Project Guelmim - Oued Noun Region

Overview
Project Summary Document
Environmental and Social Documentation
Procurement
Complaints

Overview

Provision of a senior loan of up to MAD 130 million (equivalent to EUR 12 million) to Guelmim-Oued Noun Region (the "Region" or the "Client") to finance investments aimed to improve drinking water supply for households in rural areas in the province of Guelmim and to upgrade four existing Waste Water Treatment Plants ("WWTPs"), enabling the reuse of treated water for watering green spaces in the Region (collectively the "Project").

The Bank's loan will be supplemented by an investment grant of USD 1 million from the Global Environment Facility ("GEF") under the Financing Advanced Environmental Technologies in the Mediterranean Sea Region for Water Systems and Clean Coasts ("ENVITECC") Programme for the upgrade of four existing WWTPs. The Bank's loan benefits from first-loss risk cover from the European Fund for Sustainable Development ("EFSD").

Project ID 54158

Status Disbursing

Location

Morocco

Business Sector

Municipal Infrastructure

Notice Type

State

Project timeline

Exploratory
Passed Concept Review
Passed Structure Review
Passed Final Review
Board Approved
Signed
Implementing
Completed

Company Contact Information

M. Omar ABELADIM
abeladim.omar@gmail.com
+212 52 87 70 113
Conseil Régional de Guelmim Oued Noun Avenue Mohamed VI Guelmim Morocco

Project ID 54158

Status Disbursing

Location

Morocco

Business Sector

Municipal Infrastructure

Notice Type

State

Environmental Category

Approval Date

21 Nov 2023

Disclosure date

21 Nov 2023

As per section 1.4.2 (iii) of the Directive on Access to Information: "For Projects approved by Bank management where the Board of Directors has delegated the approval authority, the PSD shall be disclosed at the start of the relevant no-objection notification period to a member country of the Bank in accordance with Article 13 (iii) of the Agreement Establishing the EBRD."

Project description

Project objectives

The Project's objectives are to reduce climate impacts, guarantee water security and promote circular economy as an effective framework for sustainable water management. The Project will address regional disparities in human capital development by increasing access to water and wastewater services to households living in the Region.

The transaction will also support the Region through Technical Cooperation ("TC") to develop an Operational Performance Improvement Plan ("OPIP"). The OPIP will cover the development of (i) a sustainable Operation & Maintenance ("O&M") governance framework for rural water supply that will professionalise rural service delivery and improve service quality as well as (ii) a practical management and governance model for the use of recycled water that will ensure investment sustainability.

Transition impact

ETI Score:70

Quality - Green. The Project will enable improved drinking water supply in rural areas and the reuse of treated wastewater for irrigation purposes. The Project will also serve as a trigger investment for the Region to join EBRD Green Cities and will support the development of a Green City Action Plan ("GCAP").

Secondary Quality - Well-Governed. The Project will identify an adequate O&M framework for rural water supply and a sound governance model for the use of treated water to ensure the sustainability of the investments.

The project receives an ETI rating of 70.

Client information

REGION OF GUELMIM-OUED NOUN

The Borrower is the Region of Guelmim-Oued Noun, one of the twelve Moroccan regions established by the territorial division of 2015. Main drivers of its economy are fishing and tourism. Guelmim-Oued Noun is expected to experience an economic boom in the medium-term leveraging on its significant renewable energy potential, both solar and wind.

EBRD Finance Summary

MAD 130,000,000.00

Total project cost

MAD 270,291,999.31

Additionality

Standard-setting: The Region is interested to work with the Bank, in seeking expertise with further governance improvements via an OPIP TC assignment.

Gender additionality will be achieved by following the GCAP's 2.1 methodology, which covers gender and inclusion considerations.

Environmental & Social Summary

Categorised B (2019 ESP). Environmental and Social Due Diligence ("ESDD") has been undertaken by ESD with help from an independent consultant and included review of the preliminary technical feasibility studies, site visits and meetings with the local stakeholders, an Environmental and Social ("E&S") audit and assessment of the Project against EBRD Performance Requirements ("PRs"). The Project consists of 5 sub-projects and is expected to bring significant environmental and social benefits through improving access to drinking water in rural areas, increasing water efficiency and improving wastewater treatment to enable water reuse for irrigation purposes. The Region's project implementation agency, AREP ("Agence Regionale d'Execution des Projets"), has limited resources and institutional capacity that will need to be further strengthened. AREP will be required to develop relevant Environment, Health and Safety policies and E&S Management System, as well as assign an E&S Manager responsible for the implementation of all the requirements of the Environmental and Social Action Plan ("ESAP"), the Environmental and Social Management Plan ("ESMP") and meeting the Moroccan environment, health, safety and security legislation requirements and EBRD PRs. AREP will need to further improve its Human Resources policies and procedures, particularly for contractor management.

The ESDD has identified that the institutional context for the O&M of the drinking water supply sub-projects is currently fragmented and needs to be consolidated to ensure Project sustainability. The operation of the existing drinking water networks is currently done by dozens of local associations which have very limited capabilities, and the quality of water supplied to communities is not always tested. Further improvement of this will be required by implementing drinking water quality monitoring to ensure compliance with the Moroccan norms and EBRD PRs. ESDD also identified that the operation of drinking and wastewater infrastructure is expected to be done in the future by Regional Multi-Purpose Enterprises, but the legal framework for this new approach is not finalized yet. Meanwhile, the bank-led OPIP TC assignment will help the Region identify the appropriate O&M solution to improve the efficiency and sustainability of water supply services and the adequate management model for the use of recycled water. Actions have been included in the ESAP to address issues relating to uncontrolled drinking water quality or treated wastewater quality and to align the project with EBRD PRs.

Currently green spaces in the Region are watered using potable or underground water. As the result of the Project, the WWTPs will have to introduce tertiary treatment and align the standard of wastewater treatment with both national and EU requirements so that treated water can be reused for watering green spaces without public health or pollution risk.

Public and community health and safety risks are expected to be reduced through a better control of drinking water and treated wastewater quality. Construction phase worker health and safety risks will be managed by preparation and implementation of specific Health, Safety and Environment Management Plans (HSEMP) before start of the construction activities. Noise, dust and increase of vehicle traffic in the project implementation areas are the main disturbances expected during the construction period. The potential negative impacts will be managed by controlling dust emissions from the construction site, focus on road safety and traffic management, through preparation and implementation of the relevant plans and traffic control and signalling procedures, with the objective to reduce disturbances and avoid accidents.

While some limited land acquisition will be required for the Project, it is not expected to result in any physical resettlement. Some limited economic displacement is likely due to the permanent or temporary use of land for the construction of new infrastructure, therefore a Land Acquisition and Livelihood Restoration Framework, and subsequently a plan, will need to be prepared and implemented for the Project prior to construction.

ESDD also identified that biodiversity protection will be important for WWTP components as the project is located close to the legally protected and internationally recognized areas in the Region, and special care must be taken by AREP and its contractors during the project implementation. The Project includes impact avoidance measures for small mammals and reptiles, including through biodiversity awareness training for workers. The Project is not expected to have any impacts on cultural heritage sites.

The Project is structured to meet EBRD PRs through implementation of an extensive ESAP that has already been prepared and agreed with the Client. ESMP has also been prepared for the project to ensure that all E&S aspects are adequately managed during construction and operation. Stakeholder Engagement Plan and Non-Technical summary have also been prepared for the Project and will be disclosed publicly. The Bank will mobilise additional TC support for ESAP implementation and Lender Monitor. The Project will be monitored through review of annual E&S reports and site visits as required.

Technical Cooperation and Grant Financing

In addition to the TC assignment on the development of the OPIP, the TC package will include a dedicated support to the Region on ESAP implementation as well as a Lender's Monitor, reporting directly to the Bank, to ensure effective implementation of the Project. A separate TC assignment under GEF ENVITECC will support Region for the development of a GCAP for Guelmim-Oued Noun including gender and inclusion assessment. The funds for these assignments, totalling EUR 1,650,000 will be provided from EBRD Shareholder Special Fund, GEF ENVITECC and the EU TC allocation of the EFSD Municipal Infrastructure and Industrial Resilience.

Company Contact Information

M. Omar ABELADIM
abeladim.omar@gmail.com
+212 52 87 70 113
Conseil Régional de Guelmim Oued Noun Avenue Mohamed VI Guelmim Morocco

PSD last updated

21 Nov 2023

Understanding transition

Further information regarding the EBRD’s approach to measuring transition impact is available here.

Business opportunities

For business opportunities or procurement, contact the client company.

For business opportunities with the EBRD (not related to procurement) contact:

Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

For state-sector projects, visit EBRD Procurement:

Tel: +44 20 7338 6794
Email: procurement@ebrd.com

General enquiries

Specific enquiries can be made using the EBRD Enquiries form.

Environmental and Social Policy (ESP)

The ESP and its associated Environmental and Social Requirements (ESRs) set out the ways in which the EBRD implements its commitment to promoting “environmentally sound and sustainable development”. The ESP and the ESRs include specific provisions for clients to comply with the applicable requirements of national laws on public information and consultation, and to establish a grievance mechanism to receive and facilitate resolution of stakeholders’ concerns and grievances, in particular, about the environmental and social (E&S) performance of the client and the project. Proportionate to the nature and scale of a project’s environmental and social risks and impacts, the EBRD also requires its clients to disclose information, as appropriate, about the risks and impacts of projects or to undertake meaningful consultation with stakeholders and consider and respond to their feedback.

More information on the EBRD’s practices in this regard is set out in the ESP.

Integrity and compliance

The EBRD's Office of the Chief Compliance Officer (OCCO) promotes good governance and ensures that the highest standards of integrity are applied to all of the Bank's activities in accordance with international best practice. Integrity due diligence is conducted on all Bank clients to ensure that projects do not present unacceptable integrity or reputational risks to the Bank. The EBRD believes that identifying and resolving issues in the project assessment and approval stages is the most effective means of ensuring the integrity of Bank transactions. OCCO plays a key role in these protective efforts andhelps to monitor integrity risks in projects post-investment.

OCCO is further responsible for investigating allegations of fraud, corruption and misconduct in EBRD-financed projects. Anyone, either within or outside the Bank, who suspects fraud or corruption should submit a written report to the Chief Compliance Officer by email to compliance@ebrd.com. OCCO will follow-up all matters reported. It will review all matters reported. Reports can be made in any language of the Bank or of the Bank's countries of operation. The information provided must be made in good faith.

Access to Information Policy (AIP)

The AIP, which entered into force on 1 January 2025, sets out how the EBRD discloses information and consults with its stakeholders to promote better awareness and understanding of its strategies, policies and operations. Please visit the Access to Information Policy page to find out what information is available from the EBRD website.

Specific requests for information can be made using the EBRD enquiries form.

Independent Project Accountability Mechanism (IPAM)

If efforts to address environmental, social or public disclosure concerns with the Client or the Bank are unsuccessful (for example, through the client’s project-level grievance mechanism or through direct engagement with Bank management), individuals and organisations may seek to address their concerns through the EBRD’s Independent Project Accountability Mechanism (IPAM).

IPAM independently reviews project issues that are believed to have caused (or to be likely to cause) harm. The purpose of the mechanism is: to support dialogue between project stakeholders to resolve environmental, social and public disclosure issues; to determine whether the Bank has complied with its Environmental and Social Policy or the project-specific provisions of its Access to Information Policy; and where applicable, to address any existing non-compliance with these policies, while preventing future non-compliance by the Bank.

Please visit the Independent Project Accountability Mechanism webpage to find out more about IPAM and its mandate and how to submit a Request for review. Alternatively, contact IPAM by email at ipam@ebrd.com for guidance and more information on IPAM and how to submit a request.

Environmental and Social Documentation is not available for this project.

Selected procurement notices related to this project may be shown below. Further procurement opportunities related to this and other projects, if available, maybe be viewed in the EBRD Procurement Portal.

The EBRD's Environmental and Social Policy (ESP), Access to Information policy (AIP) and Project Accountability Policy (PAP) enable sound and sustainable development in its projects. The Independent Project Accountability Mechanism (IPAM) deals with complaints about environmental, social and disclosure matters related to the Bank’s investments.

No complaints about this project have been made so far.

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Project Guelmim - Oued Noun Region

Overview

Project timeline

Company Contact Information

Project description

Project objectives

Transition impact

Client information

EBRD Finance Summary

Total project cost

Additionality

Environmental & Social Summary

Technical Cooperation and Grant Financing

Company Contact Information

PSD last updated

Understanding transition

Business opportunities

General enquiries

Environmental and Social Policy (ESP)

Integrity and compliance

Access to Information Policy (AIP)

Independent Project Accountability Mechanism (IPAM)