Water Sector Improvement Project WSIP Government of Sindh

Project Coordination & Monitoring Unit

Dr. Fateh Muhammad Marri Project Coordinator WSIP

PREFACE

Ehsan ul Haque Leghari Managing Director SIDA

Sindh Water Sector Improvement Project is designed and being implemented to improve the efficiency and effectiveness of irrigation water distribution in the three area water boards including Nara Canal Area Water Board, Left Bank Canal Area Water Board and Ghotki Canal Area Water Board. The design of the project takes holistic view of water sector requirements including institutional reforms, rehabilitation and modernization of physical infrastructure, master planning for flood and drainage management on left bank of River Indus and diagnostic studies for Sukkur an Guddu Barrages in Sindh. The project is worth 175 million US dollars mainly funded by World Bank under International Development Assistance Credit. About 80 percent of the project cost is allocated for civil works on main canals, branch canals and distributaries, whereas, the remaining amount is for operational costs of project implementation and monitoring, barrage studies, master planning of left bank of River Indus, technical assistance and trainings. The GoSindh provides about 20 percent of budget for the civil works as counterpart funding. The project is under implementation as per overall guidance and oversight of Project Steering Committee headed by Additional Chief Secretary (Dev.) Additionally, Board of Sindh Irrigation and Drainage Authority also reviews the performance of the project during its meetings and provides guidance and policy decisions. The Government of Sindh through an agreement with Food and Agriculture Organization of United Nations sought the services of FAO as Project Management Consultant/Procurement Agents mainly responsible for selection of staff and consultants and ensure the quality performance of consultants by giving feedback to the client. Transparency International is part of procurement process for works, services and staff. In this context, the project has awarded most of its civil work and hired consultants as well as staff from market through a just, meritorious and transparent process. A total number of 44 contracts (36 NCB contracts, 01 ICB contract and 07 CBC contracts) have been awarded worth of around 24.929 million US$. SIDA as a lead implementing agency of the project under the overall leadership of full time Project Director is implementing the civil work contracts. The master planning for flood and drainage management on Left Bank of River Indus is being done by international firm namely Louis Berger Group (LBG) in association with Indus consultants Pakistan through a comprehensive consultative process.We are very proud in sharing that Honorable Mr. Asif Ali Zardari, President of Pakistan was very kind to receive briefing and presentation form our Master Plan Consultants. Besides, Mott MacDonald International (MMI) in association with Mott MacDonald Pakistan (MMP) is undertaking feasibility study for Guddu barrage including studying options and feasibility of power plan on the barrage while WS Atkins in association with ACE and NDC are working on feasibility and designing works for Sukkur Barrage. The above very short and quick summary is further detailed in the WSIP outlook which we are proudly sharing with all stakeholders with purpose of sharing the information and updates. We hope that the efforts made by WSIP team will be of your interest. We will appreciate your feedback and suggestions in improving the performance of the project. In the end we are highly grateful to Mr. Jam Saifullah Dharejo, Minister Irrigation and Chairman SIDA and Mr. Malik Asrar Hussain, Additional Chief Secretary (Dev.) for their kind support to the project. We also extend our thanks to honorable members of PSC, SIDA and Area Water Boards for the support in implementing this important project. Thanks are also due to those who contributed in preparing this document.

MESSAGE
Syed Qaim Ali Shah
Chief Minister Sindh

I am delighted to know that the Project Coordination & Monitoring Unit (PCMU) for Water Sector Improvement Project (WSIP-I) is bringing out WSIP OUTLOOK with a view to fostering the engagement with all the stakeholders. Water is so essential for survival and well being of humans but it is becoming scarcer with every passing day. Unfortunately, with growing population and other issues, water availability for agriculture and other uses has been posing a threat to the existence of all living things. It has, therefore, the Governments policy to assign high priority to Water Resources Development / Management. Sindh Government has laid a solid foundation for the sustainable water management programme by lining of water courses in Sindh under National Programme for Improvement of Water Courses (NPIW) and addressing the issues pertaining to barrages, canals, distributaries and Left Bank Master Planning for effective flood and drainage system under WSIP. This project occupies prominent place in Sindh Governments Water Resources Development Programme. Its holistic approach and balanced strategy of Improving the Irrigation System in a systematic way covering key hydraulic infrastructure and enhancing long term sustainability of irrigation system through Participatory Irrigation Management (PIM) is indeed laudable. The process of procurement of material required for works and services under the project has been entrusted to Procurement Management Consultant/Agent (PMC/A) of FAO, which shows the commitment of the peoples government towards merit and transparency. The Transparency International of Pakistan (TIP) is also part of the whole process of Procurement. I really appreciate the support of World Bank, FAO and all other concerned agencies for this important project which, in turn, is expected to bring economic development in rural areas of Sindh.

MESSAGE
Jam Saifullah Dharejo
Chairman SIDA

It is a matter of immense pleasure that PCMU is publishing WSIP OUTLOOK. This initiative of PCMU, under the able leadership of its young and dynamic Project Coordinator with the help of their capable team, speaks volumes of its proactive role in the implementation of WSIP-I. WSIP-I is, in fact, the first link in a long-term programme, pledged by the World Bank with Government of Sindh for supporting Irrigation Reforms and fixing the I&D infrastructure. WSIP-I has many unique features. It is the first ever project in Pakistan in which FAO has been engaged as the Project Management Consultants/Agent (PMC/A) for transparent procurement of project personnel, works, goods and services. I am glad to say that with the help of PMC/A and full support of Mr. Masood Ahmad, the World Bank Team Leader for WSIP-I, and other Implementation Partners, we have been able to put together a well integrated team and apparatus for project implementation. I hope the canal and distributaries rehabilitation and improvement works, including major structural works on Nara Canal, will improve the canal efficiency and ensure increased water availability to the farmers; particularly in the tail areas.

MESSAGE
Raja Muhammad Abbas
Chief Secretary Sindh

I felicitate the Project Coordination & Monitoring Unit (PCMU) on their initiative for compiling WSIP OUTLOOK to keep the stakeholders abreast of the activities of Water Sector Improvement Project Phase-I (WSIP-I). WSIP-Is objective of improving the efficiency and effectiveness of Irrigation Water Distribution in the project area is praise-worthy. This will ensure equitable and dependable water supply to the crops that will result in the increased agricultural production and thereby the development of rural areas, which, in turn, will reduce the pressure on urban areas, hence, balanced development. WSIP-Is Master Planning Component for Preparation of a Regional Plan to deal with the issues arising out of recent floods and drainage problems on the Left Bank of River Indus and designing measures for improvement of Indus Delta and the Coastal Zone is indeed the need of the hour. For the sustainable development of the areas comprising Indus Delta and Coastal Zone in Sindh which is a highly productive economic region, to address these issues, the Sindh government has already setup a Coastal Development Authority. The role of SIDA and WSIPs management during recent floods has been very helpful in mitigating the impact of flood. I hope, that in their study for flooding/drainage on the Left Bank, they will come up with appropriate solutions acceptable to all stakeholders. The involvement of international/national NGOs, having knowledge and experience in flooding issues, is also a step in right direction.

MESSAGE
Malik Asrar Hussain

Additional Chief Secretary (Dev)

Sindh province is highly dependent on its Indus Water Share which often becomes insufficient for its agricultural, municipal, industrial, environmental and other requirements. This is exacerbated by the fact that, Sindh can not fall back upon its ground-water reserves because about 80% of our ground water is brackish and unsuitable for agricultural and domestic use. In this scenario, the province has to manage its scarce water resources efficiently. Although Government of Pakistan / Government of Sindh adopted the paradigm shift in the shape of Irrigation Reforms in 1997 under NDP but job remained incomplete due to many reasons. WSIP-I came in to being to boost/support this very shift transition of water Resource Management from Irrigation Department to a 3-tier system of autonomous corporate bodies, namely, SIDA, Area Water Boards (AWBs) and Farmer Organizations. I am glad to note that this transition has taken hold under WSIP-I. WSIP-Is strategy, in this regard, is to enhance long-term sustainability of irrigation system through Participatory Irrigation Management (PIM) system and developing institutions for improving Operation & Maintenance (O&M) of the system and cost sharing. It is inspiring to learn that out of a total of 383 FOs in the project area, 314 are managing I&D in their respective areas and are collecting Abiana (water charges). I am also happy to note that WSIP-Is activities have gained momentum and planned outcomes are being achieved under all components, particularly Component B i.e. Rehabilitation & Improvement of I&D System. Here, the ongoing contracts for Rehabilitation of Upper & Lower Nara Canal and Rehabilitation of 74 Distributaries / Minors deserve mention. I congratulate PCMU for the launching of WSIP OUTLOOK.

MESSAGE
Babar Hussain Effendi
I am happy to note that an update is being published for Sindh Water Sector Improvement Project (WSIP) which is one of the very important projects for the efficiency and effectiveness of irrigation water distribution in Sindh. The project focuses on improvement and modernization of irrigation infrastructures in the province and deepening the irrigation reforms. The democratic government under the project is adopting new approach of Participatory Irrigation Management (PIM) which has been introduced in the province since 1996 based on the successful piloting in Pakistan and success-stories of the other countries like Turkey, India, Mexico, Italy Albania etc. These countries are managing their system efficiently through PIM. The rehabilitation and improvement works of irrigation and drainage network under WSIP in the three AWBs will positively reflect on overall agricultural productivity of the province. The detailed diagnostic review/assessment of Sukkur and Guddu Barrages are also being carried out under the project through national as well as international professionals. Irrigation Department has signed Contract Agreements with two reputable international firms in joint ventures to carryout detailed diagnostic studies of these two barrages. I am glad to note that WSIP has made a good progress in terms of rehabilitation and improvement of irrigation network in the Jurisdiction of three Area Water Boards (AWBs) and the studies including Master Planning for flood & drainage management on Left Bank of River Indus are going well. I congratulate all project partners particularly PCMU for publishing the WSIP update.

Secretary Irrigation

MESSAGE
Adil Gilani

Chairman Transparency International Pakistan

It is a matter of great pleasure that the Project Coordination & Monitoring Unit (PCMU) for Water Sector Improvement Project has endeavored to produce an official publication namely WSIP OUTLOOK to impart progress on project related activities with all the stakeholders as well as to the general public on the other. It is again worthwhile to acknowledge that the main players of this flagship project i.e. PCMU and PMC/A of UN are following the universal policy of honesty, trustworthiness and transparency in all procurement processes. I feel complacent to share that such important project has been evaluated as Satisfactory by the World Bank last year 2011 and I assume this achievement has been done through standard process of procurement. The transparency of the process has been maintained through the complete disclosure of all the information to all by publishing all relevant documents on the project website, mandatory participation of project stakeholders and the Transparency International Pakistan (TIP) in the procurement process. I hope that the professional rituals so far practiced by all stakeholders of this project would be maintained with high level integrity and responsibility to achieve end-targets up to the mark.

MESSAGE
Ylli Dedja

Team Leader-FAO (Un-Agency)

I am very much honoured to be invited to write a few words in WSIP Outlook designed by the PCMU for WSIP Development Project. It is a pleasure for all of us to see the changes in management of the project by employees selected through open competition and meritocracy that are working now in all institutions managing this project such as PCMU, SIDA, AWBs and FOs. Change is apparent and the improvements are reflected in the reduction of operating costs used by SIDA, which is reduced about 2 times compared with the expenses incurred before the start of new reforms. All activities conducted in procurement of goods, civil works and consulting are conducted in a very transparent way by using, in correct manner, all guidelines of the WB and the Provincial/Federal Government. PCMU and PMC/A has been instrumental in the application of transparency in the award of contracts for works and goods. Now, bid-opening ceremony is open to all, where bids for works are opened and readout in front of all contractors, interested persons, media and TIP and all proceedings are recorded electronically. This has augmented the confidence of the contractors and, apart from the emergence of new breed of contractors, it has given rise to healthy competition and economical price quoting. Up till now, works contracts of US$ 126.9 million have been awarded for the remodeling/rehabilitation of Main and Branch Canals/Distributaries and Minors. Because of the transparency in all procurement processes, the contract prices which have been signed by the Client and Contractors are much cheaper than the engineering costestimates. This is a huge success indicator of the role of PCMU and PMC/A in all project procurement processes. The role of Board of SIDA is highly improved through conducting of its periodic meetings, enabling.

the necessary decision making for the progress of SIDA activities within its territory. In the same way are the functioning of the AWBs, where their role is increased in accordance with SWMO -2002, and their executive departments are much more responsible which are now doing a commendable job in view of all the tasks that they have. Most important is to make possible the functioning of AWBs and FOs independent and, therefore, we are working to make SIDA, AWBs and FOs financially independent. In the process of preparation of the detail design of all irrigation schemes included in WSIP project which is a responsibility of PIC, all stakeholders (SIDA, AWBs and FOs) have been engaged starting from walk through survey and determination of works to be carried out in all channels included in WSIP project for rehabilitation. SIDA, AWBs and respective FOs are also involved in the process of supervision of civil works. This open process has provided transparent activities where PIC and contractor are very much committed to provide a good quality of civil works. WSIP has engaged a group of Consultants to perform basic services to the project, These include Project Implementation Consultants, Consultancy Services for Monitoring and Evaluation Consulting Services for Preparation of Regional Plan for the Left Bank of Indus, Delta and Coastal Zone, Consulting Services for Preparation of Feasibility Studies for Rehabilitation and Modernization of Guddu Barrage & Sukkur Barrage Separately. These Consultancies, under the supervision of SIDA, PCMU and PMC/A have made it possible to realize in general the good work acceptable to the WB and the GOS. The whole of this important project is under the auspices of the Project Steering Committee (PSC), which is under the direction of the Additional Chief Secretary (Dev), Planning and Development Department. PCMU is playing the most important role as a secretary of PSC and, based on that, the Steering Committee once in every 2 months, analyzes in detail the project's progress and performance of all actors managing WSIP Project. Currently, Sindh Water Sector Improvement Project Phase-I is reputed as a clean project as compared to the previous major development projects in the province, when mistrust, allegations of corruption and inefficiency were common features due to lack of transparency and participation of all stakeholders in the decision-making process, which ultimately resulted in lack of ownership for those projects. The World Bank, Government of Sindh and other stakeholders of the project regard the result of WSIP project and as a result an additional financing will be given to existing project and WSIP-II will also follow the same management model.

PROJECT JURISDICTION
Ghotki Feeder Nara Canal Left Bank Canal

Background

Project At A Glance
HIGHLIGHTS
Duration: 5 years (2007-08 to 2012-13) Estimated Cost & sharing: World Bank US$ 150.2 Million Govt of Sindh US$ 24.8 Million Total US$ 175 Million Due to essential changes in Scope of the project, identified during implementation, and price escalation, and contract periods the PC-I is under revision. Project approvals: Project appraisal: Dec 17-29, 2008 PC-I (ECNEC): Sep 19, 2007 World Bank Board: Sep 18, 2007 Loan Agreement: Oct 5, 2007 Credit effectiveness: Dec, 26, 2007 IDA Credit #: 4358-Pak SPECIAL FEATURES:

Irrigation & Drainage (I&D) in Pakistan face major issues that are evident in various forms with many of them stemming from underlying institutional weaknesses. Improving the institutional weaknesses and ensuring farmers participation in operation & management of irrigation and drainage system, the GoPakistan, in 1998, with the help of consortium of Donors (World Bank, ADB and JBIC), had started the Irrigation Reform Process all over country. The reform introduced decentralization and transfer management of irrigation and drainage system from public sector to multi tier system of autonomous institutions under National Drainage Program Project. The Sindh Province made good progress in implementation of irrigation reforms by establishing Sindh Irrigation & Drainage Authority SIDA, three Area Water Boards AWBs i.e. Ghotki, Nara and Left Bank on four main canals covering 35% of total irrigated area of Sindh Province. Through election process, about 354 Farmers Organizations have been formed, about 315 farmers have taken over total responsibilities for management of the system after signing of Legal agreements with their respective AWBs. Based on the performance made by Sindh Province in implementation of irrigation reform process compared to other Provinces, the World Bank offered financial assistance to Sindh for continuation of Irrigation Reform activities and to address modernization needs of Irrigation and Drainage of the system through long term follow up project (s) to the tune of about One Billion Dollars over next decade. The Sindh Water Sector Improvement Project Phase-I (WSIP-I) is the first in the series of projects of the aforementioned program. The Project: The Project is quite comprehensive and visionary which involves / includes capacity building of water resource management institutions, civil works for rehabilitation / improvement of irrigation and drainage system, feasibility studies / designs for rehabilitation of three barrages, master planning for floods/drainage issues and designing measures for improvement of Indus Delta & Coastal Zone. Objective in short: The overarching project objective is to improve the efficiency and effectiveness of irrigation water distribution in the Project AreaGhotki, Nara and Left Bank Area Water Boards (where Irrigation Reforms have been introduced). Strategy: The strategy of WSIP includes (a) Deepening and broadening the Institutional Reforms; (b) Improving the irrigation system at all levels in a systematic way; (c) Enhancing longterm sustainability of Irrigation System through Participatory Irrigation Management (PIM), and developing institutions for improving Operation and Maintenance and Cost Recovery. Project Components: There are five Components: Component A: Community Development and Capacity Building of SIDA, AWBs and FOs; Component B: Rehabilitation and Improvement of Irrigation and Drainage System of three AWBs. Component C: Detailed feasibility studies for improvement and modernization of Barrages and Regional Master Plan to deal with floods and drainage issues of Left Bank of River. Component D: Monitoring and Evaluation of the Project Impact and Environmental Management Plan through an independent team of professional consultants; Component E: Project Coordination, Monitoring, Technical Assistance and Training

The 1st Project of a long t e r m Wa t e r S e c t o r Improvement Programme, pledged by the World Bank, for supporting Irrigation improvement and Reforms in Sindh. Transparent procurement of project personnel, services, goods & works by FAO - A UN Agency through Project M a n a g e m e n t Consultants/Agent (PMC/A). In addition Transparency International Pakistan is involved under project as an observer to ensure the procurement process carried out is in fair and transparent manner. Intensive Stakeholder involvement.

Project Implementation Status

Component A: Community Development & Capacity Building of Institutions: SIDA, AWBs and FOs capacity is being built and strengthened enabling them to perform their responsibilities according to the Sindh Water Management Ordinance 2002 (SWMO 02).

Deployment of professional staff; Providing modern and latest equipment, vehicles, boats etc; Rehabilitation and construction of offices (SIDA, AWBs & FOs); Preparation of rules, procedures, guidelines for their businesses; been provided. Works for AWBs and FO offices have been awarded. Procedures/Guidelines for effective functioning of SIDA: Business Rules & Staffing Regulations, as a corporate body, have been drafted in accordance with requirements of SWMO, 02, and are being processed through SIDA Board for approval; Administration & Human Resources Policy has been framed and submitted to SIDA Board for approval. O&M procedures, Standard Yardstick and Inspection Mechanism are under preparation; Financial Management rules for SIDA have been processed; Financial Rules of AWBs have been cleared by Finance Department, GOS and are being notified by SIDA Board/Regulatory Authority. Intensive/extensive Social Mobilization of FOs: For acquiring legal status, FOs (after their formation) are required to be registered with the Regulatory Authority (presently SIDA), as per SWMO, 02. Once registered, an FO must enter into Irrigation & Drainage Management Transfer Agreement (IDMTA) with its AWBs to be eligible for transfer of assets and Management of the Channel on which it has been formed. Since FO members drawn from Water Course Associations (WCAs) and Drainage Beneficiaries Group (DBGs) have fixed

Progress: Staff Deployment / Appointments: Out of a total of 64 positions-in different sections/wings in SIDA (including 13 Assistant Engineers to be attached with FOs), 49 staff including Managing Director and General Managers have been deployed and are on board, whereas selection of remaining 12 staff would be done shortly. In addition, office of separate Project Director for WSIP with 07 staff has been established in SIDA. Out of 05 positions 02 positions have been filled for office of Chairman SIDA at Karachi. In AWBs, out of 112 positions, 38 are filled (including Directors & GMs) and remaining 74 positions are under process of recruitment. All recruitment has been made from market through PMC/A in transparent manner with the involvement of TIP. Providing modern and latest equipment, vehicles, boats: Procurement of vehicles, equipment, furniture for SIDA has been done by SIDA whereas procurement for AWBs & FOs is in hand. Rehabilitation and construction of offices: Renovation for existing SIDA building has been completed and modern workstations for all wings of SIDA have

tenure of membership/office, reelections for filling the FO seats thus vacated are mandatory. To date, out of 383 distributaries/minors the FOs have been formed on 355 distributaries/minors and registered with SIDA as Regulatory Authority. About 315 registered FOs have signed the Irrigation Drainage Management Transfer Agreement (IDMTA) with respective AWBs. According to SWMO 02, the first tenure of FO registration is for 2 years therefore, the re-election process of FOs is continuous activity to make FOs eligible as per SWMO 02. So far, the re-election process of 318 have been done, who completed their first/second tenure of formation. FOs formed: Total > 355 Nara Canal > 161 Left Bank Canal > 93 Ghotki Feeder Canal > 86 Outside AWB > 15

IDMTA signed: Total > 314 Nara Canal > 159 Left Bank Canal > 83 Ghotki Feeder Canal > 62 The re-elections of 317 FOs, who completed their first/second tenure has been done.

Media and Communication: Communication Strategy has been finalized to ensure participation of Media, Civil Society, Farmers & other Stakeholders in the Project activities. Flood Information Cell is operational for dissemination of day-to-day information to all Stakeholders and Media. SIDA prepares quarterly Newsletter on the project activities to keep the stakeholders fully informed about the project events. An updated SIDA website provides online project information/activities for all the Stakeholders. Abiana (Water charges) Recovery Status: A total amount of Rs 438.13 million was received as Abiana up to Sep, 2011 by all three AWBs which was 49.8% of the assessment/target of Rs 880.58 million. Recovery ratio of LBCAWB was only 36.6% which was considerably lower than 51.5% for NCAWB and 57.6% for GFCAWB. Steps are being taken, including deployment of recovery staff, to improve the recovery. Trainings for FOs: Under component A an amount of Rs. 5.084 million has been allocated for training of FOs specifically in Channels O&M, Contract Management & Organizational Management etc. SIDA being implementing agency have arranged ten training events for 47 FOs in three AWBs. Total 354 FOs representatives/members participated in these trainings. Complaint Handling System: In order to guard against various risks, including corruption risk, and in order to i m p rove t ra n s p a re n c y a n d accountability in implementation of project activities, WSIP-I has put in

place several measures Complaint Handling System being one of them. Complaint Handling System in SIDA is fully functional. As of now, a total of 245 complaints have been received. The breakup of these complaints, issue wise is: Water Shortage 90; Water Connections/New Modules 24; Corruption 54; FO election 36; Civil Works 41. Out of the total of 245 complaints, 55 complaints (22%) have been resolved. Remaining are still with AWBs for resolution. Strengthening and creation of Cells in SIDA GIS Cell: A comprehensive and easily and speedily retrievable Information System is essential for efficient management of I&D System. As per project PAD, SIDA has to establish a management information system (MIS) consisting of all data relating to water resources management I&D, water flows in the river, canals and drains, plans for operation of canals etc. Since I&D System consisting of main canals/drains, secondary canals/drains and tertiary channels /drains have spatial dimension, Geographical Information System (GIS) or Geospatial Information system (GIS), which is now highly developed, is essential for informed decision-making. GIS Cell, established in SIDA, is operational and busy in collection of available GIS data sets and preparation of GIS models of main canals. It has also digitized and developed various maps of I&D network. The cell is coordinating its activities with all the Consultants PIC, M&E & LBG. Environmental Management Unit: Rehabilitation and Improvement works

under WSIP-I may generate limited negative environmental impacts during co n s t r u c t i o n t h a t n eed to b e safeguarded as per the World Bank Safeguard policies. As such, the project incorporates rigorous process for review of proposed interventions under the project, to have public consultations and disclosure. The approach is to prepare sub-project specific EA/EMF for each Contract, within the f ramework of overall EA/EMP, that would be implemented under the project. Sub-project/Contract specific EA would assess general as well as site- specific environmental issues and implementation of EMP has been included in the contract and addressed under the project. The Contract specific EA/EMP is reviewed and cleared by M&E Consultants, who are also responsible for monitoring and supervision of the Environmental & Social Management Plans. In addition, EMU is established under SIDA which is responsible for environmental assessment of the project and monitoring the long term, as well as during construction, impact of investments. EMU monitors the implementation of EMP of ongoing works and communicates non-compliance of EMP, by the Contractor, to PIC. Procurement Plan: As required in the project Appraisal Document (PAD), a comprehensive Procurement Plan for goods, works and services for the project are being prepared annually. Procurement under the project are carried out in accordance with the plan, duly approved by the World Bank. Procurement database is also being prepared, the details of major WSIP-I project Procurements have been placed on WSIP-I website.

Component B: Improvement of Irrigation & Drainage System in the Project Area: Due to neglect and deferred maintenance, the Irrigation & Drainage System is not performing optimally and direly needs rehabilitation & modernization. Under WSIP-I, the hydraulic infrastructure is being upgraded to make water delivery more reliable, flexible, efficient & equitable by renovating degraded canals, installing new types of water control and flow measurement structures. The Physical targets are: Improvement of 7 main canals (824 km) and 28 branch canals (981 km) Improvement of 170 distributaries & minors (1802 km) Improvement of Drainage System in FO areas(200,000 ha) prepared and consists of construction of 3 Cross-Regulators & 7 Head Regulators for canals/distributaries & minors; rehabilitation of 14 Head Regulators of distributaries/minors; rehabilitation of Fuleli Canal Head Regulator; Reconstruction of Seri Fazal Minor Pumping Station; replacement of Akram Wah sluices by one sluice structure; reconstruction of bridges at Hosri and Seri etc. The prequalification documents for the Contract Packages have been sent to the World Bank and the prequalification process of the interested Contractors is expected in due course. Ghotki Feeder Canal AWB: Two ICB Packages (GF-01) & (GF-02) have been prepared. Package (GF-01) comprises major works of rehabilitation of Ghotki Feeder Canal RD 0 to 127; replacement of regulating structures; repair of 5 bridges between RD 0 to 127 etc. Prequalification documents for this contract package have been sent to the World Bank and the process for prequalifying the intending firms is expected to start shortly. Package WSIP/B1/GF/02, put together recently, contains the works of: Remodeling and Bank Strengthening of Ghotki Feeder from 127 to tail. Replacement of 8 Nos. Cross Regulators and 18 Nos. off taking Head Regulators. Replacement of 8 Nos. VRBs. Rehabilitation of 2 Nos. Footbridges.

Sub-Component B1: Improvement of Main & Branch Canals:

Nara Canal AWB: Civil works on Nara Canal have been split into 03 International Competitive Bidding Contract Packages, namely, NC-01 (rehabilitation of Upper & Lower Nara Canals), NC-02 (rehabilitation of Makhi Complex & Khipro Canal) and NC-03 (remodeling of Khipro Canal from RD 70 to tail). Major works included in Package (NC01) are: Three fall structures on Upper & Lower Nara Canals; Construction of the Head regulators for (old) Jamrao & Lower Nara Canals; and rehabilitation of Lower Nara and Ranto Canals. After a transparent Procurement this important contract was awarded by SIDA on 27-6-2011 to lowest selected Chinese Company i.e. M/S CWE-TTP (JV) at the total cost of Rs. 6.4 billion. The contractor has started his work. Package (NC-02) Rehabilitation of Makhi Complex & Khipro Canals comprises the major works of: Rehabilitation of Makhi Complex (including construction of new Makhi Cross-Regulator, Mithrao & Khipro Canal Head Regulators & Bakar Distributary Head Regulator) Remodelling of Khipro Canal from head to RD70.5; Construction (replacement) of 6nr. cross-regulators on Khipro Canal Construction of new Samarjo Branch head regulator; Construction of 14nr. Distributary head regulators off taking from Khipro Canal & all existing direct outlets; Construction of SIDA offices in Hyderabad; Refurbishment of Nara AWB offices in Mirpurkhas (a provisional sum of PKR 21,250,000 has be allocated); Flow measurement at Jamrao Head and Makhi Complex, with remote monitoring at a control centre in Hyderabad using SCADA system.

The contract NC-02 has been awarded by SIDA on 01-02-2012 to M/s CWETTP(JV) at total cost of 2.32 Billion PKR. The Package (NC-03) Remodeling of Khipro Canal consists of the following works; Rehabilitation of Khipro Canal RD 70 to Tail; Replacement of 15 Nos. Bridges; Rehabilitation of 2 Nos. Bridges;

Prequalification process has been initiated. Left Bank Canal AWB: O n e I C B pa c k a ge ( L B - 0 1 ) fo r rehabilitation of Fuleli Canal has been

Sub-Component B2: Improvement of Distributaries/Minor Canals

As against the total project target of rehabilitation of 173 distributaries/minors, SIDA has so far identified 128 channels which have been bundled into 53 convenient and sizeable Contract Packages. Out of total 128 identified channels, 51 channels of Nara Canal AWB, 42 channels of Left Bank AWB and 35 channels of Ghotki Feeder AWB. Up to March 2012, a total of 36 contracts covering of 93 channels have been awarded as per ICB and NCB. 07 contracts covering of 07 channels have been awarded as per Community Based Contracts wherein concerned FOs are being worked as a contractor. WSIP-I provides for Community Based Contracts (CBC) to be awarded to the FOs as the Contractor for works, estimated to cost up to US$ 100,000 as an inducement/encouragement to promote ownership and accord them an opportunity to learn the ropes. The cost of total awarded contracts (ICB, NCB and CBC), covering 100 channels is Rs. 2.050 Billion. The progress on all awarded contracts is u n d e r way a t d i f fe re n t s ta ges o f implementation. Out of this, 11 NCB contracts (36 distributaries/minors) are in Nara Canal AWB. Total Contract cost of these contracts adds up to Rs. 465.162 million and the range of physical progress of the let out works, to-date, is 55%-82%. In Left Bank AWB, 17 contracts including 01 ICB and 16 NCB (39 distributaries/minors) has been awarded at a total contract cost of Rs. 1045.0 million. While o1 NCB contract has made a physical progress of about 46%, other contracts are in pre-construction stage. Ghotki Canal AWB achievement is the recent award of 10 NCB Contracts covering 20 channels, with total contract cost of Rs. 565.225 million. Here, the Contractors have started physical works on these contracts reached at the range of 25-50%. The progress on 07 CBC awarded contracts at an estimated cost of Rs. 43.258 million is in hand. 06 CBC contracts were signed with FOs of Boilo Minor, Kandiaro Minor, Karna Minor, Ashabo Minor, Bilalani and Bhan Minors in NCAWB whereas 01 CBC contract was signed with FO of Khoski minor in LBCAWB. The average physical progress in CBC contracts, is in order of over 80% which is encouraging. All stakeholders especially farmers have fully been involved in implementation of Civil works contracts of distributaries/minors starting f rom identification to award of contracts. A proper Standard Operating Procedure (SOP) has been developed, wherein involvement of all stake holders including farmers has been clearly mentioned with role and responsibility of each stakeholder. For providing of technical support to FOs in identification of works for rehabilitation and improvement of their channels the services of Assistant Engineers appointed under WSIP have been provided. 01 Assistant Engineer is supposed to cover 05 FOs within the nearby jurisdiction. FOs participated in walk-through survey carried out for identification of works for rehabilitation of their distributaries and minors. The design prepared by the Consultants were shared and agreed with the FOs before award of the contracts. SIDA along with supervision consultants is playing supervisory role to get the works done as per design of contracts. FOs have also supervisory role on implementation of works by certification of payments based on their satisfaction of works. The World Bank Mission, officials of PCMU and PMC/A and also M&E Consultants making their field visits on these awarded works.

Component C. Management Plan for Major I&D Infrastructure:

Component C. Management Plan for Major I&D Inf rastructure: The implementation strategy of WSIP-I includes improvement of the key hydraulic infrastructure which covers the Barrages, flood management planning & trunk drains like Left Bank Outfall Drain (LBOD). Component C, therefore, deals with; Carrying out detailed diagnostic study to investigate the problems and design the remedial measures for rehabilitation and modernization of (Sukkur & Guddu) barrages to make them safe for operation to meet the future requirements; Formulation of a Master Plan for the Left Bank of Indus River in Sindh including the Indus Delta & Coastal Zone addressing drainage/flooding issues and providing proper drainage to the area considering structural and non structural measures, including remedial measures for any outstanding deficiencies in LBOD System and; Strengthening of office of Secretary Irrigation Department, Government of Sindh.
Sub- Component C1: Preparation of d e ta i l ed Feas i b i l i t y St u d i e s fo r Rehabilitation of Barrages: Guddu Barrage (constructed in 1962), in particular, is facing severe hydraulic problems which can be exacerbated with addition of Rainee Canal utilization of flood water. The Consultancy Services for preparation of Feasibility Studies for Guddu Barrage was awa rd ed to M / s Mo tt Ma c D o n a l d International (MMI) UK in association with the Irrigation Department (being client) signed the contract agreement on 17 March, 2011 with selected firm (M/s MMI). The consultants have carried out condition assessment of the Barrage and have prepared Inception Report. They are now busy in carrying out other surveys and studies in connection with preparation of Feasibility report. They have produced 12 study papers which would be annexed to the main Feasibility Report. As per agreed time schedule of the agreement, the consultants will submit its final report in all respects by April 2013. Sukkur Barrage (constructed in 1932) has several problems. Several studies and emergency repairs have been carried out to make the Barrage safe. Kotri Barrage has been rehabilitated recently. Presently, Feasibility for Guddu and Sukkur Barrages has been taken up under this sub-component. The procurement process for recruitment of consultants for Carrying out detailed Feasibility Study for Sukkur Barrage culminated in selection of M/s Atkins, a UK based firm in association with ACE and NDC. The contract with the selected Joint Venture was signed by Irrigation department with selected firm in a ceremony held at PCMU on 20th September, 2011 under the chairmanship of Jam Saifullah Dharejo, Minister for Irrigation/Chairman SIDA. The Consultants are in field and have submitted the Inception Report. As per time schedule of the contract agreement, the consultants will submit its final report in all respects by October 2013. Sub Component C2: Preparation of Regional Master Plan for Left Bank of Indus Delta and Coastal Zone: Detailed studies would be conducted and, based on these, a Master Plan would be prepared for addressing the flooding issues. The series of workshops, seminars will be organized to interact with professional, civil societies and other key stake-holders for formulation of development program to address the issues. After completion of procurement process M/s Louis Berger Group (LBG), an American firm, selected as the Consultants for the job. SIDA has lead responsibility for the task with close coordination and consultation with all relevant organizations. The team of consultants is on board since Sept 10, 2010. According to the Terms of Reference (ToRs) of the Consultancy, the Master Plan has to be prepared in Four Phases:

Phase I - Identification & Prioritization of the Issues/Problems; Phase II - Identification & Prioritization of alternative solutions identified/prioritized during Phase I and Preparation of the Master Plan on the basis of prefeasibility stage studies carried out for the prioritized solutions; Phase III Carrying out detailed feasibility stage investigations for the solutions in the top tier of the pre-feasibilities and select the most preferred solution; Phase IV Prepare the project, with detailed designs and bidding documents, for the most preferred solution, to be implemented.

Activities and reports of first two phases in particular, and the third phase in general, are to be carried out and finalized through extensive consultation with all the stakeholders at all levels. The Consultants collected data, conducted studies and held consultative meetings and workshops at selected locations in the project area at village, district and regional levels and came up with draft report for Phase I. This draft report was widely circulated among the Stakeholders and comments were invited. SIDA set up a Panel of Experts (PoE), headed by Dr. Asadullah Kazi, Chancellor Isra University, Hyderabad. The panel held its 1stmeeting on 03-03-2011, reviewed the draft report and gave its suggestions for revamping of the draft report. Based on the guidance given by the Panel and comments from the stakeholders, the Consultants revised/modified the draft report and presented the revised version which was considered and approved by PoE in its 2nd meeting held on 18th May, 2011, with some modifications. The modified final report for Phase I was presented at the National Consultative Workshop on 14th June, 2011and was generally well received. The report was then presented to the Project Steering Committee in its 14th meeting held on-July 09, 2011; the committee considered & approved the Phase-1 report and gave go- ahead signal for the Phase II of the study. Meanwhile, the Consultants conducted investigative work for Phase II (Prefeasibilities) of the study. A series of

Consultative Workshops have been held 15 workshops at the District, and AWB level. The final Stakeholders workshop at National level was organized for finalization of PreFeasibility studies on 14th Jan., 2012 Jam Saifullah Dharejo, Honourable Minister for Irrigation, chaired the workshop. The recent, unprecedented rains of 2010 & 2011 and resulting breaches followed by and devastating floods wrought havoc in Sindh and caused heavy losses. These unfortunate events have demonstrated and confirmed several issues which are potent for the preparation of the Master Plan. The current rain disaster has confirmed that a recurring flooding problem exists; the areas are locked; rain water flows are uncontrollable; and, the present inf rastructure is a constraint in that it blocks the natural drainage paths. It also appears that at present the most expeditious way to drain out the excessive rain water is to pass it through LBOD. However, this needs to be agreed upon through consultation, since LBOD has become highly controversial .Apart from strengthening of the Institutional setup for drainage/ floods, construction of raised platforms has become essential to save lives in flood prone areas. Since the masses are highly sensitive to the effects of drainage/ floods in general and LBOD in particular, and there are the

ultimate beneficiaries/ affectees of the drainage/ f looding measures, to be included in the Master Plan, Hence it seems prudent to promote the ownership of the Master Plan. In this connection two meetings were held with LBG consultantsone in PCMU on 15th Sept.2011 & 2nd in SIDA on 28th Sept, 2011- in which the World Bank mission Team was the major participant. As a result of the deliberations in these meetings, the consultants have reoriented their approach and are, among other things, focusing on: Incorporating the lessons, learnt from the current rain- caused disasters in their work; working on raised platform refuges, in consultation with the Committee formed for the purpose; and, Intensifying the stakeholders participation and Consultative process, with the assistance of another Committee.

Component D: Monitoring & Evaluation of the Project Impact and Environmental Management Plan (EMP).
Deployment of an independent team of professional consultants for monitoring & evaluation activities and impact of the project, supervise implementation of overall Environmental Management Plan, and carrying out Social Studies.
The M&E activities would provide continuous feedback to the Government of Sindh, Project Steering Committee (PSC) and implementing agencies on the projects performance and impact of its various components, so that corrective actions could be undertaken in timely manner. The M&E activities cover: (i) the impact of the I&D improvements on water use efficiency at various levels of the system, reliability and equity in water distribution, irrigation water supply at various levels of t h e s ys te m a n d d ra i n a ge f l ow s, groundwater levels and quality, and soil salinity; on-farm water use; cropping patterns and yields; and livestock population, health and production; (ii) performance of the FOs and their activities in O&M of the system, service delivery and collection of abiana and availability of budget for management of the system; (iii) environmental impact of construction activities in the project area in particular on any wetlands, ecologically important sites, population and livestock; (iv) any acquisition of public and private land and asse t s, a g ree m e n t s re a c h e d a n d arrangements made for acquisition of assets; (v) socio-economic impacts and the

addition to the given Key indicators of the project- record the baseline values (before project start) of the indicators, thus forming Baseline- Indicators; and then keep on, periodically, computing/recording the changing values of these indicators, with reference to the datum position of Baseline Indicators, as the project implementation proceeds; this would be

impact on the level of employment, livelihood and household incomes in the project area; estimation of the projects overall benefits and economic rate of returns etc. PCMU has responsibility for M&E activities with support of professional consultants. M/s NESPAK and partners (M/s TEMELSU Turkey and ACE), appointed in December, 2009 for M&E of WSIP are tasked to carry out M&E activities using state-of-the-art techniques like satellite imagery, GIS/MIS database etc. They would mainly design Objectively Verifiable Indicators (OVI)- in

supplemented by Case studies & interviews to catch the projects progress impact in the areas of Institutional, social, economic and environmental development, prepare quarterly & annual reports to apprise Implementing Agencies and Project Steering Committee about the progress and problems (if any). Up till now, the major activities that have been/ are being carried out by the consultants are: Baseline Studies, six monthly Crop Season Report; Annual Summary Report; Review, supervision of implementation of EMP, SAP and RAP.

Component E: Project Coordination, Monitoring, Technical Assistance & Training.

E1: Establishment of Project Coordination & Monitoring Unit (PCMU) E2: Deployment of FAO Team as Project Management Consultants/Procurement Agent E3: Future Project Preparation in Water Sector including WSIP-II E4: Technical Assistance, Trainings & Strategic Studies

This component supports the Government in implementing the project, coordinating all project related activities and preparing a follow-on project. The office of PCMU headed by Project Coordination has been established since July 2007 under the administrative control of Planning and Development Department, Government of Sindh. The unit performing its function as per its mandate including day to day coordination & monitoring of project implementation activities. PCMU regularly organizes MRMs, to review the project activities. The meetings are held either in PCMU at Karachi or in SIDA at Hyderabad and chaired by the Project Coordinator. A Project Steering Committee (PSC) has been formed by the Government of Sindh headed

by ACS (Dev.), P&D with membership of different Government departments and project partners, to provide policy level decisions for smooth implementation of the project. The committee meets once every quarter or earlier. Being the Secretariat of the PSC, the PCMU organizes the meetings. To-date, 15 meetings of PSC have been held. The team of FAO has also been deployed and is working since mid 2008 as Project Management Consultant/Procurement Agents with responsibility of procurement of all consultants, services and works. The team is lead by expatriate professional (An Albanian Nationalist) with support of some local professionals with involvement of Transparency International Pakistan (TIP).

PMC/A completed procurement process of most of all major consultancies under the project and also finalized selection of suitable candidates for appointments from market for SIDA, AWBs and PCMU including MD & GMs SIDA, PD-WSIP, Director AWBs. PC-PCMU etc. PMC/A fully involved in procurement process of civil works contracts based on their mandate. A blueprint for WSIP-II has been prepared, including Rehabilitation of Mancher Lake. The decision of go- ahead on WSIP-II is contingent upon extension of Irrigation Reforms outside the WSIP-I project area which is expected to be taken during Midterm review of WSIP-I, slated in 2011-12 period;

Component E: Project Coordination, Monitoring, Technical Assistance & Training.

PCMU deals with training sub-component of the project. In this regard, a comprehensive training plan comprising exposure visits/study tours, short/medium/long-term training courses in project related fields for major stakeholders such as farmers, engineers, administrators, managers, high-level government officials, parliamentarians and university faculty etc. has been drawn up for which adequate funding arrangement h as b ee n m ad e. Fo r s i gn i n g o f Memorandum of Understanding (MoU) with AIT Bangkok, Thailand for arrangement of trainings for project staff, the PSC formed a sub-committee headed by Project Coordinator with membership f rom Finance, Irrigation and P&D Department and SIDA to review the proposal. The sub-committee reviewed and agreed with the proposal and after getting clearance from World Bank and PMC/A, Memorandum of Understanding (MoU) is expected to be signed between PCMU and following AIT, Bangkok shortly. In the meantime, three events on different subject/topics have been arranged at AIT, Bangkok which have been successfully completed. Three weeks short course on Project Management, Monitoring & Evaluation held on 26th Sep, 2011 to 14th Oct, 2011. Six officials one each from SIDA, three AWBs, Irrigation Department and PCMU participated in the short courses. Three weeks training course on Management & Implementation of Development Projects held on 19th Mar, 2012 to 6th Apr, 2012. Seven officials one each from SIDA, PCMU, NCAWB, P&D Department and three officials from Irrigation Department participated in the above training courses. Two weeks short course on Financial Management, Accounting & Audit held on 19th to 30th Mar, 2012. Four officials including one each from SIDA, LBCAWB, NCAWB and Finance Department, Government of Sindh attended the subject course. In addition to above, some short courses/trainings arranged at local/national level at Karachi/Islamabad in different fields including Skills in Administration, Community & Social Mobilization, Team Working Strategies etc.

Finance and Audits:

SIDA is central point to deal with finance and accounts of the project. In this regard separate project account has been established in SIDA wherein, all project funds (receipt and expenditure) is being dealt through this account. As of now, an amount of US$ 46.300 million has been incurred f rom IDA receipt funds. The Government of Sindh releasing GoS funds f rom its ADP to meet the Government share as per project cost share. As per project requirement, the audit of the project is being carried out on regular year basis from both side of Government as well as external auditors (M/s Ferguson Chartered Accountants firm) appointed under the project. The audits up to FY 20102011 have been completed from both side of Government as well as external auditors. The project audit reports has been shared with the World Bank through EAD, GoP. World Bank accepted the reports with advise to SIDA for settlement of some paras pointed out by Auditors before June 2012. Almost total amount of project cost US$ 175 million including IDA credit amount of US$ 150 million has been committed as against the awarded activities of the project including works and consultancies. Based on the future requirement to complete the project scope, it has been estimated that an additional amount of US$ 150 million would be required to complete all remaining activities of the project. During the last visit of the World Bank mission in February 2012 the Bank Mission showed its willingness to provide additional financing under the project. In this regard, SIDA requested Government of Sindh for former request to the Bank.

EVENTS (Meetings, Presentations, Seminars, Workshops, Visits):

The project implementation is being reviewed on regular basis at different forums of Government at Federal/Provincial level, World Bank and Project Partners including SIDA, AWBs etc followed by visits of the project fields.

Hussain, Provincial Ministers Jam Saifullah Dharejo, Murad Ali Shah, Sharjeel Memon and Secretary General to President Salman Farooqui, Secretary Irrigation Mr. Khalid Hyder Memon and Managing Director SIDA Mr. Ehsan Leghari and others attended the meeting. Contract Signing Ceremony for The Consultancy Services for preparation of Feasibility Studies for Rehabilitation & Modernization of Sukkur Barrage: The Consultancy Services was awarded to the Joint Venture of Consulting firms, led by M/s Atkin International Ltd (UK) at the total cost of US$ 1.840 Million for preparation of Feasibility Studies to investigate the problems and design the remedial measures for rehabilitation and modernization of barrages to make them safe for operation to meet the future requirements; Agreement signing ceremony was held at (PCMU) Karachi on 20th October 2011. Mr. Jam Saifullah Dharejo, Minister Irrigation/ Chairman SIDA, Dr. Fateh M. Marri. Project Coordinator WSIP, Mr. Muhammad Ehsan Leghari, Managing Director SIDA, Mr. Zahid Junejo, Project Director (WSIP-I), Mr. Agha Aijaz Ahmed, Chief Engineer Sukkur Barrage, Left Bank Region, Mr. Adil Gilani, Chairman Transparency International and representatives of M/s Atkin International participated in the ceremony. Ms. Stefen Kettler, Country Head of M/s. Atkin International & Mr. Agha Aijaz Ahmed affixed their signature on the agreement on behalf of their parties. The Consultancy is of 18 months duration.

Presentation to President of Pakistan by WSIP Consultants on flooding & drainage:

Presiding over a meeting held at Bilawal House, Karachi date October 30, 2011 on irrigation, dewatering and drainage of floodaffected areas, Honorable President Mr. Asif Ali Zardari advised the government to devise separate water storage and drainage plans at divisional level throughout the province. He also called for devising a plan for diverting and storing flood and rainwater in desert areas of the province during floods for reutilization for drinking and irrigation purposes. Dr. Carlos Gandrillas, Team Leader (M/s LBG Group) who are Consultants of SIDA

for Left Bank Regional Planning for Indus Delta & Coastal Zone under WSIP, gave a presentation on a drainage plan for dealing with similar calamities in future. The Honourable President stressed the need for a permanent drainage plan in the country which, he said, would reduce flood damage as incessant rains might recur due to climate change. Sindh Chief Minister Syed Qaim Ali Shah, Water and Power Minister Syed Naveed Qamar, Petroleum Minister Dr. Asim

Project Steering Committee (PSC) Meetings:

PSC is the apex Committee for the review of WSIPs Progress, evaluation of project outcomes, providing policy guidelines, resolving the issues if any and ensuring that the World Banks Credit Conditions & Covenants are met. The committee is headed by Additional Chief Secretary Development (ACS-Dev), with all the concerned Provincial Departments Secretaries as members; the new Water Resources Management Institutions-setup under Irrigation Reforms - as well as relevant NGOs are also represented. The committee meets once every quarter or earlier. Being the Secretariat of the PSC, the PCMU organizes the meetings. To-date, 15 meetings of PSC have been held. The last (15th) meeting was held on 21st November, 2011 under the chairmanship of Mr. Malik Asrar Hussain, Additional Chief Secretary (Dev), P & D Dept, Gov. Sindh. The meeting was focused on aftermath of heavy rains and flooding that occurred during Aug-Sept, 2011 in the project area. The committee lauded the efforts of MD

SIDA and Directors of AWBs in organizing the relief and rescue operations for the affected people and taking all possible measure to plug and repair the damaged infrastructure. Finance Department was requested for early release of flood restoration funds for repair of damaged Infrastructure. The committee advised SIDA to expedite the construction of elevated platform flood shelters along the distributaries/minors through the ongoing contracts of WSIP Project. The committee also reviewed the program of WSIP Project activities and welcomed the a p p o i n t m e n t o f C o n s u l ta n t s f o r Rehabilitation of Sukkur Barrage and strived the need for proper review/examination of the output/deliverables of the consultants deployed for the preparation of Feasibility studies of Sukkur & Guddu Barrages. The committee expressed serious concern about low collection/recovery of Abiana and directed that all concerned should take special measures to enhance the collection of abiana which the essence of Irrigation Reforms. PCMUs Monthly Review Meeting(MRMs): PCMU regularly organizes MRMs, to review the project activities. The meetings are held either in PCMU at Karachi or in SIDA at

Hyderabad and chaired by the Project Coordinator. The meetings, attended by the implementation partners and stakeholders, review the monthly and cumulative physical/ financial progress of the project and see to it that the Implementing agencies comply with the project requirements laid downin the project documents and the advices/ instructions given by PSC/the World Bankfrom time to time. If a bottleneck is identified, PCMU does the trouble-shooting. 18th MRM was held on 13th April, 2012 at SIDA Secretariat in Hyderabad under the chairmanship of Dr. Fateh M. Marri, Project Coordinator-WSIP. The meeting mainly discussed the issues related with project component implementation specifically related with Component A and B of the project. During meeting the forum reviewed/discussed compliance status of the decisions of PSC meeting as well as recommendations of last World Bank Mission Aide-Memoire.

Meetings / Visits of World Bank Mission:

Project implementation is being constantly reviewed and supervised by World Bank through their regular missions mostly on quarterly basis. PCMU being centre point coordinating the programs. The recent mission visited the project in the month of Feb, 2012 reviewed project implementation on the follow-up of compliance of decisions taken during their previous mission in Sep, 2011. During the visit in addition to the meetings with project partners the mission held meetings with Government Officials including Ministers, Chief Secretary, ACS (Dev) and Secretaries of concerned departments. The World Bank Mission (Sep 2011), lead by Mr. Masood Ahmed, Task Team Leader, WSIP Project reviewed the implementation of the project and held meetings with government officials including Chairman SIDA, Advisor to CM for P&D, Chief Secretary, Secretary Finance and Irrigation

Depts. and held detailed meetings with project partners/consultants. During the visit, the mission appreciated the considerable progress made specifically the actions completed as recommended by previous mission such as deployment of staff of AWBs from market including Directors AWBs. Posting of full time PD WSIP, signing of Contract package for Nara etc. In addition, mission recommended time bound actions for speedy implementation i.e. finalization of contract package-2 of Nara Canal AWB; signing of MOU with AIT for trainings; compliance of all environmental and social aspects as per Banks guidelines; finalization of procurement for award of Sukkur Barrage Study; effective construction supervision of ongoing civil works; settlement of paras of audit 2009-10. During the visit, the mission expressed full support to GoSindh for restoration of

damaged infrastructure affected due to heavy rain falls/floods in Sindh during the monsoon season 2011. The idea of having raised platforms (being constructed under WSIP) was also discussed in the meeting: this may reduce the vulnerability of communities during the floods and cyclones. It was also discussed that the planning in the coastal areas should in future incorporate floods and drainage in it. Cross-drainage on roads, raised roads, double storey schools on pillars etc. could be a few examples. The issue of LBOD system also came under discussion. In this regard, a consultative meeting of the key stakeholders to discuss the Preparation of Regional Master Plan for Left Bank of Indus, Delta and Coastal Zone: Findings/Issues and Long and Short Term Solutions of Current Flooding was held on Sep 28, 2011 at SIDA. MD SIDA chaired the meeting.

Mr. Masood Ahmed along with his team, representatives from AWBs, PCMU, PMC/A, Consultants and the representatives of SCAD partners, and leading civil society organizations including Mr. Jami Chandio, Mr. Suleman Abro, Mr. Mustafa Baloch, Mr. Aijaz and representatives of IUCN, NIO participated in the meeting. On the follow-up, the mission visited the project in February 2012. The mission lead by Mr. Masood Ahmad, Task Leader. Mr. Kavin D. Gallagher, FAO representative of Pakistan, Islamabad Office, accompanied with the mission. The mission met with high officials of GoSindh, including Minister Finance, Minister Irrigation/Chairman SIDA, ACS (Dev)-P&D, Secretary Finance & Irrigation Departments and also held detailed meetings with project partners and consultants. The mission visited project area particularly main Nara contract.

Mission noted that the implementation rate has picked up momentum and is on fast track now compared with previous progress period. In view of the improved implementation progress, the mission declare the project performance progress rating to Satisfactory which was previously marginally satisfactory. During discussion, the bank mission showed their willingness to extend the time period of IDA closing date from April 2013 to February 2015. In addition, the bank mission noted that almost total cost of the project has been committed with awarded activities where as some of remaining activities especially civil works, contracts for main Ghotki Feeder and Fulleli Canal of Left Bank AWB are yet to be awarded. Therefore, additional financing is required to complete the total scope of project involved under all components. In this regard, the Bank mission expressed their willingness to provide additional financing up to the tune of US$ 150 million from IDA credit for which request has to be made by

SIDA through Government of Sindh for further consideration/approval of the Bank Management. SIDA is in process requesting Government of Sindh for consideration of additional financing and extension in the time period of project implementation. Revision of PC-I accordingly is in-hand. Environmental Safeguards Mission led by Dr. Javaid Afzal, Sr. Environment Specialist, World Bank visited from 28 Oct, 2011 to 1 Nov 2011. Mission had a detailed briefing on the first day at SIDA Office, Hyderabad. Team visited the work sites at Head Jamrao, Nara Canal and Left Bank Distributaries. The mission circulated its visit report/aidememoire prepared based on outcome of their visit/meetings. The compliance of actions was also reviewed on the follow-up visit of the mission held in February 2012. The mission noted the progress towards compliance of actions proposed in previous missions visit.

Visit of Government of Sindh Official to Project Areas

Mr. Mohammad Ishaque Lashari, the then Additional Chief Secretary (Dev). P&D Department, GoSindh accompanied with Mr. Fazal A Nizamani, Senior Chief (W&D) P&D and Dr. Fateh M. Marri, Project Coordinator, PCMU WSIP- visited Nara Canal AWB and held detailed meetings with SIDA and AWBs staff, members, farmer community of AWB and WSIP Project Consultants. The Team also visited the site of the newly awarded civil work contract of main Nara Canal (NC-01) under WSIP-I Project. The record of some of important discussions/decisions of the tour/visit is summarized as under: Physical works on distributaries and minors must be completed within contract period and also to ensure standards and good quality of works with transparency. The Director and XEN of Mithrao Canal division to look into the matter and take up remedial measures for repair and

maintenance of Mithrao Canal to resolve the issue, as pointed out by the Farmer Member. Prepare estimates for dredging works on regular basis and an opportunity may be explored so that the dredgers of the Contractors of NC-01 may continue working even after the completion of contract. CBC works should be given proper attention and super vision to avoid any mismanagement in the contracts particularly in financial mismanagement. Finalization of Abiana rules and regulations of AWBs so that financial sustainability of AWB can be achieved. Preparation of SOP for utilization of Abiana funds needs to be expedited by AWB and SIDA. Staff of AWB especially engineers/SDOs to ensure proper irrigation supply judiciously to all farmers and will make close

coordination with FOs at sub-divisional level by arranging regular meetings on fortnightly basis. Mr. Malik Asrar Hussain, Additional Chief Secretary (Dev.) P&D Department Government of Sindh, accompanied with Senior officials of P&D Department including Mr. P.S Rajani, Special Secretary (Technical), Mr. Abdul Rafique Leghari, Director General M&E Cell, Mr. Fazal A. Nizamani, Senior Chief (W&D), and Dr. Fateh M. Marri, Project Coordinator, PCMU, WSIP visited rain/flood affected areas on Sep 12-13, 2011. The purpose of visit was to assess the damages due to heavy rainfalls during the monsoon 2011 in the areas of districts Sanghar, Umerkot, Mirpurkhas & Badin. Other districts like Tando-Allah-Yar, TandoM. Khan, Shaheed Benazirabad and Thatta and understand causes of disaster & dam

ages other than the rain so that short as well as long term remedial measures could be taken at government level. Team visited affected districts of Mirpurkhas, Badin, Tando M. Khan, Hyderabad and Thatta and also held detailed meetings with officials of District Management and relevant departments including SIDA and AWBs. The affected parts of LBOD, KPOD and DPOD was also visited by the team. Recommendations/suggestions of visit summarized as under: Stoppage of sea water intrusion from the tail of the LBOD, backflow of drains inletting KPOD; and revival of natural water ways. Prepare PC-I for rehabilitation of the drains, bridges on LBOD, other structures as well as the important buildings; including offices and residences of XENs Mithrao, Jamrao and Thar. Locations of inletting cuts into the drains, breaches and spilling of drains may be noted and take appropriate actions. Constructing gated structures at inletting cuts on banks may be considered after due thought. Monitoring, O&M of LBOD may be kept as priority and required institutional arrangement may be made. A dedicated directorate/circle to look after LBOD may also be thought of. The Master Plan Consultants should incorporate the current events and suggest feasible options to the whole problem of flooding and drainage on the Left Bank of River Indus. Meetings of SIDA and AWBs: SIDA and AWBs need to meet regularly as per their mandate to dispose their businesses. As of now, 40 meetings of SIDA Board have been held. The last meeting was held on 12th April, 2012 under the chairmanship of Minister Irrigation, who is the Chairman of SIDA Board. As per SWMO 02, AWBs meetings are to be held on quarterly basis however, AWBs

are holding their respective Board meetings mostly on monthly basis. As of now NCAWB held 58 meetings, LBCAWB arranged 63 meetings whereas Ghotki AWB arranged 70 meetings. In addition to other matters/business, the Boards reviewed/discussed the progress of WSIP project in the meetings. In last (40th) SIDA Board Meeting held on 12th April, 2012, the progress performance of consultants appointed under the WSIP Project were reviewed and discussed. Moreover, the implementation progress of on-going civil works contracts of NC-01 & 02 was also came under discussions and Board issued directives to project implementing agencies to get the work completed as per time schedule with good quality.

Orientation Workshop on Environmental Regulations:

A two day Orientation workshop on Environmental Regulations for Development Projects in Sindh was organized by PCMU, in association with SIDA held at Hyderabad on January 18th & 19th, 2012. The Objective of the workshop was to sensitize and familiarize the participants from various implementing partners about the Environmental Safeguards of Development Projects in Sindh and to develop the understanding about various Environmental laws, Regulations and obligations of different Conventions in the country related to Irrigation sector. A total of nine workshop presentations by Resource persons were organized under three major themes. Presentations made by the resource persons including Mr. Shahid Lutfi, Consultant World Bank/IFC; Mr. Keith Macpherson, Design Engineer, PICs; Dr. Sami -Uz- Zaman, Chairman GEMS; Dr. Najam Khurshid, CTAGEMS; Mr. Saeed Balouch, Conservator, Sindh Wildlife Department; Professor Abdul Rashid Memon, Professor, Mehran University; Sardar M. Kakar, Environmental Specialist, M&ECs WSIP. Workshop was conducted through a mix of participative and interactive sessions. Total of 45 participants from Irrigation and P&D Department, SIDA, AWB and Consultants.

Bid Opening Meeting for NC02: The bid opening meeting for Contract Package: WSIP/B1/NC/02 Rehabilitation of Makhi Complex and Khipro Canal was held on 24th October, 2011 in SIDA Committee Room and chaired by Managing Director SIDA. The bid opening was attended by the senior officials of SIDA, AWB, PMC/A, PCMU, PIC and representatives of all five pre qualified firms/JVs and media. The bids were received from all pre qualified firms/JVs up to the closing time i.e., 2:00 pm. Contract Engineer, PIC opened all received bids and read out the bid prices along with bid securities in front of all participants, according to read out prices, lowest bid amounting to Rs. 2,323,063,418 was received from M/s CWE-TTP (JV).

National Stakeholders Consultative Workshop to discuss the reports of Master Plan Study:
January, 2012 at Avari Hotel, Karachi. Jam Saif ullah Khan Dharejo, Minis ter Irrigation/Chairman SIDA was the Chief Guest, whereas Dr. Fateh M. Marri, PC, PCMU opened the workshop on behalf of ACS (Dev.). The purpose of workshop was to share the Key Findings & Solutions relating to Phase II (Pre-Feasibilities) the outcome of 15 major workshops conducted during Phase II of the project-12 at District level and 03 at AWB level. Consultants presentation mainly dwelt on pre-feasibility studies for solutions of the Issues (identified during Phase I) proposed by stakeholders in the consultative process. Dr Sikander Mendhro, MPA Sindh, and Syed Raghab, Member (Water) WAPDA spoke extensively and shared their experience and knowledge about the Flooding / Drainage issues and LBOD. The comments/views came from: Mr Naseer Memon, CEO, SPO; Mr Zahid Bhargari, FO Chariman; Major Umer Farooq, FO Chairman; Mr Zulfiqar Halepoto, Advisor, Thardeep; Mohammad Hasham Leghari, COO SRSP; Mr Anwar Ali Sial, Director GFCAWB; Mr Jamil Junejo, PFF; Mr Mustafa Talpur, Water Aid; Mr Noor Mohammad Memon, Consultant; Dr Ghulam Hussain Balouch, Consultant MDC; Dr Najam Khurshid, Environmentalist. In the end, Jam Saifullah Khan Dharejo, Minister Irrigation/Chairman SIDA, (the Chief Guest) rounded off the discussion and requested the consultants to expedite their work so that Master Plan is completed in time. The workshop ended with a vote of thanks by the organizers.

Louis Berger Group, the Consultants to SIDA for preparation of the Master Plan for addressing the drainage/flooding issues on Left Bank of Indus in Sindh, organized a National Stakeholders Consultative Workshops for finalization of their reports. The first consultative workshop was arranged on 14th June, 2011 at Hotel Avari Towers at Karachi. Jam Saifullah Khan Dharejo, Minister Irrigation/Chairman SIDA, who was the Chief Guest of event. Mr. Qazi Masood Ahmed, Chief Economist P&D was the key note Speaker on behalf of Advisor to CM on P&D. The main purpose of the workshop was to share the findings on issues obtained/suggested during the consultative process at village, district and regional levels conducted during the preparation of PhaseI of the Master Plan. The Chief Commenters/Speakers were Ms Humera Alvani, MPA; Mr. Abdul Majeed Nizamani, President Sindh Abadgar Board; Mr. Masood Ahmed, Task Team Leader World Bank; Mr. Naseer Memon, Member Panel of Experts for the Master Plan; Mr. Kazi Abdul Majeed, Member NCAWB; Mr. Mustafa Talpur, Member Panel of Experts for Master Plan; Mr. Zahid Bhurgri, Member of PSC, WSIP; Mr. Nasir Panhwar, Coordinator WWF; Mr. Syed Ghulam Qadir Shah, IUCN; Mr. Ehsan Leghari, MD SIDA; Mr. Ghulam Mustafa Abro, Provincial C o o r d i n a t o r, P r o v i n c i a l D i s a s t e r Management Authority; Mr. Khadim Memon, DTL PIC. The main points raised/offered by the speakers were to the final report of Phase-

I of the Master Plan needs improvement, particularly on why part of issues; serious concern for the institutional efficacy for drainage & flooding in particular and water Resource management in general; encroachments in water-ways; failure of SCARP projects; research in water resource m a n a ge m e n t ; V i a b i l i t y o f f a r m e r organizations; coordination among disasterrelated institutions; presentation of the Master Plan findings to parliamentarian; saving/reviving of Indus Delta; sea water intrusion; decentralized solutions for drainage rather than centralized ones. each drainage basin should manage its own effluent, as was done in case of NSDS; diversion of storm water in LBOD at Naukot to Thar for storage & agriculture; water conservation; proper maintenance of drains. The second National Stakeholders Consultative Workshop was held on 14th

Views / Comments by the Experts (Consultants)

Stefanie Kettler Project Manager, Sukkur Barrage Study Consultants (M/s Atkins)
It gives me great pleasure to contribute to the WSIPI UPDATE. Our joint venture of Atkins, ACE and NDC has recently been commissioned to undertake the Feasibility Study and Detailed Design of Rehabilitation and Modernization of Sukkur Barrage. This project will contribute to the overall aim of the Sindh Water Sector Improvement Project (WSIP) by ensuring the continued long term safety of the barrage. We understand the aims of the WSIP to be to improve the efficiency and effectiveness of irrigation water distribution in three AWBs (Ghotki, Nara and Left Bank), particularly with respect to measures of reliability, equity and user satisfaction. This project is of great significance to the people of Sindh and our team is honoured to contribute to the project. The barrage forms part of the key hydraulic infrastructure of the Sindh province and is great significance for irrigation and flood control. In the initial phases of our study we will investigate the current condition of the barrage and undertake topographical and bathymetric surveys, and ground investigation. The data gathered during this phase will help us to identify urgent rehabilitation works and long term improvement works. Our team is looking forward to contribute to the success of the WSIP.

Carlos A. GANDARILLAS, PhD Team Leader, Master Plan Consultants (M/s LBG, USA)
A contract agreement was signed between LBG/Indus consultants and the Sindh Irrigation and Drainage Authority (SIDA) on 5th March 2010 to conduct study on Preparation of Regional Master Plan for the Left Bank of Indus, Delta and Coastal Zone. Mobilization of staff started in May 2010. The study comprised of four distinct phases. Phase-I comprised of the identification of issues and problems through extensive consultations with stakeholders. First Phase report was submitted to the SIDA in December 2010 which was evaluated by the Panel of Experts and then approved by the Steering Committee of the Planning and Development Department Government of Sindh in June 2011. The consultants started working on the phase-II of the master plan covering the identification of structural and non-structural solutions in close consultation and coordination with the stakeholders of the area in 16 workshops organized at district, regional and national level including three workshops conducted with three area water boards. The solutions included options on remedial measures for the outstanding deficiencies in the LBOD and retention and / or Safe disposal of drainage, Storm and flood Water. The consultants also suggested measures for the revival of the inland and coastal wetlands recognizing their environmental importance and considerable potential for the local communities. Solutions to all the outstanding issues are proposed in continued liaison with the stakeholders together with the ranking of the solutions in accordance with the social acceptance, financial feasibility, environmental impact and socio-economic acceptance of the proposed interventions. The Phase-II report is under preparation and shall be submitted in due course. In third phase, the consultants shall focus on preparation of detailed feasibility studies on the accepted options by the stakeholders and the panel of experts.

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