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Initial Environmental Examination March 2013 Lao People’s Democratic Republic: Greater Mekong Subregion East-West Economic Corridor Agriculture Infrastructure Sector Project Prepared by Fraser Thomas Partners Ltd. for the Asian Development Bank. This initial environmental examination is a document of the borrower. The views expressed herein do not necessarily represent those of ADB's Board of Directors, Management, or staff, and may be preliminary in nature. Your attention is directed to the “terms of use” section of this website. In preparing any country program or strategy, financing any project, or by making any designation of or reference to a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area. ACRONYMS ADB - Asian Development Bank ASEAN - Association of South East Asian Nations DAFO - district agriculture and forestry office DCO - district coordination office DOI - department of irrigation EA - executing agency EDL - Electricity du Lao EMP - environmental management plan EIA - environmental impact assessment FGD - focus group discussion FHH - female headed household FWUGs - farmer water user groups GMS-EWEC-AIP - Greater Mekong Sub-region East West Economic Corridor Agricultural Infrastructure Project IA - implementing agency IEE - initial environmental examination IFAD - International Fund for Agricultural Development GoL - Government of Lao IMF - irrigation management fund IMT - irrigation management and transfer JICA - Japanese International Cooperation Agency KN - kip – Lao currency LMC - left main canal MoNRE - Ministry of Natural Resources and Environment NGO - non-government organisation NPMO - national project management office NT2 - Nam Theun 2 (Dam) NTFPs - non-timber forest products O&M - operations and maintenance PAFO - provincial department of agriculture and forestry PPMO - provincial national project management office PPTA - project preparation and technical assistance RC - reinforced concrete SEDP - Socio-economic Development Plan 201-2015 WUG - water user group TABLE OF CONTENTS I. INTRODUCTION ................................................................................................................ 1 II. DESCRIPTION OF THE SUBPROJECT ............................................................................ 1 A. Subproject Scope ............................................................................................................ 1 B. Present Condition and Characteristics of the Scheme ..................................................... 1 C. Improvements.................................................................................................................. 3 III. POLICY, LEGAL AND ADMINISTRATIVE FRAMEWORK ................................................ 6 IV. DESCRIPTION OF THE ENVIRONMENT .......................................................................... 8 A. Physical Resources ......................................................................................................... 8 1. Location and Topography ............................................................................................ 8 2. Geology and Soils ........................................................................................................ 8 3. Climate ........................................................................................................................ 8 4. Water Resources ......................................................................................................... 9 B. Ecological Resources .....................................................................................................10 C. Items of Historical and Archaeological Significance ........................................................10 D. Human and Economic Development ..............................................................................10 1. Local Economy ...........................................................................................................10 2. Land Use ....................................................................................................................10 3. Quality of Life ..............................................................................................................10 4. Unexploded Ordinance. ..............................................................................................11 V. ANTICIPATED ENVIRONMENTAL IMPACTS AND MITIGATION MEASURES ...............12 A. Method of Assessment ...................................................................................................12 B. Environmental Impacts Related to Location ....................................................................12 C. Environmental Impacts Related to Construction .............................................................12 D. Environmental Impacts Related to Operation .................................................................13 E. Global, Transboundary and Cumulative Impacts ............................................................15 VI. ANALYSIS OF ALTERNATIVES .......................................................................................16 VII. INFORMATION DISCLOSURE, CONSULTATION AND PARTICIPATION ......................17 VIII. GRIEVANCE REDRESS MECHANISM .............................................................................18 IX. ENVIRONMENTAL MANAGEMENT PLAN ......................................................................21 A. Responsibilities for Environmental Management ............................................................21 B. Approach to Environmental Monitoring ...........................................................................25 X. CONCLUSION AND RECOMMENDATION .......................................................................28 SCHEDULE OF TABLES Table 1: Pump station details ..................................................................................................... 2 Table 2: Current estimated canal flow capacity .......................................................................... 3 Table 3: Project Main Steps of Grievance Mechanisms ............................................................19 SCHEDULE OF FIGURES Figure 2: Agricultural Access Layout of the Vapy Neua Scheme, showing tracks to be upgraded (in blue) ...................................................................................................................................... 5 Figure 3: Saravane mean monthly precipitation data 2004 ......................................................... 9 I. INTRODUCTION 1. The Greater Mekong Sub-region East West Economic Corridor Agricultural Infrastructure Project (GMS-EWEC-AIP) will comprise improvements to productive rural infrastructure (PRI) and provide technical and advisory support to beneficiary communities in formation and strengthening of water user groups, technical support and capacity building for extension services and support in post harvest handling, product storage and marketing. It will provide project management support and capacity building for provincial and district level offices which will take a lead role in project implementation, in accordance with the Government’s decentralization policy of 2000. It is a sector project, and specific subprojects for the improvement of productive rural infrastructure in the two project provinces will be prepared and implemented. 2. This document provides an initial environmental examination of the Vapy Neua productive rural infrastructure subproject, a subproject under the GMS-EWEC-AIP involving irrigation scheme rehabilitation and agricultural access road improvement that has been selected as one of three representative subprojects under the project preparatory technical assistance (PPTA) for the PEP. Full subproject preparation, including feasibility study and safeguards assessment and planning, is included to demonstrate subproject preparation requirements. The IEE is prepared according to the ADB’s Safeguard Policy Statement of June 2009 and the EIA decree of April 2010. II. DESCRIPTION OF THE SUBPROJECT A. Subproject Scope 3. The Vapy Neua irrigation scheme is located in Vapy District and was constructed in 1997/98 through a joint initiative between the Department of Irrigation (DOA), and the Water Users Group (WUG). Like a considerable number of irrigation developments in Saravane Province the Scheme is a pumped scheme served by a station operating from a moored pontoon located on the Xe Done river, The total irrigable area (command area) is in the order of 220 ha and dry season irrigated rice is grown on 77 ha1. Improvements are to enable dry season cropping in the remaining 157ha and to include an extension of 50 ha. The improved scheme is to have a command are of 270ha, yielding both a wet and a dry season crop. 4. The Scheme water source is the Xe Done River which is a perennial river with regular fluctuations in water level throughout the year. The water source is undoubtedly assured and the potential demand has been estimated at 10 million cubic metres per annum. At some juncture the river basin management plan for the river demanded by the IWRM principles, and currently being developed by the DOWR. River level data to hand shows a fluctuation of only 0.3 m over the annual cycle. B. Present Condition and Characteristics of the Scheme 5. The Scheme has deteriorated and suffers from poor Operation and Maintenance (O&M). Some of the secondary