Hydropower in Mekong countries: implications and opportunities
1. Hydropower in Mekong countries:
implications and opportunities
Photo Davidvan Cakenberghe/IWMI
Photo: :Tom van Cakenberghe/IWMI
Tom Brazier/IWMI
Hoanh and MK1 & BMZ Project Teams:
Sonali, Dennis, Diana, Sanjiv, Matthew, Guillaume,
Florence, Soumya, Somphasith, Anousith
04/12/2012, IWMI-HQ & partners in SEA
Water for a food-secure world
www.iwmi.org
2. Outline
• Problem addressed
• What is the science?
• How does this relate
to development?
• What has been
achieved and/or
proposed
Water for a food-secure world
www.iwmi.org
3. Problem addressed
Mekong hydropower
• Rapid development in
tributaries and mainstream
• Emergence of private sector
actors
• Attention to economic
benefits but impacts on
livelihoods often overlooked
Water for a food-secure world
www.iwmi.org
4. Problem addressed
Implications
Basin wide impacts: flow
regime, sediment, fisheries -
floods and droughts
Direct impacts to livelihoods
of communities
Opportunities
• Electricity supply for
development
• Government & HP developer
revenues
Water for a food-secure world
www.iwmi.org
5. CPWF MK1: Optimizing reservoir management for livelihoods
• Theun-Hinboun
Expansion, Lao
PDR
• Yali,
Vietnam
• Lower
Se San 2,
Cambodia
Water for a food-secure world
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6. BMZ: Economic incentives in sloping lands with reservoir
development – Benefit sharing, including PES
Nepal Vietnam
Lao PDR
Water for a food-secure world
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7. 1. Livelihood and Institutions 3. Decision Support System
Sub-component 3.1
Sub-component 1.1
Bayesian
Characterization of AEZ,
Consultation Sub-component 3.3
Resources & Livelihoods
Single Reservoir
Analysis
Modeling
Sub-component 3.2
Sub-component 1.2
LUPAS at Farm
Policy & Institution
& Community Levels
Analysis
What is the science? MK1
Sub-component 2.1
Sub-component 4.1
Identifying
Analysis of Resource
Potential Livelihood
Use Options
Options
Sub-component 4.2
Sub-component 2.2 Development of
Livelihood Piloting Strategic Plan for
Adaptation
Water for a food-secure world Use Options
4. Resource
2. Alternative Livelihood Options www.iwmi.org & Adaptation Strategies
8. What is science? BMZ Framework
Water for a food-secure world
www.iwmi.org 8
9. How does this relate to development?
MK1: Piloting livelihood
activities
wetlands for
conservation and
livelihoods
rice-fish systems
short duration cassava
in semi-flooded land
Water for a food-secure world
www.iwmi.org
10. How does this relate to development?
BMZ:
• PFES as part of state’s
general revenues
(20 VND or 0.001 USD/kwh)
X 100 billion kwh
• Linking HP with forest
conservation and
livelihoods by promoting
forest plantation for
smallholder farmers
Water for a food-secure world
www.iwmi.org
11. What has been achieved and/or proposed?
Strong partnership with key actors
MK1 – Lao case
• Credible, evidence based results from
household survey
• Livelihoods feasibility through
community consultation process.
• Hydropower company confident and
willing to support piloting of livelihood
activities together with project team
Water for a food-secure world
www.iwmi.org
12. What has been achieved and/or proposed?
MK1 policy review &
institutional analysis:
• Inconsistent policy in land-
water-environment
• Institutional discrepancy
between government
agencies
• Legal plurality: more than one legal orders
• Private sector actors as ad-hoc decision makers
Water for a food-secure world
www.iwmi.org
13. What has been achieved and/or proposed?
MK1 livelihoods:
• Livelihoods before dam
& impacts of dam
Keosaenkham • Issues of compensation
schemes
• Options for livelihood
diversification (vegetable
Nam Gnouang Dam at drawndown area, rice-fish)
Typical cross section
Water for a food-secure world
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14. What has been achieved and/or proposed?
MK1 DSS:
EP
• Labor allocation for
livelihood options
Exposure period
Least
Slope suitability
Least
Physical access by boat & road
Least
Most suitable
Most suitable
Most suitable
Accessibility Easy
Keosaenkham
access
40
35 Division of labour for Fishing
30
25
livelihood activities Dry Season Veg.
Livestock
KSK Difficult
Water for a food-secure world
20
15
Vegetables (wet
season)
Upland rice access
10
5
0
www.iwmi.org
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
15. What has been achieved and/or proposed?
BMZ: Hydropower decision-
making structure/processes
Hydropower institutions
• National: MEM, MPI, MoNRE,
EdL/EGAT/EVN
• Transboundary: MRC ISH
Hydropower development procedures
• National: power sector planning, IPP guideline, EIA, RAP, PPA
• Transboundary: HSAP, MRC SEA
Water for a food-secure world
www.iwmi.org
16. What has been achieved and/or proposed?
BMZ: Benefit sharing and PES
• State as the sole provider
and buyer of ES
• Transformation of market-
based incentives into state’s
tool to control natural
resource management
• The danger of green
grabbing
• Environmental management
versus people’s livelihoods
Water for a food-secure world
www.iwmi.org
17. What has been achieved and/or proposed?
Lessons and challenges:
• Beyond irrigation & agriculture water management
• No one size fits all
• Optimizing HP of national electricity network for
multiple water use
• Synergizing the state, private sectors and civil societies
towards sustainable HP development
Water for a food-secure world
www.iwmi.org
Examples of approaches that reflect elements of market-oriented arrangements in benefit sharing include Payments for Ecosystem Services (PES) initiatives.There are institutional, financial and biophysical mechanisms that link water services users to providers through payments (Goldman-Benner et al., 2012) and non-monetary transfers.
Emerton and Bos, 2004; IUCN, 2011
Emerton and Bos, 2004; IUCN, 2011
Building on the results of our household survey, the project conducted a detailed feasibility study with respect to several potential livelihood options that had been identified include rice and fish integrated farming in a relocation site downstream of the Nam Gnouang Dam. This included a detailed community consultation process that used a range of participatory tools and methods that had been suitably adapted to the local context. The findings on how to undertake the pilot rice-fish integrated livelihood activity were presented to the hydropower company. [In addition, a comprehensive report was prepared and key findings and recommendations were presented to a wider audience which included national partners, staff from the hydropower company and members of IWMI and the CPWF]. Based on our findings, the hydropower company has agreed to support the rice-fish integrated pilot financially. The fact that the hydropower company has shown willingness to fund and support this livelihood pilot linked to the MK1 feasibility study is indeed very significant. This shows that the combination of having good relations with the company and credible, evidence based results from the feasibility study created an enabling environment for the company to be confident and willing to support piloting this livelihood activity. The MK1 team will continue to provide technical advice and monitor the implementation of the pilot in close collaboration with the hydropower company.