank.org Proposed Development Objective(s)  The Project Development Objective (PDO) is to improve the quality of drinking water supply and wastewater services in Baghdad.   Components  - Institutional strengthening for integrated urban water management and utility management, and creating an enabling environment for private sector engagement  - Investment in drinking water supply and wastewater infrastructure - Project management, studies and M&E - Project management, studies and M&E  READ MORE: http://documents.worldbank.org/curated/en/869811517626846051/pdf/BAGHDAD-NEWPAD-01112018.pdf06/02/2018
PIDISDSA21810Oct 23, 2017 Project Information Document-Integrated Safeguards Data sheet B. Introduction and Context Country Context 1. In 2013, the population of the Republic of Iraq was estimated at around 33 million, of which 66 percent lived in urban areas. Currently the country has an estimated 3.3 million internally displaced people (IDPs). About 27 percent of the total urban population in Iraq resides in Baghdad, the largest city in the country with an estimated population of six million, not including an estimated 289,000 of IDPs. A 2012 household survey indicates that Iraq’s national poverty stood at 19 percent and that 20 percent of the population lived on less than US$2 a day, and 70 percent on less than US$4 a day. The poverty rate in 2012 in Baghdad was at 12 percent; this figure is likely to have risen significantly due to the recent conflict. Unemployment is high and labor force participation remains low, especially for women and youth. Official figures from 2011 have labor force participation and youth at 11 percent although actual levels, particularly among youth, were likely much higher. 2. The current government, in place since September 2014, has detailed a reform plan to build a more transparent state that delivers better services to the public, as articulated in the Prime Minister’s acceptance speech to Parliament. The main challenge for Iraq is the incremental and long-term rebuilding of state institutions that were systematically weakened over the last thirty years. Despite the complex political situation, the authorities are committed to implementing the government program for 2014-2018. The first strategic priority of the program is to reach security and stability by liberating cities and provinces controlled by terrorist groups, and by restoring the rule of law. On July 10, 2017 the Government of Iraq (GoI) declared the liberation of the second largest city Mosul, which had been occupied by ISIS for the past three years. The humanitarian crisis in Iraq is almost without precedent. The pace of displacement over the past three years has been enormous. The second strategic priority of the government program is to deliver public services and upgrade standards of living. This includes delivering water and electricity services, improving health and education sector performance, and reforming the social protection system. 3. The country’s ongoing security problems and the large role of the state in the economy, impede investment and inhibit private economic activity. Security threats and a fall in oil prices, the main revenue source for the Government of Iraq (GoI), have compounded economic decline and worsened the fiscal situation. The economy grew at 0.1 percent in 2014 and 2.9 percent in 2015, from a 4.2 percent growth in 2013. While oil production was increased over time despite low oil prices, non-oil-GDP contracted by 5.1 percent in 2014 and 13.9 percent in 2015. High dependence on the oil sector has led to structural weaknesses in the overall economy. State The World Bank Baghdad Water Supply and Sewerage Improvement Project (P162094) Aug 16, 2017 Page 4 of 17 owned enterprises (SOEs) and the public sector more broadly provide almost all formal jobs. Decades of state-driven economic policy have discouraged private sector growth. Limited access to finance, an underdeveloped financial sector dominated by a few state-owned banks, and weak financial regulations further compound the challenges. A vibrant private sector, however, is a necessary condition for stability and poverty reduction. Furthermore, moving from stabilization to long-term development will require diversification, with strong non-oil based economic activities also contributing to GDP. READ MORE: http://documents.worldbank.org/curated/en/576521508789631498/pdf/project-information-document-integrated-safeguards-data-sheet-P162094.pdf 06/02/2018
Environmental Assessment - SFG3575 [ENG]Aug 1, 2017 - EXECUTIVE SUMMARY 0.1. Preamble In 2013, the population of the Republic of Iraq was estimated at around 33 million, of which 66 percent lived in urban areas. Currently the country has an estimated 3.3 million internally displaced people (IDPs). About 27 percent of the total urban population in Iraq resides in Baghdad, which is by far the largest city in the country with an estimated population of 6 million, not including an estimated 289,000 of IDPs. A 2012 household survey indicates that Iraq’s national poverty stood at 19 percent. The poverty rate in 2012 in Baghdad was at 12 percent; this figure is likely to have risen significantly due to the recent conflict. Unemployment is high and labor force participation remains low, especially for women and youth. Official figures from 2011 have labor force participation and youth at 11 percent although actual levels, particularly among youth, were likely much higher. Poor public service delivery, reflected especially in significant water and electricity shortages, are binding constraints on the population’s quality of life and private sector development. Safe drinking water and basic sanitation is of crucial importance to the preservation of human health, especially among children. Baghdad is one of the governorates most impacted by outbreaks of waterborne diseases. About 14 percent of diarrhea cases registered in 2011 occurred in Baghdad, which also topped the governorates in terms of number of deaths from diarrhea. Similarly, the incidents of typhoid and other waterborne diseases are higher in Baghdad compared to national averages. Contaminated water supplies and improper disposal of sewage force families to spend a significant fraction of their income to medical treatment and to purchase bottled water. This has implications for gender inequality in addition to the adverse effects on children’s health, by increasing the burden of care on mothers, who are the primary caregivers of children. READ MORE: http://documents.worldbank.org/curated/en/803641504228408336/pdf/SFG3575-V2-EA-P162094-Box405298B-PUBLIC-Disclosed-8-31-2017.pdf06/02/2018
Signing of Japanese ODA Loan Agreements On May 3, the Japan International Cooperation Agency (JICA) signed loan agreements with the Government of the Republic of Iraq in Baghdad to provide Japanese ODA loans of up to a total of 34.88 billion yen for two projects. 1) Basrah Water Supply Improvement Project (II) (loan amount: 19.415 billion yen) (a) Objective and Summary The project will provide water supply facilities, including a water treatment plant and a water distribution network, in Basrah and Hartha in Basrah Governorate in southern Iraq, thereby improving the water supply in both cities. (b) Background and Necessity Water resources in Iraq are greatly dependent on the Tigris and Euphrates Rivers which flow through the country from the northwest to the southeast, but due to the impact of multiple conflicts and many years of economic sanctions, the existing water facilities have not been updated or adequately maintained, and the functionality of the water system has decreased significantly. Although subsequent reconstruction measures have achieved a water service coverage ratio of 90 percent in Basrah and Hartha (total population of approximately 1.47 million people) as of 2017, inadequate equipment, degradation of existing water treatment plants and other factors have resulted in inadequate water system functionality and approximately 10 percent of households receive water supply fewer than 12 hours a day. In southern Iraq in particular, the level of salt concentration in the river water sources is significantly high, existing water treatment plants have degraded and there is inadequate equipment such that the quality of the water supply greatly diverges from international standards, and many residents must purchase expensive water for drinking from private companies. Although security in the area is relatively stable and is a key region for industrial development in Iraq, inadequate power and the inability to provide a stable supply of water suitable for drinking are critical challenges that could give rise to social unrest, and therefore providing water supply facilities for a stable supply of high-quality water is a priority. A Japanese ODA loan (signed in June 2008 for up to 42.969 billion yen) was provided for stage I of this project, and this loan is for stage II. (c) Executing Agency Ministry of Municipalities and Public Works (MMPW) Address: MMPW Building, Baghdad, Republic of Iraq (d) Planned Implementation Schedule 1. Completion of project: August 2020 – when the facilities are put into service 2. Issuing of letters of invitation for consulting services (including construction supervision): Consultants have already been hired Tender announcement of initial procurement package for international competitive bidding on project construction: Construction of Transmission System Release date: February 2018 (already released)09/05/2018