CONTENTS

INTRODUCTION THE UPPER PARAGUAY RIVER BASIN 1 DEVELOPMENT AND ENVIRONMENTAL CONFLICTS...... 2 1.1 Geographical Situation...... 2 1.2 Overview...... 6 1.3 Population...... 11 1.4 Conservation Areas ...... 17 1.5 Economy and Infrastructure...... 20 1.6 Threats to the Ecosystems...... 25 2 INSTITUTIONAL AND MANAGEMENT FRAMEWORK ...... 30 2.1 National Legal and Institutional Framework...... 30 2.2 Management in the State of Mato Grosso do Sul ...... 30 2.3 Management in the State of Mato Grosso...... 31 2.4 Public Bodies...... 31 2.5 NGOs...... 35 2.6 Educational and Research Institutions ...... 38 3 RELEVANT LEGISLATION AND INTERNATIONAL AGREEMENTS...... 40 3.1 Brazilian Laws and Norms...... 40 3.2 International Treaties and Conventions...... 45 STRATEGIES FOR THE JICA 4 REGIONAL PLANS, PROGRAMS AND PROJECTS...... 47 5 JICA PARTICIPATION PROPOSALS...... 55 5.1 Coordination of Fish Stock Monitoring in the UPRB in Mato Grosso and Mato Grosso do Sul ...... 57 5.2 Restoration of the Paraguay River Headwaters, the PEPE and VIDA Projects ...... 60 5.3 Sustainable Urban Drainage Program ...... 66 5.4 Long-term Ecological Responses to Flooding Variations in the Pantanal...... 69 5.5 Monitoring and Control of Water Flow and Quality in the UPRB...... 72 5.6 Proposal for the Sustainable Use of the Pantanal Ecosystem: Production of Beef Cattle...... 75 5.7 Parque Estadual Encontro das Águas (Águas do Pantanal)...... 77

ANNEXES

INTRODUCTION

INTRODUCTION

This document is the result of consulting services related to the “Feasibility Assessment of Environmental Projects in the Upper Paraguay River Basin”, compiled by COBRAPE – Cia Brasileira de Projetos e Empreendimentos on behalf of the JICA – Japan International Cooperation Agency.

In line with the specific aim of the services, the document is structured as follows:

− THE UPPER PARAGUAY RIVER BASIN

This section comprises a characterization of the study area and a survey of the Upper Paraguay River Basin’s current situation, urban environment and natural ecology, including the principal threats to its ecosystems, as well as a brief description of the main bodies active in the region and the current situation of the most important envisaged programs. There is also a breakdown of the legal framework pertaining to the region’s geography and environment, with specific comments on the main legislation.

− STRATEGIES FOR THE JICA

Based on the results of surveys and research activities, this section contains an assessment of possible technical cooperation on the part of the JICA through the selection and indication of several specific projects that would benefit from this cooperation.

In the course of drawing up this report, we examined documents published by various bodies and consulted several internet sites. We are also grateful for the important contribution from those professionals we interviewed in loco when visiting public bodies in Brasília, Cuiabá, Campo Grande and Corumbá .

THE UPPER PARAGUAI RIVER BASIN

1 DEVELOPMENT AND ENVIRONMENTAL CONFLITS 2 INSTITUTIONAL AND MANAGEMENT FRAMEWORK 3 RELEVANT LEGISLATION AND INTERNATIONAL AGREEMENTS

1. DEVELOPMENT AND ENVIROMENTAL CONFLICTS

1.1 Geographical Situation

The Upper Paraguay River Basin (UPRB), situated in the central region of South America, is part of the Paraná-Paraguay Basin, in turn part of the La Plata system, the continent’s second largest watershed after that of the Amazon. The UPRB covers approximately 595,000 km², 61% of which in Brazil, 20% in Bolivia and 19% in Paraguay. The Brazilian part is located in the states of Mato Grosso and Mato Grosso do Sul, covering almost a hundred municipalities.

It comprises three main elements: the plateaus and higher elevations, which take in most of the Basin; the floodplain, in the central part; and the residual elevations adjacent to the plain and its depressions. In the rainy season, the swelling upland waters flow into the Pantanal in enormous volume, provoking flooding, although this is a slow process given the shallow declivity.

In Brazil, the plain is formed by tributaries of the Paraguay’s left bank plain. The Paraguay is one of Brazil’s most important plain rivers, being the Pantanal’s only run-off. It rises in the Chapada dos Parecis, near the city of Diamantino (MT) and flows for 2,621 km (1,683 km of which in Brazilian territory) before joining the Paraná River, on the border with Paraguay and Argentina,

In addition to the Paraguay itself, the main rivers making up the UPRB sub-basins are the Cuiabá, São Lourenço, Itiquira, Correntes, Taquari, Negro, Aquidauana and Miranda.

The Pantanal, which comprises the UPRB’s floodplain with declivities of between 1 and 2 cm/km, occupies around 165,000 km2, 140,000 km² of which in Brazil, in the states of Mato Grosso (35%) and Mato Grosso do Sul (65%).

The following maps illustrate the geography of the area in question, as well as some of its characteristics.

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1.2 Overview

Most of the Upper Paraguay is located in the plateau region. The central stretch runs through the plains, a depressed, flat area where surface run-off is jeopardized, leading to periodic flooding. Thus the Pantanal (whose name derives from pântano, the Portuguese word for swamp and is therefore considered inappropriate by some authors, given that its waters are in constant movement), thus constitutes an immense wetland area, the biggest such area in the world.

Wetlands or floodlands are exceptionally diverse environments occupying zones of transition between higher, well-drained areas and permanently flooded ones. Their delimitation is extremely difficult given that their borders are diffuse due to the seasonal variations in water levels and human use of the land, which alters the vegetation, the soil and the rainfall cycle.

Wetland hydrology creates conditions that differentiate these areas from both other land environments and deepwater ones. The hydrological systems vary greatly in terms of flooding frequency, duration of the hydrological cycle and the depth of the water. There is a wide variety of flooding patterns associated with the world’s leading floodlands. And it is the regularity of these patterns that is responsible for maintaining the structure and functioning of the environment. Without this regularity, fish productivity, vegetation growth cycles and animal migrations would be seriously affected.

Rainfall in the region ranges between 1,000 and 1,500 mm p.a. and can reach as much as 300 mm per month in December and January.

Soils are acidic and weak, with a low nutrient content. Clay- type soil predominates in the south and sandy types in the central part. In general, fertility is greater in those areas influenced by the sediments carried by the Paraguay and its tributaries, decreasing as the distance from the major water courses becomes greater.

The vegetation, unlike the typically homogeneous formations, resembles a mosaic composed of representatives from three distinct regions: the Amazonian, the cerrado (savannah) and the chaco (flatland) . All in all, there are around 1,500 species of plants, whose physical characteristics are categorized as the “Pantanal complex”.

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The variety of the vegetation, the topography and the enormous quantity of water in the Pantanal ensure food, shelter and breeding locations for all the fauna in the floodplain itself and its surroundings. It is considered one of the main breeding centers in the Americas, where animal diversity is among the highest of the world.

The region’s rivers are also rich in fish, with 263 species, the most famous being the dourado and the jaú, a giant catfish weighing more than 100 kilos. Aside from the alligator, the 50 known species of reptile include the gigantic yellow anaconda, which can grow up to 6 m in length. There are also around 650 known bird species, which unite in huge flocks during the flood season, feeding on fish and other animals in the channels and lakes. Among the biggest is the tuiuiú, a kind of stork with a wingspan of up to 3 m, which has become the avian symbol of the Pantanal. The Pantanal is also host to flocks of migratory birds from the Arctic on their way to the Antarctic. There are around 80 species of mammal, including the Americas’ largest carnivores – the spotted jaguar and the puma – who constitute a constant threat to cattle and even humans. They are much feared and have given rise to a series of myths.

From the physiographic point of view, the Pantanal is usually divided into 11 compartments, or pantanais, each comprising several municipalities, as shown in the table below.

Table 1.1 – Pantanal - physiographic compartments Compartment Area (km2) Municipalities Poconé 16,000 Cáceres, Poconé, N.S. do Livramento, Barão de Melgaço, Sto. Antônio de Leverger Cáceres 12,000 Cáceres Barão de Melgaço 18,000 Barão de Melgaço, Santo Antônio de Leverger Paraguai 10,000 Corumbá, Ladário, Poconé Paiaguás 27,000 Corumbá, Sonora, Coxim Nhecolândia 27,000 Rio Verde de Mato Grosso, Aquidauana, Corumbá Abobral 3,000 Aquidauana, Corumbá Aquidauana 5,000 Aquidauana Miranda 13,000 Aquidauana, Bodoquena, Miranda Nabileque 13,000 Corumbá, Porto Murtinho Porto Murtinho 4,000 Porto Murtinho

The following maps show, respectively, vegetation and soil types in the UPRB and the physiographic divisions of the Pantanal.

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1.3 Population

The resident population of the UPRB is distributed over dozens of municiipalities in the states of Mato Grosso and Mato Grosso do Sul, comprising around 3 million inhabitants, most of whom live in urban areas. A breakdown of the figures is given in the following tables, where the total population numbers refer to 2004 estimates by the IBGE, which also estimated the average overall total population growth of these municipalities at around 1.9 % p.a. The rural/urban distribution was obtained by applying the same distribution as in the 2000 Census. Note that the figures refer to the total area of each municipality and not just that part located in the basin, which is estimated at around 1.9 million.

Table 1.2 – Municipalities wholly or partially located in the UPRB (Mato Grosso) Area Total Urban Rural Rural Density Municipality 2 2 (km ) Population Population Population (inhab/km ) Acorizal 841 6,078 2,897 3,181 3.78 Alto Araguaia 5,538 11,738 9,332 2,406 0.43 Alto Garças 3,660 8,350 7,260 1,090 0.30 Alto Paraguai 2,052 6,590 4,994 1,596 0.78 Alto Taquari 1,395 5,226 4,284 942 0.68 Araputanga 1,603 14,247 11,262 2,985 1.86 Arenápolis 415 10,608 9,779 829 2.00 Barão de Melgaço 11,182 6,566 3,107 3,459 0.31 Barra do Bugres 7,161 31,095 23,940 7,155 1.00 Cáceres 24,713 87,708 67,889 19,819 0.80 Campo Verde 4,795 22,991 17,442 5,549 1.16 Chapada dos Guimarães 6,227 17,272 10,362 6,910 1.11 Cuiabá 3,971 524,666 517,269 7,397 1.86 Denise 1,271 8,869 7,787 1,082 0.85 Diamantino 7,736 19,903 15,335 4,568 0.59 Dom Aquino 2,205 8,243 6,268 1,975 0.90 Figueirópolis D'Oeste 891 3,752 1,531 2,221 2.49 Glória D'Oeste 846 2,792 1,753 1,039 1.23 Guiratinga 5,358 11,562 10,527 1,035 0.19 Indiavaí 600 2.073 1.269 804 1.34 Itiquira 8,639 9,813 3,232 6,581 0.76 Jaciara 1,659 26,363 22,980 3,383 2.04 Jangada 1,022 8,112 3,140 4,972 4.87

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Area Total Urban Rural Rural Density Municipality 2 2 (km ) Population Population Population (inhab/km ) Jauru 1,217 12,843 6,162 6,681 5.49 Juscimeira 2,205 12,635 8,296 4,339 1.97 Lambari D'Oeste 1,713 3,876 1,464 2,412 1.41 Mirassol d'Oeste 1,130 22,663 18,709 3,954 3.50 N. S. do Livramento 5,229 12,988 4,169 8,819 1.69 Nobres 7,314 15,432 12,318 3,114 0.43 Nortelândia 1,351 5,798 5,245 553 0.41 Nova Brasilândia 3,548 4,967 3,497 1,470 0.41 Nova Marilândia 1,947 2,798 1,853 945 0.49 Nova Olímpia 1,513 17,917 16,066 1,851 1.22 Pedra Preta 4,193 14,835 11,305 3,530 0.84 Planalto da Serra 2,454 2,939 1,715 1,224 0.50 Poconé 17,261 31,243 22,666 8,577 0.50 Pontes e Lacerda 13,123 40,830 27,600 13,230 1.01 Porto Esperidião 5,815 10,719 3,732 6,987 1.20 Porto Estrela 2,065 4,283 2,128 2,155 1.04 Poxoréo 6,923 18,056 12,661 5,395 0.78 Primavera do Leste 5,472 53,881 49,395 4,486 0.82 Reserva do Cabaçal 361 1,907 1,227 680 1.89 Rio Branco 529 4,762 3,251 1,511 2.86 Rondonópolis 4,165 163,824 154,675 9,149 2.20 Rosário Oeste 8,500 17,990 10,427 7,563 0.89 Salto do Céu 1,295 3,387 1,744 1,643 1.27 Sto Antônio do Leverger 11,828 15,459 5,524 9,935 0.84 São José do Povo 444 3,113 1,536 1,577 3.55 S. José Quatro Marcos 1,281 18,504 13,058 5,446 4.25 São Pedro da Cipa 344 3,596 3,054 542 1.57 Sto. Afonso 1,168 2,378 1,138 1,240 1.06 Tangará da Serra 11,728 68,191 59,678 8,513 0.73 Tesouro 4,017 2,402 1,947 455 0.11 Várzea Grande 901 242,674 238,171 4,503 5.00 TOTAL 234,815 1,691,507 1,468.050 223,457 0.95

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Table 1.3 - Municipalities wholly or partially located in the UPRB (Mato Grosso do Sul) AREA População População População Dens. Rural Município (km2) Total Urbana Rural (hab/km2) Alcinópolis 4,400 2,426 1,521 905 0.21 Anastácio 2,949 23,779 18,266 5,513 1.87 Antônio João 1,144 7,804 6,633 1,171 1.02 Aquidauana 16,959 45,543 35,453 10,090 0.59 Bandeirantes 3,116 6,556 4,625 1,931 0.62 Bela Vista 4,895 23,113 19,140 3,973 0.81 Bodoquena 2,507 8,494 5,302 3,192 1.27 Bonito 4,934 17,681 13,480 4,201 0.85 Camapuã 10,758 14,141 9,125 5,016 0.47 Campo Grande 8,096 734,164 725,637 8,527 1.05 Caracol 2,939 4,932 2,964 1,968 0.67 Corguinho 2,641 3,547 1,470 2,077 0.79 Corumbá 64,965 99,441 89,510 9,931 0.15 Coxim 6,410 32,630 28,986 3,644 0.57 Dois Irmãos do Buriti 2,345 9,636 4,503 5,133 2.19 Guia Lopes da Laguna 1,210 12,114 9,875 2,239 1.85 Jaraguari 2,913 5,847 1,535 4,312 1.48 Jardim 2,202 24,193 22,487 1,706 0.77 Ladário 340 17,023 14,985 2,038 5.99 Maracaju 5,299 27,871 22,525 5,346 1.01 Miranda 5,479 24,459 12,820 11,639 2.12 Nioaque 3,924 17,153 6,914 10,239 2.61 Pedro Gomes 3,651 8,646 6,605 2,041 0.56 Ponta Porã 5,329 66,054 58,969 7,085 1.33 Porto Murtinho 17,735 13,577 8,502 5,075 0.29 Rio Negro 1,818 5,344 3,678 1,666 0.92 Rio Verde Mato Grosso 8,152 19,710 16,752 2,958 0.36 Rochedo 1,561 4,787 2,742 2,045 1.31 São Gabriel do Oeste 3,854 19,277 15,621 3,656 0.95 Sidrolândia 5,286 27,519 18,588 8,931 1.69 Sonora 4,076 11,423 9,664 1,759 0.43 Terenos 2,841 12,516 6,098 6,418 2.26 TOTAL 214,727 1,351,400 1,204,975 146,425 0.66

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Part of the basin’s population is made up of native peoples, totaling some 33,000 individuals in 26 indigenous reserves. The following are the main ethnic groups:

− Guató: a people believed to have been extinct for 40 years, they were rediscovered in 1977 on the island of Bela Vista do Norte. They are nomadic, settling in huts only during the rainy season;

− Terena: most of the Terena, around 12,000 individuals, live on 8 reserves in the west of Mato Grosso do Sul;

− Kaiowaá: a community of more than 16,000 inhabiting 23 officially recognized areas, only 3 of which are situated in the UPRB.

The two maps below show the basin’s population distribution. in the first one, dealing with the populations in the preceding table, one can note the difference between the impact of the urban populations on the basin (represented by the size of the symbols) and that of the rural populations (represented by different colors in line with population density). The following map shows the location of the indigenous areas and villages.

14 €€i‚2€e‚eq e‰2‚s†i‚2feƒsx2sx2f‚esv €opul—tion ESV EST ESR EIR

f‚esv xov—2w—rilândi— 5ƒ ƒ55ƒ ƒ5 5ƒ 5ƒ ƒepotu˜—2‚iver elto2€—r—gu—i €l—n—lto2d—2ƒerr— ƒ5 5ƒ 5ƒ ‚osário2yesteƒ5 w—nso2‚iver ƒ5 €—r—gu—y2‚iver ƒ5 f‚EITQ xov—2fr—silândi— f—rr—2do2fugres 5ƒ 5ƒ ƒ5 e™oriz—l d—2g—s™—2‚iver 5ƒ ‚io2fr—n™o w—to2qrosso ƒ5 5ƒ 5ƒ t—uru t—uru2‚iver 5ƒ €orto2istrel— 5ƒ 5ƒ 5ƒ gh—p—d—2dos2quim—rães 5ƒ ƒ5 5ƒ €rim—ver—2do2veste 5ƒ ƒ5 ƒ5wir—ssol2d9yeste ƒ5 qlóri—2h9yeste ƒ5 xF2ƒF2do2vivr—mentoƒ5ƒ5 hom2equino €oxoréo 5ƒ f‚EHUH 5ƒ 5ƒ 5ƒ 5ƒƒtoF2entônio2 ƒ5 do2veverger EIT t—™i—r—ƒ55ƒ ƒ5gá™eres 5ƒ 5ƒ 5ƒ ƒ5 f—rão2de2 quir—ting— €o™oné welg—ço ‚ondonópolis ƒ5 ƒ5 †ermelho2‚iver5ƒ

ƒão2vourenço2‚iver ƒ5€edr—2€ret— fento2qomes2‚iver

gui—˜á2‚iver elto2q—rç—s 5ƒ

€iquiri2‚iver stiquir—2‚iver stiquir— 5ƒ 5ƒ f‚EQTR ƒonor— qoiás 5ƒ elto2„—qu—ri 5ƒ

EIV €edro2qomes fyvs†se 5ƒ „—qu—ri2‚iver el™inópolis 5ƒ goxim ƒ5 ƒ5

goxim2‚iver g—piv—ri2‚iver ‚io2†erde2de2 w—to2qrosso gorum˜á ƒ5 ƒ5ƒ5v—dário

f‚EITQ ƒão2q—˜riel2do2yesteƒ5 xegro2‚iver 5ƒ g—m—pu㠃5

gorguinho 5ƒ €—r—gu—y2‚iver EPH 5ƒ 5ƒ equid—u—n—2‚iver t—r—gu—ri wir—nd— 5ƒ €e‚eq e‰ ƒ5 equid—u—n— f‚EPTP w—to2qrosso2 fodoquen— ƒ5 5ƒ 5ƒ ƒ5 ƒ5 do2ƒul2 hois2srmãos2do2furiti 5ƒ ƒidrolândi— equid—˜ã2‚iver wir—nd—2‚iver ƒ5 fonito xio—que ƒ5 5ƒ

t—rdim f‚EPTU 55ƒ ƒ f‚EPTU €orto2wurtinho ƒ5 5ƒ €erdido2‚iver

g—r—™ol EPP 5ƒ fel—2†ist— ƒ5 entônio2toão ep—2‚iver 5ƒ

sntern—™ion—l2˜order r˜—n2popul—tion ‚ur—l2density2@inh—˜GkmPA H SH IHH km x ƒt—te2found—ry 5ƒ H2E2IHHHH H2E2HDPS ƒt—te2g—pit—l ‰5 5ƒ IHHHH2E2SHHHH HDPS2E2HDUS ƒ™—le2IXSFHHHFHHH 5 gities2with2more2th—n2PHFHHH2inh—˜F pper2€—r—gu—y2‚iver2f—sin2in2fr—zil 5ƒ SHHHH2E2PHHHHH HDUS2E2PDHH €—nt—n—l22˜order2E2fr—zil ƒ5 PHHHHH2E2IHHHHHH b2PDHH w—in2rivers w—in2ro—ds €€i‚2€e‚eq e‰2‚s†i‚2feƒsx2sx2f‚esv sndigenous2‚eserves ESV EST ESR EIR

f‚esv ist—ção2€—resi 6 66 ‚io2pormoso 6 istiv—dinho ƒepotu˜—2‚iver 5 „—ng—rá2 d—2ƒerr— €—r—gu—y2‚iver w—nso2‚iver pigueir—s f‚EITQ €ontes2e2 5 mutin— d—2g—s™—2‚iver v—™erd— f—rr—2do2 5 w—to2qrosso t—uru2‚iver fugres

wir—ssol2 g sefÁ d9yeste ‰5 5€rim—ver—2do2veste 5 †árze—25 f‚EHUH qr—nde 5€oxoréo 5 EIT t—™i—r— 5gá™eres t—rudorá 5€o™oné

5 †ermelho2‚iver„—d—rim—n— ‚ondonópolis ƒão2vourenço2‚iver fento2qomes2‚iver €erig—r— „eres—2gristin— gui—˜á2‚iver

€iquiri2‚iver stiquir—2‚iver

f‚EQTR qu—tó qoiás

EIV fyvs†se „—qu—ri2‚iver

goxim 5

goxim2‚iver g—piv—ri2‚iver

gorum˜á 5

f‚EITQ

xegro2‚iver

€—r—gu—y2‚iver EPH equid—u—n—2‚iver wir—nd—6 €e‚eq e‰ 5 66 „—un—yEspegue €il—de2‚e˜uá 6 equid—u—n— f‚EPTP u—diwéu w—to2qrosso2 55 ‰5 6 en—stá™io gew€y do2ƒul2 v—lim— q‚exhi furiti

equid—˜ã2‚iver wir—nd—2‚iver furitizinho5ƒidrolândi— xio—que

f‚EPTU 5 t—rdim w—r—™—ju f‚EPTU 5 €erdido2‚iver

EPP fel—2†ist— 5 €ir—kuá ep—2‚iver

sntern—™ion—l2˜order sndigenous2reserve H SH IHH km x ƒt—te2found—ry 6 sndigenous2vill—ge ƒt—te2g—pit—l ‰5 ƒ™—le2IXSFHHHFHHH 5 gities2with2more2th—n2PHFHHH2inh—˜F pper2€—r—gu—y2‚iver2f—sin2in2fr—zil €—nt—n—l22˜order2E2fr—zil w—in2rivers w—in2ro—ds