Community Managed Irrigated Agriculture Sector Project

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Project Detail

The Community Managed Irrigated Agriculture Sector Project (CMIASP) is the Follow-up Programme of Irrigation Sector Project (ISP) and Second Irrigation Sector Project (SISP) in 35 districts of Eastern & Central Development Regions of Nepal. The overall goal of the Project is to promote inclusive economic growth while reducing poverty in the rural areas of Central and Eastern Development regions. Its specific objective is to improve agriculture productivity and sustainability of existing small and medium-size FMIS suffering from low productivity and high poverty incidence, and thus enhance the livelihood of poor men and women including ethnic minorities and dalit.

The estimated Project Cost is US$ 38.6 million. To meet the project cost ADB and OPEC Fund will provide a loan equivalent of US$ 20 million and US$ 7 million respectively. The Government of Nepal will provide US$ 9.4 million equivalent to cover about 24% of the total project cost. The beneficiary farmers will contribute US$ 2.2 million equivalent (6% of the project cost) in the form of labor, cash or in kind.

Introduction:
The Community Managed Irrigated Agriculture Sector Project (CMIASP) is the Follow-up Programme of Irrigation Sector Project(ISP) and Second Irrigation Sector Project(SISP) in 35 districts of Eastern & Central Development Regions.

Objective:
The overall goal of the Project is to promote inclusive economic growth while reducing poverty in the rural areas of Central and Eastern Development regions. Its specific objective is to improve agriculture productivity and sustainability of existing small and medium-size FMIS suffering from low productivity and high poverty incidence, and thus enhance the livelihood of poor men and women including ethnic minorities and dalit.

To achieve the objective, the Project will (i) provide improved means for WUA empowerment, irrigation facilities, agriculture extension, and targeted livelihood enhancement to build the human capital of the poor including women and traditionally neglected disadvantaged groups; and (ii) strengthen policies, plans, and institutions for more responsive service delivery and sustained impacts. 

The irrigation facilities will be provided in about   101 FMIS covering the total command area of 13,700 ha . The livelihood enhancement is achieved by activities such as providing support for vegetable gardening, helping establish linkage between vulnerable WUA member groups with micro-credit resources including Rural Microfinance Development Center and its network of MFIs to promote group savings and deliver micro-credit.

Project Cost and Financing Plan:
The estimated Project Cost is 38.6 million US $. To meet the project cost ADB and OPEC Fund will provide a loan equivalent 20 million US$ and 7 million US$ respectively. The Government will provide 9.4 million US$ equivalent to cover about 24% of the total project cost.  The beneficiary farmers will contribute US $2.2 million equivalent (6% of the project cost) in the form of labor, cash or in kind.

Implementation Period:
The Project Implementation Period will be 7 years (from March 2006 to June 2013). For effective dissemination of improved arrangements, the Project will start with a cluster of up to five districts in each region, where sample subprojects will be selected and prepared with on-site training of Subproject Management Unit (SMU) staff in the cluster. After Sub-Project Implementation Plan (SIP) is prepared and WUA is strengthened there, Regional Project Support Unit (RPSU) will start the same process in the next cluster. Seven clusters will cover all the districts.

Project Components:
The Project has two components: (i) participatory irrigated agriculture development for FMIS, and (ii) institutional strengthening and project management (ISPM). 

The output of the first component is substantially improved agricultural productivity and reduced poverty in over 13,700 ha of land (about 101 FMIS)  and improved livelihood for over 270,000 poor men and women. This component will support participatory development of FMIS subprojects through a process approach. It has four subcomponents: (i) participatory planning and beneficiary mobilization, (ii) community-based irrigation and associated infrastructure, (iii) agriculture development and livelihood enhancement, and (iv) support for sustainable O&M.  

The second component will culminate in operation of mechanisms for improved service delivery to develop productive and sustainable FMIS through (i) further improved irrigation policies, regulations, and plans; (ii) strengthened DOI (in terms of human resources and management capacity), DOA, local governance institutions (LGIs), and WUAs; and (iii) enhanced institutional linkages to deliver services in coordination with NGOs and the private sector. This component comprises (i) support for national-level institutional strengthening; (ii) project management, monitoring, and quality control for FMIS renovation; and (iii) training of project personnel and stakeholders. Consulting services will be provided for these purposes along with the necessary hardware and software.

Implementation Arrangements:
The Ministry of Irrigation (MOI) will be the Executing Agency, and will carry out its Project implementation responsibilities through DOI.  Within this framework, the Ministry of Agriculture and Cooperatives (MOAC) will implement the agriculture component through its delegated authority to Department of Agriculture (DOA), District Development Committees (DDCs), and Nepal Agriculture Research Council (NARC). Project management will be integrated into the regular setup of those organizations. The Central Project Management Office(CPMO) is set up under the Director General (DG) of DOI. The CPMO is responsible for facilitating technical support and managing project implementation at the central level. 

To provide overall policy guidance and undertake necessary coordination, a Project Steering Committee (PSC) will be formed. The secretary of MOI will chair the PSC, which will meet at least once a year, with the project director as member secretary. The Project Appraisal Committee (PAC) will be set up to approve individual SIPs. The DG of DOI will chair the PAC, with the director of Agriculture Extension in DOA, all deputy DGs in DOI as members, the team leader of the ISPM consultants as adviser, and the project director as secretary. 

At the regional level, the regional project support unit(RPSU) will be placed in each Regional Irrigation Directorates (RID) of DOI, with assigned staff from RID and Regional Directorate of Agriculture (RDA). The director of RID will head RPSU as project manager for the concerned region. 

For day-to-day subproject implementation, an subproject management unit (SMU) will be established in each district. The chief of the concerned irrigation development division or subdivision (IDD/IDSD) will head the SMU as subproject manager of the district. The SMU will also be supported by an agriculture development officer in the District Agriculture Development Office (DADO), a managerial representative from DDC, and other departments relevant to the activities included in the SIP. The SMU will undertake all the field activities of the Project from subproject identification to monitoring of completed schemes, by mobilizing and supervising the staff of the concerned public and externally contracted agents including private service providers, NGOs, and contractors.

Project Status and other Informations:
The Loan Agreement was signed on 23 December 2005 and the Loan became effective on 13 January 2006. For project status