The investment program will improve water availability to meet competing water demands in selected river basins in the state of Karnataka by implementing integrated water resources management (IWRM). It will improve water use efficiency in irrigated agriculture to provide economic opportunities to improve rural incomes.
|Project Name||Karnataka Integrated and Sustainable Water Resources Management Investment Program|
|Project Type / Modality of Assistance||Loan
|Source of Funding / Amount||
|Strategic Agendas||Environmentally sustainable growth
Inclusive economic growth
|Drivers of Change||Governance and capacity development
|Sector / Subsector||
Agriculture and Natural Resources - Agriculture, natural resources and rural development
|Gender Equity and Mainstreaming||Effective gender mainstreaming|
|Description||The investment program will improve water availability to meet competing water demands in selected river basins in the state of Karnataka by implementing integrated water resources management (IWRM). It will improve water use efficiency in irrigated agriculture to provide economic opportunities to improve rural incomes.|
|Project Rationale and Linkage to Country/Regional Strategy||
The state of Karnataka, in the south of India, has a population of 61.1 million and covers an area of 191,976 square kilometers (5.83% of the area of India). It is home to one-third of information technology of India and other service industries, and has a gross state domestic product (GSDP) at current prices of $97.1 billion (FY2012). The main contribution (about 53% in FY2012) to GSDP is from the service sector. The contribution of agriculture to GSDP is relatively small, at 16% in FY2012, and in a declining trend (from about 30% in FY2001). However, agriculture remains the main source of employment for 55% of the population and about 75% of the rural population. The state population is urbanizing; the urban population has increased from 34% to 39% from 2001 to 2011. The changing industrial structure and urbanization have had significant impact on the water balance in the state.
Competing Demands for Water Resources. The state is water-stressed, with increasing water demands from urban and industrial sectors. This is exacerbated by uneven spatial and temporal distribution of water resources and the predicted impacts of climate change. Although Karnataka has two major river basins (the Krishna and Cauvery), its water resources are limited (about 1,072 cubic meters [m3]/person/year in eastward flowing rivers). Droughts are frequent and 70% of the annual rainfall occurs from June to September. The water demand (particularly for industry and household water) is projected to increase by 40% from 37,419 million m3 in 2000 to 52,366 million m3 in 2025. These demands will cause a decline in the agricultural proportion of total water from 84% in 2000 to 73% by 2025. Meeting the anticipated rise in demand is a major challenge which, if unmet, may constrain sustainable economic growth.
Irrigated Agriculture. About 3.09 million hectares of land is under irrigation in Karnataka and over 84% of state water resources are used for agriculture. However, cropping intensities (110% to _125%) and water use efficiency (40%) are low, and the gross area irrigated in 2009_ to 2010 is about 59% of the potential area. The irrigation sector suffers from deficient infrastructure (resulting from insufficient maintenance and lack of water control structures), management constraints (low service quality of operators), and limited promotion of water-saving crops and practices. Efficient distribution is impeded by inadequate implementation of command area development works and low participation of water users cooperative societies (WUCSs) in irrigation management. Improving irrigation water productivity requires (i) increasing water use efficiency, (ii) reducing the gap between the actual and potential area that can be irrigated, and (iii) promoting water-efficient techniques and technologies like drip irrigation. Greater efficiency will be required in water used for agriculture to meet the demands of other users, such as industry.
Vulnerability to Climate Change. The predicted impacts of climate change for Karnataka include increased temperatures and increased mean annual rainfall, and decreased and more variable monsoon rainfall. Overall, the investment program area is found to be vulnerable to increased incidence of seasonal droughts. This will heighten the requirement for a well-planned and methodical approach to water resources management. An integrated approach to water resources management is a means to reconcile varied and changing water uses and demands since it provides greater flexibility and adaptive capacity than conventional water resources management approaches.
Road Map, Investment Program, and Lending Modality. An IWRM road map will guide the strengthening of institutional and policy frameworks, capacity building, and development of modernized infrastructure. The road map, developed in consultation with senior management of Karnataka''s Water Resources Department (WRD) during project preparation, combines the Karnataka state water policy, 2002; the state medium-term plan; and the National Water Mission, 2011 to guide water sector investments of the state government'. The road map, through physical and nonphysical investments, will support the state to meet its objective of improved water resources management with milestone performance targets. To achieve this, the state has proposed an ambitious budget allocation of about $8.5 billion during FY2014 to _FY2018 (in FY2014, the budgeted allocation is $2.06 billion). The government has requested the Asian Development Bank (ADB) to contribute to the investment program through an MFF, which is well suited for this investment as it is the most effective modality to (i) provide a longer-term lending instrument suited to IWRM process; (ii) afford flexibility in terms of project scope, timing, and size, which may be adjusted to meet emerging priorities of the road map; and (iii) provide sufficient time for institutional strengthening in IWRM for key agencies and water users.
Strategic Context, Link to Government, and ADB Strategies. The medium-term plan of the state of Karnataka emphasizes greater visibility of agriculture and allied activities to increase rural incomes, and achieve a sustainable and orderly process of industrialization and urbanization for poverty reduction and sustained human development. The water policy of 2002 of the state aims for holistic water resources planning, development, and management to be undertaken for each hydrological unit. The National Water Mission, 2011; National Water Policy, 2012; and the Twelfth Five-Year Plan, 2012_ to 2017 all support the requirement for integrated planning of water resources across various users.
The investment program is consistent with ADB's Midterm Review of Strategy 2020 and country partnership strategy, 2013 to _2017 for India by reinforcing core areas of operations, like infrastructure development for water resources management, investing in irrigation infrastructure to enhance value addition in agriculture, and developing measures to increase water use efficiency. The investment program is also in accordance with the ADB Water Operational Plan, 2011_ to 2020. It will improve water governance by embedding IWRM as an adaptive management process, including for climate change adaptation; and improve water use efficiency to increase availability for competing uses.
The state has a number of enabling factors to adopt an IWRM approach, including (i) recognition of the scarcity of, and threats to, water resources; (ii) progressive policy statements; (iii) major investments in water resources infrastructure; (iv) technical capacity; and (v) a progressive outlook, as exemplified by semi-independent institutions of the state WRD like the irrigation corporations or nigams, command area development authorities (CADAs), and the Advanced Centre for Integrated Water Resources Management (AC-IWRM).
Improvements in urban water management will be addressed under a separate ADB-financed investment program. The two investment programs will be closely coordinated through the AC-IWRM.
|Impact||improved sustainable water security in selected river basins in Karnataka.|
|Description of Outcome||integrated water resources management successfully implemented in selected river basins in Karnataka.|
|Progress Toward Outcome||Project 1 (Loan 3172-IND) was approved on 17 October 2014 and declared effective on 13 July 2015. As such, it is too early to assess progress toward outcome.|
|Description of Project Outputs||
State and basin institutions strengthened for IWRM
Irrigation system infrastructure and management modernized
Program management systems operational
|Status of Implementation Progress (Outputs, Activities, and Issues)||Activities under the first tranche are ongoing.|
Summary of Environmental and Social Aspects
|Stakeholder Communication, Participation, and Consultation|
|During Project Design||ADB initiated a consultation process as an opportunity to get information, as well as to learn about the local context in which a project will take place, to raise issues and concerns, ask questions, and potentially help shape the project by making suggestions for the ADB to consider and respond to. Further, participation and consultation (P&C) process was undertaken to help increase the level of support for the Project and related activities from a range of stakeholders, to speed up processing and reduce challenges during implementation. P&C is also expected to improve the effectiveness, relevance, and sustainability of development activities in the long run.|
|During Project Implementation||
The participation and consultations (P&C) process is aimed at informing the stakeholders of the project plans and activities. Consultations and communication will be a continuous agenda and an integral part of the project. To ensure this, the Program Communication Plan will be an instrument to carry forward the P&C process.
The Program Communication Plan covers a range of communication needs of the project. First, it delineates the stakeholder consultation process to be adopted by project management to facilitate awareness and participation for effective project implementation and safeguards. Second, it addresses the need to introduce and explain the project to a wide range of audiences who can influence and affect an enabling environment for the project. Finally, it also informs the general public in the State and outside about the IWRM-based water management actions being initiated by the government to elicit their support, knowledge and participation.
|Consulting Services||Consulting services will provide technical support for program implementation. The three main consulting services packages will be for the (i) project support consultants (PSCs), (ii) integrated water resources management (IWRM), and (iii) services for monitoring and evaluation (including environmental and effects monitoring). The PSCs will be initially engaged for 4 years under project 1 and another 3 years under project 2. Firms will be recruited using the quality- and cost-based selection method.|
|Procurement||All procurement of works and equipment will be undertaken in accordance with ADB's Procurement Guidelines (2013, as amended from time to time), while recruitment of consultants and other services will be undertaken in accordance with ADB's Guidelines on the Use of Consultants (2013, as amended from time to time). Civil works include modernization of irrigation infrastructures on the Gondi, Vijaynagara and Tungabhadra Left Bank Canal (TLBC) subprojects. Small community works are planned to be undertaken with water user cooperative societies associated with the minor canal and community area development works.|
|Responsible ADB Officer||Gore, Lance W.|
|Responsible ADB Department||South Asia Department|
|Responsible ADB Division||Environment, Natural Resources & Agriculture Division, SARD|
Karnataka Neeravari Nigam Limited
4th Floor, Coffee Board Building, No. 1, Dr. B R. Ambedkar Beedhi, Bangalore, Karnataka, India
|Concept Clearance||09 Dec 2011|
|Fact Finding||21 May 2013 to 30 May 2013|
|MRM||24 Jul 2013|
|Approval||25 Sep 2014|
|Last Review Mission||-|
|Last PDS Update||28 Jul 2016|
MFF Facility Concept 0085-IND
|Financing Plan||Loan Utilization|
|Total (Amount in US$ million)||Date||ADB||Others||Net Percentage|
|Project Cost||225.00||Cumulative Contract Awards|
Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.
The Public Communications Policy (PCP) recognizes that transparency and accountability are essential to development effectiveness. It establishes the disclosure requirements for documents and information ADB produces or requires to be produced.
The Accountability Mechanism provides a forum where people adversely affected by ADB-assisted projects can voice and seek solutions to their problems and report alleged noncompliance of ADB's operational policies and procedures.
In preparing any country program or strategy, financing any project, or by making any designation of, or reference to, a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.
|Title||Document Type||Document Date|
|Karnataka Integrated and Sustainable Water Resources Management Investment Program - Tranche 1: Gondi Subproject Gender Action Plan||Gender Action Plans||Sep 2014|
|Karnataka Integrated and Sustainable Water Resources Management Investment Program: Report and Recommendation of the President||Reports and Recommendations of the President||Sep 2014|
|Karnataka Integrated and Sustainable Water Resources Management Investment Program: Facility Administration Manual||Facility Administration Manual||Aug 2014|
|Framework Financing Agreement for Karnataka Integrated and Sustainable Water Resources Management Investment Program||Framework Financing Agreement||Jul 2014|
|Karnataka Integrated and Sustainable Water Resources Management Investment Program||Concept Papers||Dec 2011|
Safeguard Documents See also: Safeguards
Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.
|Title||Document Type||Document Date|
|MFF - Karnataka Integrated and Sustainable Water Resources Management Investment Program (Facility)||Resettlement Frameworks||Jun 2013|
|Karnataka Integrated and Sustainable Water Resources Management Investment Program||Environmental Assessment and Review Framework||Jun 2013|
|Karnataka Integrated and Sustainable Water Resources Management Investment Program||Initial Environmental Examination||May 2013|
Evaluation Documents See also: Independent Evaluation
None currently available.
None currently available.
The Public Communications Policy (PCP) establishes the disclosure requirements for documents and information ADB produces or requires to be produced in its operations to facilitate stakeholder participation in ADB's decision-making. For more information, refer to the Safeguard Policy Statement, Operations Manual F1, and Operations Manual L3.
Requests for information may also be directed to the InfoUnit.
Karnataka Gets ADB Loan to Draw Up Comprehensive Water Management PlanADB has approved a $150 million loan facility to help the state of Karnataka draw up a plan to manage strained water resources in key river basins more effectively and fairly.