SUMMARY INITIAL ENVIRONMENTAL EXAMINATION REPORT. Supplementary Appendix to the Report and Recommendation of the President to the Board of Directors

Transcription

1 SUMMARY INITIAL ENVIRONMENTAL EXAMINATION REPORT Supplementary Appendix to the Report and Recommendation of the President to the Board of Directors on the NORTHWEST IRRIGATION SECTOR PROJECT CAMBODIA This report was prepared by the Borrower and is not an ADB document. The IEE is available on request. 09 December 2003

2 Supplementary Appendix F4, page 1 A. Introduction SUMMARY INITIAL ENVIRONMENTAL EXAMINATION FOR THE PONLEY RESERVOIR SUBPROJECT 1. The Ponley subproject is one of three core subprojects studied up to feasibility level during the preparation of the Cambodia Northwest Irrigation Sector Project. The initial environmental examination (IEE) for this subproject entailed a review of possible design options, a remote sensing review of the proposed subproject area and its environs, field observations within and around the proposed scheme, and interviews with a variety of groups and individual beneficiaries. At the time of the IEE, the proposed design of the scheme had not been finalized. This was a positive factor, allowing findings from the IEE to be taken into consideration in reviewing and formulating the design and development options. B. Description of the Subproject 2. The subproject site is about 50 kilometer (km) northeast of the provincial capital, Sisophon, and 20 km directly north of Highway 6 in a remote part of Banteay Meanchey Province. The area is one of the poorest regions of the country with a poor to very poor ranking in the commune poverty survey. 1 The site has an existing reservoir formed by an embankment constructed in 1976 and covers approximately 200 hectares (ha), and a downstream service area of about 675 ha. The reservoir is in poor condition the embankments are eroded and the outlet structures have no adequate controls, even though the original spillway was recently replaced and another outlet gate installed. Moreover, the original design resulted in little storage capacity, with the height between the top of the spillway and the bottom of the outlet gate approximately 1.5 meters (m). The reservoir currently functions as a temporary catchment for wet season runoff. It provides supplementary irrigation during dry spells in the wet season, but does not store enough water for dry season irrigation. Rehabilitating the reservoir embankment and improving the downstream irrigation scheme will provide enhanced security for wet season cropping over the entire service area and, with sufficient storage, dry season cropping on an estimated 50 ha. Improved domestic water supplies from the rehabilitated reservoir will also substantially enhance the quality of life of the population in the neighboring villages. The rehabilitated reservoir will also benefit the improved fisheries and, in the medium term, will have the potential for development as a recreational and tourism area later. The site is well outside of the Tonle Sap Biosphere Reserve and the only significant feature nearby is another much larger artificial reservoir Trapang Thmar Sanctuary 10 km to the east. C. Description of the Environment 3. The area surrounding the reservoir and the service area is in transition between lowland paddy areas and degraded upland forest, and the nearest primary forest (according to recent satellite photos) is at least 8 km to the north. General land use within a 5 km radius of the subproject is about 60% paddy land and 40% sparse and heavily encroached forest. Paddy has been grown for many years and the surrounding forest has been slowly encroached upon by migration and population growth. Four small but distinctive hills surrounding the subproject area to the northwest are intensively used for shifting cultivation and forest product extraction. The land surrounding the reservoir is a mixture of invaded forest to the north and south (probably on sandier soils) and open paddy land to the west and east. The service area to the east of the 1 Ministry of Planning and World Food Program Estimation of Poverty Rates at Commune-Level in Cambodia. Phnom Penh.

3 Supplementary Appendix F4, page 2 reservoir is a wide plain almost entirely devoted to rain-fed paddy, with very few trees and sparsely scattered settled areas. The reservoir inundation area is steeply sloped and ringed by sparse forest interspersed with recession rice cropping areas, especially to the west. Soils in the service area are sandy clays. The climate is tropical monsoonal with an average annual rainfall of 1,200 millimeters. 4. The ecological resources of the reservoir areas and its environs include the reservoir itself, which serves as habitat for several species of fish and also for some waterfowl, especially during the dry season. The area has not been subject to survey or research, and the species are not exactly known, but wild ducks have been observed. Also of some importance to the general ecology of the area are small patches of forest, which surround the reservoir and have been preserved to some extent from encroachment. These patches provide further avian habitat and also habitat for small mammals. Since the service area consists almost entirely of rice paddies, it has no unique or special ecological resources except for fish. The migratory waterfowl (Serius crane) of the nearby Trapang Thmar Sanctuary occasionally visit the service area for feeding. Local communities are enforcing the law that prohibits hunting these birds or collecting their eggs. Farmers interviewed had seen the birds but did not hunt them, knowing it was illegal to do so. 5. Virtually all economic activities within the subproject area are agriculture based. Besides paddy cultivation, livestock rearing is also significant with large herds of cattle grazing paddy land between crops within the service area. The reservoir itself is used to some extent for fishing; however, catches are low due to low water levels and few people are engaged in this activity. Standards of living are basic and there are few economic opportunities outside subsistence agriculture. For most of the population, life is clearly a day-to-day, hand-to-mouth struggle, relying on the nearby forest resources to supplement their livelihoods. D. Screening of Potential Impacts and Mitigation Measures 6. Three significant environmental benefits have been identified: (i) the use by local residents of water stored in the reservoir for domestic purposes; (ii) access to the reservoir and basic facilities, which will realize the possible recreational and tourism potential of the rehabilitated reservoir; and (iii) enhancement of the fisheries resources within the reservoir. Using the checklist and matrix of environmental parameters and proposed mitigation measures for irrigation sector projects in accordance with environmental guidelines of the Asian Development Bank (ADB), the subproject was screened for potential adverse environmental impacts during preconstruction, construction, and operating periods. The results are discussed in paras Environmental Impact Due to Project Location and Design 7. No significant environmental effects are expected from the subproject location. The reservoir has existed since 1976 with very much the same design, and the service area is part of a much wider area that has been devoted to wet season paddy cultivation for many years. 8. Only minor environmental effects, if any, are expected as a result of subproject design. The subproject will rehabilitate an existing infrastructure and improve irrigation practices in an area already used for wet season rice cropping. Some flooding of the scrub forest or recession paddy land on the western side of the reservoir may occur during high water levels with the

4 Supplementary Appendix F4, page 3 raising of the reservoir embankment and subsequent raising of the water level in the reservoir. 2 However, this effect will be minor in the case of the forest since the area slopes steeply toward the reservoir. As for the recession paddy land, up to a maximum of 100 ha could conceivably be flooded during periods of high water level, but farmers whose land might be inundated would still retain the rights to their land and growing recession rice as the reservoir subsides will still be possible during the dry season. Therefore, little or no net loss of production will result. 2. Environmental Impact Associated with the Construction Phase 9. Without proper management, temporary adverse environmental impacts might occur during construction, but none are expected to be significant. 10. Movement of Heavy Equipment. Only a relatively small number (5-6) of heavy earthmoving equipment (bulldozers, backhoes, and trucks) will be transported in and out of the reservoir area for excavation and construction work. Borrow material for strengthening the reservoir embankment may be taken out of the reservoir area and hauled by trucks. Because nearby quarries have been identified and the adjacent areas are lightly populated, no serious disturbance is envisaged. 11. Siting of Workers Quarters and Waste Control. The subproject works will be relatively small-scale and no large numbers of outside workers are expected (up to 20 maximum). In a relatively densely populated village area, this will have little impact, provided their quarters are situated away from the reservoir itself and careful attention is paid to waste and sewage disposal. 12. Borrow Areas. The detailed design of the reservoir embankment rehabilitation will show whether borrow pits will be developed within the reservoir or in nearby areas. Laterite deposits that can be a source of construction materials have been identified at the foot of the small range of hills surrounding the reservoir to the northwest. While the amount needed will be small, there could still be concerns that (i) landowners or users may not be adequately and properly compensated, and (ii) extraction of material would leave an open disturbed area that would impair the current scenic vista and detract from its potential for tourism. 13. Disturbance of Waterfowl. To date, no study has been made of the birds frequenting the reservoir. It is not known which species predominate, nor if any are sensitive to noise and disruption resulting from construction. However, the wetland that attracts birds is located at the opposite side of the reservoir away from the embankment where most construction work will take place. Any major disturbance such as disruption of nesting or feeding grounds is considered unlikely, but precaution should nonetheless be taken to ensure a minimum impact from construction noise and dust. A survey of waterfowl frequenting the reservoir will be undertaken before construction starts so that any species that may be particularly disturbed by construction can be identified and mitigation measures devised. 3. Environmental Impact Resulting from Project Operations 14. The increased use of agricultural inputs such as pesticides and fertilizers associated with double cropping could be a concern. Farmers currently do not use pesticide on wet season paddy and incremental fertilizer, while a possibility, is not a certitude and will still not pose a danger by itself because of the small amounts used and the fact that only a comparatively small 2 This is still to be confirmed during the detailed design phase of the subproject.

5 Supplementary Appendix F4, page 4 area (675 ha) within a broader area of wet season paddy cultivation) will be improved. As for the dry season cropping, which may involve increased agricultural inputs for paddy and possible associated high-value crops, the amount of water stored in the reservoir will only permit such dry season cropping on 50 ha at the most and the overall impact of chemical use is therefore expected to be minimal. Besides, farmers will be supervised and trained in irrigated cropping techniques, including guidance in integrated pest management. E. Institutional Requirements of the Monitoring Program 15. Two agencies are responsible for environmental management and monitoring in Banteay Meanchey Province and will need to be associated with the subproject: (i) the Provincial Department of the Environment (PDE), and (ii) the Department of Agriculture, Forestry and Fisheries (DOAFF) through its Forestry and Wildlife Service and Fisheries Service. In collaboration with the Provincial Department of Water Resource and Meteorology (PDWRAM), 3 they will play a leading role in monitoring construction activities to ensure conformity with the mitigation requirements. Following the recommendation of the overall project environmental management plan, the Project will also provide training for the concerned staff. 16. The Forestry and Wildlife Service of DOAFF is responsible for monitoring the waterfowl on Trapang Thmar Sanctuary and the staff s responsibility should be extended to the subproject reservoir environs. The Fisheries Service will be responsible for monitoring fish resources in the reservoir. Scheduling and requirements for their involvement will be determined in the environmental management plan that will be developed during the detailed design phase of the subproject and will include a waterfowl survey and a fisheries management study. F. Conclusions and Recommendations 17. From the preceding screening process and analysis of potential environmental impacts, the IEE concludes that the proposed subproject is unlikely to result in any direct significant adverse environmental impact. Adverse potential impacts relate mostly to the construction phase, and particular attention will be paid to ensure that contractors comply with good engineering practice and prevent any inconvenience to the public during construction. A matrix of potential environmental impact and recommended mitigation measures is in Table A The subproject will raise rural incomes, enhance the quality of life of residents in and around the subproject area, and improve waterfowl and fisheries habitat. Since no serious adverse environmental effects are likely, a full environmental impact assessment is not necessary. 3 One environment specialist seconded from PDE, will be appointed within the project implementation unit that will be established within PDWRAM in each project province.

6 Table A15: Matrix of Potential Environmental Impacts and Possible Mitigation Measures for the Ponley Subproject Actions Affecting Environmental Impacts Magnitude Duration Recommended Mitigation Environmental Resources Beneficial Adverse D1 D2 S M L Measures and Values 1. Siting of Project (i) Provision of additional habitat for (i) Loss of precious ecological values as a X X (i) Careful site selection; siting of project in wildlife such as waterfowl result of encroachment into forests/ less vulnerable area swamplands or historical/cultural (ii) Careful project planning, design, and (ii) Promotion of local socioeconomic buildings/areas; disruption of hydrology monitoring activities such as tourism and of natural waterways; regional flooding (iii) Thorough evaluation of local situation and fisheries and drainage hazards conditions (iii) Improved public health status of (ii) Conflicts in water supply rights and X X (iv) Rehabilitation or replacement of previous local communities through the related social conflicts access domestic water supply (iii) Impediments to movements of people X X and animals 2. Project Design (i) Potential ecological benefits from (i) Potential ecological problems due to X X (i) Waterfowl survey will be needed during increased vegetation cover leading increased soil erosion and siltation design period; EMP will also be prepared. to reduced soil erosion leading to decreased stream capacity (ii) Careful planning and design; incorporation (ii) Potential socioeconomic benefits (ii) Impairment of downstream water quality X X of pollution control and abatement measures resulting from increased income and, therefore, impairment of in project design of local farmers downstream beneficial uses of water (iii) Thorough social assessment as part of (iii) Potential social conflicts arising from X X project planning and design; public land tenure and land use issues involvement in project planning (iv) Possible displacement of local families X X (iv) Careful social assessment and participatory project planning; preparation of resettlement plan if necessary 3. Construction (i) Increased income from labor-related(i) Noise from construction equipment X X (i) Avoidance of nighttime construction work in the project (ii) Dust X X (ii) Good construction management practices (iii) Labor-related social problems X X (iii) Good construction management practices especially if workers from different areas are hired 4. Operation (i) Better water supply to wetland (i) Change in groundwater hydrology X X (I) Careful planning and design (ii) Increased fish production from (ii) Reduction of downstream water supply X X (ii) Careful planning and design; regulation of rehabilitated reservoir during peak seasons water takeoff to mitigate effects; (iii) Long-term improvement of wetland (iii) Soil pollution, polluted "runoff" from farm X X compensation if necessary. biodiversity and reduction of pollution of groundwater, and public (iii) Regular monitoring of soil and water quality; flooding health risks due to excessive promote IPM application of fertilizers and pesticides (iv) Training will be needed to DOE and PDWRAM DOE = Department of Environment, EMP = environment management plan, IPM = integrated pest management, PDWRAM = Provincial Department of Water Resources and Meteorology. Notes: D1 = no impact, D2 = signficant impacts, S = short (<1 yr), M = medium-term (1-10 years), L = long-term (>10 years). Supplementary Appendix F4, page 5

7 ENVIRONMENTAL ASSESSMENT AND REVIEW PROCEDURES Supplementary Appendix to the Report and Recommendation of the President to the Board of Directors on the NORTHWEST IRRIGATION SECTOR PROJECT CAMBODIA This report was prepared by the Borrower and is not an ADB document. The IEE is available on request. 09 December 2003

8 NORTHWEST IRRIGATION SECTOR PROJECT ENVIRONMENTAL ASSESSMENT AND REVIEW PROCEDURES I. INTRODUCTION 1. This Environmental Assessment and Review Procedures (EARP) has been formulated during the preparation of the Cambodia Northwest Irrigation Project 1. It is based on a thorough assessment of the design and scope of the Project, the likely scope of individual subprojects under the project, the results of the initial environmental examination (IEE) for three core subprojects and an assessment of the capacity of responsible agencies in Cambodia to effectively implement environmental mitigation measures and monitoring activities. The objectives of the EMP are as follows: (i) (ii) (iii) (iv) (v) (vi) Provide a framework for incorporating environmental consideration into the implementation of the proposed sector loan; Describe potential impacts and the proposed mitigation measures; Present requirements for preparing the IEE for each of candidate subprojects; Present requirements for environmental review of subprojects inclusive of review procedures by the Kingdom of Cambodia (Cambodia); Describe the responsibilities for mitigation and monitoring requirements; Describe reporting, cost and financial provisions related to the implementation of this Environmental Assessment and Review Procedures. II. OVERVIEW OF TYPE OF SUBPROJECTS TO BE ASSESSED A. Description of the Project 2. The Project will be a sector project aimed at the provision of improved water management infrastructure in the four provinces of Pursat, Battambang, Bantey Meanchy and Siem Riep in Northwest Cambodia. The intent is to promote increases in agriculture production and thereby alleviate poverty in a particularly backward and neglected part of the country. 3. As a sector project focused on small to medium irrigation schemes, a maximum subproject size of 3,000 ha has been set as one of the main selection criteria. Three core subprojects within this size range were tested to feasibility level during project preparation to determine their technical, economic, social and environmental viability. 2 As part of the feasibility exercise IEE was undertaken for each core subproject. 4. The Project scope would encompass the three core subprojects already prepared plus a further series of subprojects up to an estimated total cost of about $19 million allocated to the civil works. It will entail a mixture of small to medium scale irrigation subprojects and other water control infrastructure, most of them to be selected during project 1 Project preparatory technical assistance (PPTA) was provided under: ADB Technical Assistance to the Kingdom of Cambodia for preparing the Northwest Irrigation Sector Project. Manila. 2 These included the Link Canal Subproject in Battambang province, the Po Pi Deum Subproject in Banteay Meanchey province and the Punley Subproject also in Banteay Meanchey province

9 implementation from a list of pre-identified eligible subprojects. On the basis of the experience gained from the core subprojects already analyzed, certain characteristics can be assumed. (i) The additional subprojects will entail almost exclusively rehabilitation of existing infrastructure since these are likely to have the highest rates of return. Subproject works could include reservoir upgrading, the provision or improvement of river diversions, the rehabilitation or replacement of control structures, canal rehabilitation, and possibly pumping schemes. (ii) The maximum area of any one subproject will be 3,000 ha since this is one of the criteria set for subproject selection. (iii) The total area developed will be around 35,000 ha (iv) The main crop will continue to be wet season rice since water shortages will continue to occur in the dry season and flooding in the wet season. There may be a gradual shift from local traditional varieties to local improved varieties and high yielding IRRI varieties where flooding is not a problem. (v) All subprojects will be located in the plains surrounding the Tonle Sap Lake and surrounded in turn by the forested uplands around the edge of the Tonle Sap basin. This plains area is where the majority of the population of the four provinces lives and where the main agricultural areas are located. Some of these areas may locate within the transition zone of Tonle Sap Biosphere Reserve (TSBR), but none are within the sensitive buffer zone and core zones In summary then, the proposed project will entail the rehabilitation of existing water resources infrastructure on some 35,000 ha in 10 to 12 subprojects. These will mostly be in the plains surrounding Tonle Sap Lake, but well away from any environmentally sensitive areas. Subproject works could include reservoirs, river diversions, control structures canal rehabilitation, and possibly pumping schemes. All would be small to medium scale in size. B. Potential Impacts and Proposed Mitigation Measures 6. Several of the possible subproject schemes could have potentially positive environmental impacts. Many eligible schemes may involve reservoirs. The improvement or expansion of these water bodies will result in an expansion of wildlife and fish habitat. This could be very important in the case of migratory waterfowl since it could help replace habitat around the Lake which is being depleted. A good example of this is the Trapang Thmar reservoir, which repair could provide more secure waterfowl habitat within its 100,000 ha wildlife reserve. Other potentially positive environmental impacts from subprojects would include reductions in flooding and, again from reservoirs, improvements in the availability of domestic water and, even possible tourism benefits. Nevertheless, it is expected that a number of negative impacts will be resulted from the Project. They have been identified using the checklist of environmental parameters for irrigation sector projects from the ADB s environmental guidelines, the list of likely impacts as well as mitigation measures identified during the PPTA and experience gained during the preparation of IEEs of the three core subprojects. They are discussed in detail below. 3 It may be noted that 1.1 million people live and farm within the transition zone of the Tonle Sap Biosphere reserve

10 B-1 Environmental Problems Due to Project Location 7. The major potential environmental problem due to project location is undoubtedly the presence of the TSBR within the four project provinces and adjacent to the area where most of the development activities under the project will take place. Some eligible subproject areas identified by the provinces are located near the reserve, but none within the reserve itself. The major concern is that during the development or operation of the subprojects the ecology of the Lake and its environs may be damaged. Potential negative impacts which need to be assessed, based on the findings of the PPTA, include the possible loss of wildlife habitat, possible changes to the hydrology of the lake, any potential increase in the pollution of the lake due to irresponsible use of agro-chemicals and possible damage to the fish populations which migrate from the lake into the surrounding rivers and vice versa. These are examined one by one below: (i) (ii) (iii) Potential Loss of Wildlife Habitat. As identified during Phase I, almost all of the potential subprojects to be taken up will be rehabilitation projects in areas where crops primarily wet season paddy, is already grown. These areas are generally located in and around settled and populated areas at a considerable distance from the three core zones of the TSBR. Indeed intensive agriculture is actively carried out well into the transition zone and even in the multiple use zone (buffer zone) of the reserve. Activities in the multiple use zones could, conceivably, affect some wildlife (especially migratory waterfowl areas) but no subprojects would be identified within this zone by definition since such subprojects are excluded by the selection criteria. Other than that there would be very little wildlife habitat within the potential subproject Areas to be affected. This is thus not a major concern within the reserve. Potential Changes to the Hydrology of the Lake. Since some of the subprojects will entail the diversion of water for irrigation purposes there is a concern that this may affect the lake s hydrology (and thus critical fish and wildlife habitat). The question is to what extent the hydrology might be disrupted. First, it must be recognized that the critical period for the lake is the dry season. At that time it may be as little as 1 meter deep. The diversion of significant amounts of water during this season could possibly affect waterfowl, reptile and amphibian habitats and also encourage eutrophication. However, since the main use of water will be for wet season irrigation, serious negative impacts are not envisaged. First, most critical habitat will be under several meters of water during this season. (The lake rises ten meters from dry season to wet season and expands to three times its dry season area). Second, the lake receives most of its water (sixty percent) from the Mekong river and even the Mongkol Borey, one of the largest rivers only contributes one percent of the lake s water in the wet season. Thus the relatively small volumes of water which may be diverted to irrigate a portion (not all) of the expected 35,000 ha to be improved by the Project will have no significant impact on the overall volume of water reaching the lake. Moreover, much of this water will normally return to the river it was taken from as drainage from the paddy fields. So the net extraction will be even less than that diverted in the first place. No significant effects on the lake s hydrology are thus expected as a result of the project. Possible Pollution of the Lake by Agrochemicals. Deterioration in the quality of water in Tonle Sap Lake is a matter of great concern. Already the lake is surrounded by 600,000 ha of agricultural land, a population of several million and several main provincial cities including Siem Reap, Battambang, - 3 -

11 (iv) Sisophon and Pursat. Algal blooms have been reported in some areas in the dry season so the possibility of addition of a significant pollutant load to the lake must be treated seriously. Upon examination such an occurrence as a result of the project seems unlikely. The main crop that will be grown will be wet season rice. Only small amounts of fertilizer are normally applied to this crop and generally no pesticides since returns to high input use are low, while the risk of crop failure due to drought or flooding is high. However, two mitigation measures have been built into the project to guard against this slight eventuality: (i) as part of the selection criteria, no scheme will be selected for rehabilitation within the reserve and (ii) water quality monitoring by MOWRAM will be a standard practice on all completed schemes. Possible Damage to Fish Populations. Any potential damage to fish populations from the project would be most likely to result from subprojects which entail structures across major perennial rivers, blocking fish migrations. Some subproject proposals do entail a barrage or structure across rivers feeding into the lake. This is a matter of concern since fish migrations into and out of the lake for spawning and feeding may be affected. This can be mitigated against by (i) ensuring that the structure location and design are approved by the Department of Fisheries as is required by law, (ii) designing structures which allow fish passage to the maximum extent possible and (iii) operating any new infrastructure in such a way as to allow fish passage at the time of major migrations (this tends to be at the early part of the wet season and at the end of the wet season). If these measures are followed the impact on the fisheries resource from the project as designed (i.e. a series of small to medium-sized subprojects) can be kept to insignificant levels. 8. The overall conclusion is thus that few negative impacts are expected due to the project location, i.e. within the four northwest provinces and adjacent to the Tonle Sap Lake. This is not to say that there may not be some concern about the location of individual subprojects B-2 Environmental Problems Related to Design 9. The sector loan as designed envisages a modest number of subprojects, none of which are larger than 3,000 ha, scattered throughout the four provinces of the Northwest Region for a total coverage of approximately 35,000 ha within a total area of 600,000 ha of existing agricultural land. While some individual projects may face environmental problems and concerns, the design of the overall project as a sector project provides environmental safeguards. Since the subprojects will be small their individual impacts are likely to be small, and since they will be scattered throughout four provinces there is little likelihood of a cumulative impact. Moreover, the project design incorporates environmental selection criteria and an IEE for each subproject. This will help identify and avoid any potential negative impacts on a subproject by subproject basis. 10. As for the design of individual subprojects, care will need to be taken, in particular that any new project structures on or across major perennial rivers do not (i) impede fish movements, (ii) disrupt downstream hydrology or (iii) disrupt river transport since these are the main potential negative impacts identified by the environmental overview and the individual sample subproject IEE. The likelihood of these impacts will be easily identified through individual subproject IEE. 11. To ensure the incorporation of these measures within the project design it is recommended that final project design and, where considered necessary, the loan - 4 -

12 covenants include the environmental criteria for the selection of candidate subprojects which will be elaborated in the following section IV. B-3 Environmental Problems Associated with the Construction Phase 12. Once again the design of the project as a sector project consisting of the rehabilitation of small and medium subprojects obviates major concerns during the construction phase. No massive civil works are likely. Most work will be undertaken on already existing structures and canals and no major disturbances to either the human population or the wildlife population is envisaged as a result of construction works. Some localized disruption in individual subprojects would be likely, but these and their mitigation measures would be dealt with through individual subproject IEE. Possible disruptions of this nature identified from the sample subprojects include dust and noise from construction sites, the passage of heavy equipment through densely populated areas and the siltation of water bodies. Given the likely small scale of any of these occurrences local impacts can be mitigated through measures defined in the individual subproject IEE. B-4 Environmental Problems Resulting from Project Operations 13. Two potential problems have been identified for the project operation phase, i.e. the post development phase. First is the need to ensure water supplies for established users downstream from any proposed diversion of water from a river or reservoir. Second is the question of downstream water quality for human consumption. 14. The need to ensure adequate downstream water volumes for established users is complicated by the fact that there are no data on current water use and, as yet, no laws on riparian rights 4. On the other hand, the problem is obviated to a large extent by the fact that most schemes will be essentially for wet season production. Subproject beneficiaries and downstream users will not be competing for scarce dry season supplies, but for relatively abundant wet season supplies. Second, most schemes will include drainage channels in their designs so surplus water not used for irrigation will be re-channeled back to the river from which it was taken. Still, there will always be the temptation by upstream users to maximize water off-take and use at the expense of downstream supplies. For individual subprojects the potential for this will need to be assessed during the individual IEE and design and operational mitigation measures put in place. In the case of the design and operation of the sample Link Canal Subproject, where excessive off-take to supply the Kamping Pouy reservoir and surrounding areas is a significant possibility, mitigation measures included designing a diversion structure which will allow a continued base flow for downstream users and prescribing operational procedure which entails limiting off-take to only those months of the year when peak flows occur. 15. Much of the population of the project provinces continues to use surface water from streams, ponds and irrigation canals as their source of drinking and household water. Increased irrigation will encourage farmers to use higher levels of agrochemicals due to the reduction of crop risk when water is assured. Moreover, an increased use of irrigation water will also result in greater amounts of water draining through irrigation systems and back into rivers, streams and drainage channels where it may eventually be used for human consumption. With increased irrigation there is thus a danger of pollution and contamination of domestic water supplies. This concern is, however, tempered by the fact that most agriculture production will take place during the rainy season and that the major crop grown in the vast expanses of paddy land outside of the rather small schemes to be rehabilitated will be almost entirely rain-fed rice. The dilution factor will thus be high, on the one hand, and 4 A Water Law that will cover this issue is under preparation

13 this will be further tempered by the fact that rather low levels of fertilizer are used on rain-fed paddy, and almost no pesticide is used at all. Subprojects, which result in the pollution of human water supplies from agro-chemicals are thus not expected, however, as a precaution, water quality monitoring will be a standard operational procedures for all subprojects. III. COUNTRY S ENVIRONMENTAL ASSESSMENT AND REVIEW PROCEDURES 16. The Kingdom of Cambodia established a Ministry of the Environment in January 1994 and passed a law on Environmental Protection and Natural Resource Management on 24 December This law made provisions for preparing National and Regional Environmental Plans, and for Environmental Impact Assessment. This EARP will be undertaken within the context of four current pieces of legislation: (i) Subdecree 72 of August, 1999 which defines environmental assessment requirements for development projects; (ii) The Royal Decree of February 2001 establishing the Tonle Sap Biosphere Reserve; (iii) The Subdecree of September, 2001 establishing the Tonle Sap Biosphere Reserve Secretariat; and (iv) Decree No. 33: Law on Fisheries Management approved on 9 March, Subdecree 72 is important since it defines under what circumstances an EIA for a project is required and who should carry it out. In the case of agriculture or irrigation projects, any project above 5,000 ha requires a preliminary EIA (which is similar in detail and content to the IEE required by ADB). This is to be done by the project proponent, in this case, MOWRAM and submitted to the Ministry of the Environment for approval. Since the upper limit of subprojects under the project is set at 3,000 ha it is unlikely that this will decree and procedure will be evoked unless an exception is made for a particular subproject. Moreover, the requirement that an IEE be undertaken for each subproject will, in any event, result in the content of the decree being applied to all subprojects whether greater than 5,000 ha or not. 18. The Royal Decree of February 2001 established the TSBR and generally set its boundaries and defined its three zones (core, multiple use and transition). The Subdecree establishing the TSBR Secretariat defined the role of the Secretariat, which is basically a coordinating and monitoring role. Nonetheless any project proposal within the TSBR must be submitted to the Secretariat so that a decision can be made as to whether an EIA is required or not. This is not applicable to the Project since no subproject will be located within the TSBR. 19. Finally, under Article 18b of the Fisheries Management Law of 1987 the building of structures across rivers, streams, tributaries or any watercourse that is a fishing territory is prohibited without special permission from the Department of Fisheries. This includes structures to be built to serve agricultural purposes. Any such structure proposed under the project will thus require permission from the Department of Fisheries. IV. SPECIFIC PROCEDURES TO BE USED FOR SUBPROJECTS A. Responsibilities and Authorities 20. Within the institutional framework currently prevailing in Cambodia there are two environmental institutions (besides MOWRAM), which will be concerned with the project and its subprojects. These are the Ministry of the Environment (MOE) and the Ministry of Agriculture, Forestry and Fisheries (MAFF) along with their respective provincial departments. Their roles and responsibilities are discussed below as is the need for a strengthened environmental capacity within MOWRAM itself

14 (i) Ministry of the Environment (MOE). The MOE is responsible for coordinating the management of environmentally sensitive areas such as the Tonle Sap Biosphere Reserve (TSBR) and for monitoring the conduct of environmental impact assessments (EIA) for development projects along with the implementation of any EIA recommendations. According to Subdecree 72 on Environmental Impact Assessment issued in August 1999, an EIA is only required by law for any irrigation project exceeding 5,000 ha. In addition, any projects of whatever size within the TSBR must be submitted to the MOE so that a decision may be taken as to whether an environmental impact assessment (EIA) is required or not. (ii) (iii) As currently legislated, the environmental assessment must be undertaken by the proponent agency, i.e. in the case of irrigation development projects by MOWRAM. It is then submitted to Tonle Sap Biosphere Reserve Secretariat within the MOE for evaluation, If it located within the transition zone of the reserve. The Provincial Departments of the Environment (PDEs) are then responsible for monitoring the compliance by MOWRAM and the PDWRAMs with the recommendations made in the environmental assessment. To ensure that subprojects financed under the Project are effectively monitored and responsibly implemented from an environmental point of view, support will be required for the PDEs throughout the implementation period and training and orientation will be required during the early implementation years of the Project. Ministry of Agriculture, Forestry and Fisheries (MAFF) The MAFF is involved in environmental monitoring and management through two departments and their provincial equivalents. These are the Department of Forestry and Wildlife and the Department of Fisheries. At the provincial level these are the Forestry and Wildlife Service and the Fisheries Service of the Provincial Departments of Agriculture, Forestry and Fisheries (PDAFF). Department of Forestry and Wildlife The Department of Forestry and Wildlife is responsible for managing wildlife and wildlife habitat within forested areas and for declaring and managing forestry and wildlife reserves. Since the Department and its provincial services tends to have more funds, more staff and more experience than the PDEs they are often asked to take charge of the day to day management of important ecological resources on behalf of the PDEs. Thus, while the Trapeng Thma Wildlife Reserve in Banteay Meanchey province is ostensibly the responsibility of the PDE its management and protection is undertaken by the Provincial Forestry and Wildlife service. This seems to be a workable arrangement as far as it goes, but it is uncertain how effective the provincial forestry and wildlife services really are. While the staffs interviewed seem to be committed and knowledgeable, funds and staff are limited and the services also have a conflicting mandate. The management of forests for exploitation, even sustainable exploitation, is not always consistent with the management of wildlife resources. In terms of the proposed project, the Department of Forestry and Wildlife and the provincial services are unlikely to have many direct responsibilities since most of the subprojects will be outside of wildlife reserves. They may, - 7 -

15 nonetheless, have a small role in monitoring and managing wildlife and wildlife habitat in and around any reservoirs upgraded by the project. (iv) Department of Fisheries The Department of Fisheries and its provincial services have legislative jurisdiction over all water bodies that are fisheries resources. Its mandate thus overlaps with that of MOWRAM. This is a very important agency vis-à-vis the project and irrigation development in general since fish make up a very large proportion of the diet and the income of the population of rural Cambodia and any irrigation project has the potential of having an impact on the fisheries resource. Moreover, this may be not just within the Project Area but also for quite a distance either downstream or upstream of any water body affected by a project. On the other hand, some water resources developments (reservoirs for example) can have noticeably positive potential impacts on the fisheries resource and the involvement of the Department of Fisheries can help to maximize benefits from irrigation development. The mandate of the Department of Fisheries and its provincial services covers protection of species and habitat, the management of the resources, monitoring of catch and upgrading and enhancement activities. (v) To date, it appears that there has been little coordination and cooperation between the Department of Fisheries and MOWRAM and this is a situation, which needs to be remedied if fisheries resources are to be protected and fisheries potential optimized, especially in view of the likely increase in the number of water resources development projects in the coming years. Ministry of Water Resources and Meteorology (MOWRAM) To date, MOWRAM does not have an in-house environmental capacity despite the fact that its mandate covers one of the major environmental resources available to the country and the development of this resource could have major environmental implications. In fact, an understanding that environmental concerns may be important, not only to the more informed members of society, but also to the rural population which MOWRAM projects are intended to benefit is only just developing within the agency. Current environmental legislation 5 requires that MOWRAM, as the project proponent, undertake environmental assessment for its projects over 5,000 ha, but many of the current proposals are lower than this level. Environmental assessment will also be necessary for the project undertaken within the TSBR despite there size. Even if it is not considered necessary for MOWRAM itself to undertake environmental assessment 6 it needs to have at least the capacity to prepare terms of reference for such studies, supervise them and implement the recommendations. It also needs an in-house unit, which can help determine at the planning stage what possible environmental impacts and issues there might be, especially on the fisheries side. Losses of fish resources could prove very expensive and could negate the value of any incremental agricultural production brought about by a project. MOWRAM should at a minimum have the capacity to identify projects which are likely not proceed on environmental grounds so that time, effort and expense can be avoided during early preparation activities. 5 Subdecree 72 of August, 1999 on Environmental Impact Assessment 6 They could be subcontracted out

16 It thus seems essential for an environmental capability to be built up within MOWRAM. This is also an apt activity for a sector development project, which, in part, aims at developing a capacity within MOWRAM for sustainable water resources development and management. B. Environmental Criteria of Subproject Selection 21. To minimize the potential environmental negative impacts by the Project, following environmental criteria are recommended for the selection of candidate subprojects those will be supported by the Project: (i) (ii) (iii) (iv) (v) (vi) (vii) The size of each subproject should be less than 3,000 hectares (ha); No subproject will be located within the Tonle Sap Biosphere Reserve (TSBR) or other designated forestry or wildlife reserve/sanctuary; All subprojects will be subject to an IEE (including an environmental management plan) Any proposed structure across a major perennial river will be built only upon clearance by the Department of Fisheries (DOF) and review of the final design and operational procedures by a fisheries expert; Riparian committees will be established downstream of subproject structures to monitor water off-take and report on deficiencies in downstream supply; All construction activities be regularly monitored by the staff of the Provincial Department of the Environment (PDEs); and Water quality monitoring be carried out on all subprojects by the Provincial Department of Water Resources and Meteorology (PDWARM). C. Recommended Approach to Environmental Management 22. The approach to environmental management recommended here might best be called pre-emptive. It takes into account the weak institutional capacity in environmental management in Cambodia and uses the flexibility inherent with a sector project to identify and avoid any potential environmental hazards through a four-step process: (i) (ii) (iii) First, selection criteria for subprojects have been designed to avoid any really obvious environmental concerns. Thus no subprojects will be undertaken within the TSBR or within any wildlife sanctuaries or forest reserves. Second, every subproject will be subjected to an IEE and if necessary an EIA. This will allow any potential environmental hazard to be identified and contingencies and mitigation measures drawn up. If it appears that mitigation measures can t be satisfactorily designed to ensure a minimal environmental impact the subproject will be dropped. Third, the detailed design of every subproject will be checked prior to construction to ensure that mitigation measures have been incorporated and - 9 -

17 appropriate safeguards and required practices will be written into construction contracts. (iv) Fourth, construction and operation of subproject schemes will be monitored to ensure compliance with environmental guidelines and that no serious environmental problem is arising. 23. All of steps one to three will be undertaken during the project implementation period when both international and local consulting expertise will be present in the Project Management Office (PMO) to help ensure compliance with the Plan. Concurrently and as part of implementation of the project and the Plan the capacity of MOWRAM and the PDEs in environmental planning and monitoring will be strengthened. Step four will also be initiated during the implementation period but will be continued after physical completion and on into the operational phase. 24. In summary, the approach to environmental management under the EARP will be to avoid major negative impacts in the first place through (i) the subproject selection process; (ii) identify and mitigate lesser hazards identified by the IEEs; (iii) ensure environmentally sound construction and operation and monitor subprojects to ensure sound operational practices are being followed and mitigation measures are working as expected. D. Responsibilities for Implementing Mitigation Measures and the Monitoring 25. Based on the approach outlined above a series of activities and responsibilities for the implementation of the Plan have been devised. The agencies and actors involved include MOWRAM, the PMO (including the implementation consultants), the ADB, the Department of Fisheries of MAFF, the Department of Forestry and Wildlife of the MAFF, MOE, the provincial equivalents of MOWRAM, MAFF and MOE (PDWRAMs, PDAFFs and PDEs) and commune councils of affected areas. Activities are listed more or less sequentially for each subproject below. 26. Application of Selection Criteria. Subproject proposals will be generated at the provincial level and submitted to MOWRAM for a decision as to whether or not to proceed with a feasibility study. The PDWRAMs will be primarily responsible for identifying subprojects with the assistance of the PMO and the cooperation of other provincial offices in particular PDE. At this stage any proposed subproject should be checked for conformity with the selection criteria. These include a size of less than 3,000 ha, a location outside of the TSBR and a location outside of any wildlife sanctuary or forest reserve. Any subproject, which does not meet these criteria, should be rejected by MOWRAM, if necessary upon the advice of the implementation consultants. A final check on conformity with the selection criteria will come when the proposed list of subprojects is submitted to ADB for clearance. Accordingly, it is expected that all subprojects to be supported by the Project could be classified as environment category B. 27. Implementation of IEE requirements. In accordance with newly approved ADB s Guidelines for Environmental Assessment as well as the requirement of Government on environmental impact assessment, an IEE including environmental management plan (EMP) will be prepared for each subproject under the supervision of the PMO using both national and international expertise. Preparation of the IEE will require at least one public consultation with local communities and affected people as well as close coordination with national and provincial staff of the MAFF and MOE especially if new structures in or along rivers are involved. In this case the provisions of the Fisheries Law must be complied with. The IEE will also entail close cooperation with commune councils and the involvement of the local population through participatory workshops. Monitoring requirements will be decided upon at this time. In general the IEE prepared for each subproject needs to be submitted by