11 4.2 Characteristics of the Systems Observed Typology of Trade-Off

4.2 Characteristics of the systems observed

Typology of trade-off between hydropower and irrigation

1. Fewa Irrigation systems are old systems but hydropower plant was installed later on due to topography benefit. Both systems were managed by the government agencies. NEA operates the hydropower but there is no system of revenue sharing between hydropower and irrigation systems. 2. Seti Hydropower and Seti Irrigation system (Kaski- Pokhara) belong to government. From the Seti canal, other hydropower like Bijaypur and Task also are getting water. Irrigation canal is managed and maintained by Department of Irrigation. Recently, the dam of Seti canal was damaged. With the investment of NRS. 50 million rupees, the dam is being rehabilitated. Irrigation command area is changing from agriculture land to other purpose. 3. Bijaypur Irrigation system gave permission for installation of hydropower taking advantage of the fall of water. This initiative was taken by private sector. It is not clear how the benefit is being shared between DOI and Hydropower. 4. Andhi khola – private sector promoted for both irrigation and hydropower. There was strong mandate for benefit sharing between local people and central grid power distribution. 5. Jhimuruk – private sector, already many irrigation systems in existence, benefit sharing, negotiation with local beneficiaries and irrigators, Agreements were made for water release for irrigation purpose during lean period. Negotiations with the local people for mitigation program undertook. 6. 6.2 MW Puwa khola Hydropower with 3.2km long headrace tunnel, water availability between Puwa khola and Mai khola reduced by 2.3 m3/sec which has affected Lamduwali Puwagung Irrigation System. A number of improvement programs were undertaken to help the existing irrigation systems. 7. Batar irrigation system was impacted by Devighat project. JICA intending for rehabilitation of Batar Irrigation system negotiated with NEA for sharing the infrastructures of Trisuli hydropower project to transport irrigation water across Trisuli River. NEA did not agree accepted the proposal and Bater people were deprived of irrigation system. 8. Rani Jamara and Kulariya have installed 4MW hydropower near Katasse of Kulariya system. DOI tries to take advantage of the topography for hydropower generation. Many terms and conditions are yet to be made clear (licensing, revenue collection, management of the hydropower, etc.) 9. Sunsari Morang Irrigation Project (SMIP) has hydropower of 4 MW from Koshi river to irrigation system. The powerhouse is managed by NEA, Power required for drazer operation will be supplied by the power house free of cost. The system was built by DOI and handed over to NEA. 10. Jhankri khola hydropower and irrigation at head section of Khimti power house, Dolkha, Khimti Rural Electrification Cooperative (KREC) is managing

11 the system. This micro project of 600 kW is constructed with the financial support of Khimti Hydropower Project for the use of power during Khimti Hydropower intake construction. Later on the project was handed over to KREC. In Jhakre Micro hydropower project, there are two irrigation systems. One is before the headwork of Jhakre Project and other is after headworks. The regulation of water is managed by Jhakre Project. 11. Myrsangdi Hydropower and Rainastar irrigation. This irrigation is from Chepe khola, tributary of Marsyangdi, The construction of Rainastar irrigation has effected the potential power generation. This system has 3500 square kilomer as its catchment area. Hence, water within this are will be the water right of Marsyangdi sysem of Abu Khairani. DOI is planning to have irrigation facility development in Tyangling tar which is located before the dam of this hydropower. DOI is planning to have pump irrigation development in Marsyangdi corridor by usining Marsyangdi water. Is it allowed? 12. Reservoir type hydropower: It has different feature. Such system can make decision where to use water economically, whether in irrigation use or generate more power. Who manages the reservoir, such decisions would be made. Trade-off of hydropower and irrigation will be decided by the manages of reservoir. 13. Chaurjhari Irrigation system and hydropower, 500kW hydropower, of Rukum District. It was operated by Cooperative. It is no longer functioning at present. 14. Pharping Hydropower (500 kW), oldest powerhouse in Nepal over 100 years old, It is considered 2nd hydropower in Asia. There was system sharing of water in hydropower, irrigation and water supply even during those days. During paddy cultivation time, water gets priority to irrigation and hydropower later on. It was reported that there is written agreement between users of irrigation users and hydropower producer) 15. Bheri-Babai Diversion Project. This project diverts 40m3/s water from Bheri river to Babai through 12km long tunnel at Chure range. This water will generate 48MW electricity and irrigate 51,000 ha round the year irrigation in Banke and Bardiya districts. The agriculture production will bring about 3.1 billion NRS worth of agriculture production. The income of hydropower will be substantial. 16. Dordi hydropower of Lamjung made written agreement with the water users of Rampurphant irrigation system to make dam across the Dordi Stream in order to raise the water level so that irrigation water can go through the side intake constructed by DOI. 17. Khudi Hydropower has no impact on irrigation. It is basically for hydropower generation 18. Tanuhu High Dam Company has 140 MW capacity of hydropower generation. This is reservoir type system. 17 km long water ponding takes place and backWater will reach up to Bhimad. Around Bhimad and Rishing phant, about 200 ha irrigation facilities could be improved. But the Dam

12 project does not have provision for irrigation development. Dam is concerned only for energy production. 19. Khopasi Hydropower project has about 200 ha irrigated area before water reaches the powerhouse. The canal leading water to powerhouse has 7 outlets for irrigation in the channel. 20. Mardi hydropower Project: Mardi hydropower (4.6MW) shows the current trend in hydropower sector of skimping on hydrological analysis. As a result, it was decided later to divert from two different downstream rivers such that adequate power is produced during the dry season. The two rivers- Seuti and Thadey khola had their own farmer managed irrigation systems prior to the construction of hydropower. These irrigation systems are observed to have been profusely impacted as these canals face water availability issues and have given rise to conflicts. Mardi hydropower Project has about 50 ha irrigated area between weir and dam. This system takes water from three rivers. The project has provided three outlets for irrigation in the paddy season for Mardi bang and one outlet from penstock pipe for Saiti Ghatta for irrigation round the year. However there is no enough water for paddy cultivation in Saiti Ghatta during wet season as the volume of water from outlet is not enough for all the farmers. Ridi 2.4 MW hydropower project has about 20 ha of irrigated area between dam and the powerhouse. There are five irrigation canals: three for Gulmi and two for Palpa district. The project has provided two outlets from the desilting basin for one canal and concrete dam downstream to feed four canals. The project is providing some percentage of maintenance cost for the canals every year.

5. OBSERVATIONS FROM THE RECONNAISSANCE STUDY

a. Interrelation in benefit sharing between hydro and irrigation It is found, on many sites, that good benefit sharing between irrigation and hydropower can be done. Mostly, hydropower projects can complement in improving irrigation infrastructure and introducing new technologies like lift irrigation systems. However, there is need to plan about this before project implementation takes place. (Tanahu High dam Project is under construction) b. Negotiation about water sharing between hydropower and Irrigation On many occasions, negotiations have made the benefit sharing became possible. The examples are of Bijayapur, Dordi, Andhi khola, and Khopasi. c. Catchment area and water right issue While issuing license for hydropower project, catchment area and water quantity for the project is defined. How is that monitored and supervised is not clear? How is the flow of river is regulated? In most of the systems, 10% river flow is hardly maintained during dry season.

13 d. Issues in new irrigation Development in Marsyangdi river corridor Once the catchment area is assigned for the hydropower project, other activities are not allowed in the catchment area. Even for the new hydropower development in the same catchment area, the prevalent laws do not save the water right of the existing project. There was conflict for construction of Rainastar Irrigation System from Chepe River which is one of the tributaries of Marshyangdi river. Department of Irrigation is planning to develop irrigation in the Marsyangdi corridor where it is estimated to have 20,000 ha tar land. Will the hydropower companies allow the use of Marsyangdi river water for this irrigation development? One has to see how the water use priority set by Water Resources Act is being implemented between hydropower, irrigation and drinking water supply. e. Sectoral Approach on investment decisions It has been sectoral approach in investment. Hydropower people are concerned only for energy generation. However, it is found that irrigation development is usually accompanied by hydropower component as well. There are many examples like RJK irrigation, Fewa, Bijaypur, Seti in Kaski, Sunsari Morang Irrigation System, Bheri Babai River Diver Project with both irrigation and hydropower. However, there is no incentive for the hydropower developers for integrating irrigation system in the project. f. Registration of Hydro and Irrigation, in different agencies Hydropower development by separate agency including government companies and private investors company. Integrated approach in water resources infrastructure development has not taken place as yet. g. Intake and power generation ( in between effect) Headwork diverting water for powerhouse through tunnel or different channel make irrigation water available to the farm lands. Some mitigation programs are implemented. The case of Jhimruk is interesting in this context. Puwa khola of Illam has also the similar experience. h. Other economic activities in assigned catchment area (like distillery, poultry and others) It is found that there has not been natural flow of 10% is not observed so other economic activities between the dam and powerhouse became difficult. In the case of Marsyangdi of Abu Khairani, 10% river flow is not maintained so the economic activities around this are is suffering like distillery, poultry and cement factory etc. i. Water flow and environmental flow of water It is not clear how and who are monitoring the river flow and environmental flow of river. This situation of maintaining will be crucial when many economic activities will have to take place above and below the dams. Enforcement and monitoring agency (licensing agency, monitoring and implementing agency) has to be effective for evaluation and monitoring of the status. j. IWRM approach, basin approach and water resources inventory, etc. Keeping in view of the situation as developed for development and other water infrastructures, there is now urgent need of basin planning with clear

14 allocation and good analysis of trade-off water use in different sectors. Basin Planning will help to take the IWRM approach. k. Revenue of hydropower can help maintenance and operation of irrigation systems There seems no system of revenue sharing between hydropower and irrigation. In Pokhara, hydropower generation is made by using irrigation channels constructed by Department of Irrigation but revenue from power generation is not shared with DOI. However, DOI keep on maintaining the diversion weir and channels out of its own resources. DOI now must use the falls in the channel for power generation and use the revenue for irrigation system maintenance. l. Defining impact area and its basis There is need to fix criteria to define impact on downstream area of a hydropower or to downstream irrigation systems. In the case of Jhimruk, 10 VDC is considered impact area of this project. m. Change In Land Structure On one hand, agricultural lands are being largely converted as urbanization accrues. People are shifting vocations from agriculture to some other income generating activity, as a result, irrigated lands are left barren. Those, into agriculture face manpower shortages. Furthermore, the previously observed enthusiasms in farmers and water user’s group have lost voicing, as the problem cumulates. This has left hydropower projects at an advantage as previously allotted water for irrigation is now diverted completely for hydropower generation. Example: Phewa and Mardi hydropower.

Proposed Detail Case Study for Final Report.

1 Marsyangdi Hydropower (NEA), Abu Khairani, Tanahu 2. Andhi Khola Hydropower Project, (BPC) Galyangbhangyang, Syanjya 3. Jhimruk Hydropower Project ( BPC) of Pyuthan 4. Bheri Babai Diversion Project (Department Of Irrigation ), Surkhet 5. Chatara Hydropower of Sunsari-Morang Irrigation Project (NEA), Morang 6. Puwa Khola Hydropower Project (NEA), Illam 7. Panuti Hydropower Project (NEA), Kavre

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Appendix 1: Information on the Reconnaissance Study of the Hydropower and Irrigation Systems.

1. Seti Hydropower System, Pokhara, Kaski

The Seti canal supply water to (a) Irrigation for Pokhara (b) Seti Hydopower Project (c) Bijaypur Hydropower and Bijaypur Irrigation System and (d) Task hydropower

History of the systems development- irrigation

Seti irrigation canal is not only providing irrigation for 1030 ha (now must have been reduced as the non-agriculture activities are taking place in the command area) but also providing water for TASK hydropower (1 MW) , Bijaypur irrigation and also to Bijaypur Hydropower project(4.6 MW). Bijaypur River is also feeding water to Bijaypur Irrigation system and Bijaypur hydropower. However, the water from Seti canal is crucial for both Bijaypur irrigation system and Bijaypur hydropower project.

Bijaypur Irrigation project was completed in 1956 through Colombo Plan with assistance of Indian Cooperation Mission. The irrigation canals could not last long. Again, with the support of Asian Development Bank , the canal was renovated and also expanded in 1989. However , water in the Bijaypur river was too low and low flow for eight months . It was not enough to irrigate spring paddy and vegetable farming. After the establishment of Bijaypur water users group in 2000, the Bijaypur water users group took initiation to bring the water from Seti irrigation canal at Dui Kulo Ko Muhan through link canal. After successful completion of the link canal, there was enough water for irrigation for spring paddy and other crops.

In 2008, Task Hydropower Company built powerhouse in the link canal which feed water to the Bijaypur irrigation system. TASK hydropower system(1 MW) has two turbines with 500 KW capacity each. Both of these turbines after generating power feed tail race water to Bijaypur river. The weir of Bijaypur irrigation system starts just below the tailrace of TASK hydropower system. In 2011, Bijaypur hydropower project(4.5 MW) was built downstream of TASK hydropower and Bijaypur irrigation system. Due to Seti link canal and Seti irrigation canals, it was possible for Bijaypur hydro to function as these canals ultimately feed water to the Bijaypur river.

Both Hydropower station at irrigation canal and Hydropower stations are discharging water to irrigation canal. Both hydropower and irrigation infrastructures are used for irrigation and hydropower.

TASK and Irrigation department has an agreement. TASK can only use leftover water from irrigation. TASK is responsible for simple maintenance of Seti irrigation canals. Basically , TASK is only responsible with the weir at Dui Kulo Ko Muhan and Link Canal and the power house. However if some minor renovation is needed in Seti main canal, TASK is responsible to maintain it.

20 In the case of Bijaypur hydropower project, there is no agreement between irrigation department and the hydropower. Bijaypur hydropower is not obliged for any kind of duties. This hydropower is just the beneficiaries of existing irrigation canals. In Seti canal and Bijaypur Canals, there are private sector and public sector hydropower projects.

Hydropower system (TASK) was added in running of irrigation system after 20 years of the existence of the canal.. So it was a prize project for private hydropower developer as all the canals were already there. The developer invested only in weir and powerhouse.

However, the systems belong to different agencies. Irrigation systems belong to Department of Irrigation. Hydropower unit of Seti belongs NEA and other hydropower units belong to private parties. The bigger bulk of maintenance of Seti canal and its repair is usually undertaken by Department of Irrigation. However, there is no mechanism of revenue sharing between hydropower and irrigation systems in Setical.

Operation and maintenance of both systems

All the irrigation canals are under the responsibility of Irrigation Department. Only the minor maintenance is taken care by TASK hydro which is also upon request by water users group or sometimes if the power production is affected, then they act on it.

Until now the major contribution of TASK and Bijaypur Hydropower was that they installed 135 m of penstock pipe in Seti Dam to channelise water from Seti rive to the Seti irrigation canal. This cost them 12.5 million rupees. This is the temporary penstock which they will remove before 2075 monsoon. Irrigation department is investing 250 million for the renovation of the Seti dam which was destroyed by the Seti flood of 2016

Benefit of Irrigation

Irrigation from Seti canal in 1030 ha of Lekhnath Municipality.

There is no such agreement between water users group with hydropower. Bijaypur hydro is using left over water from Bijaypur Irrigation system

Priority of water use is always for irrigation, however, the priority is gradually changing due to change in agricultural activities and agriculture land being used for housing purposes and urbanization around command area.

Hydropower of Task and Bijaypur is linked with central grid. Electrification has taken place in the local area as well from central grid supply system.

Both TASK and Bijaypur Hydro power projects are connected to central grid.

The Task hydropower pays Royalty of 2 lakh/year to the government per benefit sharing provision of the Local Self Governing Act. Under the Corporate Social Responsibility (CSR) 4-5 lakh/year is being spent by Bhagabati Hydropower Company. However, benefit impacts are not visible. Water Users Group of Bajaypur feel that the

21 hydropower should pay them more maintenance amount since hydropower many more money of power generation. However, there is conflict which has not come out to surface as yet.

2. Fewa Lake Irrigation System

History of the system

Fewa power canal was constructed in 1969 with the assistance from Indian Government. The canal for power house is one km long with 2M3 capacity. This powerhouse is in operation till today with occasional interruption due to water shortage and canal breaching. Water to the system is fed by Fewa Lake like Reservoir system. Among number of canals, one canal is dedicated to this hydropower. After 500 meter, the main canal is channeled into two canals: one goes to powerhouse and the other continues as main canal for irrigation. The initial objective of this infrastructure is multi purpose. This project has both irrigation facilities as well as power generation. It is a multipurpose project. At one poit, this power house is the main source of power supply to Pokhara area. At the initial sage, integrated approach was taken in designing and implementation of the project. Later on the implementation was done by two different agencies , NEA and Department of Irrigation. NEA is responsible for only one canal from Biruwta to powerhouse. The land scape of the command area of the irrigation systems changed. Irrigated area is now taken over by housing plots . Technically, only the left over water from the irrigation co used available in those days for power generation. In the wet season, the hydro canal was closed every Saturday , so that the farmers could irrigate. However now, the command area is also decreasing and the canals are not renovated therefore the irrigation water efficiency is low. It seems that all water is diverted to power generation in the dry period when there is no farming activities.

There is no cost sharing arrangement between irrigation and hydropower. Since the canals are separate for irrigation and hydropower, there is not major problem of water sharing except during breach of the canal. The command area water duty is one of the highest in Nepal. Back in 19865, Rapid Appraisal Team of Colorado University estimated the water duty of 11 liter/s/hectare.

There is a water sharing arrangement between irrigation and hydropower. During pick agriculture season , priority is always given for irrigation in the pick season. There is a rule that if the water is not enough for irrigation then gate in the hydropower canal is closed to divert water for irrigation. During dry period period, agriculture activities have reduced so water is diverted to hydropower.

There is much wear and tear in the system. Maintenance of the system has become a problem . Now only two turbines of 250 KW each out of four turbines are functional. This system is producing only 200 KW at the moment (29 Jan 2018)

3. Bijayapur Hydropower System, Pokhara, Kaski

Seti irrigation canal is not only providing irrigation for 1030 ha (now command area must have been reduced due to other uses of land as multiple development activities are

22 taking place.) but also providing water for TASK hydropower (1 MW), Bijaypur irrigation and also to Bijaypur Hydropower project(4.6 MW). Bijaypur River is also feeding water to Bijaypur Irrigation system and Bijaypur hydropower. However, the water from Seti canal is crucial for both Bijaypur irrigation system and Bijaypur hydropower project.

Bijaypur Irrigation project was completed in 1956 through Colombo Plan with assistance of Indian Cooperation Mission. The irrigation canals could not last long. Again, with the support of Asian Development Bank , the canal was renovated and also expanded in 1989. However , water in the Bijaypur river was too low and low flow for eight months . It was not enough to irrigate spring paddy and vegetable farming. After the establishment of Bijaypur water users group in2000, the Bijaypur water users group took initiation to bring the water from Seti irrigation canal at Dui Kulo Ko Muhan through link canal. After successful completion of the link canal, there was enough water for irrigation for spring paddy and other crops.

In the case of Bijaypur hydropower project, there is no agreement between irrigation department and the hydropower. Bijaypur hydropower is not obliged for any kind of duties. This hydropower is just the beneficiaries of existing irrigation canals. In Seti canal and Bijaypur Canals, there are private sector and public sector hydropower projects.

Hydropower system (TASK) was added in running irrigation system after 20 years of the existence of the canal.. So it was a prize project for private hydropower developer as all the canals were already there. The developer invested only in weir and powerhouse.

However, the systems belong to different agencies. Irrigation systems belong to Department of Irrigation. Hydropower unit of Seti belongs NEA and other hydropower units belong to private parties.

The bigger bulk of maintenance of Seti canal and its repair is usually undertaken by Department of Irrigation. However, there is no mechanism of revenue sharing between hydropower and irrigation systems in Setical.

24 Operation and maintenance of both systems

4. Mardi Khola Hydropower, Pokhara, Kaski

Mardi hydropower project with 4.8 MW capacity is a small hydropower project in Mardi river, one of the tributaries of Seti river in Gandaki basin . It is located in Kaski district of Western Nepal. This project is developed by Gandaki Hydropower Limited. The commercial operation of the project started on 22 January, 2010. This project produced 27.138 million Kwh in 2015/2016 fiscal year and paid 2.652 million rupees. as royalty to the government of Nepal. Mardi Hydropower Project uses water from Mardi River. From one kilometer from the weir at Saiti Ghatta , this project adds water from Saiti river, the tributary of Mardi river for power generation. Further downstream , the project also takes water from Kuibang Thado Khola before the project. This project is connected to the national grid. This project has benefitted local people with electricity, road, irrigation canals. The affected village council gets Rs.300,000 (3,000 USD) every year.

Farmers used water for irrigation from Mardi river . Saiti river and Kuibang Thado Khola, which are now diverted to Mardi Hydropower Project for power generation. Near the weir side, Mardi river used to irrigate 4.5 hactare of farmland. Similarly, Saiti river used to irrigate 6 hectare of farmland. In addition from Kuibang Thado Khola , farmers used to irrigate 7 hectare of land. Now, three of this river is diverted to power generation. Famers used to harvest three crops: paddy in the monsoon, wheat/mustard/potatoes in the winter, and maize in the spring. Mardi Hydropower is the run of the river system. Location of those facilities

There was a micro hydro system in the Saiti river before Mardi Hydropower was constructed.. Hydropower company negotiated with local people. Local people handed over micro hydropower and water right of Saiti river to the Mardi Company and instead got electricity and compensation from the company. Before hydropower, all of these rivers fed water in farmer managed irrigation systems. After hydropower, these rivers are diverted to power generation and the developer has supported farmer for improving irrigation canals.

Negotiations between the farmers and power developer played role in benefit sharing both in irrigation systems as well as in other sectors. Compensation of micro hydropower and for water right use was provided. In term of profit, hydropower is making more money. In term of food security, people have also benefitted through the improved irrigation structures..

25 Investment for hydropower is made by hydropower developer. However, power developer company initiated mitigation work by improving irrigation canals for the farmers. Existing farmer managed irrigation canals are managed by farmers. The hydropower is managed by the power developer company. Hydropower structures are developed by hydropower developer and irrigation canals by farmers. However, for using Kuibang Thado khola water , the developer has provided Rs.30,000 for Kuibang community.

Farmers also benefitted from the hydropower development. Actually, farmers are benefitted as irrigation structure are improved and water losses are sealed so that they do not have to put more efforts to improve temporary weirs and also earthen weirs.

Benefits were distributed to the local community by the Hydropower Generation Company. They are: a) this hydropower is linked to central grid. b) The company has provided 44KW of electricity for affected people in the project area. The quality of electricity supply has improved.

Besides these benefits, the company has provided one teacher along with salary for the local school. The company has also expanded the road which helped men and women to sell the their agriculture produce in Pokhara market and come back. It is has helped reduce the time for the domestic work.

5. Aadhikhola Hydropower Project, Galyang, Syangja

Aadhikhola Hydropower Project (AHP) was started in 1984 and completed in 1988. Among three inlets, two serve for power production and the rest serves for irrigation. Construction of irrigation canal was started in 1988. It was built with the financial and technical support from United Mission to Nepal (UMN). AKWUA was formed in 1985. It is the first WUA registered in CDO office of Syangya under Association Act of Nepal. Later on, UMN handed over the irrigation system to AKWUA. UMN supported to build AKWUA building.

This irrigation system has covered 850 households and have irrigated 330 hectors of lands all year around. This irrigation system is serving six wards of two VDCs from Syangja district and two wards of Hungi VDC from Palpa district. There is an agreement between AKWUA and BPC for the allocation of water. The agreed flow of water in the irrigation canal varies in monsoon and dry season. From June to October, the agreed rate of flow is 684 l/s and from November to May, the agreed rate of flow is 300 l/s. In the month of April, BPC supplies 50 L/s extra water for maize plantation.

This irrigation system is serving both directly and indirectly affected people. Farmers are growing three crops such as paddy, wheat /vegetable, maize, potatoes.

Andhi Khola Hydropower project is the basin diversion project. AndhiKhola water is to divert to Kaligandaki through tunnel at Galyangbhanjyang.

This is unique project which has interesting history of undertaking both irrigation development and hydropower development simultaneously. Initially, when this project was conceived, it was only for hydropower. The designers looked for funding of this

26 project. The funding agency was not interested to fund such project which will not have any benefit to the local people. If it had been hydropower project, the power will be connected to central grid and people somewhere will benefit. Local people will not have continuing benefit out of hydropower. The funding agency wanted to see that this hydropower project also should include irrigation component for the benefit of the local people. At the initial stage the it was aimed to generated only 3MW. It on, it expanded. Now, it generated around 9MW.

This project was partly rural development, land reform program with the emphasis that those who have bigger land holding have to sale certain percentage land to the project, the project influence area was defined. All the people within project influence are made the stakeholders of the irrigation system. They get water share so water and land are made separated. Water distribution is on the basis of share, not on the basis of land holding. Those who have water share but no land, they can sale their water share to those who want buy water.

This is unique type of project where farmers are made owners of the system and system is to be managed by the water Users Association. There has not been replication of such system in Nepal as yet. This project tries to share benefit of hydropower (through rural electrification) and irrigation development in a new way.

6. Tanahu High Dam Hydropower Project, Tanahu District

This project is located at Tanahu district. This is reservoir system with 140 meter high concrete dam. It will make 17 km long ponding of water which extends up to Bhimada of Tanahu.

This project will generate 140 MW . It will have 1.2 km long tunnel to bring water to underground power house. The tail race water will be sent to Madi and finally it will again join to Seti.

Along the reservoir area , there is no potential area for irrigation development. The project will affect about 25 ha irrigable area by submerging by water. It is aroud Waton Khola and Liban Khola , Tributary of Seti River.

This is one of the biggest reservoir system, second to Khulekhani Project. There will be no power generation to two months, i.e. in June and July. During this time, water will be flushed out to desilt the floor of the dam. Seti river is one of the high silt load carrying rivers . Hence, this project generated power in winter. The per unit cost of power in winter is high so power generation in winter make this project profitable. It is aimed at 105 MW power generation from tail race water at 20 km downstream.

Forest area is affected but not irrigated area or irrigable area. This reservoir will be located in the gorge where agriculture land is not available.

NEA gives priority to power generation. Its priority is to get maximum benefit of energy from available water.

27 Meeting with Mr. Navaraj Gaire , Mr.Rok Bahardur Gurung and Mr.Murali Mohan Gaire. According to them, There are five potential tars ( river terrace)along the ponding areas of Tanahu Seti Dam around Bhimad area. They are :Male Bagar (30 ha); Baduwa (80 ha), Rising Patan(100 ha); Badar Kuna (10 ha) and Chhang village pality (75 rha). Altogether there are about 300 ha of potential irrigable areas. This area could have lift irrigation when there will be ponding of water in the reservoir. When the team discussed with the project people about irrigation potentiality at Bhimad area i.e tail end section of the dam.The team also had discussion with the Head of Irrigation Division of Tanahu District, Mr. Haridatta Paudel. He is not aware what the High dam people are doing regarding irrigation . There has not been any meeting between the high dam people and irrigation division of of Tanahu. The Division chief reported to us the program of the Division. • Irrigation department has a plan of solar lift irrigation program in Rising Patan from Wantang Khola. Later this will be submerged and they are proposing for floating pump. • Irrigation Department does not know what is going on in hydropower project affected area. They are also not fully aware on how the hydropower project could affect their already identified potential irrigable areas. There is no mechanism where irrigation department and power department could have coordination. It seems like a stand-alone organization although they both deal with water. • There is a plan of Irrigation Department that 5000 ha of lift irrigation in Marsyangdi, Seti, Madi, Kalingandaki and Daraudi river corridors. • There are many tars along Marsyangdi corridor. There is Chyanglingtar in the other side of Bimal Nagar in Gorkha side. • The existing norm is that if the command area is less than 10 ha t , it falls under the local government. Now, as the local governments are emerged , the limitation of 10 ha could be increased. • the issue of water right is so fuzzy. Water use is prioritized but in practice it is not happening that way in the field.

7. Marsyangdi Hydropower Project, Abu Khairani, Tanahu

Marsyangdi Hydropower has pick generation capacity is 69MW. In winter (lean period) Ithe power production is only between 29 to 30 MW. The lowest discharge in the river for power generation is around 36M3. The catchment area for this project is assigned as 3,500 squire km. Hence, the water with in this catchment is the water right of Marsyngdi Project specially this issue of water right becomes prominent during dry period of the year. It was reported that there aws conflict when Rainastar irrigation system was about to be constructed by the Department of Irrigation. Chepe river is one of the tributaries of Marsyangdi and falls within the catchment area of 3500 squire KM. rainastar is to use 7 M3 water from the river. Later on, the Rainastar irrigation system was constructed. Close to intake and ponding area of Marsyangdi at Abu Khairani, it is allowed to take water by pump for irrigation. This provision of irrigation was made available by the project itself.

28 New Generation Challenges: During the time the project was constructed, there was no challenges of water use for agriculture from Marsyangdi River. There were not agriculture lands adjoin to the river except those big river terraces which are dependent on local water sources or that of rain water.

Irrigation Department has identified about 20,000 ha potential river terrace (tar) area for irrigation in the Marsyangdi corridor from Middle Marsyngdi to Mungling area. There are Tumlingtar, Rainastar,Bhansartar, Chamlingtar etc. Previously, there was no technology to have river lift irrigation. Now there is hydropower and lift technology. Based on so called water right of Marsyangdi Hydropower within catchment area, will it be possible to irrigated those 20,000 ha tar area?

How can there be a balance in maintaining the power production as well as food production opportunities to feed the growing population in Marsyangdi corridor.

Another interesting observation in Marsyangdi Abu Khairani is the environmental flow of water in the river. It is observed that there is no 10% environmental flow of water in the river at the dam site of the project. This has resulted into adverse impact in the sorrounding economic activities like in that of poultry farm, distillery and cement factory. Who is to monitor the environment flow of water in the river system.?

8. Dordi Hydropower Project, Lamjung

Within Dordi Catchment area, there are 8 hydropower projects under construction. They are: a. Super Dordi “kha” hydropower Project ( 54MW) b. Dordi Khola Hydropower Project (27MW) c. Dordi “A” Hydropower Project (25MW) d. Dordi Khola 1 hydropower Project (12MW) e. Nyadi Hydropower Project (30MW) f. Rudi “a” Hydropower (8.8) g. Rudi ’B” Hydropower Project (6.6MW) h. Super Nygdi Hydropower ( 40.27MW)

There are several hydropower projects under construct in the catchment area. Hence, one can see the water based infrastructures being developed in the catchment area. This shows how water allocations among different sectors are to be made and avoid conflict situation.

Among these hydropowers, Dordi Khola Hydropower is selected for investigation in relation to water sharing between the irrigation and hydropower.

Irrigation Department has established prior right to irrigation scheme before 8 years from Dordi Hydropower project license approval. Water users group also claimed water right in the district development office. Therefore, Dordi hydropower project has agreed to allocate 0.5 cumec water for Ramchowk Phant irrigation project. There is an agreement between water users group and Dordi Hydropower Project. The agreement states two major points:

29 a) The project will build permanent weir to divert water for irrigation. b) Release of 553 l/s water for irrigation to Ramchowk Phant.

Ramchowk Phant irrigation scheme Water Users Association is registered in District Water Resource Committee under Water Resource Act, 1992.

Meeting with Dordi Hydropower Site engineers • Dordi hydropower is developed by Himalayan Power Partner. The targeted time for commission is August 2019 • The design discharge is 15.3M3/s • The total environment flow is 553l/s • The net head is 199 m • Before project is completed, the company will build intake for irrigation. There is an agreement between water users and the company.

Meeting with Water Users Committee of Ramchowk Phant • Farmers want to use this water for irrigation. The Ramchowk Phant irrigation has started about 8 years ago, however all main canals and branch canals are yet to be completed. It has side intake. When there is less water flow in the river, the side intake might not work to get irrigation water. Therefore, farmers are insisting for the fulfillment of the terms of agreement. This agreement is between the WUA and Hydropower Company.

• Only 4 km of main canal is completed. This scheme is funded by Department of Irrigation through the users group. • If the total area is irrigated, the yearly output of paddy will be 3 to 4 million per year. • Farmers are concerned whether Hydropower company comply with the terms and conditions of the agreement. • In case agreement is not fulfilled, the WUA members are contemplating to stage protect against hydro-power company.

This is an example where the negotiation for gaining benefit from hydropower is important.

9. Khudi Hydropower Project, Lamjung

This project is basically hydropower project from Khudi Rive , one of the tributaries of Marsyangdi river. It does not have adverse or complementary impact on existing or potential irrigation systems.

This project was new in the region so people did not know what hydropower project was and what it would entail.

General information of Khudi Hydropower • 2.45 m3/s discharge of one turbine. There are two turbines of 2 MW capacity of each.

30 • Head is 100 m • The production of power in February is 60%: 1400 to 1500 KW • The project was commissioned in 2006 • There is no penalty clause for BPC/Khudi project • There would be full generation of power for 5.5 months. • The source of water is snow fed river. • BPC bought license from Lumjung Bidyut Vikash Company to build this hydropower. • There is a committee formed out of the local stakeholders. The committee takes care of the demands and grivances. So the Khudi Power Company decided to double the CSR amount and handed over to the concern committee • Per year, 2.2 million rupees royalty is paid to the government • There was big disaster in the infrastructures of the system due to flood in 2008. The renovation was done at the cost of Nrs.170 million rupees.

Nominal Impact on Irrigation System

Between the hydropower weir and power house, there was two ha of irrigable land where people cultivate paddy. There were four households who owned land there. Now with penstock pipe running through middle of this agricultural land, the project has arranged alternative source of water for irrigation. That alternative means of irrigation system was washed away by the flood. Now the project is providing pump to the farmers who are cultivating paddy in the wet season. Due to the lack of water, the land owners are not interested in cultivation. They have land in other part of the village as well.

The project provides benefit to the local community as the part of Corporate Social Responsibility. A committee is formed out of the members of the local community. Following facilities are provided. • Rs. 600,000/year for three VDCs: Khudi, Ghan Pokhara and Simpani • Football ground for the local people • Support to local school • Road construction: track of 400-500m • Temple renovation • Electricity pole to the villages • Skill development training for 30 people in Butwal Technical Institute. The training was on electrical, mechanical and civil . The duration of training was one year. These people who took training are working in hydropower sector in other parts of the country or some has gone out of the country.

In mnay places, it is found that hydropower project under Corporate Social Responsibility (CSR) is providing many facilities for community development activities so is the case in Khudi Hydropower as well.

31 10. Jhimruk Hydropower Project, Pyuthan

The 12 MW Jhimruk Hydro Electric and Rural Electrification Project (JHEREP) is a run- of –the river type of scheme which was started in 1989 and completed in 1994. The project was constructed by Butwal Power Company Limited (BPC) and is located in Pyuthan district in the Western Nepal. The intake is located at Jhimruk River in Khaira and Ramdi Village Development Committee (VDC). The discharge is conveyed to the powerhouse located at Kitghat, Ramdi VDC on the left bank of Madi River via a 1.05 km long tunnel. This is a inter basin transfer hydropower project.

Salient Features of the Project Installed Capacity 12 MW Number of Units 3 Head 205 m Required discharge 7,050 ltr/sec Commercial Operation started 1994 Headrace Tunnel length 1,050 m Penstock Length 381 m Dam Length 255 m Crest Elevation 738 msl Tailrace Short tunnel for each unit and open channel

At the time of the construction of JHC, Environmental Impact Assessment (EIA) was not a mandatory planning and management tool in Nepal. So detailed Environmental Impact Assessment (EIA) study covering socio-economic and bio-physical aspects of the Jhimruk Hydroelectric Project was not carried out during the study phase of the project. Identification and addressing the need for upstream and downstream river training including possible future impacts of climate change and natural hazards were not emphasized during the planning of the project as it was not mandatory at that time. However, JHC has followed all the existing rules, regulation and directives of GoN of that period.

Meeting with project officers in Jhimruk Hydropower Project (16th March 2018) • There were two big incidents that took place in the history of Jhimruk hydropower project where property worth millions of rupees were damaged. The first incident was in 2001 from Maoist cadre when ransom was denied. The next one was in 2012 for imposing load shedding in affected districts. Then the Chief District Office, Pyuthan instructed to have proper study of the impacts of this system in the livelihood of the affected people. Thus, in 2010 , Jhimruk downstream Impact Mitigation Study was carried out. This study has increased the number of impacted VDCs from eight to ten. The study report submitted to CDO and BPC on May 2011. • This project impacts 150 ha irrigable land downstream of the dam. 10% of design discharge is released as environmental flow. In addition, extra water is released for paddy seed bed preparation transplantation. Water is released consciously by taking into account of local situation and crops. • Every year plastic sheets worth 1.5 lakh (150,000 rupees) is provided to the farmers to reduce seepage and leakage in the intake of the canals. For Gadari

32 irrigation (which is one of the three immediately impacted canals), plastic sheets are provided two or three times for optimal use of water/and to check seepage from the canals. • After the protest in 1994/95 1m3 extra water is released during dry period. There is agreement between BPC and the community about the water release in the river. • When there is a big flood and the silt level is high, the power house is closed. Therefore all the humus filled flood water goes to the river and the field. • Every year, BPC/ Jhimruk hydropower project carries out river training works from 200-300 meter upstream to downstream as suggested by the JDMP study report of 2011. Upto 2016/2017, BPC has spent Rs. 96,293,973 (96.3 million rupees) for river training of Jhimruk and Madi river. In addition, Rs. 20,950,616 (20.9 million rupees) for irrigation support through SUP (Social Upliftment Programme). • Every year, 2.5 million rupees are provided to JIDCO (Jhimruk Integrated Development Center) for SUP ( Social Upliftment Programme). SUP programme includes: Ø Irrigation Support Ø Skill development Ø Water supply Ø Road Support Ø Health Awareness Ø Income Generation Ø Other mitigation (downstream)

• On 2051/52 after the commissioning of the project, there was a problem of seepage in the area extended upto 300-400 meter upstream of the weir. Local people demanded that BPC buy all the land which has seepage problem. Altogether BPC bought 646 ropanies of land in weir side and powerhouse including the seepage land upstream of the weir side. • In 2017 July, there was a big flood and the river discharge was 950m3/s. Most of the intake of canals downstream were destroyed. The estimated renovation cost would be 10 million. However, four million rupees were provided through JIDCO for immediate temporary maintenance so that the farmers could at least irrigate the paddy crop. • In the month of May/June, the power production goes down to 1 MW or sometimes there is no power generation as May/June are the low flow month and the discharge is the lowest. In addition, the project has to provide extra water for irrigation in this period. The project collects the water for few hours and then run the turbine to generate power. • The project is also supporting lift irrigation. There are seven lift irrigation systems supported by the project, and two more lift irrigation supported from Poverty Alleviation Fund (PAF). The electricity tariff for the lift irrigation is half

33 in comparison to the regular household tariff. The farmers do not have to pay demand charge at the initial stage. • There are 26 water users groups. All the water users groups are registered in district irrigation office. During the JDMP implementation programme, district irrigation officer was invited and all the water users groups were registered. Name of the canals and their specification area as below.

Canal Intake Command Name of Irrigation S N VDC Distance From Irrigable Region Area Canal Dam (Km) (Hector) 1 Ramdibesi Canal Ramdi 0 Ramdibesi/Golapur 9.88 2 Dhundi Canal Khaira 0 Golapur/ Dhundi 11.55 3 Dhairebagar/ Khaira 0.3 Dhairebagar/ 9.03 Majhbagar Canal Majhbagar 4 Parathunga Canal Ramdi 0.5 Parathunga 9.1 5 Gadari Canal Khaira 3 Gadari 3.18 6 Chhap Canal Dhubang 5 Chhapa 1.41 7 Khamchi Canal Dhubang 6 Khamchi 2.85 8 Dhubang Canal Dhubang 6.5 Dhubang/ Tari 15.3 9 Kairan Canal Dhubang 8.5 Ghukusi(Kairan) 2.07 10 Harnaghat Canal Dhubang 11.3 Chalise/ Kholakhet/ 2.01 Harnaghat 11 Sarangbesi Canal Raspurkot 9.5 Sarangbesi/ Nabbe 5.44 phat 12 Khabang Canal Raspurkot 12.3 Khabang 10.03 13 Jhibang upper Canal Pakala 13.75 Jhibang 7 14 Jhibang Lower Canal Pakala 14 Jhibang 11.67 15 Ghuibang/Gothibang Raspurkot 15 Ghuibang/ 7.32 Canal Gothibang 16 Chunnatappu Canal Pakala 18 Chunna Bagar 6.04 17 Baraula Jadi Canal Baraula 20 Jadi Baraula 16.96 18 Lower Malabang Canal Baraula 21.5 Malabang 25 19 Majhphant Baraula Baraula 21.3 Majhphant 20 Canal 20 Arlabang Canal Bijulee 22 Arlabang 3.32 21 Ladam Canal Bijulee 23 Ladam 2.9 22 Udiga Lift Irrigation Bijulee 20.8 Udiga Khet 3.98 scheme 23 Lower Sarangbesi Lift Raspurkot 10.75 Lower sarangbesi 8 Irrigation scheme Phant 24 Dabra Lift Irrigation Dhubang 11.2 Dabra Phant 1.8 scheme 25 Jadi Lift Irrigation Pakala 12.75 Jadi Phant 1.45 scheme 26 Pakala Canal Pakala 15.6 Pakala phant 3.71 Grand Total 201

• In the initial stage, BPC bought 33 ropanies of land to establish JIDCO.

34 Establishment of JIDCO (Jhimruk Integrated Development Center) • JIDCO was established in1997. • There was “Jhimruk Chhetra Bikash Samuha” ( a local group) who looked after downstream impact of Jhimruk Hydropower Project. This local group is turned into JIDCO. • There is an impact to 150 ha. The water shortage is maximum in the month of March- April-May-June. • There used to be two paddy crops but now it is reduced to only one. • There are 26 canals and same number of canal committees. Out of them 7 are left irrigation. The lift irrigation is as high as 30 m from the river bed. • Before this project, farmers used to contribute labor for one and two months before every monsoon. But now, the contribution labor is minimum. There is a huge sand and boulders mining in the river , so the river bed is receding and the water level is also receding leaving the intake canals above the water level in the river. • Irrigation division office is rehabilitating two-three canals which were destroyed by the 2016 flood. • The minimum discharge in the river is 0.5m3/s • Two canals: Ramdi Besi and Dhundi Besi, run from the weir for irrigation. The most impacted canals which are situated immediately downstream of the weir are Dhairey Bagar, Parchunga and Gadari. They get 25-30 l/s. They get maximum 40l/s. Meeting with Golfutar Irrigation Canal Committee • This irrigation command area is 9 km from the weir. • Through JIDCO, lift irrigation is practiced here however, this is not cost effective to use lift irrigation for paddy and wheat. These crops need lots of water and the more water it consumes, the more electricity bill the farmers have to bear. Lift irrigation is only fit for vegetable farming. • After the construction of Jhimruk Hydropower Project , the downstream flow in the river is reduced in big way, especially in the month of March-April-May-June. • all the springs are also drying up and the forest cover is also depleting. The communities upstream now divert water from springs for drinking purpose therefore the people in the downstream has water scarcity. • Due to 2016 flood, two canals were severely damaged therefore the farmers could not cultivate crops. They tried to use pump irrigation but it did not show expected output for paddy and wheat. • There is an agreement between irrigation committees and BPC company to release water from Bhaishakh 1 (April 14 or 15) to prepare seed bed for paddy and to sow the seeds. But water is not released as per agreement.

35 • Electricity is taken to other districts however we are deprived of water for irrigation. Due to the lack of water , there is less production of wheat and spring paddy. • JIDCO provided lift pump but the costly water taken through the expensive pipe was consumed by the earthen canals and the paddy field could not get enough water. • for vegetable farming, there is no proper road and market.

11. Bheri-Babai Multipurpose Diversion Project, Surkhet

The multipurpose project aims to construct 15-metre tall embankment at Chiple of Bheri-Ganga Municipality in Surkhet and divert the water of the Bheri to the Babai through a 12-kilometer tunnel. The diverted water will generate 48 MW and irrigate 51,000 hectare land in Banke and Bardiya districts.

Irrigation Department and China Oversees Engineering Group Ltd have signed an agreement to complete the project by March 15, 2019. The project has constructed road, dug the entry point of the tunnel and built the ring point. The project will also operate social and economic activities in the project-affected areas.

Similarly, a diesel plant of 4 MW has been set up and diesel storage with capacity of two lakh litres has been constructed. Graveling of the rural road, electrification for solar irrigation and canal repair work have been completed. The Tunnel Boring Machine (TMB) machine is an advanced type and will be used for the first time in the country. The machine will be used to dig a 12-km tunnel in Chure hill located between Bheri and Babai rivers. At the time of the study team visit to the site, 3km of tunnel has already been dug by TMB.

The project is estimated to cost Rs 16 billion. It has no foreign investment and is estimated to give Rs 2.40 billion profit from irrigation and Rs 2 billion from the 48 megawatt of power generated in a year.

Bheri Babai Diversion Multipurpose Project (BBDMP) has been classified by the Government of Nepal as "Project of National Pride. It is aimed to transfer 40 m3/s water from Bheri-River to Babai River under a head of about 150m to provide round the year irrigation to 51,000 Ha cultivation land in Bardiya and Banke districts. Present mandate of BBDMP is to develop headworks, headrace tunnel and related infrastructures to divert the water from Bheri River to Babai River and also to utilize the head available. A power house on the bank of Babai River will be constructed that will generate power of about 48MW. BBDMP includes three major components, namely about 12.34 km long 4.2 m dia tunnel, headwork and desanding basin to be constructed in Bheri River end, and third components include fore bay, penstock, powerhouse and electro-mechanical parts of BBDMPP is located in Babai River end.

This project has a long time and far reaching consequences about the irrigation development and hydropower generation by the Department of Irrigation. The expected

36 revenue out of power generation will be used for the O&M of Power house as well as the irrigation systems in Nepal.

This project ask for institutional reorganization accommodating the expertize on hydropower management and large scale irrigation system management in Banke and Bardia. This project is an example of complementarity of hydropower and irrigation development. It is not one against other. Both sectors work together and benefit equally.

12. Rani Jamara and Kulariya Irrigation System with Hydropower, Tikapur, Kailali

In the long run RJKIP will expand up to Kandra River in the west which plans to command 38300 ha including present command area. The project consist of 4.7 MW hydro power plant from the available head of 7m near Katase. It is under construction and with commissioning of main canal from Chisapani intake, Hydropower will also be commissioned. There are several irrigation projects having byproduct of hydro power too.

In hill irrigation system like Aarutar (200 ha) Gorkha, Surnayagad (400 ha) Batadi, Thangpaldhap (200 ha) Sindhupalchowk, Chaurjahari, Rukum are some examples which are producing hydropower in addition to irrigation facilities. These micro hydro power system are helping rural electrification in non irrigation time, especially night hours. Some of those hydropower units are already handed over to NEA. So irrigation system in terms of management, operation and maintenance (MOM) as well as necessary rehabilitation are not benefited from such multipurpose projects. It is proposed in RJKIP, the hydropower project is planned to be managed by the RJKIP and sale power to NEA. The proceeds will be used for O&M of the system.

Hydropower Benefit

It is conceived that the secondary benefit such as hydropower can be harnessed with the minimum cost increment in the irrigation project (RJKIP). The advantage of the RJKIP towards the hydropower projects are listed below:

1. Water conveyance system is the same for irrigation and hydropower project. 2. Silt free water, Desander is same for irrigation and hydro 3. Land acquisition and environmental clearance is the same in irrigation and hydro 4. No need to acquire land separately for the hydropower project

Hydropower Project

About 3100 kW can be generated from the canal system of RJKIP utilising the canal drop of about 6.5 m. From the preliminary study, the powerhouse can be located at chainage 10+365, where 2 m drop is proposed by the irrigation canal. At this chainage, the full supply level of the canal is 186.86 m and that of the bed level is 184.45 m. The design tail water level shall be 180.36 m. About 4.6 m depth of excavation expected at this

37 chainage to balance the power head. It proposed to construct the forebay at the end of chainage 10+365.

Benefit from Hydropower

The prevailing selling rate of power from the developer is NRs 4.8 per kWh in wet season and NRs 8.4 per kWh in dry season. The price of energy has been escalated by 3% per year for the next nine year. This energy price is valid for the power projects whose installed capacity is less than 25 MW. The total income from the project, therefore, estimated based on the prevailing Power Purchase Agreement (PPA) with Nepal Electricity Authority (NEA)

Table 3: Income estimate for the 9 years (Nrs) Dry season Energy Wet Season Energy Year Total Income Income Income 1 72,432,864 82,499,520 154,932,384 2 74,605,850 84,974,506 159,580,356 3 76,778,836 87,449,491 164,228,327 4 78,951,822 89,924,477 168,876,299 5 81,124,808 92,399,462 173,524,270 6 83,297,794 94,874,448 178,172,242 7 85,470,780 97,349,434 182,820,213 8 87,643,765 99,824,419 187,468,185 9 89,816,751 102,299,405 192,116,156

13. Chaujharai Hydropower Project, Chaujhari, Rukum

History of the systems development- irrigation and hydropower

This construction of irrigation system started in 1970 and completed by 1975. The hydropower of Chaurjhari started supplying electricity from 1988. This hydropower was the part of irrigation system.

Objectives:

The objective of irrigation scheme was to provide year-round irrigation to about 600 ha farmlands spread over the entire Bijeshwari VDC of Rukum. The Hydropower (150 KW) provides electricity for light services to 650 HHs of district headquarter of Jajarkot and adjoinimg villages of Chaurjahari i.e.; Mankot and Kotjhari

According to the e present chairperson of WUA of Chaurjhari Irrigation System (who was also active member and local leader of panchayat regime of that time) is of the opinion that the hydropower scheme was developed with concept of using the revenue generated by hydropower in canal maintenance, however, this was not materialized once the power plant became operational.

The ownership of hydropower belonged to small electricity program and the program contracted out the operation of power plant to local contractor and the revenue generated by selling power never utilized for the repair and maintenance of canal (except the replacement of two small aqueducts)

38 The irrigation was the first beneficiary. The farmers having farmland were benefited. They got benefit of house light service as well as irrigation.

The hydropower created employment for following jobs:

• Meter reader : 2 • Dhalpa : 4 (taking care of canal upstream of power house) • Office staff : 2 • Technicians : 4

The both Hydropower and irrigation were developed by separate agencies. Irrigation scheme by Department of irrigation

Hydropower construction was done by Small Hydropower Development Project. A linked cannel connecting existing irrigation channel was constructed by the hydropower project.

Irrigation scheme was agency managed system. It operated under the concept of agency managed irrigation system with participation of farmers. Annual O&M budget was allocated to scheme by the GON through DOI.

The hydropower is defunct since last five year. The operation and maintenance of the power plant was the responsibility of contractor till it was operational. (the O&M was contracted out for 10 year @ 165 thousand annually. The contractor used to collect tariff from user and pay to technician, Dhalpa, office staff etc.)

There was no system of revenue sharing between hydropower and irrigation. However, it was found that two aqueducts were constructed by electricity authority, There was no formal cost sharing mechanism existed. The 4 Dhalpas were also responsible to maintain the canal up to power house.

Ownership of infrastructures: Irrigation infrastructure belong to Department of Irrigation. Hydropower infrastructure belongs to NEA (small-hydro power program)

1. Any agreement between hydro and irrigation about the benefit sharing, etc. No formal agreement exists or if there was, nobody knows

Benefit of Irrigation:

what are the benefits of irrigation (seasonal, round the year, area covered)

Almost year-round irrigation service provided. The total command area is about 600 ha.

Water sharing between hydro and irrigation.

There is enough water at source river and was no need of sharing arrangement for almost 9 month. Tail-race water utilized for irrigation

39 The water released from the tail race was used for irrigation. During the lean period (January to March about 2-3 month), the power plant would be closed and water is provided for irrigation purpose to the farms located upstream of hydropower plant.

The institutional question is if both systems were put under one organization, will they be working.

14. Jhankre Hydropower Plant and Khimti Project, Ramechap

Water Sharing Between the Jhankre Mini- Hydropower Plant and Irrigation

This project tells the story about the role of negotiation with local community and the irrigators to share benefit from hydropower for irrigation sustainability and rural electrification. How the local water users of an irrigation system can help the power requirement of power for big hydropower construction. Features of agreement and art of negotiation with the local community by the big project is important lesson to learn from this water sharing exercise. The information on this write up is drawn from the paper by Ajaya Karki.

In the early 1990’s, Butwal Power Company Ltd. (BPC), the first private sector hydropower company of Nepal promoted the 60 MW Khimti Hydropower Project under Built, Own, Operate and Transfer (BOOT) agreement with His Majesty’s Government of Nepal (HMGN). After the initiation of the infrastructure works of the project, a separate company named Himal Power Limited (HPL) was established to implement the Khimti Project. HPL is currently owned by a consortium of multinational companies (mainly Norwegian) and BPC (15% shareholding).

During the construction phase of the Khimti Project, BPC decided to investigate the feasibility of building a mini-hydropower plant in the vicinity of the project area to meet some of the construction power needs. The benefit from building such a mini-hydro plant was envisioned to be as follows:

• As the main source for construction power for the Khimti project was diesel generators (i.e., there were no transmission lines then), any electricity generated from a mini-hydropower plant would reduce the use of diesel. Thus, within the estimated four years of construction period of the Khimti Project, the cost of diesel saved by the mini-hydropower plant was expected to exceed the construction costs of the mini-hydropower plant. • Replacing diesel with hydroelectricity would also contribute towards minimizing adverse environmental impacts in the Khimti Project area. • Such a mini-hydropower plant could be used for extensive rural electrification as part of the Khimti Project’s assistance to the rural communities once the Khimti Hydropower Plant would be commissioned.

An appropriate site for such a mini-hydropower plant was identified about two km upstream of the headworks (intake area) of the Khimti Project. Jhankre Khola, the

40 source river for this mini hydropower plant is a perennial stream and a tributary of the Khimti river (i.e., the source river of the Khimti Plant). This plant utilizes a head (drop of water) of 180 m and a design flow of 450 l/s to generate 500 kW of electrical power using three Pelton Turbines.

Full power generation (i.e., 500 kW) from the Jhankre mini-hydro plant is only feasible for four months a year due to limitation of water and irrigation demand from the river. During the dry season the flow availability drops to 90 l/s: adequate to operate only one nozzle of one of the turbines (each turbine has 2 nozzles). The reason for sizing the mini-hydropower plant at 500 kW was because as it was competing with the use of diesel it was still financially viable to over size the installed capacity.

Irrigation Use

The only appropriate site in the Jhankre River for the intake of the proposed mini- hydro plant was already being used by the beneficiary farmers as an irrigation off-take. Moreover, the command area of some 13 hectares (ha) was located along the waterways of the proposed mini-hydro scheme and thus it was not possible to irrigate the area from the tail water of the proposed mini-hydro plant. It became evident that if the mini-hydropower plant were to be built, the intake would have to be located at the existing irrigation off take.

During the initial discussions, an attempt was made by the technical staff of BPC and the Jhankre water users to quantify the flow requirements for irrigation. Flow measurements at the irrigation off-take indicated the maximum conveyance capacity of the system to be 70 l/s. The beneficiary farmers mentioned that full flow (i.e., 70 l/s) was required for paddy and half for wheat and rice seedling. Thus, the irrigation demand was quantified by consensus to be as follows: • For wheat crops a maximum of 70 l/s flow is required for a total of 20 days during mid November to mid December and mid January to mid April • For rice seedlings, a maximum of 35 l/s flow is required for a total of 10 days during mid April to mid June. • For paddy (rice crops) a maximum of 70 l/s is required continuously from mid June to mid October. 418 The above irrigation requirements indicate that the Jhankre water users do not require year round irrigation. Furthermore, even during the dry season the entire river water is not required for irrigation. A plot (hydrograph) of the 75% average monthly flow availability, irrigation demand and power demand is presented in Figure 1. Only 75% of the river flow is assumed to be available for power generation and irrigation. The remaining 25% is allocated to account for environmental release and for seepage past the intake.

Figure 1 : Water Availability and Demand in the Jhankre River Water Sharing Agreement

As can been seen from Figure 1, there existed a possibility for multiple use of water, vis. a vis. irrigation and power generation. An initial discussion regarding sharing of the Jhanre water resources was held at the Jhankre village between the water users (i.e.,

41 beneficiary farmers) and BPC staff. Based on a series of site discussions, a draft agreement was prepared and the water users elected two representative members to sign the agreement in the BPC head office in Kathmandu. The main clauses of the agreement were as follows:

Figure .1

• The beneficiary farmers would allow BPC to build a diversion structure for the mini hydropower scheme at the existing irrigation off take and to install a penstock pipe along part of the irrigation canal alignment.

BPC would make provision for temporary irrigation supply during the construction period of the Jhankre mini-hydro plant.

BPC would provide at its own cost the cement required for the improvement of 50 m length of the irrigation canal in the lower reaches of the command area.

Water for irrigation would be provided for wheat crops, rice seedlings and paddy in the quantity and time period in accordance with the irrigation demand discussed above (a, b and c). Priority would be given to power generation at all times except during the irrigation period defined earlier. Provision for water distribution would be arranged by BPC to supply irrigation water from the mini-hydro intake system in accordance with the irrigation demand.

Upon completion of the main Khimti Hydropower Project, BPC would commence a rural electrification program, which will make electricity available to the nearby communities according to the norms and policies adopted in other similar programs in the country. The Jhankre River water sharing agreement between BPC and the beneficiary farmers was signed in 11 March 2003 in Kathmandu. This agreement has two main features as follows: Optimizing Use of Water Resources The existing irrigation usages (both flow rates and period) have been guaranteed in the “Agreement”. Water is allocated for

42 power generation only after the irrigation needs are met. Thus, the agreement attempts to optimize the water resources of the Jhankre River. Equitable Sharing of Water Resources The agreement also addresses the issue of equity in sharing of the water resources. The Jhankre water users had a well functioning irrigation system even before the mini-hydropower plant was built. Since the mini-hydro project would use only balance of flow available after irrigation, its establishment would not have any water scarcity impact for the beneficiary farmers. On the other hand, its establishment alone would not have any direct benefit for the farmers either, except for some employment opportunities during the construction period. Thus, to address the issue of equity BPC (now HPL) agreed to initiate a rural electrification program and a corresponding clause was also inserted in the agreement. For having agreed to allow BPC to build a power plant to meet part of the Khimti Project’s construction power requirements, the nearby communities were assured of access to electricity.

Implementation of the Jhankre Mini-Hydro Plant

In accordance with the agreement, the intake of the mini-hydro system was designed to incorporate the irrigation flow requirements. From the intake, High Density Poly Ethylene (HDPE) pipes were run parallel with the penstock pipe (i.e., pressure pipe which conveys water to the turbines). Four valves were provided along the HDPE irrigation pipe alignment at locations fixed by the beneficiaries so that water could be provided efficiently at different reach of the command area as required.

During the construction of the mini-hydropower plant, employment priority was given to the local community. The mini-hydro project bought sand, gravels and boulders required for concrete and masonry work at fixed rate form the community. This provided additional income generation opportunity for the community members, and especially for women. A public relations officer with agricultural background was also employed by the project to liaise with the community during the construction period.

Four of the local laborers were trained to be operators of the Jhankre mini- hydropower plant. At present these four local community members along with three other staff from the project area are employed as the operators of the Jhankre mini-hydro power plant. The Jhankre mini-hydropower plant was commissioned in 1996 and provided power for the construction works at the intake area of the Khimti Hydropower Project for about four years.

Current Status

The 60 MW Khimti Hydropower Project was commissioned in 2000. However, HPL electrified some 70 households in the Jhankre community in 1998, two years ahead of schedule. A Jhankre Rural Electrification and Development Project (JREDP) was established by HPL to oversee extension of rural electrification from the Jhnakre mini- hydro plant. In 2001, JREDP entered into its second phase with a five year plan to electrify an additional 4,000 households along with supporting various community development activities. The total project cost is estimated at US$ 2.65 million of which 80% has been contributed by the Norwegian Agency for Development Cooperation (NORAD) and the rest by HPL. The overall responsibility for the management and execution of JREDP II lies with HPL. The project area covers 10 VDCs in Dolakha and

43 Ramechhap districts.

To date over 2900 households within the project area have been electrified and another 1100 households are expected to be connected to the Jhankre electricity grid by the end JREDP II. Altogether, the beneficiary households will be around 5000. The powerhouse of the Jhankre plant was damaged a year ago as a result of the on going “conflict” in the country. At present electricity is being supplied to the households via the Khimti hydropower plant. HPL is currently involved in rehabilitating the Jhankre mini hydropower plant as well as upgrading it from 500 kW to 635 kW.

HPL plans to hand over the Jhankre Mini hydro plant to the users through the formation of Khimti Rural Electric Cooperative (KREC). It has already completed all preparatory works for the formation of KREC and has registered the cooperative in 21 April 2004. After the formal registration of KREC, membership has been opened and an election for the representative of the board members is scheduled during October 2004. According to the Cooperative Act all users of the Jhankre Mini Hydro plant will be shareholders (members) of KREC. As the capacity of KREC builds up, HPL plans to gradually limit its role in the management of the Jhankre mini hydropower plant. Eventually all the assets and liabilities of the project will be handed over to KREC.

The formation of KREC further emphasizes the issue of equity. As envisioned, the Jhankre mini-hydropower plant successfully provided construction power for the Khimti Project. After the commissioning of the Khimti project, given its location and socio-economic conditions, the only possible use of the Jhankre mini hydro plant is for rural electrification. As the eventual owner of the mini-hydro plant, it will be KREC’s responsibility to plan for the extension of electricity distribution lines, set the electricity tariff and manage the power plant.

To date, no water use conflict between irrigation and power generation has been reported. The beneficiary farmers mention that they have adequate irrigation flows to meet their needs. During the irrigation season, they inform the plant operators a few days ahead regarding their water needs. The plant operators then reduced the power generation and release the required flows. Communication regarding irrigation requirements has been made easy since two of the operators are from the local community. Furthermore, as the Jhankre irrigation users will also become the owner of the mini hydro plant, conflict between irrigation and power generation is not expected to be an issue in the future. Even during irrigation season, water can be used for irrigation during off peak period such as in the afternoon and nighttime (i.e., when demand for electricity is minimal) and for power generation at other times based on priorities set by KREC.

Furthermore, in order to minimize seepage along the earthen stretches of the irrigation canal, a consensus has been reached between JREDP and the local community to cement line such lengths. The intake is to be upgraded as well so that seepage through the diversion weir could be minimized. The refurbishment of the intake and the canal will make more water available for power generation and irrigation.

Lessons Learnt in Sharing of Water Resources

44 The Jhankre mini-hydro scheme demonstrates how a private sector company and a small Farmer Managed Irrigation Systems (FMIS) can share water resources for mutual benefit. Most hill irrigation systems have proven off- takes and waterways that have survived for centuries. Water is diverted from nearby perennial streams to irrigate small parcel of land which is mostly terraced. Such irrigation off-takes, the waterways and the terraced farm land are ideal for hydropower generation due to regular supply of flow from the perennial streams and the “head’ or fall of water provided by the terraced topography. As demonstrated by the Jhankre Mini-hydro scheme such multiple use of water can result in win-win situation for both the beneficiary farmers and the developer of hydropower. The following lessons have been learnt from the Jhankre case study:

In the rural communities, irrigation and small scale hydropower generation can complement each other as irrigation is not usually required year round.

Equitable sharing of resources and “Good Governance” are pre-requisite for multiple use of water amongst different user groups.

Development of small scale (mini-hydro) hydropower systems using hill irrigation off- takes can benefit the beneficiary farmers as they could become potential shareholders for having agreed to share their exclusive water rights with “hydropower developers”

With an efficient management system in place, the beneficiary farmer can have access to electricity along with irrigation.

Revenue from sales of electricity can provide additional funds to maintain the irrigation system, thus contributing towards its sustainability.

15. Chatara hydropower Project at Sunsari-Morang Irrigation System, Morang

When the intake of Chatra Canal was changed and redesigned, potentiality of power generation from the 5 meter fall in the main canal at Chatara became possible. Accordingly, main canal and power house were designed. After completion of the construction of facilities, it was decided that power house operation will be handed over to NEA and power required for operation of drezer to desilt in the collection pond.

• NEA has made agreement with irrigation office to supply electricity to operate Drazer pumps (extraction of sand/silt from canal) and amount of water to generate the hydropower around 3.2 Mw • In the agreement, it is stated that NEA provids 10 percent of electricity generation to irrigation office for operating Drazer pumps. Recently, there is no electricity generation from the Chatara Canal which makes problem to pay electric bill (tariff) to irrigation office. There are some problems in the agreement for payment of electricity tariff. • NEA has submitted to Irrigation Office to pay NRs. 20 million rupees bill but Irrigation Office wants 10 percent deduction according to agreement, so there is a conflict between NEA and Irrigation Office for paying electricity tariff. • Usually, Drazer Machine’s design lifetime is around 9 years . The present machine is operating for more than 22 years with good repair and maintenance.

45 • In 2017, there was big flood which damaged 13,300 ha. agriculture land (cover by sand). These lands do not need water for irrigation at present so water is enough to irrigate remaining land. • During the rainy season, intake of the canal will be closed to protect from the flood / debris (e.g. logs, stones, etc.). During this period, there is no electricity generation from hydropower Station. • It is very difficult to get spare parts of Drazer Machine • Irrigation office measures daily siltation amount, if the siltation is 5ppm it is okay for irrigation purpose.

Chatara Hydropower Station (CHS), a canal drop type power station, is located at Chatara, Sunsari with installed capacity of 3.2 MW and annual design generation of 6 GWh. It was commissioned in 1996 AD at a cost of NRs. 162.6 million. The plant which was originally designed to be a captive plant for powering Drazer pumps to flush sediments from the Canal, was later handed over to NEA by Sunsari Morang Irrigation Project (SMIP) on 29 March 1999. The electricity generation of CHS fully depends upon the quantity of water demanded by farmers for irrigation purpose. So the both unit cannot produce electricity throughout the year. However, the power station has not undergone any major overhauling since the plant was brought into operation in 1996. Both units are not in operation from 2071 BS. Now, the power station has started to carry out the overhauling the unit no. 2. After completion of overhauling of unit no. 2, future plans are to start for complete overhauling of unit no. 1.

Silence Features Chatara Hydropower Type Canal Location Sunsari Morang Installed capacity 3.2MW Annual average energy 6 GWh Maximum Net head 6.38m Turbine Number and Type 2, Kaplan Rated speed 165 rpm Generator Type Synchronous Generator Rated output 1,627kW Rated voltage 11kV Rated frequency 50Hz Rated Speed 750 rpm Power transformer 3500 kVA, 11/33 kV Transmission line 33 kV, 14 km

Months

6000

5000

4000

3000 Electricity Generation in Mwh 2000

1000

052/53 053/54 054/55 055/56 056/57 057/58 058/59 059/60 060/61 061/62 062/63 063/64 064/65 065/66 066/67 067/68 068/69 069/70 070/71 071/72 Fiscal Year Figure: Electricity Generation from Fiscal Year 2052/53 to 2071/72 (in MWh) (Note: The Hydropower was not operating whole months in FY 058/59 & 059/60. Finally, it was not functioning from FY071/72)

• Design gross head of the hydropower is 5.38 meter which is very difficult to get from this canal. To get this head, we need 110 meter water level in the canal which is difficult to get due to the earthen canal structure. • In an average CHS generates around 2-2.5 Mw/hr. instead of 3.2Mw/hr. There is no damage of turbine due to 4 meter head (do not damage turbine’s blades by sand/silt, there is a leakage of water in a turbine because of seals damage) • Andriz Hydro Pvt. Ltd. India is supplying necessary parts to run the unit no. 2. this year (2018 AD). • Er. Pandy’s understanding on NEA-Irrigation Agreement: NEA should provide/supply 10% of the generated power to operate Drazer pumps. • 1Mw/hr electricity generation can earn per year: 22 hr. x 1000Kw x 365 days x NRs. 5 per unit = NRs. 4,01,50,000/ year • Electricity consumption by two Drazer pumps in two years: 2 (Drazer no.) x 9.6hr (40%) x 300Kw (40%) x 365day x NRs.5 = NRs. 1,05,12,000/year. For two years it becomes NRs. 2,10,24,000/-

47 Figure: Chatara Irrigation Intake, Drazer Pumping location and Chatara Hydropower Station

Figure: Intake of Chatara Irrigatin System Figure: Operating Drazer Pump in the Chatara Canal

Figure: Main Chatara Irrigation Canal in the command area

Figure: Chatara Hydropower Station (CHS)

16. Puwa Khola Hydropower Project, Illam

Puwa Khola Hydropower Station (PKHS), run of river type, located at Golakharka, Ilam having installed capacity of 6.2 Mw and annual design generation of 48 GWh. It is located at Golakharka, Ilam and was commissioned in 1999 AD. It was jointly developed by Government of Nepal and NEA at a cost of USD 15.7 million. It is the only sizable hydropower plant NEA has in the Eastern part of Nepal. The station has two units each with 3.1 MW.

Salient Features of the Puwa Khola Hydropower Type Run of river Location Ilam

48 Installed capacity 6.2 MW Annual average energy 48 GWh Maximum Net head 304 M Catchment area 125.1 km2 Average annual flow 2.5 m3/s Live storage volume 2,057m3 Dam Diversion Weir Type, 30.4m Crest Length Total length of the waterways 3.7 KM Penstock 1 No., 1001m Long, 1.10-0.60 m, Steel Pipe Turbine Number and Type 2, Horizontal Pelton Rated discharge 1.25 m3/s Rated output 3.3 MW Rated speed 600 rpm Generator Rated output 3.7 MVA Rated voltage 6.6 kV Rated frequency 50Hz Power factor 0.85 Power transformer 8 MVA, 6.6/33 kV, 3 Phase, 1 No. Transmission line 33 kV, 35 km, Single Circuit

Figure: Puwa Khola Hydropower Intake and Hydropower Station

There are around 8 irrigation systems in the upstream of Puwa Khola Hydropower intake. They use around 1m3/sec water volume for the irrigation purpose (i.e. 300- 400ha agricultural land) which does not impact during monsoon season but it effects during dry season. PKHS needs 2.5m3/sec water volume to generate 6.2Mw/hr

49 electricity. PKHS has two turbines where one turbine needs 1.25 m3/sec water volume to generate 3.1Mw/hr electricity. So, eight irrigation systems use water which could able to run one turbine (i.e. 1m3/sec). In a dry season (5 months), PKHS generates around 2-2.5Mw/hr electricity. In an average, PKHS generates around 4.25Mwh (Total power generation around 37,000Mwh/year).

• There is no written agreement between Water User Association of Irrigation systems and NEA. • There is only one irrigation system in between 3Km Puwa Khola Tunnel i.e. Lamaduwali. There is one audit close to the Lamaduwali, so spill over water could be used for irrigation. Lamaduwali has their irrigation intake just 2km below the PK Hydropower Intake (PKHI). During the construction of PKHI, NEA also helped Lamaduwali’s farmer to construct irrigation canal for their agriculture use. • Lamaduwali farmer claim 240liter/sec water during dry season which is impossible for PKHS. If PKHS release this much of water in the river during dry season it is not possible to generate 2-2.5 Mwh electricity. However, PKHS release water when there is a maintenance work power house. PKHS develops schedule for maintenance to inform Lamaduwali farmer. • Lamaduwali uses leakage water and spill over water for irrigation purpose, but during monsoon season there is no problem for irrigation. • Amount of sand/silt in the Puwa Khola is increasing because of construction of new hydropower in the upstream. Many small hydropower projects are under construction in Puwa Khola, Mai Khola in Illam. • Puwa Khola-I might impact on 8 irrigation systems upstream. • Sometime Puwa Khola-I shot down water flow and discharge water in the Puwa Khola which takes time to reach in PKHS due to the dryness of river. In dry season, it takes around 3 hours and 1hr in wait season to reach water in PKHS. Three hours delay means 2Mw/hr x 3hr = 6Mwh which is equivalent to 6Mwh x 1000kw x NRs 8.4 (winter price) = NRs. 50,400/-

Figure: Puwa Khola Hydropower Intake Figure: Water discharge from PKHP intake

Figure: Layout of diversion weir, intake and desanding basin

Flushing Tunnel

Spillway

Puwa Khola

Figure: PKHP’s spillway and flushing tunnel

Interview with Local Farmer (Puwa Khola)

• There are two hydropowers constructed i.e. Upper Puwa; Puwa Khola HP-I (close to Toribai) • There are two irrigation systems in between Upper Puwa, they use Puwa Khola water for irrigation and discharge into Puwa Khola again. • Ghatte Khola, a tributary of Puwa Khola, about 0.2Km upstream side of PKHP intake utilize water (333lit/sec) for irrigation • The discharge water from PKHP is 5km far from PKHP intake • Tail end of PKHP water discharge into Mai Khola directly

51 • Climate is being changed compared to 20-30 year ago [(there is no enough water in the Puwa Khola (around 5Km) which maintained surrounding temperature] • Aquatic lives are disappearing in downstream of Puwa Khola due to the construction of PKHP intake, like verities of fish families have disappeared in the Puwa Khola due the less water.

17. Khopasi Hydropower Project, Khopasi, Kavre

Introduction

The Roshi Khola water is being used by multiple water users and there is increasing pressure on the water. This has also increased the challenges for water allocations. The Roshi Khola water is used for drinking water for adjoining urban and township, irrigation and hydropower.

Hydropower

Panauti HEP is run of river scheme with peaking poundage system commissioned in 1965 which utilizes the water of the Roshi Khola. The power canal of 3721m long with discharge of 3.2m3/s from headwork to reservoir has seven outlet gates for irrigation in the vicinity of Khopasi (NEA, 2015). Since 1975, in a period of four decades, the HEP has already generated 126510.3 MWh of electricity. The maximum energy was generated in the FY 2001/02 and the minimum was generated in the FY 2011/12. In general, there is a decreasing trend of annual electricity generation.

Similarly, there is potential for additional hydropower generation in the watershed. Department of Electricity Development (DoED) has issued survey license for the following projects in the Roshi watershed. However, the license of 5 MW Dapcha- Roshi HEP was later on cancelled by DoED in June 2014.

• The Panauti HEP was initially developed with dual purpose of hydropower generation and irrigation in the vicinity. This is also verified by the presence of seven gates/openings at different locations on the open headrace canal of the HEP. These gates were constructed in order to provide water for irrigation. In addition to these gates people are increasing the use of the canal water for various purpose ranging from domestic uses like washing clothes, lift irrigation in addition to already provided openings/gates and other animal husbandry related uses. The result of these non-climatic drivers in amalgamation with the

52 changing climate, has resulted in the downfall of the hydropower generation.

Even though the Panauti HEP is quite old and small HEP, it puts forward an important issue that needs to be addressed.

As the HEP is owned and operated by the government body, the GoN may direct or choose for the shut-down of the power house and provide all water for drinking water or other uses. But had it been the private owned HEP, what would have been the case? Is our legal and policy framework flexible enough to address such issue of multiple water uses? Is the priority order of water-use set out by the Water Resources Act, 1992 applicable where the government have already provisioned license for commercial uses like hydropower much earlier than the realization of need of the same water for drinking or irrigation uses? Similarly, who is to bear the cost of encroachment of such an unregulated water extraction of the headrace canal of HEP through the polythene pines and the ultimate loss of power generation from the HEP?

And who is to be blamed, the HEP or people, who has the right for water use, the traditional user (HEP) or new comers (farmers) as canal water is already provided to farmers in designated areas? The case of Roshi Khola puts forward these questions that need to be addressed prior to the proliferation of the similar cases to other watershed or basins of Nepal.

The priority of water use can best fit in a watershed where no any water resources development works have been carried out. But in the case where the license has been provided by the government for other commercial uses, conflict can arise. Hence there is a need of master-plan for the basin development and optimal use of the resources. This is what the Integrated Water Resources Management (IWRM) deals about.

In the lack of any watershed/river-basin organization in the Roshi Khola, there in a multitude of organization, both formal and informal, who claim to regulate the water use of Roshi Khola. The local bodies, VDCs and Municipalities, claim to have right over the water use within their areas of jurisdiction, whereas the hydropower claims on the basis of obtained license for water use. In addition, the local farmers and ghatta owners also share similar claims.

In such context of contested terrain of water use, the users groups and different institutions share conflicting relations with the local and central government. The lack of authority delegation to the local levels (district) from the central level and lack of coordination among the different line agencies have further aggravated the situation.

18. Trisuli-Devighat Hydropower Project, Trisuli, Nuwakot

In 1982, lift irrigation system by extracting water from Trisuli River was constructed to irrigate 450 ha. land at Battar area of Nuwakot district, Nepal. This pump irrigation was of two stages pumping from river. The system worked for about ten years. Land was converted into paddy field, new cash crops like seasonal vegetables were grown. The farmers were happy and their economic level improved considerably.

53 Due to power fluctuation and high sedimentation in the river, the pumps gradually deteriorated. The maintenance requirement increased tremendously. The construction of second powerhouse (Devighat) by using the tailrace water of Trisuli Hydropower made unavailability of sufficient water for abstraction from the river for almost 8 months in a year. The service area of pump irrigation has gradually reduced and by mid 1990, the water supply from the pump stopped. There was no more irrigated agriculture to the farmer's livelihood turned into rainfed agriculture bringing more hardship.

In the meantime, Government of Nepal requested to JICA to undertake feasibility study of gravity irrigation system for Battar. At the time of rehabilitation of feeder canal for reservoir of Trisuli hydropower, the Minister of Water Resources has made agreement with Nepal Electricity Authority that the capacity of the canal will be increased so that 3m3 extra water for irrigation can be conveyed by that feeder canal of the hydropower. During rehabilitation, provision for conveying extra water was made and an outlet was given in the canal.

The JICA team started feasibility study for the construction of the gravity irrigation system by utilizing that assigned water in 1998. It was found during feasibility study that the alignment given by the government for canal construction was not appropriate and it passes through steep rocks, forest area and fragile. The cost would increase tremendously and adverse environmental impact would take place. The alternative was considered. It was found by the study team that if one 1m3 water from the reservoir of the power house across the river is made available and to the irrigation system conveyance of water by pipe can reduce the water loss and would be enough for irrigation in 600 ha. It was found feasible to construct irrigation system by using pipe for conveyance of irrigation system. Since the command area is in hill region, several pumps for lifting water for upper ridges were suggested.

The important issue was to get approval of the Nepal Electricity Authority (NEA) to get 1m3 water from reservoir for irrigation system.

NEA was not willing to give permission to get water from the reservoir. This water is not going to be at the cost of power generation. Their suspicion was that once certain amount of water is made available, the demand for irrigation water will keep on increasing and finally, power generation would be affected. Irrigation Department could not convince the NEA.

The matter was referred to the then Minister of Water Resources. Both Irrigation Department and NEA are under the Ministry of Water Resources. Representation was made to the Minister of Water Resources who happened to come from Sindhupalchowk constituency.

The Minister gave decision in favor of NEA saying that his concern is more to the electricity supply to the people of Kathmandu, capital of Nepal. The other parliamentarians of that time from Nuwakot District hardly raised voice in favour of these people of Battar who were deprived of irrigation water due to failure of the lift system and diversion of water for down stream Devighat project. The issue is who benefits from such projects. How is national policy of poverty alleviation linked with

54 such national development programs? How do the ministers and parliamentarians respond to the national policy of poverty alleviation?

The farmers of the proposed irrigation area argued that there might be shortage of water during winter. The farmers are willing to pay cost for the loss of power generation due to water supply to the irrigation system. Arguments also made that the Government of Nepal had the poverty alleviation as the national priority and due to the lack of irrigation facilities, the people are forced to be close to the poverty line. The minister ignored the national policy and gave verdict in favour of NEA.

This situation indicates clearly that guidelines for national development is not secular and not integrated one. Sectoral interest overrides over integrated development approach. No response to the issues of poverty alleviation through the programs is the practice in those days. The silent voice of the below the poverty line people are hardly heard by the decision-makers and policy makers in Nepal. This condition is the reflection on the impact of irrigation development on poverty alleviation in Nepal.