Project Name Greater Mekong Subregion Flood and Drought Risk Management and Mitigation Project (LAO/VIE)
Project Number 40190-023
Country Regional
Project Status Active
Project Type / Modality of Assistance Grant
Loan
Source of Funding / Amount
Grant 0316-REG: Greater Mekong Subregion Flood and Drought Risk Management and Mitigation Project (LAO/VIE)
Asian Development Fund US$ 12.50 million
Grant 0317-REG: Greater Mekong Subregion Flood and Drought Risk Management and Mitigation Project (LAO/VIE)
Government of Australia US$ 5.89 million
Loan 2936-REG: Greater Mekong Subregion Flood and Drought Risk Management and Mitigation Project (LAO/VIE)
Asian Development Fund US$ 24.00 million
Loan 2937-REG: Greater Mekong Subregion Flood and Drought Risk Management and Mitigation Project (LAO/VIE)
Asian Development Fund US$ 45.00 million
Grant 0483-REG: Greater Mekong Subregion Flood and Drought Risk Management and Mitigation Project - Additional Financing
Integrated Disaster Risk Management Fund US$ 1.80 million
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Regional integration
Drivers of Change Partnerships
Sector / Subsector

Agriculture, natural resources and rural development - Agricultural drainage - Irrigation - Rural flood protection - Water-based natural resources management

Gender Equity and Mainstreaming Effective gender mainstreaming
Description The impact of the Project will be reduced economic losses resulting from floods and droughts. The outcome will be improved capacities and preparedness to manage and mitigate the impacts of flood and drought events. The Project will have four key outputs: (i) Enhanced regional data, information, and knowledge base for the management of floods and droughts; (ii) Upgraded water management infrastructure; (iii) Enhanced capacity for community-based disaster risk management; and (iv) Effective project implementation.
Project Rationale and Linkage to Country/Regional Strategy

The Mekong River stretches through the People's Republic of China, Myanmar, the Lao PDR, Thailand, Cambodia, and Viet Nam with a total land area of 795,000 square kilometers (km2). The Lower Mekong Basin (LMB) is home to about 60 million people in Cambodia, the Lao PDR, Thailand, and Viet Nam. The Mekong River stands apart because of the large fluctuations in seasonal discharge - very low flows in the dry season yet extensive flooding in the wet season. River flow is largely unaffected by water control structures and follows the seasonal hydrological cycle.

Countries in the LMB have varying levels of capacity to prepare for and manage flood- and drought-related disasters. Actions are mostly reactive, rather than proactive, and are uncoordinated. Better flood and drought disaster preparedness requires (i) knowledge availability and sharing of potential changes to the spatial and temporal distribution of climate and hydrological variables over the basin as a whole; (ii) capacity for timely flood and drought forecasting and dissemination of warnings to communities at risk; (iii) engagement of at-risk communities in the identification, analysis, treatment, monitoring, and evaluation of disaster risks in order to reduce their vulnerabilities and enhance their coping capacities; and (iv) improved condition of water control infrastructure.

The Project is aligned with the relevant policies, strategies, and programs such as the following: (i) Lao PDR: Disaster Management Action Frameworks, 2003 2020; and the (ii) Viet Nam: National Strategy for Natural Disaster Prevention, Response and Mitigation approved by the Prime Minister in 2007 (Decision No. 172/2007), National Targeted Program to Respond to Climate Change, Strategic Direction of Water Resources Development (to 2020 and toward 2050), the Mekong Delta Master Plan.

The Project is aligned with ADB''s Water Operational Plan, 2011 -2020, which identifies flood and drought mitigation (as part of disaster risk management) as one of the two urgent challenges to be addressed in the integrated water resource management process. The Project is also aligned with the ADB's Disaster and Emergency Assistance Policy (2004) as it will support the governments and local communities to identify and manage risks from natural hazards.

Impact Reduced economic losses resulting from flood and drought

Project Outcome

Description of Outcome Improved capacity and preparedness to manage and mitigate the impacts of flood and drought events
Progress Toward Outcome

LAO: The consultants to support the National Early Warning Center (NEWC) have been guided on how to proceed with developing flood forecasting model and early warning systems for the Project. Good progress is noted in the updating of the resettlement and environment plans and in the procurement process of the subprojects.

VIE: The Project has exhibited good progress particularly in the tender of international competitive bidding (ICB) civil works packages, updating the RPs, implementation of the resettlement CAP and preparation of the EMPs for Go Cong subproject and Thuong Thoi Tien subproject. The two ICB civil works contracts for these two subprojects have already been awarded.

Implementation Progress
Description of Project Outputs

Enhanced regional data, information, and knowledge base for the management of floods and droughts

Upgraded water management infrastructure

Enhanced capacity for CBDRM

Effective project implementation

Status of Implementation Progress (Outputs, Activities, and Issues)

LAO: The consultants for NEWC mobilized in March 2015. Training of NEWC staff is ongoing and is expected to be completed by Q3 2016. Procurement for the equipment has begun and the contract to the supplier is expected to be awarded in 2Q 2016. The tendering of the construction of the hydro-meteorological stations, which includes the supply and installation of equipment, will commence in Q2 2016.

The detailed design and construction supervision consultants mobilized in April 2015. The detailed engineering designs have been completed and the procurement process for the Vientiane Embankment subproject and the Vientiane Irrigation Subproject is ongoing. The civil works contracts are expected to be awarded in Q2-Q3 2016.

The consultants to support CBDRM mobilized in December 2015. An Inception Report will be submitted to ADB shortly.

The contract of the consulting firm has been terminated due to insolvency of the lead firm. The Project has begun recruiting individual consultants (i) to keep implementation support uninterrupted, and (ii) since the consulting firms for Outputs 1 to 3 have been mobilized.

VIE: The loan implementation consultants mobilized in May 2014.

Consulting services recruitment for both (i) Design Criteria for Flood and Drought Risk Management in Cuu Long Delta (GMS 1.1) and (ii) Cross Border Flood Risk Mitigation and Diverstion in the border area between Cambodia and Viet Nam (GMS 1.2) has been suspended following the withdrawal of Australia's funding from the Project. While alternate financing opportunities for these consultancies has been identified by ADB, formalizing access to the Integrated Disaster Risk Management Fund (IDRM) still needs to be completed.

The civil works contract for two subprojects have been awarded: Construction of Salinity intrusions control structures for Go Cong area in Tien Giang province (GMS-2.6) and Anti-erosion Revetment on the Tien River at Thuong Thoi Tien in Dong Thap province (GMS-2.8). The civil work contracts for the two remaining subprojects (Control and Mitigation of Flood Risk for the Ba Rai-Phu An area in Tien Giang province [GMS-2.7] and Upgrading the Main Canal System to Drain and Irrigate Plain of Reeds Area in Dong Thap province, Phase 1 [GMS-2.9]) are expected to be awarded in mid-2016.

The civil works package of the Plain of Reeds subproject (GMS-2.9) has been restructured to two packages because of insufficiency of ADB loan allocations brought about by project cost overruns. The first package (Phase 1) will cover a scope to the extent that the current available budget of the project allows. Phase 2 will cover the remaining scope of the Plain of Reeds subproject (from what was originally intended) once additional funds are secured.

Recruitment of the community-based disaster risk management consultants has been suspended following the withdrawal of Australia's funding from the Project. ADB and the Government are presently exploring alternate financing opportunities for the needed consultancies to generate this output.

Geographical Location

Safeguard Categories

Environment B
Involuntary Resettlement A
Indigenous Peoples C

Summary of Environmental and Social Aspects

Environmental Aspects All identified adverse impacts resulting from the location, design, construction, and operation of the water management infrastructure are expected to be small to moderate and can be mitigated by adoption of specific measures. Special environment-related assurances are prepared to mitigate any project impact on adjacent wetlands. For Lao, the initial environment examination reports of the subprojects have been updated and cleared by ADB.
Involuntary Resettlement

It is initially estimated that about 1,814 households (11,065 people) will be affected by the project, including 1,537 households (9,222 people) in Viet Nam and 277 households (1,843 people) in Lao PDR. In both countries, severely affected households are estimated at about 248 households (1,221 people), potentially losing more than 10% of their productive land and/or assets. The total land take is estimated at 75 hectares. Six resettlement plans, 2 for Lao PDR and 4 for Viet Nam, have been prepared.

For the LAO project, the resettlement plans drafted during project preparation are being revised since December 2015. The process revealed that the actual category for involuntary resettlement is B, instead of the initial category A. ADB is reviewing the documents submitted by the executing agency to re-categorize the resettlement classification.

Indigenous Peoples No indigenous people maintaining distinct cultural identities or separate cultural traditions was found to reside in the project areas.
Stakeholder Communication, Participation, and Consultation
During Project Design Consultations with key stakeholders were conducted during project design.
During Project Implementation Ongoing consultations are in progress.

Business Opportunities

Consulting Services The consultants will be recruited according to ADB's Guidelines on the Use of Consultants. The Project will require a number of consulting services to assist the executing agencies and implementing agencies with: (i) project implementation support; (ii) preparation of subprojects; (iii) strengthening of the NEWC; (iv) external safeguard monitoring; (v) implementation of CBDRM; and (vi) audit of project accounts. The outputs and deliverables from all consulting services shall be in accordance with the Government policies, and in support of the provincial development strategies and the needs of the beneficiaries.
Procurement All procurement of goods and works will be undertaken in accordance with ADB's Procurement Guidelines (2010), as amended from time to time.

Responsible Staff

Responsible ADB Officer Raza Farrukh
Responsible ADB Department Southeast Asia Department
Responsible ADB Division Environment, Natural Resources & Agriculture Division, SERD
Executing Agencies
Ministry of Agriculture and Forestry
[email protected]
Department of Livestock and Fisheries
Ministry of Agriculture and Forestry

Timetable

Concept Clearance 07 Mar 2011
Fact Finding 31 Mar 2011 to 08 Apr 2011
MRM 06 Jul 2012
Approval 06 Nov 2012
Last Review Mission -
Last PDS Update 29 Mar 2016

Grant 0316-REG

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
06 Nov 2012 04 Dec 2012 22 Mar 2013 30 Sep 2019 - -
Financing Plan Grant Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 13.09 Cumulative Contract Awards
ADB 12.50 06 Nov 2012 8.33 0.00 67%
Counterpart 0.59 Cumulative Disbursements
Cofinancing 0.00 06 Nov 2012 4.30 0.00 34%

Grant 0317-REG

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
06 Nov 2012 21 Dec 2012 10 May 2013 30 Sep 2019 - -
Financing Plan Grant Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 19.36 Cumulative Contract Awards
ADB 0.00 06 Nov 2012 0.00 0.95 105%
Counterpart 13.47 Cumulative Disbursements
Cofinancing 5.89 06 Nov 2012 0.00 0.07 8%

Grant 0483-REG

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
15 Jan 2016 - - 30 Sep 2019 - -
Financing Plan Grant Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 1.80 Cumulative Contract Awards
ADB 0.00 15 Jan 2016 0.00 0.00 0%
Counterpart 0.00 Cumulative Disbursements
Cofinancing 1.80 15 Jan 2016 0.00 0.00 0%

Loan 2936-REG

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
06 Nov 2012 04 Dec 2012 22 Mar 2013 30 Sep 2019 - -
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 24.00 Cumulative Contract Awards
ADB 24.00 06 Nov 2012 12.23 0.00 55%
Counterpart 0.00 Cumulative Disbursements
Cofinancing 0.00 06 Nov 2012 4.28 0.00 19%

Loan 2937-REG

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
06 Nov 2012 21 Dec 2012 10 May 2013 30 Sep 2019 - -
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 45.00 Cumulative Contract Awards
ADB 45.00 06 Nov 2012 16.63 0.00 40%
Counterpart 0.00 Cumulative Disbursements
Cofinancing 0.00 06 Nov 2012 12.29 0.00 30%

 
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