ATTACHED TECHNICAL ASSISTANCE

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Irrigated Agriculture Inclusive Development Project (RRP MYA 712) ATTACHED TECHNICAL ASSISTANCE A. Introduction 1. The technical assistance (TA) attached to the Asian Development Bank (ADB) Irrigated Agriculture Inclusive Development Project (IAIDP) will be financed through a grant of $.79 million from the Global Environment Facility (GEF). 1 The TA was prepared through consultations between ADB and the Government of the Union of Myanmar. TA preparation missions were conducted by ADB between December 201 and June 2016. 2. The TA will be implemented by the Ministry of Natural Resources and Environmental Conservation (MONREC) and led by the ministry s Dry Zone Greening Department (DZGD), Forest Department, and Environmental Conservation Department. Implementation arrangements will ensure close coordination with the implementation of the Irrigated Agriculture Inclusive Development Project (IAIDP). 3. The TA addresses special development needs of the central dry zone, which consists of Magway, Mandalay, and southern lower Sagaing Regions. This area supports a population of approximately 1. million people (3% of national total), and is the most water stressed region of the country. Approximately 3% of households in the region live in poverty and it is one of the most food insecure areas in the country. Across the central dry zone (CDZ), rainfall variability is high, water-use efficiency is low, vegetation cover is sparse and the soil is severely degraded eroded and of low fertility. Smallholders farming in these environments face considerable challenges in achieving food security, while land managers lack the resources and capacity to support sustainable, and climate-friendly agricultural development.. The TA aims to enhance rural productivity and ecosystems services in CDZ forest reserves. An initial package of training and capacity development will be conducted in Mae Nyo Taung forest reserve in the Meikhtila District of Mandalay Region. Once tested and refined, the package will be scaled up to cover more than 300,000 hectares (ha) of permanent forest estate 2 and surrounding villages and townships. The permanent forest estate consists of reserve forests, protected public forests and key biodiversity areas. It complements the IAIDP by (i) addressing the special concerns of communities in and around the permanent forest estate in the country s CDZ, (ii) focusing on ecosystems-based approaches to the management of natural capital, and (iii) enhancing coordination between different ministries for effective implementation. B. Outputs and Key Activities. The TA has four outputs: Outputs 1 will improve soil and water conservation practices in,00 hectares of forest reserve and,000 hectares of agricultural lands adjacent to the Mae Nyo Taung forest reserve. Output 2 will mainstream biodiversity and ecosystem management into district level forest management planning in the CDZ through cooperation with the Forest Department. Output 3 will scale up forest rehabilitation and ecosystem management through replication, knowledge transfer, capacity development. Output will strengthen policies and the knowledge management capacity of MONREC related land use, water use, and agriculture development. Overall the TA will contribute to reduced greenhouse gas emissions by reducing 1 A GEF project identification form (concept note) was approved by the GEF Council on 22 April 2016. The full technical and financial proposal was endorsed by the GEF Chief Executive Officer on 30 August 2016. 2 Forest area that is designated to be retained as forest and may not be converted to other land use.

2 deforestation and forest degradation, increasing vegetation cover, and improving soil and water management through practices such as low-tillage agriculture. 6. Capacity development activities will be organized around the following themes: (i) (ii) (iii) Integrated water and soil management. Capacity development will focus on the principles for effective community participation in watershed management, promoting climate resilient water storage and supply management techniques, such as check dam construction, tube well drilling and small scale irrigation management, and encouraging conjunctive use of groundwater and rainfall.. Climate smart agriculture for dryland ecosystems. Training and skills upgrading will focus on a range of landscape assessment approaches, nutrient management techniques, good agricultural practices which address climate change mitigation, adaptation and resilience building, and on-farm trials supported by extension and information services. Sustainable forest management. Afforestation and natural re-generation activities will be demonstrated in the Mae Nyo Taung forest reserve. In addition to analysis on the drivers of forest degradation, a sustainable forest management toolbox will be rolled out with stakeholders, including methods for decision support, greenhouse gas inventory, safeguards, and monitoring, reporting and verification. Efforts will also support community forestry and forest governance, including tenure rights and conflict resolution. (iv) Biodiversity and ecosystems management. Project stakeholders will be trained in the conduct of survey methods that form part of biodiversity assessments, customary and sustainable use of biodiversity, monitoring of biodiversity for dryland ecosystems and sustainable financing for protected area management. 7. The TA will coordinate with the IAIDP through (i) joint representation on project steering committees, (ii) IAIDP representation on the TA executive committee, and (iii) joint field-level activities. These will include water sector reviews, capacity building in watershed management, working with water user groups, and sharing information and technical services provided through agricultural coordination centers and farmer field schools in the CDZ. 8. Three tiers of beneficiaries are anticipated. First, management and technical officers in the DZGD, Forest Department, Environmental Conservation Department, and other relevant divisions and departments will have strengthened capacity to contribute to policy reform processes and develop and implement support services for constituent communities. Frontline officers at district, village, and township levels will be targeted. Second, communities in and around forest reserves and dependent on their resources, will benefit from participatory approaches and greater empowerment related to natural resource management. Women will benefit in particular. Communities will learn good practices in soil and water conservation, sustainable forest management and climate smart agriculture, and gain appreciation of the economic value of ecosystems services, with a view to taking over stewardship. Third, local community-based organizations, including forest and water users groups, will benefit from increased absorptive capacity and a greater ability to contribute to integrated natural resources management. These organizations will have capacity to strengthen the evidence base and arguments to support policy reform processes.

3 9. Risks to project success exist, and mitigating actions have been defined in the GEF project document. One of the main risks is posed by the low level of institutional capacity in the government departments involved. Others are the possibility of (i) a lack of sustained community support or engagement in project activities, (ii) insufficient interdepartmental and interministerial cooperation and coordination, and (iii) failure by the government to sustain the commitment to reforms to promote climate resilience, sustainable land and water use, and community participation in natural resource management. C. Cost and Financing 10. The TA is estimated to cost $.32 million, of which $.79 million will be financed on a grant basis by the GEF and administered by ADB. Table 1: Cost Estimates and Financing Plan ($ 000) Item Amount A. Global Environment Facility 1. Consultants a. Remuneration and per diem i. International consultants 1,22.8 ii. National consultants 817.0 b. International and local travel a 311.8 c. Reports and communications 66.0 2. Equipment b 19.0 3. Training, seminars, and conferences a. Facilitators c 18.0 b. Training program 161.0. Surveys 180.0. Miscellaneous administration and support costs d 1.0 6. Civil works e 67.0 7. Pilot testing a. Afforestation 661. b. Natural Regeneration 01.0 8. Contingencies 239.0 Total,790.0 a. ADB staff will not be charging travel expenses to this attached TA. b. Includes global position system (GPS) handsets, laptops with software peripherals and licenses, printers and related supplies. c. ADB staff acting as resource persons will not be supported under this TA. d. Costs related to coordination and secretariat services, rental of audio-visual equipment, sundry supplies. e. Includes construction, rehabilitation and maintenance of tube wells, small ponds, check dams, rainwater harvesting systems, small scale drip irrigation systems, and firebreaks. Also includes earth moving for small access roads and removal of invasive plant species. Source: Asian Development Bank estimates. 11. The government will provide counterpart support in the form of technical direction and guidance, support staff, hosting of the project management unit, office supplies, domestic transportation, and other in-kind contributions. D. Implementation Arrangements 12. ADB will be the project executing agency and the MONREC will be the implementing agency. The TA will be implemented over years from January 2017 to January 2022. The project steering committee will include senior representatives from the MONREC and the

Ministry of Agriculture, Livestock, and Irrigation. The project steering committee will validate annual work plans and budgets, validate major project indicators, recommend adaptive management interventions, help with high-level coordination between development partners, and facilitate policy dialogue. A smaller project executive committee will lead the technical execution of the project, prepare work plans and budgets, guide contractor performance, and advise on project operations. 13. The project management unit will be hosted by the DZGD based in Mandalay and consist of core management and technical personnel to support day-to-day field level operations; provide technical direction; ensure coordination and linkages with the ADB loan project to which the TA is attached; establish and implement project operational, administrative and financial management systems and processes; assist in preparing contracting packages; support drafting of technical elements of contracts; monitor contract performance; prepare draft technical and financial reports; act as the secretariat for project committees; and coordinate with institutional and community stakeholders. 1. Table 2 below summarizes the main consulting services required. They are described in detail in the project administration manual. 3 Table 2: Summary of Consulting Services Area of Expertise Duration (person-months) A. International 1. Integrated Natural Resources Management 36 Specialist and Team Leader 2. Integrated Water Resource Management 18 Specialist 3. Sustainable Forest Management Specialist 12. Curriculum Development Specialist 3. Environment Economist 6. Gender Equality Specialist Subtotal (A) 77 B. National 1. Project Manager 60 2. Finance Analyst 60 3. Senior Agronomist 28. Integrated Water Resource Management 28 Specialist. Community Forest Management Specialist 18 6. Wildlife Specialist 7. Communications and Multimedia Expert 36 8. Monitoring and Evaluation Specialist 2 9. Policy and Legal Analyst (2) 10. Wildlife Law Enforcement Specialist 11. Gender Equality Specialist 12. Information Technology Officer 3 13. Field Technical Officers () 20 1. Translator 6 Subtotal (B) 0 Total (A+B) 627 Source: Asian Development Bank estimates. 3 The Project Administration Manual (accessible from the list of linked documents in Appendix 2 of the main text).

1. Consultants will be engaged by ADB in accordance with the Guidelines on the Use of Consultants (2013, as amended from time to time). The TA will be implemented by a single firm, non-government organization or consortium. Engagement will be based on ADB s quality-and cost-based selection method. Training, seminars, and conferences will be administered primarily by ADB. An advance payment facility will be set up once sufficient implementing agency (IA) capacity has been confirmed during implementation. Purchase of equipment will be in accordance with ADB s Procurement Guidelines (201, as amended from time to time). Equipment purchased will be turned over to the IA upon completion of TA aces. Proceeds of the TA will be disbursed in accordance with ADB s Technical Assistance Disbursement Handbook (2010 as amended from time to time). 16. A knowledge management strategy will guide the dissemination from knowledge generated by the TA project. Multimedia approaches will be employed and include the use of traditional (customary) print, broadcast, and web-based methods. The project will develop a dedicated website, which will be supported by links to social media and encourage and moderate public participation on issues related to sustainable land, water, and forest management in the CDZ. Project-relevant data, scientific and technical reports, training materials, guidance documents, and other knowledge products will be available on the website during the life of project in both English and Burmese. During the winding down phase, core elements of the website will be migrated to the existing DZGD website.