The Cubango-Okavango River Basin Multi-Sector Investment Opportunities Analysis

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The Cubango-Okavango River Basin Multi-Sector Investment Opportunities Analysis WATER GLOBAL PRACTICE About the Water Global Practice Launched in 2014, the World Bank Group’s Water Global Practice brings The Cubango-Okavango River Basin together financing, knowledge, and implementation in one platform. Public Disclosure Authorized Multi-Sector Investment Opportunities Analysis By combining the Bank’s global knowledge with country investments, this model generates more firepower for transformational solutions to help countries grow sustainably. Summary Report Please visit us at http://www.worldbank.org/wateror follow us on Twitter at @WorldBankWater. 1 Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized SKU W19022 About the Water Global Practice Launched in 2014, the World Bank Group’s Water Global Practice brings together financing, knowledge, and implementation in one platform. By combining the Bank’s global knowledge with country investments, this model generates more firepower for transformational solutions to help countries grow sustainably. Please visit us at www.worldbank.org /water or follow us on Twitter at @WorldBankWater. About GWSP This publication received the support of the Global Water Security & Sanitation Partnership (GWSP). GWSP is a multidonor trust fund administered by the World Bank’s Water Global Practice and supported by Australia’s Department of Foreign Affairs and Trade; the Bill & Melinda Gates Foundation; the Netherlands’ Ministry of Foreign Affairs; the Rockefeller Foundation; the Swedish International Development Cooperation Agency; Switzerland’s State Secretariat for Economic Affairs; the Swiss Agency for Development and Cooperation; U.K. Department for International Development and the U.S. Agency for International Development. Please visit us at www.worldbank.org /gwsp or follow us on Twitter #gwsp. About CIWA The Cooperation in International Waters in Africa (CIWA) was established in 2011 and represents a partnership between the World Bank, its African partners, and the governments of Denmark, the European Commission, Norway, Sweden, the Netherlands, and the United Kingdom. CIWA supports riparian governments in Sub-Saharan Africa to unlock the potential for sustainable and inclusive growth, climate resilience, and poverty reduction by addressing constraints to cooperative management and development of international waters. www.worldbank.org/africa/ciwa The Cubango-Okavango River Basin Multi-Sector Investment Opportunities Analysis Summary Report © 2019 International Bank for Reconstruction and Development / The World Bank 1818 H Street NW, Washington, DC 20433 Telephone: 202-473-1000; Internet: www.worldbank.org This work is a product of the staff of The World Bank with external contributions. The findings, interpretations, and conclusions expressed in this work do not necessarily reflect the views of The World Bank, its Board of Executive Directors, or the governments they represent. The World Bank does not guarantee the accuracy of the data included in this work. The boundaries, colors, denominations, and other information shown on any map in this work do not imply any judgment on the part of The World Bank concerning the legal status of any territory or the endorsement or acceptance of such boundaries. Rights and Permissions The material in this work is subject to copyright. Because The World Bank encourages dissemination of its knowledge, this work may be reproduced, in whole or in part, for noncommercial purposes as long as full attribution to this work is given. Please cite the work as follows: World Bank. 2019. “The Cubango-Okavango River Basin Multi-Sector Investment Opportunities Analysis: Summary Report.” World Bank, Washington, DC. Any queries on rights and licenses, including subsidiary rights, should be addressed to World Bank Publications, The World Bank Group, 1818 H Street NW, Washington, DC 20433, USA; fax: 202-522-2625; e-mail: pubrights @ worldbank.org. Cover photos: Mokoro canoe, © Nadege / Bigstock; donkey cart, pxhere; river, wynand-uys / Flickr. Cover design: Bill Pragluski, Critical Stages, LLC. Contents Acknowledgments v Abbreviations vi Executive Summary vii Chapter 1 Toward Shared Prosperity 1 Chapter 2 The River Today 5 Chapter 3 The River Tomorrow 9 Chapter 4 Finding the Balance 13 Chapter 5 Defining the Development Space 19 Chapter 6 Basin Development Scenarios 27 Chapter 7 Negotiating the Development Space 29 Chapter 8 Pathways to Shared Prosperity 31 Chapter 9 Realizing the Vision 41 References 43 Boxes 5.1. Detailed Description of BDS 19 8.1. Community-Based Natural Resource Management Project: Conservation Agriculture 33 8.2. The Kavango-Zambezi Transfrontier Conservation Area (KAZA TFCA) 35 Figures 1.1. MSIOA Contribution within the Framework of OKACOM Cooperation and Development in the Cubango-Okavango River Basin 3 3.1. Climate Change Projections for the Cubango-Okavango River Basin in 2050 12 6.1. Comparing Environmental Integrity and Economic Benefit of Basin Development Scenarios 28 7.1. Cubango-Okavango River Basin Transboundary Diagnostic Analysis Representation of the Development Space Based on Conceptual Limits of Acceptable Hydrological Change 29 The Cubango-Okavango River Basin Multi-Sector Investment Opportunities Analysis iii 7.2. Defining the Multidimensional Development Space 30 B8.1.1. Yields among Angola Farmers with and without Conservation Agriculture 33 8.1. Project Development Pathway for a Joint Water Infrastructure Project 39 Maps 1.1. The Cubango-Okavango River Basin with Sub-Basins 2 2.1. Poverty within Member States and the Cubango-Okavango River Basin 6 3.1. Mean Annual Rainfall, Southern Africa 10 4.1. Potential Developments in the Cubango-Okavango River Basin 15 4.2. Schematic of Abstraction from the Kavango to Augment Water Supply under the Central Area of Namibia Project 16 5.1. Illustration of Near-Pristine and Over-Developed States of the Cubango-Okavango River Basin (Present Ecological State Categories) 24 8.1. Kavango-Zambezi Transfrontier Conservation Area 35 8.2. Schematic of Potential Cross-Border Benefit Sharing of the Mucundi Dam as an Indicative Joint Development Project Dam 38 Tables 2.1. Physical, Social, and Economic Parameters among Member States 5 4.1. Hydropower Projects in the MSIOA Basin Development Scenarios 16 5.1. Basin Development Scenarios used in the MSIOA 21 5.2. Sample Comparison between Basin Development Scenarios 3 and 6 22 5.3. Definitions of Current Ecological State Categories 23 5.4. Baseline Livelihood Values of Population 25 6.1. Key Indicators for Basin Development Scenarios 27 8.1. Contributions of Tourism to Member States’ Economies, 2015 34 8.2. Benefits for OKACOM emberM States from Joint Development of the Mucundi Dam 37 9.1. The Cubango-Okavango River Basin Recommended Joint Actions 41 iv The Cubango-Okavango River Basin Multi-Sector Investment Opportunities Analysis Acknowledgments The Cubango-Okavango River Basin Multi-Sector Investment Opportunities Analysis (MSIOA) rep- resents the culmination of a series of cooperative consultations and contributions from a range of differ- ent individuals and partner organizations. The team is grateful for the inputs, contributions, and consultations from all involved. The findings, interpretations, and conclusions expressed in this work do not necessarily represent the views of these individuals or their organizations. The OKACOM Secretariat participation was led by Ebenizário Chonguiça (Executive Secretary) along- side Sekgowa Motsumi (Programme Coordinator) and Shirley Selolwane (Finance and Administration Officer) under the guidance of the Okavango River Basin Steering Committee (OBSC) and the leadership of the Permanent Okavango River Basin Water Commission (OKACOM). The World Bank team was led by Marcus Wishart (Senior Water Resources Specialist) and Ijeoma Emenanjo (Natural Resource Specialist), and included Cecil Nundwe (Water Resource Specialist), Louise Croneborg (Water and Climate Advisor), Jemima Harlley (Program Assistant), Davies Saruchera (Researcher), and Rachel Ort (Public Sector Specialist). The technical analyses and modeling were car- ried out by Economic Consulting Associates of the United Kingdom, led by Peter Robinson, and JG Afrika of South Africa, led by Simon Johnson. The work was implemented under the leadership of Jonathan Kamkwalala (Practice Manager) of the World Bank with valuable guidance provided by Guang Zhe Chen (Country Director for Botswana and Namibia) and Clara Ana Coutinho De Sousa (Country Manager for Angola). Valuable contributions and guidance were provided by the following peer review- ers: Mary Lisbeth Gonzalez, Senior Social Development Specialist (GFADR); Hikuepi Epi Katjiuongua, Senior Agriculture Economist Specialist (GFADR); and Jacqueline Marie Tront, Senior Water Resources Management Specialist (GWADR). The assessment has been informed by the time, resources, and information made available by the Member States, various government agencies and individuals, and stakeholders within the Cubango- Okavango River Basin. While the views presented do not represent those of the individuals or agencies, the team is grateful for the contributions and insights provided. The team is grateful for the financial support from the multi-donor trust fund for Cooperation in International Waters in Africa (CIWA), Sweden through the support to OKACOM, and DFID through the Climate Resilient Infrastructure Development Facility (CRIDF), specifically Charles Reeve and Bruce Mead. The Cubango-Okavango River Basin Multi-Sector Investment Opportunities Analysis v Abbreviations
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