Pakistan: Preparing Kurram Tangi Integrated Water Resources Development Project

Sovereign Project | 52051-003

The PRF will conduct all due diligence, including safeguard assessments, and prepare due diligence and safeguard documents that the government and ADB need to approve for the project. This will include update of land acquisition and resettlement plan, environment impact assessment, financial and economic analysis, and gender action plan.

The PRF will also help prepare procurement documents and implement procurement activities. This will include support to the executing and implementing agencies in carrying out (i) bidding process, specifically advance procurement actions before ADB Board approval of the ensuing project; and (ii) start-up activities such as the recruitment of project implementation support consultants and/or staff.

Project Details

  • Project Officer
    Zhou, Yaozhou
    Central and West Asia Department
    Request for information
  • Approval Date
    15 November 2021
  • Country
    Pakistan
  • Sector
    • Agriculture, natural resources and rural development
Project Name Preparing Kurram Tangi Integrated Water Resources Development Project
Project Number 52051-003
Country Pakistan
Project Status Approved
Project Type / Modality of Assistance Loan
Source of Funding / Amount
Loan 6041-PAK: Preparing Kurram Tangi Integrated Water Resources Development Project
Ordinary capital resources US$ 5.00 million
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Drivers of Change Governance and capacity development
Sector / Subsector

Agriculture, natural resources and rural development / Agricultural production - Irrigation - Land-based natural resources management

Energy / Large hydropower generation

Gender Equity and Mainstreaming No gender elements
Description

The PRF will conduct all due diligence, including safeguard assessments, and prepare due diligence and safeguard documents that the government and ADB need to approve for the project. This will include update of land acquisition and resettlement plan, environment impact assessment, financial and economic analysis, and gender action plan.

The PRF will also help prepare procurement documents and implement procurement activities. This will include support to the executing and implementing agencies in carrying out (i) bidding process, specifically advance procurement actions before ADB Board approval of the ensuing project; and (ii) start-up activities such as the recruitment of project implementation support consultants and/or staff.

Project Rationale and Linkage to Country/Regional Strategy

Pakistan is not a water secure country. It is close to the water scarcity threshold of 1,000 cubic meters per person per year. The country's water security is undermined by poor water resources management, weak water services delivery, including irrigation and drainage services, poor water data and analysis, weak planning and allocation, pollution, and low water productivity.

The agriculture sector in Pakistan contributes 18.5% to the country's gross domestic product (GDP) and provides employment for approximately 38.5% of the labor force. Agriculture remains the main source of livelihood for the majority of Pakistan's rural population. Over the last decade, the performance of the sector has remained subdued due in part to inadequate water availability. The agriculture sector uses 90.0% of the available water. The irrigated agriculture produces 80.0% of the total food requirements and contributes to around $22 billion to annual GDP. Khyber Pakhtunkhwa province, where the project is located, has 17% of the country's population and contributes up to 10.5% to the country's GDP. About 22.0% of Khyber Pakhtunkhwa province's GDP is from the agriculture sector, which also provides jobs to about 37.0% of the labor force in the province. Nearly 80.0% of the province's population lives in rural and peri-urban areas, where about 85.0% directly or indirectly earn their livelihood from agriculture.

The country's energy sector is a constraint to economic growth. Currently, around 60 million people have no access to energy. Hydropower only accounts for 27% of the total energy produced in the country. In addition to potential water scarcity and the energy crisis, climate change is posing various challenges to Pakistan's water and energy sectors. It is expected that in the near future, Pakistan's hydrological cycle will be impacted due to global warming, which will alter the timing and intensity of extreme events (flood, droughts, heatwaves, high winds, and cyclones etc.). Use of diesel pumps for groundwater extraction and energy production using oil produce greenhouse gases into atmosphere and will intensify warming. There is a need to produce more green energy to cater for the current and future energy needs.

The Government of Pakistan has requested project readiness financing (PRF) from the Asian Development Bank (ADB) to prepare the ensuing Kurram Tangi Integrated Water Resources Development Project. The ensuing project is a priority for the government and is aligned with ADB's Strategy 2030, addressing poverty and inequality, climate change and disaster risk management, rural development and food security, and strengthening governance and institutional capacity. The government's Vision 2025, and ADB's Country Partnership Strategy (2020 2025), all emphasize the need for water, energy and food security, reducing rural poverty and enhancing rural livelihoods, and reducing regional growth disparities.

The PRF will ensure high project readiness of the ensuing project, thereby facilitating the timely and cost- effective achievement of the project outcomes. The PRF and the ensuing project are listed in the country operations business plan (COBP), 2021 2023 for Pakistan. The government approved the Planning Commission Proforma-II for the proposed PRF in June 2021. ADB's value addition will include (i) capacity development for improved water resources management; (ii) updating environmental impact assessment, land acquisition and resettlement plan, gender action plans with a special focus on gender equality in line with detailed design; (iii) ensuring climate-resilient designs; (iv) integration of command area development with the key water storage and irrigation infrastructure; and (v) demonstration of digital technologies, modernized irrigation, and climate smart agriculture practices.

Impact
Project Outcome
Description of Outcome
Progress Toward Outcome
Implementation Progress
Description of Project Outputs
Status of Implementation Progress (Outputs, Activities, and Issues)
Geographical Location North Waziristan
Summary of Environmental and Social Aspects
Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design
During Project Implementation
Business Opportunities
Consulting Services WAPDA will recruit all consultants following the ADB Procurement Policy (2017, as amended from time to time), Procurement Regulations for ADB Borrowers (2017, as amended from time to time. Value for money shall be achieved by making use of advance contracting and open competitive bidding procedures for consultant recruitment.
Procurement No procurement of civil works
Responsible ADB Officer Zhou, Yaozhou
Responsible ADB Department Central and West Asia Department
Responsible ADB Division Environment, Natural Resources & Agriculture Division, CWRD
Executing Agencies
Water and Power Development Authority
701 WAPDA House
Lahore, Pakistan
Timetable
Concept Clearance 19 Nov 2018
Fact Finding 24 Jun 2021 to 05 Jul 2021
MRM 21 Sep 2021
Approval 15 Nov 2021
Last Review Mission -
Last PDS Update 15 Nov 2021

Loan 6041-PAK

Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 7.70 Cumulative Contract Awards
ADB 5.00 - 0.00 0.00 %
Counterpart 2.70 Cumulative Disbursements
Cofinancing 0.00 - 0.00 0.00 %

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 Access to Information Policy (AIP) 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.

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None currently available.


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.

None currently available.


Evaluation Documents See also: Independent Evaluation

None currently available.


Related Publications

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The Access to Information Policy (AIP) 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.

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Contracts Awarded

No contracts awarded for this project were found


Procurement Plan

None currently available.