Technical Assistance Consultant’s Report Project Number: 36540-01 May 2008 Philippines: Master Plan for the Agusan River Basin Prepared by CTI Engineering International Co. Ltd; Halcrow; and Woodfiled Consultants, Inc. Philippines For Department of Environment and Natural Resources National Water Resources Board 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. Master Plan for the Agusan River Basin Projecr Draft Final Report MASTER PLAN FOR THE AGUSAN RIVER BASIN PROJECT FINAL REPORT TABLE OF CONTENTS LIST OF TABLES.........................................................................................................v LIST OF FIGURES .......................................................................................................viii ACRONYMS and ABBREVIATIONS ...........................................................................ix 1.0 INTRODUCTION ..............................................................................................1-1 1.1 BACKGROUND....................................................................................1-1 1.2 STUDY AREA.......................................................................................1-1 1.3 GOAL AND OBJECTIVES....................................................................1-1 1.4 APPROACH AND METHODOLOGY....................................................1-2 1.5 KEY ACTIVITIES..................................................................................1-2 2.0 PHYSICAL AND ENVIRONMENTAL CONDITION..........................................2-1 2.1 GEOGRAPHIC SETTING.....................................................................2-1 2.2 CLIMATE..............................................................................................2-3 2.3 RAINFALL............................................................................................2-5 2.4 STREAMFLOW ....................................................................................2-7 2.5 GROUNDWATER.................................................................................2-9 2.6 ENVIRONMENTAL SETTING ..............................................................2-9 2.6.1 Natural Physical Environment ..................................................2-10 2.6.2 Biological Environment.............................................................2-13 3.0 SOCIO-ECONOMIC CONDITION ....................................................................3-1 3.1 ECONOMIC SETTING .........................................................................3-1 3.1.1 Economic Profile ......................................................................3-1 3.2 THE SOCIAL SETTING........................................................................3-10 3.2.1 Stakeholders of the Basin ........................................................3-11 3.2.2 Demographic and Socio-economicProfile ...............................3-15 i Master Plan for the Agusan River Basin Projecr Draft Final Report 4.0 REVIEW AND ASSESSMENT OF RELEVANT POLICIES AND PLANS........4-1 4.1 INTERNATIONAL ORGANIZATIONS INITIATIVES ON WATER MANAGEMENT....................................................................................4-1 4.2 WATER POLICIES AND MULTI-LATERAL AGENCIES ......................4-2 4.3 NATIONAL POLICY OBJECTIVES ......................................................4-2 4.4 SECTOR POLICIES .............................................................................4-3 4.5 REGULATORY FRAMEWORK ............................................................4-4 4.6 REGIONAL AND PROVINCIAL POLICY OBJECTIVES AND TARGETS.............................................................................................4-9 4.6.1 Caraga Region .........................................................................4-9 4.6.2 Davao Region...........................................................................4-12 4.7 AGUSAN RIVER BASIN WATER POLICY...........................................4-14 4.7.1 Assessment of Policy Context..................................................4-14 4.7.2 Harmonization of the Basin Policy............................................4-15 4.8 GENDER AND DEVELOPMENT..........................................................4-18 4.8.1 Gender, Age and Household Distribution .................................4-18 4.8.2 Gender Analysis.......................................................................4-18 4.8.3 Policies and Institutions on Gender..........................................4-24 5.0 INSTITUTIONAL FRAMEWORK .....................................................................5-1 5.1 Institutional Participation.......................................................................5-1 5.1.1 Existing Institutional Set-up in National Water Resources Management ...........................................................................5-1 5.1.2 Institutional Stakeholders in the ARB .......................................5-1 5.2 MAJOR INSTITUTIONAL IMPEDIMENTS ...........................................5-2 5.2.1 National Level...........................................................................5-2 5.2.2 ARB Level................................................................................5-3 5.3 FORMATION OF THE AGUSAN RIVER BASIN ORGANIZATION .....5-6 5.3.1 Tapping the Potentials of Existing Basin Organizations ...........5-7 5.3.2 Existing Working Models ..........................................................5-7 5.3.3 Imperatives for RBO Formation................................................5-12 5.4 FUNDING THE AGUSAN RIVER BASIN ORGANIZATION AND ITS DEVELOPMENT ACTIVITIES...............................................5-15 5.4.1 Identified Funding Sources of Selected IRBM Organizations ..5-15 5.4.2 Funding the Agusan RBO ........................................................5-17 ii Master Plan for the Agusan River Basin Projecr Draft Final Report 5.5 RBO FORMATION AND DEVELOPMENT...........................................5-21 5.5.1 Basin Governance Options ......................................................5-21 5.5.2 The Proposed RBO..................................................................5-22 5.5.3 The Proposed Structure ...........................................................5-25 6.0 PARTICIPATORY APPROACHES AND DEVELOPMENT STRATEGIES......6-1 6.1 KEY ENVIRONMENTAL ISSUES AND STAKEHOLDER PRIORITIES.6-1 6.2 BASIN REALITIES AND KEYS TO INTEGRATION .............................6-5 6.2.1 Key Basin Realities .................................................................6-7 6.2.2 Keys to Integration ...................................................................6-8 6.3 ARBMP DEVELOPMENT VISION,GOALS AND OBJECTIVES...........6-11 6.3.1 Development Vision .................................................................6-11 6.3.2 Development Goal....................................................................6-12 6.3.3 Development Objectives ..........................................................6-12 6.3.4 VGO and the ARB Policy .........................................................6-13 6.4 ARB DEVELOPMENT STRATEGY......................................................6-15 6.4.1 General....................................................................................6-15 6.4.2 Why a Governance Initiative and RBO Formation Strategy .....6-15 6.4.3 Why an Intervention Initiative and WRM Intervention Strategy..6-16 6.4.4 Why a Knowledge Development Initiative and GIS Development Data Banking Strategy .............................................................6-17 6.5 UNITY OF THE DEVELOPMENT STRATEGY ....................................6-17 6.6 FROM POLICY TO STRATEGY TO PRINCIPLES ..............................6-19 6.7 FROM POLICY TO STRATEGY TO PROJECTS.................................6-20 7.0 BASIN PROGRAMS AND PROJECTS............................................................7-1 7.1 ASSESSMENT OF BASIN WATER CONTROL STRUCTURE ............7-2 7.1.1 Irrigation Development .............................................................7-2 7.1.2 Water Supply Systems .............................................................7-8 7.1.3 Flood Control............................................................................7-12 7.1.4 Roads and Bridges...................................................................7-13 7.1.5 River Transport ........................................................................7-13 7.1.6 Hydropower..............................................................................7-14 7.2 PROGRAMS/PROJECTS BY KEY THEME .........................................7-14 7.2.1 Water Quality Management Program.......................................7-14 7.2.2 Flood Management Program....................................................7-15 7.2.3 Water Resources Development Program.................................7-17 7.2.4 Watershed Management Program ...........................................7-18 iii Master Plan for the Agusan River Basin Projecr Draft Final Report 7.2.5 Agusan Marsh and Wildlife Sanctuary (AMWS) Management Program ...................................................................................7-23 7.2.6 Indigenous Peoples Development Program.............................7-24 7.2.7 River Basin Organization Development Program.....................7-27