International Waters Program: New Opportunities for the World Bank June 2005

A Long-Term Interest  World Bank Worked Extensively on the Management of International Waters Prior to Establishment of the GEF  Major pre-GEF programs included the Mediterranean Sea and Baltic Sea  Our Environment Network has Viewed Freshwater, Coastal and Marine Resources as a Management Continuum, but this Has Not Been Fully Translated into Bank Water Resources Management Operations

A Long-Term Interest  Current Portfolio Extends across All Regions and Totals Some $1.8 Billion (pipeline = $1.9 Billion) (see table)  Focus is on Consolidating Actions into Multi-Phased Programs and in Strategic Partnerships

Recent Developments  GEF IV Replenishment is Uncertain in Terms of Scope and Level of Funding  Limited Access to GEF Funds Under International Waters Window Is Anticipated – Relative to Need and Historical Levels  A Significant Mortgage Exists on the Proposed International Waters Allocation from Currently Approved Programs and Multi-Tranche Projects

Recent Developments  Greater Emphasis from GEF Donors on Using the Funds More Effectively  Pressure is Coming from Some GEF Donors to Move to Performance Based Allocation of Funds  Paris Declaration – Phase Out, Over Time, Use of Project Management Units and Project Implementation Units – Need to Evaluate When This Would Be Appropriate for Future Regional/Multi-Country Projects

Monitoring and Evaluation  Increased Priority Being Given to Independent Evaluation within the GEF Structure  Evaluation is Giving Emphasis to Outcomes and Impacts from GEF Resources  Need to Benefit from Review of Evaluation Studies, Including the Program Study on International Waters (2004)

An Integrated Approach  Important for World Bank Supported International Waters Programs and Projects to Inter-Link with Other Focal Areas and Bank Supported-Investments  Key Opportunities Exist for Linkages:  Biodiversity  Climate Change  POPs  Land Degradation

An Integrated Approach  Allows Bank to Focus on Land, Water, Biodiversity Interface That Has Been Central to TDAs and SAPs and to Consolidate in a Programmatic Approach  Facilitates Addressing Emerging Issues of Land Degradation, Climate Change and POPs  Recognizes Need to Strengthen Cooperation with UNDP and UNEP

Use of Recent Studies GEF Supported  Global International Waters Assessment (GIWA)  Report of the Lake Basin Management Initiative (October 2005)  Proposed Groundwater Assessment Non-GEF  Millennium Ecosystem Assessment

Integration Into Bank Processes Planning and Resource Allocation  Regional/Country Ownership  Country Assistance Strategies  DPLs (Cameroon Forestry Project)  Country Water Resources Strategies  Country Environmental Analysis Use of Bank Staff  Importance of Continuity for Management and Advocacy

Operational Issues for Linkages  Develop a Shared Vision with the GEF and other IAs for a New Approach  Sharing Resources Will be Demanding  Importance of Incentives for Programs and Projects Focused on Linkages  Need to Minimize Transaction Costs  Avoid Multiple Review by Multiple Focal Areas  Need to Avoid Multiple STAP Reviews

Perspectives on Linkages  Christophe Crepin – Regional Coordination Across the Portfolio  Land Degradation interlinkages  Coastal and Marine interlinkages