The Lesotho Highlands Water Project and Sustainable Livelihoods Policy Implications for SADC

BRIEFING NO 22 ● JUNE 2010 BRIEFINGG NR 2 APRIL 2008

Vusi Mashinini

Dams have become an increasingly contested terrain in development discourse, prompting the United Nations (UN) to establish the World Commission on Dams (WCD) and adopt its Report in 2000. The bone of contention is whether dams promote or hinder sustainable development and livelihoods of the dam impacted areas and communities; and what needs to be done as mitigation of the dam impacts. This paper uses desktop methodology to explore the experiences of the Lesotho Highlands Water Project (LHWP) on sustainable livelihoods of its dam impacted areas and communities, and suggests policy implications for sustainable development in the Southern African Development Community (SADC). The paper concludes that the project failed to promote sustainable livelihoods in the dam impacted areas and communities, and proposes that SADC member states should not only make dam policies but enforce them, in order to guarantee that dam impacted areas and communities have better livelihoods.

Introduction ﬁ nancial gain. This treaty and the LHWP, which it proposed, were to create profound economic, en- Shortly after conducting a coup d’etat in 1986, the vironmental, social and political ramiﬁ cations in military government in Lesotho unilaterally signed Lesotho, and between Lesotho and South Africa. the Lesotho Highlands Water Treaty (LHWT) of Since its conception and inception, up until today, 1986 with the then apartheid ruled Republic of the LHWP has remained a controversial and heat- South Africa (RSA). Central to this treaty was the edly debated development project in Lesotho.1 agreement that Lesotho would sell water from On its part, the government of Lesotho has its mountain areas to the then RSA in return for relentlessly maintained that the LHWP is the key

Vusi Mashinini is an Associate Professor in the Department of Geography and Environmental Science at the National University of Lesotho.

© Africa Institute of South Africa AISA POLICYbrief Number 22 – June 2010 1 to Lesotho’s economic development. The Sixth local environment; and loss of social morality and National Development Plan, for instance, argues social networks, all of which disrupt the lives and that since the beginning of its implementation, livelihoods of the dam impacted communities and the LHWP has contributed about 75% of the total subject them to risks and high vulnerability for investment of the country annually.2 However, sustainable livelihoods. some analysts have also relentlessly demon- Sustainable development as used in this paper strated the disastrous impacts of the LHWP on and debate is understood to refer to development Lesotho’s economic, social, environmental and that meets today’s needs without sacrifi cing those political landscapes for sustainable development of future generations. It is further understood to and livelihoods.3 be composed of the economic, fi nancial, social, This paper examines some of the different ways environmental and political facets. Sustainable in which Phase IA and B of the LHWP impacted on livelihoods is itself understood to refer to the the livelihoods of the communities in Lesotho, and ability of the present generations to effect their how these impacts have policy implications for access to basic needs and entitlements effi ciently sustainable development and livelihoods for SADC and suffi ciently from their livelihood web, now member states. The paper is divided into fi ve and in future, without jeopardising the ability of sections: section one is the introduction; section future generations to do so. It entails the ability two presents a conceptual overview on dams and to minimise shocks, stresses and vulnerabili- sustainable development and livelihoods; section ties, and convert assets into positive livelihood three presents the impacts of the LHWP on com- outcomes.5 munities and their livelihoods; section four is a Within the context of SADC, the SADC Water critical interrogation of the impacts of the LHWP Policy of 2005 provides the policy framework for and their policy implications for sustainable de- the regulation of dams and development in the velopment for SADC member states; and section region. Section 8.5 of the SADC Water Policy is on fi ve provides the conclusion. dams and development. Sub-section 8.5.1 is the fi rst policy on dams and development and it focus- es on the need to identify positive and negative as- Dams and Sustainable pects of dam projects, and recommends that SADC Development and Livelihoods: member states should adopt integrated water A Conceptual Overview resource management as the strategy for the har- monisation of the positive and negative aspects. Since the release of the Report of the WCD in Sub-section 8.5.2 is on community participation 2000,4 dams and their impact on sustainable de- and the need for full involvement in all aspects of velopment and livelihoods have become a highly dam projects by all the multiple stakeholders so contested terrain in development discourses and as to promote full ownership. Sub-section 8.5.3 practice. Protagonists for the construction of dams argue that they facilitate the provision of discusses issues of upstream and downstream water for domestic and industrial use; irrigation impacts of dam projects, and argues that special for sustainable agriculture; generation of hydro- care is needed to ensure that the latter are not electricity; the creation of infrastructure and em- negatively impacted. ployment; the improvement of the accessibility of Section 8.6 is on affected communities by the the regions where the big dams are constructed; dam projects. Sub-section 8.6 is a policy statement the promotion of eco-tourism through fi shing, that emphasises the need for member states to canoeing and sight-seeing; and enable the sale of put the proper legislation in place to ensure that water to thirsty regions and communities within there is correct compensation of the affected com- and outside the national boundaries, all of which munities, such that they are not left worse off than are considered a big boost to local and national before the project.6 government revenues and incomes. In order to ensure that this SADC water policy Antagonists, on the other hand, challenge the becomes more articulate on specifi c dam policy usefulness of dams for sustainable development issues that need to be adhered to by member and livelihoods by pointing out the problems that states as they promote the development of dams, they bring about, such as involuntary resettlement; reviews of country experiences are necessary as a loss of land for food and livestock production; loss starting point to provide lessons of experience for of housing and related property; loss of social SADC policy consideration. This paper attempts to and physical infrastructure; loss of bio-diversity; provide an overview of one such experience, with promotion of seismic activity and changes in the respect to the LHWP.

2 AISA POLICYbrief Number 22 – June 2010 © Africa Institute of South Africa Impacts of the LHWP on Sustainable rather than exhaustive because there is a forest of Development and Livelihoods hard data on the LHWP and most of it is unreli- able because different sources mention different The major objective of the LHWP is to assist ﬁ gures on achievements.9 Lesotho to harness its mountain water resources In terms of economic impacts, the LHWP gen- in order to sell the water to the Gauteng Province, erated US$55 million per annum for Phase 1A, which is the industrial heartland of South Africa. which was equal to 25% of Lesotho’s annual export Minor objectives of the LHWP are to assist Lesotho revenue and 3-5% of its Gross Domestic Product to generate its own hydro-electricity from the (GDP). The project accounted for 18% of import ’Muela Dam in the Butha-Buthe district; to provide tax revenue; a 10-14% annual growth rate of the water for irrigation; to generate national income economy; 14% of government revenue; about 3-5% for Lesotho through the water royalties and taxa- of capital development projects; and some R134 tion on imports related to the project; to generate million investment into the Lesotho Development employment for Basotho; and to boost infrastruc- Fund responsible for community development ture and tourism.7 projects throughout the country. Croucamp esti- Implementation of the LHWP takes place in four mates that the LHWP multiplier on GDP in 1994 phases. Phase 1 was divided into two sub-phases was 0.530, while the multiplier on household con- in which Phase 1A was composed of the construc- sumption was 0.201 in 1994, and was expected to tion of the Katse and the ’Muela dams from 1987 rise to 0.596 in the year 2002. to 1997. Phase 1B consisted of the construction of The impact of the LHWP on employment gen- the Mohale Dam and started in 1997. Phases II, III eration was estimated at more than 7 000 jobs for and IV will be the construction of Mashai, Tsoelike Basotho in construction activities of Phase 1A, and Ntoahae dams respectively. Delivery of water and approximately R380-R400 million in income. to South Africa started in January 1998. The fund- The contracts won by Basotho in the project were ing of all costs of the LHWP was borne by South worth about R87 million, some 8% of all consul- Africa, except the cost of hydro-electric power gen- tancies in Phase 1A of the project. A more moder- eration at the ’Muela dam, which was paid for by ate employment estimate of the Lesotho government. The international com- 4 000 rough labourers in Phase 1A is provided munity supported both Lesotho and South Africa by Hoover. Ramaili and Cloete provide an estimate differently to meet their ﬁ nancial obligations to of 9 000 jobs, of which 40% was held by people the project.8 from the adjacent highlands communities between The administration of the LHWP is the re- 1998 and 2004, worth an income of R630 million sponsibility of four institutions. In South Africa, provided by the LHWP Phase 1B Mohale dam.10 the LHWP is administered by the Department of Another important impact was on infrastruc- Water Affairs and Forestry, and the Trans-Caledon ture promoted through the Lesotho Highlands Tunnel Authority (TCTA), whilst in Lesotho it is ad- Water Development Fund (LHWDF), which re- ministered by the Lesotho Highlands Development ceived R40 million per annum for community Authority (LHDA). The Joint Permanent Technical development projects throughout Lesotho. This Commission (JPTC), which was later called the infrastructure development in Phase 1A consisted Lesotho Highlands Commission (LHC), in which of 1 040 km of rural roads, three road bridges, 30 both countries are equally represented, was the footbridges, 208 water ponds, ten water diver- supreme body that oversaw the entire administra- sion canals, ten gully reclamation projects, two tion of the LHWP. clinics, one market place, 20 soil conservation The LHWP has had tremendous economic, programmes, and 32 328 trees planted. Further social, environmental, infrastructural and politi- infrastructure development was achieved through cal impacts on the livelihoods of the communities the creation of a 100 km tarred north access road living in and around the dam areas. In the case from Pitseng to Katse dam, and a 63 km road from of positive impacts, the following were achieved. Katse village to Thaba-Tseka town. In Phase1B, The LHWP Treaty is valid for 50 years from 1986, Ramaili and Cloete argue that some of the infra- when it was signed, to 2044, and during that time structure development achieved in 2005 included, it remains mandatory to Lesotho and South Africa. interalia, 56 water systems out of a total of 106 The LHWP itself is designed to take 30 years, as of proposed; 1 862 VIP latrines out of 2 505 pro- 1986. At the time of writing, only Phase 1A and B posed; 1 719 soak aways out of 2 505 planned; are complete. Moreover, although the quantitative and 1 048 refuse disposals out of 2 501 planned. data used in this paper are mainly extracted from There were also feeder roads and bridges linking LHDA reports, it should be treated as indicative the Mohale dam communities; the Maseru by-pass;

© Africa Institute of South Africa AISA POLICYbrief Number 22 – June 2010 3 and the mountain road to Mohale. Water systems the construction of high tension electricity lines improved access to safe drinking water supplies, in 1990/91, and had to be resettled. At the end of sanitation improved environmental health, and Phase 1A, 200 houses had been built to resettle the roads increased accessibility of and within the the affected households. In the case of Phase 1B, Mohale dam mountain communities.11 the Mohale dam resulted in the resettlement of The LHWP also had direct negative impacts an estimated 510 households. The LHWP failed to on the communities living in the mountain areas. provide land for land compensation for all the re- The project had, however, developed a compensa- settled households, and thus promoted household tion scheme for all categories of assets affected. food insecurity among them. Moreover, other loss- During Phase 1A, the Katse and ‘Muela dams led es were access to alternative income sources such to the loss of about 1 900 hectares of arable land as dagga, medicinal plants and social networks.13 jointly, which affected some 2 345 households; The impact of the LHWP extended to other ar- while, during Phase 1B, the Mohale dam added eas of public concern in the communities, such as a further loss of about 1 000 hectares of arable health, education and communal natural resourc- land, which affected 1 000 households. The lost es. The Rural Development Programme (RDP) coor- grazing land as a result of Katse, ‘Muela, and dinated mitigating programmes on these impacts. Mohale was 5 000 hectares jointly. Other losses With regard to health, there was a widespread during Phase 1A were 3 000 trees and 17 hectares prevalence of Sexually Transmitted Diseases of garden land. Maize and pulses were mainly (STDs) and an increased likelihood of HIV/AIDS given out as compensation for lost arable land in the communities since the project started. In during Phase 1A, while cash could be considered Phase 1A, the LHDA had a health unit which ran during Phase 1B. The criterion used was to give a network of clinics to provide primary health out 970 kg of maize and 30 kg of pulses for every care to the mountain communities and a trauma hectare of arable land lost each year for 15 years. unit based at Hlotse while, during Phase 1B, there Compensation for lost grazing land was calculated was a hospital built at Mohale and some clinics on the basis of the provision of 560 kg of fodder as well. Education and training were encouraged for every hectare of grazing land lost. Lost garden and promoted by the RDP through the provision of land was compensated with cash amounting to training by the Thaba-Tseka Technical Institute. R5.44 per square metre. In terms of lost trees, fi ve LHDA estimated that from 1988-1996, the institute seedlings and R1.30 for every fruit tree was pro- had trained 157 participants in basic literacy, 75 vided for 15 years whilst, in the case of non-fruit on brick making and laying, 43 on sewing, 31 on trees, fi ve seedlings and R65 were provided.12 knitting, 39 on weaving, 67 on poultry, and 69 on The LHWP also impacted on the mountain village water minding. During Phase 1B, estimates communities through the loss of their houses and are that up to 2005 there were 17schools upgraded homes, and the subsequent need for their resettle- and two newly built at Mohale. ment. Twenty-fi ve households were resettled com- The Environment Unit coordinated programmes pulsorily, while 46 households opted for voluntary on natural resource management, such as in the resettlement. All the 71 resettled households lost area of archeology, paleontology, fl ora and fauna, property in the process, composed of 40 hectares and integrated catchment management. It promot- of arable land, 2.15 hectares of garden land, 0.03 ed sustainability by prohibiting the communities hectares of stables, 0.25 hectares of kraals, 450 from further use of these resources and making trees, and 110 graves. Estimates are also that, efforts to rehabilitate the few remaining ones. between 1988 and 1996, a total of 152 villages Another issue of importance relates to the neg- at Katse and ‘Muela lost some 16.5 hectares of ative impact of the LHWP on local politics, admin- garden land and were given R799,173 as cash istration and governance. Before the advent of the compensation. Moreover, 1 872 households lost LHWP, the chiefs and the lekhotla elders played some 89 hectares of arable land, less than 1 000 an important governance role in the communities. m² in the same period. These households were However, their power and rule of law within the given R558,404 as cash compensation. In terms communities and natural resources governance of resettlement, 150 new houses were constructed were tremendously damaged by the introduction for 87 households in 32 villages affected in the of new structures. This led to lawlessness and same period. About R8,665,999 was used to effect poor governance of natural resources after the the construction. More than R53,770 was used as project when the new structures failed to become compensation for the loss of kraals, stables, toilets sustainable.14 and fencing by some households between 1988 Critical Discussion and Policy Implications for and 1996. Some 239 households were affected by Sustainable Development in SADC Member States

4 AISA POLICYbrief Number 22 – June 2010 © Africa Institute of South Africa the mountain communities had very little trust According to the LHDA, the LHWP is heralded of the government and the people ‘from Lesotho’ as “a world-class project in terms of its scale of (meaning people from the lowlands), whom they planning and its scope of activities.” However, suspected of being too ready to sell out on them. controversies, tensions and confl icts surround the Their protests were met with force by the govern- LHWP and its activities. While wide consultations ment and the LHWP was implemented amidst con- were held with the riparian states of Namibia and tained public resentment. As Moeti argues “who South Africa, including the then Liberation move- would be bold enough to constructively criticise ments, South West Africa People’s Organisation the project in a country that was ruled with an AK (SWAPO), African National Congress (ANC), and 47? The political climate surrounding the planning Pan African Congress (PAC), no such consultations and implementation of the LHWP certainly did not were done with the Basotho nation. Instead, the favour community participation in the process.”16 then military government took a unilateral deci- Later, the LHDA attempted to rectify the infor- sion on the matter and subsequently imposed it mation and consultation problem within the com- onto Basotho by force. This totalitarian approach munities through the creation of regional offi ces denied Basotho the right to express their opinions at ‘Muela, Katse and Mohale operation areas, and on the LHWP and the fate of their mountain water also through the formation and use of fi eld opera- resources – the white gold, as the water resources tions staff called Community Liaison Offi cers and are fondly referred to by the Basotho. The result Community Participation Offi cers. The former are was disapproval of the LHWP by Basotho which elected from the communities and are meant to caused controversy, tension and confl ict between represent their views in the LHDA management, them and the military government. This resulted while the latter are direct lower level employees in lack of popular support of the LHWP by the of the LHDA. While the LHDA commends the use Basotho and the communities which were to be of these two fi eld cadres for enabling community affected right from the onset. For example, the participation in the project, the TRC, however, crit- government ruthlessly stamped out a demonstra- icises this approach for its failure to involve the tion by university students against the signing communities at higher level decision-making and, and celebrations of the LHWT in 1986 and, after therefore, only promoting partial instead of full that, it became the normative practice of govern- community participation in the project.17 ment to whip, maim, batter and kill any serious A policy implication and challenge for sustain- participants in contestations and confl icts within able development in SADC member states is how and around the LHWP, be it workers, civilians and, to ensure that public participation is successfully in the infamous massacre of the Lesotho Defense and peacefully done in the conceptualisation and Force (LDF), members on patrol guard of the Katse planning, long before implementation of dam dam by the SADC forces in the post 1998 electoral projects. This process would need to go beyond contestations in Lesotho.15 public consultation only, but it would entail do- With regard to the mountain communities ing a full ‘buy-in’ process of the project idea from which were directly affected by the LHWP, little pri- its inception stage, continue through the design, or consultations were made to tell the communities planning, implementation and post project evalu- that the government had decided to embark on the ation phases in order to solicit and promote public LHWP and they were expected to be cooperative. ownership. The chiefs of the communities too were treated In the case of royalties gained by Lesotho an- similarly and, therefore, uninformed as their com- nually through sales of the water to South Africa, munities about the details on the LHWP. The lack controversies abound concerning lack of transpar- of knowledge and information were compounded ency in the use of the monies by the government. by the secrecy and lack of community participa- There is no clear statement to the public on how tion in matters pertaining to the LHWP in Lesotho this is used other than to refer to payment for free during the military rule and apartheid rule in the primary education and old age pensions. The irony RSA; and the lack of fi eld personnel of the LHDA is that these programmes are also known to be among the mountain communities, especially dur- supported by some donors. Meanwhile, poverty ing the early days of Phase 1A. As a result, contro- continues unabated despite this large sum of roy- versy and tension arose because the communities alties. As observed by Hoover, “Lesotho currently did not like the introduction of changes in their receives approximately $25 million annually in midst about which they knew very little and which royalties from the project. Yet, the country’s ru- they belatedly recognised would destabilise their ral poor have benefi ted little from this windfall. long established livelihood systems. Moreover, Lesotho still has one of the top ten greatest income

© Africa Institute of South Africa AISA POLICYbrief Number 22 – June 2010 5 disparities in the world, and socio-economic data controversy, tension and confl ict on this issue from the LHWP–affected areas suggest that they were fuelled by the demand for the compensation have not done any better than other parts of the of the LDF soldiers massacred by the SANDF at mountains, where levels of poverty remain high.”18 Katse dam by their families from the government A closely related problem is that the LHWP in- of Lesotho.19 volved the participation of multiple companies The policy implication that arises from this is- and people, some of which resorted to the use of sue for sustainable development in SADC member corruption in their service delivery, with negative states is how to depoliticise dam related projects impacts for sustainable service delivery and good in the interests of public accountability and governance. acceptability. A policy implication and challenge for SADC A further issue of discontent is in whose inter- member states is how to ensure that there is ests the LHWP operates. The fact that all the wa- transparency, public accountability and more im- ter from the LHWP is transferred to South Africa pact commitment of royalties gained from water in accordance with the Treaty, leaving Basotho projects to promote poverty reduction and sustain- thirsty and without access to its use for irrigation, able livelihoods, especially for the poor and the is pointed out as a weakness and impediment to more directly project impacted areas. This would sustainable livelihoods of the Basotho. This has reduce possibilities of corruption and fi nancial prompted the Lesotho government to undertake mismanagement of the royalties. Another chal- the alternative Lesotho Lowlands Water Supply lenge is how to ensure that the royalties from dam Scheme at high cost to supply water for domestic water are re-invested in the national economy in a and industrial uses. manner that would generate multiplier effects for The policy implication for sustainable devel- sustainable development. Concerning how to deal opment among SADC member states is how to with corruption on dams and development, SADC ensure that dam projects serve multiple purposes member states might want to learn from Lesotho’s rather than serve limited objectives. This would experience, which is now widely applauded by the help to minimise the need for alternative compli- world to handle this issue. mentary water projects at equally high costs, and Yet another area of controversy and tension maximise the multiple gains and expectations of around the LHWP concerns the questions of who the communities involved. It would also ensure controls the project? According to the Treaty, the that other livelihood strategies, such as irrigated LHWP is controlled by the LHDA under the supreme agriculture, are linked to the dam projects to boost guard of the JPTC. Concern has been expressed by the livelihoods of the impacted communities and some Basotho that the equal representation of both areas, unlike in the case of the LHWP, where this Lesotho and South Africa in the JPTC undermines is not the case. Lesotho’s sovereignty, self-determination and As far as employment and income generation right of control and decision-making on the project are concerned, their positive impacts on sustain- which deals with its own water resources. Instead, able development and livelihoods are undermined it empowers South Africa to share this right with by the poor backward and forward linkages that Lesotho, which should not happen since South the dam has with the local economies in the re- Africa is a mere buyer of the water. It is feared gions, and the weak multiplier effects that result that this position enables South Africa to exercise from this situation, except for home brews, dagga leverage over Lesotho because of its might. This and prostitution, all of which were also limited tension and controversy over who controls the to the construction phase mostly. The dams have LHWP reached its peak in September 1998 when failed to be integrated into the local economies the South African National Defense Force (SANDF), but continue to be nested in and service external purportedly acting on behalf of SADC, massacred economies and consumers. This is aggravated by 17 LDF members in their sleep, while on duty to the failure of the rural development programme provide security of the Katse dam, and continued of the LHWP, which mainly focused on the rural to stay there until their withdrawal at the end of economy independently instead of forging its links May 2000. The SANDF’s attack and continued stay with the dam as an integrated rural development at Katse dam is thought, by some analysts, to have programme. For instance, all forms of irrigated been in the interests of South Africa rather than agriculture by the communities using water from peacekeeping in Lesotho because there were no the dam are excluded and forbidden; and fi sh- political riots in 1998 at Katse dam. Neither were ing is highly regulated and inaccessible to small the massacred LDF members committing mutiny, fi shermen. Even the tourism business in the area like some of their counterparts in Maseru. More remains externally driven and oriented, with very

6 AISA POLICYbrief Number 22 – June 2010 © Africa Institute of South Africa poor community participation in the supply of and plough back part of the royalties gained into inputs, decision-making and planning. The chal- the dam impacted communities for infrastructure lenge for the government and the LHDA remains maintenance and sustainable service provision, in how to link the dam to local economies to generate order to minimise the incidence of the areas’ col- regional economic linkages and multiplier effects lapse into being downward transitional regions at for sustainable development and livelihoods in the post dam construction phase. LHWP impacted areas, and promote community With regard to education and training, the participation.20 schools facilities built have indeed bought this A policy implication for sustainable develop- service closer to the communities and enabled ment in SADC states arising from employment and them to benefi t better from the policy of free basic income generation issues raised here is that, un- education pursued by the government since 2000. less carefully planned, dams often remain white However, the Thaba-Tseka Technical Institute con- elephants with respect to the livelihoods of the tinues to operate using a modifi ed syllabus since communities in the areas where they have been 2002.21 Therefore, the challenge for the government built. Therefore, deliberate policies have to be put remains how to keep the doors of the Institute open in place and implemented to link the dams into for learning and training to more students through the local livelihood web of the impacted commu- funding, which is a continuous process in the fa- nities in order to make a positive impact on their cilitation of sustainable livelihoods, especially in sustainable development and livelihoods. the empowerment of the youth. In the case of infrastructure development, The policy implication for sustainable de- while the successes are noted there remains the velopment in SADC member states arising from challenge of lack of access to adequate basic serv- education and training issues is how to ensure ices within the communities affected by the Katse, that education and training facilities are made ‘Muela and Mohale dams. This is partly caused by to provide sustainable and continuous service to the disturbances to crossing points formerly used the dam impacted communities, so as to empower by the communities to go to basic service points them through skills and knowledge for sustain- and effect social networks, and whose replace- able development. ment has been through new points that are few In the case of health, the dam impacted areas and far apart. This has reduced access to basic have retained a high scourge of STDs and HIV/AIDS service points and relatives and friends, affect- during and after the dam construction phases.22 ing social networks deemed necessary for social Therefore, on these issues, the policy implications safety nets among the communities now divided for SADC are how to protect dam impacted com- by the dams. On the other hand, it would appear munities from imported diseases brought about by that the assumption was that the supply of these dam operations and immigrant workers. In cases services would be largely private sector driven. where these diseases might have slipped through While this was so during the construction phase, into the impacted communities, what policies and which brought economic boom to these regions strategies do government and its development and, therefore, attracted private entrepreneurs, partners put in place to facilitate coping mecha- most of these private sector service providers left nisms of the communities against them? when the construction phase came to an end, Concerning impacts due to resettlement of resulting in economic doom in the regions. The households due to Katse, ‘Muela and Mohale challenge for the government of Lesotho is that dams, it is noted that the resettlement programme it should step in and use part of the royalties to was a failure as far as reconstruction of the live- improve sustainable service delivery in the LHWP lihoods of the resettled communities and house- impacted mountain areas. holds were concerned. Studies confi rm that house- The implications for sustainable development holds are in a worse state than they were before for SADC member states that arise from these in- resettlement. They have lost food, security, access frastructure and service provision issues are that to income sources, free communal resources, ad- any crossings that are disturbed by dams need equate housing, social networks, and ‘ubuntu’ to be re-instated after construction in order to rooted in the spiritual and ancestral connection bring back social fl ows and networks among the that re-settlees had with their homesteads, all of communities on either side of the dam. Moreover, which were formerly used as coping and survival the paradigm of private sector led infrastructure strategies in their livelihood web and are now ex- and service provision to dam impacted commu- posed to risk and uncertainties of a new life and nities needs to be carefully re-considered in the hostile environments, which have promoted their region. Instead, governments have to intervene vulnerability.23

© Africa Institute of South Africa AISA POLICYbrief Number 22 – June 2010 7 The policy implications for sustainable develop- ● Policies must be made and enforced to make ment in SADC member states that arise from the sure that dam construction for development failed resettlement programme are that specifi c pol- should avoid negative impacts on agricultural icies need to be made and implemented to ensure land and food security. that dams should not result in loss of arable and ● Range management policies are needed and range land, and thus promote food insecurity, as must be enforced to ensure that negative dam this is already a very serious problem in southern impacts on rangeland are avoided because they Africa. Moreover, alternative income sources, ac- have negative impacts on food self suffi ciency cess to free communal resources, social networks, and food security. and ‘ubuntu’ need to be preserved by dam projects ● Policies are needed to ensure that dam devel- because they are coping support systems which can opment projects should avoid negative impacts help the impacted communities face up to the risks on the moral fi bre, rule of law, social rubric and shocks, therefore reducing their vulnerabilities. and loss of social security. In order for this to become successful, the resettle- ● Environmental policies must be put in place ment and compensation programmes need to be a and implemented with full political will to product of full participation of the communities af- minimise loss of environmental security in the fected. The dam authorities in SADC member states dam projects impacted areas. should have transparency and full commitment to ● A hard and closer look at the temporal and its implementation, and must work hand in glove inter generational aspects of compensation with the communities, government and civil society policies is mandatory so as to devise and im- through networking and co-management for sus- plement policies that would make sure that the tainable development and livelihoods. dam impacted communities are not left worse off today and in future than they were before Conclusion and Policy Recommendations dam projects. for Sustainable Development in SADC ● Specifi c policies are needed to ensure that This paper concludes that the LHWP was success- dams do not precipitate conditions of helpless- ful in some cases and not so in others. Areas of ness, dependency and loss of the battle against success were in job creation; income generation; poverty reduction in SADC states by fostering infrastructure development; social infrastructure; that the dams should promote the principles generation of hydro-electricity for non-‘Muela and practices of empowerment, multiple ob- residents, especially Maseru; and sale of water to jectives and self reliance among the impacted South Africa. The strongest failures were in the communities using the dams as the develop- area of compensation of resettled communities. ment nexus. Lessons learned from the LHWP, which are iden- ● Policies to ensure that there is accountability tifi ed as having implications for SADC member and transparency in the fi nancial management states and their policies on dams and sustainable and governance of dam royalties are necessary livelihoods, are as follows: to minimise corruption and promote the plough ● Community participation is necessary from back of fi nancial gains from the dams into the conception, inception, planning and implemen- dam impacted communities and areas. tation of dams in order to ensure ownership by ● SADC states need to ensure that local tradi- all stakeholders. tional governance is not displaced by ‘modern’ ● Consensus building on likely impacts and miti- structures introduced by the dam projects be- gation via participatory Environmental Impact cause the former are known, ‘established’ and Assessments is needed so as to build dialogue recognised over generations by the local com- and consensus on upstream and downstream munities, and they often act as the ambilical impacts and their mitigation. cord that links them with their livelihood web, ● De-politicisation of dam projects is important as provided by their environment. This is nec- for consensus building and constructive en- essary for the minimisation of the vulnerabil- gagement of all stakeholders without fear of ity context of the dam impacted communities. possible political retribution by the state. ● SADC states should ensure that there are poli- ● It is necessary to integrate dams into the local cies to facilitate the participation of civil soci- economies by forging linkages and multiplier ety and networking because they are crucial effects with the rest of the livelihood web of in order to promote advocacy for the project the dam impacted communities in order to impacted communities and their participation ensure sustainable livelihoods of the impacted in dams and sustainable development and live- households. lihoods.

8 AISA POLICYbrief Number 22 – June 2010 © Africa Institute of South Africa Lesotho Highlands Development Authority, Environmental and Notes and References social aspects of the Lesotho Highlands Water Project, Maseru: LHDA, 1997; Croucamp, ‘Economic and social impacts of 1 T Schudder, ‘Assessing the impacts of the LHWP on resettled the Lesotho Highlands Water Project,’ Pretoria: Department households and other affected people, 1986- 2005’ of Water Affairs, 1996; L Ramaili & F Cloete, ‘The role of in L Thamae & L Pottinger (eds.), On the Wrong side of the Lesotho Highlands Water Project in Poverty Alleviation in Development: Lessons from the Lesotho Highlands Water Lesotho,’ Africa Insight, Vol. 37, No. 4, 2008, pp 122–126. 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© Africa Institute of South Africa AISA POLICYbrief Number 22 – June 2010 9 Review of Southern African Studies, Vol. 5, No. 1& 2, 2007, 23 R Hoover, ‘Pipe Dreams: The World Bank’s failed efforts pp 24–45. to restore lives and livelihoods of dam affected people in 20 R Hoover, ‘Pipe Dreams: The World Bank’s failed efforts Lesotho,’ International Rivers Network, 2001, pp 26–32; to restore lives and livelihoods of dam affected people in S Setsabi & V Mashinini, ‘The livelihood patterns of the Lesotho,’ International Rivers Network, 2001, p 34–35; V people relocated and resettled from the Mohale dam area: Mashinini, ‘Tourism policies and strategies in Lesotho,’ Africa Data analysis and interpretation’ in L Thamae & L Pottinger Insight, Vol. 33, No. 1 & 2, pp 91–92. (eds), On The Wrong Side of Development: Lessons from the Lesotho Highlands Water Project, Maseru: Transformation 21 L Ramaili & F Cloete, ‘The role of the Lesotho Highlands Resource Centre (TRC), 2006, p 145; L Ramaili & F Cloete, Water Project in Poverty Alleviation in Lesotho,’ Africa Insight, ‘The role of the Lesotho Highlands Water Project in Poverty Vol. 37, No. 4, 2008, p 124. Alleviation in Lesotho,’ Africa Insight, Vol. 37, No. 4, 2008, 22 R Hoover, ‘Pipe Dreams: The World Bank’s failed efforts p 131. to restore lives and livelihoods of dam affected people in Lesotho,’ International Rivers Network, 2001, p 12.

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