37231-044: Punjab Irrigated Agriculture Investment Program – Tranche 4 | Asian Development Bank

Pakistan: Punjab Irrigated Agriculture Investment Program – Tranche 4

Sovereign (Public) Project | 37231-044 Status: Closed

The Asian Development Bank is working with Pakistan to increase the sustainability of water and land resources through improved management of Punjab’s water resources and increased productivity of irrigated agriculture. The program is repairing irrigation infrastructure and improving surface water management practices.

Project Name Punjab Irrigated Agriculture Investment Program – Tranche 4
Project Number 37231-044
Country Pakistan
Project Status Closed
Project Type / Modality of Assistance Loan
Source of Funding / Amount
Loan 3351-PAK: Punjab Irrigated Agriculture Investment Program Tranche 4
Ordinary capital resources US$ 26.57 million
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Drivers of Change Governance and capacity development
Knowledge solutions
Sector / Subsector

Agriculture, natural resources and rural development / Irrigation

Gender Equity and Mainstreaming No gender elements
Description ADB approved a multitranche financing facility (MFF) for the Punjab Irrigated Agriculture Investment Program for $900 million in December 2006 (reduced to $700 million in 2011 following amendment in MFF). Three tranches of total $538 million were approved. The proposed tranche is fourth and last tranche (T4), will meet $26.6 million cost overruns in T1 and remains within the MFF balance of $162 million. The T4 is classified category C for environment, involuntary resettlement, and indigenous peoples safeguards. The climate change classification is Medium as the region experienced recurring major flood events and may face future water stress. For knowledge solutions, groundwater management plan is developed in the project.
Project Rationale and Linkage to Country/Regional Strategy The infrastructure has seriously deteriorated due to (i) age (much is nearly 100 years old); (ii) no asset management planning; and (iii) chronic underfunding and ineffective implementation of O&M. The poor condition of some large infrastructure poses serious risks, yet the deteriorated system more generally means unreliable irrigation service delivery, particulary to the tail ends of the canals. Farmers have adapted to unreliable and inadequate canal water by developing private tubewells.
Impact Increased agricultural production and farm income in Lower Bari Doab Canal (LBDC) command area.
Project Outcome
Description of Outcome LBDC command area receives a sustainably improved delivery of water services and management.
Progress Toward Outcome The only newly awarded contract under loan is ICB-06A is substantially completed with overall physical progress of 93%. The rest of the loan financing covers cost overrun of Project 1 (Loan 2299-PAK)).
Implementation Progress
Description of Project Outputs

Balloki Barrage rehabilitated on revised time schedule and within budget based on the detail design and model studies.

A groundwater management plan and conjunctive use strategy for LBDC is operational.

Farmers use improved on-farm water management practices.

LBDC and distribution system rehabilitated on revised time schedule and within budget based on detail design.

Due diligence of subsequent tranches.

Area Water Board (AWB) and Farmers Organizations (FOs) take responsibility for operations of canal systems.

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

The progress with respect to the Project Outputs as defined in the design monitoring framework is as given below:

Output 1: Balloki Barrage rehabilitated on time and within budget

Output Indicator 1: Barrage reliably diverts up to a sanction discharge of 278 m3s-1 to LBDC by 2015

Progress Status:

The contractor achieved 96% progress and civil work is substantially completed.

Output Indicator 2: Barrage's safe flood capacity increased from 6400 m3s-1 in 2009 to 7000 m3s-1 in 2015

Progress Status:

Discharge capacity at Head for BS Link increased by 10,000cs by constructing an additional Head Regulator.

Output 2: A groundwater management plan and conjunctive use strategy for LBDC is operational

Output Indicator 1: Groundwater data base in use by PID by 2015

Progress Status:

Output achieved. Groundwater data base and model have been developed and handed over to PID, staff has been trained, and database and model are being used by PID.

Output Indictor 2: Groundwater model in use by PID by 2015

Progress Status:

Activity completed 20 months before original schedule.

Output Indicator 3: By 2015 PID uses guidelines for groundwater use

Progress Status:

Output achieved.

Output 3: Farmers use improved on-farm water management practices

Output Indicator: 40 demonstration plots established on 200 ha by 2015.

Progress Status:

Output overachieved. 53 Demonstration plots have been established, each plot is 40 ha. completed in Q3 2013 - two years ahead of the original project schedule. Field programs such as: Laser land leveling, Raised bed plantation, Soil nutrient profile determination, and Conjunctive use of groundwater and its treatment techniques have been completed on 30 Sep 2013.

Output 4: The LBDC and distribution system rehabilitated on time and within budget.

Output Indicator: 1700 km main and distributary canals and 3000 appurtenant structures rehabilitated by 2015

Progress Status:

The rehabilitation works comprises 201 km of main canal and 2,264 km of distribution system. The 201 km of main canal have been completed under three contracts; ICB-01,-02,-03. Work of a total 2,264 km length of Distributaries & Minors has been awarded. Of the awarded R&U work on Distribution System, 1,919 km has been completed while work on 345 km is in progress.

The number of appurtenant structures were reduced from 3,500 to 2,258 after doing the revised condition survey during canal closure between Dec 2015 Jan 2016. Of the revised scope of the 2,258 structures, work is completed on 214 structures of Main Canal and 1,317 structures on distribution system while work on remaining 727 structures of distribution system under contracts ICB-04, ICB-05, ICB-06A & ICB-06B is on-going.

Output 5: Due diligence of subsequent tranches

Output Indicator: Seven Subprojects prepared

Progress Status:

1. Tranche 2 for New Khanki Barrage approved in Q4 2011

2. Tranche 3 for Suleimanki Barrage and Pakpattan Canal Improvement Project approved in Q4 2012

3. Trimmu-Panjnad (Stand alone) approved in Q3 2014

4. Pakpattan Distribution System for $120 million. Project is ready:

a. Feasibility study, detail design and PC-1 prepared .

b. Climate change assessment study to be carried out as it became requirements now. Project is ready.

5. Thal Canal ($250 million): Project is ready:

a. Feasibility study, and detailed design completed.

b. PC-1 is under preparation.

c. Climate change assessment study yet to be carried out.

6. Cholistan Water Resources Development Project:

a. Feasibility study is in progress.

7. Link Canals Remodeling:

a. Feasibility study is substantially completed.

Output 6: Area Water Board (AWB) and Farmers Organizations (FOs) take responsibility for operations of canal systems.

Output Indicator: One AWB, 50 FOs and more than 3000 Khal Punchayats (KPs) established by 2015

Progress Status:

Output overachieved. Against a target of establishing one AWB, 50 FOs and 3,000 KPs, the Project was able to establish one AWB, 53 FOs, and 3,779 KPs.

Geographical Location Punjab
Safeguard Categories
Environment C
Involuntary Resettlement C
Indigenous Peoples C
Summary of Environmental and Social Aspects
Environmental Aspects An EMP was prepared that addresses impacts of the Project to enhance project benefits and to introduce standards of good practice to be adopted for all project works. The EMP, alongwith all other activities and outputs from the Project, also provide guidance for subsequent projects to be taken up under the program. The overall responsibility for compliance with the EMP rests on the PID.
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design Stakeholders, beneficiaries, and people directly affected have been consulted during finalization of project design and implementation. A participatory and consultative methodology was adopted to undertake social analysis during the project preparatory technical assistance. It involved (i) initial field reconnaissance discussions with project stakeholders, (ii) focus group discussions with women in core subproject areas, (iii) detailed household survey with male respondents in core subproject areas, (iv) key informant interviews, and (v) detailed survey questionaires of households directly affected by land acquisition and civil works on the rights-of- way.
During Project Implementation Farmer Organizations (FOs) and Water User Associations (WUAs) have been formed. FOs are participating in rehabilitation and upgradation of distributory and main canals. They are also responsible for i) collecting water charges (Abiana) and ii) operation and management.
Responsible ADB Officer Zafar, Asad A.
Responsible ADB Department Central and West Asia Department
Responsible ADB Division Pakistan Resident Mission
Executing Agencies
Punjab Irrigation Department
c/o Superintending Engineer
Link Canal Circle, Canal Bank
Mughalpur, Lahore, Pakistan
Concept Clearance -
Fact Finding -
MRM 30 Oct 2015
Approval 08 Dec 2015
Last Review Mission -
Last PDS Update 27 Sep 2017

Loan 3351-PAK

Approval Signing Date Effectivity Date Closing
Original Revised Actual
08 Dec 2015 14 Dec 2015 11 Jan 2016 30 Jun 2017 30 Sep 2017 28 Dec 2017
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 29.97 Cumulative Contract Awards
ADB 26.57 08 Dec 2015 22.77 0.00 99%
Counterpart 3.40 Cumulative Disbursements
Cofinancing 0.00 08 Dec 2015 22.93 0.00 100%

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