Initial Environmental Examination

Project Number: 33356 Loan Number: 2780-LAO December 2012

Lao People’s Democratic Republic: Nam Ngum River Basin Development Sector Project

Prepared by the Ministry of Agriculture and Forestry for the Asian Development Bank.

This initial environmental examination is a document of the borrower. The views expressed herein do not necessarily represent those of ADB’s Board of Directors, Management, or staff, and may be preliminary in nature. Your attention is directed to the ‘term of use’ section of this website.

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. Lao People’s Democratic Republic Peace Independence Democracy Unity Prosperity

Nam Ngum River Basin Development Sector Project Additional Financing

INITIAL ENVIRONMENTAL EXAMINATION (UPDATED)

Nam Song Sub-watershed Province

Updated by: Office of the National Project Management Nam Ngum River Basin Sector Project-Additional Financing

December, 2012

i Contents I. Introduction...... 1 II. Description of the project ...... 1 III.Policy, legal, administrative framework ...... 3 IV.Description of the Environment...... 4 4.1 Physical Resource ...... 4 4.1.1 Topography ...... 4 4.1.2 Geology and Soil ...... 5 4.1.3 Climate ...... 6 4.1.4 Water Resource and Quality ...... 7 4.1.5 Water Resource...... 7 4.2 Ecological resources...... 10 4.2.1 Land and Forest...... 10 4.2.2 Biodiversity and wildlife...... 10 4.2.3 Bio aquatic...... 10 4.2.4 Life circle of aquatic ...... 10 4.3 Economic development...... 11 4.3.1 Industrial development...... 11 4.3.2 Infrastructure Facilities (Water Supply, Sewerage) ...... 11 4.3.3 Transportation...... 12 4.3.4 Land use...... 12 4.3.5 Agriculture, livestock and fishery...... 12 4.3.6 Irrigation Scheme...... 12 4.3.7 Forest products (timber and non-timber)...... 13 4.3.8 Tourism...... 13 4.4 Social and cultural resources ...... 14 4.4.1 Population and Community structure ...... 14 4.4.2 Education facilities ...... 14 4.4.3 Health facilities...... 15 4.4.4 Cultural heritage ...... 15 V. Anticipated Environmental Impacts and Mitigation Measure ...... 15 5.1 Method of assessment ...... 15 5.2 Overview ...... 15 5.3 Environmental impacts on Physical...... 15 5.3.1 Soil erosion...... 15 5.3.2 Water Resource...... 16 5.4 Environmental impact on Ecological ...... 16 5.4.1 Forest ...... 16 5.4.2 Environmental Impact on Aquatic...... 16 5.4.3 Impact on Wildlife ...... 17 5.5 Impacts on Economic development ...... 17 5.5.1 Land Use ...... 17 5.5.2 Agriculture, animal husbandry and aquaculture ...... 17 5.5.3 Flooding effect ...... 18 5.5.4 Animal husbandry ...... 18 5.5.5 Aquaculture ...... 18 5.5.6 Impact on Education ...... 18 5.5.7 Impact on Health...... 19 VI.Institutional Requirements and Environmental monitoring Plan ...... 19 6.1 Institutional requirements...... 19 6.2 Respond institution ...... 19 i 6.3 Project Environmental monitoring plan...... 20 5.5.8 Environmental monitoring plan...... 20 5.5.9 Budget and activity plan...... 20 5.5.10 Land allocation...... 21 5.5.11 Environmental Reporting ...... 21 VII. PUBLIC CONSULTATION AND INFORMATION DISCLOSURE...... 21 7.1 Public consultation process...... 21 7.2 information disclosure...... 22 VIII. RECOMMENDATIONS AND CONCLUSIONS ...... 22 8.1 CONCLUSIONS ...... 22 8.2 Recommendations...... 22 Attachment 1: Summary of Environmental Impacts, Mitigation Measures ...... 24

ii List of Abbreviations ADB Asian Development Bank BOL Bank of CPI Committee for Planning and Investment CPC Committee for Planning and Cooperation CEI Community Environmental Improvements DOF Department of Forestry DAFO District Agriculture and Forestry Office DoT Department of Transport DoU Department Urbanization DoA Department of Agriculture DOI Department of Irrigation DOP Department of Personnel DOAE Department of Agricultural extension DoE Department of Education DoA Department of Agriculture ERI Environment Research Institute EPL Environmental Protection Law FAO Food and Agricultural Organization, United Nation GTZ German Foundation for International Development of GeschellshaftfuerTechnischeZuzammenArbeit IEE Initial Environmental Examination IWMU Integrated Water Resources unit IWRM Integrated water Resources Management LDC Least-Developed Country LUP/LA Land Use Planning and Land Allocation MAF Ministry of Agriculture and Forestry MIH Ministry of Health MPV Marginal Productivity Values MOF Ministry of Finance MOJ Ministry of Justice MOE Ministry of Education NAWACOP Nam Gnum Watershed and Conservation Project NNRB Nam Gnum River Basin NTFP Non-Timber Forest Product NNWS Nam Ngum Watershed NEQMP National Environmental Quality Monitoring Program NGPES National Growth and Poverty Eradications Strategy NAFRI National Agriculture and Forestry Research Institute NAFES National Agriculture and Forestry Extension Service NBCA National Biodiversity and Conservation Area OF Office of Forestry OA Office of Agriculture PLUMP/LA Participatory Land Use Planning and Land Allocation PM Prime Minister PNE Potential Negative Effect PAFO Provincial Agriculture and Forestry PPSC Provincial Project Steering Committee PIU Project Implementation Unit PMU Project Management Unit SOER State of Environment Report STEA Science Technology and Environment Agency TA Technical Assistance VODF Village Own Development Fund WRCC Water Resource Coordination Committee iii I. Introduction

Nam Ngum River Basin Development Sector Additional Financing (Project) is financed by Asian Development Bank (ADB). It covers 10 districts of 3 provinces (Vientiane, LuangPrabang and Xiengkhuoang Provinces).Project activities are implemented through three components and one office of the national project management: Component 1: Integrated Water Resources Management (IWRM) conducted by the Department of Water Resources (DWR), Ministry of Natural Resources and Environment (MoNRE).It is intended to build capacity in integrated water resource management, including river basin planning and management at the scale of both smaller sub-basin and larger river basins. Integrated river basin management includes developing a river basin plan which coordinates the activities and interests of the various water user sectors including the environment. Component 2: Integrated Watershed Management Unit (IWMU) under Department of Planning and cooperation, Ministry of Agriculture and Forestry. Component’s main activities assist in incorporating watershed landscape continuum plans developed under the previous project in district development programs. The activities are disseminate WLCPs to communities through the village development planning process, train district staff in preparing and revising district land use zoning in accordance with the WLCPs to promote environmentally sustainable land use, and update WLCPs based on the development process of district land use plans and sub-basin management plans. Component 3: Agriculture Extension Component assigned under the Ministry of Agriculture and Forestry. Component’s activities assist in enhance KESC operational capacity and sustainability, and increasing their beneficiaries intensive support will be provide to 23 KESCs in 10 district within the NNRB which are relatively poor and remote. The KESCs covers 230 villages, which had supported under previous project, and 50 additional villages. This document provides an updated initial environment examination of the Xong River Sub- watershed under the NNRBDS-AF. The updated IEE is prepared according to ADB’s Safeguard Policy Statement of June 2009 and the IEA decree of April 2010. Potential impacts have been analyzed and mitigation measures identified following a visits and collection and examination of secondary information sources. The visit included inspection of of project activities and discussions with district agriculture and forestry office, chief of villages and was undertaken jointly with infrastructure engineer from the agriculture and forestry extension component.

II. Description of the project

NNRB-AF covers a large area, about 16,906km2, in north-central Lao PDR, including Vieniane.Geographically, the hydraulic boundary of the NNRB cuts across the administrative boundaries of Xiengkhouang, Vientiane Provinces, Vientiane capital and the small southern tip of Luangprabang Province. It is the most important river basin in the country for several reasons, is the first large river basin where water resources were utilized significantly through inter-river and inter-watershed diversions, reservoir management, hydropower generation, and irrigation. NNRB is divided into 21 sub-watershed based on a combination of hydrologic boundaries adjusted for district boundaries for the purpose of data collection and administrative management.

Nam Song sub-watershed is one of these sub-watershed, has total area about 131,361 ha which located in the north direction of Vangvieng District. At the north, it is Nam Lik and Nam Ting sub watershed. At the East, it is Nam Meuy and Nam Phaykamang sub watershed. At the south, it is Nam Pair, Nam Lik and Nam Ting sub watershed, and at the west, it is Yotlik and Nam Lik. Detail of Nam Xong sub-watershed shown in figure below.

1 2 III. Policy, legal, administrative framework

The law governing the protection of the environment, including the assessment and management of projects, is the Environmental Protection Law (EPL), 1999. An update was prepared and released in 2013, reflecting rapid economic growth and socioeconomic development and the need to address increasing conflict and social impacts as well as pollution issues with some larger projects, increasing foreign investment, and climate change. Responsibilities and procedures for Environmental Assessment, together with requirements for environmental monitoring of projects, have been revised and are set out in a new Decree on Environmental Impact Assessment (EIA decree), dated April 2010. The EIA decree states that all investment projects that may create adverse environmental and social impacts, are to be designed with the correct and appropriate environmental and social impact prevention and mitigation measures or environmental management and monitoring plans (EMMP) and social management and monitoring plans (SMMP) (Article 1). According to the decree, primary responsibility for undertaking environmental assessment of projects is with the Office of the National Project Management (ONPM), which for this project is the Ministry of Agriculture and Forestry (MAF). The Ministry of Environment and Natural Resources (MoNRE), acting through the provincial Department of Environment and Natural Resources (DoNRE) is responsible for review and approval of environmental assessment reports, co-ordination of monitoring and evaluation, and issuance of compliance certificates. Public participation and discussion with local administrations is required throughout the environmental assessment process.

Investment projects are categorized according to a schedule to the EIA decree into category 1 –small scale, requiring an initial environmental examination (IEE) or category 2 – large scale, requiring an environmental impact assessment (EIA). The schedule lists irrigation scheme, access road improvement, and water supply (item 2.3, 4.14, 3.52, respectively) as category 1.

Table 1.Key Environmental Laws

Legislations and Scope Key Contents key ministry responsibilities Forestry Law Principles, regulations and GoL is responsible for administration and (1996) standards for the use of allocation of natural forests and forest Ministry of forest lands and lands. Approval from authorized agency Agriculture and resources is required for individuals and Forestry Promotes the organizations to possess and use natural conservation and forests rehabilitation of forest Individuals and organizations have resources obligation to preserve forest resources Defines roles and including water sources, marine animals authorities of forest and wildlife management and inspection organizations. Water and Water Management, exploitation, MAF is responsible for the survey and Resource Law development, and use of inventory of water resources (1996) water and water Scale of water use is classified into small, WRCC, MAF resources with the aim to medium and large. Permit is required for protect and sustain them. medium and large scale. Land Law (1997) Rules on management, All individuals and organizations have protection and use of obligation to protect the land to ensure MAF, MIH, land. that there is no soil erosion, soil MCTPC, MIC, degradation and negative impact on the MND, MoInt, MF natural or social environment

3 Mining Law (1997) Mining and processing of Licensees have obligations to preserve MIH/DGM minerals for local and restore the land utilized during consumption and export mining and to rehabilitate the land after mine closure and to guarantee that the project shall have no serious negative impacts. Industrial Law Establishment and All businesses shall ensure the protection (1999) management of business of the environment in accordance with in industry and handicraft EPL. MIH/DOI sector Wastes shall be treated in accordance with the relevant MIH waste discharge regulations Electricity Law Standards of electricity Operation of electricity production shall (1997) administration, production, begin with a survey and project output transmission, distribution, and shall include the construction and MIH/ED management of electricity expansion of the facilities, which ensure exports arid imports that such economic enterprise does not damage the environment, ecological system, living conditions, and natural habitat of wildlife: Urban Planning Principles, regulations and MCTPC, in collaboration with concerned Law (1999) actions regarding field offices and local authorities, is MCTPC/DoU management, land use, responsible for the investigation, design and building construction and submission of the plans to the at the national and local government for consideration and in levels. To ensure some cases to the National Assembly for conformity of actions with approval. the government policies and regulations. Road Law (1999) Principles, rules and The Law promotes investment in road MCTPC/DoT measures for managing, construction and repair and provides for using, planning, favoured tax treatment of investors under surveying, and linked to the Investment Promotion Law construction of roads. Road safety, including environmental protection. Objective of ensuring sustainability of seasonal traffic. Hygiene, Principles, rules and Every Lao citizen, irrespective of Prevention and measures related to public ethnicity, sex, age and socio-economic Health Promotion hygiene and health status, or religious beliefs has the right to Law (2001) promotion. obtain health care, participate in the MPH practices of hygiene, disease prevention and health promotion

IV. Description of the Environment

4.1 Physical Resource

4.1.1 Topography

Nam Song sub-watershed located at the south of Nam Ngum river basin whichis located inVangvieng and between Latitude 18°78’45’’ N and Longitude

4 102°29’79’’N within , elevation at highest is 2,172m and lowest is 175m above from sea level (see on table 2).A typical soil almost are calcium mountain and that suitable for the upland crops farming system. Most parts of the areas are characterized by some flat land. Slop classification in this area is set to 7 classes slope <5% covered 14,286 ha or 10.88% of total area >60% is 18,617ha or 14.17% of total area. Table 2.slop classification in Nam Song sub watershed No Slope Area (ha) Area (%) 1 Class I (<5%) 14,286 11 2 Class II (<58%) 5,020 4 3 Class III (912%) 5,808 4 4 Class IV (13365%) 42,254 32 5 Class V (3745%) 22,036 17 6 Class VI (>4660) 23,346 18 7 Class VII (>60%) 18,616 14 Total 131,361 100 Source: Watershed management and development plan, 2007

Land classification in Nam Song sub watershed has 5 classes. The large area is class 2 about 51,444ha or 39.16% of total area. Land classification shows in table 3

Table 3.Land classification in Nam song sub watershed

No Land classification Area (ha) Area (%) 1 Class I (<5%) 50,039 38,09 2 Class II (<58%) 51,444 39,16 3 Class III (912%) 17,584 13,36 4 Class IV (13365%) 10,326 7,86 5 Class V (3745%) 2,006 1,53 Total 131,399 100 Source: National Mekong Committee

4.1.2 Geology and Soil

Data obtained from the National Agriculture and Forestry Research Institute (NAFRI), the soil type in Nam Song Sub-watershed classified into 14 classes. It is mainly Ferric ACRISOLS that covered 58.11 ha or 44.25% of total area and we can find this soil type at the East side of the Sub watershed. For the less soil type is Dystric REGOSOLS covered 310 ha or 0.69% of total. The data from National Agriculture and Forestry Research Institute Nam Song sub watershed is combined by many soil types as show in below table 4

Table 4.Soil types in the Nam Song watershed

No Soil type Area (ha) Area (%) 1 Ferric ACRISOLS 58,131 44.25 2 Haplic ACRISOLS 32,727 24.91 3 Ferric LIXISOLS 9,940 7.75 4 Haplic LUVISOLS 9,371 6.37 5 Ferric ALISOLS 5,899 4.49 6 Haplic LIXISOLS 4,276 3.26 7 Dystric CAMBISOLS 2,670 2.03 8 Ferric CAMBISOLS 2,476 1.88 9 Haplic ALISOLS 1,567 1.19

5 10 Eutric FLUVISOLS 1,430 1.09 11 Eutric CAMBISOLS 1,380 1.05 12 Gleyic LIXISOLS 1,284 0.98 13 Dystric LETOSOLS 903 0.69 14 Dystric REGOSOLS 310 0.24 Total 131,264 100

4.1.3 Climate

This areahas the meteorology station at BanHuaySaNgaoin Vangvieng district. The equipment consists of wind checking, temperature and rainfall checking. This area is influenced by seasonal monsoon climate. The weather is worm for the whole year and suitable for travelling and relax. The average annual temperature during the last ten years has a little bit increase in 1995. The highest is about 31°C, and the lowest temperature of about 10.9°C. Since January, 1997was highest to 32ºCand the lowest was12ºC. The effective to temperature change are from increasing of commercial, travel, industry, Tree cutting. All of these activities are directly harmful to natural resources and environment, but the management is still less interest from many sectors. Refer to data from meteorology station at Vangvieng district in 1995, the quantity of rainfall in each month had been changing such as in January to April the rainfall is less. In June to August is high, but in October to December the rainfall is depleted. The comparison between 1995 was 1,339mm andin 2012was 734.2mm.By comparing the result of the quantity of rainfall in 1997 and 2012was increased. In 1998, it was the time that ALMINO happened and it affected to whole country that led to getting drought. In August1998, theless rainfall than every year was about 681.7mm. By compared in 1997 was 752.8mm and 2005 was higher caused of many strong past the area and caused of flooding in NamSong, which happened in June, the rainfall was 1,025.4 mm and July was 1,012.4mm and October was 1,052.5 mm. All of these were high comparedto 2004. Table 5shows the precipitation in Nam Song Watershed

Table 5.Rainfall in Nam Song sub watershed

Year Rainfall Water flow Year Rainfall Water flow (mm) (m3/s) (mm) (m3/s) 1972 1,382 370.4 1992 762 204.4 1973 1,461 391.6 1993 1,091 292.8 1973 961 257.6 1994 1,475 395,5 1975 1,544 413.9 1995 1,335 357.9 1976 1,047 280.7 1996 1,335 369 1977 900 241.1 1997 1,300 348,6 1978 1,444 387.2 1998 1,300 356,6 1979 1,048 280,9 1999 1,503 402.8 1980 1,253 335,8 2000 1,533 411 1981 1,726 462,7 2001 1,641 440 1982 1,377 369,1 2002 1,087 291.4 1983 1,154 309.4 2003 1,477 3,95.9 1984 1,225 328,3 2004 1,701 456 1985 1,039 278.6 2005 4,409.2 - 1986 1,077 288.8 2006 3,909.7 - 1987 847 227 2009 723,2 - 1988 766 205.5 2010 1,071.6 - 1990 1,107 296.9 2011 884.1 -

6 1991 898 240.8 2012 734.2 - Source: meteorology and hydrology office,Vangvieng District, 2012

4.1.4 Water Resource and Quality

Nam Song sub watershed is contributed by many big and small rivers such as Nam Song contributed by many rivers such as Houay Pa Mom, Nam Pat, Nam Por, HouayYan, Nam Ka, Nam Mon, Nam Kan, HouayNgam, Nam Kaung, Nam Poun, Houa Pong, Nam Lao and Nam Nga. It is the biggest river and very important for people who practice in agricultural, fishery and traveling in the area.Water level of Song River shows in table 6 from 2005 to 2011.

Table 6.Water level of Nam Song River year Month 1 2 3 4 5 6 7 8 9 10 11 12 2005 Maximum 0.6 0.55 0.49 0.48 0.71 2.66 3.99 4.08 3.95 1.54 1.04 1.04 Minimun 0.55 0.18 0.45 0.36 0.36 0.71 1.70 2.60 1.90 1.06 0.92 0.82 2006 Maximum 0.80 0.72 0.68 0.80 1.20 1.65 3.40 2.40 2.66 1.54 1.24 1.04 Minimun 0.73 0.69 0.66 0.66 0.71 0.87 1.77 1.70 1.55 1.24 1.02 0.82 2007 Maximum 0.81 0.76 0.70 0.79 1.14 1.70 2.34 3.80 3.12 Minimun 0.77 0.71 0.67 0.65 0.67 0.90 1.70 1.87 1.50 2008 Maximum 0.82 0.77 1.38 1.72 2.72 4.65 2.75 2.65 1.75 1.64 1.68 Minimun 0.74 0.72 0.78 1.03 1.30 2.07 2.07 1.60 1.60 1.24 1.14 2009 Maximum 1.14 0.84 0.78 0.79 1.78 3.39 2.70 1.70 2.00 1.23 0.98 Minimun 0.84 0.77 0.74 0.94 0.74 1.88 1.69 1.23 1.24 1.00 0.88 2010 Maximum 0.98 0.82 0.75 0.02 1.50 2.24 3.53 3.02 3.23 1.72 1.21 0.99 Minimun 0.81 0.76 0.72 0.72 0.83 0.97 1.46 1.86 1.76 1.22 0.99 0.92 2011 Maximum 0.92 0.78 1.07 1.12 1.72 3.35 4.47 2.94 1.18 1.96 1.18 1.18 Minimun 0.78 0.73 0.70 0.72 0.77 1.11 1.95 2.20 1.90 1.17 1.01 0.93 Source: Meteorology and hydrology office, Vanvieng, 2012.

4.1.5 Water Resource

Nam Ngum river basin development sector project-additional financing is proposed to sustainable poverty reduction for people and integrated water resources management.The agriculture and forestry development is the main responsible for developing socio-economic in rural area. The Water resource is very important in making decision for development.According to results of water quality record in 6 stations along the Song river and its two branches reported by the previous project. Table 7 list of sampling station of Song River

Table 7.Name of sample village

No Village Source if sample Remark 1 Ban Pha tang Nam Song Upper Nam Song 2 Ban Meang song Nam Song Middle Nam song 3 Ban viengxay Nam Song Middle Nam song 4 Ban HouaPok Nam Song Upper Nam Song 5 Ban Vangmieng Nam Song Nam Song branch 6 Ban ThaHeua Nam Song Lower Sam Song Source: IEE Nam Ngum river basin development sector project 2008.

7 Water quality analysis

Water quality analysis had analyzed under previous project shown in table 7.Physical and chemical parameters have been in range of acceptable both water quality standard of MAF and WB.

8 Table 8.the result of Nam Song quality and Branch

2+ 2+ 2+ 2+ 2+ 2+ 2+ - Sample pH EC SS Coliform COD NO3- Ca Zn As Mg Min Fe Cu Cl mS/c mg/L Col/100ml N m mg/L 1 7.27 4.3 3 2 0.598 1.403 16.4 0.2 0.008 0.131 0.086 0.024 0.024 0.061 2 7.82 4.6 9 80 0.40 1.245 16.5 0.27 0.003 0.397 0.264 0.030 0.030 0.0008 3 7.02 2 3 7 0.698 1.412 16.3 0.29 0.004 0.121 0.178 0.004 0.004 0.019 4 7.03 1.22 3 0 0.978 1.55 16.2 0.02 0.005 0.19 0.226 0.027 0.027 0.014 5 7.5 1.39 6 2 1.123 1.244 16.9 0.28 0.002 0.293 0.167 0.032 0.032 0.017 MAF 5.8- - 2 100 - - 15(*) 1 1 0.3 0.3 1 1 5.8(*) 8.6 WB 6.9 <1500 2 100 - - - 1 1 - 2 0.3 0.3

9 4.2 Ecological resources

4.2.1 Land and Forest

Land and Forest were classified by Imagine Satellite (SPOT) in 1997. this area classified into 11 classes such as: dense forest, mosaic forest, low density forest, grass land, garden, reforest, paddy field, wood and shrub land, agriculture land, stone and urban. The mainly class is wood and shrub land area covered 74.553 ha or 56.75% of Nam Song sub watershed. The less class is urban area covered 316 ha or 024% of area.

Table 9.land use in Namg Song Sub watershed 2008

No Land use Classification Area (ha) Area (%) 1 Mosiac 74,553.00 56.75 2 Evergreen forest, continous canopy with low density 21,910.00 16.68 3 Mixed forest 13,383.00 10.19 4 Agriculture land 5,549.00 4.22 5 Rice field 4,751.00 3.62 6 Regrowth (includes some stunted forest) 3,592.00 2.73 7 Mosiad cropping 3,314.00 2.52 8 Evergreen forest, continous canopy with high density 2,130.00 1.62 9 Grass land 1,107.00 0.84 10 Sand stole 755 0.57 11 Urban 316 0.24 Total 131,360.00 100 Source: National Agriculture and Forestry Research Institute 1997

4.2.2 Biodiversity and wildlife

The forest harming form isin habitat of wildlife in Nam Song sub watershed. Numbers of wildlife and bio diversity are decreased (The interviewfrom Agriculture and forestry district office and surveying from the project environment examination team). The official listing of wildlife and bio diversity is not survey.

4.2.3 Bio aquatic

Bio aquatic means fishes, insects and plants, which are living in Nam Song water and branches. NNRBDSP has not yet conducted the survey about bio aquatic. All data which show in the table are from Vanvieng district and rapid data collecting from project team.

4.2.4 Life circle of aquatic

Nam Song flow to Nam Likriver at HinHuep district and then flow into Nam Ngum river. It is opportunity for increasing of aquatics number in season, especially for fish migration from Nam Ngum to the branches (Nam Lik; Nam Song and others) during April, May and June. Those rivers are shallow and high oxygen which suitable for fish breeding. From September to October, new generation return to the main river. According to the interviewing local people, fishes can give highest protein only that people can get fishingat Nam Song and its branches. The other areasare for fish feeding area. At the present, fishing at Nam Song is deceased compared to 10-15 last years ago. In the pass, people can take protein from fished about 30-40%. The effect for fish decreased is from breeding and food wasdestroying human intention such as: shifting cultivation practice, land

10 clearing which is the main cause for erosion, sedimentation, and inappropriate fish caching for commercial.

4.3 Economic development

4.3.1 Industrial development

Sixty four Villages governed by the Vangvieng district have been accessed to electricity network or 100%.7,640 household have been using electricity (about 89.8%). Nam Song sub-watershed had high and middle electrical network which transmission linebring from NN1 to northern part of Vientiane province. Mineral resources within Song sub-watershed are included limestone, coal, soil and sand. These have been explored since cement factory operations. The other exploration of mines is: zinc, quartz and others. The total investment value from domestic and foreign investors in mining is showed in table 10. Small and medium industrial and handicraft are: drinking water, rice mill, perfume factory, weaving, Hmong textile, mulberry tea and others. These products Vanviengdistrict has total value of 355 units and productive among 93,501,426,645.00 Kip, supply among 102,849,917,500.00 Kip (data 2008).

Table 10.investment data for industry, mine and energy

Description of Among (million Kip) No explosion 2003 1 2004 2005 2006 2007 2008 2010 Limestone 32.215 128 410 321 137 2 Glue white soil 279.930 342,475 3 Glue red soil 1.215 266,670 4 Mine survey 8.500 5 Construction soil 40 3.84 40 195 6 Sand 200 867.184 7 Quartz 4.207 7.207 8 Tin 1,000 10 Zinc 1,000 Source: Energy and mine Vangvieng office 2012

4.3.2 Infrastructure Facilities (Water Supply, Sewerage)

There are 39 villages using clean water throughout Vangvieng district. Main sources of water are rivers and streams from the valleys to supply by gravity fed systems.There is one well system and small scale urban water supply within 8 villages.

Table 11. Number of villages and families access to water clean water

No Areas Clean water village family 1 Pha Tang 8 1,539 2 VangVieng 13 3,114 3 Na Maung 6 824 4 Na Mone 5 1,019 5 Tin On 7 771 6 Total 39 7,267 Source: VangVieng public Health office 2012

11 There are among 39 villages in Nam Song-sub watershed area has not consumed clean water or gravity water.

4.3.3 Transportation

The road No. 13 northlength 59 km with asphaltpave is the main and permanent route of transportation in the area. This road is connected by the different roads to link to the villages in Nam Songsub-watershed. In Vangvieng district, the total length of asphalt pave road is about 154 km and unpave road or gravel base is about 53km.The rests are access and tractor roads for local people transport. Beside of increasing in travelling, the transportation is one sector that has effective in improving and supporting in tourist transportation. In Vangvieng district, there are 526vehicles for service, in which there are 71 cars for transfer the goods, and 109,500 units for passengers. There are buseswith35-45 seats of 36 units , 9-12 seats of 115 units, local passenger 12-17 seats of 86 units and Took-Took of218 units all of these for serving tourists.

4.3.4 Land use

The land use within the Nam Song sub-watershed is extensively predominated by the wood and shrub land from shifting cultivation. In 2011-2012 protected forest area among 4,528ha, conservation area 5,119ha, reforest 200ha and product forest 5,000ha, re-growth forest at the past among 304 ha which indicated in recently for land management for industry tree. At the present land allocation in Vangvieng district is completed only 34 villages or 50% of total area and will completed in dry season (data in 2008).

4.3.5 Agriculture, livestock and fishery

In 2011-2012, the total area of rice cultivation is 5,782.74ha; the total yield is26,959.5 tones. The area in wet season is 5,540 ha, and the yield is 26,038 tones. Some harvest was destroyed by flooding. The detail of area and yield presents in table 12.

Table 12.food productivity area

No Area Number (ha) Yield (Tone) Capacity (tone/ha) 1 Rice growing 5,782.74 26,959.5 2 Wet season 5,540 26,038 3 Dry season 200 1836 4 Shifting cultivation 42.74 85.48 Source: Vangvieng Agriculture and Forestry office, 2012

4.3.6 Irrigation Scheme

Through Nam song sub watershed has irrigation scheme of 223 sites and classify into 3 classes as: concrete weirs, gabion weirs, and wood weirs.The number of each type of weir present in table 13.

Table 13 Number ofIrrigation and area coverage

No Check dam unit Wet season Dry season Plan (ha) completed Plan (ha) completed 1 Concrete weir 29 2,397 2,397 725 2 Gabion weir 30 829 829 165 3 Wood weir 164 2,274 2,274 1220 12 Source: Vangvieng Agriculture and Forestry office, 2012 One of small irrigation scheme was supported by

4.3.7 Forest products (timber and non-timber)

In the upland of the Laos, the gathering of Non-Timber Forest Products is as important to human livelihoods as agricultural and livestock production. NTFPs provide food security and are the main source of cash income for the people of the uplands. NTFPs are common found in Song sub-watershed such as broom grass, sweet palm fruits, paper mulberry, benzoin, peuakmeuak, forest vegetable, bamboo shoots, rattan, mushrooms, wildlife, bamboo, and forest fruits. TheseNTFPs provide cash income and subsistence use for rural communities within Song sub-watershed.

4.3.8 Tourism

Vangvieng district is an attractive place among domesticand foreigner touristsin recent years. Beautiful nature surround the town leads in increasing a number of tourists every year. Nam Song River which runs through the town is one of choices for tourists for diving and boating. Surround Vangvieng district is Limestone Mountain with many caves on the cliff which are attractive to visitors. There are also many ancient and respect places in the town and vicinity such as: Hor Lack Meuang which build since 1850. Ma Ha Tas Temple build in 1881. And they are few temples, which built as the same year such as: Watkang Ban Savang, Wat Si Su Mang Ban Viengkeo and WatMeaung Song. There are 3 agricultural tourism places such as: mulberry tree garden at Ban Phou Din Dang, Agar wood at Ban VangVieng and non chemical mandarin garden at Ban Si SaWat. Because of diversity of natural condition, which is suitable and attractive for travelling number of tourist, there are increasing tourists in every year. Vangvieng it a one place which is very famous in country and abroad. At the present,income from tourists is the main sources for district and higher than other districts in Vientiane province. From tourist statistic in Vangvieng, it has been increased in every year since the year 2000 that has number of tourist 28,415 people, and increased to 82,110 in 2005 and increased to 97,165 people in 2007, foreigner tourist is about 66,608 people (data year 2008). Increasing in Number of tourist caused increasing in business services and developed other business activities as well, which led to extend in higher demand such as: restaurant, nigh club and accommodation. In 2012, they are 82 restaurants, 9 hotels, 122 quest houses.the total of tourists come to Vangvieng is 177,191 people, foreigner is 128,276 people. According to the travel office report in 2008 No76/ht.v, dated03 March 2008 to 2010, the number of tourist will be increased to 141,084 people. In 2020, it will be at 170,711 people. Increasing in number of tourist willbe the main environmental impact if without appropriate managing. Natural resources using in socio-economic development are staple. At the present, the rate of people increasing is 2.2% per year of 49,855 people and increasing number of tourist. The area to support environment is risk to eco system and will effect to people such as: environment, waste, sewerage water, bank erosion and bank over excess for building contraction

13 4.4 Social and cultural resources

4.4.1 Population and Community structure

TNam Song sub watershed has population about 56,759 people, with 9,931 households.The population consists of many ethnic groups such as: Lao Sung, Lao Lumand Lao Kang. Lao Lum has 38,334 persons, Lao Sunghad has 9,770 persons, and Lao Kang has 8,590 persons. Most population lives remote area. Nam River Basin Development Sector Project- Additional Financing is supported on poorest population and poor villages. The people who get benefit from development more than half are ethnic groups such as Lao Kang and Mong.

4.4.2 Education facilities

At the present,education system in Nam Song Sub-watershed has 7 Kindergartenwith 19rooms, total student 364 people, women 187 people. There are 60 Primary schools with 300 rooms and students 7.952 people. Women 3.770 people; 7 secondary schools (grade1 to grade3) exclude monk school and 59 classrooms contain 2.237 students, women 995 people. 1 high school (grade4 to grade6) 22 classrooms, students 993 people, women 450 people. The statistic from Vanvieng education office in 2007, the number of no education age 15- 40 is 241people; women 173 people. The villages that higher no education people isHau Nam Yen with 37 people, women 34 people. It was different from last 4year in 2004-2005, the people age over 41 years old which has not education 1283 people, with women 776 people.

Table 14.school, classroom in Vangvieng district

Description Number Number Number Average No. of school of classes of student Student/room room 1 Kindergarten School 7 19 364 19 2 Primary School 60 300 7.952 26,5 3 Secondary School 7 59 2.237 37,9 4 Pre high school 2 38 1.925 50,6 5 High School 1 22 993 45 Source: Vanvieng education office, 2008 Vanvieng district education system has been developed in every year comparedto the last 4 years ago. The Number of school, classroom and students are increased. Number of no education are decreased from 1.281 people to 241 people, and in the middle 2008,it was decrease 100%. Primary student pass examination 85%, for grade5 passed 93% increased to 3%; secondary student passed 87.60% for grade 3 92.98%. Two high schools student pass 97.86%, grade3 for passed 99.24%, grade6 passed 99.03%. One high school student passed 94.13% and grade 6 pass100% increase2%. For the above result, education as developed and effect to staff capacity building increasing both quality and quantity and support socio economic development. However, at the present condition, number of school, classroom of kindergarten and primary school averaged 19-26 students per classroom not enough and not able to provide for high student number. For secondary, pre and high school average 38-51 student per classroom thus over Ministry of Education standard.Those problems are still not solving. Many high school students cannot continue to higher education as university. Many students become local merchant; some are workers in the big city. There are 9 villages that have school such as: Ban NongBuoa, BanPhou Din Dang, Ban PhonSa Vang, Ban Vieng Sa Mai, Ban Vang Song, Ba NA Boua, Ban Na Dee and Ban Nam 14 Ngast. All of there have to coordinate with concern offices or international organization to asking for supporting in building the school for children within their villages

4.4.3 Health facilities

Health care centers in Vangvieng district are both hospital and dispensing. These provide the service and treatment to patients over the sub-watershed. Currently, there is one district hospital with 30 beds; 5 dispensing with 15 beds. Detail of location and number of room see in table 15

Table 15.hospital, dispensing in Vangvieng district

No Name hospital Dispensing Location Bed number location Bed number 1 Pha Tang B. Pha Tang 3 B. Na Yang 3 2 Vanvieng Ban ViengKeo 30 3 Na Maung B. Na Yao 3 4 Na Mon B.Phon Sa Vang 3 5 B. Xang 3 Source: Vangvieng public health office, 2012

4.4.4 Cultural heritage

According to the information of population, there are three ethnic groups within the sub- watershed. All ethnic groups are have different cultural unique especially for religion belive and living styles. Lao Lum or Tai Deng is bigger society than others. Respected in Buddha, Lao Hong and Lao Kang are play in Ghost. Most people are Buddhist and have the role in socio-economic developmentin Vangvieng district, which showed in the ancient stupa as: HorLakMeuang Ban Vangvieng which built in 1850, Ma HA Tas Temple built in 1881; there are many temples which built at the same time. All ancient symbol and old cultural should to have reservation for new generation and to provide and develop for tourists.

V. Anticipated Environmental Impacts and Mitigation Measure

5.1 Method of assessment

Potential impacts have been assessed by means of a site visit, discussions with local authorities, district agriculture and forestry office, and members of the public.

5.2 Overview

The most significant impacts expected to arise from the project are major improvement of quality of life within addition corevillages from improvement of irrigation schemes, access road, and rural water supply (Gravity Fed System).

5.3 Environmental impacts onPhysical

5.3.1 Soil erosion

Soil erosions are common found in Song sub-water causing by the infrastructural improvement such as improvement of road, construction of access road, abstraction of sand

15 and gravel in along Song River.Soil erosion at upper Nam Song River and its branches especially in July to August always occur during extensively rain. This occurrence leads to land slide and soil erosion in large area of somewhere affecting water quality and high sediment load. In order to minimize soil erosion within Song sub-watershed, regulations, laws, and degrees in various sectors should be enforced effectively. Other ways, establishment of soil erosion zone map and investigate soil structure to find suitable mean in reduction of soil erosion.

5.3.2 Water Resource

Wastewaters from households, restaurants, quest houses, and hotels are main sources of pollutants. Although this wastewater indirectly discharges to Song River but it leads to degrade water quality due to the tourist industry boom the area. Vangvieg district is a place for tourist attraction with the number of travelers coming to in high figure. There are number of hotels, quest houses, restaurants are located along Nam Song River which are the major sources of Wastewater and pollutions.Mitigation measures (1) inform public to the risk of wastewater (2) establish rules and regulations (3) penalize who violateats rule and regulations.

5.4 Environmental impact onEcological

5.4.1 Forest

Shifting cultivation, inappropriate cultivation in the uplands, over exploitation of timber,and absence of a sustainable forest management planning system lead to loss natural values in Song sub-watershed Especially, encroachment of high density forest area, significantly above the sustainable rate of timber extraction combined with the marked expansion of permanent agricultural land suggests that logging followed by eventual conversion of logged land into permanent agriculture land contributes appreciably to deforestation in this area. The focus on short term profit maximization without commitment to sustained yield management will further exacerbate deforestation pressures. Risks is minimized (i) Improve villagers’ living standards in pilot areas through village forestry and village development projects (ii) Improve villagers’ ability to manage forest through extensive training (iii) Involve local participation in ongoing reforestation programmers (iv) conduct applied, adaptive research on species (including seed and nursery requirements and the use of indigenous species), species/site matching, harvesting, thinning and coppicing methods, site and soil preparation, fertilization programs and post-plantation management (v) Make research results available to PAFO and DAFO and thence to potential growers. This would entail assisting DAFO in developing adequate capacity for the task (vi) Provide tree plantation owners, especially those owning teak plantation in the north, with skills to select seed, plant at the correct density, thin and prune stands for quality improvement and increased sale price (vii) Carry out market research to determine the affect of market trends and access on specie selection, conditions under which plantation products are sold, how qualities are defined and checked and how prices, premiums and discounts are set

5.4.2 EnvironmentalImpact on Aquatic

The aquatic resources situation in Nam Xong sub-watershed is risk to disappear. Bios aquaticas habitat in this area is effect by drought, high sedimentation, lose of food causedby tree cutting. Forest area decreased, those problems are effect to aquatic in Nam Xong River an branches especially fishes are decreasing in each year, and fished catching not follow the season and inappropriate fishing gears(e.g., barrage fences). Mitigation measures are (i) Increasing co-management as well as community based fisheries management (ii) Set up fish conservation zones (iii) Fish capture gears control (iv) Prohibit zone for fishing during fish breeds (v) Local authorities should enforce government regulations on the use of poisons (vi) 16 Public awareness programs are also needed to help local people understand the impacts of excessive poisoning of wildlife, and agricultural pests such as insects and rats.

5.4.3 Impact on Wildlife

Wildlife trade is not only in domestic but also in abroad. Domestically, trade involvesfor food and medicine. In markets, it commonly displays of squirrels, monitor lizards, birds, soft shell turtles, snakes and sometimes pangolins, as well as fresh and dried deer meat.Wildlife transfer for first to second country pass Laos to third country it always finds as: pass through Thailand or Lao to Vietnam and end at china. Moreover some restaurants are bringing the dangerous species of wildlife to make a food for customers. Mitigation measures (i) Establish Villages conservation forest areas and demarcated (ii) Prohibit hunting during wildlife breeds (iii) Establish community base wildlife monitoring (iv) Establish protect area for wildlife (v) Awareness and training local people in wildlife conservation (vi) Enforce the regulation to the people who not follow the low.

5.5 Impacts on Economic development

5.5.1 Land Use

Confine of available land for agriculture of people is considered as a major cause of forest encroachment. Upland farmers, who are mostly engaged in traditional slash and burn cultivation, have been claimed to be a cause of forest destruction and land degradation. Therefore, he driving forces of land-cover and land use change arise from a combination of socio-economic and physical factors which act at various scales. The most obvious driving force of land use changes are population growth and concomitant growth in demand for land use products. In the given situation of population growth and the extent of land conversion leads to annual forest depletion.Mitigation Measure are (i) land allocation (ii) coordinate to concern sectors in land us, land use planning which appropriate for community and poor families. At the same time should to promote new technology to farmer productivity (iii) proper Land management (iv) conduct the rule for land use and set up productivity group (v) support soft credit especially Village Development Fund (VDF).

5.5.2 Agriculture, animal husbandry and aquaculture

Shifting cultivation is widely practiced on highly elevated sloping land. The major product is upland rice. Farm inputs for production are considerably low. Production is mainly for home consumption. Living condition is poor.Wet season rice production is dominant, and irrigation farming is not commonly practiced. Many farmers use animal draft power for crop cultivation, mainly for paddy. Products are mostly for household consumption.Use of chemical fungicides, herbicides, insecticides, molluscicides and rodenticides are currently very low within the project areas. With the increase in cropping intensity, it is expected that there will be a gradual increase in the problems encountered with weeds, insect pests, rats and snails as seen elsewhere in the region. Commonly these problems appear within a few years of intensification of production. It is likely that one of the responses by farmers will be to increase their use of chemical agents to combat these pests. This could have several undesirable effects, both direct and indirect. The farmer interviewing in area they will use herbicides and insecticides for vegetation planting (Mize and vegetables) at two village which locate in Nam Song sub watershed that belong with Kasi District. The worrying that when the rained come, it will transfer toxic to river that cause to surface water pollution and effect to Nam Song and branches aquatic. All chemical might have absolved to the aquatic food and aquatic consumer health.Mitigation Measure (i) apply new seed or crops which suitable in area especially economic crops. The project will have paid more attention to develop method of farming system, in Agriculture

17 animal husbandry and fruit tree plantation, using of green manure, compost and animal manure is encouraged under a close follow up by the project (ii) Irrigation development and management (iii) Appropriate Technology (iv) Farmers training in Pesticide use and protection (vi) support the farmer to use local knowledge and utilize insects itself (vii) Farmers training on integrated pest management (viii) Conduct farm productivity system group and indicate product area.

5.5.3 Flooding effect

Flooding in Nam Song sub watershed in 2008, the cause from tree cutting in highland, land open and high speed runoff is harm to local people property and production. The report from Vangvien Agriculture and Forestry office, flooding in area cover 122 ha paddy rice, some crops and livestock area.Mitigation Measuresare (i) Awareness in forest conservation, stop for tree cutting and shifting cultivation practice which effect to environment (ii) Conduct the flooding defense plan as: flooding, drought and disease, earthquake and other. All effect must be solving in suddenly when happened. In the emergency time should conduct mitigate network units, conduct rice and food stock bank and conduct mitigate volunteergroup. (iii) Provide solving measure and reproductive the kind that effected from flooding as: provide new crops or some budget to farmers. Have some policies about credit or no credit for farmers.

5.5.4 Animal husbandry

Livestock production, which includes buffaloes, cattle, pigs, poultry, and goats, also contributes appreciably to the economy. A considerable amount of agricultural activities are at the subsistence level. Livestock production is envisioned in the sub-watershed area almost are natural raising in re-grow forest, product forest and mountain. Natural raising risk to control animal disease such as: mouth and foot disease and other. Then the rate of animal disease still high.Mitigation Measures are conduct and extension production group (ii) Develop grassing plantation to make forage. Promote farm system and new technology (iii) Implementing veterinary network especially in village level (iv) Monitoring and reminding for animal disease.

5.5.5 Aquaculture

Fish and fisheries play an important economic role contributing to the GDP. Being a landlocked country, people mostly depend on fish caught from the Mekong River and its tributaries, floodplains, swamps and rice fields. These waters are rich in aquatic biodiversity, but catches are declining over the years due to increasing fishing pressure as a result of increasing population and modification in the hydrology of river due to implementation of irrigation, flood control and hydro-power development projects, deforestation and pollution.Mitigation Measures are (i) Increasing co-management as well as community based fisheries management (ii) Conservation fish zones (iii) Fish capture gears control (iv) Prohibit zone for fishing during fish breeds.

5.5.6 Impact on Education

Education is a basis for national development especially human resources development. To develop human resources it necessary to develop education step by step and in 2020 population in area will graduated for secondary school. 8 villages have not school and some school are lack of teaching equipment. Mitigation Measures (i) Build up and Improved schools. At the present percentage number of student per classroom still high. (ii) Provide teachers in quantity and quality (iii) Provide literatures and material (books, manual for teaching)

18 5.5.7 Impact on Health

Pursue disease prevention measures, control the eruption and spread of diseases, address sexually transmitted infections and HIV/AIDS problems, resolutely fight against the threat of narcotic drugs, in particular amongst the youths. Improve the service of the regional hospitals so that the gap that exists between these hospitals and those at central level in providing standard services is lessened. At the same time, the ethnics of medical personnel need to be improved.Mitigation Measures are (i) Educate people to understand how to pursue disease prevention, address sexually transmitted infections and HIV/AIDS problems (ii) Eradication for narcotic drugs in particular amongst the youths. Improve servicing for local hospital (iii) Introduce methodologies to protect disease vectors including mosquitoes, rats and parasites (iv) Water supply and sanitation including water use education and hygiene (v) Establish and Improved health facility service.

VI. Institutional Requirements and Environmental monitoring Plan

6.1 Institutional requirements The principal environmental legislation is the “Environmental Protection Law”, which became law in 1999 and established the Science Technology and Environment Agency (STEA). The two subsequent laws and Regulation on Environmental Assessment 2000 and Implementation of the Environmental Law (2001) govern the Lao PDR government requirements for environmental assessment and environmental management. The STEA is responsible for providing overall environmental guidance and reviewing and approving the environmental assessment reports. Under Regulation on Environmental Assessment 2009, the subprojects of the proposed Project are required for environmental assessment and submission of the Initial Environmental Examination (IEE) for the review and approval ofl Department of Natural Resource and Environment of province. Water resources and environment agency (WREA) is represent for environment coordination in Lao PDR. And will be general responsibility in environment implementing especially, policy, plan and regulation. In 2007 environment law have improve by socio development necessary and environment management. WREA has planed national environment management. Such as: regulation, environment examination are adopted for Lao National Assembly in 2000. By the cause of STEA become to WREA and has office coordination at control, province and district that will be representative for central office.

6.2 Respond institution There are 5 state respond institutes directly in environment management implementation for the project such as: PMU or ONPM, PPSC, WREA, department of planning (MAF) are representative to implement and management NNRBDSP, (PMU or ONPM). They are planners for project implementation. Moreover, they are at provinces (PIU), districts (DIU) include many coordination offices such as: WREA, Urban development and executive organization, travel office, industry and trade office and other.. Table10: Respond institution Institute Responsibility PMU or MAF  Coordination and general executive ONPM  Respond for IEE include: (i) audit and IEE plan submit to STEA and ADB to approve (ii) coordinate with concern organizations in central and province level and projects which concern to environmental PIU DP  Respond in project implementation which depends on. 19 Coordinate with PPSC and district and province agencies. Environment responsibility as: (i) IEE and SIEEs document preparation, (ii) submit IEES to PPSC for proving, (iii) submit IEE plan to PMU and asking approval from STEA and ADB, Monitoring and evaluation for PMU and PPSC implementing, (v) Annual Monitoring Preparation  Mitigation Measure and participant environment monitoring that concern to watershed management OF  Respond to project activities that concern to watershed management which belonging (sub project)  Environment mitigation Measureand sub project activities monitoring PIU QA  Respond to project activities which concern to local people agricultural for each village in Kasy district  Mitigation Measure and environment monitoring which effected from agricultural practice and support local people to conduct village activity to prevent environment PPSC  Respond in project coordination for province and district and can be decision maker instead government. DONRE  Respond (I) give the policy which concern to environment, (ii) revise and approve IEE certificate

6.3 Project Environmental monitoring plan

6.3.1 Environmental monitoring plan

The Environmental Monitoring and Management Plan of the proposed Project consist of the following four components. As presented in the attached Summary of Environmental Impacts, Mitigation Measures & Monitoring Plan, the environmental monitoring plan has been developed to determine if mitigation measures are being implemented effectively during the implementation periods (document attract 1) such as: 1. VDF project activities which under the management of Vangvieng women union 2. Infrastructure project activities(CBIF) 3. Industry factory and mining expose in project area.

6.3.2 Budget and activity plan

1. Select and training to staff who respond environmental. 2. Implement environment management network in Namg Song sub watershed. 3. Improve equipments, document and necessary things. 4. Conduct monthly and quarterly plan. 5. Conduct budget year plan. 6. Summery and conduct monthly, quarterly and year report to steering committee and donor. Table: Budget year plan for environment management activities.

20 No Activities/Purpose of Expenditure Unit Qty Unit cost Amount USD USD Environment Performance I. Capacity Building/Short term training 1 District Level Nos 2 2,000 4,000.00 2 Community level Nos 2,500 5,000.00 II Field Activity 1 Field inspection (checklist) ISO 14000 Nos 12 100 1,200.00 2 Reporting Nos 4 100 400.00 III Gears and office Equipment - 1 Camera Nos 1 1 1.00 2 GPS Nos 1 1 1.00 3 Water testing kit Nos 4 500 2,000.00 4 Stationary lump 4 2,000 8,000.00 sum IV Study tour - 1 In-country study your Nos 2 2,000 4,000.00 2 Study tour abroad Nos 1 3,000 3,000.00 Total Nos 27,602.00

6.3.3 Land allocation

According to land allocation policy No. 186/op, 194 and land allocation policy of MAF No 882/KZKP, 1996 which aim to: 1. To promote sustainable agriculture instead shifting cultivation, 2. natural resources and environment management

According to the government propose NNRBDSP conducted plans and coordinate with concern sectors in Vanvieng district to implement land allocation. From the report of land allocation in Nam Song sub watershed at the present the project has completed in 36 villages and continuing to remain 30 villages. The aim of land allocation in this area classifiedthe area reference to soil structure, land suitability planning to erase shifting cultivation and poverty eradication.

6.3.4 Environmental Reporting

Environmental monitoring results will be recorded in accordance with the developed environmental monitoring and management plan to ensure that any indications of adverse impacts are detected at the earliest possible time. An annual environmental monitoring report format will be developed during implementation to capture the overall monitoring findings and any lessons learned and recommendations to improve the environmental monitoring and management practices. PIUs will be responsible for preparing and submitting the reports to theconcerning organization: Nam Ngum Watershed Management Project, PAFO, WREA and PWREO. The content of the Report will consists of.

VII.PUBLIC CONSULTATION AND INFORMATION DISCLOSURE

7.1 Public consultation process Initial Environment Examination (IEE) before complete it has to pass the procedure and correcting as below: 1. Invite concern sectors in Vangvieng district which support data to join the consultation meeting. 2. Agreement in data which support by sectors.

21 3. Educate data form community and other concern organizations to put in report. 4. Conduct adopting IEE document from concern sector or organization who attend the consultation meeting.

7.2 informationdisclosure Namgsong Sub watershed environment team are directly responsibility in reporting for community in monthly or quarterly about environmental in and out side project to exchange data information and make understanding to the negative environment effect to community.

VIII. RECOMMENDATIONS AND CONCLUSIONS

8.1 CONCLUSIONS Forest covert are decreased; in 1940 forest covert is 70%; in 1982 is 47%; from forest covert survey in 2002 to 2003 is remind only 41.5%. Natural resources are harmed; forest area rapid decreased especially in Nam Song sub watershed (data from satellite PSOT) in 1997 and data from Vangvieng Agriculture and Forestry office. In 2007-2008 forest covert areas in area is decrease too. Cause off shifting cultivation practice and tree cutting in resent years (protect forest area IS 19.126,3ha ; conservation area is 7.294,5ha, regrow forest is 6.131ha and product forest is about 9.936,5ha) is the cause for lower river environment in dry season lack of water for agricultural. Insufficient water for irrigation and cannot supply water for dry paddy rice season. High sedimentation in river and reservoir is shallow. In wet season is high runoff of water, landslip.

8.1 Recommendations 8.1.1 The condition to recommendation These recommendations refer to the local trend and ability in implementing as below:  Namg song coordination office and concern agencies have to continue in land allocation and early in complete land use planning to support optimal land use by promoting new technology for productivity, improve soil fertilizer in increase the product. Develop into model productivity and sustainable. All of there are for improve l living conditionof local people especially in pilot area as Ban Thin On, Ban Pha Tang Group, Ban Na Long Kaung Group, Ban Phone So, Ban Na Mon, Ban ThaHeua and some villages at the south of Vangvieng district. The aim is shifting cultivation eradication. Improve irrigation scheme system and sufficient water supply, conduct water user group, training farmer in water utilization and decentralize to people.  Advice farmer in technical for the area which can grow crop two times per year and necessary to input compose for soil improving and sustainable using.  Researching new crop, animal which appropriate in local and distribute to farmers.  Information disclosure to farmer in applying new technique for there productivity practice to increase product capacity.  Classification forest area such as: protect water source area, conservation forest, re- grow forest, villagesproduction forest area ( source of NTFPs).  Conduct budget plan for natural resources census (aquatic, animal, plant and NTFPs) in area and provide the dangerous species.  Conduct re-grow forest using plan, area where will grow industry tree in Vangvieng district and must consider to effect in environment.  Escape chemical that will cause to Nam Song river and branches are pollution and will effect to soil and water environment and travelling business which the main income.  Land classify for livestock, animal raising have to apply new technology (SCV) such as: glass garden to provide for forage.  Attend to mining project as: zinc exposing at upper of Nam Song River. Coal exposing at Ban VangKee should to consider to water environment even those at the resent they are not problem but the monitoring to reminding is necessary.

22  According to Vangvieng Travel office as Vientiane province, it is necessary to provide environment management plan because at the present, number of tourist are increasing and can be effect to environment in area. Them should provide environment measure as below: . Travelling in Vangvieng have to coordinate which district and province environment office and urban development project to conduct notice or regulation that concern to Nam Song environment such as: notice about not allow car craning in Nam Song, don’t throw a waste in river and the other.. Vangvieng urban development project has responded in infrastructure development such as: street in town, waste management, water drainage and lighting along the road. All concern sectors have to coordinate and data exchange each other. Practice in the roles especially in monitoring and examine environment to pollute prevention rivers in Nam Song Sub watershed by concentrate on: a. conduct the measures for waste control, sewerage water, chemical an other which the cause to water pollution, soil pollution and air pollution. b. monitor and estimate tourist number in daily, weekly, monthly and yearly ( High and low season) to prove plan for tourist management. c. attention in improvement on capacity building of travelling staffs as follow by the travelling development plan. d. educate and training servicer (merchant) in public health, good performance and nice cultural to respond for their job. That will be tourist attraction. At the same time study tour for travelling service in province or other province such as: Laungbrabang province or Vientiane capital will be improve knowledge and skills for Vangvieng travelling servicer. e. conduct the measure and regulation for building construction and environment in travel and nearby area to erase land, water and air pollution. f. conduct reconstruct ancient places such as: Ho LakMeang, Ma Ha Tas Temple and the others to preserving for cultural travelling which in and external tourists attractive. g. support local people as tourist to participate in preventing travel places and ancient property. h. development travelling system such as: accommodations, not allow tourist to sleep any places. Promote home stay to custom enclosure and support tourist in high season. i. enforce measure and regulation to tourist who are Lao irregular such as: drug addiction, intercourse which effect to Lao socio and custom.

23 Attachment 1: Summary of Environmental Impacts, Mitigation Measures Environment Concerns Impact Indicators Proposed Mitigation Measures Soil erosion  Loss of soil fertility  Affordstation  Living aquatic  Implement shifting cultivation programme  water quality  Implement land allocation programme Physical Resources Surface Water  Human health  Education programs, rules and penalties and Ground  Ecological system  Community-based on water use and management water quality  Reforestation and afforeststation

Deforestation  Loss of habitat  Improve villagers’ living standards and livelihood security in pilot areas  loss of forest cover through village forestry and village development projects. area  consult and develop land use and development plans to guide forest concessionaires in logging operations  improve villagers’ ability to manage forest through extensive training  involve local participation in ongoing reforestation programmes  promote trees plantation programme Ecological Quantity of  Fish production  Increasing co-management as well as community based fisheries Resources Aquatic management.  Conservation fish zones  Fish capture gears control  Prohibit zone for fishing during fish breeds Wildlife hunting  Number of wildlife  Establish Villages’ conservation forest area and demarcated population  Prohibit hunting during wildlife breeds  Establish community wildlife monitoring Land Use  Forest land  Land allocation change  Climate change  Proper Land management Economic  Family planning Development  Community-based on Land use planning and management Agriculture  Low agricultural  Appropriate Technology productivity  Use of natural fertilizers (manure, …..)  Irrigation development and management

24 Environment Concerns Impact Indicators Proposed Mitigation Measures Use of  Human health  Farmers training in Pesticide use and protection Pesticide  support the farmer to use local knowledge and utilize insects itself  Farmers training on integrated pest management (IPM) Animal  Grazing  Develop grazing management practices, which would promote and be a husbandry  Soil Erosion party to ecosystem management.  Soil compaction  Develop baseline assessment and monitoring protocols of the natural and cultural resources affected by livestock use  Determine the health of rangelands currently under management that have been affected by grazing management practices  Grazing land management to control desertification. Non-timber  NTFPs Depletion  Takes into account to manage NTFP system (NTFP)  A quota for commercial NTFP collection is needed collection  Community-based on forest management

Tourism  Ecosystems  Demarcation zoning and information including regulation (facilities,  utilities of natural  Solid waste management handicraft) resources  Provide basic training for villagers in hosting/guiding tourists (ecotourism operators)  Provide sanitation and ….toilets  add value of handicrafts Health  Impact on Health  Introduce methodologies to protect disease vectors including mosquitoes, rats and parasites  Water supply and sanitation including water use education and hygiene Social  Establish and Improved health facility service Resources Education  Quality and Quantity of  Build up and Improved schools students  Provide teachers  Provide literatures and material (books, manual for teaching)

25 References  ADB/MCTPC, 2003. Lao Urban Data Book  CPI, 2004-2005. National Socio Economic Development Plan  Gupta PC, O’Toole JC, 1986. Upland rice: a global perspective. Manila (Philippines): International Rice Research Institute.  IRRI, 2001. Impact Assessment of Research and Technology Development  LEM, 2005. Final Draft Report  Lao PDR, 2001. State of the Environment  Lao PDR-NGPESs Annex 1; 2 and 3. National Growth and Poverty Eradication Strategy  MAF, 2007. Nam Ngum Watershed Management and Development Plan  MAF, 2003. Forestry Strategy to the year 2020 (Preliminary Draft presented at consultation meeting, 17-18 July 2003)  MAF, 2001. Promotion’s decree of natural fertilizer utility  MAF, 1999. The Government’s Strategic Vision for the Agriculture Sector. Donor Round Table Discussion Paper, Lao PDR, Ministry of Agriculture and Forestry.  NAWACOP, 2003. Land Use Planning/Land Allocation Report.  NAFRI, 2003. Upland Agricultural Development in the context of Livelihoods, Watersheds and Governance for area-based development project in the Lao PDR.  NSC, 2003. Statistic Year Book 2003. National Statistic Centre. Committee for planning and Co-operation  NAFRI, 2000. Integrated Upland Agriculture Research Project. Lao PDR, Ministry of Agriculture and Forestry.  STEA/SIDA, 2002. Regulation on Environment Assessment in the Lao PDR  Sanchez PA. 1987. Management of acid soils in the humid tropics of Latin America. In: Management of acid tropical soils for sustainable agriculture. Proceedings of an IBSRAM inaugural workshop, Bankok, Thailand.  XiengKhouang Planning Division 2003. Socio-economic Development  Warner K, 1991. Shifting cultivators: local technical knowledge and natural resource management in the humid tropics. Community Forestry Note 8. Rom (Italy): Food and Agriculture Organization of the United Nations.

26 Unit No. No. No. of people Lao Lum Lao Sung Lao Kang Foreigner Poor HH Village name No HH Family total Women total Women total Women total Women total Women No Population Village total women groups Pha Tang 64 1.159 1.366 6.934 3.431 3.537 1.743 1.001 495 2.396 1.193 31 140 67 group Thin On 32 381 444 2.132 1.048 880 440 988 479 246 129 232 1.395 687 group VangVieng 126 2.184 2.348 12.304 6.277 9.720 4.871 1.567 823 994 576 23 7 50 260 129 group PhonSou 48 994 1.127 6.440 3.053 6.3344 3.008 95 44 1 1 12 54 31 group Long Kaung 59 945 1.106 5.847 2.772 3.587 1.749 748 312 1.512 711 68 331 155 59 945 1.106 5.847 2.772 3.587 1.749 748 312 1.512 711 68 331 155 group Na Mon 94 1.636 1.775 9.370 4.653 4.935 2.424 640 317 3.793 1.911 2 1 69 345 171 group ThaHeua 80 1.201 1.329 6.828 3.478 4.887 2.495 1.932 980 7 2 2 1 6 19 11 group Total 503 8.500 9.459 49.855 24.712 33.890 16.730 6.971 3.450 8.967 4.523 27 9 468 2.544 1.251 Appendix 3: poverty family in Nam Song Sub watershed 2007-2008

27 Kaunggroup Na Mon 94 1.636 1.775 9.370 4.653 4.935 2.424 640 317 3.793 1.911 2 1 69 345 171 group ThaHeua 80 1.201 1.329 6.828 3.478 4.887 2.495 1.932 980 7 2 2 1 6 19 11 group Total 503 8.500 9.459 49.855 24.712 33.890 16.730 6.971 3.450 8.967 4.523 27 9 468 2.544 1.251 Source: Project IEE team, 2008

28 29