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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
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
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
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
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
                         www.iwmi.org
BMZ: Economic incentives in sloping lands with reservoir
        development – Benefit sharing, including PES




Nepal                                             Vietnam


                                         Lao PDR




                  Water for a food-secure world
                          www.iwmi.org
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
What is science? BMZ Framework




        Water for a food-secure world
                www.iwmi.org            8
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
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
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
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
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
                                       www.iwmi.org
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
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
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
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
Thank you!




Water for a food-secure world
        www.iwmi.org

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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 www.iwmi.org
  • 6. BMZ: Economic incentives in sloping lands with reservoir development – Benefit sharing, including PES Nepal Vietnam Lao PDR Water for a food-secure world www.iwmi.org
  • 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 www.iwmi.org
  • 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
  • 18. Thank you! Water for a food-secure world www.iwmi.org

Notes de l'éditeur

  1. Emerton and Bos, 2004; IUCN, 2011
  2. 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.
  3. Emerton and Bos, 2004; IUCN, 2011
  4. Emerton and Bos, 2004; IUCN, 2011
  5. 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.  
  6. Emerton and Bos, 2004; IUCN, 2011
  7. Emerton and Bos, 2004; IUCN, 2011
  8. Emerton and Bos, 2004; IUCN, 2011
  9. Emerton and Bos, 2004; IUCN, 2011
  10. Emerton and Bos, 2004; IUCN, 2011
  11. Emerton and Bos, 2004; IUCN, 2011