Technical Assistance Consultant’s Report Project Number: 34304 December 2006 NEPAL: Kathmandu Valley Water Distribution, Sewerage, and Urban Development Project (Financed by: Technical Assistance Special Fund, Government of Denmark and the Cooperation Fund for the Water Sector) Prepared by: GHD Pty Ltd., Australia in assn with Integrated Consultants Nepal (ICON) Pvt. Lt. Nepal For the Ministry of Physical Planning and Works This consultant’s report does not necessarily reflect the views of ADB or the Government concerned, and ADB and the Government cannot be held liable for its contents. (For project preparatory technical assistance: All the views expressed herein may not be incorporated into the proposed project’s design. TA 4893-NEP Project Feasibility Study APPENDIX 8 SOCIAL SAFEGUARDS A. Summary Poverty Reduction and Social Strategy B. Management Plan for Temporary Business Impacts during Pipeline construction C. Implementation Progress of Resettlement Action Plan Under L1820 D. Gender Action Plan TA 4893 –NEP: Kathmandu Valley Water Supply & Wastewater System Improvement Project Feasibility Study Section A - Summary Poverty Reduction and Social Strategy A. Linkage to the Country Poverty Analysis Is the sector identified as a √ Yes Is the sector identified as a √Yes national priority in country poverty □ No national priority in country □ No analysis? poverty partnership agreement? Contribution of the sector to reduce poverty: About one-third population of the urban population is poor (Willingness to pay survey, 2001). The incidence of poverty is higher in the rural areas, but degree of poverty of the urban poor in Kathmandu urban areas is greater. The number of poor population is growing at a high rate due to rapid rural urban migration. The increasing number of population in the Kathmandu urban areas causes further stress on the already inadequate basic urban services and facilities. Squatters living in the Kathmandu Metro area do not have water service connection. Only 5% of the households (HHs) have a water service connection. In slum areas, few HHs have water source connections. According to LICSU, KUKL June 2008, about 66% of the HHs of squatters and slums have access to a water supply connection of KUKL (Bhaktapur Municipality-32 %; Madhyapur Thimi Municipality- 85%; Lalitpur Municipality- 62%; Kathmandu Metro – 58% and Kirtipur Municipality- 64%). The rest of the poor collect water from vendors, hand tube wells, tap stands, government water tankers etc. Generally, there is no proper drainage system in the areas where the urban poor live. The majority of households are forced to use unsanitary defecation systems. Due to lack of drainage and sanitation, unhygienic conditions and bad smell prevails in these areas. According to the Ministry of Health, the most commonly top ten diseases found in Kathmandu valley are skin disease, diarrhoea, acute respiratory disease, pyrexia, gastro- enteritis, ear infection, bronchitis, abdominal pain and anaemia. Most of these diseases and health problems are caused due to un-safe water, hygiene and sanitation. The Government of Nepal has given emphasis on supplying safe water and providing sanitation services in different plans, policies, acts and strategies. In the project, it is expected all the slums and squatters are expected to receive a greatly improved water supply service. It is expected that the project will significantly reduce the water collection time for women, water costs, health care cost, morbidity, malnutrition and improve hygienic condition of the localities where poor people live. Therefore this project will contribute significantly toward poverty reduction. B. Poverty Analysis What type of poverty analysis is needed? The project targets the poor in terms of the following: improvements to the water distribution network, community water taps, shared standpipes on payment basis, construction of water storage tanks etc. Before starting the project a baseline survey needs to be conducted to identify the local issues related to access of water supply, drainage, sanitation etc. in order to access the benchmark situation of the poor. After the project, an impact survey will be conducted to examine the outcome of the project on the poor particularly on women. To support urban poor, the government has established “A low Income Consumer Support Unit (LICSU)” at KUKL in March 2008. It has already initiated the construction of storage tanks, new tap stands and rehabilitation of tap stands. ADB TA 4776 (NEP) “Enabling the Private Sector to Undertake Poverty-Focused Water Distribution and Strengthening of Institutional Reforms in Kathmandu Valley Project” worked extensively in devising policies and approaches for providing / extending services to the low income groups or urban poor. The policy recommendations made are very relevant and its adoption and consolidation in the overall operational strategy of KUKL is essential. Appendix 8 - Social Safeguards – Section A Page 1 TA 4893 –NEP: Kathmandu Valley Water Supply & Wastewater System Improvement Project Feasibility Study C. Participation Process Is there a stakeholder analysis? Yes √ No A considerable number of stakeholders meeting have been conducted with the policy makers of the MPPW and Departments, KUKL personnel, KUKL Board of Directors, NGOs, INGOs. The consultations with different stakeholders were done to ensure their involvement as part of the project development and design. Different workshops were conducted with the stakeholders to share the finding of the study. Is there a participation strategy? Yes √ No During the socio-economic household survey in a representative water supply distribution network improvement (DNI) area, the households were informed about the project activities in coming days. The communities and businesses were fully informed about the likely negative impacts during project implementation activities and benefit outcomes from the project. Future participatory activities will be done through NGOs and community based organizations. Formation of Local Community groups and water user groups will inform the local people and monitor the project activities. The NGO and LCG will assist in identification of disadvantaged groups and households including women headed households. D. Gender and Development It is evident that the lack of access to piped water, particularly in the low income areas of Kathmandu valley, makes women’s live miserable. It is also evident that women are the main collectors, transporters, users and mangers of domestic water use. It has been found that women were very enthusiastic about the project activities e.g. distribution modality, access and quality of water. While forming the local community groups, their participation should be ensured. Their involvement will assist in identifying the vulnerable groups, including women headed households. It is suggested that they should be made responsible in locating construction of water points and water related issues. The disaggregated gender data generated under the monitoring and evaluation system will identify and record the project impacts on gender. Has an output been prepared? √ Yes □ No A draft gender strategy and gender action plan has been prepared to address the gender issues and to ensure women benefit equally from the project. Special attention is given during resettlement and compensation, employment, decision making process, and creation of enabling environment e.g. formation of women water user groups. E. Social Safeguards and other Social Risks Item Significant/Not Strategy to address Issues Plan Required Significant/None Resettlement □Significant The laying of transmission mains and □Full √□Not Significant sewerage will be within public / √Short □None government land. It is expected that □None local businesses and the hawkers might be temporarily disrupted due to the project. A management plan for temporary business impacts during pipeline construction has been prepared to compensate those losses occurring during construction. Affordability □Significant The improvements in water availability □Yes √ Not Significant and wastewater management will √ No □None reduce public health risks as well as time saving which can be used in other productive activities, though some increase in the tariff is likely. Appendix 8 - Social Safeguards – Section A Page 2 TA 4893 –NEP: Kathmandu Valley Water Supply & Wastewater System Improvement Project Feasibility Study Labor □Significant There will be no job losses due to the □Yes □ Not Significant project. Instead the project will generate √ No √None employment opportunities for the local communities and poor people during laying and rehabilitation of pipelines and construction of water reservoirs. The project will ensure that there will be equal work for equal pay irrespective of gender, and not use child labor. Indigenous □Significant Indigenous people are living in the □Yes peoples □ Not Significant urban areas of Kathmandu valley. They √ No √None maintain no distinctive customs or practices and share similar characteristics as other groups. However, they will not be impacted differently with similar characteristics of other groups and will benefit equally from the project. Other Risks □Significant No other risks or vulnerabilities have □Yes and /or □ Not Significant been identified in this project. √ No Vulnerabilities √None Appendix 8 - Social Safeguards – Section A Page 3 TA 4893 –NEP: Kathmandu Valley Water Supply & Wastewater System Improvement Project Feasibility Study SECTION