Madagascar - Cyclone Emergency Rehabilitation Project

Report No. PIC834 Project Name Madagascar-Cyclone Emergency Rehabilitation Project Region Africa Sector Infrastructure Project ID MGPA35914 Implementing Agency Ministry of Public Works Ministry of National and Regional Development Ministry of State for Agriculture and Rural Development Date Prepared May, 1994 Projected Board Date June 9, 1994 Background 1. On January 13-17 and February 2-4, 1994, Madagascar was struck by two cyclones (Daisy and Geralda). Exceptional rainfall (2.5 times the average for the heavy rainfall month of January) and winds (up to 0 km/h) caused extensive damage to the eastern province of Toamasina and the central highlands area around the capital Antananarivo. About 60 persons were reported killed and more than 60,000 were left homeless in the capital alone. The donor community provided immediate relief and helped the Government restore basic services. A Bank identification/preparation mission and an appraisal/negotiation mission visited Madagascar respectively in February and April 1994 and prepared a rehabilitation program to be financed by funds reallocated from ongoing IDA credits and an IDA emergency rehabilitation project. Objectives 2. The rehabilitation program, designed in close coordination with the donor community, would help rebuild facilities damaged by the two cyclones and strengthen measures to minimize potential damage from future cyclones. The emergency project components were selected on the basis of: (a) their economic and social priority as assessed by the Government and the Bank; (b) the necessity for immediate restoration and the technical and financial feasibility of prompt reconstruction; and (c) the absence of financing from other sources, including IDA funds under ongoing projects. Program Description and Financing 3. The preliminary cost of the total IDA financed program is US$28.8 million. It includes funds under eight ongoing credits that would be used to finance urgent rehabilitation, in accordance with the respective project objectives, as follows: (a) the Seventh Highway Project (Cr. 1905-MAG, FY1988) would contribute US$0.3 million to finance the final design study for rehabilitation of three major roads; (b) the Economic Management and Social Action Project (Cr. 1967-MAG, FY1989) would finance the studies for rehabilitation of public buildings (US$30,000), labor-intensive works on the roads network (US$0.54 million), and the rehabilitation of agricultural production in the Brickaville area (US$0.3 million); (c) the Education Sector Reinforcement Project (Cr.  2094-MAG, FY1990) would finance a study and works for rehabilitation of schools (US$3.0 million); (d) the Health Sector Improvement Project (Cr. 21-MAG, FY1991) would finance studies, works and supervision of works for rehabilitation of health centers (US$2.0 million); (e) the Ports Project (Cr. 1752-MAG, FY1987) would finance a study for the coastal defense of Toamasina (US$75,000) and the rehabilitation of port superstructure (US$0.8 million); (f) the Antananarivo Plain Development Project (Cr. 2117-MAG, FY1990) would finance reconstruction of damaged dikes in the Antananarivo plain area (US$0.3 million); (g) a supplemental PPF advance (PPF 800-1) of US$0.4 million under the Antananarivo Urban Works Project (Cr. 91-MAG, FY1994) would finance urgent street rehabilitation in the capital; and finally (h) the Second Irrigation Rehabilitation Project, negotiated on April 15, 1994, would include rehabilitation of irrigation schemes in the area affected by the cyclones (US$2.0 million). 4. An IDA Emergency Recovery Credit of about US$13.1 million is proposed to finance reconstruction of critical assets with no source of funding, including: (a) Rehabilitation and supervision of works of major critical roads affected by the cyclones: + RN2: The corridor between the major port Toamasina and the capital city - the urban section in Antananarivo, and the eastern section between PK 65.5 and Toamasina (rehabilitation only from PK 65.5 to Moramanga); + RN33: The chromite transport road, between Telomita and the intersection with RN3a; and + RN7: The major road of the central highland area, between Ambositra and Iarintsena. (b) Reconstruction and repairs to public buildings and administrative offices other than schools and health centers. Eligibility criteria for selection of these buildings have been broadly defined and agreed during negotiations; (c) Construction and supervision of coastal defense works in Toamasina to protect a high school from sea erosion; (d) Strengthening of the National Coordination Committee (CNC), established in 1984 on a permanent basis to coordinate emergency recovery assistance, and chaired by the Ministry of Finance and Budget (MFB); and (e) A watershed protection and risk management study for the Antananarivo-Toamasina transport corridor to help the Government address soil erosion issues in transport infrastructure design and maintenance. Project Implementation 5. Implementation arrangements are similar to those under the first cyclone rehabilitation project (CRP), completed with financing from the Credit 1526-0 (FY1985) and supplemental Credit 1526-1 (FY1987). Thus, the CNC would plan and coordinate with the executing agencies the preparation and implementation of the program, to be implemented over 2.5 years, and monitor its execution. An emergency unit has been established under the direct responsibility of the Minister of Public Works to implement road rehabilitation and coastal defense works, and - 2 -  another emergency unit has been created under the responsibility of the Minister of National and Regional Development to supervise the reconstruction of public buildings other than schools and health centers. The components of the program financed by ongoing credits would be implemented by their respective executing agencies. 6. Special procurement procedures would be applied to streamline and expedite the procurement process under the emergency project. Some executing agencies (Ministry of Public Works, Ministry of Health and Ministry of National Education) have initiated, under existing credits, the selection of consultants to carry out final design and preparation of bidding documents for rehabilitation of roads and reconstruction and repairs of schools and health centers. A senior implementation specialist will be assigned to the Bank Resident Mission in Antananarivo as of July 1, 1994. He will be responsible for supervising the rehabilitation project, thus providing day-to-day follow-up of its implementation. Environmental and Social Aspects 7. Management of watersheds to reduce vulnerability of transport infrastructure is expected to have a positive impact on the environment. 8. The program would contribute to poverty alleviation: (i) prompt repairs to schools and health centers would allow resumption of social services before the disruption results in major impacts on the welfare of the population and the quality and cost of services; (ii) rapid rehabilitation of major roads is critical to permit restoration of a normal supply of primary necessities to the capital city and the highlands. Prices of food and fuel skyrocketed after the cyclones, bringing hardship to the population, especially the poor, and disorder to the economy. The program would help to reduce scarcity, lower prices to non-speculative levels, and support the return of the economy to more normal conditions. Contact Point: Public Information Center The World Bank 1818 H Street, N.W. Washington, D.C. 20433 Telephone: (202)458-5454 Fax No.: (202)522-1500 Note: This is information based on an evolving project. Certain components may not necessarily be included in the final project. - 3 -