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World Bank Document Public Disclosure Authorized I -~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~c Public Disclosure Authorized I~~~~~~~~~~~~~~~~~~~ -I 1. f 'Ii ______~~~~! Public Disclosure Authorized Public Disclosure Authorized IUCN - THE WORLD CONSERVATION UNION Founded in 1948, IUCN-The World Conservation Union brings together States, government agencies, and a diverse range of non-governmental organizations (NGOs) in a unique membership: 895 members in all, spread across 138 coun- tries. As a Union, IUCN seeks to influence, encourage and assist societies throughout the world to conserve the integrity and diversity of nature and to ensure that any use of natural resources is equitable and ecologically sustain- able. A global secretariat and 35 regional and country offices coordinate the IUCN Programme and serve the Union membership, representing their views on the world stage and providing them with the strategies, services, scientific knowledge and technical support they need to achieve their goals. Through its six Commissions, IUCN draws together over 6,000 expert volunteers in project teams and action groups, focusing in particular on biodiversity conservation and the management of habitats and natural resources. The World Conservation Union builds on the strength of its members, networks and part- ners to enhance their capacity and to promote global alliances in support of con- servation at the local, regional, and global levels. THE WORLD BANK GROUP The World Bank Group is a family of multilateral development institutions owned by and accountable to member governments. These governments exer- cise their ownership function through Boards of Governors on which each member country is represented individually. The World Bank today includes five international organizations: The International Bank for Reconstruction and Development (IBRD) is the largest source of market-based loans to developing countries and is a major catalyst of similar financing from other sources. It lends to governments or to public or private entities with government guarantees. The International Finance Corporation (IFC) supports private enterprise in the developing world through the provision and mobilization of loan and equity financing and through advisory services. The International Development Association (IDA) provides finance on concessional terms to low-income coun- tries. The International Centre for Settlement of Investment Disputes (ICSID) provides conciliation and arbitration services for disputes between foreign investors and host governments. The Multilateral Investment Guarantee Agency (MIGA) provides noncommercial investment risk insurance and tech- nical services to help promote investment flows. LARGEDAMS LEARNINGFROM THE PAST LOOKINGAT THE FUTURE WORKSHOPPROCEEDINGS Gland,Switzerland April11-12, 1997 Editor: Tony Dorcey Co-Editors: Achim Steiner Michael Acreman Brett Orlando IUCN U TheWorld Conservation Union TheWorld Bank The joint IUCN/World Bank initiative on Large Dams was implemented with financial assistance from the Swiss Agency for Development and Cooperation. LARGEDAMS: Learning fromthe Past, Looking atthe Future The designation of geographical entities in this book, and the presentation of the material, do not imply the expression of any opinion whatsoever on. the part of IUCN or the World Bank Group concerning the legal status of any country, territory, or area, or of its authorities, or concerning the delimitationof its frontiers or boundaries. The views expressed in this publication do not necessarily reflect those of IUCN or the World Bank Group. This publication has been made possible in part by funding from the Swiss Agency for Development and Cooperation. Published by: IUCN, Gland, Switzerland and Cambridge, UK The World Bank Group, Washington, D.C. IUCN U TheWorld Conserlation Union The WorldBank Copyright: (©1997 International Union for Conservation of Nature and Natural Resources and the International Bank for Reconstruction and Development/the World Bank Group Reproductionlof this publication for educational or other non-commercialpurposes is authorized without prior written permission from the copyright holder provided the source is fully acknowledged. Reproductiornof this publication for resale or other commercial purposes is prohibitecdwithout prior written permission of the copyright holder. Citation: IUCN -The World Conservation Union and the World Bank Group. July 1997.Large Dams: Learning from the Past, Looking at the Future. WorkshopProceedings. IUCN, Gland, Switzerland and Cambridge, UJKand the World Bank Group, Washington, DC. v. + 145 pp. ISBN: 0-8213-4028-X Layout, cover Robert Dorrell design by: Cover photos: Clockwisefrom top right: (1) Pakistani settler and irrigation canal in the Tarbela Dam area, Pakistan; (2) Constructionsite at the Pangue Dam, Chile; (2) Spillway constructionat Victoria Dam, Sri Lanka; (4) Tarbela Dam, Pakistan. All photos courtesyof the WorldBank Group Produced by: IUCN US, Washington, DC IUCN Global Policyand Partnership Unit, Gland, Switzerland Printed by: Reproductions, Incorporated. Gaithersburg, Maryland. Available from: IUCN Publications Services Unit 219c Huntingdon Road, Cambridge CB3 ODL, United Kingdom Tel: +44 1223 277894;Fax: +44 1223 277175 E-mail: iucn-psu&wcmc.org.uk;www: http://www.iucn.org A catalogue of IUCN publications is also available The World Bank 1818 H Street, NW,Washington, DC 20433, USA Tel: 202-477-1234;Fax: 202-477-6391 E-mail: booksUbworldbank.org;www: http://www.worldbank.org The text of this book is printed on 50% recycledpaper made with 30%post-consumer waste. LARGEDAMS: Learning fromthe Past, Looking atthe Future TABLE OF CONTENTS Preface i List of Invited Workshop Participants iii PART 1:SUMMARY REPORT OF THE WORKSHOP Summary Contents 3 1.0 THE WORKSHOP: ORIGINS, PLANNING AND PROCEEDINGS 4 1.1 Growth of Controversy 4 1.2 World Bank Review 4 1.3 World Bank Partnership with IUCN-TheWorld Conservation Union 5 1.4 Preparations for the Workshop 5 1.5 What Happened? 8 2.0 MAJOR CONCLUSIONS AND RECOMMENDATIONS 9 2.1 A World Commission 9 2.2 The Proposed Agenda 11 2.3 Implementation Strategy 11 3.0 EPILOGUE 12 PART II: OVERVIEW PAPERS 4.0 ENGINEERING AND ECONOMIC ASPECTS OF PLANNING, DESIGN, OPERATION AND CONSTRUCTION OF LARGE DAM PROJECTS by EngelbertusOud and TerenceMVuir 17 5.0 SOCIAL IMPACTS OF LARGE DAMS by Thayer Scudder 41 6.0 ENVIRONMENTAL SUSTAINABILITYIN THE HYDRO INDUSTRY by Robert Goodland 69 7.0 MEETING HYDRO'S FINANCING AND DEVELOPMENT CHALLENGES byAnthony Churchill 103 8.0 HYDROPOWER: A NEW BUSINESS OR AN OBSOLETE INDUSTRY? byAnthony CGhurchill 111 APPENDIX A A.1 CRITICAL ADVANCES NEEDED IN KNOWLEDGE AND PRACTICE 121 A.2 METHODOLOGIES AND APPROACHES FOR ASSESSMENT 124 APPENDIX B B.1 INTRODUCTORY REMARKS by David McDowell 127 B.2 INTRODUCTORY REMARKS by Robert Picciotto 130 B.3 MCDOWELLIWOLFENSOHN CORRESPONDENCE 134 APPENDIX C C.1 LIST OF PAPERS AVAILABLETO THE WORKSHOP PARTICIPANTS 139 C.2 BIOGRAPHIES OF THE REFERENCE GROUP 141 LARGEDAMS: Learning from the Past, Looking atthe Future LARGEDAMS: Learning fromthe Past, Looking atthe Future PREFACE Working in partnership towards sustainable developmentis an often-citedobjective. The workshop on large dams jointly organizedby IUCN- the World ConservationUnion and the World Bank Group has been acknowl- edged by all involvedas a promising example of learning and cooperation. Together we decided to tackle one of the "big debates" in sustainabledevelopment. For far too long conflict and controversy have prevented constructive dialogue and objectiveassessments. Giventhe many differing per- spectives on large dams, a great challenge remains in interpreting their developmenteffectiveness and applying the lessons learned to future decisions on whether dams have a major role to play in land, water and energy developmentand how particular dams should be selected, constructed and operated.This challenge reflects the complexjudgments involvedin meeting developmentneeds, maintainingthe viabilityof ecosystems and protect- ing the livelihoodsand cultures of people affected by such major infrastructure developments. The workshop in Gland has created an important opportunityfor addressing these questions in an open, trans- parent and rigorous process. It is our hope that the proposed independent commissionto be established by November 1997 willenable all stakeholders to make substantive contributionsto the review of large dams and the developmentof new standards, criteria and guidelines to informfuture decision-making. We would like to thank the participants of the workshop for the time and effort they invested in making this dialogue a success. Their continued commitmentto the follow-upprocess of establishing the commissionhas been remarkable. The support of the SwissAgency for Developmentand Cooperation(SDC) in contributingto this large dams dialogue was criticaland their role in supporting this partnership is appreciatedby all involved. We also owe a specialvote of thanks to the authors of the overviewpapers - Robert Goodland,Engelbertus Oud, Terence Muir, Thayer Scudder and Anthony Churchill- who provided an important starting point for our discussions. Tony Dorcey,who facilitatedthe workshop, proved indispensablein creating the right atmosphere and the right process for an open and constructive debate. Together with Mike Acreman, workshop rapporteur, he pre- pared the workshop summary report. Andres Liebenthal (OED/WorldBank) and Achim Steiner (IUCN)formed the team that prepared and coordinated much of the process
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