WORLD BANK WORKING PAPER NO. 199 Public Disclosure Authorized Berg Water Project Communications Practices for Governance and Sustainabilty Improvement Lawrence J.M. Haas Leonardo Mazzei Donal T. O’Leary Public Disclosure Authorized Nigel Rossouw Public Disclosure Authorized Public Disclosure Authorized THE WORLD BANK WORLD BANK WORKING PAPER NO. 199 Berg Water Project Communication Practices for Governance and Sustainability Improvement Lawrence J. M. Haas Leonardo Mazzei Donal T. O’Leary Nigel Rossouw WP199_BergWater_Text.indb i 6/15/10 12:59:51 PM Copyright © 2010 The International Bank for Reconstruction and Development/The World Bank 1818 H Street, N.W. Washington, D.C. 20433, U.S.A. All rights reserved Manufactured in the United States of America First Printing: June 2010 Printed on recycled paper 1 2 3 4 5ȳȳȳ13 12 11 10 World Bank Working Papers are published to communicate the results of the Bank’s work to the development community with the least possible delay. 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WP199_BergWater_Text.indb ii 6/15/10 12:59:55 PM Contents Abstract ............................................................................................................................................vi Disclaimer ...................................................................................................................................... vii Preface ...........................................................................................................................................viii Acknowledgments ..........................................................................................................................x About the Authors .........................................................................................................................xi Acronyms and Abbreviations .................................................................................................... xii 1. Contextual Background ..............................................................................................................1 Macro Policy SeĴ ing .................................................................................................................1 Features of the Berg Water Project .........................................................................................5 Integration with the Western Cape System and WC/WDM Link .....................................9 Integration with Water Management in the Berg River Basin ......................................... 12 Chronology of Governance Events and Project Decisions ............................................... 15 2. Governance Dimension ........................................................................................................... 23 Governance Context ............................................................................................................... 23 Governance Diagnosis ...........................................................................................................25 Summary Observations on Governance ............................................................................. 41 3. Sustainability Dimension ........................................................................................................ 47 Sustainability Context ............................................................................................................ 47 Sustainability Diagnosis ........................................................................................................ 47 Summary Observations on Sustainability .......................................................................... 63 4. Communication Dimension .................................................................................................... 70 Communication Context ....................................................................................................... 70 Communication Diagnosis .................................................................................................... 76 Summary Observations on Communication ...................................................................... 88 5. Lessons Drawn on Communication along the Project Cycle ............................................ 94 For Macro Policy and Strategic Planning Stages................................................................ 94 For Project Preparation Stages .............................................................................................. 95 For Project Implementation .................................................................................................. 96 For Project Evaluation and Operation Stages ..................................................................... 96 Appendix A: Berg Water Project Implementation Arrangements and Budget ................. 99 Appendix B: Integration with the Western Cape System and Water Conservation and Water Demand Management Link ........................................................... 102 Appendix C: Integration of the Berg Water Project in the Berg River Basin ................... 104 iii WP199_BergWater_Text.indb iii 6/15/10 12:59:55 PM iv Table of Contents Appendix D: World Commission on Dams (WCD) and Its Infl uence on South African Policy and the Berg Water Project ......................................... 108 Appendix E: The WC/WDM and Berg CMA Communication Strategies........................ 112 Appendix F: Documents and References ............................................................................... 115 List of Tables Table 1.1: Perspectives on key water management issues and related risks in the Berg River .................................................................................................. 15 Table 1.2: Chronology and key events: project preparation and approval ............................ 16 Table 1.3: Chronology and key events: project implementation ............................................. 18 Table 2.1: Risk mitigation approaches as refl ected in the Berg Water Project ....................... 30 Table 2.2: Multi-stakeholder priorities adapting the WCD to South Africa .......................... 40 Table 3.1: IFR regimes and incremental costs of the Berg Water Project ............................... 49 Table 4.1: Process steps to establish the EMC for the Berg Water Project in 2002–2003 ...... 79 Table 4.2: Communication and public relations budget on the Berg Water Project ............. 86 Table A.1: Capital cost breakdown of the Berg Water Project (in 2002) ............................... 100 Table A.2: Berg Water Project capital budget fi nancing sources ........................................... 100 Table D.1: Multi-stakeholder priorities adapting the WCD to South Africa ....................... 110 List of Figures Figure 1.1: Berg River Dam near Franschhoek ............................................................................6 Figure 1.2: Berg Supplement Scheme ............................................................................................ 7 Figure 1.3: Projected demand-supply gap on the Western Cape Water Supply System ................................................................ 10 Figure 2.1: Stakeholders in the public sector governance system for infrastructure ...................................................................... 32 Figure 2.2: TCTA’s integration of corporate and project risk management ........................... 34 Figure 2.3: Berg Water Project governance framework—implementation ............................ 35 Figure 3.1: Berg Dam 63 m high intake structure upstream of the dam ................................ 50 Figure 3.2: Sustainable utilization plan (SUP)