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World Bank Document Document of The World Bank FOR OFFICIAL USE ONLY Public Disclosure Authorized Report No. 5107-IN STAFF APPRAISAL REPORT Public Disclosure Authorized INDIA NARMADARIVER DEVELOPMENT- GUJARAT SARDAR SAROVARDAM AND POWERPROJECT Public Disclosure Authorized February 12, 1985 Public Disclosure Authorized South Asia Projects Department Irrigation II Division This document has a restricteddistribution and cmaybe used by recipients only in the performanceof their official duties. its contents mnavnot otherwise be disclosed without World Bank authorization. CURRENCYEQUIVALENTS US%1.00 = Rupees (Rs) 12.00 jj WEIGHTS AND MEASURES (METRIC SYSTEM) VJ 1 meter (m) = 3.28 feet (ft) 1 kilometer (ka) = 0.62 miles (mi) 1 hectare (ha) = 2.47 acres (ac) 1 million cubic meters (Mm3) = 810 acre-feet (ac-ft) 1 cubic foot per second (cusec or cfs) = 0.028 cubic meters per second (mL3/Ls) 1 kilogram (kg) = 2.2 pounds (lb) 1 metric ton (mt) = 2,205 pounds (lb) 1 million acre-feet (OAF) 1233.5 h cubic m (Mm3) 1 cubic meter per second (cumec) 35.3 cusec 1 ton - 1,000 kilograms (kg) 1 gigawatt hours (GWh) 1 million kilowvtt hours (kWh) 1 kilo volt (kv) - 1,000 volts (10 V) 1 megawatt (MW) = 1,000 kilowatts 1 kilocalorie per kilogram (Kcal/kg) = 1,8UO British thermal units per pound (Btu/lb) FISCAL YEAR GOI; GOG; GOM; GOMP; GOR April 1 - March 31 1/ The US Dollar/Rupee exchange rate is subject to change. Conversions in this report have been made at USAl.00 to Rs 12.00 except for the economic analysis which was made at a rate of US$1.00 to Rs 11.00. 2/ The metric system has been used in most cases. However, India is still in the process of transition to the metric system; non-metric units are still widely used and have been used in this report where a conversion to the metric system may confuse the reader. FOR OMCIAL USE ONLY AIBBEVIATIONS AND ACRONYMS AD - Agricultural Department CAC - Sardar Sarovar Construction and Advisory Comnittee CAD - Comand Area Development C8A - Central Electricity Authority - CA - Cultivable Coumand Area CURH - Canalbead Powerhouse CPU - Centralized Procurement Unit CVPC - Central Water and Power Commission CWPRS Central Water and Power Research Station CwC - Central Water Commission DRP - Dan Review Panel DSP - Dm Safety Panel ERR - Economic Rate of Return EL - Elevation FRL - Full Reservoir Level FSL - Full Supply Level GAU - Gujarat Agricultural University GEB - Gujarat Electricity Board GOG - Government of Gujarat GOI - Govermnent of India GOMP - Government of Madhya Pradesh GOB Government of Maharashtra GOR _ Government of Rajasthan GSCPF - Gujarat State Cooperative Marketing Federation DYV - High Yielding Varieties ICB - International Competitive Bidding ID _ Irrigation Department of the GOG IND - Indien Meteorological Department IVEB - Inter-Departmental Water Rates Review Board LCB - Local Competitive Bidding NPEB - Madhya Pradesh Electricity Board MDDL - MinimumDrawdown Level MEB - MahArashtra Electricity Board RISC - ManagementInformation Systems Cell R&I - Municipal and Industrial NP - Madhya Pradesh MUL - MaximumWater Level ECA _ Narmada Control Authority NDD - Narmada Development Department of the GOG NKPC - Narmada High Power Conmittee NEEPC - National Rydro-Electric Power Corporation NPDDC - armada Project Dam and Design Circle MPG - Narmada Planning Group NBC - Narmada Review Comittee NRD - Narmada River Development NTPC - National Thermal Power Corporation NIDT - Narmada Water Disputes Tribunal O&M - Operation and Maintenance PDD - Power and Dams Division PMF - Probable MaxinumFlood BBPH - Riverbed Poverhouse BIB - Regional Electricity Board REC - Rural Electrification Corporation S. - Service Area SEB - State Electricity Board SLDB - State Land Development Bank SMEC - Snowy Mountains Engineering Corporation SWS - Subject Matter Specialist SSP - Sardar Sarovar Project T&V - Training and Visit System of Extension YEW - Village Extension Worker I ish doument has a resticed ditribution and may be used by mcipients ondyin the peformance of| tbekofTicia1 duties. Its contents may not otherwise be disdiosed without Wodd Bank authorinztoin GLOSSARY kharif - Wet season; June - October rabi - Dry season; November- March chak - Irrigationdelivery unit of about 40 ha in size taluka - Subdivisionof a district paise - There are 1UOpaise per rupee INDIA NARMADA RIVER DEVELOPMENT - GUJARAT SARDAR SAROVAR DAR AND POWERPROJECT Table of Contents Page No. I. BACKGROUND . ........................ ..... ...... 1 Introduction ........... ............... ******** 1 The Socioeconomic Setting...................... .............. 2 The NarmadaBasin Development ....... 3 Past Bank Group Support for Irrigation and Power Development in Gujarat 4 II. THE SARDAR SAROVAR PROJECT....o. .e*a..e*6.*e*.e****** ........s 5 General o.........o................. o 5 Project Formulation, Preparation and Objectives ............... 6 Salient Features of SSP E ....... 7 SSP ImplementationPeriod . .... ... .... .. o.* 8 Rationale for Bank Involvement in Sardar Sarovar Project ...... 9 IIIo THE SARDAR SAROVAR DAN AND RESERVOIR ............. o......... 10 Location and Site Characteristics.. 10 Climateand Hydrology .............. 11 IV. THE PROJECT. .... ....... o .. 14 ProjectDescription 14 Detailed Physical Features.... ....... .. 15 Dams and Spillways ....... 15 Riverbed Powerhouse...... 16 Garudeshwar Weir ........ .16 CanalheadPowerhouse *.. ........... 16 Vadgam Saddle Dam . ............... ... ..... 17 The Irrigation By-pass Tunnel . ............. 17 The Canalhead Regulation Reservoirs.......... 17 Transmission Lines ...... .17 This report is based on the findings of appraisal missions that visited India in March, June, September 1983, and a post-appraisal of the resettlement component in August 1984, and comprised Messrs: P. Ljung, G. Fauss, C. Diewald, R. Vick, A. Sanchez, M. El-Menshavy, R. Goodland, K. Jechoutek, D. Fitchett (IBRD/IDA) and, L.D. James, D. Dawdy, T. Scudder, M. Barber, and H. Frederiksen (Consultants). The Snowy Mountain Engineering Corporation of Australia, including the team of J. Hunter, B. Jagger, and W. Gardner, come- pleted the technical appraisal of the main dam. The essential contributions of P. Ljung during project planning, formulation, pre-appraisal and appraisal stages are hereby gratefully acknowledged. Editing done by Ms. S. Fellows and word processing by Mr. J. Maddix, Ms. C. Batara, Mrs. S. Douglas, and Mrs. S. Vanjani. J - ii- Design and Implementation Aspects ....................... s.......18 Dam and Spillways .......................................... 18 The Damn Review Panel ....................................... 18 TheHydropower Components .se .... .. .. ...... .. ... -. 0......... 19 HydrometeorologicalNetwork ................................20 Training and Technical Assistance . ........................ 21 Implementation Schedule and Status of Preparation ........... 22 Land Acquisition and Resettlement ............................. 24 GenLeral ............................ 24 The Tribunal Order .... *........*.........**.. ......... 24 Additional Requirements .......... 6.. * * ............... ... 26 Resettlement and Rehabilitation Agreements ................. 27 Environmental Effects ......................................... 28 land and Rights *.........9- ..... *..* ................. 29 V. COST ESTIMATES AND FINANCING ........... 30 Project Cost Estimates ...... 30 Operation and Maintenance (OEM) Costs ......................... 31 Cost Sharing .............. a. ... se.31 Financing ............................ 31 Procurement............................ 9* * 9C * * * * 9**** 99*999999 33 Disbursements....................................... 35 ProjectAccounts and Audits ................................... 36 VI. ORGANIZATION AND MANAGEMENT .............. 37 Ieneral Agencies............................................37 Interstate Agencies 37 GujaratState Agencies 38.............. 38 Training.... ............... *.. ... 40 TechnicalAssistance ......... ........................... .... 42 CentralizedProcurement Unit .................................. 43 Evaluation and Monitoring ............... 44 Reporting .......... ......... a........44 Project Operation and Maintenance ............................. 44 Ownershipand FinancialArrangements Relatingto Power Facilities .................................. 47 VII. BENEFITS. RISK. AND JUSTIFICATION ....................-........ 48 General ................. 48 Agricultural Benefits ................................... ... 48 Benefits from M&I Water Supply ................................ 50 Benefits from Power Generation.. ......................... 51 Other ProjectBenefits ........................................ 51 Assumptions for EconomicAnalysis ........................... 52 Buildup of Benefits Over Time ................................. 54 Economic Rate of Return for SSP: The Base Case ................ 56 Project Risk .................................................. 58 VIII. AGREEMENTS AND RECOMMENDATIONS ................................ 63 Agreements ...... 63 Government of India .*... ........ .................... 63 Government of Gujarat .................... 64 Government of Gujarat, Madhya Pradesh and Maharashtra .... 66 Governments of Madhya Pradesh and Maharashtra .............. 68 -iii- Recommendation ............... **. 69 Conditions of Effectiveness ... ... ... 69 Schedule A: Resettlement and Rehabilitation......... 70 Schedule B: Institutional, Monitoring and Evaluation Arrangements for Resettlement and Rehabilitation 72 TABLES 1. Implementation
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