AFRICAN DEVELOPMENT FUND Language: English Original: English MULTINATIONAL SADC SHARED WATERCOURSES SUPPORT PROJECT FOR BUZI, SAVE AND RUVUMA RIVER BASINS APPRAISAL REPORT INFRASTRUCTURE DEPARTMENT NORTH, EAST, AND SOUTH REGION SEPTEMBER 2005 TABLE OF CONTENTS Page BASIC PROJECT DATA/ EQUIVALENTS AND ABBREVIATIONS /LIST OF ANNEXES/TABLES/ BASIC DATA, MATRIX EXECUTIVE SUMMARY i-xiii 1. HISTORY AND ORIGIN OF THE PROJECT 1 2. THE SADC WATER SECTOR 2 2.1 Sector Organisation 2 2.2 Sector Policy and Strategy 3 2.3 Water Resources 4 2.4 Sector Constraints 4 2.5 Donor Interventions 5 2.6 Poverty, Gender HIV AND AIDS, Malaria and Water Resources 6 3. TRANSBOUNDARY WATER RESOURCES MANAGEMENT 7 4. THE PROJECT 10 4.1 Project Concept and Rationale 10 4.2 Project Area and Beneficiaries 11 4.3 Strategic Context 13 4.4 Project Objective 14 4.5 Project Description 14 4.6 Production, Market, and Prices 18 4.7 Environmental Impact 18 4.8 Social Impact 19 4.9 Project Costs 19 4.10 Sources of Finance 20 5. PROJECT IMPLEMENTATION 21 5.1 Executing Agency 21 5.2 Implementation Schedule and Supervision 23 5.3 Procurement Arrangements 23 5.4 Disbursement Arrangement 25 5.5 Monitoring and Evaluation 26 5.6 Financial Reporting and Auditing 27 5.7 Donor Coordination 27 6. PROJECT SUSTAINABILITY 27 6.1 Recurrent Costs 27 6.2 Project Sustainability 28 6.3 Critical Risks and Mitigation Measures 28 7. PROJECT BENEFITS 7.1 Economic Benefits 29 7.2 Social Impacts 29 i 8. CONCLUSIONS AND RECOMMENDATIONS 8.1 Conclusions 30 8.2 Recommendations 31 ___________________________________________________________________________ This report was prepared following an Appraisal Mission to SADC by Messrs Egbert H.J. Schroten, Principal Sanitary Engineer, D.T. Lekoetje, Senior Public Utilities Economist, Idrissa Samba, Senior Environmentalist and Ms Josephine Ngure, Principal Financial Analyst. Any enquiry relating to this report may be referred to Mr. A. R. Rakotobe, Director, ONIN (Extension 2040) or Mr. N. Matondo- Fundani, Division Manager, ONIN.2 (Extension 2191). ii LIST OF ANNEXES 1 Map of Project Area 2 SADC Secretariat Organigram 3 Joint Water Commission or Equivalents 4. RSAP Strategic Objectives 5 List of RSAP Projects 6 Funding status of RSAP 7 Water, Poverty and MDGs Linkages 8(a) Institutional Arrangements (PIA) Mozambique 8(b) Institutional Arrangements (PIA) Zimbabwe 8(c) Institutional Arrangements (PIA) Tanzania 9 Shared Watercourses and Interdependencies in SADC 10 List of on going Bank Group Financed Projects for SADC 11 Community Based Projects Selection Criteria 12 Environmental and Social Management Plan Summary 13 Detailed Cost Tables (A, B) 14 Project Implementation Arrangement 15 Chronology of Preparation and Appraisal Activities List of Tables Page Table 1 Population, Annual Renewable Freshwater Resources, Water Scarcity Index 4 Table 2 Project River Basins Characteristics 13 Table 4.1 Summary of Project Cost Estimates by Component 20 Table 4.2 Summary of Project Cost Estimates by Category of Expenditure 20 Table 4.3 Sources of Finance 21 Table 4.4 Expenditure Schedule by Component 21 Table 4.5 Expenditure Schedule by Source of Finance 21 Table 5.1 Procurement Arrangements 25 iii AFRICAN DEVELOPMENT FUND Temporary Relocation Agency BP 323, 1002 TUNIS Belvedere, TUNISIA Tel: (216) 71 10 22 66 Fax: (216)-71-33 36 80 Website: www.afdb.org PROJECT INFORMATION DATE: September 2005 The information given hereunder is intended to provide some guidance to prospective suppliers, contractors, consultants and all persons interested in the procurement of goods and services for projects approved by the Boards of Directors of the Bank Group. More detailed information and guidance should be obtained form the Executing Agencies of the Borrowers. 1. COUNTRIES : Mozambique, Tanzania and Zimbabwe 2. NAME OF THE PROJECT : Multinational: SADC Shared Watercourses Support Project for Ruvuma, Buzi and Save River Basins 3. LOCATION : Buzi & Save (Mozambique & Zimbabwe) Ruvuma (Mozambique & Tanzania) 4. RECIPIENTS OF THE GRANT : SADC 5. EXECUTING AGENCY : SADC Secretariat, Private Bag 0095, Gaborone, Botswana Tel: 267-395 1863 Fax: 267-397 2848 6. PROJECT DESCRIPTION : The project includes the following Components: A. River Basin Monograph and Strategy Development B. Enhanced Knowledge and Information Support system, C. Community Basin Management, D. Project management and Capacity Building, and E. Audit services. 7. TOTAL PROJECT COST : UA 10.43 Million Foreign Cost : UA 7.84 Million Local Cost : UA 2.59 Million 8. ADF GRANT : UA 9.38 Million 9. OTHER SOURCES OF FINANCING : Governments/RBMIs : UA 1.05 Million 10. DATE OF APPROVAL : December 2005 iv 11. ESTIMATED START DATE OF IMPLEMENTATION OF PROJECT AND DURATION : January 2006/48 months 12. PROCUREMENT : Procurement of goods, works and services financed by ADF will be in accordance with the Rules of Procedure for the procurement of goods and works or, where applicable, the Rules of Procedure of the Bank for the use of consultants based on the Bank’s standard bidding documents. 13. CONSULTANCY SERVICES : Required for the Project Coordination Office, Technical Assistants, River Basin Monographs and Strategy Development as well as for Audit. 14. ENVIRONMENTAL CATEGORISATION: The Project has been categorised a category II v CURRENCY EQUIVALENTS AND MEASURES Currency Equivalents (September 2005) 1 UA = US$ 1.45984 1 UA = TZS 1648.83 1 UA = ZWD 14557.6 1 UA = MZM 35786.7 MEASURES mm = millimetres mm/yr = millimetres per year m3 = cubic metres Mm3 = million cubic metres Ha = Hectares FISCAL YEAR April 1 – March 31 (SADC) ABBREVIATIONS ADB = African Development Bank ADF = African Development Fund ALCOM = Aquaculture for Local Communities development programme ARAs = Regional Water Administrations AWRMI = Africa Water Resources Management Initiative AWMFS = Agricultural Water Management for Food Security CAADP = Comprehensive Africa Agricultural Development Plan DNA = National Directorate of Water DSS = Decision Support System EA = Executing Agency EKIS = Early Knowledge Information System EU = European Union FY = Financial Year Ha = Hectare HYCOS = Hydrological Cycle Observing Systems ICB = International Competitive Bidding ICWE = the International Conference on Water and the Environment IWRMD = Integrated Water Resources Management and Development JSC = Joint Steering Committee JWC = Joint Water Committee/Commission LHDA = Lesotho Highlands Development Authority LHWP = Lesotho Highlands Water Project LIMCOM = Limpopo Watercourse Commission MDGs = Millennium Development Goals MIS = Management Information System MOU = Memoranda of Understanding MTR = Mid Term Review MZM = Mozambique metical NFP = National Focal Person vi NEPAD = New Partnership for Africa’s Development O&M = Operations and Maintenance OKSC = Okavango Steering Committee OKACOM = Okavango Water Commission ORASECOM = Orange Senqu Watercourse Commission PCO = Project Coordinating Office PCR = Project Completion Report PIA = Project Implementation Agency PLA = Participatory Learning and Action QPR = Quarterly Progress Report RBIM = River Basin Information Management System RBMIs = River Basin Management Institutions RBOs = River Basin Organisations RISDP = Regional Indicative Strategic Development Plan RSAP = Regional Strategic Action Plan Ruvuma = The Ruvuma/Rovuma Basin SA = Special Account SACU = Southern African Custom Union SADC = Southern African Development Community SDC = Swiss Development Cooperation TZS = Tanzanian Shillings UA = Unit of Account UNCED = United Nations Conference on Environment and Development UNDP = United Nations Development Program UNEP = United Nations Environment Program US$ = United States Dollar WSCU = Water Sector Coordinating Unit WSRG = Water Strategic Reference Group ZACPLAN = Zambezi River Action Plan ZAMCOM = Zambezi Watercourse Commission ZINWA = Zimbabwe National Water Authority ZRA = Zambezi River Authority ZWD = Zimbabwe Dollar vii SADC COMPARATIVE SOCIO ECONOMIC INDICATORS Developing Developed Year SADC Africa Countries Countries Basic Indicators Area ( '000 Km²) 9 864 30 061 80 976 54 658 Total Population (millions) 2003 205 849.5 5,024.6 1,200.3 Urban Population (% of Total) 2003 42.4 39.2 43.1 78.0 Population Density (per Km²) 2003 20.7 28.3 60.6 22.9 GNI per Capita (US $) 2003 953 704 1 154 26 214 Labor Force Participation - Total (%) 2003 50.6 43.3 45.6 54.6 Labor Force Participation - Female (%) 2003 49.7 41.0 39.7 44.9 Gender -Related Development Index Value 2002 0.417 0.476 0.655 0.905 Human Develop. Index (Rank among 174 countries) 2002 n.a. n.a. n.a. n.a. Popul. Living Below $ 1 a Day (% of Population) 1998 30.1 46.7 32.0 20.0 Demographic Indicators Population Growth Rate - Total (%) 2003 1.1 2.2 1.7 0.6 Population Growth Rate - Urban (%) 2003 3.5 3.8 2.9 0.5 Population < 15 years (%) 2003 48.8 42.0 32.4 18.0 Population >= 65 years (%) 2003 3.5 3.3 5.1 14.3 Dependency Ratio (%) 2003 96.6 86.1 61.1 48.3 Sex Ratio (per 100 female) 2003 108.3 99.0 103.3 94.7 Female Population 15-49 years (% of total population) 2003 26.7 24.0 26.9 25.4 Life Expectancy at Birth - Total (years) 2003 47.4 50.7 62.0 78.0 Life Expectancy at Birth - Female (years) 2003 48.6 51.7 66.3 79.3 Crude Birth Rate (per 1,000) 2003 43.4 37.0 24.0 12.0 Crude Death Rate (per 1,000) 2003 22.9 15.2 8.4 10.3 Infant Mortality Rate (per 1,000) 2003 105.0 80.6 60.9 7.5 Child Mortality Rate (per 1,000) 2003 181.6 133.3 79.8 10.2 Maternal Mortality Rate (per 100,000) 2000 1,055 661 440 13 Total Fertility Rate (per woman) 2003 5.7 4.9 2.8 1.7 Women Using Contraception (%) 1987 28.1 40.0 59.0 74.0 Health & Nutrition Indicators Physicians (per 100,000 people) 1993 32.3 57.6 78.0 287.0 Nurses (per 100,000 people) 1991 37.5 105.8 98.0 782.0 Births attended by Trained Health Personnel (%) 2000 64.9 44.0 56.0 99.0 Access to Safe Water (% of Population) 2002 76.3 64.4 78.0 100.0 Access to Health Services (% of Population) 1991 57.4 61.7 80.0 100.0 Access to Sanitation (% of Population) 2002 70.3 42.6 52.0 100.0 Percent.