Project Administration Manual

Project Number: 33209-014

Loan Number: L3124
October 2020

Nepal: Community-Managed Irrigated Agriculture

Sector Project – Additional Financing
Contents
I. PROJECT DESCRIPTION 1
II. IMPLEMENTATION PLANS 4
A. Project Readiness Activities 4
B. Overall Project Implementation Plan 5
III. PROJECT MANAGEMENT ARRANGEMENTS 7
A. Project Implementation Organizations – Roles and Responsibilities 7
B. Key Contacts 16
C. Project Organization Structure 17
IV. COSTS AND FINANCING 17
c
A1. Allocation and Withdrawal of Loan Proceeds (ADB-Additional Financing) 19
C. Detailed Cost Estimates by Outputs/Components 21
D. Detailed Cost Estimates by Year 22
V. FINANCIAL MANAGEMENT 25
A. Financial Management Assessment 25
B. Disbursement 26
C. Accounting 27
D. Auditing and Public Disclosure 28
E. Reporting 29
VI. PROCUREMENT AND CONSULTING SERVICES 29
B. Procurement of Goods, Works, and Consulting Services 29
C. Procurement Plan 35
1. Methods, Thresholds, Review and 18-Month Procurement Plan 35
2. Goods and Works Contracts Estimated to Cost $1 Million or More 35
3. Consulting Services Contracts Estimated to Cost $100,000 or More 36
4. Goods and Works Contracts Estimated to Cost Less than $1 Million and Consulting
Services Contracts Less than $100,000 (Smaller Value Contracts) 36
B. Indicative List of Packages Required Under the Project 37
C. List of Awarded and On-going, and Completed Contracts 38
D. National Competitive Bidding 41
D. Consultant's Terms of Reference 42
VII. SAFEGUARDS 43
VIII. GENDER AND SOCIAL DIMENSIONS 44
IX. PERFORMANCE MONITORING, EVALUATION, REPORTING AND COMMUNICATION
49
A. Project Design and Monitoring Framework 49
B. Monitoring 53
C. Evaluation 54
D. Reporting 55
E. Stakeholder Communication Strategy 55
X. ANTICORRUPTION POLICY 55
XI. ACCOUNTABILITY MECHANISM 56

ANNEXES
 Project Administration Manual Purpose and Process

The project administration manual (PAM) describes the essential administrative and management
requirements to implement the project on time, within budget, and in accordance with Government and
Asian Development Bank (ADB) policies and procedures. The PAM should include references to all
available templates and instructions either through linkages to relevant URLs or directly incorporated in
the PAM.

The Department of Water Resources and Irrigation (DOWRI) and the Department of Agriculture (DOA) are
wholly responsible for the implementation of ADB financed projects, as agreed jointly between the
borrower and ADB and in accordance with Government and ADB’s policies and procedures. ADB staff is
responsible to support implementation including compliance by DOWRI and DOA of their obligations and
responsibilities for project implementation in accordance with ADB’s policies and procedures.

At Loan Negotiations the borrower and ADB shall agree to the PAM and ensure consistency with the Loan
agreement. Such agreement shall be reflected in the minutes of the Loan Negotiations. In the event of any
discrepancy or contradiction between the PAM and the Loan Agreement, the provisions of the Loan
Agreement shall prevail.

After ADB Board approval of the project's report and recommendations of the President (RRP) changes
in implementation arrangements are subject to agreement and approval pursuant to relevant Government
and ADB administrative procedures (including the Project Administration Instructions) and upon such
approval they will be subsequently incorporated in the PAM.
Abbreviations

ADB = Asian Development Bank

AMIS = Agency-Managed Irrigation System
ASC = Agriculture Service Centre
AULL = Agriculture Unit of Local Level
CPMO = Central Project Management Office
DADO = District Agricultural Development Offices
DDC = District Development Committee
DOA = Department of Agriculture
DOAD-MOPID= Directorate of Agriculture Development under Ministry of Land
Management, Agriculture and Cooperatives at Province
DOI = Department of Irrigation
DOWRI = Department of Water Resources and Irrigation
EARF = Environmental Assessment and Review Framework
EIA = Environmental Impact Assessment
EIRR = Economic Internal Rate of Return
EMP = Environmental Management Plan
ESMS = Environmental and Social Management System
FMIS = Farmer-Managed Irrigation Systems
GESI = Gender Equality and Social Inclusion
GRC = Grievance Redress Committee
ICB = International Competitive Bidding
ICWM = Integrated Crop and Water Management
IDD = Irrigation Development Division/Subdivision
IEE = Initial Environmental Examination
IMT = Irrigation Management Transfer
JT/JTA = Junior Technician and Junior Technical Assistant
MIS = Management Information System
MOEWRI = Ministry of Energy, Water Resources and Irrigation
MLMACP = Ministry of Land Management, Agriculture and Cooperatives at
Province
MOA = Memorandum of Agreement
MOAD = Ministry of Agricultural Development
MOALD = Ministry of Agriculture and Livestock Development
NCB = National Competitive Bidding
NFIWUAN = National Federation of Irrigation Water Users Association Nepal
NGOs = Nongovernment Organizations
PAI = Project Administration Instructions
OFID = OPEC Fund for International Development
PAM = Project Administration Manual
PIU = Project Implementation Unit
PSC = Project Steering Committee
QBS = Quality Based Selection
QCBS = Quality-and Cost-Based Selection
RAD = Regional Agricultural Directorates
RID = Regional Irrigation Directorate
RRP = Report and Recommendation of the President to the Board
SBD = Standard Bidding Documents
SDEB = Study, Design and Environment Branch
SICWMP = System and Integrated Crop Water Management Program
SMU = Sub Project Management Unit
SOE = Statement of Expenditure
SPS = Safeguard Policy Statement
SPRSS = Summary Poverty Reduction and Social Strategy
TOR = Terms of Reference
VDC = Village Development Committee
WUA = Water Users’ Association
WREDD = Water Resources and Energy Development Division
WRIDD/SD = Water Resources and Irrigation Development Division/Subdivision
WRIU = Water Resources and Irrigation Unit
 I. PROJECT DESCRIPTION

A. Rationale

1. Agriculture is Nepal’s primary economic sector; about 80% of the population is dependent
on it. Since most of the poor reside in rural areas, Nepal's poverty reduction strategy recognizes
that agricultural growth is essential for attaining broad-based economic growth and improving
livelihoods. Agriculture is largely based on low-value crops and subsistence production, with only
about 17% of output traded in markets. Because agriculture growth has been erratic, determined
to a large extent by climatic factors1, food production remains unstable. Irrigation is an essential
input to improve agriculture productivity. Nepal’s recently completed Agriculture Development
Strategy (ADS) recognizes the importance of expanding the irrigated areas in an equitable and
viable manner and improving irrigation efficiency and management. The new Irrigation policy
(2013) also promotes improved agency- and farmer-managed irrigation systems to improve water
efficiency and year-round irrigation.

2. The expansion of irrigation from the mid-1970s provided the enabling environment for the
use of new high-yielding varieties and fertilizer. Irrigation expansion has also imparted a greater
degree of stability to farm production. Of the 2.64 million hectares (ha) of cultivable land in Nepal,
1.77 million ha is irrigable and about 1.33 million ha currently has access to irrigation. Investments
are required to rehabilitate and improve existing irrigation systems and strengthen water users’
associations (WUAs) to efficiently operate and maintain them. Improved agricultural technologies,
availability of inputs, along with the provision of supplementary irrigation during the monsoon
season and full irrigation in the dry season can increase rice yields from around 3 tons per ha per
year currently to as high as 10–12 tons per ha per year.2 Dependable irrigation also provides
farmers with an incentive to diversify from low-value cereal crops to high-value crops such as
fruits and vegetables, and increase their incomes and nutrition at the same time.

3. The government has a mature program of assisting farmer-managed irrigation systems

(FMIS) to upgrade their primary infrastructure. The total number of FMIS is estimated at over
15,000, and around 3,000 have received some form of support from the government and various
donors. The government estimates that a large number of FMIS, with a combined command area
of around 250,000 ha, never received assistance. Additional financing for the current project will
allow rehabilitation and expansion efforts to reach a larger number of FMIS.

4. The current project was approved by ADB on 17 November 2004 and became effective
on 13 January 2006. It was financially closed on 22 September 2015. The current project had the
overall goal of promoting inclusive economic growth while reducing poverty in rural areas. Its
specific objective is to improve agriculture productivity and sustainability of existing medium-sized
farmer-managed irrigation systems (FMIS)3 and thereby enhance the livelihood of poor men and
women including ethnic minorities and Dalit. To achieve this objective, the project is rehabilitating
111 FMIS, with strengthened water users’ associations (WUAs), in the Central and Eastern

1 Agricultural production depends on a 4-month monsoon, when 75% of annual rains fall. Climate variability and change
in Nepal is projected to exacerbate existing threats to food, water, and livelihood security through alterations in the
quantity and timing of precipitation and runoff, more atmospheric water vapor and evaporation, and progressive loss
of glacier and snowpack storage in basin headwaters.
2 ADB. 2012. Preparation of the Agricultural Development Strategy. Assessment Report. Kathmandu (TA 7762NEP).

3 Irrigation schemes between 25-500 ha in the hills and 200-2,000 ha in the Terai are defined as “medium-sized”.
2
Development regions. Agricultural extension and livelihood enhancement services are also
provided by the government in subproject areas.

5. Some of the targets for the current project were revised at mid-term because of cost
escalations. The current project is likely to meet the revised targets.4 The total irrigation command
area improved is 15,677 ha (target 13,700 ha). The beneficiaries total 178,285 (target 115,600).
Although it is too early to assess achievement toward agricultural production targets, the
government’s initial findings indicate that the average cropping intensity in subproject areas has
increased by 30% (target 40%), and annual major crop production has increased by 42,000 ton
(target 32,100 ton). The current project supported the reformulation and strengthening of WUAs,
and nearly 80% farmers enrolled as members, on average. Beneficiary contributions totaled 4.5%
of construction costs (target 3%). Its gender targets have been met. Women representation in
WUA executive committees was 30% (target 33%) and 48% in agriculture extension activities
(target 35%).

6. Social and institutional development focused on strengthening WUAs to independently

manage their irrigation systems. The current project trained lead farmers in preparing operation
and maintenance plans but more hands-on technical assistance is required through additional
financing to ensure that these plans are implemented. A new target of having an O&M and
financing mechanism established for each WUA has been set.

7. Once the irrigation infrastructure is approved, equitable and adequate water distribution
systems should be established to optimize agricultural productivity. The current project did not
allocate resources or expertise to guide WUAs in constructing water courses to bring water to
farm fields or in agreeing on water distribution arrangements to meet agricultural goals. The
additional financing project has significantly enhanced procedures and implementation
arrangements for building WUA capacity in integrated crop and water management (ICWM).

8. As of 31 December 2013, overall physical progress was estimated at 95% against the
elapsed loan period of 97%. The cumulative contract award was $16.07 million (85%) and
disbursement was $15.15 million (80%). Of the $7 million of OPEC Fund for International
Development loan, the cumulative contract award is $5.87 million (83.85%) and disbursement
was $4.33 million (68.14%). The current project is expected to complete 99% of remaining works
by the loan closing date of 30 September 2014. Due to construction bids substantially below
engineering cost estimates and significant currency fluctuation, $2 million of the loan has been
cancelled in November 2013. Compliance with loan covenants and environmental and social
safeguards is satisfactory. The eligibility requirements for additional financing have been met.

B. Impact and Outcome

9. Additional financing will continue to focus on rehabilitating and extending the irrigation
coverage of farmer-managed irrigation systems FMIS in the Province 1, 2, 3 (previously eastern
and central development regions). It will also support the rehabilitation of select irrigation systems
that are currently receiving direct government support; the management will be transferred to the
WUAs after system development and WUA strengthening. The project will be implemented
through about 163 FMIS and 6 AMIS community-based subprojects.

10. The expected impact will be increased national food security. The expected outcome is
that participating farmers increase agricultural production. Productivity will be measured through
(i) yields of major crops increased by at least 30% in subproject areas, and (ii) cropping intensity
in irrigated areas increased by at least 30%.

4 See Summary of Project Performance (accessible from the list of linked documents in Appendix 2).
 3
C. Outputs

11. To achieve its expected outcome, the project will have four outputs: (i) farmers in
subproject areas have improved irrigation infrastructure; (ii) WUAs independently manage
irrigation systems in a socially inclusive and equitable manner; (iii) farmers adopt improved
agricultural practices; and (iv) national institutions are strengthened for effective irrigation service
delivery.

12. Improved irrigation infrastructure. The project will support the participatory planning,
detailed design, and construction of infrastructure such as diversion structures, cross-drainage
works, improved and extended canal systems, and flood protection facilities. All subproject
infrastructure design will be done in close consultation with WUAs. The project will also support
the construction of tertiary water courses that bring the water to farm fields. WUAs will provide
beneficiary contribution in labor and/or cash for subproject infrastructure costs, consistent with
the government’s irrigation policy (2013).

13. WUAs irrigation system management. The project will empower WUAs to manage the
rehabilitation of the infrastructure, operate and maintain their systems without government
support, and distribute the water equitably and adequately throughout the command area. WUA
executive committees will be reconstituted, as necessary, to ensure equal representation of the
head, middle, and tail of the canal system, and to empower women and other disadvantaged
farmers to lead in system management. WUAs in subprojects that are currently agency managed
will develop plans to manage their systems without government support.

14. Improved agricultural practices. Currently, agricultural practices in subproject areas are
predominantly conventional. Farmers are using their own seed stock repeatedly for 5–10 years,
resulting in lost production potential. Chemical fertilizer use is unbalanced, and farmers are not
well trained in making organic fertilizers. Inefficient plot-to-plot flooding irrigation is regularly
practiced rather than constructing field channels. The project will provide agricultural extension
services to subproject areas to build the capacity of farmers in sustainable agricultural systems.

15. Institutional strengthening and project management. The project has already
supported the preparation of policies for irrigation and integrated water resources management,
A national water plan, improved procedures for project management, revised engineering
manuals, and institutional strategy and action plans. The next phase of policy and institutional
reforms will be supported through additional financing, including preparation of an irrigation act,
updating the irrigation regulation, and preparing guidelines for management transfer and O&M.
4
II. IMPLEMENTATION PLANS

A. Project Readiness Activities

Indicative Activities 2013 / 2014 Who
Dec Jan Feb Mar Apr May Jun Jul Aug Sep responsible
Inclusion of project in Government MOEWRI, MOF
budget for 2014/15
Re-Confirmation of Project Director MOEWRI
Loan agreement negotiated and PAM MOEWRI/DOWRI,
agreed ADB
1st Batch FMIS Subproject Preparation DOWRI
Reports (SPPR) approved
1st Batch FMIS Subproject detailed
designs and tender document completed DOWRI
Engagement of individual procurement
specialist to assist in recruiting project
implementation and management
consultants
Engagement of individual procurement
specialist for civil works procurement and
contract management
Invitation for Consultant Expressions of DOWRI
Interest
EOIs received DOWRI
EOIs evaluated and Submission-1
(shortlist and draft RFP) submitted to DOWRI
ADB
ADB clearance of Submission-1 ADB (Project unit
and OSFMD)
Issuance of Consultant RFP DOWRI
ADB Board approval ADB
Loan signing MOF/MOEWRI,
ADB
Standard bid document for civil works
prepared by EA and sent to ADB for DOWRI, ADB
review/ comments
Project unit to receive comments from ADB (Project
OGC and OSFMD Team, OGC and
OSFMD)
Comments from ADB received and
incorporated by EA and bid documents DOWRI
finalized
NCB invitation for bids issued/ DOWRI
advertised by executing agency
CPMO and DOA PIU fully staffed DOWRI,
MOALD/DOA
Loan effectiveness MOF, ADB

Consultant contract negotiations DOWRI

Consultant mobilization DOWRI

ADB = Asian Development Bank, CPMO = Central Project Management Office, DOA = Department of Agriculture,
DOWRI = Department Water Resources and of Irrigation, EOI = expressions of interest, FMIS = farmer-managed
irrigation systems, MOALD = Ministry of Agricultural and Livestock Development, MOEWRI = Ministry Energy, Water
Resources and of Irrigation, MOF = Ministry of Finance, NCB = national competitive bidding, OGC = ADB’s Office of
the General Counsel, OSFMD = ADB’s Operations Support and Financial Management Department, PAM = project
administration manual, PIU = project implementation unit, RFP = request for proposal.
 5
B. Overall Project Implementation Plan
1. CMIASP-AF Implementation Schedule

(1)
Completed as part of Project preparatory activities.
(2)
Started as part of Project preparatory activities, but not entirely completed.
6
2. Typical FMIS Implementation Schedule

III. PROJECT MANAGEMENT ARRANGEMENTS
A. Project Implementation Organizations – Roles and Responsibilities
Project Implementation
Organization
Ministry of Energy, Water
Resources and Irrigation
(MOEWRI)
Executing Agency:
Department of Water
Resources and Irrigation
(DOWRI) and its Central
Project Management Office
CPMO
7
Management Roles and Responsibilities
• Chair the Project Steering Committee to supervise
and guide implementation
• Monitors overall project implementation progress
• Chair wrap-up for review missions and ensure
implementation of agreed actions
• Issues ministerial directives for
undertaking corrective measures
• Ensures all loan covenants implemented
• Provides policy and decision support
• Appoints Project Director
• Ensures adequate and timely budgetary support
for the project
• Maintain communication and coordination with
Ministry of Physical Infrastructure and
Development (MOPID) at province in
implementation of irrigation system improvement
activities under CMIASP-AF
• Manage project planning, implementation, and
monitoring and evaluation
• Ensure strong coordination and dialogue between
• DOWRI and DOA and all stakeholders concerned
with the project
• Manages the contract of project implementation
and management support (PIMS) consultants
• Monitor and report on both physical and financial
progress
• Monitor social and environmental impacts to meet
safeguard requirements
• Monitor implementation of gender equality and
social inclusion plan
• Prepare and update detailed project work plan
and budget and coordinate all other activities
related to the annual program revision
8
System and Integrated Crop
Water Management Program
(SICWMP) of Irrigation
Management Division (IMD) in
DOWRI
Ministry of Agricultural and
Livestock Development
(MOALD)
• Implements training programs for project staff
• Gives its “no objection” on detailed design reports
with cost estimates and bid evaluation reports for
civil works
• Manage procurement of consulting services and
consultants
• Manage project staff and consultants
• Manage an advance account, fund flow, and loan
disbursement
• Keep stakeholders informed of project progress
and benefits
• Maintain communication and coordination with
provincial WRIU or relevant structure (RS) created
at MOPIDP for the implementation of irrigation
system improvement activities financed under
CMIASP-AF
• Planning and supervision of the ICWM component
Prepare and update detailed work plan and
budget for ICWM component
• Assist CPMO in planning the IMT component.
Organize training for concerned staff in
implementing the ICWM and IMT components
in subproject areas
• Monitors and evaluates the effectiveness of the
ICWM and IMT in subproject areas
• Appoints DOA’s Project Implementation Unit
(PIU) staff
• Monitors and guides planning, management
and implementation of activities under DOA’s
responsibility
• Ensures adequate and timely budgetary support
for DOA’s activities in the project
• Participate in wrap-up for review missions and
ensure implementation of agreed actions
• Issues ministerial directives for
undertaking corrective measures
• Maintain communication and coordination with
DOAD-MLMACP in implementation of
agriculture development activities
 9

Implementing Agency: • Planning, supervision, monitoring and

Project Implementation evaluation of the agricultural development and
Unit (PIU) under integrated crop and water management (ICWM)
Department of components
Agriculture (DOA) • Prepare and update detailed work plan and
budget for agricultural development and ICWM
components
• Training of DOA/Province/Agriculture Unit of
Local Level (AULL) staff in implementing the
agricultural development and ICWM
components in subproject areas
• Monitor, evaluate and report on the
effectiveness of the agricultural development
and ICWM components
• Coordinate with DOAD-MLMACP and local level
in the implementation of agriculture
development activities

Project Steering • Provide policy guidance

Committee (PSC) • Monitor overall progress and direction and
provide guidance to ensure successful
implementation
• Address any other key issues and problems
related to the project

Nepal Agricultural • Supports DOA in implementing its agricultural

Research Council and ICWM activities
(NARC)

Project Appraisal • Approves Subproject Preparation Reports

Committee (PAC) (SPPRs)
• Approves Detailed Design Reports when cost
estimates deviate from those in SPPRs

Water Resources and • Manage WRIDD/SDs or relevant structure

Irrigation Unit (WRIU) or responsible for implementation of subprojects
relevant structure (Water
Resources and Energy
Development Division) of
Ministry of Physical
Infrastructure and
Development (MOPID) at
Province
10
Directorate of Agricultural
Development under
Ministry of Land
Management, Agriculture
and Cooperative at
province (DOAD-
MLMACP)
Water Resources and
Irrigation Development
Divisions/Subdivisions
(WRIDD/SDs)
responsible for the
implementation of
Irrigation projects at
district
• Monitor and evaluate subprojects;
• Support training events conducted at regional
level
• Manage reporting to CPMO on subproject
• implementation progress
• Coordinate with MOPID and WRIDD/SD or
relevant structure in the matter related to SPPR,
DDR, TBER, FBER etc.
• Guide and supervise Agriculture Unit of Local
Level (AULL) in implementing subprojects
• Monitor and ensure quality of agricultural
development plans implemented by AULL
• Technical support to the training events
conducted by AULL
• Ensure timely reporting to PIU/DOA on
subproject implementation progress by AULL
• Review and comment on agricultural and ICWM
aspects of the project reports
• Support/Organize training/workshop related to
CMIASP-AF
• Responsible for subproject implementation,
including supervising field-based consultants,
WUAs implementing civil works, and contractors
• Monitor and ensures quality of subproject
implementation
• Monitor social and environmental safeguards
and GESI plan in subproject areas
• Manage civil works tenders (both with WUAs
and contractors)
• Supervises construction, operation, and
maintenance
• Reports progress to Ministry of Physical
Infrastructure and Development at Province and
CPMO
• Prepare and implement ICWM plans, with
agriculture unit at local level (AULL)
 11

• Organizes trimester SMU meetings

• Maintains project accounts separately from
other accounts and submits statements of
expenditures to the CPMO on a monthly basis
• Submit SPPR, DDR, BER, Variation Proposals,
Time Extension request to CPMO with consent
from concerned ministry at provincial level
• Submit proposal of budget and program to
WRIU or related structure (Water Resources
and Energy Development Division) created at
MOPIDP and CPMO

Subproject • Share implementation status with and

Management Units coordinate among district stakeholders
(SMUs) • Regularly report to WRIU or any other related
structure (Water Resources and Energy
Development Division) created at Ministry of
Physical Planning and infrastructure
Development at province and DOAD-MLMACP
on implementation progress and issues

Agriculture Unit of Local • Participate in joint walkthrough of irrigation

Level (AULL) systems, with WRIDDs
• Prepare agricultural development plans (ADPs)
jointly with WUAs
• Prepare and implement ICWM plans, with
WRIDDs
• Implement and monitor ADPs and ICWM plans
• Maintains project account separately from other
accounts and submits statement of expenditure
to DOA-PIU
• Report progress and timely submit SOEs to
PIU/DOA
• Coordinate with WRIDD or relevant structure at
district through attending trimester SMU
meetings

Water Users • Requests subprojects for selection

Associations (WUAs) • Participate in the planning and design of their
subproject infrastructure development
• Endorse SPPRs

• Formalize their association

• Construct some civil works
• Monitor construction
• Operate and maintain the improved systems
12

Community Organizers • Assist WRIDDs or other relevant structure

(COs) (Water Resources and Energy Development
Division) at district and AULL in mobilizing
farmers.
• Assist WUAs in timely organization of regular
meetings, and taking minutes
• Perform activities suggested by social mobilizers

DOWRI’s Study, Design • Trains WRIDDs or relevant structure at district to

and Environment prepare initial environmental examinations
Branch (SDEB) (IEEs)
• Approves IEEs before sending to ADB for
approval
• Monitors preparation of IEEs and
implementation of environmental management
plans
• Documents and reports to WRIDD/SDs or
relevant structure at district, consultant and
CPMO
• Ensures implementation of corrective actions
District Administration • Addresses grievances regarding abuse of
Office authority or misuse of funds in his/her district

Office of the Auditor • Conducts annual audit of project accounts and

General prepares audited financial statement

National Vigilance Center • Conduct technical audits of a sample set of

(NVC) subprojects

National Federation of • Advises its members of the project and the

Irrigation Water Users subproject selection process
Association Nepal • Delivers training to WUA leaders in subprojects
(NFIWUAN) on financial management, leadership, and
general office management

ADB • Overall supervision and advisory support

• Conducts regular project review missions
• Review and issue no-objection to procurement
and disbursement documents
• Reviews and clears initial environmental
examinations
 13

1. Central Level

16. Project Steering Committee (PSC). Within three months of the effective date, the PSC
will be established chaired by Secretary, Ministry of Energy, Water Resources and Irrigation
(MOEWRI). The members will include the Director General, Department of Water Resources
and Irrigation (DOWRI); Director General, Department of Agriculture (DOA); senior
representatives from the Ministry of Women, Children, and Senior Citizen (MOWCSC),
National Planning Commission (NPC), Ministry of Federal Affairs and General Administration
(MOFAGA), Ministry of Finance (MOF), Nepal Agricultural Research Council (NARC), and
Project Director, DOWRI (as member secretary). Representatives from ADB will be invited to
meetings as observers. The PSC is the main strategic guiding and supervisory body for the
project, is based at the Ministry level, and will meet twice a year. The functions of the steering
committee include (i) monitoring overall progress and direction and providing guidance to
ensure successful implementation, and (ii) ensuring strong intra- and inter-agency coordination
and collaboration.

17. Central Project Management Office (CPMO). DOWRI has already established a
CPMO for CMIASP. Before loan negotiations, DOWRI will have reconfirmed and designated
the staffing of the CPMO for CMIASP-AF. The CPMO at all times during project implementation
will be headed by a full-time Project Director of class one officer. In addition, the CPMO will
include the following full-time staff: Deputy Project Director, Account Officer, Accountant, and
supporting staff (Administrative Assistant). The CPMO is responsible for managing all aspects
of project implementation. This includes but is not limited to: (i) preparing the annual work plan
and budget and ensuring timely budgetary support to all implementing partners; (ii)
coordinating regularly with DOA’s PIU; (iii) training and guiding WRIDD/SDs and irrigation unit
at ministry of physical and infrastructure development in province (Water Resources and
Energy Development Division) for subproject implementation procedures; (iv) monitoring
implementation and preparing progress reports; (v) managing the advance account, fund flow,
and loan disbursement; (vi) preparing and consolidating project financial statements; (vii)
liaising with the Office of the Auditor General, and (viii) preparing and disseminating
communications to the general public about CMIASP achievements (see Consultation,
Participation, and Communications Plan).

18. DOA’s Project Implementation Unit (PIU). PIUDOA DOA-PIU will be reestablished
under MOALD. The program director (class I officer) deputed to PIU at partial basis will be
responsible for managing DOAs component under CMIASP-AF, which are the agricultural
development component and agricultural aspects of the ICWM component. This includes but
is not limited to: (i) preparing the annual work plan and budget and ensuring timely budgetary
support; (ii) coordinating regularly with CPMO; (iii) training and guiding AULL in subproject
implementation procedures; (iv) monitor, evaluate and report on the effectiveness of the
agricultural development and ICWM components; (v) review and comment on PIMS
consultants’ reports regarding agricultural and ICWM aspects; and (vi) contribute to the
preparation of communications about CMIASP achievements. The PIU Program Director will
ensure that the PIU is staffed at all times with the following staff to work on a full-time basis:
Program Coordinator (class II officer) and 2 agricultural extensionists (class 3 officers),
accountant (1), Junior Technician (1) and Junior Technical Assistant (1). The PIU will be
supported by other supporting staff.
14

19. System and Integrated Crop Water Management Program (SICWMP) of Irrigation
Management Division (IMD). The IMD in DOWRI will be responsible to assist the CPMO in
the planning and monitoring of the integrated crop and water management (ICWM) component
of the project. They will also provide technical support and monitoring for the irrigation
management transfer (IMT) of the agency-managed irrigation systems rehabilitated under
CMIASP-AF. This includes organizing and administering training to WRIDD/SDs staff on ICWM
and IMT activities. The specific tasks of the SICWMP on CMIASP-AF are: (i) preparation of
ICWM and IMT training manuals and training programs (tailored to the needs of the project);
(ii) preparation of annual work program for ICWM component; (iii) organization and delivery of
ICWM training to WRIDD/SDs and AULL on IMT; (iv) monitoring and evaluation of ICWM and
IMT work being done by WRIDD/SDs in subproject areas, including visits to selected sites; and
(v) reporting on progress and effectiveness of ICWM and IMT components. The chief of
SICWMP will serve as coordinator of the above tasks (on a half-time basis), ensure their timely
completion, and report progress to CPMO. The following senior SICWMP staff will work on
CMIASP-AF on a half-time basis: SDE/SICWMP, senior sociologist/Institutional development
section, and senior agricultural economist. SICWMP will also dedicate 2 agricultural irrigation
engineers and 2 civil irrigation engineers to work for the project on a full-time basis, and 3
agricultural engineers and 1 civil engineer to work on a part-time basis.

20. Study Design and Environment Branch (SDEB). DOWRI has established a SDEB to
assume overall responsibility for environmental and social safeguards and GESI matters for all
projects and programs implemented by DOWRI. In the project, they will be responsible for (i)
training to concerned staff engaged in completing the rapid environmental assessment,
preparing initial environmental examinations (IEEs)5 (with environmental management plans,
EMPs); (ii) monitoring the preparation of IEEs, and clearing the IEEs before CPMO sends them
to ADB for clearance; (iii) monitoring the implementation of the EMP (mainly during the
construction period), and ensuring any corrective actions are taken; and (iv) documenting and
reporting the findings of their monitoring, and preparing an annual environmental monitoring
reports for public disclosure. They will use the automated safeguard monitoring system
developed by NRM for routine EMP compliance monitoring. The WRPPF consultants will
provide support to the unit in fulfilling the above functions. The project will provide funds for
SDEB staff to travel to subproject sites: (i) visits to 10-15% of subprojects during preparation
of the IEE; and (ii) visits to each subproject site once during construction phase.

21. Project Appraisal Committee (PAC). The PAC is chaired by Director General (DG),
DOWRI and comprises the program director of PIU/DOA and all deputy DGs in DOWRI. The
Project Director will serve as PAC secretary, and the PIMS consultant team leader will
participate in PAC meetings as adviser. It reviews and approves the subproject preparation
reports (SPPRs) with associated cost estimates. If cost estimates included in detailed design
reports exceed the cost estimate approved in the SPPR, the PAC will reassess and reapprove
the cost estimate before the subproject is tendered.

22. National Federation of Irrigation Water Users' Association, Nepal (NFIWUAN).

NFIWUAN promotes participatory irrigation development, water user empowerment, and
partnership among the agencies involved in irrigation development. The Government's
Irrigation Policy 2013 anticipates sustainable management of irrigation systems through the

5 IEEs are prepared to comply with ADB’s safeguard policy. IEEs are not necessary for this project according to
government rules.
 15

involvement of WUAs under coordination with their umbrella organization, which is NFIWUAN.
Consequently, NFIWUAN has been involved in improving farmer-managed irrigation systems
in the country through coordination, capacity development and institutional strengthening of
WUAs and farmers. It has district chapters in most districts of Nepal. In the project, NFIWUAN
will participate in information campaigns to identify additional subprojects (if additional
subprojects are needed) by its district chapters sending a notice about the project to WUAs in
the central and eastern development regions. NFIWUAN will also disseminate general
information about CMIASP-AF as provided by CPMO. Similar to its role in CMIASP, NFIWUAN
will build the capacity of the WUA leaders in CMIASP-AF subprojects. This includes (i)
identifying their capacity development needs on operational management, including
administration, financial management and leadership; (ii) preparing modules for training; (iii)
conducting training; and (iii) evaluate the effectiveness of the training program. CPMO has set
aside a small training budget for this purpose.

2. Provincial Level

23. Water Resources and Energy Development Division (WREDD) of the Ministry of
Physical and Infrastructure Development (MOPID) at Province. The WREDDs are
responsible for managing the work of the WRIDD/SDs at district in their respective Province.
In this way, they will coordinate in project implementation. They will monitor the progress and
quality of work on subprojects and will report such progress to the CPMO.

24. Directorate of Agriculture Development at Ministry of Land Management and

Cooperative at Province (DOAD-MLMACPs). The DOAD-MLMACPs are responsible for
managing the work of the AULLs in their respective provinces. They will monitor the progress
and quality of AULL work in agricultural and ICWM activities in subproject areas and will report
such progress through the MIS and other means requested by the CPMO and DOA/PIU.

3. District Level

25. Water Resources and Irrigation Development Divisions and Subdivisions or

Relevant Structure (WRIDD/SDs responsible to implement Irrigation development
program and projects. WRIDD/SDs are responsible for the day-to-day implementation of
subprojects. WRIDD/SDs staff select subprojects, prepare subproject preparation reports,
prepare detailed designs, manage tenders for civil works, supervise construction, and assist
WUAs in preparing and implementing O&M and ICWM plans. They will supervise field-based
consultants, contractors, and WUAs (in construction). WRIDD/SDs at district level will ensure
quality of subproject implementation, and monitor implementation progress. This includes
monitoring social and environmental safeguard and GESI actions. WRIDD/SDs are
responsible to regularly update the project MIS and complete other reports as may be required
by MOPIDP and CPMO. WRIDD/SDs will organize and hold SMU meetings at least one in
each trimester or at need basis. The accountants from each WRIDD/SDs will maintain project
accounts separately from other accounts and will submit statements of expenditures to the
CPMO on a monthly basis. WRIDD/SDs at district will submit SPPRs, DDRs, BERs, Variation
Proposals, Time Extension documents to CPMO with the consents of WREDD at MOPID. They
will also submit proposal of budget and program to WREDD at MOPID and CPMO.

26. Subproject Management Units (SMUs). SMUs will be established in each district to
coordinate the day-to-day implementation of subproject implementation. The chief of the
16

concerned WRIDD/SD will head the SMU and serve as subproject manager SMU members
are (i) the concerned engineers assigned to the subprojects, (ii) the AULL officers/ JTAs
assigned to the subprojects in that municipality, and (iii) the WUA chairpersons for each
subproject. Based on the agenda of the meeting, other relevant stakeholders will be invited,
such as contractors, suppliers, and local body (urban/rural municipality) representatives. The
SMU will meet at least every trimester or on need basis to review progress and coordinate.
The meetings will be documented, and minutes will be submitted to WREDD and CPMO.

4. Local Level

27. Agriculture Unit at Local Level (AULL). AULL are responsible to plan and implement
agricultural development plans (ADPs) in subprojects, and, jointly with WRIDD/SDs, assist
WUAs to prepare and implement ICWM plans in subprojects. They need to coordinate their
activities closely with WRIDD/SDs and will attend SMU meetings. They will participate in the
joint walkthrough of each subproject with the WRIDD/SDs. The AULL will monitor the quality
and progress of ADP and ICWM plan preparation and implementation, and report progress in
the project’s MIS and to DOAD-MLMACPs and DOA-PIU.

5. Subproject Level

28. Water Users Associations (WUAs). WUAs are the main stakeholder at the subproject
level. They will be formed or reconstituted in each subproject and participate in all subproject
activities. They will be strengthened through the project, with the expectation that at project
end they are active in managing the irrigation system (main system and on-farm) and
agricultural development activities to improve agricultural production. One community
organizer from the subproject area will be engaged to support each WUA in managing their
subproject implementation responsibilities.

B. Key Contacts
Executing Agency
DOWRI Tikaram Baral
Project Director
+977 985 111 3146
baral.tikaram@gmail.com

ADB
Nepal Resident Mission (NRM) Mr. Mukhtor Khamudkhanov
Country Director
+977 1 400 5120
kkhamudkhanov@adb.org

Mission Leader Mr. Shiva Paudel

Associate Project Officer
(Infrastructure)
+977 1 400 5120
spaudel@adb.org
 17

C. Project Organization Structure

IV. COSTS AND FINANCING

29. The project is estimated to cost $70.17 million (Table 2). The Government requested a
loan not exceeding $30 million from the ADB’s Asian Development Fund. The Government will
finance $10.17 million (Table 2) including its contribution in civil works of scheme rehabilitation,
and incremental staff costs. Government financing includes taxes and duties of $7.34 million.
Beneficiaries will contribute $2.0 million in labor and/or cash for subproject infrastructure costs.
18

Table 1: Project Investment Plan

($ million)
Original Additional
Item Amounta Financingb Total
A. Base Costc
1. Output 1: Improved Irrigation Infrastructure 23.0 53.5 76.5
2. Output 2: Irrigation Systems Management 4.0 3.5 7.5
3. Output 3: Improved Agricultural Practices 3.0 3.4 6.4
4. Output 4: Project Management 4.0 6.0 10.0
Subtotal (A) 34.0 66.4 100.4
B. Contingenciesd 3.6 1.0 4.7
C. Financing Charges During Implementatione 1.0 1.1 2.1
Total (A+B+C) 38.6 68.5 107.2

30. On the request of the Government, OFID provided a co-financing of $30 million for civil
works (Table 1b.) The Government will finance additional $3.9 million to match OFID loan
financing, which includes taxes and duties. Beneficiaries will contribute $0.8 million in labor
and/or cash for subproject infrastructure costs. The subprojects to be supported by OFID and
ADB Loan will be independent of each other with different financing percentages. OFID Loan
will support only civil work and 100% subproject cost exclusive of applicable taxes. Whereas
ADB loan will support civil work and all other work related with survey, design, equipment &
facility and project management. In this context, cost table for OFID co-financing is added
under table 1b, 2b and A2.

a
Refers to the original amount and any previous additional financing.
Includes taxes and duties of $5.5 million to be financed by the government.
b
Including taxes and duties of $4.4 million to be financed by the government.
C
In mid-2013 prices.
d
Physical contingencies are computed at between 0% and 10%. Price
contingencies computed on foreign exchange costs at 2.2% in year 1, 1.9%
in year 2 and 1.8% thereafter, and on local currency cost at 9.0% in year 1
and 7.0% thereafter, including provisions for exchange rate fluctuation
under the assumption of a purchasing power parity exchange rate.

Table 2: Financing Plan

Originala Additional Financing Total

Source Amount Financing Amount Financing Amount
Share of
($ million) Share of ($ million) Share of ($ million)
Total (%)
Totalb Total
ADB 20.00 51.81 28.00 39.90 48.00 44.13
OFID 7.00 18.13 30.00 42.75 37.00 34.02
Government 9.40 24.35 10.17 14.49 19.57 17.99
Beneficiaries
/WUA 2.20 5.70 2.00 2.85 4.20 3.86
Total 38.60 100.00 70.17 100.00 108.77 100.00
 19

ADB = Asian Development Bank, OFID = OPEC Fund for International Development.
a Refers to the original amount. Original loans were Loan 2102 and 8222, financed by ADB and ODIF
respectively.
b Beneficiaries contribute to civil works in-kind (through labor). The target beneficiary cost share was 9% of
civil works when the project was approved. The target was revised to 3% of civil works in 2009 to follow the
government’s irrigation policy for beneficiary contribution. The revised beneficiary share over the total
estimated cost is about 2%.
Source: Asian Development Bank estimates.

A1. Allocation and Withdrawal of Loan Proceeds (ADB-Additional Financing)c

ADB Financing
Amount
Percentage and Basis for
Category Allocated
Withdrawal from the Loan
($ million)
Account
Works-DOWRI 14,878,157.11 76.5% of total expenditure claimed
Works-DOA 48,696.65 76.5% of total expenditure claimed
Vehicles and Equipment-DOWRI 811,335.32 100% of total expenditure claimed*
Vehicles and Equipment-DOA 99,941.19 100% of total expenditure claimed*
Consulting Services-DOWRI 3,375,364.25 100% of total expenditure claimed*
Studies and Surveys-DOWRI 478,980.68 100% of total expenditure claimed*
Studies and Surveys-DOA 68,175.31 100% of total expenditure claimed*
Trainings-DOWRI 1,209,230.78 100% of total expenditure claimed*
Trainings-DOA 1,223,376.14 100% of total expenditure claimed*
Project Management-DOWRI 1,273,770.51 91.6% of total expenditure claimed
Project Management-DOA 503,717.86 91.6% of total expenditure claimed
Financing Charges-DOWRI 983,746.54 100.0% of total amount due
Unallocated 40,103.66
Total 24,994,596.00
* Exclusive of taxes and duties imposed within the territory of the Borrower.
c As of 25 March 2020

A2 Allocation and Withdrawal of Loan Proceeds (OFID)

OFID Additional Financing

Amount
Category Allocated Percentage and Basis for
($ million) Withdrawal from the Loan Account

1. Civil works
1A. Irrigation Infrastructure 27.84 100.0% of total expenditure claimed*
1B WRIDD/DOWRI Buildings 2.16 100.0% of total expenditure claimed*
Total 30.00
* Exclusive of taxes and duties imposed within the territory of the Borrower.
20

B. Detailed Cost Estimates by Financier

ADB OFID WUA Government Total

Investment Costs
Amount % Amount % Amount % Amount % Amount %
A. Civil Works
Irrigation infrastructure-ADB
14.92 76.50 4.59 23.49 19.51 29.04
funded
Irrigation infrastructure-OFID
27.84 88.5 3.62 11.50 31.46 46.84
funded
WRIDD Building-OFID funded 2.16 88.5 0.28 11.50 2.44 3.64
Beneficiaries Contribution 2.00 100 2.00 2.98
Subtotal 14.92 30.45 30.00 61.01 2.00 3.25 2.60 5.29 55.40
B. Vehicle and Equipment
Vehicle 0.44 88.50 - - - - 0.06 11.50 0.50 0.74
Office Equipment 0.30 88.50 - - - - 0.04 11.50 0.34 0.51
Field Equipment 0.17 88.50 - - - - 0.02 11.50 0.19 0.29
Subtotal 0.91 88.50 - - - - 0.12 26.49 1.03
C. Consulting Services 3.37 88.50 - - - - 0.44 11.50 3.80 5.66
D. Studies and Survey 0.55 88.50 - - - - 0.07 11.50 0.62 0.92
E. Training 2.43 88.50 - - - - 0.32 11.50 2.75 4.11
F. Project Management 1.78 91.60 - - 0.26 8.40 2.04 3.04
Total Base Costs 23.96 40.36 30.00 45.81 2.00 2.69 3.90 6.55 65.65 97.72
Contingencies 0.04 - - - - 0.51 0.55 0.82
Total Project Costs (A+B) 24.00 40.09 30.00 49.92 2.00 2.66 4.40 7.32 66.20 98.54
D. Interest During
0.98 100.00 - - - - - - 0.98
Implementation
Total Project Cost (A+B+C+D) 24.98 37.08 30.00 44.76 2.00 2.62 4.40 7.20 67.17 100.00
 21

C. Detailed Cost Estimates by Outputs/Components

US$ Million Output 1: Output 2: Output 3: Output 4: Total

Improved Irrigation Improved Project ($ million)
Irrigation Systems Agricultural Management
Infrastructure Management Practices

I. Investment Costs
A. Civil Works 53.4 2.0 - - 55.4
B. Vehicles and Equipment
0.3
Vehicles - - 0.2 0.5
Office Equipment - - - 0.3 0.3
Field Equipment - - 0.2 - 0.2
Subtotal - - 0.4 0.6 1.0
C. Consulting Services - - - 3.8 3.8
D. Studies and Surveys 0.3 - 0.4 - 0.7
E. Training - 1.5 1.2 - 2.7
F. Project Management - - 1.4 1.2 2.6
Total Project Costs 53.7 3.5 3.4 5.6 66.2
Interest during Implementation 0.9 0.98
Total Costs to be Financed 53.7 3.5 3.4 6.5 67.17
 22

D. Detailed Cost Estimates by Year

US$ Million
Total 2014 2015 2016 2017 2018 2019 2020 2021

I. Investment Costs
A. Civil Works
Irrigation Infrastructure 50.96 1.00 4.46 4.00 4.00 7.00 13.00 11.00 6.50
WRIDD Building 2.44 0.72 0.65 1.07
Beneficiary Contribution 2.00 0.06 0.10 0.24 0.40 0.40 0.40 0.30 0.10
Subtotal 55.40 1.06 4.56 4.24 4.40 8.12 14.05 12.37 6.60
B. Vehicles and Equipment
Vehicles 0.50 0.35 0.15
Office Equipment 0.34 0.05 0.15 0.08 0.06
Field Equipment 0.19 0.08 0.08 0.03
Subtotal 1.03 0.05 0.58 0.31 0.09 0.00 0.00 0.00
C. Consulting Services 3.80 0.60 0.50 0.70 0.60 0.60 0.50 0.33
D. Studies and Surveys 0.62 0.10 0.10 0.10 0.10 0.10 0.06 0.06
E. Training 2.75 0.10 0.20 0.40 0.50 0.50 0.50 0.44 0.12
F. Project Management 2.04 0.10 0.20 0.20 0.50 0.42 0.30 0.20 0.12
Total Base Costs 65.64 1.36 5.71 6.02 6.51 9.83 15.51 13.57 7.15
Contingencies 0.55 0.09 0.46
Total Project Costs 66.19 1.36 4.75 6.02 6.51 9.83 16.08 13.66 7.61
Interest during Implementation 0.98 0.15 0.15 0.15 0.15 0.13 0.10 0.15
Total Costs to be Financed 67.17 1.36 5.86 6.17 6.66 9.98 15.64 13.76 7.76
 23

E. Contract and Disbursement S-curve

S-Curve- Contract award and Disbursement

ADB Loan 3124
30.0

25.0

20.0
$ million

15.0

10.0

5.0

0.0
2014 2015 2016 2017 2018 2019 2020 2021 2022

Contract Award Disbursement

Figure E.1: Contract Awards and Disbursement for ADB Loan

S-Curve- Contract award and Disbursement

OFID Loan 8288
35.0
30.0
25.0
$ million

20.0
15.0
10.0
5.0
0.0
2016 2017 2018 2019 2020 2021 2022

Contract Award Disbursement

Figure E.2: Contract Awards and Disbursement for OFID Loan

24

31. The following figure shows the funds flow diagram.

Fund Flow Diagram

 25

V. FINANCIAL MANAGEMENT

A. Financial Management Assessment

32. Objective. The main objective of financial management assessment was to ensure
appropriate funds flow system and avoid misuse of budget and safeguard of assets. The financial
management arrangements assessed include systems of accounting, financial reporting, staffing,
auditing, and internal controls in place. The financial management assessment may be found in
a supplementary appendix to the RRP, accessible from the list of linked documents to the RRP.

33. The financial management system comprises many processes: planning, budgeting,
account keeping, reporting, asset management, internal audit, and external audit.

34. The overall financial management capacity of both agencies to implement the project is
generally adequate, and adequate legal provisions exist under the public sector system for
financial management. This assessment has been informed by discussions with concerned
officials of CPMO–DOWRI and DOA-PIU and draws from lessons learnt during the
implementation of the original loan for CMIASP.

35. The FMA concluded that the agencies concerned (the Department of Water Resources
and Irrigation [DOWRI] and Department of Agriculture [DOA] Directorate of Agriculture Extension
[DAE]) are experienced in implementing externally-financed projects and have an institutional set-
up appropriate to the implementation of the Community Managed Irrigated Agriculture Sector
Project–Additional Financing (CMIASP-AF).6 Likewise, the capacity of the implementing agency
is assessed to be sufficient towards handling of the advance account and SOE procedure given
successful operation of the advance account during the implementation of original loan (Loan
2102-NEP).

36. Project funds will be channeled through the government budget system and the Project
budget will, therefore, be included in national budget (Red Book). The Ministry of Finance (MOF)
will delegate spending authority to MOEWRI and MOALD, which will delegate spending authority
to DOWRI and DOA. The National Planning Commission will be responsible for approving the
project’s annual program in accordance with the established system. Spending units will receive
project funds through the concerned District Treasury Controller Office (DTCO) under the
Financial Comptroller General's Office (FCGO).

37. FCGO deputes accounting staff to government offices and government projects. FCGO
accounting staff are permanent government employees recruited under the Nepal Civil Service
Act 1993. They are trained under the training plan of Ministry of Finance, which is general training
for all accounts staff, and are adequately qualified to undertake the job. The Nepal Civil Service
Act stipulates that staff may not be transferred from one ministry/department to another before
the completion of two years of service in that particular ministry/department. As such, accounting
staff involved in CMIASP-AF will generally serve for a period of at least two years.

6 Financial Management Assessment of the Department of Irrigation and the Department of Agriculture/Directorate of
Agricultural Extension (accessible from the list of linked documents in Appendix 2).
26

38. The financial management of the project will be governed by various Acts, Regulations
and Directives of the Government. It includes a budgeting system, a system of approval of
transaction, an accounting system, a reporting system, and internal audit and external audit.

39. Financial Management Risks and Mitigation Actions. Certain risks have been
identified including: (i) delays in implementation due to lack of understanding of CPMO of ADB
guidelines, (ii) frequent staff transfers, and (iii) manual accounting system at the CPMO. Suitable
risk mitigating measures have been incorporated such as: (i) government to ensure required
human resources in CPMO and PIU in time; (ii) to discourage the frequent transfer of key staff
such as Project Director, Program Coordinator and heads of Accounts Sections; and (iii) provide
funding for periodic training on financial management.

B. Disbursement

40. The Loan proceeds including OFID’s cofinancing loan, partially administered by ADB, will
be disbursed in accordance with ADB’s Loan Disbursement Handbook (2017, as amended from
time to time),7 and detailed arrangements agreed upon between the Government and ADB.

41. Pursuant to ADB's Safeguard Policy Statement (2009) (SPS),8 ADB funds may not be
applied to the activities described on the ADB Prohibited Investment Activities List set forth at
Appendix 5 of the SPS.

42. There are no significant changes in disbursement arrangements for the CMIASP-AF from
the current practice of CMIASP. Two advance accounts were proposed for CMIASP in project
design, but they opened only one. As this has worked well, only one advance account is also
proposed for CMIASP-AF.

43. Under the ADB loan of $30 million, one advance account for the project will be established
by the DOI in Nepal Rastra Bank after the loan agreement becomes effective. The currency of
the advance account will be in US dollar. The maximum ceiling of the advance account is 10% of
the loan amount. For the OFID loan, the reimbursement and/or advance account procedure will
be used for disbursement. Provision of replenishment through opening advance account for OFID
Loan in Nepal Rastra Bank could also be followed under agreement with OFID. Similar
disbursement arrangement for the advance account established under the ADB loan will be
applied for the OFID loan.

44. The Project Director and the project Accounts Officer will operate the account and it will
be used to pay ADB's share of expenditures. The statement of expenditure (SOE) procedures will
be used to reimburse/replenish expenditures and liquidate advances under the advance account.
The ceiling for the SOE procedure is $30,000. This means that, if any individual expenditure
exceeds $30,000, the supporting documents for that expenditure need to be provided with the
withdrawal application. SOE records should be maintained and made readily available for review
by ADB's disbursement and review mission or upon ADB's request for submission of supporting
documents on a sampling basis, and for independent audit. 9

7 Available at: http://www.adb.org/sites/default/files/loan-disbursement-handbook.pdf

8 Available at: http://www.adb.org/sites/default/files/pub/2009/Safeguard-Policy-Statement-June2009.pdf
9 SOE forms procedures are available in Appendix 9B of the Loan Disbursement Handbook.
 27

45. Direct payment procedures may be used for payments to the consultant or contractors in
US$ from the advance account. The CPMO will maintain the advance account and submit
statements of account in accordance with ADB requirements.

46. The CPMO will work with the PIU/DOA, WRIDD/SDs and WRD at MOPID to prepare
annual programs and budgets for the project. The Government will pre-finance project
expenditure according to the government Treasury System through MOWRI and MOALD. The
CPMO will be responsible for requesting reimbursement of ADB’s share of project expenditures
to the Government. The CPMO will submit withdrawal application and SOE to ADB from time to
time for reimbursement of eligible expenditures. The minimum value per withdrawal application is
$100,000, unless otherwise approved by ADB. Individual payments below this amount should
generally be paid from the advance account, or by the EA/IA and subsequently claimed to ADB
through reimbursement. ADB reserves the right not to accept withdrawal applications below the
minimum amount. The PIU/DOA will submit required documents for SOE to the CPMO on a
trimester basis.

47. For every liquidation and replenishment request of the advance account, the borrower will
furnish to ADB (i) Statement of Account (Bank Statement) where the advance account is
maintained, and (ii) the Advance Account Reconciliation Statement (IARS) reconciling the above-
mentioned bank statement against the executing agency’s records.10

48. Before the submission of the first withdrawal application, the borrower/recipient will submit
to ADB sufficient evidence of the authority of the person(s) who will sign the withdrawal
applications on their behalf, together with the authenticated specimen signatures of each
authorized person. The format is provided in Appendix 4B (evidence of authority to sign
withdrawal applications) of the Loan Disbursement Handbook 2012.

C. Accounting

49. The project will follow the standard government cash-based accounting system
established by FCGO. Based on previous experience with CMIASP, the Project Director at the
CPMO, the DOA-PIU, divisions chiefs of WRIDD/SDs, and AULL heads will be responsible for
authorizing transactions for CMIASP-AF. The Accounts Section of each office will be responsible
for accounting and reporting, and the Store Unit of concerned offices will be responsible for the
custody of assets. It is mandatory in the government accounting system to keep all accounting
and supporting documents in a secure location on a permanent basis. No unauthorized persons
are allowed to handle accounting documents. Expenditure is automatically controlled by the
budget sheet. Explanations are required for significant variations from the implementing agency
heads. Regional Director, Director General of DOWRI, Secretary of MOEWRI and MOF are
authorized based on the nature and percentage of variation.

50. The executing agency will maintain separate books and records for the project, by funding
source, for all expenditures incurred on the project and prepare consolidated project financial
statements in accordance with accounting principles acceptable to ADB. A template for the
financial statements will be provided by ADB.

10 Follow the format provided in Appendix 10C of the Loan Disbursement Handbook.
28

D. Auditing and Public Disclosure

51. The executing agency will cause the detailed consolidated project financial statements to
be audited in accordance with International Standards on Auditing by the Office of the Auditor
General. The audited project financial statements will be submitted in the English language to
ADB within 9 months of the end of the fiscal year by the executing agency.

52. The annual audit report will include an audit management letter and auditor’s opinions
which cover (i) whether the project financial statements present a true and fair view or are
presented fairly, in all material respects, in accordance with the applicable financial reporting
framework; (ii) whether loan proceeds were used only for the purposes of the project or not; (iii)
the level of compliance for each financial covenant contained in the legal agreements for the
project; (iv) compliance with the advance fund procedure; and (v) compliance with use of the SOE
procedure certifying (a) to the eligibility of those expenditures claimed under SOE procedures,
and (b) proper use of the procedure in accordance with ADB’s Loan Disbursement Handbook and
the project documents.

53. When submitting the annual audit report, the executing agency will include its proposed
action plan for addressing any concerns raised by the auditor.

54. The Government and DOWRI have been made aware of ADB’s policy on delayed
submission, and the requirements for satisfactory and acceptable quality of the audited project
financial statements. 11 ADB reserves the right to require additional support to be provided to the
auditor, if the audits required are not conducted in a manner satisfactory to ADB, or if the audits
are substantially delayed. ADB reserves the right to verify the project's financial accounts to
confirm that the share of ADB’s financing is used in accordance with ADB’s policies and
procedures. Further, ADB will monitor actions taken by the executing agency in response to
critical audit observations. A template for the financial statements and a detailed statement of
audit needs (that the executing agency will give to the Office of the Auditor General) will be
provided by ADB. The time bound action plan for the preparation of audited financial statements
may be found in Annex 8. Compliance with financial reporting and auditing requirements will be
monitored by review missions and during normal program supervision, and followed up regularly
with all concerned, including the Office of the Auditor General.

55. Public disclosure of the project financial statements, including the audit report on the
project financial statements, will be guided by ADB’s Public Communications Policy (2011). 12
ADB will disclose the project financial statements for the project and the opinion of the auditors

11 ADB Policy on delayed submission of audited project financial statements:

• When audited project financial statements are not received by the due date, ADB will write to the executing
agency advising that (i) the audit documents are overdue; and (ii) if they are not received within the next six
months, requests for new contract awards and disbursement such as new replenishment of advance accounts,
processing of new reimbursement, and issuance of new commitment letters will not be processed.
• When audited project financial statements have not been received within 6 months after the due date, ADB will
withhold processing of requests for new contract awards and disbursement such as new replenishment of
advance accounts, processing of new reimbursement, and issuance of new commitment letters. ADB will (i)
inform the executing agency of ADB’s actions; and (ii) advise that the loan may be suspended if the audit
documents are not received within the next six months.
• When audited project financial statements have not been received within 12 months after the due date, ADB
may suspend the loan.
12 http://www.adb.org/documents/pcp011?ref=site/disclosure/publications
 29

on the financial statements within 30 days of the date of their receipt by posting them on ADB’s
website. The audit management letter will not be disclosed.

E. Reporting

56. CPMO will submit to ADB annual contract awards and disbursement projections with
quarterly breakdown at least a month before the start of each calendar year using the prescribed
templates. Separate projections will be submitted for OFID funds. CPMO will monitor overall
implementation progress and will prepare brief progress report and submit theses to ADB within
21 days after the end of each quarter. WRIDD/SDs and DOA/PIU will submit the monthly/trimester
progress reports to CPMO in order to enable the CPMO to prepare trimester progress reports.
The project performance monitoring system will be established within three months of loan
effectiveness. Within three months of physical completion of the project, the GON will provide
ADB a project completion report providing detailed evaluation of project design, costs,
performance of contractor and consultants, social and economic impact, and other details.

VI. PROCUREMENT AND CONSULTING SERVICES

A. Advance Contracting and Retroactive Financing

57. Advance contracting. All advance contracting will be undertaken in conformity with
ADB’s Procurement Guidelines (March 2013, as amended from time to time),13 ADB’s Guidelines
on the Use of Consultants (2013, as amended from time to time) 14 and ADB's Project
Administration Instructions.15 The issuance of invitations to bid under advance contracting will be
subject to ADB approval. The borrower, MOALD and MOWRI have been advised that approval
of advance contracting does not commit ADB to finance the Project.

58. DOWRI will engage the services of two individual consultants / procurement specialists
using WRPPF resources, one to assist in the recruitment of consultants (3 months over 6 months),
and another to assist in the preparation of civil works contract documents and contract
management guidelines (4 months over 6 months). These consultants will assist DOWRI under
the project implementation and management support (PIMS) consultants are mobilized.

59. DOWRI will recruit the consulting firm prior to project effectiveness but will not negotiate
and sign the contract until after project effectiveness. DOWRI will also issue the civil works tender
notice and conduct bid evaluations for a first batch of subprojects prior to effectiveness.

60. Retroactive financing. No retroactive financing will be used.

B. Procurement of Goods, Works, and Consulting Services

61. All procurement of goods and works and consulting services will be undertaken in
accordance with ADB’s Procurement Guidelines.

13 Available at: http://www.adb.org/Documents/Guidelines/Procurement/Guidelines-Procurement.pdf

14 Available at: http://www.adb.org/Documents/Guidelines/Consulting/Guidelines-Consultants.pdf
15 Available at: http://www.adb.org/sites/default/files/pai-3-04.pdf;http://www.adb.org/sites/default/files/pai-5-10.pdf
30

62. The Central Project Management Office (CPMO) under DOWRI will be responsible for
central level procurement. The CPMO will provide necessary support and supervise procurement
processes carried out by Project Implementation Unit (PIU) under the DOA and WRIDD/SDs.
CPMO/DOWRI is familiar with ADB’s Procurement Guidelines, as it has recently implemented the
ADB–financed Community-Managed Irrigated Agriculture Sector Project (CMIASP).

63. Civil Works. WRIDD/SDs will be responsible for procurement of works through ICB, NCB
and community procurement (CP) in compliance with the threshold limit indicated in procurement
plan. The WRIDD/SDs have adequate capacity and experience in procuring contracts for civil
works and community procurement. They have successfully procured civil works contracts
through NCB, community procurement (CP) up to NRs 6 million and goods under the CMIASP.
The CPMO and will provide backstopping support to the WRIDD/SDs for procurement of works.
The project will follow procurement processes defined in ADB's Procurement Guidelines, PAI and
Standard Bidding Documents (SBD) available in ADB's website. For NCB, SBD will be
customized in line with Nepal's Public Procurement Act, Public Procurement Rules and NCB
Annex (attached in Procurement Plan). The CPMO will review ADB’s Procurement Guidelines,
Nepal's Public Procurement Act, Public Procurement Rules and issue necessary directions to
WRIDD/SDs to ensure procurement process followed by the WRIDD/SDs are consistent with ADB
guidelines.

64. Civil Works Packaging. During CMIASP, each subproject had its own civil works tender
and contract. Having so many contracts is labor intensive (for both tendering and administration).
The options for contract packaging were carefully assessed during CMIASP-AF design.
Government systems require that subprojects are managed by WRIDD/SDs, and this system
should be strengthened rather than creating a separate contracting entity. Since the work
packages are small and the subprojects are scattered, large Nepali contractors are not readily
interested in doing the work themselves. (They may bid but then informally subcontract.)
Combining subprojects into one package in the hill and mountain areas may not be suitable
because it takes considerable time to mobilize to remote sites and one contractor will not be able
to work simultaneously in disparate areas. In the hills and mountains, local contractors are often
more accepted by the local communities and motivated to do the work but may not meet the
qualification criteria (turnover, cash flow, experience). Yet the local contractors are being
informally contracted without sufficient funds to do the work. It was agreed that the work of several
subprojects in terai districts (under the jurisdiction of a certain WRIDD/SDs) may be packaged
into one tender/contract as much as possible. DOWRI will pilot this during batch-1. Subprojects
in hill/mountain areas will each have a contract.

65. Civil Works Tendering. The tendering process will also be improved under CMIASP-AF to
reflect experience in CMIASP. Key changes will be: (i) the bills of quantities will specify all
structures to be built, including minor flow and outlet structures; (ii) contract clauses about
subcontracting and representation of the main contractor on site will be strengthened; (iii) a two
envelope system will be used as a means to address low bidding; and (iv) bid qualification criteria
(turnover, cash flow, project experience) will be re-assessed and amended to attract the right
contractors. As many joint ventures (JV) are formed to bid on subprojects, DOWRI will carefully
check the authenticity of each bid (phone calls with all JV partners, checking authenticity of
signatures, sending letter of invitation to all JV partners, etc.). DOWRI will ensure that the lead
firm is present for contract negotiations.
 31

66. An individual procurement specialist (hired by DOWRI under WRPPF) will assist the
CPMO in revising the standard bidding document, and guiding WRIDD/SDs in the preparation of
subproject specific bidding documents, the tender process, bid evaluation, and recommendation
for contract award. The procurement specialist will conduct training of WRIDD/SD personnel, and
will check tender documents before their submission by DOWRI to ADB.

67. On-Site Construction Management. Construction monitoring committees (CMCs)

comprised of WUA representatives were established and trained to supervise the contractors on
site and report their observations on quality and progress to DOWRI’s subproject manager. This
process will continue under CMIASP-AF. The effectiveness of the CMCs under the WUAs was
directly related to the strength of the WUAs. In the hill subprojects communities are more cohesive
and WUAs in turn stronger. In CMIASP-AF, the implementation modality has been changed to
allow greater attention to institutional development in terai subprojects that is tailored to the
specific social-organizational problems in subproject areas. This should in turn result in effective
CMCs in all subproject areas.

68. Supervision and Contract Management. The capacity of WRIDD/SDs in contract

management will be enhanced during CMIASP-AF. DOWRI (with the assistance of a procurement
/contract management specialist) will define and enforce a minimum set of standards for contract
management. The standards will include checklists for site visits and format of reports to be
produced after each site visit. DOWRI to prepare contract management guidelines that provide
clear guidelines on what and what not to do, e.g., conditions to be met for contract extensions,
issuance of payments, complain resolution, use of written correspondence, number of field visits,
etc. The contract management guidelines (and associated training program) will also include
instruction on how contractors should prepare and WRIDD/SDs should monitor against Quality
Assurance Plans (QAPs). DOWRI will enforce submission of QAPs by contractors.

69. The WRIDD/SD Chief (as subproject manager) will visit the site at least once/month, and
report findings to the CPMO and MOPID. SMUs will meet at least every other month during the
construction period, with contractors present, and the WRIDD/SD chief will ensure contractors
address any outstanding remedial actions.

70. The training program in contract management will include an exam and certification.
DOWRI will ensure that staff assigned as subproject managers are adequately trained. During
the first year of project implementation, all WRIDD/SD chiefs will be trained. By the second year,
all other WRIDD/SD staff will be trained. The certification program will be for WRIDD/SD chiefs,
but all WRIDD/SD staff working on subprojects will be trained in contract management.

71. The following additional actions have been agreed: (i) DOWRI to verify/ensure that
recurrent budget provided to WRIDD/SDs is adapted to agreed contract management standard
procedure; (ii) DOWRI to define a procedure to be followed in case of under-performance of
contractor, with strict remedial actions; and (iii) WRIDD/SDs will monitor and certify that
contractors have rectified any defects that occur during the “Defects Liability Period” which starts
after having issued the certificate of completion.

72. DOWRI management has agreed to more closely monitor and evaluate the performance
of its staff responsible for supervising subprojects and is establishing a performance-based
incentive system to recognize the best performing field staff. (See project document entitled
Institutional and Policy Reforms.) The DOWRI DG or DDG will hold a meeting at least every 6
32

months with CPMO and WRIDD/SD chiefs/subproject managers to assess the progress of each
subproject and monitor WRIDD/SD actions to address performance issues. The Secretary will
meet at least once every year with the DG, DDG, and CPMO chief to do the same. The project
director will attend the above meetings and support MOEWRI and DOWRI management with
timely monitoring information.

73. The procurement specialist (consultant) engaged as part of the PIMS team will assist the
CPMO in supervising the tendering and contract management process. S/he will be responsible
for the updating standard bidding documents. S/he will be responsible for guiding and overseeing
the preparation of bidding documents, tender process, tender evaluation and the preparation of
the recommendation for contract award through the Project Director.

74. Community Procurement / Construction by WUAs. Labor-oriented civil works will be

implemented by mobilizing WUAs through community procurement. ADB’s Project Administration
Instructions on Community Procurement will be followed. The threshold limit for contract award
to WUA will be NRs 6 million considering previous successful cases of DOWRI and provision of
the Government policy, which may be adjusted for time to time with prior approval by ADB during
project implementation. Complex civil works will be implemented through contractors. WRIDD/SD
heads and engineers will assess capacity and willingness of WUAs to implement the civil works
contract. This process worked well under CMIASP (see Procurement Capacity Assessment for
details). The criteria identified in Table 3 are those considered too complex to be managed by
WUAs, therefore other procurement methods will be used.

Table 3: Civil Works too Complex for Community Procurement

Type of Structure Remarks
Headworks: weirs and intake structures This includes intakes with pump
• structures requiring excavation in soil formations for which stations
excavators and/or other equipment/ machinery are to be
deployed
• structures that have major RCC components
• structures that have steel gates with mechanical hoisting
devices
• Canal Structures For remote subprojects with only
• Canal crossing structures/ bridges for vehicle traffic with RCC a few structures, the scope of
slabs to be casted in-situ work may be insufficient to attract
contractors; in such cases these
• Aqueducts and cross-drainage structures with RCC to be works may still be included in a
casted in-situ (but not small prefabricated culverts that can be community contract.
procured locally)
Canal Excavation
• Excavation in hard soil formations for which excavators
and/or other equipment/ machinery are to be deployed

75. Civil Works for DOWRI Office Buildings. The OFID loan will support rehabilitation and
reconstruction of the offices/buildings of the WRIDD/SDs and DOWRI of the project related
districts including construction of meeting hall, material testing laboratory and furnishing.
 33

76. Repairs to Damaged Irrigation Schemes. CMIASP-AF calls for creation of a new
mechanism to support minor rehabilitation works in sub-projects completed under the irrigation
sector project and second irrigation sector project. Mechanisms to foster sustainability of
rehabilitated irrigation schemes are very much needed. It is DOWRI’s policy to support schemes
damaged due to natural disaster where the repair is beyond that which can be expected to be
performed by WUAs. These schemes rehabilitated through ADB support would not otherwise
meet the section criteria for complete rehabilitation under CMIASP-AF; they require targeted
assistance for certain structural works to get the scheme operational again. Once a suitable
mechanism and implementation arrangements are determined, it was agreed that civil works
costs could be supported under CMIASP-AF using cost saving from regular CMIASP-AF
subprojects.

77. Anticorruption Measures in Procurement of Works. The following measures will be

undertaken in the project to mitigate risk of malfeasance in bidding of civil works contracts and
services: (i) establish a procurement unit with necessary staff under CPMO to carry central level
procurement and provide backstopping support to WRIDD/SDs; (ii) provide procurement training
to CPMO and WRIDD/SDs' staff at least in every two years; (iii) upon the recommendation of
DOWRI, ADB and PPMO to black-list contractors and suppliers proven to be involved in
malfeasance; (iv) the Chief District Officer who has anticorruption authority to receive and act
upon genuine complaints; and (v) ADB to undertake post-facto review of contract awards for civil
works and supply of materials on random basis; misprocured contracts not eligible for loan
financing.

78. Goods. The CPMO and PIU will procure (using project funds) the following vehicles and
equipment using National Competitive Bidding (NCB), or Shopping as described in the
Procurement Plan. The Store Units of the CPMO and PIU will keep records of assets and
inventories. Followings are the list of vehicles and equipment will be procured for the use of project
executing and implementing agencies.

Table 4: List of Vehicles and Equipment will be Procured Under the Project
Vehicles and DOWRI DOA Remarks
Equipment
CPMO RIDs WRIDDs Consultants PIU RADs AULL
(DOWRI) (DOA)
Pick-up / Jeep 1 2* 3 1 3
Motorcycles 1 4 70 10 25
Power/mini tillers 77 for ISPs
Server 1
Desktop 14 8 38 15 2 4 35 4 for
computers IMD/SICWMP and 1
for each WRIDD/SD
Laptop 7 2 30 5
Printers 14 8 38 10 1 for each WRIDD/SD
Scanners 5 4 38 10
Photocopiers 2 4 38 3 1 for each WRIDD/SD
Digital cameras 2 4 38 1 for each WRIDD/SD
Multimedia 4 2 38 2 for
projectors IMD/SICWMP; and 1
for each WRIDD/SD
GPS 1 3 38 1 for each WRIDD/SD
34

Vehicles and DOWRI DOA Remarks

Equipment
CPMO RIDs WRIDDs Consultants PIU RADs AULL
(DOWRI) (DOA)
Inverters 2 2 38 15 1 for each
WRIDD/SD
Solar Panel with 1 WRIDD Taplejung
Inverter
Level Machine 50
Total station 3 DOWRI
Theodolite 2 DOWRI
Material testing 3 38
equipment for
quality control
* Khotang and Okhaldhunga WRIDD
** The number of equipment has increased due to the decision of the government to establish IDD/IDSDs in
each district (38 districts under project scope for FMIS)

79. The Government has agreed that all vehicles and goods will be used exclusively for project
purposes. To ensure it, name of the project will be painted in all procured vehicles and equipment
and time to time monitoring of the use of the of vehicles and equipment will be carried out by the
CPMO.

80. Consulting Services. Consultants will be recruited according to ADB’s Guidelines on the
Use of Consultants. Both individual consultant selection process and consulting firm selection
process will be used to select consulting services. DOWRI will engage a procurement specialist
(national) to assist in procurement of PIMS consultant and update bidding documents of works
through financing under Grant 0299: Water Resources Project Preparatory Facility. PIMS
consultant will be main package of consulting services procurement. An estimated 2,011 person-
months of national consultants are required to (i) facilitate project management and
implementation, and (ii) strengthen the institutional and operational capacity of the executing and
implementing agencies. DOWRI will recruit and engage the consulting firm using the quality- and
cost-based selection (QCBS) method. Considering the need of high quality works, a quality:cost
ratio of 90:10 will be used.

81. The project will procure one international consultant as Irrigation and Water Resource
Specialist and team leader. Taking into account of nature of consultant to be recruited and
DOWRI’s lack of norms to prepare cost estimates for international experts, the Government has
requested ADB to facilitate the recruitment of the individual international consultant. Contract
negotiations, approval and signing of contracts will remain the Government's responsibility. The
terms of reference for the team leader (international individual) is in Annex 9. DOWRI will
advertise the assignment in a local newspaper, and ADB will advertise the assignment on
www.adb.org.

82. An 18-month procurement plan indicating threshold and review procedures for
procurement of goods, works, and consulting service and national competitive bidding guidelines
is in Section C.
 35

C. Procurement Plan

Basic Data

Project Name: Community-Managed Irrigated Agriculture Sector Project-Additional Financing

Project Number: 33209-013 Approval Number: 3124/8288
Country: Nepal Executing Agency: Department of Water Resources
and Irrigation formerly known as
Department of Irrigation, Jawalakhel

Project Financing Amount: US$ 69,900,000 Implementing Agency: N/A

ADB Financing: US$ 50,000,000
Cofinancing (ADB Administered): US$ 37,000,000 Project Closing Date: 31 January 2022
Non-ADB Financing: US$ 36,900,000
Date of First Procurement Plan: 18 March 2014 Date of this Procurement Plan: 23 September 2020,
Version 1
Advance Contracting: e-GP: No
No

1. Methods, Thresholds, Review and 18-Month Procurement Plan

a. Procurement and Consulting Methods and Thresholds
83. Except as the Asian Development Bank (ADB) may otherwise agree, the following process
thresholds shall apply to procurement of goods and works.

Procurement of Goods and Works

Method Threshold Comments
International Competitive Bidding US$ 500,000 and Above The threshold is as per the
for Goods approved procurement plan for the
National Competitive Bidding for Goods Between US$ 30,000 and US$ 499,999 project.
The first NCB is subject to prior
review, thereafter post review.
Shopping for Goods Up to US$ 29,999
International Competitive Bidding US$ 2,000,000 and Above As per approved memo
for Works
National Competitive Bidding for Works Between US$ 100,000 and US$ The first NCB is subject to prior
1,999,999 review, thereafter post review.
Shopping for Works Up to US$ 99,999
Community Participation in Up to US$ 60,000 Maximum equivalent to NRs6,000,000
Procurement for Works

Consulting Services
Method Comments
Quality- and Cost-Based Selection for Consulting Firm
Individual Consultant Selection for Individual Consultant

2. Goods and Works Contracts Estimated to Cost $1 Million or More

84. The following table lists goods and works contracts for which the procurement activity
is either ongoing or expected to commence within the next 18 months.
36

Revie Type of
Package General Description Estimated Recruitment Advertisement Comments
w Proposal
Number Value Method Date
(Prior/
Post) (quarter/year)
None

3. Consulting Services Contracts Estimated to Cost $100,000 or More

85. The following table lists consulting services contracts for which the recruitment activity
is either ongoing or expected to commence within the next 18 months.

Review Advertisement
Package Estimated Recruitment Type of
General Description (Prior/ Date Comments
Number Value Method Proposal
Post) (quarter/year)

None

4. Goods and Works Contracts Estimated to Cost Less than $1 Million and
Consulting Services Contracts Less than $100,000 (Smaller Value
Contracts)

86. The following table lists smaller-value goods, works and consulting services contracts
for which the activity is either ongoing or expected to commence within the next 18 months.

Goods and Works

Procur Review Advertise
Package General Estimated Number of Bidding
ement (Prior/ ment Date Comments
Number Description Value Contracts Procedure
Method Post) (quarter/ye
ar)
CMIASP_AF/BIII Singgang ISP, 247,821.00 1 NCB Prior 1S2E Q3 / 2019 Prequalifi
/WRIDD Dhading cation of
Dhading/NCB 01 Bidders:
N

Domestic
Preference
Applicable:
N

Bidding
Document:
Small
Works
Covid-19
Response?
No
 37

CMIASP-AF/BIII/ Change 930,255.00 1 NCB Prior 1S2E Q3 / 2019 Prequalifi

CDSMISP/WRID Dhunge Sangu cation of
D TPJ/NCB 01 Mangmaya Bidders:
ISP, Taplejung N

Domestic
Preference
Applicable:
N

Bidding
Document:
Small
Works

Covid-19
Response?
No
CMIASP-AF/BIII/ Ghatte Khola 197,553.00 1 NCB Prior 1S2E Q3 / 2019 Prequalifica
WRIDD ISP, tion of
Bhaktapur Bidders: N

Domestic
Preference
Applicable:
N

Bidding
Document:
Small
Works

CMIASP-AF/BIII/ Khairenimul 145,410.00 1 NCB Prior 1S2E Q3 / 2019 Covid-

Prequalifica
WRIDD ISP, Sunsari 19 of
tion
Sunsari/NCB 01 ResponN
Bidders:
se? No
Domestic
Preference
Applicable:
N
Bidding
Document:
Small
Works

Consulting Services Covid-19

Response?
Review Advertisement
Package General Estimated Number Recruitment Type of No
(Prior/ Date Comments
Number Description Value of Method Proposal
Post) (quarter/year)
Contracts
None

B. Indicative List of Packages Required Under the Project

87. The following table provides an indicative list of goods, works and consulting services
contracts over the life of the project, other than those mentioned in previous sections (i.e., those
expected beyond the current period).

Goods and Works

Package General Estimated Estimated Procurement Review Bidding Comments
Number Description Value Number of Method (Prior/Post) Procedure
(cumulative) Contracts

None
38

Consulting Services
Review
Package General Estimated Number of Recruitmen Type of
(Prior/ Comments
Number Description Value Contracts t Method Proposal
Post)
None

C. List of Awarded and On-going, and Completed Contracts

88. The following tables list the awarded and on-going contracts and completed contracts.

Goods and Works

Date of
Awarde Advertisem
Packa Genera Estimat Procurem ADB
d ent Date Comments
ge l ed ent Approval
Contra (quarter/year
Numb Descripti Value Method of
ct )
er
CMIASP- on
Mahaghar 184,500.00 84,295.00 NCB Q2 / 2015 16-APR-15
Contract
Value
A ISP, Award
F/AF/BI/ Rasuwa
CI DD-
8/NCB-
CMIASP MURTI KHOLA 250,000.00 329,724.00 NCB Q1 / 2019 14-JUN-19
04
-A ISP, Udaypur
F/BBIII/0
1
FMIS7 Andhari 442,657.00 191,127.00 NCB Q3 / 2019 23-MAR-20
Aahal Kholsa
Dhuseni ISP,
Okhaldhunga
FMIS17 Andheri 445,357.00 312,596.00 NCB Q3 / 2019 18-JUN-20
Khola
Jorghatta
Sagute
CMIASP- Kulo ISP,
Atraupttar 1,328,163.00 1,291,971.00 NCB Q1 / 2015 26-NOV-15
A Dolakha
ISP,
F/AMIS/I Tanahu
DD
Tanahu/
CMIASP Bangari 579,123.00 568,294.00 NCB Q1 / 2017 07-JUL-17
NC B 01
-A ISP, Bara
F/BII/ID
D
Bara/N
CMIASP- Barkhu 100,000.00 92,819.00 NCB Q3 / 2019 19-FEB-20
CB 01
A Khola ISP,
F/BIII/WR Solukhumbu
IS D/NCB
CMIASP-
01 Bikase Kulo 212,934.00 206,721.00 NCB Q3 / 2019 06-JAN-20
A ISP,
F/BIII/WR Okhaldhunga
ID
CMIASP-
D Okhald Chapakotar 323,630.00 321,748.00 NCB Q2 / 2019 14-OCT-19
A ISP, 2
F/AMIS/ Syangja
WR IDDO
Syangja/
NC B 07
CMIASP- Chaurjahari 214,587.00 214,174.00 NCB Q3 / 2019 03-SEP-20
A 2 , Rukum
F/BIII/CIS
P/ NCB
FMIS10
01 Danda Phedi 130,955.00 90,233.00 NCB Q3 / 2019 12-FEB-20
Jaljale
Chhabise
ISP,
FMIS13 Ramechhap
Dhitalkhola 268,114.00 181,131.00 NCB Q3 / 2019 12-NOV-19
ISP, Kavre
 39

CMIASP Geruki 319,473.00 212,737.00 NCB Q2 / 2018 05-DEC-18

-A Bandh ISP,
F/BIII/ID Mahottari
D
CMIASP
MH/NCB Ghatte 158,041.00 152,601.00 NCB Q4 / 2018 13-JUN-19
-A
0 Khola ISP,
F/BIII/ID Ilam
D
FMIS11
Ilam/N Ghorbang 173,335.00 116,502.00 NCB Q3 / 2019 07-FEB-20
CB 01 Karetghari
ISP,
Chitawan
FMIS9 Harshahi 995,000.00 853,200.00 NCB Q3 / 2019 23-DEC-19
Kulo ISP,
Sindhuli

CMIASP Integrated 1,385,155.00 1,184,715.00 NCB Q1 / 2018 11-JAN-19

-A Biring ISP,
F/BIII/ID Jhapa
D
Jhapa/N
CB 01
CMIASP- Jarke Khola 116,219.00 112,658.00 NCB Q2 / 2019 21-FEB-20
A ISP,
F/WRIDD Kathmandu
K
CMIASP-
ATH/NC Jhijha 109,641.00 109,442.00 NCB Q3 / 2019 07-JAN-20
A
B 01 Guleriya
F/BIII/IDD ISP,
MH/NCB Mahottari
CMIASP-
02 Kayar 455,421.00 370,505.00 NCB Q4 / 2018 14-JUN-19
A Khola,
F/BII/IDD Morang
Morang/N
C B 01
CMIASP- Kolbhi 573,195.00 465,871.00 NCB Q4 / 2019 03-JUN-20
A Bandh
F/BIII/WRI ISP, Bara
DD
Bara/NC
FMIS4
B 01 Kuber Kulo 430,045.00 271,442.00 NCB Q3 / 2019 12-MAR-20
ISP,
Panchthar
FMIS5 Mabewa 472,816.00 329,027.00 NCB Q3 / 2019 12-MAR-20
Kulo ISP,
Panchthar
CMIASP- Malta Khola 217,522.00 215,932.00 NCB Q2 / 2019 21-JAN-20
A ISP,
F/BIII/WRI Sankhuwasab
DD ha
Sankhu/M
al ta
FMIS2
ISP/NCB Mangmaya 523,125.00 367,964.00 NCB Q3 / 2019 04-MAY-20
01 Bangisaal
ISP,
Dhankta
FMIS8 Maniyari 972,453.00 688,417.00 NCB Q3 / 2019 03-FEB-20
Purano Jallad
Khola ISP,
Dhanusha
CMIASP- Mathillo 423,345.00 419,873.00 NCB Q2 / 2019 22-OCT-20
A Thulo
F/BIII/WRI Andheri
DD Khola ISP,
Dolakha/ Dolakha
N CB 07
CMIASP- Mohana ISP 726,819.00 525,345.00 NCB Q3 / 2019 23-MAR-20
A 1, Kailali
F/BIII/PMI
MO
Kailali/NC
B 01
40

CMIASP- Mohana ISP 829,454.00 615,953.00 NCB Q3 / 2019 23-MAR-20

A 2, Kailali
F/BIII/PMI
MO
Kailali/NC
B 02
CMIASP- PANKHU 100,000.00 576,354.00 NCB Q2 / 2017 14-JUL-17
A F/B- LAPSE
II/IDDK KHOLA
HOT/ ISP, Khotang
NCB-01/07
3/74
FMIS3 Parewa Khola 466,946.00 286,280.00 NCB Q3 / 2019 06-FEB-20
Siringe
Chautara ISP,
Terhathum
CMIASP-A Pattharkot 456,928.00 453,820.00 NCB Q3 / 2017 18-SEP-20
F/BII/IDD ISP, Sarlahi
Sarlahi/N
C B 01
FMIS16 Phaparbari 251,482.00 157,013.00 NCB Q3 / 2019 10-FEB-20
ISP,
Makawanpur
CMIASP- Sarbi 216,920.00 195,196.00 NCB Q2 / 2018 12-DEC-18
A ISP,
F/BII/IDD Dhanus
DHA/NC ha
B02

FMIS14 Simraphant 495,196.00 325,587.00 NCB Q3 / 2019 21-FEB-20

ISP, Nuwakot

CMIASP- Singiyahi 506,608.00 499,414.00 NCB Q4 / 2017 28-MAY-18

A ISP, Parsa
F/BII/IDD
PArsa/NC
B 02
CMIASP-A Tallo Chapleti 132,977.00 123,670.00 NCB Q3 / 2019 13-FEB-20
F/BIII/WRI Kulo ISP,
DD Sindhupalcho
Sindhu/N wk
C B 01
CMIASP-A Tatle Makle 294,353.00 291,209.00 NCB Q3 / 2019 12-NOV-19
F/BIII/WRI ISP, Kavre
DD
Kavre/NC
B 01
CMIASP- Trinath 314,960.00 240,400.00 NCB Q4 / 2018 14-JUN-19
A ISP,
F/BII/IDD Morang
Morang/N
C B 02
Consulting Services
Date of ADB
Awarded Advertisement
Package General Estimated Recruitment Approval of
Contract Date Comments
Description Value Method Contract
Value (quarter/year)
Award
PIMS Project 3,000,000.00 2,770,760.24 QCBS Q3 / 2015 06-NOV-15
Implementatio
n and
Management
Consultants
 41

D. National Competitive Bidding

89. National competitive bidding (NCB) shall be in accordance with that described as "by
inviting bids and a national level" as set forth in "The Public Procurement Act, 2007" (PPA)
and "The Public Procurement Regulations, 2007" (PPR) and subject to the following:

1. The first NCB document for both goods and works procurement shall be reviewed and approved by Asian
Development Bank (ADB) prior to issue. These will be used for all NCB procurement under the project. The
document shall include qualification and evaluation criteria and ADB's right to audit and inspect in
accordance with para 1.14 of ADB's Procurement Guidelines (March 2013, as amended from time to
time). No other criteria other than that described in the bidding document may be used to determine the
lowest evaluated responsive bidder and no form of domestic preference may be employed. A positive
assessment of a bidder's qualifications to perform a contract will be a pre-requisite to an award.

2. All qualified ADB member bidders and ADB member produced goods, services and works shall be eligible.
Registration and licensing shall be permitted only as a condition of contract award and not participation
in bidding. No award may be withdrawn for failure to obtain tax registration; license or fulfill any similar
requirement without ADB's prior concurrence. No bidder will be held ineligible based on provision 63 of the
PPA without ADB prior concurrence.
3. Invitations to bid shall be advertised in at least one widely circulated national daily newspaper or freely
accessible, nationally known website allowing a minimum of twenty-eight (28) days for the preparation and
submission of bids. Invitations for bids for contracts estimated at $500,000 or more for goods and $1,000,000
or more for civil works shall be advertised on ADB's website. No restriction will be placed on the sale of
bidding documents.

4. The approved Standing List of a Procuring Entity prepared in accordance with the law shall only be
accepted to supplement an advertised open pre-qualification exercise for the specific contract provided
that those on the standing list meet the qualification criteria.

5. Bids shall be opened at a single location immediately after the deadline for submission. Multiple locations for
submission and opening are not acceptable.

6. Government-owned enterprises in Nepal shall be eligible to participate only if they meet the conditions of
para 1.8 (c) of ADB's Procurement Guidelines (March 2013, as amended from time to time).

7. Extension of bid validity of more than 4 weeks beyond the original validity shall not be allowed without the
prior concurrence of ADB.

8. Cancellation of bidding and re-bidding shall not be carried out without the prior concurrence of ADB.

9. Percentage variations from rates fixed by a district rate fixation committee shall not be used for the purpose
of evaluating bids.

90. In the event of a conflict between these provisions and the law, these provisions shall
prevail.
42

D. Consultant's Terms of Reference

91. The terms of reference for the Project Implementation and Management consulting team
are in Annex 9.
 43

VII. SAFEGUARDS

92. Environment: The project is categorized as B for environment and requires preparation
of initial environmental examination (IEE) for each subproject. An environmental assessment and
review framework (EARF) is prepared in accordance with the ADB Safeguard Policy Statement
(SPS 2009). The framework sets out the requirements for project screening and classification,
preparation of environmental assessment document including environmental management plan
(EMP), information disclosure and consultation with local stakeholders, EMP implementation,
compliance monitoring, and reporting. The project supports rehabilitation of existing surface water
irrigation systems that are relatively small-scale. Project interventions are expected to have
minimal and localized adverse environmental impacts that can be minimized by undertaking
proper mitigation measures proposed in the EMP. The responsibility to implement EMPs will lie
with WUAs and contractors. The WRIDD/SDs will monitor, document and report EMP compliance.
SDEB periodically monitoring safeguard compliance in subprojects. SDEB will receive technical
support from the environmental expert of Grant 0219: Water Resources Project Preparatory
Facility. Safeguard performance will be reviewed in each SMU meeting; SMU meetings will have
a regular agenda item to discuss safeguards compliance and agree with the technical team on
adopting corrective measures. SMUs will also review the status of follow-up actions agreed during
previous SMU meetings. The contractor’s authorized representative and any other relevant
stakeholder will be invited in the meeting as and when required. The WRIDD/SD chief, senior
social development specialist, WUA representative and AO from WRIDD/SD will be observer in
the meeting, as and when appropriate. A minute of the meeting with agreed safeguard follow-up
measures will be maintained by SMU. A scanned copy of the minute will be uploaded in the
automated safeguard monitoring software (safeguard MIS). Semiannual safeguard monitoring
report will be submitted to ADB in the format suggested in appendix 4 of the EARF.

93. Involuntary Resettlement. The project is categorized as C for involuntary resettlement

safeguard and does not involve involuntary acquisition of land. Communities must submit
applications for project benefits and indicate in such applications that they will voluntarily donate
any necessary small parcels of land where subproject improvement requires canal extension or
widening. The WRIDD/SDs will be responsible for confirming that the proposed subprojects are
in accordance with the selection criteria. Land donation should not be more than 10% of a farmer’s
total agricultural land holding in the command area or the WUA must provide livelihood restitution
measures. There should not be any coercion to elicit donation of land. If any of the voluntary land
donation-related criteria are not met the scheme will be dropped. These include: (i) any subproject
that requires involuntary resettlement will be dropped, (ii) due diligence will ensure that there is
no forced land donation and this will be verified by the Local Body (Municipality) with support of
the project implementation and management support consultants) and ADB, and (iii) a grievance
redress mechanism will be in place to address issues related to land donation. The WRIDD/SDs
will ensure completion of the Voluntary Donation of Land Agreement found in Annex 6.

94. Indigenous people. The project is categorized as C for the Indigenous Peoples
safeguard. It expects to reach areas with high percentages of Janajatis (the IP communities). The
project does not impact directly or indirectly on dignity, human rights, livelihood systems, culture,
or cultural property of the IP communities and outline their expected benefits. Subproject selection
criteria will exclude proposals that involve any adverse impact on the IP communities and that will
not qualify to be Category C for the IP safeguard. An Indigenous Peoples impact screening
checklist (Annex 7) will be used for each proposed subproject during Scheme Verification (or GPS
44

Joint Walkthrough Survey) to screen for negative impacts. If the answer to questions 3 through
8 on the checklist is “yes,” the proposed subproject will be dropped.

VIII. GENDER AND SOCIAL DIMENSIONS

95. The CPMO will ensure that civil works contracts and bidding documents under the project
include specific provisions requiring contractors to comply with all (i) applicable labor laws and
core labor standards on (ii) prohibition of child labor as defined in national legislation for
construction and maintenance activities, on (iii) equal pay for equal work of equal value regardless
of gender, ethnicity or caste, and on (iv) elimination of forced labor, and (v) the requirement to
disseminate information on sexually transmitted diseases including HIV/AIDS to employees and
local communities surrounding the project sites.

96. Gender Equality and Social Inclusion (GESI) Action Plan. A GESI action plan has been
prepared for the project to address gender inequality and social exclusion issues and adequate
resources provided to execute it. The GESI plan contains specific targets for participation of and
ensuring project benefits reach women, dalits and janajatis including female headed households,
small and marginal farmers and tail enders. The GESI plan requires that the selection of
subprojects and public meetings involve active participation of women. The fact that women are
the de facto heads of many households due to male out-migration shall be leveraged to institute
greater gender balance in community leadership through their increased and more effective
representation in water users and farmer group committees. The WUA constitution will be
developed which will allow for either the husband or the wife as an eligible member, and that the
executive committee formation will have 33% representation of women and balanced
representation from head, middle and tail.

97. It is required to promote women in key leadership positions (chair, secretary, and
treasurer) in 50% of the WUAs and to provide technical and leadership training to them for their
meaningful participation in decision making. It is also required that 50% of the WUAs will have
included sharecroppers and leaseholders as members for increased voice and influence in
decision making related to water management. The capacity on GESI will be enhanced through
GESI orientation training to project staff and consultants in line with the irrigation policy and GESI
guidelines of the DOWRI. Special modular training session to AOs will be provided for their
effective role in social mobilization, participatory irrigation management, and linkage to agriculture
extension activities with AULL. For increased involvement of women, dalit, janajati farmers,
female headed households, small and marginal farmers and tail-enders in the WUA activities,
social mobilization will be carried out through the social mobilizers (SM) hired, of which 80% will
be women. It is required to promote women farmers as leader farmers by ensuring at least 35%
of the leader farmers trained on certified training of trainers (TOT) are women. The agriculture
development plans will ensure that the need and priorities of women farmers are addressed and
40% of the farmer group members trained will be women farmers. Equal access to agriculture
extension services and equipment will be ensured in the WUA norms for female-headed
households and other disadvantaged farmers.

98. A senior social development specialist will be hired by PIMS consultant (38 person-
months) and will be primarily responsible to oversee implementation and reporting of the GESI
action plan. S/he will provide quarterly GESI action plan update reporting to the NRM Social
Development Officer (Gender) as per the template provided by NRM. S/he will provide regular
 45

guidance and coaching to all project staff/consultants in GESI mainstreaming and supervise the
works of regional based social development specialists. S/he will develop GESI training modules
for capacity development of project staff/consultants on GESI. At the regional level, two social
development specialists (60 person-months) will be primarily responsible for monitoring of GESI
action plan and other social dimensions. S/he will provide regular guidance and supervision to
SMs in the formation and registration of WUAs, development of WUA constitution, providing
training to WUA executive members. S/he will support AULL in the execution of farmer leader
training and in the implementation of agriculture extension related trainings and services.

99. At the subproject level, 26 SMs (1560 person-months) will be hired as individual
consultants and will be responsible to ensure active participation of women and other
disadvantaged groups in the consultation/participation process, in forming and registering WUAs,
finalizing the constitution as per the provisions mentioned in the GESI action plan. S/he will
facilitate in the implementation of ADP program in ensuring that women farmers get training from
farmers and support AULL in the implementation of TOT for leader farmers.

100. The following table reflects the GESI action plan.

 46
Table 5: GENDER EQUITY AND SOCIAL INCLUSION (GESI) PLAN
Project Activity GESI Activity/Measure Target/Performance Indicators Data Source and Responsibility Year
Reporting
Mechanism
Output 2 : Water User Associations manage irrigation systems in a socially inclusive and equitable manner
Beneficiaries household Establish beneficiaries profile Updated data in annual report. Project annual WRIDD/SD, 1-3
sample baseline information (land ownership, food reports with support of
socioeconomic and sufficiency, economic activity) of social mobilizer
agricultural data sample HHs and monitor the impact
WUAs executive committee Executive committee formation • Minimum 33% representation of women in WUA Review of WRIDD/SD, 1-3
formation and registration ensures women’s representation and executive committees Minutes of WUA with support of
reflects the demographic profile of the • Proportional representation from head, middle General social mobilizer
command area as guided by their and tail enders. Assemblies,
constitution. reported in project
• 50% of WUAs have at least one woman holding a
annual report
key leadership position (chairperson, secretary,
treasurer)

WUA Constitution WUA Constitution includes provision for WUA rules provide for Review of WUA WRIDD/SD, 1-3
meaningful participation of women, • equal pay for men and women for work of equal constitutions, with support of
small and marginal farmers, tail enders value; and reported in social mobilizer
and disadvantaged caste ethnic • either the husband or the wife is an eligible project annual
groups. member reports
Promote WUA to include At least 50% of WUA constitutions allow Review of WUA WRIDD/SD, 1-3
sharecroppers and leaseholders as sharecroppers and leaseholders to be members constitutions, with support of
members for increased voice and reported in social mobilizer
influence in water management project annual
reports
Leadership and technical Ensure meaningful participation of • 65% of trained women leaders (where applicable) Annual CPMO, with 2-5
training to WUA executive women members of WUA executive demonstrate increased ability to perform assessment by support of
committee members. committees • Women executive committee members actively Senior Social Senior Social
Development Development
participate in discussions and decision-making
Specialist, Specialist
related to the operation, management and
reported in
maintenance of the schemes.
project annual
report
GESI sensitization training to Training provided to WUAs will include All WUA executive members participate in GESI Report by social WRIDD/SD, 2-4
members of WUA executive an orientation session on GESI orientation. mobilizers with support of
committee inputted in MIS social
and reported in mobilizers
project annual
report
41
 47
Project Activity GESI Activity/Measure Target/Performance Indicators Data Source and Responsibility Year
Reporting
Mechanism
Social mobilizers are Women Social Mobilisers (consultants) 80% of the social mobilizers are women and from the Project Annual CPMO 1
recruited for WUA hired district to which they are assigned. Report
institutionalization and
strengthening

Output 3: Farmers adopt improved agricultural practices

Training of Trainer for Promote and develop women leader • At least 35% women participate in agriculture Report by DOA AULL/PIU-DOA 3-5
Leader Farmers farmers in the subproject areas extension services. PIU, included in
• At least 35% of the leader farmers trained are project annual
women report

Agriculture development ADP includes the needs and priorities
plans as per the need and of women, small and marginal farmers
priorities of each SPs Ensure participation of women, small
and marginal farmers in all training
events and access to agri-extension
activities.
• Women, small and marginal farmers are Report by DOA AULL/PIU-DOA 3-5
consulted in the ADP planning process PIU, included in
• Data on farmer group composition will be project annual
collected and maintained disaggregated by sex, report
caste/ethnicity (Dalits,Janajatis).
• 40% of farmer group members trained are women
farmers and proportional representation of Dalits
and Janajati farmers.
• AULL ensure the WUA’s norms on tillers allow
equal access to female-headed
households, Dalits, and Janajatito use the tillers

Output 4: National institutions are strengthened for effective irrigation service delivery
Capacity development in Orientation in social mobilization, 100% of AOs assigned to subprojects are trained Annual CPMO 1-3
participatory irrigation participatory irrigation management on GESI. assessment by
management for Association and GESI skills to all AOs to encourage Senior Social
active participation of DAGs and Development
Organizers women. Specialist,
(AOs)
reported in project
annual report

CPMO, SMU,WRIDD/SD, GESI orientation sessions for project GESI module is integrated in training activities Report of Senior CPMO 2-3
RSPU, PIU capacity staff/consultants. and are in line with the irrigation policy and the Social
development in participatory GESI guideline of the DOWRI. Development
approach and GESI Specialist,
included in
 48
Project Activity GESI Activity/Measure Target/Performance Indicators Data Source and Responsibility Year
Reporting
Mechanism
project annual
report
M&E system MIS strengthened to ensure that GESI Project collects disaggregated data for above Report of Senior CPMO 1-5
indicators listed above under various indicators and feeds to the MIS system. Social
activities are monitored and reported. Development
Specialist,
included in project
annual report
* Vulnerable/disadvantaged groups comprise, landless sharecroppers, women headed households, and marginal famers.
GESI= gender equality and social inclusion, DOWRI=Department of Water Resources and Irrigation, , PIU=Project Implementation Unit, WRIDD/SD=Water resources Irrigation
Development Division/Sub Division, , DOA=Department of Agriculture, , AULL=Agriculture unit of Local Level, WUA=Water User Association, SPPR=Sub-Project Preparation
Report, NGO=nongovernment organization, DAG=Disadvantaged Groups, MIS=Management Information System, M&E=Monitoring and Evaluation.
 49

IX. PERFORMANCE MONITORING, EVALUATION, REPORTING AND

COMMUNICATION

A. Project Design and Monitoring Framework

Performance Targets Data Sources and Assumptions and
and Indicators with Reporting Mechanisms Risks
Design Summary Baselines (Overall Project) (Overall Project)
Impact
Current project Current project Assumption
National food security is By 2026:b Government and
increaseda Agricultural gross National and district development partners
domestic product real per continue to prioritize
statistics
capita is NRs17,125 agriculture initiatives
Baseline (2006):
NRs6,520

Overall project Overall project

Unchanged Unchanged
Outcome
Current project Current project Risk
Participating farmers By 2021: b Out-migration from rural
increase agricultural Yields of each major cropc DOWRI project to urban areas and
production increased by at least 30% completion overseas employment
in subproject areas report markets may lead to farm
(baselines reported labor shortage
in SPPRs)

Cropping intensity in SPPRs for baseline

irrigated areas is
data, with post-
increased to at least
construction survey
188% in Terai subprojects
and 199% in hill
subprojects
(baseline 2013: 158% in
Terai and 154% in hills
and mountains)

Overall project Overall project

Unchanged Unchanged
50

Performance Targets Data Sources and Assumptions and

and Indicators with Reporting Mechanisms Risks
Design Summary Baselines (Overall Project) (Overall Project)
Outputs

Output 1
Current project Current project
Farmers in subproject By 2021: b For all indicators:
areas have improved
25,907 ha of irrigated area DOI’s monitoring and
irrigation infrastructure
is improved evaluation reports
(baseline = 0)

75% of new field-level

water courses
recommended in ICWM
plans are constructed by
farmers
Overall project Overall project
Unchanged By 2021: b
35,597 ha of irrigated area
is improved
(baseline = 0)

Unchanged
Output 2
Current project Current project
WUAs independently By 2021:b
manage irrigation 100% of subproject
systems in a socially WUAs are actived
inclusive and equitable
manner
WUA committees have
equitable representation
from head, middle, and
tail of irrigation system
Assumption
WUAs are receptive,
accountable, and
DOI’s review of WUA
transparent
meeting minutes at
project end
WUA general assembly
minutes

WUA committees have at WUA general assembly

least 33% women, with at minutes
least 50% of WUAs
having a woman in a
leadership position

Recommended integrated
crop and water DOWRI’s end-of-project
management plans are survey
adopted by at least 80%
of WUAs

Funding and
implementation DOI’s end-of-project
mechanism for O&M is in survey
place for all WUAs
 51

Performance Targets Data Sources and Assumptions and

and Indicators with Reporting Mechanisms Risks
Design Summary Baselines (Overall Project) (Overall Project)

Overall project Overall project

Unchanged Unchanged
Output 3
Current project Current project
Farmers adopt improved By 2021:b For all indicators:
agricultural practices Seed replacement rate of The Department of
major crops is increased Agriculture’s end-of-
to 13% (baseline 2013: project report
11%)

At least one leader farmer

is certified in each
subproject; 35% of leader
farmers are women

40% of farmer group

members trained are
women
Overall project Overall project
Unchanged Unchanged
Output 4
Current project Current project Risks
National institutions are By 2021:b High turnover of project
strengthened for Project outputs delivered Project contract awards staff
effective irrigation on time and within budget and disbursements data
service delivery
DOWRI association WUA assessment of Government’s untimely
organizers improved their association organizers’ budget approval and
inclusive service delivery service at project end release
in subproject areas

Planned reforms are Ministry of Energy, Water

implementede Resources and Irrigation
annual reports
Overall project Overall project
Unchanged Unchanged
52

Performance Targets Data Sources and Assumptions and

and Indicators with Reporting Mechanisms Risks
Design Summary Baselines (Overall Project) (Overall Project)
Activities with Milestones (Overall Project) Inputs
1. Farmers in subproject areas have improved irrigation ADB
infrastructure $50 million (current)
1.1 Finalize agreements with WUAs, recruit contractors, and $0 million (additional)
implement 60 batch-1 FMIS subprojects (April 2014– $50 million (overall)
December 2018) (changed)
1.2 Finalize agreements with WUAs, recruit contractors, and
Government
implement 5 batch-1 AMIS subprojects (January 2015–April
$16.9 million (current)
2019) (changed)
1.3 Select subprojects, prepare SPPRs and detailed designs, $3.8 million (additional)
recruit contractors, and implement 50 batch-2 FMIS $20.7 million (overall)
subprojects (April 2016–July 2019) (changed)
1.4 Select subprojects, prepare SPPRs and detailed designs, Cofinanciers
recruit contractors, and implement 40 batch-3 FMIS OFID
subprojects (April 2018–July 2021) (added) $7 million (current)
$30 million (additional)
2. Water users associations independently manage $37 million (overall)
irrigation systems in a socially inclusive and equitable
manner Beneficiaries
2.1 In batch-1 FMIS, strengthen WUAs and prepare and $3.0 million (current)
implement O&M and ICWM plans (April 2015–April 2018) $0.6 million (additional)
(changed)
$3.6 million (overall)
2.2 In batch-1 AMIS, strengthen WUAs and prepare and
implement O&M and ICWM plans (April 2014–December
2019) (changed)
2.3 In batch-2 FMIS, strengthen WUAs and prepare and
implement O&M and ICWM plans (April 2016–December
2019) (changed)
2.4 In batch-3 FMIS, strengthen WUAs and prepare and
implement O&M and ICWM plans (April 2018–December
2021) (added)
 53

3. Farmers adopt improved agricultural practices

3.1 In batch-1 FMIS, provide agricultural extension services
(December 2014–April 2018) (changed)
3.2 In batch-1 AMIS, provide agricultural extension services
(April 2016–December 2018) (unchanged)
3.3 In batch-2 FMIS, provide agricultural extension services
(September 2016–December 2020) (changed)
3.4 In batch-3 FMIS, provide agricultural extension services
(April 2018–December 2021) (added)

4. National institutions are strengthened for effective

irrigation service delivery
4.1 Recruit and mobilize project consultants (by March 2015)
(changed)
4.2 Train project staff and consultants (April–May 2015 and
yearly thereafter) (changed)
4.3 Implement structural improvements to DOI office buildings
(August 2015–July 2017) (added)
4.4 Evaluate subproject implementation (September–October
2015 and yearly thereafter) (unchanged)
4.5 Provide technical assistance for and monitor institutional
and policy reforms (March 2015–December 2018)
(changed)
4.6 Evaluate project, including administration of post-
implementation surveys (January–December 2021)
(changed)
ADB = Asian Development Bank, DOA = Department of Agriculture, DOWRI = Department of Water Resources and
Irrigation, FMIS = farmer managed irrigation system, ha = hectare, ICWM = integrated crop and water management,
IWRM = integrated water resources management, O&M = operation and maintenance, OFID = OPEC Fund for
International Development, SPPR = subproject preparation report, t = ton, WUA = water users association.

a People are considered food secure when they have all-time access to sufficient, safe, and nutritious food to
maintain a healthy and active life.
b Major crops are rice, wheat, maize, and potato.
c Regular meetings of the WUAs and executive committees are held with a specific agenda, and officers and
committees function according to their job descriptions.
d See Institutional and Policy Reforms Implementation Matrix (accessible from the list of linked documents in
Appendix 2).
e The current project was implemented in three batches of subprojects, totaling 111 subprojects in 35 districts of
the central and eastern development regions of Nepal. This section shows the activities and milestones for
another two batches of subprojects (totaling 70) through additional financing. Source: Asian Development Bank.

B. Monitoring

101. Project performance monitoring. The achievement of project targets will be assessed
following the design and monitoring framework. The CPMO has already established a project
performance monitoring system (PPMS). Project staff are required to collect disaggregated data
for output and outcome indicators when preparing and implementing subprojects. This data will
be entered into a computerized management information system (MIS) and the data will be
aggregated by the CPMO and reported in trimester and annual progress reports.

102. Compliance monitoring: Compliance with covenants will be monitored through ADB's
regular project review missions. At the inception mission, ADB will discuss and confirm the
54

timetable for compliance with the loan covenants. During review missions, ADB will review the
executing agency’s compliance with particular loan covenants and, where there is any
noncompliance or delay, and agree with the Government on remedial measures. At the midterm
review mission, the covenants will be assessed to determine if they are still relevant or need to
be changed, or waived due to changing circumstances.

103. Safeguards monitoring: Primary responsibility to monitor environmental safeguard

compliance lies with the concerned WRIDD/SDs. A field staff will be made responsible to fill in
environmental compliance checklist. Environmental safeguard status will be discussed in a
special session in each SMU meetings and corrective measures will be agreed between the
relevant stakeholders. A designated PMIS consultant, the AO from RID, the WUA chair and the
contractor’s representative will participate in the meetings, as required. Corrective measures will
be agreed among the technical and safeguard team, and follow-up action for review will be
prepared. The SDEB will conduct periodic compliance monitoring. The WRIDD/SD staff will
regularly update the safeguard monitoring software.

104. The project will implement demand-driven irrigation system rehabilitation with no
resettlement or involuntary land acquisition. Any land required must be voluntarily donated, and
WRIDD/SDs are responsible to ensure that donation is not coerced. The voluntary land donation
issues will be verified/monitored by a representative of the ward or Local Body (municipality)and
WRIDD/SD to ensure that the land was voluntarily donated without any form of duress through
reviewing the land donation agreement forms and randomly interviewing the donors. During
review missions, ADB will verify that land donation due diligence has been conducted in
accordance with the Voluntary Land Donation Framework.

105. The social mobilizers will be responsible for completing the indigenous peoples impact
screening checklist for each proposed subproject for screening out any subproject that will not
qualify to be Category C for the indigenous people safeguard. The regional Social Development
Specialists will train them and review completed checklists in the context of SPPRs, before each
SPPR is approved. The Senior Social Development Specialist will report the results of social
safeguards monitoring to the Project Director.

106. Gender and social dimensions monitoring: The Senior Social Development Specialist
will take primary responsibility for monitoring the GESI Action Plan and other social dimensions.
S/he will assess the quality and completeness of disaggregated data being gathered to assess
project benefits and impacts for each subproject.

C. Evaluation

107. Project administration or review missions will be fielded as necessary during the period
between loan negotiations and the fielding of the project implementation consultants, in order to
assist the CPMO in start-up activities. A project inception mission will be fielded within a month
after the project implementation consultants submit their inception report to the CPMO and ADB.
Thereafter, review missions will be fielded at least annually. A midterm review mission will fielded
to comprehensively assess project progress and agree on any necessary changes in scope or
implementation arrangements. With the support of its project implementation consultants, the
CPMO will prepare and submit to ADB 3 weeks in advance of the mid-term review mission a mid-
term report. This will be used as a basis to thoroughly assess implementation progress and status
 55

toward meeting the expected outcome and impact. Within 6 months of physical completion of the
project DOWRI will submit a project completion report to ADB.16

D. Reporting

108. DOWRI will provide ADB (i) trimester progress reports in a format consistent with ADB's
project performance reporting system and includes progress report on GESI Action Plan; (ii)
consolidated annual reports including (a) progress achieved by output as measured through the
indicator's performance targets, (b) key implementation issues and solutions, (c) updated
procurement plan, and (d) updated implementation plan for next 12 months; (iii) a comprehensive
midterm report 3 weeks before the midterm review mission; (iv) a project completion report within
6 months of physical completion of the project; and (v) semiannual environmental compliance
monitoring report. To ensure projects continue to be both viable and sustainable, project accounts
and the executing agency audited financial statements (AFSs), together with the associated
auditor's report, should be routinely reviewed.

E. Stakeholder Communication Strategy

109. Consultation, Participation, and Communications (CPC) Plan. This plan17has been
prepared to ensure that there is meaningful participation of all stakeholders at different levels for
designing and implementing the projects as per the needs, capacities and constraints those
benefiting, and monitoring them. The primary stakeholders are poor and marginal farmers in the
project area that will benefit from better access to water, including potentially DAGs (women,
Dalits, Janajatis, sharecroppers and leaseholders). The WRIDD/SDs will be responsible for
keeping district level stakeholders informed about subproject selection and progress. The
subproject management unit (SMU) established in each district, is headed by the chief of the
concerned WRIDD/SD. The SMU is supported by an agriculture development staff in the AULL.
The SMU will inform the Local Body (municipality) about subprojects assisted by the project.

110. WRIDD/SDs will ensure that a grievance redress committee (GRC) is formed in each
subproject. Information on use of this GRC will be communicated by the social mobilizers to the
beneficiaries. They will raise awareness among communities of the project’s grievance redress
mechanism and facilitate receiving complaints by the WUA from the aggrieved persons. The
WRIDD/SDs will also ensure that information about the subproject costs and contracts for
construction is posted in a public location in the village/municipality. The CPMO will monitor the
implementation of the CPC plan and keep it updated as circumstances change.

X. ANTICORRUPTION POLICY

111. ADB reserves the right to investigate, directly or through its agents, any violations of the
Anticorruption Policy relating to the Project. 18 All contracts financed by ADB shall include
provisions specifying the right of ADB to audit and examine the records and accounts of the
executing agency and all Project contractors, suppliers, consultants and other service providers.

16 Project completion report format is available at: http://www.adb.org/Consulting/consultants-toolkits/PCR-

PublicSector-Landscape.rar
17Accessible from the list of documents linked to the Report and Recommendation of the President.

18 Available at: http://www.adb.org/Documents/Policies/Anticorruption-Integrity/Policies-Strategies.pdf

56

Individuals/entities on ADB’s anticorruption debarment list are ineligible to participate in ADB

financed activity and may not be awarded any contracts under the Project.19

112. To support these efforts, relevant provisions are included in the loan
agreement/regulations and the bidding documents for the Project. ADB’s anticorruption policy will
be disseminated widely among the project staff (in Nepali). DOWRI has agreed to ensure that all
equipment and vehicles purchased with project funds will be used solely for project purposes.
Contractors involved in any malfeasance will be blacklisted. CPMO will ensure that all agreements
signed with the contractors for subproject implementation are posted at the construction site. All
information about the project including the awarded contracts will be posted on the project
website, in the districts, and in subproject areas. The Chief District Officer, who has anticorruption
authority will receive and act upon genuine complaints.

XI. ACCOUNTABILITY MECHANISM

113. People who are, or may in the future be, adversely affected by the project may submit
complaints to ADB’s Accountability Mechanism. The Accountability Mechanism provides an
independent forum and process whereby people adversely affected by ADB-assisted projects can
voice, and seek a resolution of their problems, as well as report alleged violations of ADB’s
operational policies and procedures. Before submitting a complaint to the Accountability
Mechanism, affected people should make a good faith effort to solve their problems by working
with the concerned ADB operations department. Only after doing that, and if they are still
dissatisfied, should they approach the Accountability Mechanism.20

Annexes:
1. Subproject Selection Criteria
2. Proposed FMIS Subproject Procedures and Implementation Arrangements
3. Procedures and Implementation Arrangements for Rehabilitation and Management
Transfer of AMIS
4. Agricultural Development Component
5. Integrated Crop and Water Management Component
6. Land Donation Form and Checklist
7. Indigenous Peoples Screening Checklist
8. Timeline for Audited Project Financial Statements
9. Terms of Reference for Project Implementation and Management Support Consultants

19 ADB's Integrity Office web site is available at: http://www.adb.org/integrity/unit.asp

20 For further information see: http://www.adb.org/Accountability-Mechanism/default.asp.
 57

Annex 121

ANNEX 1: SUBPROJECT SELECTION CRITERIA1

A. Request for Assistance Criteria

(i) Proposed FMIS subprojects are between 25 and 500 ha in the hills, and between 200 and
2,000 ha in the Terai,22 and proposed AMIS subprojects are 1,000 ha or smaller in the hills,
and 5,000 ha or smaller in the Terai,23 unless otherwise concurred by ADB. [data source:
WUA Request for Assistance Form]

(ii) Proposed subprojects entail rehabilitating or upgrading an existing irrigation scheme, and
may include new supplementary structures and canals in existing systems. [WUA Request
for Assistance Form]

(iii) More than 70% of the beneficiary households have signed off on the subproject Request
for Assistance Form. [WUA Request for Assistance Form]

(iv) WUA has provided up-front cash contribution of at least NRs 120 per hectare of command
area, and established an emergency fund for nonrecurrent maintenance works with the
said contribution. [WUA Request for Assistance Form]

(v) Farmers are willing to develop field channels for improved on-farm water management.
[WUA Request for Assistance Form]

(vi) Farmers are willing to adopt improved and equitable water distribution schedules. [WUA
Request for Assistance Form]

B. Initial Scheme Prioritization (Scoring) - before Scheme Verification

(i) Proposed subprojects which never received external assistance will be given highest
priority. [DOWRI records]

(ii) The subproject did not have any major investment or rehabilitation within the last 15 years.
[DOWRI records]

(iii) Proposed subprojects which carried out significant O&M activities during the previous
years will be given higher priority. [WUA Request for Assistance Form]

C. Final Scheme Prioritization (Scoring) - after Scheme Verification

(i) If the subproject did receive investment or rehabilitation (more than 15 years ago), is the
present request due to deferred maintenance (lower priority) or to events beyond the ability
of the farmers (highest priority). [Scheme Verification]

21 FMIS subprojects for CMIASP-AF have already been selected. This criteria will be applied for any subsequent FMIS
subprojects selected.
22 FMIS subprojects will be “medium” schemes, as defined in the 2013 Irrigation Policy.

23 AMIS subprojects will be “medium” or “large” schemes, as defined in the 2013 Irrigation Policy.
58

(ii) Subproject with the largest area (or largest % of command area) that can be converted
from rainfed or suboptimal irrigation to full irrigation will be given higher priority. [Scheme
Verification]

(iii) Subprojects having prospects for promoting year-round irrigation will be accorded higher
priority.24[Scheme Verification]

(iv) Subprojects having a good potential to form an effective WUA will be accorded higher
priority (i.e conflicts, leadership, etc.). [Scheme Verification]

(v) At least 40% households in the subproject area have landholdings less than 0.5 ha in the
hills and 1.0 ha in the terai. [Scheme Verification]

D. SPPR Criteria

(i) The subproject must be technically feasible, financially and economically viable with
economic internal rate of return (EIRR) of at least 12%. [SPPR]

(ii) The subproject will not have any other major negative environmental impacts that require
environmental impact assessment study, including any negative impact on other users of
the same source. Initial environmental examination (IEE) has been undertaken and
approved after consulting the beneficiaries and those affected by the project, concluding
that the subproject is environmentally sound and any negative consequences can be
mitigated. [SPPR]

(iii) Community willing to voluntarily donate land required for ISP implementation. Due
diligence documentation includes a LAR Screening Checklist and a Voluntary Land
Donation Form included in the SPPRs. [SPPR]

(iv) WUA willing to contribute part of the subproject rehabilitation costs, in cash or in kind, as
defined in the Irrigation Policy 2013. In any case, the WUA contribution should not be less
than 3%. [SPPR]

24 As determined by the preliminary water availability assessment carried out during the Scheme Verification visits with
preliminary GPS survey.
 59

ANNEX 2: PROPOSED FMIS SUBPROJECT PROCEDURES AND IMPLEMENTATION

ARRANGEMENTS

A. Stage 1: Subproject Identification, Scheme Verification, and SPPR Preparation

1. Information Campaign. The purpose of the Information Campaign is to make the project
widely known throughout the project area, reaching the most remote locations that may need
assistance for irrigation rehabilitation. If additional subprojects are needed, apart from those
already being processed,1 CPMO will initiate a new Information Campaign by sending a letter or
circular to all Local Body providing a clear explanation of the project and the process whereby
local water user associations/ groups within the Local Body can initiate actions to obtain project
assistance. Through its District Chapters, the National Federation of Irrigation Water User
Associations Nepal (NFIWUAN) will also circulate a similar letter to its WUA members. CPMO will
prepare information posters and distribute for display at the Local Body boards. Finally, to reach
illiterate people, CPMO will prepare and air radio advertisements in the project area.

2. WUA Request/ Application. On the basis of the information received, interested water
user associations/ groups will form an ad-hoc WUA committee (including representatives from
head to tail reaches, women, and ethnic minorities if any) and request FMIS rehabilitation to the
WRIDD/SD with recommendation of the concerned Local Body. The request will include a brief
scope of the proposed rehabilitation works along with the necessary agriculture support services.
The standard Request for Assistance Form25 will be used for this purpose. At this time, the
WUA will also submit a deposit at the rate of NRs 100 per ha.

3. Pre-Screening. The WRIDD/SD will review the Requests received for completeness and
adequacy, including the information on size of the command area and access. Requests that do
not meet the selection criteria 26 or are incomplete will be discarded and/or sent back to the
requesting association for additional information.

4. Initial Prioritization. The WRIDD/SD will score the Requests on a scale of 1 to 5, using
selected criteria27and assigning a weight and score to each. The WRIDD/SD will then select the
top scoring subprojects for the next step, Scheme Verification.

5. Scheme Verification. The objective of Scheme Verification is to determine the technical

needs, social viability and agriculture potential of the scheme for which a request has been
received. A team28 from the concerned SMU will visit the proposed irrigation scheme to carry out
a preliminary assessment of (i) water availability, (ii) present irrigation coverage, quality of
irrigation service and condition of the existing infrastructure, (iii) indicative socio-economic
situation in subproject area including ethnic composition of beneficiary group and distribution of
landholdings; (iv) present cropping patterns; and (v) any need of voluntary land donation that
might result from improvement or extension of the irrigation system. The details of the Scheme
Verification Process are presented in Annex A.

25 The Request for Assistance Form (in Nepali) is presented in Annex ***.
26 See Subproject Selection Criteria, Main Report, Appendix 13.
27 See Subproject Selection Criteria, Main Report, Appendix 13.

28 At least, this team should include a Sr. Engineer, AO and JT/JTA.

60

6. The activities of the verification team will involve (i) a preliminary GPS survey of the
existing main canal alignment including a preliminary alignment for possible canal extension, (ii)

a GPS perimeter survey of the command area, and (iii) a series of meetings to discuss the
subproject concept and independent meetings with individual groups including women, ethnic
minority, marginal farmers and landless people, and people outside the subproject area who might
be negatively affected (downstream FMIS, for example).

7. WRIDD/SD personnel will enter the GPS survey and other field investigations results in
the Scheme Identification System, 29 CMIASP-AF’s web-based MIS that records proposed
subproject data. Scheme Verification Reports can then be generated automatically by this
system.

8. Final Scheme Prioritization. On the basis of the completed Scheme Verification Reports,
the SMU will review the scheme prioritization exercise prepared earlier to reconfirm the original
ranking. The final number of subprojects selected for a given district will follow the instructions
received from CPMO, which are based on the available budget30.

9. CPMO, with the assistance of the PIMS consultants, will review the prioritized subproject
ranking and Scheme Verification Reports, which will be available on-line.

10. GPS Joint Walkthrough Survey. SMU staff will organize and carry out a joint
walkthrough survey with the participation of WUA representatives to identify the system’s details
and problem areas. This group, together with a representative number of WUA members and
farmers, will walk along the main canal and main branch canals and discuss problems and
possible solutions. All problems identified during the walkthrough survey will be geo-referenced
with a GPS and mapped with a description of the problem. In addition, photographic evidence of
the major problems will be provided. During the walkthrough, existing arrangements of water
rights and water distribution within the system will also be discussed and recorded. Areas of
reported water shortage will be geo-referenced and mapped. Details of the GPS Walkthrough
Survey Methodology are presented in Annex B.

11. The GPS joint walkthrough survey will record main and branch canal alignments, as well
as conveyance or structural problems. Hydraulic boundaries of the system will also be recorded
with the GPS equipment. The results of the surveys will permit the preparation of accurately geo-
referenced mapping of system layouts, command area boundaries and system deficiencies. The
Rapid Environmental Assessment (REA) checklist will be used to document environmental status
of the subproject area, assess the types and level of impacts, and use the information for
environmental categorization of the subproject.

12. In parallel with the walkthrough, SMU staff will carry out other key technical, social and
agriculture field investigations including (i) assessment of water availability, (ii) identification of
other water users, (iii) site investigations for major structures, (iv) present and future agriculture
data, and (v) data on agriculture production cost, yields, agriculture income, other sources of
income, etc. Focus group discussions (FGD) will be used to collect the relevant information.

29 http://cmiasp-mis.com.np/cmiaspaf/
30 A proposed subproject not selected one year can still be considered the following years.
 61

13. Subproject Preparation Report (SPPR). The SPPR will be the outcome of the GPS joint
walkthrough survey and social and agriculture investigations. The SPPR will include information
on (i) subproject area (location, topography, present agriculture situation, socioeconomic aspects,
etc.), (ii) existing irrigation scheme and infrastructure (problems and constraints, WUA, etc.), (iii)
proposed subproject (infrastructure development, agriculture development, cost estimates, etc.).
The SPPR will also include appendices with maps, typical drawings, crop water requirements,
IEE, voluntary land donation consent, EIRR/FIRR, and photographs.

14. WRIDD/SD personnel will prepare the SPPRs, using the fully automated, internet-based
system. They will enter the information from the GPS joint walkthrough survey, flow measurement,
site investigation, socio-economic and agriculture data into the MIS. A standard template will be
used to enter data. 31 Once data entry is complete, SPPRs can be generated automatically.
CPMO, with the assistance of PIMS consultants, will provide quality control of the SPPRs.

15. Voluntary Land Donation. Additional land requirement for the subproject improvement
will be fulfilled through voluntary land donation by the beneficiaries. WRIDD/SDs will screen for
voluntary land donation during Scheme Verification (or GPS Joint Walkthrough Survey) by
completing the voluntary land donation screening checklist. 32 Where subproject improvement
requires canal extension or widening, WRIDD/SD will document the voluntary land donation due
diligence in each SPPR that requires donation of private land. They will ensure completion of the
written consent form for land donation.33The donation will be verified by a representative of the
ward Local Body- Municipality and WRIDD/SD to ensure that the land was voluntarily donated
without any form of duress. The voluntary land donation due diligence information will be verified
during scheme detailed design and updated as necessary.

16. For most subprojects, additional land requirement for improvement of existing canals
would be minimal that will be effected through voluntary donation. The canal layout will be super-
imposed on the cadastral map to identify the landholdings along the existing main and branch
canals.

17. The subproject selection criteria will verify that the rehabilitation of an existing irrigation
system is demand-led, and that members agree to voluntarily donate small parcels of their land
(up to 10% of their agricultural land-holding in the command area) for irrigation enhancement. To
address issues of coercion for donation of land, and for donation of land that exceeds 10% of
agricultural land within the command area, the provisions of the grievance redress mechanism
included in the Voluntary Land Donation Framework (VLDF) will be followed.

18. Indigenous Peoples. Donation of land by the Indigenous Peoples ("Janajati") is eligible
for consideration of a subproject improvement, subject to the conditions defined in the VLDF and
also subject to not triggering ADB's Indigenous Peoples safeguard policy. For the latter, an
Indigenous Peoples screening due diligence will be carried out following the Indigenous Peoples
Screening Framework.34 In particular, an Indigenous Peoples impact screening checklist will be
used for each proposed subproject during Scheme Verification (or GPS Joint Walkthrough

31The current SPPR Data Input Excel file is provided in Annex ***.
32The Voluntary Land Donation Screening Checklist is provided in the Voluntary Land Donation Framework (VLDF),
Main Report, Appendix 8.
33 The Sample Voluntary Land Donation Consent Form is provided in the VLDF, Main Report, Appendix 8.

34 The Indigenous Peoples Screening Framework (IPSF) is presented in Main Report, Appendix 9.
62

Survey) to screen for negative impacts, and any subproject not fulfilling the screening criteria will
be dropped.35

19. Environmental Assessment. For each subproject, the WRIDD/SD will prepare an Initial
Environmental Examination (IEE) in accordance with the EARF. The IEE will also include an
environmental management plan for implementation and monitoring of the proposed mitigation
measures. The IEE and the environment management plan will be prepared as part of the SPPR,
on the basis of the findings of the Rapid Environmental Assessment (REA) checklist filled up
during the GPS Joint Walkthrough Survey.

20. EIRR and FIRR. The WRIDD/SD will prepare the cost-benefit analysis using an Excel-
based application that incorporates (i) subproject costs and annual phasing, (ii) without- and with
rehabilitation cropping patterns, and (iii) economic without- and with-rehabilitation crop gross
margins applied to subproject cropping patterns. The results will be incorporated in the
subproject’s automated SPPR system.

21. For each subproject, a summary of the SPPR will be prepared by WRIDD/SD in Nepali
(with English translation) as an appendix to the SPPR. It will include summaries of (i)
Infrastructure Development Plan, (ii) Water Users’ Association Development Plan, with details of
assistance through the Social Mobilizers (PIMS consultant) and COs, training programs and other
activities, (iii) Agriculture Development Plan (ADP), (iv) Implementation Schedule, (v) Voluntary
Land Donation Requirement and (vi) Environmental Management Plan.

22. Approval for Implementation. The implementation approval process will follow the
standard form that has been developed for this purpose, involving (i) a checklist for appraising
SPPRs submitted by SMU to CPMO along with the report (signed by WRIDD/SD Chief, AULL
Representative, WUA Chair, (ii) a submission by the SMU (signed by WRIDD/SD Chief, AULL),
(iii) a final approval by the Project Appraisal Committee (PAC) (signed by DOWRI DG, DOA
DG, DOWRI DDGs, PIMS Consultants, and the Project Director).

B. Stage 2: WUA Institutional Development and Detailed Design

23. Institutional Development. After subproject PAC approval, the establishment of WUAs
under the current legal framework will be initiated, along with WUA strengthening in accordance
with the SPPR's institutional development plan. Each WUA will nominate a qualified community
organizer (CO), from amongst its members, who will be contracted by WRIDD/SD to facilitate
WUA strengthening with support from the Social Mobilizers from the PIMS consultants. The
COs will work closely with the Association Organizers (AOs) of WRIDD/SD in providing motivation
and support to the community. The AOs' capacity will be strengthened through training by PIMS
consultants and others.

24. The CO will start with an information campaign36for the stakeholders. The inventory of
beneficiary households inside the subproject area will then be updated. In this process, direct
beneficiaries and other relevant stakeholder will be identified, and a complete list of beneficiaries
in the command area will be established. Existing Farmers Groups inside the command area will
be invited to join the WUA. The ad-hoc Management Committee will be modified as necessary,

35 The Vulnerable Peoples Impact Screening Checklist is part of the IPPF, see Main Report, Appendix 9.
36This is different from the information campaign at the beginning of Stage 1.
 63

to promote appropriate representation of various stakeholder groups within the subproject area
and representatives from the tail end of the system.

25. Subsequently, the ad-hoc Management Committee will prepare, with help from the CO
and the Social Mobilizer, draft WUA constitution, by-laws, and rules and regulations that define
the organizational setup, and operational arrangements and procedures. They will also (i)
organize general meetings; (ii) enroll members (iii) discuss and finalize beneficiary contribution
arrangements for investment and O&M; (iv) organize the first WUA general assembly; (v) apply
for registration; and (vi) conduct an election within the specified time frame. The WUA will also
elect a manager/treasurer, and conduct regular meetings to review and promote the progress of
WUA establishment and strengthening activities with the presence of the CO. NFIWUAN staff or
others will provide training for financial management including accounting.

26. Particularly in larger schemes, the COs and Social Mobilizer will facilitate the formation of
branch canal, turnout, and field channel groups as units to receive on-farm water management
and agriculture extension and support services later. These groups will be encouraged to have at
least 33% of women as members, and motivated to build and manage field channels to improve
intra-unit irrigation efficiency.

27. Participatory Detailed Design. During this stage, WRIDD/SD will collect data for detailed
design of the engineering works, and prepare the design itself through a consultative process with
the farmers, including joint walkthrough. They will also prepare the detailed cost estimates and
tender documents along with the detailed design.

28. The consultative process with the farmers will involve the following main elements: (i) their
participation in the scheme verification visit, during which they will have the opportunity to present
problems and their proposed solutions, (ii) the joint GPS walkthrough, during which a
representative number of WUA men and women, farmers and sharecroppers will walk along the
main canal and main branch canals and discuss problems and possible solutions, (iii) their review
and approval (by signature) of the summary of the SPPR (in Nepali) that describes the proposed
structures and the support that they agree to receive, and (iv) their participation in data collection
for detailed design. If the detailed design process leads to changes to the structures, these will
be discussed with the WUA.

29. The detailed designs will be prepared by the WRIDD/SDs, with quality control by RID with
support from the MIT and PIMS consultants and approval from the concerned authority.

30. The WRIDD/SD will compute the beneficiary contribution following the requirements of the
Irrigation Policy 2013, as presented below. The WUA will contribute part of the subproject
rehabilitation costs, in cash or in kind, as defined in the Irrigation Policy 2013. If the WRIDD/SD
finds the beneficiary contribution to be less than 3% of the total subproject cost, the WRIDD/SD
will then raise the beneficiary contribution up to 3%.
64

Table 1: WUA Contribution to Rehabilitation Civil works

Project/System Headworks and Branch Tertiary
Main Canal Canal Canal
Medium:
Hills: 25-500 ha 0% 5% 7%
Terai: 200-2,000 ha
Large:
Hills: 500-1,000 ha 0% 3% 5%
Terai: 2,000-5,000 ha
Source: Irrigation Policy 2013

31. At this time, a list of direct beneficiaries, their landholding size and how much each will
contribute in cash, kind, or labor will be prepared, through facilitation by the CO and the Social
Mobilizer. The contribution for each beneficiary will be based on their landholding size.

32. During detailed design, if modifications are needed to the infrastructure described in the
SPPR, the WRIDD/SD will verify the consent form for land donation prepared earlier (if one
was prepared) and update it (or prepare one) following the voluntary land donation framework,
under supervision and guidance from the Social Development Specialist (PIMS consultants).

33. Signing Memorandum of Agreement (MOA). Stage 2 of the subproject development

cycle ends with the signature of the Memorandum of Agreement (MOA) for subproject
implementation, which sets out specific subproject activities, schedules, and institutional
responsibilities. The MOA will be signed by the Chairman of the WUA Executive Committee, the
WRIDD/SD Chief and the Chief of AULL. The agreement will be signed only after the following
preconditions have been met and confirmed by the WRIDD/SD.

(i) Membership enrolment in the WUA includes representation from a minimum of 70% of
the direct beneficiary households in each geographical group representing head,
middle, and tail reaches of the system.
(ii) The WUA has finalized its constitution and by-laws, has been registered in the
concerned district administration, and has undertaken election. At least 1/3 of the
Executive Committee members are women, and at least 1/3 are from the tail end of the
system.
(iii) The engineering designs, beneficiary contribution works and arrangements have been
discussed with WUA and endorsed.
(iv) The WUA has collected the initial upfront cash contribution amounting to 0.5% of the
total cost estimate for irrigation infrastructure and has deposited it into the joint account
of WUA and WR IDD/SD.
(v) The WUA has demonstrated, through its records, that it has conducted regular
meetings and that the Executive Committee has met monthly for at least 4 months prior
to the signing of the MOA.

34. Assessment of WUA capacity for civil works implementation. WUAs may participate
in earthworks and simple structures up to a value of NRs 6 million each, either through (i) provision
of materials and labor under supervision of designated Sub-Engineers or (ii) direct contracting
with WUAs where appropriate capacity has been demonstrated. The WRIDD/SD engineers need
 65

to review the capacity of WUAs to perform civil works. The PAM includes a table that describes
works too complex for WUA procurement. The WRIDD/SD engineers assess the WUA capacity
and willingness to perform simple civil works through payable contracts at this stage.

35. Progress Review Meetings. SMU will organize regular progress review meetings at the
subproject sites or district headquarters to review implementation progress and further decide on
the activities, schedules, and responsibilities of the concerned organizations.

36. The WUA will form a subproject Construction Monitoring Committee (CMC) who will be
trained by WRIDD/SD and CPMO, with assistance from PIMS consultants, on subproject
monitoring and reporting arrangements.37 Representatives of CMC will participate in SMU-WUA
progress review meetings along with other key WUA executive members.

C. Stage 3: Approval of Detailed Design, Tendering, and Construction

37. Approval of Detailed Design. After MOA signing, WRIDD/SD will submit the detailed
design to RID along with a copy of the signed MOA. The designs and cost estimates will be
approved by the relevant authority after verification by PIMS consultants. These will also be sent
to CPMO for its “no objection.”

38. Initiation of WUA Contribution Works.38 The WRIDD/SD and CO, with support from the
Social Mobilizer, will motivate the WUA to initiate the works39 stipulated as beneficiary contribution
in the MOA, with technical support and regular monitoring by the Engineer and/or Sub-Engineer
designated by WRIDD/SD to ensure work standards and quality. The CO will facilitate labor
mobilization with occasional supervision by the Social Mobilizer. Upon 30% completion of the
WUA contribution works, WRIDD/SD and the Quality Control Engineer from the PIMS consultants
will visit the works and confirm their progress and quality. The remaining 70% of the WUA
contribution works must be completed by the time 75% of the Project-financed civil works has
been completed.

39. Tendering, Contract Signing, and Work Initiation. Upon confirmation of reasonable
progress of the WUA contribution works, approval of tenders for the project-financed civil works
will be initiated by WRIDD/SD. Contractors will be invited for the construction of subproject
infrastructure.

40. When possible, the WUA will engage people from disadvantaged groups (DAG) to
undertake WUA works, using the current approved district wage rates, and ensuring equal pay
for male and female workers for equal work output. The concerned WRIDD/SD and WUAs will
also promote DAG engagement in work done by contractors, again with the same arrangements.

41. Construction and Monitoring. The WUA will be involved in monitoring construction done
by contractors. For this purpose, the CPMO and WRIDD/SD with the assistance of PIMS

37 The WUA/ CMC will also record subproject activities done by the COs and Social Mobilizers.
38 The WUAs will have two types of works, (i) WUA contribution works (in-kind works as beneficiary contribution), and
(ii) WUA payable work - simple earthworks and structures up to NRs. 6 million)
39 Simple structures may be included in the beneficiary contribution works, in which case the Project will deliver

materials and technical support (through Sub-Engineers) while WUAs mobilize labor contribution.
66

consultants will organize training for the subproject Construction Monitoring Committee (CMC)40.
Note that WUA management committee members will not be allowed to work as contractors in
any construction works under the subproject. The WRIDD/SD will issue instructions to the
contractor giving CMC members the right to lodge written complaints to SMU.

42. WRIDD/SD will mobilize a Site Sub-Engineer either from within or recruit and train a local
agent, to supervise the work on a daily basis. Contractors will maintain work records including
photographs at key stages for periodic review by the construction supervisors and by technical
auditors from the National Vigilance Center (NVC).41 A copy of the construction drawings will be
submitted to the WUA, and if any major changes occur during construction, a copy of the revised
drawings will also be submitted.

43. Test Run and Rectification. Upon confirmation of civil works completion in accordance
with the plan, test runs will be undertaken in the presence of WUA CMC members and Engineer
or Sub-Engineer. Particular attention will be given to verifying the design flow at key canal
locations, including the tail end and extended irrigated area. Deficiencies will be noted and
rectified by the contractors or by WRIDD/SD, depending on the nature of the deficiencies.

44. Joint Inspection at Completion of Civil Works. A joint inspection will be organized by
WUA, designated WRIDD/SD staff, PIMS Quality Control Engineer, and an RID staff. To ensure
the quality of works, payment of the last installment to the contractor will be made only after they
issue a Joint Completion Certificate.

45. Integrated Crop and Water Management Planning. At this stage, the IMD/SICWMP will
initiate on-farm water management preparatory activities. As a result of the planning exercise, the
IMD will prepare a subproject-specific integrated and crop and water management (ICWM) plan.
The plan will detail on-farm level physical improvements, including turnout, farm ditches, repairs
of minor structures, pipes, water measuring structures, etc. A pilot scheme demonstration will be
established to show different surface irrigation or micro-irrigation methods for example. ICWM-
related institutional development activities will also start at this time, with selected programs (i)
Orientation and dissemination, (ii) Review of WUA structure and composition (to allow effective
on-farm water management), (iii) WUA capacity building, (iv) FFS (irrigation part), (v)
development of user list, and (vi) resources collection and mobilization.

46. Contract for WUA on-farm water management infrastructure. The WRIDD/SD will
make another contract with the WUA for construction of turnouts, small division boxes, water
courses, small pipes and other small on-farm structures. WUAs will carry out these works as WUA
payable work, under the guidance and supervision of the WRIDD/SDs. The WUAs will contribute
25% of the cost of these on-farm level works, in cash or in kind.

40 The committee shall be headed by a member from WUA Executive Committee. Other members should be selected
from the different location of the canal system i.e. head, middle and tail, and should include at least one woman. The
number of CMC members should be limited to a manageable size. Similar process shall be followed to form O&M
subcommittee.
41 To maintain quality construction of infrastructure, the National Vigilance Center (NVC) will carry out technical audits

of select CMIASP-AF subprojects, and project budget will be made available for this purpose.
 67

D. Stage 4: Initial O&M, Agriculture Development and Post-Construction Monitoring

and Support

47. O&M Subcommittee, Initial Training and Planning. At this stage, the WUA will establish
an O&M subcommittee. The CMC members, trained in construction monitoring, will be
encouraged to join this subcommittee since they have developed an understanding of the nature
and purpose of the infrastructure. The subcommittee will prepare an O&M plan for the subproject.
The plan will comprise an operational plan (corresponding to flow levels in different cropping
seasons), a maintenance plan, and a resource mobilization plan. O&M Plans will have a different
level of details in small hill schemes and in larger Terai schemes, and for FMIS and AMIS.

48. On-farm Water Management. At this stage, IMD/SICWMP personnel will deliver the key
component of the on-farm water management program, including (i) crop planning and selection,
(ii) crop Water requirement, (iii) irrigation requirement, allocation and distribution schedule, (iv)
operational training, (v) flow measurement, (vi) soil moisture measurement, and (vii) Farmers
Field School (irrigation). Participants will include WUA and branch canal, turnout, and field
channel groups. Crop planning and selection will be carried out with the concerned AULL, as part
of the ADP activities planned for the subproject. Operation plans will include both system-level
operation (macro level), and on-farm level operation.

49. System Planning and Operation. Prior to the start of each irrigation season, the O&M
subcommittee will prepare a System Operational Plan by collecting irrigation demands from
each branch canal group, including arrangements to share water under low-flow conditions, with
the facilitation of the CO. The level of details of these arrangements will depend on the complexity
of the scheme.

50. During operation of the irrigation system, the O&M subcommittee will record any issues
with water availability and distribution and request assistance from the designated WRIDD/SD
staff when serious problems of this nature are encountered. The Mobile Irrigation Team (MIT) in
RID, along with the PIMS consultants, will be invited to assist in resolving any such issues.

51. Based on the system operation experience during the first 1-2 seasons, as recorded by
the O&M subcommittee and the designated WRIDD/SD staff, the subcommittee will prepare a
revised system operational plan. Some “trial and error” is expected over perhaps two or three
irrigation seasons, before an optimal scheme operation level can be reached. System Operational
Plans will have different levels of detail in small hill schemes and in larger Terai schemes, and for
FMIS and AMIS.

52. Maintenance Planning and Implementation. At the end of the monsoon season, the
O&M subcommittee will prepare a system maintenance plan. This preparation will involve (i) a
joint walk-through by O&M subcommittee members and by representatives of the concerned
branch canal groups, (ii) identification of maintenance needs; and (iii) preparation of a
maintenance plan including resource mobilization requirements. For a period of at least one year
after completion of the civil works, WRIDD/SD staff will provide assistance for the preparation of
the system maintenance plans, training for the WUA to implement the maintenance plan, and
monitoring of the O&M activities.

53. The maintenance plans will have different levels of detail in small hill schemes and in
larger Terai schemes, and for FMIS and AMIS. Small simpler systems will not be over-burdened
68

with complicated arrangements, while large more complex systems will receive training and
support for maintenance planning and implementation.

54. Fund for Major Rehabilitation. Particular attention will be paid to building up a reserve
fund for major rehabilitation or maintenance works. The WUA will be encouraged to collect and
save at least 50% of the material and skilled labor costs of potentially vulnerable structures, in
order to supplement the upfront cash contribution of 0.5% collected earlier. The DOWRI will
ensure that further assistance for major natural calamities will be allocated on the basis of the
WUA's capacity to provide sufficient matching funds from their reserves.

55. Agriculture Extension and Support. Agriculture extension and support will be provided
through Agriculture Development Plans (ADPs), which will cover agriculture extension activities
aimed at improving irrigated agriculture practices and techniques in the subproject areas. The
AULL will be responsible for implementing the ADPs in each subproject using their officers and
technical staff (JT/JTAs). The ADP will target farmers and sharecroppers within the command
area. Agriculture extension activities will be (i) subproject-specific, 42 (ii) directly related to
supporting irrigated agriculture, (iii) tailored to the needs of the beneficiaries, and (iv) selected in
consultation with them through a simple need-based assessment. As much as possible, training
sessions will be conducted in the field at subproject level, following the Farmers Field School
Approach (FFS) for example. In subprojects having easy access to road and market,
commercialized farming activities will be emphasized.

56. Performance Monitoring of Agriculture Development. The performance monitoring of

agriculture development will involve two separate exercises, (i) short-term (3 to 5 years)
monitoring of outcomes, and long-term monitoring of impacts.

57. Short-term Monitoring - Monitoring of short-term effects on agriculture production in

subproject areas will be carried out with project support. The monitoring and evaluation system
will include agriculture data collection and processing by project personnel. Data will be collected
for each cropping season, at each completed subproject, by the COs with the assistance of the
Social Mobilizers and the WUA Agriculture Subcommittee. Simple, yearly effect monitoring
reports will be prepared by the PIMS consultants. During project implementation, AULL will also
regularly monitor and evaluate the performance of their agriculture extension activities and adjust
their programs accordingly. Based on their monitoring, AULL will provide guidance to the WUA
for planning crops and services for the next year or irrigation season.

58. Long-term monitoring. Long-term monitoring of impacts on agriculture production will fall
under DOA's regular monitoring activities.43 The project may also engage the services of outside
organizations or institutes to perform benefit monitoring and evaluation (BME) studies.44

42 The DOA trainings related to irrigated agriculture include: Production demonstrations (cereals), demonstrations on
vegetable package, qualitative potato seed, green manure, agriculture lime, compost demos/farm yard manure
improvement, bio-fertilizer, micronutrient, SRI, off-season cucumber/vegetable production, spice crop production,
crop cutting, farmers tour, seed multiplication, Integrated Plant Nutrition System (IPNS), farmers field school, and
distribution of improved vegetable kit, improved cereal kit, lentil seed kit, chemical & bio-fertilizer, and seed bin.
43 DOA's monitoring system involves trimester-wise and annual monitoring at subproject level by the concerned

AULL, WUAs and WUFGs, with reports sent to DOA-PIU.

44 For example, by carry out a detailed baseline study on some 10-20 sample subprojects, followed by the actual benefit

study 5 years later.

 69

59. WUA Training for Organizational Management. Training in administrative issues and
record keeping will be provided by NFIWUAN with the assistance of the Social Development
Specialist (PIMS consultants). WUA will also engage an accredited auditor for financial auditing
and will submit the results to the SMU.

60. Post-construction O&M, Monitoring and Support. After completion of subproject

investment activities, the WUA will become responsible for the annual activity cycle including (i)
planning and implementing O&M, (ii) agriculture activities, and (iii) performance monitoring
including external financial audit.

61. The WUA will submit a simple annual report to SMU. The report will use a simple 2- to 3-
page) template in Nepali, covering (i) agriculture production data, (ii) problems related to the
irrigation system, and (iii) any other issues.
70

ANNEX A: SCHEME VERIFICATION PROCESS45

1. Once the long list of requested subprojects has been prepared by the WRIDD/SD, a
reconnaissance will be carried out by a multi-disciplinary team consisting of at least one
Sr. Engineer and one AO from WRIDD/SD and one JT/JTA from AULL. The focus of the
reconnaissance will be to screen the proposed subproject against the project's selection
criteria. As a minimum the following should be included:
• Measurement of the flow in the surface water source (flow method) or discharge from the
spring source (container method; the time it takes for the discharge to fill a large bucket)
• A GPS track of the main canal and major branch canals to be rehabilitated or proposed
canal alignment to be constructed will be recorded, indicating the point (waypoints) of the
intake, major canal damage, slope stability problems (hills) and damaged hydraulic
structures. A brief description of the problems should be provided with the way points. If
the request is for lift irrigation de proposed site of the pumping station, transmission pipe
alignments will be located with GPS. Recording of the GPS tack should be done jointly
by the surveyor and representatives of the WUA or ad-hoc committee.
• The GPS survey should include tracks of proposed extensions or realignment of the main
canal and major branch canals.
• A GPS perimeter or boundary survey will be made of the command area as indicated by
the farmers, including proposed extensions of the command area, clearly delineating the
existing command area and proposed extension areas.

2. In a focus group discussion, the following topics will be covered:

• Confirm the presence of an effective and functioning community organization, formal or
informal, that will be responsible for the subproject as an indicator of sustainability.
• Verify the list of beneficiaries and their reported landholdings that were submitted together
with the request for assistance. A least 70% of the beneficiary farmers with landholdings
in the command area should have signed the request.
• The absence of any major conflict within the community and any disputes relating to the
water source with other communities will need to be confirmed.
• Present crops and cropping pattern in the existing command area.
• Verify the willingness to contribute to the subproject in accordance with the Project's
beneficiary cost share scheme, and to collect an annual contribution for structural
replacement costs, in addition to their regular maintenance.
Inform the beneficiaries of the condition to deposit an up-front contribution which will be refunded
in case the subproject is not selected for any reason. It will be explained that the initial deposit will
have to be used as a contingency fund for major repairs and replacement costs to be established
by the WUA when the subproject is approved.

45 Source: CMIASP
 71

ANNEX B: GPS JOINT WALKTHROUGH SURVEY METHODOLOGY46

1. The methodology is built on the GPS aided walkthrough method that uses relatively recent
improvements in survey aids, such as GPS equipment that stores and downloads tracks
and waypoints, digitized or digital cartography, high resolution satellite imagery, and
elaboration/presentation of the survey results in GIS software (e.g. ArcGIS 9.x), or
freeware such as QGIS.

2. For the GPS walkthrough surveys tracks of main and branch canal alignments will be
recorded and conveyance or structural problems in these canals will be marked on the
tracks. In addition to the canal alignment surveys, the hydraulic boundaries of the system
will be recorded with the GPS equipment. The canal track and marked waypoints will be
downloaded and processed in ArcGIS or compatible GIS software, using Garmin DNR
software to convert the recorded GPS file format to the GIS shape file format (The Garmin
DNR software and user guide is provided to the user). In the GIS software, the recorded
canal tracks and command area boundaries will be overlaid on the newly available digital
topographical maps from the Survey Department and, if available, high resolution satellite
imagery that can be downloaded commercially through a licensed version of Google Earth
or the access to the Digital Globe archives through the Global mapper software. High
resolution images can also be composed from the free version of Google Earth by
downloading the required coverage tile by tile maintain a fixed altitude and overlaps. There
is also software available at minimal cost that processes the tile by tile downloading from
Google Earth automatically.

3. The results of the surveys will permit the preparation of accurately geo-referenced
mapping of system layouts, command area boundaries and system deficiencies. The
accurate geo-referencing of the surveys and resulting maps will allow verification of the
accuracy of the surveys through the overlay on the digital topographical maps and
especially on the high-resolution satellite imagery. Conversion of the Shape format to the
Google KMZ (KML) propriety format will facilitate the display of the layout maps directly in
Google Earth which allows a 3D rendering of the canal system layout and command area
(Shapefiles can be directly converted to KMZ/KML format in ArcGIS 10 or by using a plug-
in for the earlier ArcGIS versions (a shape to KML plug-in with user guide is provided to
the user). Verification of the survey and mapping results in Google Earth 3D, further aids
in assessing the correctness of the surveys and resulting system layout and facilitates the
presentation of the survey results in an easy and cost effective manner to a wide audience.

4. In subproject preparation special attention will have to be given to the following:

a. The description of problems/deficiencies in diversion, main and branch canals. Digital

photographs will be taken of all the main problems encountered in the system and the
photographs should be properly catalogued. This will allow to geo-reference the
photographs for display through hyperlinks in the GIS mapping or in Google Earth.
Detailed attention will be given to preparation of sketches for the solutions proposed (not
only limited to the diversion structure) and sketches will be entered/edited in AutoCad for
clearer reproduction and display.

46 Source: CMIASP
72

b. The assessment of the origin of the present problems, deficiencies and/or constraints in
the systems.

c. The command area boundary survey will include the mapping of areas with temporary or
chronic irrigation water shortage. The mapping of water deficiencies in the command area
will more clearly establish the relation between the system water conveyance and
distribution problems and their effect on the water availability in the command area. This
will guide the priority interventions and give a better insight the water management
practices.

d. During the walkthrough survey water management arrangements will be discussed with
the farmers. This will be illustrated by mapping the spacing and alignments of branch
canals and canal outlets and the mapping of seasonal or permanent water deficit sections
of the command area.

e. Cadastral maps will be obtained before the start of the field work. Cadastral maps might
not be properly geo-referenced therefore during the GPS survey some salient properties
in the subproject area will be mapped to permit a correct overlay of the system layout and
command area boundaries over the cadastral maps. This as a simple procedure and will
allow a rapid assessment of people affected by the proposed interventions (mainly canal
extensions) and allow an easy and rapid quantification of affected properties. Number of
landholdings and related beneficiaries in the command area can be verified with the geo-
referenced cadastral maps. The cadastral maps with the system layout overlay can be
provided to the Social Mobilizer to verify and complete the listing and details of the
beneficiaries.

Other Field Investigations

5. Apart from the GPS aided surveys and mappings the following aspects will be covered for the
subproject preparation:

a. Water availability: Assessment of water availability at the diversion site, which would
include: (i) estimate of the monthly flow at the diversion site and (ii) up/downstream water
users.
• The MIP spot flow measurement method will be used for flow assessment in ungauged
rivers. A programme for the calculation of the water balance based on water availability
and proposed cropping pattern is included in the CD provided to the user, including
the user guide. The calculation of the water availability is based on the MIP flow
assessment method and regional rainfall data and the crop water requirements are
calculated using the FAO Cropwat and LocClim (Local Climate Estimator)
programmes. Details are explained in the user guide for the water balance calculation.
• The diversion sites and the present water abstractions up and downstream of the
selected diversion site should be identified and geo-referenced for mapping of these
water users. In small (sub) basins preferably all the other users will be identified,
mapped and water use quantified to assess whether the basin overall is water surplus
or water deficit. This should to certain extent guide the emphasis of the proposed
interventions (increased diversion and expansion or optimization of water utilization
 73

without increasing diversion). Detailed digital mapping of rivers and (sub)river basins
is available)

b. Identification of other water users; this involves the identification of location and size of
other irrigation systems (or other users) drawing water from the same source, both
upstream and downstream of the subproject, assessment of any likely impact and need
for water sharing agreements. All systems up and down stream of the proposed diversion
will be geo-referenced and mapped. The present seasonal irrigation water use in each of
the identified systems will be precisely assessed based on consultations with the users
and existing cropping patterns in these systems. Based on the season water use in each
system the water balance in the sub-basin will be calculated. The design of the proposed
improvements will be put in the context of the overall water balance in the sub-basin.
Based on discussions with the WUAs/farmers, the existing water rights in relation to
adjacent systems identified above. If there are conflicts or potential conflicts, this will be
discussed with the concerned parties and possible agreements on water sharing will be
presented.

c. Site investigations: More detailed site investigations will be required for major structural
works (intakes and major drainage crossings and for landslide/slope stability problems in
the hill irrigation systems. Site investigations should be precise and to the point and have
a direct relationship with conditions, problems identified at diversion sites, and along the
canal alignments. The results of the investigations should be properly mapped to show
the relationship with the problems identified.

d. Present Agriculture. GPS mapping of the present agriculture situation in GIS will provide
a GIS data base with the principal elements of area and type of crops. To this data base
the present yields can be added (average production per ha, the program will calculate
the total production). The areas and yields should be consistent with the mapped water
deficient areas in the command area.

e. Future Agriculture. Based on expected improved water availability the mapping of the
existing agriculture situation can be edited to show the future cropped areas. With the
expected future yield based on average district crop yields de program the future
production can be calculated.

f. To obtain data on agriculture production cost, yields, agriculture income, other sources of
income etc., focus group discussions (FGD) will be conducted as well as interviews with
key informants. The FGDs will also provide information of the socio-economic profile of
the community and their needs and development priorities. The main objective of the
FGDs is to form the basis for social justification for the subproject implementation and
identify poor and disadvantaged groups for livelihood enhancement. The FGDs shall
include but not be limited to:
• Discussion with the focus groups to confirm the project request and the list of the WUA
members with individual landholding distribution within the existing and proposed
extension area prepared by the Social Mobilizer.
• Coordinate with the Social Mobilizer for the preparation of WUA institutional
development plan.
74

• Together with the Social Mobilizer, list out a development priority ranking with men and
women through a separate session.
• Collection of data and information on demographic characteristics.
• Identify disadvantaged target groups and their location in and around the command
area for the LEP
• Assess the level of poverty through food sufficiency, educational and health facilities.
• Assess landholding size and household income from agricultural and non-agricultural
activities.
• Assess the issues of gender in irrigation development and management. Market
accessibility and availability of service rendering agencies
6. These discussions will have a simple and clear structure that will yield a standard set of results
that can be processed in an automated spreadsheet format. From the focus group discussions a
representative number of households will be identified for the household surveys. Based on these
discussions the Social Mobilizer and AULL will hold furthermore specific discussions with the
relevant groups on the agriculture development priorities and the support for livelihood
enhancement of the disadvantaged groups.
 75

Annex 3

ANNEX 3: PROCEDURES AND IMPLEMENTATION ARRANGEMENTS FOR

REHABILITATION AND MANAGEMENT TRANSFER OF
AGENCY-MANAGED IRRIGATION SYSTEMS

A. Introduction

1. The main objective of irrigation management transfer is to improve the performance of

agency managed irrigation systems through rehabilitation of the existing system back to full
operation level, enhancement of WUA capability and transfer of responsibilities to users. The
whole IMT process should motivate the farmers to adopt improved farming techniques, use water
more productively and pay the required fees for sustainable system operation and maintenance.

2. The main activities involved in irrigation management transfer are i) structural

improvement works, ii) WUA institutional development activities and iii) agriculture and water
management activities including on-farm water management (OFWM). As much as possible, the
activities should be implemented simultaneously as they are complementary and all contribute to
the same goal of sustained increase in irrigated agriculture production.

B. Preliminary Implementation Procedure

3. The project implementation procedure will principally consist of four Stages as follows:
(i) Stage 1 - Initial Organization
(ii) Stage 2 - Preparation for Implementation
(iii) Stage 3 - Implementation
(iv) Stage 4 - Post Turnover

4. Apart from the CPMO which retains the overall responsibility, four main stakeholders will
play key roles in the implementation activities related to AMIS rehabilitation and
management transfer. They are:

(i) FD & DD Consultants. DOWRI is recruiting consultants to prepare feasibility

studies and detailed design for the five AMIS. Over a period of four months, their
mandate includes the preparation of detailed feasibility studies, present and future
agriculture cropping patterns, an evaluation of the social situation through a
household survey and social mapping of the project area, identifying the vulnerable
groups and their location, mobilization of WUAs and preparation of institutional
development plans and agricultural development plans with WUAs. Apart from
detailed design, detailed BOQs, rate analysis and detailed cost estimates, they
also have to review and update the preliminary arrangements and procedures
presented here, including the TOR for project staff and implementation manuals
describing the procedures to be followed.

(ii) Project Implementation and Management Support Consultants (PIMS). The

PIMPS will play the key role in implementing the activities related to AMIS
rehabilitation and management transfer. The PIMS consulting team includes a
Senior Irrigation Management and QC Specialist, a Senior Water Management
76 Annex 4

Engineer, an Institution Development Specialist, an Irrigation Agronomist, five

Community Mobilizers (one per scheme) and 10 Agriculture Extensionists (two per
scheme).

(iii) IMD/SICWMP. The SICWMP section of DOWRI’s Irrigation Management Division

will participate in the introductory workshops, assist with selected training events
for the WUAs (rules and regulations, share system, etc.), support preparation of
the Memorandum of Agreement (MOA), ICWM activities, and skill development for
engineers and sub-engineers in IMT related topics.

(iv) WRIDD/SDs. Apart from being responsible for the implementation of all works, the
WRIDD/SDs will participate in the planning and design process. They will also be
in charge of conducting the test-runs, and for providing post-turnover activities,
with the assistance of the PIMS consultants.

5. The main activities during each stage, along with the respective roles of the above
stakeholders, are summarized below.

1. Stage 1 – Initial Organization

6. The main activities during this stage are: (i) Selection of Subproject
(ii) Staff/consultant deployment
(iii) Introductory workshop
(iv) Baseline study
(v) WUA establishment/Registration
(vi) SMC formation

7. Activities during this stage are start-up activities including identification and selection of
subprojects, collection of subproject baseline information, informing the beneficiaries
about the proposed project activities and implementation approach. Some of the activities
described here will be carried out by the FD & DD Consultants and the WRIDD/SDs as
part of CMIASP-AF’s preparatory activities.

8. An WRIDD/SD team composed of an engineer, sub-engineers - with aptitude and

commitment to work with users - and an Association Organizer (AO) should be deputed
specifically for IMT activities at each AMIS. Through the Introductory Workshop, these
staff, the WRIDD/SD Office Chief, other concerned WRIDD/SD and AULL staff will receive
a detailed orientation by the PIMS consultants on project design and implementation.

9. IMT involves participatory development activities, so all beneficiary farmers and WUA
should be well informed about the proposed project activities, implementation procedure
and their role and responsibilities. During this Stage, the PIMS team will assist in the
formulation of the detailed irrigation management transfer process and prepare a needs
assessment for WUA capacity development. The PIMS will also support dissemination of
project information to WUA, farmers and other stakeholders and line agencies.

10. If there is no democratically elected WUA, the PIMS will support farmers to conduct
elections of WUA, from the tertiary level up to main canal committee and register the WUA.
PIMS will also support the formation of the Subproject Monitoring Committee (SMC) and
provide adequate training so that they can play their expected role during implementation.
 Annex 4 77

11. During this stage, the beneficiaries will be informed that any land requirement for
improvement of existing canals would be effected through voluntary donation.
WRIDD/SDs will screen for voluntary land donation by completing the voluntary land
donation screening checklist.

Where subproject improvement requires canal extension or widening, WRIDD/SD will document
the voluntary land donation due diligence in each feasibility study that requires donation of private
land. They will ensure completion of the written consent form for land donation.

12. The roles of the various stakeholders during this Stage are summarized below.
Key Activities Lead Role Supporting Role
Staff/consultant deployment CPMO -
Introductory workshop CPMO PIMS, IMD/SICWMP
Baseline study PIMS WRIDD/SDs
WUA establishment/Registration PIMS WRIDD/SDs
SMC formation PIMS WRIDD/SDs
Voluntary land donation WRIDD/SD PIMS
checklist/consent form

2. Stage 2 – Preparation for Implementation

13. The main activities during this stage involve planning and coming to an agreement with
the local stakeholders. Project preparation includes WUA capacity development to enable
them to better participate and present their needs, WUA involvement during Joint
Walkthrough - to identify need-based rehabilitation and improvement works, and
prioritization of civil works; WUA strengthening (office establishment, rules & regulation,
ISF collection), and start of land ownership information collection of beneficiaries.

(i) Joint system Walkthrough

(ii) Detailed design of rehabilitation & priority works
(iii) WUA Office, Rules & Regulations
(iv) Share system, membership fees
(v) Pilot block development for ICWMP
(vi) Collect land registration and cadastral map
(vii) Memorandum of Agreement (MOA) & Action Plan (AP) signing

14. Joint System Walkthrough and Detailed Design. DOWRI will recruit consultants to
prepare detailed design for the AMIS. The WRIDD/SD, SMC including tertiary level WUA
representatives and FS & DD consultants will conduct a Joint Walkthrough to identify
structural improvement works for project support. Water measurement structures will also
be proposed. The WUA contribution parts and payable works will also be determined at
this time.

15. Share System and Membership. Shares for water will be distributed to farmers based
on the irrigated land that they own (pro rata) and as requested by them, to ensure equitable
water distribution. Labour contribution (for WUA contribution works) will be proportional to
the number of shares purchased. Membership should include all water users.
78 Annex 4

16. Pilot Block Development. Water shortage is a key problem and profitable agriculture
needs to be introduced in all AMIS. A pilot block inside the command area will be selected
and demonstrations on improved agriculture and on-farm water management (water use
efficiency) techniques will be carried out through ICWMP activities. The activities will
support the development of effective canal operation plans (COP), expansion of the
irrigated command area with increased irrigation efficiency, and increase of members,
shares and ISF collection.

17. Action Plan. Part of the mandate of the FS & DD consultants includes “WUA mobilization
and preparation of institutional development plans and agricultural development plans”.
Based on these documents and with further consultation with the WUA, the PIMS will
support the preparation of a detailed Action Plan (AP), which will describe all activities -
civil works, institutional development activities, water management works and activities
and agriculture development activities that will be implemented by the project. Roles and
responsibilities of SMC/WUA, WRIDD/SD, AULL, PIMS consultants and other agencies
are defined in the Action Plan. The AP also presents an updated implementation schedule.

18. Parcellary/Cadastral Map. The parcellary or Cadastral map helps to design and manage
the canal operation and distribution plan. The WRIDD/SDs shall collect the cadastral map
with land ownership certificate verification and ensure canal alignment is reflected in the
map without a possibility of future encroachment.47

19. Memorandum of Agreement (MOA).The MOA is the legal document that will be signed
by WUA and WRIDD/SD. The MOA includes the implementation of Action Plan and all
management transfer details.

20. The roles of the various stakeholders during this Stage are summarized below.
Key Activities Lead Role Supporting Role
Joint system Walkthrough FS/DD firm WRIDD/SDs,
IMD/SICWMP
Feasibility Study FS/DD firm WRIDD/SDs
Detail design of rehabilitation FS/DD firm WRIDD/SDs
Assets Inventory PIMS WRIDD/SDs
WUA Office, Rules & Regulations PIMS WRIDD/SDs,
IMD/SICWMP
Share system, membership fees PIMS WRIDD/SDs,
IMD/SICWMP
Pilot block development for ICWMP IMD/SICWMP PIMS, WRIDD/SDs
Parcellary/Cadastral map IMD/SICWMP PIMS, WRIDD/SDs
Memorandum of Agreement (MOA) & PIMS, CPMO WRIDD/SDs,
Action Plan (AP) IMD/SICWMP

3. Stage 3 – Implementation

21. All civil works will be carried out during this stage, while institutional development and
water management activities are continued in parallel. The management transfer of

47 To protect from encroachment.

 Annex 4 79

branches is done after completion of all branch-level works planned in the AP. The main
activities during this Stage include:

(i) Construction of Civil works

(ii) Capacity development of WUA
(iii) Resource Mobilization and ISF collection
(iv) Prepare O&M expenditure plan (v) Test run & rectification
(vi) Formal Management Transfer

22. Construction of Civil Works. This includes works done by contractors, by WUA as part
of their contribution and works payable to the WUA. The SMC will receive training and be
mobilized for quality control of these works. Small structures spread over the area and of
less interest to contractor, especially works at branch level, will be contracted to respective
WUA. This will improve ownership and also make them better prepared for maintenance
later.

23. Capacity Development of WUA. During this Stage, various capacity building activities
will be carried out for WUA members by the PIMS, IMD/SICWMP and others including
trainings on water management, O&M, resources mobilization, gender, social Inclusion,
bookkeeping, construction quality control, leadership, etc.

24. Resource Mobilization, ISF collection, and O&M Expenditure Plan. The PIMS
consultants will assist WUA in the preparation of canal operation and maintenance plans,
and assist in the preparation of realistic O&M expenditure budgets. The PIMS will also
support the preparation of realistic resources mobilization plans to collect the necessary
funds or mobilize the necessary resources for O&M. The O&M expenditure plan should
specify (i) the GON commitment to O&M funds (if any), and (ii) the proposed WUA ISF
amounts required for up keeping the system.

25. Test Run & Rectification. After completion of civil works, test runs of the system will be
done in presence of WRIDD/SD, WUA/SMC, the contractor and the PIMS consultants.
Remedial works, if needed, will be carried out by the contractor prior to the management
transfer.

26. Management Transfer. After completion of all works agreed in AP/MOA, the
management transfer of the irrigation system, as agreed in the AP/MOA, will be done. The
document will describe the authority and respective responsibility of WRIDD/SD and WUA
in the following years, following what was earlier agreed in the AP.

27. The roles of the various stakeholders during this Stage are summarized below.
Key Activities Lead Role Supporting Role
Construction of Civil works WRIDD/SDs PIMS
Capacity development of WUA PIMS, IMD/SICWMP WRIDD/SDs
Resource Mobilization ISF collection PIMS IMD/SICWMP
Prepare and implement O&M plan PIMS IMD/SICWMP
Test run & rectification WRIDD/SDs PIMS
Management Transfer WRIDD/SDs PIMS
80 Annex 4

4. Stage 4 – Post Turnover

28. This stage provides a follow-up support period of two years for the WUA so that they can
better manage the irrigation system and improve its performance. It includes:

(i) Annual system walkthrough, Gradual system upgrading by WUA

(ii) Revised ISF collection
(iii) Revised O&M plan
(iv) WUA recruits Technical Manager
(v) Agriculture & OFWM development

29. During the post turnover stage, the WUA will carry out annual system Walkthroughs and
plan for upgrading of the system using their own resources: ISF, and labour contribution.
They will recruit a Technical Manager for system O&M and other works as soon as
irrigation delivery covers a substantial area. WUA and Technical Manger will update the
O&M plan regularly, and upgrade the system as needed.

30. Agriculture & OFWM Development. Water shortage is a crucial problem and
agricultural practices remain traditional in all 5 AMIS.48 To introduce improved and efficient
irrigation technology and farming practices for system-wide adoption, a pilot block on the
command area will be selected and demonstrations on improved agriculture and on-farm
water management (water use efficient) techniques will be carried out starting during
Stage 2, as presented above. To ensure reliable and adequate agriculture extension
service, Leader Farmers (LF) will be developed locally to serve as agriculture workers.49
Two or three young literate farmers will receive Training at the Regional or Central
Agriculture Training Center. Activities during this stage will support the development of a
COP to expand irrigated command as well as to increase members, share and ISF
collection.

31. The roles of the various stakeholders during this Stage are summarized below.
Key Activities Lead Role Supporting Role
Annual system walkthrough, Gradual WUAs WRIDD/SDs/PIMS
system upgrading by WUA
Revised ISF collection WUAs/WRIDD/SDs PIMS
Revise O&M plan WUAs/WRIDD/SDs PIMS
Agriculture development PIMS -
OFWM development PIMS IMD/SICWMP

C. AMIS Implementation Schedule

32. A preliminary implementation schedule for the 5 AMIS proposed as Barch-1 is presented
next page.

48 Pre-Feasibility study reports, 2012.

49 The limited GON extension workers cannot adequately provide services to the subproject.
 81

Annex 3

Figure 1: Preliminary Implementation Schedule of 5 AMIS (Batch-1)

 82
Annex 4

ANNEX 4: AGRICULTURAL DEVELOPMENT COMPONENT

A. Overview 1. Introduction

1. Irrigated agriculture development in CMIASP-AF is planned in the context of the

achievements made and lessons learned during CMIASP implementation. Some previous
activities were kept, and some were cancelled. Some new activities are also introduced,
to support the burgeoning needs of irrigated farming in the subproject areas. Crop
diversification and commercialization is considered a key element of the strategy to
support irrigated farming conditions in the subproject area, and strengthening marketing
support and services and institutionalizing them at subproject level has been considered.
Availability of improved seeds along with enhancing farmers knowledge and skills on
improved farming technologies with supplementary activities on soil fertility management
and on-farm crop production have been considered.

2. Enhanced productivity and sustainability of irrigated schemes involves providing improved

measures for WUA mobilization, agricultural development through capability
strengthening (knowledge and skill and access to service delivery), soil fertility and
productivity management and marketing support for farm products.

3. Current agricultural practices in subproject areas are predominantly conventional.

Farmers are mostly using their own seed stock repeatedly for 5-10 years, with lost
potential production vigor. Due to acute shortage chemical fertilizers, they apply whatever
is available in the market and thus unbalanced use of chemical fertilizers is prevalent.
Also, the FYM/compost that they are applying is not well decomposed. The use of green
manure is negligible. Due to lack of field channels, plot-to-plot flooding irrigation is
practiced. Due to limited ASC staffing and large service area (5-6 Local Body covered),
farmers receive limited agriculture extension support.

4. The perceived needs and problems of farmers are broadly defined as follows

(i) Lack of technical know-how on improved farming practices;

(ii) Lack of availability of good quality seeds, particularly for paddy. District level Agro-
Vets are selling limited quantity of improved seeds, but the prices are so high that
general farmers cannot afford them;
(iii) Acute shortage of chemical fertilizers;
(iv) Lack of effective skill-based training on improved farming technologies;
(v) Lack of problem-specific, on-farm technologies demonstrations;
(vi) Lack of effective on-farm water management demonstrations and training; and
(vii) Lack of knowledge on proper on-farm soil fertility management and application of
green manuring.

2. Approach

5. The proposed approach for agriculture development support involves the following
key elements:
 83
Annex 4
(i) Identification of farmers needs regarding irrigated farming through a fully
participatory approach;

(ii) Defining agricultural development plan (ADP) activities for irrigated farming
specific to subprojects;
(iii) Promote diversified commercialized crop farming (e.g. seasonal/ off-seasonal
vegetables and other cash crops);
(iv) Technical and marketing capability strengthening of the WUFGs;50
(v) Promote on-farm technical resource generation (e.g. crops seed production and
distribution for on-farm availability); and
(vi) On-farm soil fertility and soil productivity management support.

6. The ADPs will be prepared based on a standard set of agriculture extension

activities for irrigated farming conditions. Although the activities might be different
subproject-wise, based on theneeds and priorities of the beneficiary farmers and the size
of the command area, the basic services to be provided in most subprojects will fall in the
following categories:

Table 2: Categories of Irrigated Farming Support

Categories of identified needs for
irrigated farming
Good quality improved
seeds of cereals, pulse
crop, vegetables and
potatoes
Approach to implementation and justifications
To promote multiplication of improved and good
quality crop seeds and distribution from farmer to
farmer on-farm. Seed multiplication by providing
Source/C1 seeds to selected farmers by the
WUA/WUFGs of the subproject to multiply and
maintain supply of quality seeds within the
subproject area. Based on the needs and
potentiality, the WUFGs may be supported with
seed bins.

Improved seed kit To get farmers familiar with newly released

distribution (cereals, suitable varieties of cereals and vegetables to
pulses, vegetables and local cropping system and help select the best
potato) performing one to adopt and multiply.

Improved cropping Increase production and productivity by crop

systems and crop diversification followed by improved crop
management practices management practices, on-farm training and
through practice demonstration to be emphasized. The training
oriented skill based on- should be on-the spot, skill based practice
farm training and oriented. Theoretical training should be
demonstrations as
discouraged.
Farmers Field School
(FFS)/ICM/IPM/IPNS51
approach.

50Water Users Farmers Groups are Farmers Groups inside the command area.
51 FFS = Farmers Field School; ICM = Integrated Crop Management; IPM = Integrated Pest Management; IPNS =
Integrated Plant Nutrition System.
84 Annex 4
Improvement of soil
fertility and productivity.
Efficient and judicious
use of available
irrigation water in crop
production onfarm.
Categories of identified needs for
irrigated farming
Promotion of
commercialized farming.
Seasonal/off-seasonal
vegetables and
other cash crops as per
the resources (irrigation
reliability, accessibility,
electricity, market and
technology) potentiality
and marketing of farm
products;
Promotion of Farm
mechanization towards
supplementing increasing
onfarm labour shortage
Balanced use of chemical fertilizers on crops and
its time and method of application to be
demonstrated. In addition, FYM/ compost, green
manure crops to be highly emphasized to improve
and maintain soil fertility and productivity.
Water management practices according to the
quantitative water requirements by critical stages
of crops to be demonstrated on-farm for increased
crop yields (especially field crops).
Approach to implementation and justifications
Increase farm income through
strengthening WUFGs for farm products
marketing establishing their
access/linkages to local, district and central
marketing system.
Increase farm productivity, production and
income through demonstrating effective
use of mini/power tillers.

3. Subproject-specific ADP Planning and Scope

7. Based on the review of documents, lessons learned and interaction with the
concerned officials of PIU, DOA including project officials at DOWRI, a new procedure is
proposed for the preparation of subproject-specific ADPs, as presented below.

a. Preparation of Subproject-specific ADPs

8. The ADP activities will be prepared as per the needs and priorities of each
subproject, following a participatory approach. The person in charge of the Agriculture
Service Centre (ASC) (JT) along with the AULL Agriculture Extension Officer will prepare
the ADP at each subproject with the full participation of the WUFG, WUAs and other
concerned subcommittees such as the Agriculture and Social Development Committee
(ASDC) members. The ADP activities thus prepared and finalized as per the qualitative
and quantitative needs subproject wise will be forwarded for approval. As the identified
activities represent the needs of the beneficiaries, no further modifications or changes will
be made during the review and approval process (e.g. Local Body and DOA) except
possibly some adjustments regarding the scale of training (number of training,
participants, etc.) based on the available resources and means of facilitation with the
implementing AULLs.

b. Agriculture Extension Activities

9. Agriculture extension activities will be defined and designed exclusively for

irrigated farming, and in accordance with the beneficiaries’ needs at subproject level. The
activities will differ subproject-wise, based on the differences in needs and priorities of the
 85 Annex 4
beneficiary farmers and the size of the command area, its topography and location. Key
activities can include:

10. Field demonstrations of improved technologies. This includes FFS for

improved technology demonstration (result and production). The demonstrations will
include improved seeds production and multiplication, judicious use of chemical fertilizers,
improved cultural /management practices in crop farming, plant protection measures,
minimum tillage practices, judicious use of irrigation water in crop production, improved
seed kits distribution and others as per the needs.

11. Training Activities. Practice-oriented skill enhancement training will be part of the
improved farming technology demonstrations conducted on-farm. Training activities will
be built on demonstration activities in the subproject areas. Among AULL’s existing
training activities (e.g. on-the-spot training,52 ASC-level training and District-level training),
on-the-spot and subproject demonstration-site level training will be emphasized with
practice oriented skill enhancement. Basically, FFS-based training will be given priority.
Regional Training Center (RATC) -level training will be used for advanced training for
Leader Farmers (LF). The trained farmers will receive AULL's support and technical
backstopping.

12. Orientation Workshops. At the start of the ADP implementation, the PIU will
conduct a central-level workshop for AULLs/Agriculture Extension Officers from the
concerned districts on CMIASP-AF implementation arrangements and procedures.
Annual workshops will also be conducted towards the end of the FY to review progress
and accomplishments, and provide feedback for the following year's planning. At the start
of the Project, PIU will conduct districtlevel orientation for ASC staff (JT/JTAs) who will
later be involved in ADP implementation at subproject level. The ASCs will conduct
orientation training for ASDC and other WUA members.

13. Promotion of promising farmer trainees as permanent technical resource on-

farm. In the context of shortage of technical manpower resources at AULL, effective and
efficient support to farmers is difficult. To develop permanent trained manpower resources
at subproject level, the approach of developing Leader Farmers (LF) from among
beneficiaries has been used under CMIASP and needs to be continued with some added
support. It is proposed that at least one or two farmers from among each WUFG be
selected jointly by WUA, ASC officials and AULL as LF. Besides receiving on-farm training
on improved technology demonstrations, the Leader Farmers will receive TOT (as
scheduled 51-day validated training course for LF) at the Regional Agricultural Training
Center (RATC). The LF trainings for the CMIASP-AF subprojects will be conducted in 3
lots, with each lot comprising 25-26 farmers. This will enable them to deliver technical
services to other farmers and farmer groups in their area. These trained farmers will be
later absorbed by the respective Local Body as full-time local extension workers (LEWs).
The LEWs will receive technical guidance and support from AULLs from time to time.

c. On-farm Seed Production and Management

14. Most of rural Nepal faces the problem of availability of quality improved seeds. To
address this issue, the Project will support on-farm seed production and management
activities. Active and knowledgeable farmers will be selected by the AULLs and WUA

52 “On-the-spot training "is simply using a nearby field to show a specific agriculture issue or condition.
86 Annex 4
(could be the LFs) and will be provided with source seeds, along with technical
backstopping for multiplication and distribution to other farmers in the subproject area,
based on the priority set by group decision.

d. Access to Inputs

15. To realize irrigation benefits, inputs such as chemical fertilizers, seeds and
agricultural chemicals need to be available in time. The Agro-Vets in the area play an
important role in this. The Agro-Vets have to know the specific subprojects needs in these
terms. To improve the linkage between the WUA and the Agro-Vets, the Project will invite
the Agro-Vets in the annual district-level workshops, and in the quarterly workshops with
the AULLs.

e. Soil Fertility Improvement and Management

16. Over the past several years, there is an acute shortage of chemical fertilizers in
the country due to full dependency on outside supply. Therefore, on-farm demonstrations
and agriculture extension support for green manuring and compost/FYM making will be
emphasized promoting cattle shed improvement, tapping cattle urine and dung including
livestock bedding materials for quality compost making on-farm. This will be done with the
LFs and other members of the WUFGs at subproject level.

17. Soil Testing Campaigns will be organized at subproject level and Lab. Testing
facility will be arranged and continued to support balanced use of chemical fertilizers in
crop production. Large scale soil fertility enhancing demonstrations like crop rotation,
mixed cropping with legumes, Rhizobium inoculation with legume seed etc. will be
conducted on the basis of sustainable soil management approach at farmers’ fields.

f. Crop Cutting Surveys

18. Crop cutting surveys will be conducted crop-wise at subproject level for yield
estimation by the concerned AULLs.

g. Marketing Promotion of Farm Products

19. Product marketing orientation and support. To facilitate the sale of farm
products at reasonable prices, the farmers need improved marketing knowledge and
awareness. This will help maximize their farm profitability and at the same time will be a
motivating factor to undertake crop diversification and commercialization. Interested
farmers from among the groups will receive orientation on marketing systems, training and
field visits to help establish access and linkages to local, district and central level markets,
thus promoting farmers entrepreneurship.

20. Support services to promote commercialized and market-oriented farming.

As per the potential of commercialized seasonal/off-seasonal vegetables and other crops
production in the subproject area, the producer groups of farmers will be supported under
the Pocket Package Program 53 of AULL. Selected subproject farmers interested in

53 Pocket Package Approach: Pocket package approach refers to the production strategy on for a certain commodity
are selected and then a project is developed through a bottom up process. This helps to develop the pocket area
basis. The feasible pockets crops/commodities on commercial scale.
 Annex 4 87
commercial farming will receive on-farm training including participatory demonstrations on
seasonal and offseasonal vegetables and other high value cash crops production
alongside technical guidance and related publication materials.

21. Product marketing groups promotion and support. Commercial grower

farmers will be supported as a sub-group under the WUFGs at subproject level. Such sub-
groups from all subprojects within the district will be federated and will receive advice to
co-operatize and establish access and linkages at district and central level for improved
marketing of their products in a concerted manner.

22. Farm Mechanization: In the context of increasing on-farm labour shortage, some
form of farm mechanization becomes increasingly important. To promote the use of farm
machinery in irrigated farming, the WUA will receive a power/mini tiller and will be
responsible for its operation and maintenance and will set its own rules/regulations for use
by the beneficiary farmers.

h. Institutional Credit Support and Facilitation

23. Commercial grower farmers will need credit support to promote their farming at a
commercial scale. To support them with institutional credit, especially for commercialized
farming, they will be linked and recommended to approach existing microfinance
institutions (MFIs) in the district.

i. Visits and Interactions

24. To strengthen farmers' knowledge, visits and interaction sessions between and
among the groups at subproject and inter subproject level will be organized. This will help
improve their knowledge and learning through sharing ideas, successes and failures.

j. On-farm Water Management Training and Demonstration

25. For effective and judicious water use in crop production, on-farm irrigation water
management demonstrations will be organized with the WUFGs. On-farm water
management is presented in more detail in a separate PAM annex.

4. Implementation of Activities

26. At subproject level, activities will be implemented with a participatory approach

involving the WUFGs and WUAs/AULL. Implementation of activities will involve the
following major elements:

(i) Farmers’ groups mobilization;

(ii) Participatory approach for on-farm activities implementation;
(iii) On-farm demonstration of technologies and crop production programs including
supply of demonstration kits (e.g. TPS & PBS of potato54);
(iv) for promotion of commercialized farming of seasonal and off-seasonal vegetables
and high value cash crops; FFS approach to on-farm training and demonstrations
for improved water saving technologies for rice production;

54 TPS = True Potato Seed; PBS = Pre-basic seed

88 Annex 4
(v) To address acute shortage of chemical fertilizers, on-farm green manuring and
compost/FYM making including cattle shed improvement will be emphasized;
(vi) On-farm seed production, training and seed quality control will be emphasized,
through support for Farmers Group mobilization, supply of Source and C1 seeds
of crops, technical support for quality seed multiplication and distribution to other
farmers of the groups and in the subprojects. After the first year, seed production
and multiplication of second generation seeds for major crops: Paddy, wheat,
maize, potato and other crops will be done by farmers themselves and distributed
to other farmers within and outside the group as per demand;
(vii) Soil fertility management services: Soil testing campaigns will be launched at
subproject level to test farmers’ plots with regard to fertility status and need for
fertility/productivity enhancement;

(viii) Marketing support: Group strengthening and mobilization, orientation and

awareness raising, facilitation, enhancing access to local, district and central
marketing systems for on-farm profit maximization;
(ix) Farm visits and interaction, and information/experience sharing through organizing
intra and inter groups and subproject level sessions;
(x) On-farm water management: Training and demonstration on judicious water use
for increased crop profitability.

5. Implementation Arrangement

27. After approval from central level (DOA), the concerned AULL will implement the
program at subproject level through mobilizing its staff and its Agriculture Extension
Officer. AULLs will remain the main authorities to execute all agriculture development
activities in their respective districts. Activities at subproject level will be also implemented
through AULLs. The AULL will cater agriculture related service needs of the farmers
through WUFGs, WUAs in the subproject.

6. Monitoring & Evaluation

28. Monitoring of activities at district level is done by the concerned AULLs officials,
WUAs, and WUFGs. Trimester-wise progress reports are prepared and sent to, PIU/DOA
and DOA PIU-DOA conducts annual monitoring of district-level activities along with
concerned, AULL, WRIDD/SD, WUAs, WUFGs and others as deemed necessary. PIU
reports to the concerned stakeholders at central and regional level and also organize
annual workshop at central level, with the participation of all including DOWRI. This also
forms the basis for formulating the annual programme of the following year.

7. ADP's Achievement Indicators

29. In each subproject, the targets resulting from ADP activities are set as follows:

(i) At least one "Commercial Vegetable Producer Group " will be developed and
supported in the district under Pocket Package Program of AULL;
(ii) The Seed Replacement Rate (SRR)55 of major crops in the subproject area will
increase by at least 13%;

55 Replacement of old degenerated seed stock of crops with latest suitable improved varieties.
 Annex 4 89
(iii) At least 1 LF per subproject will be trained and supported. At least 35% of the LF
will be women farmers;
(iv) Average cropping intensity in the irrigated area will increase by 30% over the
baseline data documented in the SPPRs;
(v) Productivity (yields) of major crops will be raised by at least 30% over the baseline
information documented in the SPPRs;
(vi) At least 70% of the beneficiary farm households will have increased food
sufficiency. Number of households with food availability (0-3 months, 3-6 months,
6-9 months, 9-12 months, and >12 months) will be collected in subproject areas
before and after subproject implementation;

B. Technical Principles and Details for Key ADP Activities

1. Proposed Cropping Pattern

29. In the Terai, the existing cropping pattern will change with the inclusion of early
paddy in the spring, followed by monsoon paddy and wheat/vegetables/potato or other
cash crops in the winter. In the hills, early paddy and spring maize with off-seasonal
vegetables in the spring followed by monsoon paddy with wheat and winter vegetables
and potato are potentially proposed.

30. In the hills, paddy-maize has been developed based on the availability of assured
irrigation water and priority choice of farmers. During the spring season, some area under
spring paddy has been considered. It is also expected that the area under vegetables and
potato will increase substantially with improved irrigation availability.

2. Field Demonstrations

31. To identify the needs for on-farm technology demonstration, AULL will adopt a
participatory approach with members of WUFGs and WUA. The process will involve:

(i) appraise AULL staff on the need for agriculture extension service in the area,
(ii) identify farmers and plot locations suitable for demonstrations,
(iii) select "progressive Farmers” as LF, two (one male and one female) from each
subproject (they could also be farmers whose plots will be used for field
demonstration),
(iv) identify farmers who will participate in the Seed Multiplication Program for cereal
crops, and
(v) prepare tentative planning for starting Farmers' Field School and organization in
the command area.

32. Agriculture extension services will emphasize adoption of high-yielding varieties

and application of appropriate doses of inputs (seeds, fertilizers, insecticides, fungicides,
etc.). Agriculture extension tools such as demonstrations, field visits, agriculture
exhibitions, etc. will be arranged by AULL to support and strengthen agricultural know-
how.

33. Agriculture exhibitions or fairs can encourage beneficiaries and WUAs to adopt
new farming technologies. Such events are expected to increase farmers’ knowledge and
motivate them to achieve better results. The demonstrations will be two main types: (i)
90 Annex 4
method (of crop cultivation) demonstration, and (ii) result (of following a particular method
or input use for cultivation) demonstration.

3. Leader Farmer and Improved Seed Production Process

34. From each group, one member will be selected as Leader Farmer (LF). They will
be trained at Regional Training Centers to serve as local extension resource persons.
Women candidates will be targeted with participation in the LF program, with the goal of
having at least 35% of the LFs as women. LFs are expected to become an on-farm
technical resource to train and demonstrate to other fellow farmers in the area. After
certification, they may charge a fee for services, as per the decision of the WUFGS/WUA.

35. While selecting the demonstration plots, plots being cultivated by the landless,
marginal and poor farmers will be given priority. The farmers involved in the demonstration
plot must agree to pay back the equivalent quantity of seeds to WUFGs/WUA for
distribution to other members later, who will then further multiply the seeds and pay back
as per the decision of the group/WUA. Upon completion of each crop season, the farmers
involved in demonstration plots and in the seed multiplication program will repay the
received quantity of seeds to WUFGs/WUA, who will be distributing it to other members
of the groups.

36. The establishment of one demonstration farm in each subproject is recommended

for (i) training of front line extension workers, (ii) creating service delivery infrastructure in
the subproject area, (iii) demonstration of improved practices and (iv) on-farm water
management. Demonstration plots will be selected from small and marginal farmers in
close consultation with the WUFGs/WUA.

37. Participatory training needs assessment has to be done prior to imparting training
through demonstration plots. Such training will be need-based, and the training modules
will be problem-specific. The farmer-trainers (the LF) will be selected from among the best
performing farmers. Training of trainers (51-day training course at RATC) will be organized
for selected progressive farmers. The establishment of demonstration plots will serve the
following purposes:

(i) resource centre for ADP implementation,

(ii) training centre for WUFGs/WUA members and others at field level, and
(iii) venue for organizing FFS-based training and demonstration activities dealing with
WUA needs and problems related to agriculture.

4. Community-based Seed Production, Distribution of Cereals, Legumes, and

Oil Seeds

38. Good seeds alone can help increasing productivity and intensification of cropping
systems with improved varieties. Availability of quality seeds is limited for most farmers
and this limits potential benefits from irrigated agriculture. A community-based seed bank
can be established within the WUA/FGs system and can support farmers for multiplication
of seeds, processing, storage and distribution. This seed bank can then be integrated with
the district- based seed support for production (DISSPRO). Support for the establishment
of community-based seed production is crucial.
 91 Annex 4
56
5. ICM/IPM/IPNS Farmers Field School (FFS) for Cereals, Legumes, Potatoes
and Vegetables

39. FFS aims at developing skills among the farmers through an effective program of
transfer of knowledge using adult learning techniques. FFS is expected to:

(i) Increase practical knowledge of farmers in improved agriculture practices, by

helping them to identify and solve problems themselves.
(ii) Help farmers identify and introduce practical measures to promote good agriculture
practices in their sub-groups.
(iii) Increase participation of vulnerable stakeholders such as female-headed
households and landless farmers in improved agriculture practices.
(iv) Increase integration/linkage between water users, farmers and other local
institutions and agencies.

40. In subprojects, depending on farmers’ needs and production potentiality 57 ,

improved crop production technology demonstration will be done based on FFS approach
and will be carried out for at least one crop season. Using the FFS approach, objective-
oriented extension support will be provided to the farmers group in the command area
based on their needs. The groups of farmers share their time and experience during the
technology transfer process. During this period, the farmers/WUFGs and WUA/ASDC
members observe the results of the new technology adopted. They share their experience
and participate in the management of the extension resources. The guiding agenda for
FFS operation is centred on key objectivities such as crop diversification and
intensification, increase in crop productivity and introduction of high-value crops and
commercialization systems.

41. This will help to test the adoptability of the technology in irrigated condition, and to
further disseminate the effective technology.

42. Each FFS will be managed by the AULL technician along with the Agriculture
Extension officer/AULL. Between 25 and 30 people will be members of the FFS. Half the
members should be women, with preference given to widows and women from ultra-poor
households.

43. Detailed programs for FFS management will be worked out by the AULL
technicians.

6. Demonstration on Water-saving Rice Technologies

44. To increase efficiency of irrigation water use in rice production, demonstrations on

water-saving rice production technologies with increased crop productivity will be carried
out on-farm, in a fully participatory approach with the WUFGs.

56 ICM = Integrated Crop Management; IPM = Integrated Pest Management; IPNS = Integrated Plant Nutrition System.

57Production potentiality refers to the accessibility to the area, resources (improved inputs) availability, nearby located market
infrastructure, soil and topographic suitability, irrigation availability and interested group of farmers.
92 Annex 4
7. Cropping Pattern Demonstration

45. To facilitate intensification of the cropping system and diversify with high-value
cash crops on a commercial scale as per the needs and priority of farmers, this
demonstration will be carried out on a fully participatory approach. To promote on-farm
commercialization, cropping system demonstration will be carried out in the subproject
area as per the needs of farmers and market demand for the product.

8. Soil Testing Campaign

46. Introduction of irrigation and intensified cropping system can cause a rapid change
in the soil nutrient contents and on soil profiles. This has an implication on soil productivity.
Soil management is a crucial part of irrigated agriculture and, for this reason, farmers will
be motivated and supported with a soil testing campaign and with management of the soil
suitable to their type of farming systems.

9. Market Support and Accessibility

47. The WUFGs within the command area will be supported for crop diversification,
commercialization and market access. The farmers of the area will have relatively better
access to market for their produce and for the inputs that they need. Farmers in subproject
areas may receive guidance and technical support for the establishment of periodical
market centres.

10. Crop Cutting Surveys

48. Participatory crop cutting surveys will be carried out for some of the major crops
such as paddy, wheat and maize in some sample areas. This will help monitoring the
results of the extension support program on the crops productivity (yields). These surveys
will also serve as a demonstration for WUAs/FGs to adopt a self-benefit monitoring
system.
 93
Annex 5

ANNEX 5: INTEGRATED CROP AND WATER MANAGEMENT COMPONENT

A. Background

1. Objectives of Water Management

1. In the context of CMIASP, the objectives of water management can be defined as:58
(i) develop equitable and adequate water distribution systems to improve agriculture
productivity;
(ii) combine improved infrastructure with the formation of community-based Water
Users Association (WUA) responsible for water management to provide a long-
term solution for equitable distribution of water among all farmers;
(iii) increase irrigation efficiency;
(iv) provide access to water both at both head and tail ends; and
(v) frame rules and regulations concerning water allocation and distribution in a
participatory manner.

2. Constraints to Expanding Year-round Irrigation59

2. The recent preparation of the Nepal Agricultural Development Strategy considered that
the main constraints to expanding year-round irrigation were:
(i) traditional focus of farmers on staple food grain production
(ii) lack of knowledge and extension on upland crop production
(iii) poor water management within the irrigation systems with water wastage at the
head of systems and canals due partly to a lack of water courses/field channels,
leaving insufficient water at the tails especially for the production of winter and
sprint crops
(iv) decline of water sources, due to a variety of factors, including (i) change in climate,
(ii) degrading catchments particularly in mountain areas, and (iii) change in river
characteristics due to natural or human factors such as mining.

3. Improved within-scheme water management is required. Irrigation systems are not

well developed to the field level, forcing farmers to convey water from one field to the next. Water
distribution is thus not optimal and could be enhanced by improved irrigation management. But
currently, irrigation management works are neglected. Water shortage can be mitigated to some
degree by improving irrigation efficiency and constructing water courses to most field plots,
precision land leveling and adopting appropriate water distribution rules.

4. Water supply shortages in hill and mountain areas can be reduced through improving
overall irrigation efficiency and reducing conveyance losses by laying pipe or lining canals in
appropriate areas and by adoption of more efficient irrigation methods like drip and sprinkler.

58 Adapted from Consultant’s Midterm Review Report, CMIASP, March 2010.

59 Preparation of the Nepal Agricultural Development Strategy, ADB TA 7762-NEP, Irrigated Agriculture and Water
Resources Component, Irrigated Agriculture and Water Resources Assessment Report, May 2012.
94
B. Outline of Proposed ICWM Activities

5. Under the overall responsibility of the CPMO, the IMD/SICWMP will be responsible for the
planning and monitoring of the ICWM activities. Agriculture-related on-farm activities will be
carried out in collaboration with AULL, with guidance and supervision from PIU at central level.

6. In general, smaller hill schemes require less activities and support compared with larger
Terai schemes, and the program activities at each subproject will be adapted accordingly.
CMIASP-AF’s proposed integrated crop and water management component involves five main
groups of activities:
(i) On-farm level infrastructure
(ii) WUA institutional development
(iii) Water management training and activities
(iv) Pilot scheme demonstration
(v) ICWM Workshops, and
(vi) Monitoring and Evaluation (M&E)

7. On-farm level infrastructure. The project includes a budget for on-farm level physical
improvements, including turnout, division boxes, water course, small pipes and other small onfarm
structures. WUAs will carry out these works as both WUA-payable and WUA contribution works,
under the guidance and supervision of the WRIDD/SDs.

8. WUA Institutional development. Training activities to support WUA institutional

development, as far as ICWM activities are concerned, will include (i) Program orientation and
dissemination, (ii) Review of WUA structure and composition (to allow effective on-farm water
management), (iii) WUA capacity building, (iv) FFS (irrigation part), (v) development of user list
with parcellary map, and (vi) resources collection and mobilization. IMD/SICWMP will first update
the relevant training material with the assistance of the PIMS, then deliver ICWM Technical Staff
Training (TST) at regional level for the WRIDD/SDs. Training activities at field level will be
delivered by the WRIDD/SDs, with guidance from the PIMS consultants and IMD/SICWMP.

9. Water management. This is the key component of the ICWM component, involving (i)
Crop planning and selection, (ii) Crop Water requirement, (iii) Irrigation requirement, allocation
and distribution schedule, (iv) Operational training, (v) Flow measurement and (vi) Soil moisture
measurement. Crop planning and selection will be carried out with the concerned AULL, and will
be part of the ADP activities planned for the subproject. Operation plans will include on-farm level
water management plans. Here again, IMD/SICWMP will first update the existing training material
with the assistance of the PIMS, then deliver ICWM TST training at provincial level to the
WRIDD/SDs. Training activities at field level will be delivered by the WRIDD/SDs, with assistance
of the PIMS consultants and IMD/SICWMP.

10. Pilot scheme demonstrations. In each subproject, the IMD/SICWMP will establish a
Pilot scheme demonstration, to show different surface irrigation or micro-irrigation methods.

11. ICWM Workshops. Workshops are planned at regional level to share the results and
lessons learned from ICWM activities and develop ways to improve the program. The workshops
will be planned and organized by IMD/SICWMP.

12. Monitoring and Evaluation (M&E). Planning and monitoring activities at central, regional
and district level are included to ensure effective coordination with other subproject
implementation activities (i.e. construction and other ADP activities) and to collect and analyze
 95
selected data reflecting the success of the interventions. IMD/SICWMP at central level will have
the overall responsibility for monitoring and evaluation of ICWM activities. They will visit selected
subprojects for this purpose.
96
Annex 6

ANNEX 6: LAND DONATION FORM AND CHECKLIST

Name of Subproject Region

District
Brief description of the proposed subproject

1. Screening questions
Likely Effects Yes No Remarks

Will the subproject require widening

or extension of the existing farmer
managed irrigation system?
Is the ownership status of land
known?
Is the current usage of land to be
acquired known?
Will there be loss of crops and/or If yes, how much loss (%)?
trees?
Will there be loss of incomes and If yes, how much loss (%)?
livelihoods?
2. Information on the Beneficiary Households
What is the estimated number of households likely to
voluntarily donate land?
What is the estimated number of households who may
be required to donate more than 10% of agricultural
landholding within the command area?
What is the estimated number of female headed
households who may donate land?
What is the estimated number of Dalit households who
may donate land?
3. Assessment based on the foregoing Yes No IR Category
identification of impacts
Are the beneficiaries willing to donate land X C: Due diligence required.
voluntarily?
(If YES conduct due diligence as per the
Voluntary Land Donation Framework)
 97
Will the subproject involve involuntary land X A or B : Selection criteria not met.
acquisition (If YES the subproject is
dropped)
*No involuntary resettlement (IR) impacts
98

Annex 7

ANNEX 7: INDIGENOUS PEOPLES SCREENING CHECKLIST

Name of Subproject Region

District

Brief description of the proposed subproject:

Impact on indigenous peoples (IPs)) Yes No Remarks

1. Are IPs belonging to the Endangered category listed

below present in subproject locations?
(Bankariya, Hayu, Kusbadiya,Kusunda,Lepcha, Surel
Raji, Raute Kisan, Meche/Bodo)

2. Are other IPs present in subproject locations?

3. Will the subproject restrict their economic and social

activity and make them vulnerable?

4. Will the subproject cause a change to their

socioeconomic and cultural integrity?

5. Will the subproject disrupt their community life?

6. Will the project positively affect their livelihoods?

7. Will the project alter or undermine the recognition of

their traditional knowledge, preclude customary
behaviors?

8. Will there be loss of incomes and livelihoods?

 99

Annex 8

ANNEX 8: TIMELINE FOR AUDITED PROJECT FINANCIAL STATEMENTS

S.N Activities Responsible Minimum Time Remarks

agency days frame
required
1 Account closing date (FY) EA/IAs - 16 July
2 Annual financial statement preparation EA/IAs 14 30 July
by the account section
3 Submission of financial statements to EA/IAs 1 31 July Uncertified financial
concerned authorities (CPMO/PIU) statements are submitted
4 Conduct Internal audit and certify Concerned 35 5 Sep
financial statements of the cost centers IAs
5 Cost centers submit certified financial IAs 15 20 Sep It takes time to reach the
statements to CPMO and PIU documents to CPMO and
PIU from the districts from
remote areas
6 Consolidation of financial statements by CPMO/PIU 7 27 Sep Including follow up from the
the CPMO and PIU- capital and recurrent districts
costs
7 Submission of consolidated financial CPMO/PIU 3 30 Sep
statements to Ministries / FCGO for final
verification of the accuracy of the
financial statements
8 Submission of unaudited project account PIU 5 5 Oct
to the CPMO
9 Preparation of unaudited project account CPMO 15 20 Oct All the accounting records
are to be verified
10 Final audit of all IAs of the regions, OAG 90 20 Jan
divisions and districts- including DOWRI,
PIU
and CPMO
11 Preliminary audit report to be sent to the OAG 10 30 Jan
concerned offices
12 Clarification of audit observation to be sent EA/IAs 35 5 Mar There is 35 days as per the
to OAG rule
13 Submission and audited financial IAs 15 20 Mar It takes time to reach the
statements to the PIU/CPMO documents to CPMO and
PIU from the districts from
remote areas
14 Finalization of project accounts after PIU/CPMO 7 27 Mar
verification with FCGO and OAG
15 Certification by the concerned officials Departments/ 4 31 Mar
Ministries
16 Submission of audited financial PIU 3 3 Apr
statement to CPMO
17 Certification by FCGO FCGO 3 6 Apr
18 Certification by OAG OAG 5 11 Apr Preparation of audit
observation report, including
status of SOE, Advance
account, financial covenants
and comment on previous
years audit report
100

19 Submission of AFS to ADB CPMO 4 15 Apr

Total time required for audited 9
financial statement preparation and months
submission
EA = executing agency, CPMO = central project management unit, FCGO = Financial Comptroller General Office, IA
= implementing agency, FY = fiscal year , OAG = Office of the Auditor General, SOE = statement of expenditures, PIU
= project implementation unit
 101

Annex 9

ANNEX 9: TERMS OF REFERENCE FOR PROJECT IMPLEMENTATION AND

MANAGEMENT SUPPORT CONSULTANTS

A. Introduction

1. The project implementation and management support (PIMS) consulting services consist
of the following: (i) an international Team Leader/Irrigation Engineer, recruited as an individual;
and (ii) the main team of national experts, recruited as a firm or association of firms/joint venture.

2. The project will be implemented over a period of 6 years, tentatively July 2014 to January
2021. The detailed (tentative) implementation plan for the project is in the project administration
manual (PAM). The consultant will be expected to prepare its personnel schedule and workplan
in accordance with the project implementation plan.

3. The project management arrangements are outlined in the PAM. They indicate the roles
and responsibilities of all government agencies and staff in project implementation and oversight.

4. The PIMS consulting team will assist DOWRI and DOA in project management and
implementation. The services will provide advice, assistance and training to Project institutions
regarding all aspects of implementation so that the Project achieves its objectives. The
consultants will build on the experience gained during Community Managed Irrigated Agriculture
Sector Project (CMIASP) and preceding projects with respect to the participatory framework,
procedures, systems and processes.

B. Terms of Reference for the Team Leader / Irrigation Engineer (International, Individual,
25 person months)

5. Qualifications: A graduate degree (to at least a master’s level) in

irrigation or water resources engineering or equivalent
academic/professional qualifications, and professional experience in
managing multidisciplinary teams in the context of irrigation/ water
resources project in development countries, preferably in Nepal. The
consultant will have at least 15 years’ experience in managing
participatory irrigation/ water resources development projects and in
establishing quality control and monitoring systems, and in rural
development with effectively verified outputs. Fluent in written and
spoken English and an ability to draft concise reports; good
communication skills; excellent computer skills, working experience
with GIS, computer-based MIS and work planning systems is essential

6. Duty Station: At the CPMO, Kathmandu, with frequent visits to

subproject sites and project regions and districts.

7. Responsibilities. The specific activities will include the following:

(i) Lead the PIMS consulting team by supervising and guiding the
individual specialists and ensuring that consultant resources
102

are effectively used and engaged in project activities to

collectively deliver the required services and outputs;
(ii) Maintain daily contact with and advise the Project Director;

(iii) Liaise with ADB and coordinate project activities with those of
other related development projects including agriculture
development, irrigation, and water resources management;
(iv) Assist the CPMO in managing the contract for the PIMS
consulting firm;
(v) Assist the CPMO in maintaining, updating and effectively using
the management information systems (MIS) established by the
predecessor project to ensure monitoring and quality control of
subproject implementation through sound reporting, recording,
and advising mechanisms on all processes and activities;
(vi) Assist Project institutions in following the agreed detailed
subproject implementation systems, procedures and
arrangements, by monitoring and advising on the performance
of Project institutions;
(vii) Through regular review, regularly fine tune and adapt the
agreed detailed subproject implementation systems,
procedures and arrangements by incorporating the findings
and lessons;
(viii) Ensure technical quality of subproject preparation and
implementation including engineering aspects and the social
agendas such as gender, ethnic minorities, dalit and other
vulnerable people;
(ix) Review and advise on individual subproject preparation reports
(SPPRs) and detailed design reports and recommend their
approval by participating in the Project Appraisal Committee;
(x) Based on lessons learned during implementation, review and
modify as appropriate the existing procedures and guidelines
for the collection of technical, socio-economic, agricultural,
environmental information to be used in the SPPRs and
entered into the MIS;
(xi) Undertake and participate in training needs survey, and
develop training programs and materials to be used in the
project management training of the personnel in DOWRI, DOA,
LGIs, and WUAs;
(xii) Assist CPMO in preparing annual training plan and
implementing the programs to effectively meet the needs of the
Project staff at all levels;
(xiii) Assist CPMO in projecting contract awards and
disbursements, and in meeting such projections;
 103

(xiv) With the assistance of the micro-finance specialist and in

consultation with DOWRI staff, prepare recommendations for
mechanisms to support incremental fixes to completed
schemes (for both deferred maintenance and damage from
disasters);
(xv) With the support of the Senior IMT Specialist, assist DOWRI to
prepare a guideline and criteria for full or partial management
transfer of irrigation systems that are currently agency-
managed; and
(xvi) Prepare trimester reports, annual report, detailed mid-term
review, and project completion reports, and other reports as
required by CPMO and ADB.

C. Terms of Reference for the PIMS Consulting Team (Firm)

1. Specific Objectives of the Consultancy Services

(i) To advise and assist the Department of Irrigation (the CPMO, WRIDD/SDs, ) and
the Department of Agriculture, the executing/co-executing agencies in Project
implementation;
(ii) To assist CPMO in updating existing training plans and manuals for training WUAs
provide training to the executing agencies (Project institutions) to enhance their
capacities in project implementation;
(iii) To assist the CPMO in maintaining, updating and effectively using the MIS
developed by the predecessor project;
(iv) To promote the adaptation of systems established for the project, and support the
integration of the institutional development and the technical aspects of the project;
(v) To help implementing agencies ensure that all project activities, including
construction works are executed with the highest standard;
(vi) To review and advise on subproject preparation reports (SPPRs), including
subproject implementation plans (SIP), and detailed design and recommend their
approval;

(vii) To prepare trimester, annual, detailed mid-term review, end of assignment and
other reports, as required by ADB and other Project institutions.

2. Scope of Work

8. The scope of the consultancy services will include, but not necessarily limited to, the following:

(i) Support subproject implementation following agreed procedures and

arrangements, and propose further improvements if needed;
(ii) Capacity building and strengthening of directly concerned institutions including
central line departments, local government institutions and water user associations
(WUAs);
104

(iii) Project management through monitoring and quality control of both institutional
processes and technical works for irrigation infrastructure, and agriculture and
social development.

3. Services for Irrigation Management Transfer (IMT)

9. To support implementation of irrigation management transfer activities in the five proposed

Agency Managed Irrigation Systems (AMIS) in 5 districts of Western and Mid-Western Regions,
additional consulting services are required. Irrigation management transfer activities are
multidisciplinary, so four specialists are proposed along with one Community Mobilizers in each
subproject. This team will also receive support from the ISPM consulting team assigned for FMIS
rehabilitation support regarding activities not specifically related to IMT. Because of the nature of
IMT support, most consultants have relatively long input periods.

10. Four national senior specialists and 15 support staff at field level are proposed, for a total
of 743 p-m. The Community Mobilizer in each subproject will support agriculture, community
mobilization, institutional development and water management. The assignment will be over a
period of 5 years. As four AMIS are located in the Western Region, the TA office may be located
at Pokhara, head quarter of this Region.

4. Reporting

11. The consultants shall prepare and submit the following reports to the CPMO at the times
specified below:

(i) Inception Report: The Consultants shall prepare the Inception Report and submit
it at the end of 6 weeks after the commencement of their services. The report shall
describe the consultants' overall understanding of the project implementation
procedures and arrangements and detailed plan to effectively deliver the required
consulting services.
(ii) Four-monthly Progress Reports: The reports shall briefly describe an include the
project activities undertaken during the report period, financial situation, progress
of implementation of physical infrastructures, any changes in the implementation
schedule, problems and constraints associated with project implementation and
suggested remedial measures, planned activities and expenditure forecast for the
next four month period. The third four-monthly progress report will be an annual
report covering the entire one-year period .
(iii) The Mid-term Review Report: The consultants shall prepare and submit a
Midterm Review Report at the end of 30 months of project implementation period.
The report will update the overall progress of implementation of various project
components and will include the description of problems encountered in achieving
the objectives, remedial measures adopted to address the problems, financial
status of the Project, and suggestions for improvement of procedures/guidelines.
The report will also make recommendation, if so deemed necessary, for the
extension of project period. The Mid-term Review Report should provide a clear
picture of the project status, which will guide the ADB and GON to take corrective
and appropriate steps for achieving the desired objectives of the Project in the
remaining project period.
 105

(iv) Project Completion Report (PCR): At the end of project period, the consultants
shall prepare a Project Completion Report (PCR). The PCR will summarize, or
accumulate as appropriate, the records of the four-monthly and annual reports. In
addition, the PCR will analyze the constraints met in project implementation,
measures adopted to resolve such constraints, document the achievements made
by the Project, and suggest ways to improve implementation of such projects in the
future. In short, the PCR will provide a brief but a complete picture of issues
involved in project implementation.

12. The consultants shall submit ten copies of each report to the CPMO.

13. The four-monthly reports will be submitted within two weeks of the end of the reporting
period. The Completion Report will be submitted within two months of the end of the
project period.

5. Inputs to be provided by the Employer

14. The Employer will provide the following inputs:

(i) Office space in CPMO, PIU and two provincial offices

(ii) Assistance in obtaining for the consultants' international staff, and eligible
dependents visas, residence permits, exchange permits and any other documents
required for their stay in Nepal, and
(iii) Assistance with import of any materials and equipment required for Project
purposes.

6. Inputs to be provided by the Consultants

15. The Consultants will provide the following inputs:

(i) International transport from home office to Kathmandu,

(ii) Local transport, drivers and fuel as required,
(iii) Air-transport within Nepal,
(iv) Project offices other than those provided by the Employer,
(v) Office facilities, such as computers, printers, photocopiers, UPS, telephone, fax
with consumables as required.

16. A national consulting firm(s) and NGO(s) will provide the consulting services. It is
estimated that 2,340 person-months of services will be required (national consultants,
including field level consultants). The expertise of the consultants and the expected input
periods of each are presented in the following table.

Table 3: Summary of Consulting Services (person-months)

Person-months
Expertise
106

International National

CENTRAL LEVEL (CPMO, PIU)

Irrigation Specialist/ Deputy Team Leader 48
Senior Geotechnical / Tunneling Specialist 6
Senior Social Development Specialist 38
Senior Agriculturalist 38

ICWM Specialist 22

Financial Management Specialist 12

Finance/Micro-Finance Specialist 3

Procurement Specialist 12

Jr MIS/GIS Technician 48
Sub-total 227
REGIONAL LEVEL (RID)
Irrigation Planning and Design Engineer (2 positions) 50
Quality Control Engineer (2 positions) 80

Social Development Specialists (2 positions) 60

Agriculturalist (2 positions) 60
Sub-total 250
FIELD LEVEL
Social Mobilizers (50 positions) 1,040
Sub-total 2,000
IMT TEAM (AMIS) Senior
Irrigation Management Specialist 48
Senior Water Management Engineer 40

Institutional Development Specialist 40

Irrigation Agronomist 40

Agricultural Extensionists (10 positions) 350

Community Mobilizers (5 positions) 225

Sub-total 743
UNALLOCATED
Unallocated – Specialist 40
Unallocated - Mid-level 40
Sub-total 80
Total 2,340
 107

D. Individual Terms of Reference

17. The individual Terms of Reference (TOR) of each consulting team member are presented
below.

1. Irrigation and Water Management Specialist / Team Leader (International, 25

person-months)

18. The Team Leader shall be based at the CPMO, Kathmandu, with frequent visits to
subproject sites, Subproject Management Units (SMUs) and Regional Project Support Units as
necessary.

19. The Team Leader will have a graduate degree in irrigation or water resources engineering
or equivalent academic/professional qualifications, and professional experience in managing
multidisciplinary teams in the context of irrigation/ water resources project in development
countries, preferably in Nepal. Fluency in Nepali language is an advantage. The consultant will
have at least 15 years’ experience in managing participatory irrigation/ water resources
development projects and in establishing quality control and monitoring systems, and in rural
development with effectively verified outputs. The specific activities will include the following:

(i) Act as Team Leader and guide, supervise, coordinate, and support all the activities
of the members of the consultants team with frequent field visits to confirm field
outputs in accordance with the Project design;
(ii) Maintain daily contact with and advise the Project Director;
(iii) Liaise with external funding agencies and coordinate project activities with those
of other related development projects including agriculture development, irrigation,
and water resources management;
(iv) To promote the adaptation of systems established for the project, and support the
integration of the institutional development and the technical aspects while
addressing the social agendas such as gender, ethnic minorities, dalit and other
vulnerable people;
(v) Assist CPMO to prepare detailed TOR for outsourcing various services, as
needed, in accordance with the Project design, in collaboration with the National
consultants;
(vi) Participate actively in the selection, tendering procedures and contracting of the
entities that will be hired to implement the outsourced activities of the project; and
evaluate the individuals working in the above organizations;
(vii) Assist CPMO in maintaining, updating and effectively using the management
information systems (MIS) established by the predecessor project to ensure
monitoring and quality control of subproject implementation through sound
reporting, recording, and advising mechanisms on all processes and activities;
(viii) Assist Project institutions in following the agreed detailed subproject
implementation systems, procedures and arrangements, by monitoring and
advising on the performance of Project institutions by attending managerial review
meetings and selected SMU-WUA review meetings;
108

(ix) Through regular review, regularly fine tune and adapt the agreed detailed
subproject implementation systems, procedures and arrangements by
incorporating the findings and lessons;
(x) Review and advise on individual subproject preparation reports (SPPRs) and
subproject implementation plan (SIPs), and recommend their approval by
participating in the Project Appraisal Committee;
(xi) Based on lessons learned during implementation, review and modify as
appropriate the existing procedures and guidelines for the collection of technical,
socio-economic, agricultural, environmental information to be used in the SPPRs
of proposed FMIS schemes;
(xii) Undertake and participate in training needs survey, and develop training programs
and materials to be used in the project management training of the personnel in
DOWRI, DOA, LGIs, and WUAs;

(xiii) Assist CPMO in preparing annual training plan and implementing the programs to
effectively meet the needs of the Project staff at all levels; and
(xiv) Prepare trimester, annual, detailed mid-term review, end of assignment and other
reports, as required by ADB and the project institutions.

2. Irrigation Specialist / Deputy Team Leader (48 person-months)

20. The consultant will have a graduate degree in irrigation or water resources engineering or
equivalent professional qualifications, and professional experience in planning and
implementation of participatory irrigation management and water resources sector under
externally assisted projects. The specialist will have at least 20 years of relevant experience and
hands-on knowledge in implementing irrigated agriculture development projects operating
effective MIS and quality control. Under guidance of the TL, the specific activities will include the
following:

(i) Maintain close liaison with line ministries and departments involved in irrigated
agriculture development, as well as external technical auditing;
(ii) Assist CPMO, and SMU to effectively operate the MIS with accurate information
collection of subproject implementation status and proper guidance;
(iii) Assist the CPMO in assessing SPPR results to ensure the work quality with the
help of the concerned specialists in the ISPM team;
(iv) Carry out random reviews of detailed designs of subprojects;
(v) Assist CPMO in monitoring and advising on the construction works for the
subprojects, including the works undertaken by WUAs as their beneficiary
contribution;
(vi) Serve as TL in the absence of international TL.

3. Senior Geotechnical / Tunneling Specialist (6 person-months)

21. The consultant will have a graduate degree in geotechnical engineering or equivalent
professional qualifications, and professional experience in design of tunnels and related
 109

structures. The specialist will have at least 15 years of relevant experience. Specific activities will
include the following:

(i) For 2 subprojects that require tunnel construction, review the detailed technical
assessment of the advantages of shortening the main canal alignment by
constructing a tunnel, and review the geological evaluation of the viability of tunnel
construction.
(ii) Review the detailed geological studies and designs of tunnels prepared by the
firms hired for the Preparation of Feasibility Studies and Detailed Designs for
Rehabilitation and Management Transfer of AMIS.
(iii) Review the proposed detailed rehabilitation measures with estimated cost.
(iv) Review the required additional detailed geological investigations specified for
tunnel design.
(v) Review detailed investigation of the proposed tunnel alignment including results of
core drilling at selected points in the alignment.

(vi) Prepare terms of reference for additional geotechnical studies, if required.

(vii) Propose adequate construction methods for safe and efficient construction.
(viii) If the tunnel option proceeds to construction, provide specialized construction
advice and supervision.

4. Irrigation Planning and Design Engineer (2 positions, one in each relevant

province) (total 50 person-months)

22. The consultant will have a degree in irrigation engineering or equivalent professional
experience and have a minimum experience of 20 years. The consultant should have a broad
knowledge base of effective design principles and criteria and hands-on experience with medium-
scale irrigation projects with strong motivations to devise designs adaptive to Nepali conditions.
The consultants will undertake the following activities under close guidance of the ISPM
consultants at CPMO:

(ix) Maintain close liaison with DOA at the regional level;

(x) Monitor and support the activities undertaken by other regional-based ISPM
consultants, and ensure effective operation of MIS;
(xi) Assist CPMO in monitoring and advising on the quality of outputs produced in initial
screening, shortlisting and prioritization process to judge their appropriateness;
(xii) Assist CPMO in monitoring and advising on the quality of the Scheme Verification
Reports produced after the reconnaissance visits by Sr. Engineer, AO and JT/JTA
to prospective subproject sites to judge the appropriateness of further processing
of subproject requests;
(xiii) In close coordination with TL, DTL and other sector specialists, monitor and advise
on the quality of the SPPRs and SIPs;
110

(xiv) Assist CPMO in evaluating the quality of the detailed designs and cost estimates
to ensure efficiency, economy, and WUA manageability; and
(xv) Assist WRIDD/SD support to SMU for the initiation and implementation of
construction works under WUA contribution with sufficient technical quality.

5. Quality Control Engineer (2 positions, one in each relevant province) (total

80 person months)

23. The quality control engineers will have degrees in civil engineering and a minimum of 15 years
professional experience in the design and supervision of construction works for irrigation and
other water resources structures. The engineers will be based in region, and undertake the
following specific tasks:

(i) Monitor the tendering and construction stages of each subproject and track in the
MIS;
(ii) Assist WRIDD/SD engineers and sub-engineers in putting in place a system of
effective supervision of construction work carried out by contractors and WUAs;

(iii) Monitor construction activities ensuring that (i) WRIDD/SD construction supervisor
is on site, (ii) the contractor has a capable manager on site, (iii) proper construction
practices are being followed, and (iv) the design is being followed;
(iv) Assist CPMO in construction monitoring and quality control, check and certify the
final contractors bills with inspection of completed structures, and recommend for
final payment;
(v) Provide training to the WUA Subproject Monitoring Committee (SMC), monitor
their activities and follow up on any complaints received;
(vi) Develop training materials to be used in the quality control training of WRIDD/SD
personnel, and provide training on best construction practices;
(vii) Assist WRIDD/SD engineers and WUAs to jointly identify maintenance
requirements after the first monsoon season of post-construction period;
(viii) Prepare construction related reports as required by project management.

6. Senior Social Development Specialist (38 person-months)

24. The Senior Social Development Specialist will have at least a Master’s Degree in social
sciences or related fields; at least 10 years professional experience in participatory community
development, knowledge of social inclusion issues in the sector and experience in undertaking
GESI trainings at different levels; experience in promoting women's advancement and gender
equality; knowledge in the area of rural development; excellent computer skills and excellent
communication and interpersonal skills. S/he will have at least 5 years’ experience in M&E
systems and comprehensive knowledge of data management through computerized M&E
systems. S/he will also have and be proficient in written and spoken English with an ability to
prepare clear and concise reports.
 111

25. The Specialist will be responsible to the Team Leader and the Project Director. S/he will
be based in the CPMO and make frequent trips to provide guidance and supervision to the
regional Social Development Specialists. Main duties include:

(i) Work in close collaboration with the project engineering team to assess the needs
and requirements for social interventions during the implementation period and
provide necessary support to plan and implement the social development activities
including social mobilization;
(ii) Take the lead on gender and social inclusion, social safeguards, consultation and
participation.
(iii) S/he will be primarily accountable for the implementation and reporting of GESI
Plan, voluntary land donation due diligence framework and the Indigenous Peoples
planning due diligence framework to the Project Director and Team Leader on a
quarterly basis for further transmittal to ADB.
(iv) S/he will develop a module for capacity development training to all project
staff/consultants in GESI mainstreaming and provide the same at the central,
region, district and subproject level;
(v) Assess the quality and completeness of disaggregated data being gathered to
assess project benefits and impacts for each subproject;
112 Annex 9

(vi) Review the project’s MIS system for socio-economic data collection and ensure
system updates to support M&E of social aspects;
(vii) Prepare annual in-depth project M&E report discussing impacts from gender,
ethnicity and poverty reduction perspectives, utilizing qualitative instruments and
case studies. The reports will include feedback from project beneficiaries and
highlight successes and lessons learned.
(viii) Coordinate with the Environment, Social Safeguard and Climate Change Branch
of DOWRI in the implementation of the Consultation, Participation, and
Communication Plan and GESI Plan.
(ix) Supervise the work of the regional Social Development Specialist and provide
necessary technical backstopping.

7. Social Development Specialist (2 positions, one in each relevant province)

(total 60 person-months)

26. The Social Development Specialist will have at least a Masters’ Degree in social sciences
or related fields; at least 5 years’ experience in participatory community development, knowledge
of social inclusion issues in the sector and experience in social mobilization of communities;
experience in promoting women's advancement and gender equality; excellent computer skills;
and excellent communication and interpersonal skills. S/he will also be proficient in written and
spoken English with the ability to prepare clear and concise reports.

27. Based at the relevant province, and with frequent visits to the project districts, s/he will be
responsible to the CPMO. Main duties include:

(i) Maintain a socioeconomic profile of each beneficiary household, and ensure

sex/caste/ethnicity disaggregated data is inputted at the WRIDD/SD level;
(ii) Ensure active participation of women and other vulnerable/disadvantaged groups
(defined as marginal farmers, female headed households and the landless who
are sharecroppers) and will take primary responsibility for monitoring and reporting
the GESI AP and other social dimensions;
(iii) Develop a strategy for the participation of women, vulnerable ethnic/caste groups,
and the poor in public project information dissemination meetings, subproject
planning and preparation consultation meetings, and focus group discussions for
scheme verification;
(iv) Train and supervise Social Mobilizers in carrying out their responsibilities as per
the TOR;
(v) Support senior social development specialist in executing capacity development
training on GESI to project staff/consultants at regional, district and subproject
level.
(vi) Provide overall guidance and regular technical support to SMUs in organizing
consultations and in the implementation of the communication strategy;
(vii) Disseminate information on subproject selection criteria, and mechanism for
grievance redress policy,
 Annex 9 113

(viii) dissemination of irrigation policy requiring 33% women's participation in registered

WUAs with proportionate representation of janajati groups and castes

in the command area, and promote in at least 50% of the WUA one woman holding
a key leadership position as chairperson, secretary, or treasurer
(ix) Promote in at least 50% of the WUA, the membership to extend to sharecroppers
and leaseholders for their increased voice and influence in water management
(x) Support AULL in the execution of farmer leader training and in the implementation
of agriculture extension related trainings and services.
(xi) Conduct focus group discussions and identify households who may find it difficult
to meaningfully participate relative to local elites, and making arrangement to hold
separate consultations with these groups;
(xii) Facilitate the flow of information into the MIS at the WRIDD/SD level and the
structure of data to be collected disaggregated by sex, caste and ethnicity that
provides information on the indicators established in the design and monitoring
framework (DMF).
(xiii) Analyze socioeconomic data of all monitoring reports, as well as undertake
quarterly specialized GESI monitoring of subprojects.

8. Senior Agriculturalist (38 person-month)

28. Posted at the DOA/PIU, the Sr. Agriculturalist will have at least a Masters’ Degree in
Agronomy, Agricultural Extension Development, or Agricultural Economics with at least 10 years
of experience in irrigated agriculture programme planning and implementation, and Monitoring
and Evaluation. Main responsibilities include:

(i) Establish linkage and integration between DOA and DOWRI for effective
implementation of Agriculture Development Plans (ADPs);
(ii) Provide training to the Regional level Agriculturists on need-based planning and
implementation of ADP activities with emphasis on the FFS approach.
(iii) Conduct Monitoring and Evaluation of the activities at ISP level and suggest further
improvement as necessary;
(iv) Organize workshops of stakeholders at Central level and support overall
coordination of activities at PIU, AULL and WRIDD/SD level;
(v) Visit and monitor selected ADP implementation at ISP level with WUAs and
WUFGs in the command area maintaining close liaison with PIU and concerned
AULLs and WRIDD/SD;
(vi) Participate in selected focus group discussion (FGD) with the WUA/farmers
together with the participation of AULL and WRIDD/SD in order to identify
agriculture and social development needs of the farmers;
(vii) Maintain liaison at CPMO and PIU level and play active role in effective
implementation of ADP at ISP level;
114 Annex 9

(viii) Guide planning and implementation of ADP for crop diversification and
commercialization with effective marketing support towards maximizing on-farm
income;
(ix) Support AULLs in the preparation of ADPs and support monitoring and evaluation
in close coordination with WRIDD/SD;

(x) Review draft ADPs prepared by AULL and WUA and suggest improvements, if
any.
(xi) Review the training plan, curriculum and session plan for conducting practice
oriented skill based training on FFS approach on-farm and suggest further
improvement, if any;

9. Agriculturalist (Regional level) (2 positions, total 60 person-month)

29. The Agriculturalist at Regional level will have at least a Bachelor’s degree in Agricultural
Development with at least five years of experience in irrigated agriculture programme planning
and implementation at farm level. The Agriculturalist will work at ISP level with WUAs and WUFGs
in the command area maintain close liaison with the concerned AULLs and WRIDD/SDs. Main
responsibilities include:

(i) Organize focus group discussions (FGD) with WUA/farmers together with the
participation of AULL and WRIDD/SD to identify agriculture development needs of
the farmers;
(ii) Facilitate FGD so that WUA/farmers bring up their needs and problems; prioritize
them and identify likely solutions. Prepare record of discussion with prioritized list
of needs and problems and proposed measures to address them;
(iii) Support WUA, AULLs in the preparation of the subproject Agriculture Development
Plan (ADP).
(iv) Review draft ADP prepared by WUA/AULL and suggest improvements, if any.
(v) Assist in collecting information for M&E of the agricultural activities at ISP level and
suggest further improvement as necessary;
(vi) Assist effective coordination of AULL and WRIDD/SD activities at district and ISP
level;
(vii) Visit and monitor ADP implementation at ISP level with WUAs and WUFGs in the
command area maintaining close liaison with concerned AULLs and WRIDD/SD;
(viii) Assess potential for crop farming with respect to soil fertility/ productivity status,
availability of required improved inputs (seeds, fertilizers, agri. chemicals) including
credit facilities for the WUFGs;
(ix) Based on the needs of the farmers, assess their status of technical knowhow and
plan for suitable /appropriate available technologies for demonstrations and
training on-farm;
(x) Prepare curriculum and session plan for conducting practice-oriented, skill-based
training on the FFS approach on-farm;
 Annex 9 115

(xi) Assess marketing potentiality of farm products and potential for formation of
farmers marketing groups to promote commercialized farming;
(xii) Deliver practice-based, skill-oriented training along with exposure visits to
wholesale and retail markets and support establishment of marketing linkage;
(xiii) Support farm production plan and implementation towards commercialized and
market oriented farming;

(xiv) Identify irrigated-agriculture related activities for vulnerable households including

marginal farmers, women farmers, and the landless that are sharecroppers, and
make sure that these activities are included in the subproject’s ADP.
10. ICWM Specialist (22 person-months)

30. The ICWM Specialist will have at least 15 years' experience in irrigation management including
irrigation project water management works and activities. Experience in canal calibration/water
measurement works and developing participatory irrigation management plan is required. The
specialist will have a university degree in a relevant discipline, preferably to Master's level. Main
duties include:

(i) Review current IMD/SICWMP training manuals/materials related to ICWM and on-
farm water management
(ii) Develop guidelines for on-farm water management.
(iii) Assist IMD/SICWMP in planning and delivery of ICWM activities.
(iv) Prepare Canal Operation Plan (COP) and Canal Maintenance Plan (CMP) with
local stakeholders, in a participatory manner.
(v) Assist and coordinate on-farm water management activities with the agricultural
component of ICWMP.
(vi) Provide training in calibration of water distribution structures using simple,
appropriate measuring equipment.
(vii) Design and support capacity development activities of WUA and DOWRI staff.
(viii) Design and implement Participatory Irrigation Management (PIM) activities.
(ix) Provide guidance for preparation of Parcellary Map works.

11. Senior Irrigation Management and QC Specialist (IMT Component) (48

person-month)

31. The Senior Irrigation Management Specialist will have at least 15 years' experience in
designing and implementing irrigation management projects, including experience in guiding
construction supervision and quality control. Experience in irrigation management transfer is
required. The specialist will have a university degree in a relevant discipline, preferably to Master's
level. Main duties include:

(i) Assist in preparing annual plans, budgets and targets. Prepare project
implementation schedules.
116 Annex 9

(ii) Assist in formulating the Irrigation Management Transfer processes, in preparing

the Asset Inventory, Asset Management Plan, Canal Operation Plan, Canal
Maintenance Plan, and in formulating and finalizing the Memorandum of
Understanding (MOU) along with the Action Plan.
(iii) Assist in conducting institutional and capacity development activities of WUA and
DOWRI staff through training and visits.
(iv) Design, develop, and implement system design and improvement activities,
participatory irrigation management and resource mobilization activities.

(v) Assist and advise DOWRI in construction supervision and overall project
management.
(vi) With the Team Leader, assist DOWRI in the preparation of a guideline and criteria
for full or partial management transfer of irrigation systems that are currently
agency-managed.
(vii) Guide, supervise and coordinate the input and activities of staff of the consultant's
team and other experts.
(viii) Maintain close collaborative contacts with the project staff.
(ix) Guide, monitor, supervise and coordinate the preparation of all required reports to
be submitted by the consultant.

12. Senior Water Management Engineer (IMT Component) (40 person-months)

32. The Senior Water Management Engineer will have at least 15 years' experience in irrigation
management including irrigation project water management works and activities. Experience in
canal calibration/water measurement works and developing participatory irrigation management
plan is required. The specialist will have a university degree in a relevant discipline, preferably to
Master's level. Main duties include:

(i) Formulate the water management activities supporting irrigation management

transfer.
(ii) For each scheme, prepare Canal Operation Plan (COP) and Canal Maintenance
Plan (CMP) with local stakeholders, in a participatory manner.
(iii) Develop and implement guidelines for on-farm water management.
(iv) Assist and coordinate water management activities of the integrated crop and
water management program (ICWMP).
(v) Calibrate the water distribution structures and intake using simple, appropriate
measuring equipment.
(vi) Design and support capacity development activities of WUA and DOWRI staff.
(vii) Design and implement Participatory Irrigation Management (PIM) activities.
(viii) Organize and supervise Parcellary Map preparation works.
(ix) During Stage 4, monitor scheme operation and propose improvement.
(x) Prepare and submit concerned reports.
 Annex 9 117

13. Institutional Development Specialist (IMT Component) (40 person-months)

33. The Institutional Development Specialist will have at least 10 years’ experience in rural
development working at field level, preferably with experience in WUA strengthening, irrigation
management transfer, and user mobilization in irrigation scheme rehabilitation. The specialist will
have a university degree in a relevant discipline, preferably to Master's level. Main duties include.

(i) For each AMIS, prepare need assessment for WUA capacity development,
prioritize activities and develop institutional development plan;

(ii) Support disseminating project information to WUA, farmers, other stakeholders

and line agencies;
(iii) Demonstrate leadership skills and be innovative in developing strategies and
methodologies to solve problems that may arise from WUA and beneficiary
farmers;
(iv) Encourage and support WUA for inclusive participation in all activities;
(v) Support WUA in the planning and collection of ISF;
(vi) Support and motivate WUA in becoming multi-functional;
(vii) Assist WUA in maintaining an office, keeping record, annual auditing and
conducting GA along with timely elections.
(viii) Collect necessary information for M&E and reporting.

14. Irrigation Agronomist (IMT Component) (40 person-months)

34. Posted at the Regional level, the Irrigation Agronomist have at least a Masters’ Degree in
Agronomy or Agricultural Extension Development with at least 10 years of experience in irrigated
agriculture development working at the field level. Experience in IMT, user mobilization in irrigation
scheme rehabilitation, and with integrated crop and water management is necessary. Main
responsibilities include:

(i) Prepare Agriculture Development Plan, including seasonal cropping plan in

consultation with WUA for each reach of the irrigation system;
(ii) Ensure that the designed cropping patterns are followed during implementation.
(iii) Support soil survey and suggest integrated nutrient management system for the
proposed cropping;
(iv) Guide Agriculture Extensionists and support IMD/SICWMP staff to conduct FFS
training to WUA for promoting efficient water use and irrigation water application
methods suited to the proposed crops and crop husbandry techniques including
IPM and farm mechanization;
(v) Guide Agriculture Extensionists and support IMD/SICWMP, WRIDD/SD staff and
other line agencies in the coordination of ADP activities.
(vi) Guide Agriculture Extensionists in the preparation of supporting programs for
marginalized farmers.
118 Annex 9

15. Financial Management Specialist (12 person-months)

35. The Financial Management Specialist will have a recognized professional accountancy
qualification or equivalent professional experience, and have a minimum experience of 10 years.
The consultant should have a broad knowledge base and experience in GON and donor
supported project accounting and financial management system. The specific activities will
include the following:

(i) Monitor project financial disbursement and recommend ways to facilitate and
streamline Government administrative procedures for disbursement;

(ii) Provide trainings to CPMO, PIU/DOA and WRIDD/SD heads and account staff on
project budgeting, accounting, reporting and SOA procedures as given in the
Project Administration Manual and [Operations Manual];
(iii) Refine bookkeeping training manuals to WUAs and provide trainings to the
chairperson and treasurers of WUAs;
(iv) Review current project financial accounting system at the CPMO and PIU/DOA
level and propose improvements (computerized project accounting system);
(v) Provide inputs to the cost estimation process;
(vi) Assist the CPMO and PIU/DOA in operating a system of preparing and reporting
project financial statements on a quarterly basis, and consolidating financial
statements for the entire Project;
(vii) Assist the CPMO and PIU/DOA in operating the system of comparing the financial
statements against physical progress and contractual obligations, analyzing key
variances and recommending appropriate actions and measures, and prepare
quarterly monitoring reports;
(viii) Assist CPMO to develop project implementation monitoring system and provide
support in developing their capacity in financial management monitoring system;
and
(ix) Assist CPMO to prepare annual program and budget of the project.

16. Procurement and Contract Management Specialist (12 person-months)

36. The Procurement and Contract Management Specialist should have a university degree with
at least 5 years’ experience in the field of procurement, particularly of international and national
competitive bidding of civil works and goods, and community procurement. Experience in
procurement under ADB or World Bank-financed projects would be a significant advantage. Main
duties include:

(i) Prepare simple and clear guidelines and associated templates for WRIDDs/SDs in
using community contracting, shopping, and national competitive bidding (NCB)
for civil works on CMIASP-AF subprojects.
(ii) Train CPMO and WRIDD/SD staff on correct tender procedures and assure that
the correct procedures are followed through supervision at CPMO and WRIDD/SD
level.
 Annex 9 119

(iii) Train selected CPMO staff to serve as procurement specialist for the project who
will:
• Prepare all individual tender documents and review procurement done
at WRIDD/SD level prior to procurement.
• Be responsible for tender opening and evaluation
• Prepare the contract document
• Prepare all the contract documents and assist the WRIDD/SDs in
preparing the required documents for procurement of goods

(iv) Assist the CPMO procurement specialist in overseeing the preparation of bidding
documents, the tender process, tender evaluation, and the preparation and
recommendation of contract award. Help him/her check documents before
submission to ADB.
(v) Conduct annual audits of civil works tendering process to check for irregularities in
the bidding and awarding of contracts and report findings to DOWRI and ADB for
follow-up.
(vi) Assist the CPMO in building the capacity of WRIDD/SD staff in contract
management, including preparation of guidelines/minimum standards, a training
program, and a monitoring program for DOWRI management. The guidelines
should include procedures to be followed when contractors under-perform, with
strict remedial actions.

17. Finance/ Microfinance Specialist (3 person-months)

37. The Microfinance Specialist should have a university degree in social sciences and with at
least 15 years’ experience in the field of microfinance. Experience in agriculture and rural
development related micro-finance activities would be an advantage. Main duties include:

(i) Under the guidance of the TL and in close consultation with DOWRI, develop a
proposal for a micro-finance system (revolving fund) to provide credit to WUAs for
small irrigation infrastructure improvements (below NRs 300,000).
(ii) Review current practices of similar micro-finance systems operated in Nepal and
in other South Asian countries.
(iii) Propose WUAs eligibility and selection criteria for access to the micro-finance
system.
(iv) Propose options for most suitable system arrangements (host - i.e. large NGO,
Agricultural Development Bank of Nepal (ADB/N), etc.), operation modalities,
control and audit systems, money collection, etc.).
(v) Draft memorandum of association and rules and regulations for the proposed
system.
(vi) Prepare different options for micro-finance system and modalities and present
them in a consultation workshop.
120 Annex 9

18. Non-Key Experts

38. The following experts are sub-professional positions. Their CVs must be submitted with
the technical proposals and will be checked to ensure they meet the minimum qualifications, but
they will not be evaluated.

39. Social Mobilizers (50 positions: 1 for 3 subprojects) (total 1,040 person-months). 80% of
the Social Mobilizers will be women. They will have at least an Intermediate Level) education and
at least 2 years of experience in a similar position. She will be stationed at subproject level. The
social mobilizer should be from the district to which s/he is assigned and speak the local language.
Under the supervision of the Social Development Specialist at Regional level, her main duties
include:

(i) Assist with the overall social mobilization process. Guide the WUA in ensuring that
public meetings at command area level on project information, dissemination and
planning with beneficiary households for joint walkthrough and finalization of detail
design include women, the poor, Dalit and Janajati beneficiary households;
(ii) Facilitate formation and mobilization of WUA and assist in their general assemblies
and regular meetings;
(iii) Identify vulnerable households (marginal farmers, female headed households and
the landless sharecroppers) and conduct separate meetings to ensure their needs
are fully incorporated in project supported activities;
(iv) Ensure that WUA Constitutions provide for equal pay for men and women for work
of equal value; either the husband or the wife as an eligible member and at least
50% of WUA constitutions allow sharecroppers and leaseholders to be members.
(v) Ensure that all women executive members holding key positions are trained on
leadership and technical training and the WUA executive members are sensitized
on GESI.
(vi) Support the implementation of Leader Farmer training and ensure that at least 35%
are women farmers.
(vii) Facilitate in the implementation of ADP program and ensure that (i) women, small
and marginal farmers are consulted in the ADP planning processes, (ii) data on
farmer group composition are collected and maintained disaggregated by sex,
caste/ethnicity (dalits, janajatis), (iii) women farmers, 40% of farmer group
members and proportional representation of dalits and janajati farmers receive
training from AULL, (iv) ensure WUA’s norms on tillers use allow equal access
to female-headed households, dalits, and janajati.
(viii) Provide guidance and supervise COs in their works related to WUA formation and
mobilization, conduct of meetings, WUA contribution, monitoring of construction
works and mobilization of farmers and linking them to AULL.
(ix) Ensure that the WUA request for system rehabilitation is supported by the majority
of the beneficiaries and that special attention is given to the needs and priorities of
women, the poor and vulnerable/minority ethnic groups and castes;
 Annex 9 121

(x) Support the Social Development Specialist in conducting gender equity and social
inclusion (GESI) capacity and sensitization training to the AOs and at the
community level.
(xi) Identify beneficiary dalits, janajatis or other disadvantaged groups who may find it
difficult to meaningfully participate relative to local elites, and ensure that their
participation is meaningful, begins early in the project preparation stage and is
carried out on an on-going basis throughout the project cycle;
(xii) Identify the need for voluntary land donation for irrigation subproject rehabilitation
and discuss arrangements with beneficiaries for such land donation;
(xiii) Guide the WUA in reaching agreements on beneficiary contribution and
responsibilities for future O&M of the irrigation infrastructure;
(xiv) Collect disaggregated socioeconomic data in close coordination with WUA.

40. Community Mobilizers (IMT Component) (5 positions, 225 person-months). The

Community mobilizers will work closely with the WUA and farmers and implement various
activities as instructed by the various IMT specialists especially in institutional development, water
management and agriculture activities. The Community Mobilizers will have at least 3 years’
relevant work experience and an intermediate-level education. Experience of working in
agriculture and with farmers is preferred. Their terms of reference will be the same as the Social
Mobilizers (above).

41. Agricultural Extensionists (IMT Component) (10 positions, 350 person-months). The
agricultural extensionists will collect data on current and planned agricultural activities, prepare
site-specific agricultural development plans for inclusion on subproject feasibility reports, and
implement the approved agricultural development plans. They will have at least 1 year agriculture
experience and have completed either an intermediate science course in agriculture or a CTEVT-
certified agriculture extension course.

42. Junior MIS/GIS Technician (1 position, 48 person-months). S/he should have a technical
or university degree in computer science or related fields with at least 3 years’ experience in MIS
and GIS system development, use and maintenance. Good knowledge of English is required.
Main duties include:
(i) provide assistance in maintaining the present MIS/GIS system develop by
CMIASP;
(ii) responsible for data entry of selected parameters of the automated systems and
for project implementation progress and M&E;
(iii) provide basic MIS/GIS training to regional and District level staff on data entry and
basic MIS/GIS operation; and
(iv) provide troubleshooting for daily use of the systems.