participatory small-scale irrigation development …

FEDERAL DEMOCRATIC REPUBLIC OFETHIOPIA

PARTICIPATORY SMALL-SCALE IRRIGATIONDEVELOPMENT PROGRAMME

(PASIDP- II)

PROGRAMME IMPLEMENTATION MANUAL

22 February 2017

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Table of Contents

LIST OF TABLES ........................................................................................................................................ ivLIST OF FIGURES...................................................................................................................................... viABBREVIATIONS AND ACRONYMS......................................................................................................... viiI. BACKGROUND ...............................................................................................................................1

A. Programme Description ......................................................................................................................1

B. Rationale...............................................................................................................................................2

C. Purpose of the Programme Implementation Manual (PIM)............................................................2

D. Programme Development Objectives and Approaches ....................................................................3

E. Programme Component, Scope and Beneficiaries............................................................................5

F. Project Area and Woreda Selection Criteria ....................................................................................6

II. TARGETING AND SCHEME SELECTION CRITERIA ...................................................................7A. Targeting criteria.................................................................................................................................7

B. Selection Criteria for Small scale irrigation development ...............................................................8

C. Investment in Capacity for Sustainable Agriculture ......................................................................11

Initiative 4. Improve natural resource base to improve food availability.............................................. 15

III. PROGRAMME MANAGEMENT & IMPLEMENTATION ARRANGMENTS .................................16A. Approach ............................................................................................................................................16

B. Programme Coordination .................................................................................................................17

C. Technical Committees .......................................................................................................................19

D. Project Coordination Management Units........................................................................................21

IV. PLANNING PROCESS AND BUDGETING ...................................................................................31A. Planning Time frame .........................................................................................................................31

B. Content of the Work Plan and Budget.............................................................................................31

C. Cost and Financing of the Programme ............................................................................................32

V. SMALL-SCALE IRRIGATION INFRASTRUCTURE DEVELOPMENT .........................................32A. Component Objective ........................................................................................................................32

B. Scheme Access Roads ........................................................................................................................34

C. Key Factors for Success.....................................................................................................................35

D. Programme Interventions .................................................................................................................35

E. Implementation Procedures..............................................................................................................37

F. Outline Format for the Field Validation Report.............................................................................46

VI. INVESTMENT IN CAPACITY FOR SUSTAINABLE AGRICULTURE ..........................................47A. Component objective .........................................................................................................................47

B. Guidelines for the Preparation of ADP............................................................................................51

C. Format for the Preparation of Agricultural Development Plan ....................................................58

VII. WATERSHED MANAGEMENT.....................................................................................................61

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A. Opportunities and Implementation Strategies ................................................................................63

B. Watershed Development Interventions............................................................................................64

C. Soil and Water Conservation............................................................................................................65

D. Implementation Arrangement for Integrated watershed Management .......................................67

VIII. ENVIRONMENTAL & SOCIAL MANAGEMENT PROCEDURES.................................................69A. Introduction .......................................................................................................................................69

B. Capacity Building ..............................................................................................................................70

IX. PROGRAM MANAGEMENT, M& E AND LEARNING ..................................................................71A. Management information systems ...................................................................................................71

B. Measuring Results .............................................................................................................................71

C. Monitoring Indicators .......................................................................................................................72

D. Knowledge Management and Learning...........................................................................................73

E. Impact Measurement.........................................................................................................................74

F. Rims Indicators ..................................................................................................................................75

G. Logical Framework ...........................................................................................................................76

H. Establishing Participatory MIS ........................................................................................................77

X. CAPACITY BUILDING..................................................................................................................81A. Introduction .......................................................................................................................................81

B. Key Factors for Success.....................................................................................................................81

C. Training Needs Assessment...............................................................................................................82

D. Capacity Building for the Staff of RBoWR .....................................................................................82

E. Capacity Building for the Staff of BoANR ......................................................................................83

F. Capacity Building for IWUA ............................................................................................................84

G. Training Women Beneficiaries .........................................................................................................84

H. Implementation Arrangements ........................................................................................................85

Annex 1: Project Coordination Unites and Staffing Duties and Responsibilities.......................................93

Annex 2: Financial Management Manual (FMM) ....................................................................................119

Annex 3: Procurement Arrangements.......................................................................................................152

Annex 4: Agri-Buisness Implementation Manual ....................................................................................160

Annex 5: Factors Affecting Market Performance................................................................................185

Annex 6: Principles to Create Market Linkage ....................................................................................188

Annex 7: Success Factors and Indicators for Agribusiness .................................................................190

Annex 8: TOR For Supply & Installation of Accounting Software and Give Training for Federal &Regional Finance Personnel ......................................................................................................211

Annex 9: Social and Environmental Safegurd Proceedures ......................................................................217

Annex 10: Technical Assistance .................................................................................................................281

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LIST OF TABLES

Table page

Table 1: Distribution of Target Woredas Across Regional States ............................................................... 6Table 2: List of the Composition of the Federal Steering Committees..................................................... 18Table 3: List of the Composition of the Regional Steering Committees ................................................... 18Table 4: Staff Composition and Number at Federal, Regional, Zone and Woreda PCMUs..................... 23Table 5: Implementation Responsibilities ................................................................................................ 25Table 6: Categories of Schemes ................................................................................................................ 32Table 7: Milestones ................................................................................................................................... 36Table 8: Activities to be Carried Out by the IWUA and Beneficiaries..................................................... 41Table 9: Checklists for Validation of Scheme Selection........................................................................... 44Table 10: Agricultural Development Activities that Should be Conducted in Each SSI Schemes........... 48Table 11: Examples of Participatory Tools for Agricultural Development Planning ............................... 51Table 12: Key Issues to be Considered in Establishing and Managing FREGs........................................ 56Table 13: Treands Of Farming And Production Systems ......................................................................... 58Table 14: Formats For Constraints And Potential For Development........................................................ 58Table 15: Formats For Proposed Cropping Paterns .................................................................................. 59Table 16: Formats for Proposed Interventions.......................................................................................... 59Table 17: ADP Total Plan Outlay ............................................................................................................. 61Table 18: Cost Share And Indicators For Watershed................................................................................ 67Table 19: Monitoring Indicators ............................................................................................................... 72Table 20: Indicative Scheme Baseline Data.............................................................................................. 78Table 21: Logical Frameworks ................................................................................................................. 78Table 22: Training Implementation Arrangement .................................................................................... 85Table 24: Summary of Result Framework.............................................................................................. 169Table 25: Advantages and disadvantages of various types of linkages .................................................. 176Table 26: Overview of possible project entry points .............................................................................. 178Table 27:Types of support services provided to the Agri-food sector by category ................................ 180Table 28: Factors Affecting Market Performance .................................................................................. 186Table 29: Deliverables of Outputs in the study and detail design Study ................................................ 205Table 30: Suggested List of the Consultancy Team................................................................................ 206Table 31: Selection Criteria .................................................................................................................... 209Table 32: Expenditure categories............................................................................................................ 211Table 33: EPA Guidelines of Relevance to PASIDP II .......................................................................... 218Table 34: Comparison of MOEFCC and IFAD Requirements ............................................................... 224Table 35: International Treaties and Conventions .................................................................................. 229Table 36: Typical Impacts from Watershed Conservation Projects........................................................ 241Table 37: Comparison of Gross Fluxes in GHG Emissions with/without the Programme..................... 246Table 38: Tier 1 Screening: Eligibility Checklist .................................................................................. 257Table 39: Tier 2 Screening: Environmental, Social and Climate Issues Checklist ................................ 258Table 40: Definitions of Consequence .................................................................................................... 259Table 41: Climate Risk Screening........................................................................................................... 263Table 42: Typical Performance Monitoring Indicators........................................................................... 268Table 43: Typical Results Monitoring Parameters.................................................................................. 269Table 44: ESMF Processes and Responsibilities .................................................................................... 270

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Table 45: PASIDP II Theory of Change ................................................................................................. 282Table 46: Deliverables of Outputs in the Baseline Study ....................................................................... 287Table 47: Suggested List of the Consultancy Team................................................................................ 288

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LIST OF FIGURES

FIGURES page

Figure 1: Map of the programme area......................................................................................................... 7Figure 2: Organizational Structure............................................................................................................ 24Figure 3: IWUA Formation Process in Schemes........................................................................................ 43Figure 4: Programme Costs and Financing ............................................................................................. 119Figure 5: The PASIDP II financial Management cycle .......................................................................... 122Figure 6: Staff roles implementation for achievement of segregation of duties ..................................... 123Figure 7: Processing of payments for Civil Works and Goods ................................................................ 140Figure 8: Annual financial statements and audit reports ....................................................................... 144Figure 9: Collective marketing organizations ......................................................................................... 172Figure 10: Building farmers capacity to recover and become market oriented to further grow ............. 178Figure 11: Value chain and supports ...................................................................................................... 182Figure 12: Agri-dealers Network ........................................................................................................... 183Figure 13: SECAP Screening Flow Diagram.......................................................................................... 224Figure 14: Grievance Redress Mechanism.............................................................................................. 267

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ABBREVIATIONS AND ACRONYMS

ACC Agricultural Commercialization ClustersADB African Development BankADLI Agricultural Development-Led IndustrialisationAEZ Agro-Ecological ZoneATA Agricultural Transformation AgencyAWPB Annual Work Plan and BudgetBIA Beneficiary Impact Assessment

BOA Bureau of AgricultureBOQ Bill of QuantityCAPI Computer Assisted Personal InterviewCBINReMP Community-Based Integrated Natural Resources Management ProjectCC Climate ChangeCOSOP Country Strategic Opportunities ProgrammeCSA Central Statistics AgencyDA Development AgentDP Development PartnerEARI Ethiopian Agricultural Research InstituteEBCR Economic Benefit Cost RatioEFA Economic and Financial AnalysisESIA Environmental and Social Impact AssessmentESMP Environmental and Social Management PlansFAO Food and Agriculture OrganisationFCA Federal Cooperative AgencyFPCMU Federal Programme Coordination and Management UnitGAPs Good Agricultural PracticesGDP Gross Domestic ProductGoE Government of EthiopiaGTP Growth and Transformation PlanHa HectaresICB International Competitive BiddingIFAD International Fund for Agriculture DevelopmentICO IFAD Country OfficeIGIP Integrated Agro Industrial ParksIPM Integrated Pest ManagementIWMI International Water Management InstituteLDSF Land Degradation Surveillance FrameworkMDGs Millennium Development GoalsMFIs Micro-Finance InstitutionsMIS Management Information SystemMPAT Multidimensional Poverty Assessment ToolMo-ANR Ministry of Agriculture and Natural ResourcesMoFEC Ministry of Finance and Economic CooperationMTR Mid-Term ReviewNCB National Competitive BiddingNGO Non-Government OrganisationNLF National Learning ForumNPSC National Programme Steering CommitteeORDA Organization for Rehabilitation and Development of Amhara

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PASIDP Participatory Small-Scale Irrigation Development ProgrammePASDEP Plan for Accelerated and Sustained Development to End PovertyPCR Programme Completion ReportPDR Programme Design ReportPIM Project Implementation ManualPME Planning, Monitoring and EvaluationRIMS Results and Impact Management SystemRPCMU Regional Programme Coordination and Management UnitRUFIP Rural Financial Intermediation ProgrammeSACCOS Savings and Credit CooperativesSECAP Social, Environmental and Climate Assessment ProceduresSDGs Sustainable Development GoalsSNNPR Southern Nations, Nationalities and Peoples RegionSOE Statement of ExpenditureUNIDO United Nations Industrial Development OrganisationUSD United States DollarWA Withdrawal ApplicationWB World BankWFP World Food ProgrammeWMT Watershed Management TeamWHH Women-Headed Household

I. BACKGROUND

A. Programme Description

1. Ethiopia’s ecological system is very fragile and vulnerable to climate change, in part due tostress on natural resources. The key challenges include soil degradation, deforestation andloss of biodiversity, besides weak environmental management and enforcement capacity.Climate change projections for Ethiopia indicate a significant increase in temperature and alikely increase in drought occurrences, heavy rains and floods, particularly in the lowlands1.Spatial patterns and temperature and rainfall amounts are projected to change through 2010–2039, and to result in more extreme events2 . Future projections show that the mean annualtemperature will increase in the range of 0.9 to 1.1ºC by 2030, in the range of 1.7 to 2.1ºC by2050, and in the range of 2.7 to 3.4ºC by 2080 compared to the 1961 to 1990 normal9, posinga sustained threat to agriculture and the economy.

2. However, the biggest climate change impact is associated with limited water availability3.Although there is no significant change in annual rainfall amounts during last 30 years,increasing intra-seasonal variability caused significant damages in communities livelihoods,including in the year 2015/16. Drought in Ethiopia will continue to be regional in nature andcommonly cover large areas and extend for long periods of time. In the last five years, about80% of the farmers in the lowlands and 22% in the highlands had at least one crop failure4.

3. During the time of high crop failure, farmers tend not to farm the next crop season, due tohigh uncertainty on the rainfall and high price of improved seeds. Crop failure causes someof these households not to meet their food needs and rely partly on food assistance.Increasing temperature is expected to increase irrigation water demands, both in the drylands where irrigation is currently required but also in areas where the system is currentlydependent on rain-fed agriculture. This scenario will exacerbate poverty, particularly in thevulnerable, drought-prone regions.

4. Since 2011, the Ministry of Environment and Forestry’s efforts have been focused onimplementing the Climate-Resilient Green Economy (CRGE) strategy that sets the target forthe Ethiopia to become a middle-income carbon-neutral country by 2025. To this end, inApril 2014, a project aimed at supporting the Reducing Carbon Emissions from Degradationand Deforestation (REDD) mechanism was launched. This will help Ethiopia access thecarbon trade whereby developed countries offset their emissions by investing in emission-reduction projects in developing countries. Concerted effort has been geared towards rollingout and operationalizing the CRGE.

5. In addition to preparing manuals and introducing monitoring and evaluation systems, theseinclude the Sectorial Reduction Mechanism (SRM), which sets comprehensive actionableplans for the CRGE’s goals of reducing vulnerability and emissions. GoE is currentlyimplementing the second Growth and Transformation Plan (GTP-II; 2015/16-2019/20),which sets a long-term goal of becoming a middle-income country by 2025, meeting growthrates of at least 11.2 percent per annum during the plan period. To achieve the GTP goalsand objectives, GoE has followed a “developmental state” model with a strong role for thegovernment in many aspects of the economy. This is confirmed by the country’s secondGrowth and Transformation Plan (GTP II) the agriculture and natural resources pillar ofwhich has four Strategic Objectives (SO), namely:

i) SO1: increasing crop production and productivity;

1Gummadi, S. et al, 2015.The changing climates of Ethiopia and its implication on agricultural systems. ICRISAT ResearchPaper. Addis Ababa, Ethiopia2USAID and USGS, 2012.A climate trend analysis of Ethiopia3You and Ringler (2010) IFPRI4START, 2013

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PASIDP II PROGRAM IMPLEMENTATION MANUAL II 2017

ii) SO3: enhance livestock production and productivity;iii) SO3: reduce natural resource degradation and improve its productivity; andiv) SO4: ensure food security, disaster risk reduction and enhance preparedness capacity.

The Country has prioritized key sectors such as industry and agriculture as drivers of sustainedeconomic growth and job creation. The GTP also reaffirms GoE’s commitment to humandevelopment. Development partners have been supporting programs that are broadly aligned withGTP priorities.

B. Rationale

6. The Government of Ethiopia (GOE) and IFAD are moving to a programmatic approach witha longer-term vision for lending in the Ethiopian small-scale irrigation subsector. The firstphase of the Participatory Small-scale Irrigation Development Programme (PASIDP), whichwas implemented during the period 2008-2015, has contributed to reduce the country’svulnerability to adverse climate risks and drought, and to reduce rural poverty and foodinsecurity. The Country Programme Evaluation (CPE) of the IFAD Independent Office ofEvaluation (IOE) recommended financing a second phase of the PASIDP, as small-scaleirrigation offers great potential for reducing the impact of climate change, and enhancingeconomic growth and poverty reduction aspirations of the GOE.

7. PASIDP II is based on the assumption that poor farmers who are provided with access to asecure irrigation production base as well as access to markets and services, will be able toproduce and market greater volumes of produce in a profitable scenario. The watershedscontiguous with the irrigation schemes, which exhibit varying levels of degradation, will alsoreceive investment to stabilize and improve their productive capacity and enhance resilienceof systems. This will improve the prosperity, food security and nutrition of farmers, therebyimproving their resilience against external shocks, including those induced by adverseweather and climate change. In order to achieve these goals, the interventions should enableincreased profitable production and productivity of the targeted farmers in food insecureWoredas.

8. The main innovations in the design of PASIDP II in order to complete the small-scaleirrigation model are:

i) mainstreaming of participatory planning and selection of schemes in order to ensuresustainability;

ii) developing agri-business linkages and market access in order to mitigate marketing risks,in particular for perishable high-value crops;

iii) integration of climate change adaptation strategies, including adjacent watershedimprovement and management, building on the successful experiences with theCommunity Based Integrated Natural Resource Management Project (CBINReMP);

iv) promotion of improved crop husbandry and access to inputs as well as improved access tofinancial services, so as to achieve the targeted yields and to improve water productivityof farms and schemes;

v) an enhanced focus on gender and youth as priority target group;vi) mainstreaming nutrition-sensitive agriculture; andvii) Aligning to IFAD’s new Social, Environmental and Climate Change Assessment

Procedures (SECAP) and its international engagements with respect to climate changeresilience.

C. Purpose of the Programme Implementation Manual (PIM)

9. The purpose of Program Implementation Manual (PIM) is to guide the implementers andpartners in executing the Participatory Small-scale Irrigation Development Programme PhaseII (PASIDP II). The PIM is designed to provide a detailed and time bound procedures and

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plan to assist the stakeholders to undertake project-related activities at different levels(Federal, Regional, and Zonal, Woreda, Kebele and community) and other beneficiarygroups. It is also meant to provide guidance to senior managers within different agents anddepartments tasked with program implementation. The PIM is also designed to serve as atool for supervision and monitoring by the steering committees at all levels and thedevelopment partners.

10. This PIM includes, among others, responsibilities for project execution, financialmanagement, AWPB, procurement, disbursement, monitoring and evaluation, environmentaland social safeguards arrangements, and reporting arrangements for the project. The PIMdefines its geographic coverage and eligible beneficiaries. It provides an overview of theproject and describes the overall approaches for implementation. It details the projectstructure, together with the institutional arrangements and the implementation mechanisms.It depicts the process for the elaboration and approval by the Government of Ethiopia (GoE)and IFAD of the Annual Work Plan and Budget (AWP&B). The PIM details theimplementation mechanisms for each project’s intervention. Among others, this include foreach intervention activities to be undertaken, the sequence and period of these activities, andthe responsibilities for carrying out each activity.

11. The PIM is developed based on the government project design, PASIDP II ProgrammeDesign Report (PDR), Project Appraisal Document, the environmental and social safeguards,Environmental and Social Management Framework (ESMF), IFAD guideline forProcurement and IFAD Guidelines for Loans and Grants Administration. However, theseaspects are addressed in specific manuals or documents, which remain the official referencefor the implementation of these aspects during the project.

12. The PIM is not a rigid blueprint document and hence will be subjected to updatingperiodically in consultation with the program stakeholders to ensure that it will remainrelevant and useful overtime.

D. Programme Development Objectives and Approaches

Programme Development Objectives (PDO)

13. The principal aim of the program is to support the government's strategy for agriculturalgrowth, as articulated in its GTP-II. This requires both increases in productivity and creatingaccess to market. The program also emphasizes that growth should be inclusive and thereforewould stress the participation of women and youth. Sustainable growth requires that dueattention is given to natural resource management (land and water) to end the challenges ofalarmingly diminishing natural resources in such areas in response to the national and globalissue of climatic change.

14. The Project Development Objective (PDO) is to provide improved income and food securityfor rural households on a sustainable basis targeted by the project. The project would alsocontribute to the higher-level objectives of poverty reduction, improved nutritional outcomesby diversifying and improving dietary consumption and climate change mitigation andadaptation through supported climate smart agriculture initiatives.

Programme Principles and Approaches

15. The implementation of the Participatory Smallholder Irrigation Development Programme(PASIDP) would be guided by five inter-related and mutually supportive principles; theseare:i) Full and effective participation by all stakeholders throughout the processes of planning

and implementation, with particular emphasis given to participation by the target group;ii) Technical viability, especially the reliability of water supply to provide for the command

area as planned;iii)A landscape approach to watershed management, ensuring that irrigation command

areas and downstream private and public facilities are protected. It is also essential to

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simultaneously provide for sustainably enhanced productivity within watershed areascontiguous with irrigation schemes;

iv)Inclusiveness for all community members associated with the irrigation schemes,whether or not they are actively involved as irrigation farmers; and,

v) To ensure financial viability, training in agribusiness skills and market access must bereadily available to all the participating farmers.

16. Effective Participation by all stakeholders: The approach will be taken that theinvestments concerning PASIDP supported developments must be jointly identified,designed, constructed and implemented, with particular assurance required for fullparticipation by smallholder farmers. It will be important that targeted smallholder clients areeffectively involved in key decisions, and they are given all relevant information in order toparticipate. This includes information on matters such as the design of the scheme, the likelycosts of water supply and the viability of market access for produce. This participation will,ensure effective scheme ownership by the smallholder clients. Several institutional initiativeswill support this approach. These will include:i) The formation of Irrigation Water Users Associations (IWUAs) after the commencement

of the scheme identification and feasibility study;ii) Engagement of Primary Cooperatives (PCs) to develop the business case for the

investment; and,iii)Formation and engagement with Watershed Management Teams (WMTs) to plan and

guide investment to enhance the sustainable use of the watersheds.

17. Technical Viability: Irrigation schemes are a device used to provide for full crop waterrequirements beyond the rainy season. They are used to provide confidence to farmers thatthey can extend their production period well beyond the period when rainfall is received.This means that farmers are able to engage in production systems that provide greateropportunities for productivity and profit. However, to do so requires a greater commitmentof purchased inputs and labour. For this to be fully effective, farmers need to have certaintyabout the reliability of water supply, especially in years when there is low rainfall. Ifinformation about the technical viability of the scheme is not accurately provided to farmers,then they may take production and financial risks unknowingly. It will be crucially importantthat accurate estimates of the technical viability of the schemes are made, and that these aremade available to farmers to allow them to assess risks and adopt appropriate riskminimization methods.

18. Landscape Approach to Development: Irrigation schemes cannot exist sustainably inisolation from the surrounding watershed and catchment landscape, especially in the slopingand hilly terrain common in the programme areas. There are implications for the irrigationschemes in terms of their sustainability if the contiguous watersheds are unstable, and proneto high levels of soil erosion, run-off and degradation. This can result in damage to theschemes themselves, insecure water supplies for irrigation and damage to downstreamfacilities. Accordingly, the PASIDP II approach will involve investment in the watershedscontiguous with the schemes, to ensure a stable and productive hinterland. The investmentsin the watersheds will be both environmentally sustainable and commercially viable for theusers.

19. Inclusiveness: Not all members of a community identified for irrigation development will beable to, or choose to become irrigation farmers. This will be determined by their capacity,access to land and preferences for production and associated commercial risk. However, it isimportant that there is inclusiveness in the benefits of the overall investment. Communitymembers who are unable or unwilling to become irrigation farmers will nevertheless receiveaccess to the benefits of the investment. This may be in the form of incremental labour,skilled or semi-skilled employment, enhanced rain-fed agriculture in the watershed, or otheractivities associated with the investment in watershed areas. Particular attention will be paid

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to the employment needs of women and youth, and the programme will provide specifictraining to enable them to participate.

20. Financial Viability: The programme will seek to ensure the financial viability of allschemes. This is necessary to enable their sustainable operation through on goingcontributions to operation, maintenance and renewal costs, as well as providing for enhancedincome generation by the participating farmers. The programme will embed training in agri-business skills and initiatives to ensure reasonable access to markets for all investments, bothin irrigation and watershed development. Proposals will need to be able to demonstratefinancial viability prior to investment decisions being taken.

E. Programme Component, Scope and Beneficiaries

Programme Components

21. The Programme Development Objective (PDO) is to provide “improved income and foodsecurity for rural households on a sustainable basis”. The program includes three componentsas briefly described below:

22. Component A: Investment in Small-scale Irrigation Infrastructure: The expectedoutcome of Component A is “farmers have access to sustainable irrigation schemes“. Theproposed Programme aims to develop 18,400 ha of small-scale irrigation schemes.Subcomponent A.1 will support (a) the identification and selection of 22,000 ha of schemes,(b) the feasibility studies and detailed designs following improved quality guidelines, (c) theestablishment and strengthening of Irrigation Water Users Associations, (d) the requiredenvironmental and social impact studies and environmental and social management plans.Subcomponent A.2 will support the development of the selected irrigation schemes,including multiple user systems alongside irrigation.

23. Component B: Investment in Capacity for Sustainable Agriculture: The expectedoutcome of Component B would be “farmers have increased marked-oriented skills andcapacity for sustainable agriculture”. Component B will support a range of activitiesdesigned to ensure that the beneficiaries operate in an environment that is more conducive torural commercial development. Subcomponent B.1 will finance the strengthening of farmers’cooperatives, the development of agribusiness linkages and access to financial services.Subcomponent B.2 will support the improvement of crop husbandry practices mainlythrough farmers’ research groups, extension support and the availability of improved seed.The Subcomponent will also make provision for gender-activities and promotion ofnutrition-sensitive agriculture. Subcomponent B.3 will support improved watershedmanagement on 68,160 ha of adjacent watersheds and promotion of conservation farming.

24. Component C: Programme Management, M&E, and Knowledge Management:Component C will focus on (a) Learning and Knowledge Management, (b) ProgrammeManagement, Monitoring and Evaluation.

25. Scope and Beneficiaries: The scope of the project is defined in terms of the geographicalcoverage and targeted beneficiaries. The primary target of the project is smallholder farmers,who live in areas of Ethiopia with the high poverty and food insecurity. There are expectedto be about 108,750 beneficiaries of PASIDP II. The direct beneficiaries of the project willinclude smallholder farmers benefiting from:

46,250 households in small-scale irrigation schemes and some fields in theadjacent watersheds;

37,500 households in the adjacent watersheds; 15,000 employment opportunities created due to the growing labour need

requirements; 10,000 households that benefitted from irrigation support under PASIDP I and that

will benefit from the agronomic and market linkages support under PASIDP II.

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26. Within the selected irrigation schemes and adjacent watersheds, PASIDP II will be using aself-targeting approach together with mechanisms to promote inclusion of women, youth andvulnerable groups.

F. Project Area and Woreda Selection Criteria

27. The Programme area of PASIDP II will cover four regions of Ethiopia, namely: Amhara,Oromia, Southern Nations Nationalities and Peoples Region (SNNPR), Tigray, and by mid-term review, the opportunity to expand the interventions of PASIDP II on a pilot basis toother regions is envisaged.

28. The distribution of number of PASIDP II Woredas among Regional’s States is in accordanceto the share of food insecure woredas of respective regions, agro-ecological factors beingremain similar. As per the data from PSNP in year 2009 E.C in Oromiya, Amhara, SNNPRand Tigray Regional States there are 80, 64, 79 and 31 food insecure woredas respectively.As per this the share of woredas for programme intervention in each region will be tabulatedbelow.

TABLE 1: DISTRIBUTION OF TARGET WOREDAS ACROSS REGIONAL STATES

Region

No

ofW

ored

a Region

No

ofW

ored

a Region

No

ofW

ored

a

Region

No

ofW

ored

a

Oromia Amhara SNNPR Tigray

1) East Hararge2) West Hararge3) Arsi4) West Arsi5) Bale6) Borena7) Guji8) North Shoa9) East Shoa

1052254322

1)North Wolo2)South Wolo3)Waghmra4)Oromo Zone5)South Gondar6)North Gondar7)East Gojam8)North shoa

35323435

1) Gamo gofa2) Hadiya3) K.T4) Gurage5) Silte6) Wolaita7) Gedeo8) Sidama9) Segen10) Dawuro11) Halaba Sp. W12) South Omo

543224253211

1) Central2) Eastern3) Southern East4) South

6331

Sub Total 35 28 34 13

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FIGURE 1: MAP OF THE PROGRAMME AREA

II. TARGETING AND SCHEME SELECTION CRITERIA

A. Targeting criteria

29. Gender Targeting: The core target group of PASIDP II will be farmers who operate on landholdings of less than 0.5 ha in lowlands with potential for irrigation and about 1 ha in theadjacent watersheds. Targeting will be achieved through a range of communally acceptedcriteria geared to encourage active participation of more vulnerable groups in the decision-making processes. At least about 20% of the beneficiaries will be female-headedhouseholds. Focus on supporting women to overcome constraints including access to assets, training

and inputs. Enhance women’s representation on IWUAs, FRGs and cooperatives, and strengthening

of their leadership capacity; Nutrition-sensitive agriculture and home gardens for women. Quotas if required, at least 20 % of Woman-headed households among beneficiaries of

the various activities; Household methodologies to ensure women participation and to enhance gender

equality; Monitoring of women participation in activities; Gender training for programme implementers.

30. Geographic Targeting of Woreda; Select 110 Woredas using the following criteria:

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A high level of poverty and food insecurity; Potential for small-scale irrigation; Not covered by the Agriculture Growth Programme, phase 2 (AGP 2); Rural Woredas.

31. Selection Criteria for Irrigation Schemes Preliminary Study Access to markets; Potential to produce profitable crops with sufficient availability of water and irrigable

soils; Absence of social conflicts with regard to access to land and water.

32. Selection Criteria for Irrigation Schemes Feasibility Study Compliance with the ESIA/ESMP/RAP attaining SECAP standards; An acceptable estimated unit cost of development – lower than 5.500 US$/ha; Estimated cost of water/ha for the targeted crop, Estimated production cost to revenue ratio; An acceptable plot size to reach out to sufficient smallholders (preferably on average

less than 0.5 ha/household); Willingness of the land owners in the targeted schemes to include vulnerable groups in

the schemes.

33. Targeting Tools to Ensure Inclusiveness Self-targeting and participatory planning of the investments to ensure that the

interventions respond to their priorities, management and labour capacity. Direct targeting tools to reach out to vulnerable groups, under or unemployed youth and

women. Integrating groups with less voice and power in the rural society in the participatory

planning processes. Information and mobilisation campaigns, using local information meetings and media; Prioritisation of schemes with small plot sizes (less than 0.5 ha per household) and high

percentage of vulnerable people involved; Agribusiness linkages and input supply through cooperatives, also for the vulnerable

groups; Inclusive farmers’ research groups (FRGs) and extension approaches; Broad range of skills training activities; Monitoring of inclusiveness.

34. Targeting for Youth Participation Prioritize young people for training related to the development of skills and capacities in

post-harvest handling and marketing; Support the creation of youth led enterprises. Respect equality between young men and young women in their selection and

participation.

B. Selection Criteria for Small scale irrigation development

35. Selection of Traditional Schemes for Upgrading or Improvement

IWUA being in place, and willing to contribute labour and materials equivalent to, atleast, 5% of the estimated scheme development costs;

Willingness of IWUA to complete selected activities and land development beforescheme upgrading is completed and the watershed has been treated or has plans fortreatment;

Willingness of IWUA to appoint an acceptable number of women on its committee; and Willingness to enter into an agreement with the Peasant Association/ Kebele committee

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and the respective regional PCU and Woreda administration for post-constructionoperations and maintenance of the completed scheme;

IWUA agree to complete land-levelling operation to improve water use efficiency.

36. Selection of Sites for New Community Schemes(Diversion Schemes, Spring Development, Micro-Dams, Pump Irrigation, ETC…)

The availability of water at diversion or intake site must be adequate for the proposedirrigation development and this should have been certified by the BoWRD/BoWI D/BoWI&ED/ OIDA of the respective region;

The selected area should have potential for irrigated agriculture and the soils should beof suitable quality;

Water use rights at diversion site and proposed irrigation is free from any conflict ofinterest;

The scheme watershed should have been treated or has plan for treatment and/or underprogress;

The demand for construction of the scheme should emanate from the beneficiaries andthey should be willing to provide labour and locally available construction materialsequivalent of, at least, 5% of the total scheme development cost;

At least 5%-10% of beneficiaries should be female-headed households; No household should hold more than 0.5ha of irrigated land within the proposed

command area. [This norm of may not be applicable in case of spate irrigation schemes]; Willingness of the beneficiaries to form IWUA, participate in the construction activities

and shoulder responsibilities for operations and maintenance of the completed facilities; IWUA agrees and completes land levelling activities within the designed irrigable area; The scheme should satisfy eligibility criteria as specified in the ESMF Tier 1 screening;

and The selected scheme should be economically and financially viable with reasonable

access to markets.

Study and Design of Schemes

37. The Bureaus of Agriculture /Agriculture and Natural Resource Development in eachparticipating region will provide the Programme with a prioritized list of potential schemes.The BoWRD/BoWID/ BoWI&ED/ OIDA with collaboration of RPCMU will study & designand review the quality of the feasibility studies and detailed design and send the designdocument to the FPCUM. The FPCMU will subsequently review the quality and eligibilityof the detailed design document as per the donors requirement, send back for revisions whererequired, and make the decision to continue with detailed design when the studies show thatinvestment is feasible.

38. Depending on their safeguards categorization, Environmental and Social ImpactAssessments (ESIAs) or Environmental and Social Management Plans (ESMPs) will beprepared for each scheme. Where required, Resettlement Action Plans (RAPs) if necessarywill be prepared and implemented.

39. Design Review: Undertaken by senior technical staff or National consultants and public enterprises Carried out at all stages of development Environmental and social mitigation measures incorporated into scheme design

40. Construction of IWUA office Building CUM Storage All IWUA established under PASIDP are eligible Constructed using locally available materials and area not less than 45m2

Should have adequate space for meeting, IWUA office, space for women’s groupmeeting etc

Land should be provided by the kebele office

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IWUA willing to provide all unskilled labour and the PASIDP II will provide all skilledlabour

Will be constructed after satisfactory Scheme Agreement Scheme Construction Camp is also expected to be transfer to the IWUA for the office

and other purpose.

41. Scheme Access Roads IWUA and Kebele administration agree to shoulder the O&M responsibility New/existing road alignments improved on the basis of the assessment carried out by

Woreda Locally available materials used

42. Beneficiary Contribution: At least a 5% of the cost in the form of labour and locally available materials Equivalent to some 50 labour day/HH in two crop seasons Not less than 25 to 30 labour day/year/household Labour input for O&M will be in proportion to respective landholding size All modes of beneficiary contribution are discussed and agreed and stated in the Scheme

agreement

43. Climate Change Mainstreaming Support the collection of hydrological data for specific sites identified for potential

future investment. Modelling of climate change impact on river base flow and flood events to inform the

design of the schemes. Promote farm level adaptive water demand management by IWUAs through training and

farmer-to-farmer knowledge exchanges on water saving strategies.

44. Procurement and Cost Control: Tender documents will include construction works for irrigation and road infrastructure

as a package. Priority will be given to those companies which demonstrated good performance with

the first phase of PASIDP. The FPCMU will have an important role to play in controlling the costs of infrastructure,

avoiding underbidding and subsequent excessive cost variations. While PASIDP II will use a unit cost ceiling as done in PASIDP, with increased

attention paid to the design review process. Detailed engineering designs as prepared by the design consultant will be reviewed by

the FPCMU, paying specific attention to the adequacy of the design and completeness ofthe Bill of Quantities (BOQ).

45. Construction Work and Contract Management All selected schemes will be constructed following technical specifications provided by

designs, including the measures for mitigation of environmental, social and climate riskscontained in the ESIAs and ESMPs.

The construction process will adjust and align with any unforeseen situation, afterdiscussion with the design engineers, IWUA and community.

Contracts will be supervised by the BoWRD/BoWID/ BoWI&ED/ OIDA assignedengineer (supervisor), in close collaboration with Programme staff.

At critical condition a consultant will be employed for the construction supervision withprior review by FPCMU.

Following specific training to do so, IWUAs will also monitor implementation progressduring construction and report their concerns with the supervising engineer.

The Programme, through ASAP, will develop guidelines on resilient constructionstandards and when necessary development of additional alternative water sources.

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46. Irrigation Management Transfer Each scheme will be handed over to the respective IWUA after construction and

expiration of the defect liability period of the contractor This will mean a transfer of all responsibilities for the sustainable management of the

scheme at this point. Prior to scheme hand over to IWUA , all necessary documents such as operation and

maintenance manual, ADP and as built drawing etc has to be prepared. A scheme handover certificate will be signed between regional BoWRD/BoWID/

BoWI&ED/ OIDA, woreda Agricultural/Agricultural and Natural resource office and theIWUA, and witnessed by the Kebele authorities.

C. Investment in Capacity for Sustainable Agriculture

47. Agribusiness Linkages and Market Access

Strengthening of Farmers Organisations and Cooperatives

Farmers’ cooperatives (FCs) and organizations will be the main vehicle for application ofthe principles and practices of irrigation farming as a business.

Multi-purpose cooperatives will perform as the ‘commercial arms’ of the smallholderfarmers with responsibility of availing inputs to the farmers and helping farmers tomarket their surplus produce in a more organized manner: Therefore PASIDP II willfacilitate:a. In strengthening the existing farmers cooperatives: The major activities include:

Identification of farmers cooperatives institutional gaps and resolving, facilitationof credit or loan service through linking farmers with RUSACCO and financialinstitution,

Creating market linkage from local market to national market. Preparation of different operational manual.

b. Establishing new farmer’s cooperatives, main tasks include :o Working on feasibility study and their socio economic datao Preparation of by laws ( rules and regulations)o Preparation of operational manual and plano Training and education for members on the benefits of organizing in

cooperative.c. The Programme will provide sustained support for the development of the FCs as

cohesive business entities two years. This will includeo training in record keeping, book keeping and financial management techniques

such as scheme profit and loss calculations;o development of leadership skills, cooperative governance, and communication;o Promote Cooperative extension through inputs provision, access to finance and

agribusiness links to produce markets.

Market Access Alliances (MAA)

MAAs voluntary platforms, comprising membership of farmers’ organizations andcooperatives, service providers (transporters, specialist inputs providers, mechanizedservice providers, primary processors and aggregators), financing institutions andproduce buyers/off-takers, as well as relevant Woreda-level public institutions.

The MAAs will seek to enable engagement between all relevant entities in a marketingchain, from farmers to initial markets.

This would facilitate is the establishment of agribusiness linkages between differentfarmers’ cooperatives with the relevant private sector companies/traders.

Identification of commodities for irrigated production will be a major role ofCooperatives, in close consultation with other MAA members.

An initial regional analysis of possible agricultural commodity chains will indicate

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which chains are commercially viable and can form an entry point for farmers into themarket.

The MAAs would initially be based geographically on a Woreda, but could be furtherdeveloped at Kebele level if there is sufficient demand, especially in cases where thereare several irrigation schemes within a Kebele.

Service providers at Federal and Regional levels will be engaged to support MAAformation and development.

The Market Access Alliance (MAA) will be chaired by cooperative promotion Officeand Agriculture or Irrigation office depending on regional structure will the secretary ofthe alliance.

PASIDP II will involve on Marketing capacity building through: post-harvest handling,warehouse management, cooperative marketing and value addition, financialmanagement, modern marketing practice, business plan preparation and provision ofmarketing equipment or post-harvest materials such as moisture tester, borer divider,probe, calculator, laboratory balance etc.,

Access to Financial Services

Programme will assist irrigation smallholder farmers and other actors in the marketingchain to access financial services through linkages with Micro-finance Institutions(MFIs) and Ru-SACCOs.

The Programme will establish a Refinancing Facility for MFIs and RuSACCOs torefinance their loans to farmers and their agribusiness partners.

The Refinancing Facility will be administered by a specialized unit at the FPCMU usingthe modalities and criteria developed under the Rural Financial IntermediationProgramme (RUFIP).

The Programme will also support the utilization of Warehouse Receipt Systems (WRS).The support will include access to the refinancing facility by cooperatives which operateWRS as well as technical support to strengthen the WRS.

Opportunities for Young Entrepreneurs Support for the identification of potential post-harvest and market related

activities/enterprises benefiting youth Provision of skills training for the identified youth.

48. Capacity Building and Empowerment of Smallholder Farmers

Agricultural Development Plan (ADP) Comprehensive ADPs will be prepared for all irrigation schemes and adjacent

watersheds The ADPs will have full participation of the IWUAs, WMTs, cooperatives and other

relevant members of the Market Access Alliances. The ADP will define the interventions for agricultural development that will be provided

under Subcomponents 2.2 and 2.3, including FRGs, demonstrations, agronomicextension support, seed multiplication, nurseries, gender and nutrition-sensitiveactivities, etc.

The ADPs will include scheme-level climate-risk analyses along with potential remediesfor the identified risks.

Farmer Research Groups:(To Integrate Farmers into Technology Development)

To be set up in each scheme area by the respective Agricultural Research Institutes suchas ARARI, OARI,TARI, SARI, etc

At least two FRG in each scheme area, two for irrigation development and one forWatershed Management

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FRGs to assess the viability of the current and potential commodities for irrigationagriculture, enhance farmer experimentation and promote innovation on climate smartoptions

FRGs would identify and test (i) water saving agronomic practices; (ii) soil fertilitymanagement; (iii) integrated pest management (IPM); (iv) labor-saving technologies; (v)conservation agriculture, and (vi) improved seed availability.

IWUA and community to be active members of each FRG One FRG will have no more than 20 members and have a number of sub-groups Planting materials, seed, fertilizer and agri-chemicals etc are provided by the

programme Elite farmers, DA and research staff work together The Research Institute assign specialists in the area of participatory technology, on-farm

research, community organization etc Agreement between IWUA, RPCMU and Research Institute will be signed indicating

specific roles to be played by each

Agronomic Support Make an inventory of climate smart and best agronomic practices from PASIDP I and

other initiatives, and promote these Create local capacity in irrigation agronomy, particularly in choosing and adopting

appropriate crop varieties, adopting integrated soil fertility management options, pestand disease management and improved water and nutrient use of crops throughmanaging weeds, successive planting time and intercropping and relay cropping systems

Various training events will be organized for women farmers, communities,development agents and Woreda experts to integrate climate smart intervention into theirday to day farming practices.

Improved Seed Availability Woreda experts and development agents will support the farmers’ communities adopting

three channels of seed systems, namely:o Supporting groups of farmers to produce and market quality seeds of crops that are

of interest in the respective schemes;o Establishing communal nurseries in the command area of the new schemes for

own use and selling to other sister schemes; ando Establishing alternative seed sources including through traders.

The Programme will provide start-up seeds and inputs to facilitate the process, as well astargeted on-the-job training for development agents.

49. Nutrition Sensitive Agriculture: Despite the tremendous achievements in the sector, theproblem of food and nutrition security remains a key main health and development issue forthe country. The prevalence of stunting among children 6 to 59 months old is 40 percent andthe prevalence of wasting and underweight in children is recorded to be 9 percent and 27percent respectively. Micronutrient deficiency is also pervasive and severe across thecountry. About 44 percent of children under the age of five, 30 percent of adolescents, 22percent of pregnant women and 17 percent of women of reproductive age are anemic(Nutrition Sensitive Agriculture Strategy, PP 3).

50. The agriculture, livestock and fisheries sector focused primarily on increasing productivity,market oriented production of cash crops with minimum consideration of expansion ofdiverse food availability and overall nutrition security. Agriculture and livestock contributionto nutrition so far has been limited as the dietary diversity of the population is very low(Goshu et al, 2013). The FAO STAT (statistical database of FAO) 2011 also states that thefood availability per-capita is limited especially for meat, fruit and vegetables.

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51. Evidence have shown that mere nutrition specific interventions alone even with 90 percentcoverage would only result in reduction of stunting by only 20 percent which clearly depictsthat the need for implementing nutrition sensitive interventions through multi-sectoralapproach to address the gap which are believed to impact for 80 percent reduction in stunting(Ruel, Alderman and MCNSG, 2013). Hence, the contribution of the agriculture andlivestock sector, in this regard, is vital. Considering that about 84 percent of Ethiopians livein rural areas and are primarily engaged in farming and livestock rearing activities, initiatingand strengthening Nutrition Sensitive Agriculture (NSA) in the agriculture sector is critical.NSA aims to maximize the positive impact of the food system on nutrition outcomes whileminimizing any unintended, negative consequences of agricultural policies and interventionsfor the population. It is a food and nutrition-based approach to agricultural development thatfocuses on year-round availability, access and consumption of diverse, safe and nutritiousfoods of plant and animal source and sustainable agricultural systems at the heart ofovercoming malnutrition and its consequences.

52. Ethiopians, particularly rural households, use cereals as staple diets which are usually low inmicronutrients and also do not contribute to dietary diversity. Though animal foods are densein nutrient content, they are not widely used by society due to accessibility and affordability.There is low production and consumption of fruits and vegetables among farmingcommunities. The production of diversified foods and consumption of nutritious foodsamong the farming community is constrained by a lack of knowledge on safe food groupsand dietary diversity strategies, very limited access to farmland, inputs and relevanttechnologies, irrigation schemes, income, markets and sociocultural factors.

53. Result: Increased production of diversified and nutrient dense foods.

Initiative 1. Increase production of fruit, vegetables, pulse and cereals.

Core Activities

Promote the production of improved fruit and vegetable at household and community. Support the establishment of fruit and vegetable nursery and demonstration sites at

FTCs and model farmers. Promote production of improved varieties of nutrient dense pulses and cereals Promote intercropping and mixed farming technologies and practices Promote production of bio fortified crops (e.g. High Iron Beans, quality protein maize

[QPM], orange fleshed sweet potato [OFSP] etc)

Initiative 2. Reduced post-harvest loss and improved food safety

Core Activities

Identify key behavior challenges on harvesting, handling and storage of foods ofanimal and plant sources.

Identify key messages and disseminate to households and communities on food safetyand post-harvest technologies and practices.

Ensure the safety of foods from plant and animal sources by raising awareness andtraining of households/communities and service providers.

Provide extension services on harvesting, threshing and storage of agriculturalproduce.

Raise awareness and train communities and service providers on food handling,storage, processing and consumption of safe and nutrition dense foods.

Promote preservation and cold chain facility for vegetables, fruits, and animal and fishproducts.

Establish shade for harvesting and packaging of perishable food items such asvegetables and fish.

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Initiative 3. Increased capacity of farmer training centers

Core Activities

Establish and strengthen FTCs to promote diversified food crop production (agronomicpractices) with due emphasis to female farmers

Strengthen DA’s capacity to train model farmers (male /female) on NSA includingorganizing farmer field days

Develop and disseminate training materials for FTC on NSA mainstreaming Organize cooking demonstration in FTCs, and public gatherings for both men and

women. Strengthen FTC to promote and demonstrate technologies (irrigation, post-harvest,

food processing, female friendly etc.) for year-round availability and access tonutritious foods.

Initiative 4. Improve natural resource base to improve food availability

Core Activities

Increase access to small scale irrigation for production of vegetables, fruits and animalfeed for year round availability and supply.

Protect and promote natural resource through activities like terracing, mulching,composting, establishment of tree and fruit nurseries and planting.

Promote fodder production on soil and water conservations structures. Promote zero grazing, cut and carry practices and protection of pasture land. Promote afforestation, area closure and introduction of bee keeping, multi-purpose tree

species planting etc.

54. Watershed ManagementMicro Watershed Management Plan

To improve management of 68,160 ha in rain-fed areas adjacent to the irrigationschemes.

Guided by a landscape approach, integrating socio-economic benefits from land andenvironmental sustainability in a wider geographic zone.

To be mapped using GIS and Remote sensing tools. In areas where community-based watershed management interventions have already

been introduced, PASIDP II investments will aim at supporting and enhancing thatprocess, paying specific attention to:o Integration of multiple-benefit interventions;o Improved climate-informed planning, through mapping and capacity building;o Introducing alternative water sources, including water harvesting;o Specific soil and water conservation measures directly protecting the irrigation

schemes ando Considering trade-offs in choosing commodities to be integrated into the

watershed. In areas where no landscape approach has been adopted, the Programme will support the

full process from the initial stages. PASIDP II will support a range of multi-benefit interventions specific to the local

context such as:o Grazing land management through ‘social fencing’;o Planting of fruit trees;o Participatory forest management; ando Introduction of energy-saving technologies,o Supplementary irrigation from alternative water sources would allow rain-fed

farmers to introduce more productive crop types and varieties in to their system.

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Watershed Management Teams To be formed under Water sector policy and strategy and the Community Based

Participation and Development Guidelines. Mandated to rehabilitate degraded watersheds, conserve water and soil and mitigate

climate change. The Programme would provide the necessary training and mentoring for the

establishment and initial operation of the WMTs. Training to be provided by a competent service provider with support from public

officials and institutions. This training would include techniques of micro-water shed management, construction

and maintenance of anti-erosion and anti-degradation structures, biological techniquesfor erosion and degradation management and restoration of degraded areas and enhancedrainfed agriculture and livestock management systems compatible with sustainablecatchment management.

Promotion of Conservation Agriculture (CA): The Programme will provide a range of training and support activities to enable the wide

introduction and application of this technology. The interventions would include specific assistance through FRGs and extension support

for demonstration and adaptive trials interventions to promote CA.III. PROGRAMME MANAGEMENT & IMPLEMENTATIONARRANGMENTS

A. Approach

55. Implementation of the Programme will be governed by four main principles:a) Alignment with the Federal Government of Ethiopia (GoE) systems and procedures,

especially those governing public expenditure management and procurement, andintegration of Programme implementation into relevant institutions in decentralizedgovernment structure;

b) Greater empowerment of beneficiaries to take a leading role through their grassrootsinstitutions in Programme implementation;

c) Cooperation with the private agricultural service providers and various players in thepriority agricultural commodity value chains; and,

d) Stronger partnerships and harmonization with the Government’s development partners andother stakeholders in the sector.

56. The institutional arrangement for oversight, management and coordination of PASIP IIimplementation will be built on the existing arrangement established under the PASIDP,with some adjustments to reflect new dimensions and scope of the new phase, strengthen thecapacity of Programme Implementing Agencies and build vertical and horizontalinstitutional linkages. This will allow continuation of efforts and bring to PASIDP II thelessons, achievements and experiences of the first phase; enhance sustainability andcumulative impacts of the Programme.

57. The Programme institutional arrangement for coordination will be undertaken in five levels,in accordance with the Government's decentralized structure − Federal, Regional, Zonal,Woreda and kebele level. The Ministry of Agriculture and Natural Resources (MoANR) willbe the lead executing agency. The Minister of State for Natural Resources will beresponsible for coordinating implementation with support from the Directorate of SmallScale Irrigation. The Federal and Regional Programme Coordination Management Unitsestablished during the first phase of the Programme will continue to provide day-to-daymanagement of PASIDP II. The Mo-ANR will ensure that adequate technical and field staff

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at Regional, Zonal, Woreda and Kebele levels including a critical mass of at least 3 DAs atKebele level.

58. Most importantly, PASIDP II will promote farmers’ involvement in decision-making withinthe programme. Specialized services providers would be recruited to build capacity ininnovative areas, including the setting-up of market access alliances, the mainstreaming ofclimate-change innovations and conservation farming, and access to rural finance. Nationallevel agencies, including the private sector agencies and institutions, will be encouraged toprovide specialist technical and training support as required.

B. Programme Coordination

59. Programme Steering Committee (PSC): PASIDP has successfully developed effectiveimplementation arrangements, from federal level down to Kebele level, and created a modeof operation that has streamlined planning, financial management, procurement, monitoringand reporting systems that can effectively support PASIDP II implementation.

60. In order to respond to emerging policy issues critical for timely programme implementation,the MoANR will establish a PSC. Steering Committees at federal, regional and woredalevels play key roles for oversight and major decision-making. Steering Committees’ keyroles and functions across the different project levels (all from federal to woreda level) willinclude:

a. Establishing policy guidelines and providing overall oversight and strategic guidance; andcheck whether the programme contribute to the higher level sector policy and strategicgoals, under GTP2 or not,

b. Ensure that the Programme is moving in the right direction towards achievement of itsdevelopment objective (PDO),

c. Review and approve the Annual Work Plans and Budgets (APW&Bs) submitted by therespective Project Coordination Management Units (PCMU),

d. Review and approve annual implementation performance report prepared by the PCMUand overseeing the implementation of corrective actions and oversee the implementationof small-scale irrigation components more critically and

e. Ensure inter-ministerial coordination, harmonization and alignment with otherprogrammes and initiatives in the sector.

61. The federal and regional steering committees will review and approve, annual work plans;performance monitoring plans and quarterly and annual progress reports; oversee bi-annualjoint review and implementation support missions; identify and promote implementation andadoption of best practices and policies, ensure that activities are well coordinated with otherdevelopment programs and ensure that interventions are carried out and measures taken thatwill result in program sustainability.

62. The woreda steering committee will also review and approve annual work plans and budgets,review implementation reports and ensure multi-sectorial coordination. It will, additionally,be a signatory to KDCs agreements, approve sub-projects and follow up on theirimplementation. The steering committees will meet every quarter.

63. The Federal SC: - The State Minister of Agriculture and Natural Resources will chair theFSC and the Federal Project Coordination Unit will serve as a Secretary. The committeemembership will include few state ministers from the relevant ministries listed below. It willmeet bi-annually focusing on review and approval of annual plans and monitoring ofperformance based on annual reports. It will comprise of high-level key officials fromrelevant line ministries, agencies and stakeholders including the development partnersfinancing the project. Detail list of the FSC are indicated in the table below.

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TABLE 2: LIST OF THE COMPOSITION OF THE FEDERAL STEERING COMMITTEES

64. The Regional SC: In all regions the Programme will be executed by the respective Bureauxof Agriculture and Natural Resources. The Heads of the Regional Bureaux of Agriculturewill provide overall leadership for implementation of PASIDP II. They will ensure that theProgramme is implemented in accordance with the agreed regional priorities, and inalignment with federal strategic agricultural development goals.

65. The RSCs chaired by the heads of Regional Bureaux of Agriculture and Natural Resourceswill provide policy and strategic guidance in planning, prioritization and implementation ofProgramme investments. This will be done in accordance with the Government vision andmedium term goals for agriculture development in the region, and overall Programmeapproach and implementation strategy. It will approve the annual work plans and budgetsand key Programme documents, such as implementation progress, financial and auditreports. The RPSC is expected to provide guidance in the process of selecting prioritycommodity value chains in the Programme target areas in a more focused manner, so as tosee tangible results in productivity, ability to access markets and increase income ofProgramme beneficiaries. The RPSC should meet at least once in three months.

TABLE 3: LIST OF THE COMPOSITION OF THE REGIONAL STEERING COMMITTEES

66. Woreda Steering Committee (WSCs): chaired by the Woreda Administration, will provideguidance in planning, prioritization and implementation of Programme investments. Thiswill be done in accordance with the Government vision and medium term goals foragriculture development in the Woreda, and overall Programme approach andimplementation strategy. It will approve the annual work plans and budgets and keyProgramme documents, such as implementation progress, financial and audit reports.

67. The WSC is expected to provide guidance in the process of selecting priority commodityvalue chains in the Woreda in a more focused manner, so as to see tangible results inproductivity, ability to access markets and increase income of programme beneficiaries. TheWSC will be strengthened to include heads of relevant Offices such as Office of Agricultureand Natural Resource (Secretary of WSC), Office of Water Resource/Irrigation Authority,

1 State Minister, Mo-ANR - Chair2 Ministry of Environment and Climate Change (Mo-ECC)3 Ministry of Livestock and Fisheries (Mo-LF)4 Ministry of Finance and Economic Cooperation (Mo-FEC)

5 Ministry of Water, Irrigation and Electricity (Mo-WIE)

6 Ministry of Trade (Mo-T)7 Ministry of Industry (Mo-I)8 Federal Cooperative Agency8 Ethiopian Institute of Agricultural Research (EIAR) Manager9 Heads, Bureau of Agriculture Natural Resources/ Rural Development of the PASIDP - II regions10 Federal PASIDP Coordinator- Secretary

1 Bureau of Agriculture and Natural Resource (Bo-ANR) – Chair2 Bureau of Water Resource/Irrigation Authority3 Bureau of Livestock and Fisheries (Bo-LF)4 Bureau of Finance and Economic Cooperation (Bo-FEC)5 Bureau of Trade / Marketing Agency (Bo-T)6 Bureau of Land Use and Environmental Protection (Bo-LEP7 Cooperative Agency (CA)8 Bureau of women’s affair (BOWA)9 Regional Institute of Agricultural Research (RARI)10 Heads of Zone Agriculture in PASIDP - II woredas11 Regional PASIDP II Coordinator- Secretary

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Office of Livestock and Fisheries, Office of Finance, Office of Land Use and EnvironmentalProtection, Office of Trade, and Cooperative Office. The WSC should meet at least once inthree months and have functions mentioned above (46):

C. Technical Committees

68. Across the different project levels, Technical Committees (TCs)s would be responsible forproviding technical advice to the respective Steering Committee for decision-making. Moreclosely, the TCs will technically support the PCMUs on the quality of implementationreports and special studies, guidelines, documentation of best practices, and M&E reports.The TCs will support the PASIDP-II-PCMUs and PASIDP-II focal person(s) in technicalbackstopping and supervision of lower levels, to coordinate PASIDP implementation withintheir respective institutions (including institutional capacity building as appropriate); and, toprovide advice to steering committees on PASIDP activities; as well as to produce reports onimplementation progress. The role of the Technical Committees at all levels will specificallyinclude:

To provide advice to steering committees on PASIDP activities; as well as to producereports on implementation progress,

The TCs will support the PASIDP II PCMUs and PASIDP II focal person(s) in technicalbackstopping and supervision of lower levels, to coordinate PASIDP II implementationwithin their respective institutions (including institutional capacity building asappropriate); and, to provide advice to SCs on PASIDP II activities; as well as to producereports on implementation progress.

Reviewing, providing recommendations and advise on improving the AWPB submitted bythe respective PCMUs, providing technical advisory services on implementationmodalities,

Support the PASIDP-PCMUs and PASIDP focal person (s) in technical backstopping andsupervision of lower levels,

Coordinate PASIDP implementation within their respective institutions (includinginstitutional capacity building as appropriate);

Provide institutional capacity building to PCMUs and to relevant implementation entities, Review and analysing all documents prepared under the project’s responsibilities

providing recommendations and advising on improvement. At the Zonal level, the ZoA will provide technical support, extension services and M&E to

the group of Woredas under its authority. The ZoAs will coordinate with the WoredaOffices of Agriculture (WoA).

69. It should be noted that as in PASIDP II, the Federal Technical Committees will be made upof senior technical staff from relevant implementing institutions (Drawn from SteeringCommittee members). At the regional, zonal and woreda levels, the TCs will be establishedwith high-level experts from the relevant implementing institutions. The technical committeewill conduct meetings quarterly at the federal, regional and zonal levels, monthly at theworeda levels.

70. Federal Technical Committee: The FTC will be chaired by the FPCU coordinator. Thecomposition of the federal TC committee includes focal persons drawn from eachimplementing and service providing agencies.

71. Regional Technical committee: The RTC will be established to provide technical support tothe RPSC. The RTC will be chaired by the RPCU coordinator. Depending on the regionalcontext, members of the team will be drawn from the relevant technical bureaus andinstitutions. The role of the RTC will be to review Programme documents, includingphysical and financial progress reports, procurement documents, Annual Work PlansBudgets, and synthesize issues or areas that need decision and guidance of the RPSC.

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72. Zone Technical Committee: The ZTC will be established to provide technical support tothe Woreda Technical Committee. Depending on the Regional context, members of the teamwill be drawn from the relevant Zonal Offices. The role of the ZTC will be to providetechnical support, as well as monitor and supervise program activities in the respectiveWoredas.

73. Woreda Technical Committee (WTC): The implementation of PASIDP II will involvetechnical staff in Woreda offices. The technical committee will chaired by head of office ofagriculture and Natural resources and comprises of Irrigation Agronomist, Irrigationengineer, Watershed/ Soil and Water conservation Expert, Gender Expert, Environmentalprotection Expert, IWUA organizer, Cooperative promotion Expert, Cooperative marketingExpert. The team will provide technical support; as well as monitor and supervise overallproject activities at Woreda and Kebele level. The woreda Focal Person is the secretary ofthe team.

74. The WTC will be responsible for providing technical on-site support in implementation ofProgramme interventions in target Kebeles to ensure that the Programme is implementedappropriately and in a coherent manner. The WTC will:

Facilitate their respective Kebeles in identification of priority interventions in accordancewith agreed regional priorities and overall Programme approach and strategy for planningand prioritization of interventions;

Prepare Woreda AWPBs and submit to zonal Technical committee; supervision of Programme activities and technical backstopping; Preparation of monthly and quarterly reports and submission to zonal coordination office; Develop capacity of farmers’ organizations at grassroots level, such as IWUAs and

cooperative societies, to enhance their technical capacity and management skills, Convene annual Woreda implementation Review Meetings (WRM), that will bring

together implementing agencies from all Kebeles, value chain partners and other donorfinanced projects to reflect on Programme implementation progress, learn and share bestpractices/innovations, discuss implementation issues and challenges, and buildpartnerships.

The capacity of Woreda will be strengthened based on capacity needs assessment.

75. Kebele Technical Committee (KTC): The implementation of PASIDP II will involvetechnical committee at Kebele level. The technical committee comprises: grassrootsinstitutions/organization, such as Kebele Administration, Cooperative Extension, andDevelopment Agents, Irrigation Water User Associations (IWUAs), Watershed ManagementTeams (WMTs), primary cooperatives societies, Rural Saving and Credit Cooperatives,Micro finance institutions. The team will be led by a Kebele Administrator (KA). The KTCwill be responsible for providing technical on-site support in implementation of projectinterventions in target Schemes to ensure that the project is implemented appropriately andin a coherent manner at grass root level. The KTC will:

Facilitate their respective scheme in identification of priority interventions in accordancewith agreed kebele priorities and overall project implementation.

Prepare scheme level AWPBs and submit to Woreda Focal person; Supervision of project activities Preparation of monthly and quarterly reports and submission to Woreda Focal person; Develop capacity of farmers’ organizations at grassroots level, such as IWUAs and

cooperative societies, to enhance their technical capacity and management skills, Convene annual Kebele implementation Review Meetings (KRM), project implementation

progress, learn and share best practices/innovations, discuss implementation issues andchallenges, and build partnerships.

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D. Project Coordination Management Units

76. To coordinate and ensure timely and effective execution of the activities of PASIDP II,PCMUs has been established within Mo-ANR at Federal and Regional levels and focalpersons at the Woreda Level. The PCMU established during the first phase of theProgramme will continue to provide day to day management and supervision of theProgramme, under the leadership of a national Programme coordinator and reporting to theState Minister of Natural Resources. The skill mix of the PCMU will be strengthened inareas of value chain and marketing, Environment and natural resources management,procurement, rural finance and M&E. The PCMU at the Federal and Regional levels areresponsible for the overall coordination (inter-agency and within Mo-ANR/Bo-ANR),planning, monitoring, and reporting on implementation performance. More specifically, thePCMUs will have the overall responsibility to coordinate and ensure the timely andeffectivee execution of the project across the different project levels. The PCMUs willensure:

Support delivery of Programme to beneficiaries by managing and coordinating technicalbackstopping, capacity building activities, flow of information and tracking Programmeresults, harmonize implementation approaches, assist regions/woredas on procurement ofgoods, works and services, and link the regions/woredas with different institutions orservice providers;

Manage disbursement of funds to Programme implementing agencies; Strengthen the national/regional level partnerships and build synergies with other

development partners in the sector to ensure that PASIDP II interventions complement anddoes not duplicate interventions of other development partners, especially those supportedby the AGP 2 and SLMP 2;

Establish and coordinate a National Learning Forum (NLF) to facilitate inter-regionalexperience sharing, and interactions with other stakeholders, including other IFADfinanced Programmes and projects financed by other donors, relevant developmentpartners and other actors, such as input suppliers and output traders;

Play an important role in backstopping and guiding the regions/woredas and otherProgramme implementation entities to ensure that the programme is implemented inaccordance with agreed approach and processes for delivering each of the programmecomponents, and provide timely technical advice necessary to facilitate implementationand achievement of intended results;

Ensure quality of programme implementation through regular implementation reviews andfollow-up on key processes, especially during the first twelve months of the programmeimplementation;

Review and consolidate the draft progress reports, AWPBs from the differentimplementing agencies and other technical documents, with support of subject mattertechnical experts, prior to submission to the NPSC/RPSC for guidance, decision andapproval. The PCMU will also organize and coordinate analytical work and studies, suchas value chain/market analysis to inform priority setting and guidance; conduct Programmemid-term review, impact assessments and Programme completion evaluation.

77. Zone Focal Person (ZFP) –Based on lessons from the first phase, the roles and capacity ofzones in some regions will be strengthened to enhance Programme delivery efficiency. TheZFP will consist of one full time from agriculture and natural resources department staff,who will serve as an extended arm of the ZSCs, linking Woredas to Region. The ZFP will bethe agent who will provide day to day project implementation support and guidance. He/Shewill provide support in determining priority market driven interventions through localparticipatory planning processes with a focus on market, but inclusive for the food insecureand vulnerable/poorest groups. He / She will also coordinate delivery of technical support tobeneficiaries and other local based implementing partners. Specifically, the ZFP willcoordinate the provision of technical support to woredas from different sector offices. Study,design and construction supervision of Small scale irrigation scheme, watershed

22


management and marketing alliance within the zone. compile progress report from woredasand submitted to zonal steering committee for decision, facilitate partnerships andcollaboration with various other donor funded projects at zone and woreda level, to ensureadequate collaboration and harmonization of PASIDP II activities with the other relevantprojects; collaborate with research institutes , and lead participatory planning and prioritysetting process.

78. Woreda Focal Person (WFP) – The woreda focal person has the overall responsibility forcoordinating woreda project activities and will ensure that the proposed project is executedin accordance with the plan. The woreda focal person through the woreda agriculture andnatural resource office will be responsible for overall project coordination, supervision,backstopping and advising all actors and stakeholders at woreda level. The WoredaAgriculture and natural resource office will assign the relevant focal person. The WFP will:-o Identify trainings needs and arrange training program to Woreda experts and

stakeholders, kebele and DAs who are associated with the project implementation;o Report to the Regional Programme coordination and management unit and prepare

annual work plan and budget and follow its implementation;o Identify schemes in consultation with communities, kebele administration and DAs, and

facilitate with concerned partners to conduct survey, preliminary and feasibility studies;o Assist the Woreda Environmental Expert to carry out Tier 2 Screening for

Environmental and Social Concerns as required by the ESMF,o Prepare agricultural development plan for each PASIDP II schemes with detailed cost

estimates and facilitate their implementation;o Establish linkage with respective agricultural research institute and facilitate setting up

of the FRGs for each PASIDP scheme;o Provide and supply materials and inputs for conducting action-oriented agricultural

activities in all scheme areas and evaluate their impacts;o Facilitate community mobilisation and organise irrigation water user associations for

each scheme and facilitate training;o Facilitate IWUA scheme agreement and securing them water use certificates;o Facilitate the project beneficiaries get first/second level land use certificates in

collaboration with land administration and environmental protection office;o Facilitate the study and design as well as scheme construction and access roads of

irrigation schemes and ensure IWUAs active participation and organise members foreffective O&M;

o Responsible to provide relevant data and information from grass root level, and prepareregular and periodic progress reports to RPCMU;

o And any other tasks as may be required by the Regional Programme Coordinator.

79. Kebele Focal Person (KFP) –Based on lessons from the first phase, the roles and capacityof Kebele-based Development Agent (DA) will be strengthened to enhance Programmedelivery efficiency. The KFP will consist of one full time DA drawn from Government staff,who will serve as an extended arm of the WTTs, linking Kebeles to Woredas. The KFP willbe the frontline implementation project delivery agent who will provide day to day projectimplementation support and guidance. He/She will provide support in determining prioritymarket driven interventions through local participatory planning processes with a focus onmarket, but inclusive for the food insecure and vulnerable/poorest groups. He / She will alsocoordinate delivery of technical support to beneficiaries and other local based implementingpartners. Specifically, the KFP will:

Provide direct technical support, services and guidance to beneficiaries, includinggrassroots institutions, such as IWUA and Watershed Management Teams etc.

Facilitate partnerships and collaboration with various other donor funded projects atKebele level, to ensure adequate collaboration and harmonization of PASIDP II activitieswith the other relevant projects;

Mobilize and organize beneficiaries for interventions that require collective actions, such

23


as watershed management, in collaboration with community associations; Play key roles in training, facilitating and supporting farmer group formation, farmer

networking and assisting groups and farmer organizations to access services and supportthey need;

Facilitate access to and dissemination of innovations through Farmer Training Centres andother local avenues;

Collaborate with research institutes in conducting on-farm trials and demonstrations ofgood agricultural practices in Project sites;

Liaise with Woredas to ensure availability of extension materials forinterventions/innovations relevant to PASIDP II beneficiaries, such conservation farming,climate smart interventions and agronomic practices, etc.;

Lead participatory planning and priority setting process, prepare Kebele annual work plansand budgets and send to Woreda for aggregation; and

Prepare monthly implementation progress reports and submit to Woreda for review andnecessary actions.

TABLE 4: STAFF COMPOSITION AND NUMBER AT FEDERAL, REGIONAL, ZONE AND WOREDA PCMUS

A. Federal PASIDP II PCMU Staff Total B. Regional PASIDP II PCMU Staff Total

1. Programme coordinator 1 1. Programme coordinator 42. Monitoring, Evaluation and Knowledge

Management Specialists2 2. Monitoring , Evaluation and Knowledge

Management Specialist4

3. Irrigation Agronomist 1 3. MIS/GIS specialist 44. Senior Agribusiness Specialist 1 4. Irrigation Engineer 85. MIS/GIS specialist 1 5. Irrigation Agronomist 46. Irrigation Engineers 2 6. Agribusiness Expert 47. Social Safeguard Specialist 1 7. Watershed Specialist 48. Environmental Safeguard Specialist 1 8. Capacity Building and Gender Specialist 49. Climate Change and Watershed

Management Specialist1 9. Social and Environmental Safeguard

Specialist4

10. Capacity Building and Gender Specialist 1 10. Finance Officer 811. Senior Procurement Specialist 1 11. Secretary/Office Assistant 412. Assistant Procurement Officer 1 12. Driver 813. Finance Manager 1 TOTAL 6014. Senior Accountant 115. Accountant 116. Driver 417. Secretary 118. Office Assistant 1TOTAL 23

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FIGURE 2: ORGANIZATIONAL STRUCTURE

Federal Streeing Committee

Regional Steering Committee (RSC)

RPCMU Regional Programme Coordinator

Irrigation Agronomist

Irrigation Engineer

Accountants

Capacity Building & Gender Specialist

M&E specialist

Climate /Watershed Specialist

Social & Environment Safeguard Specialist

Agribuisness Specialist

Regional Technical Team

Zone Technical Team

Woreda Technical Team

Kebele Technical Team

FPCMU- National Programme Coordinator

Senior Irrigation EngineersSenior Irrigation Agronomist

Senior Agribuisness SpecialistSenior Climate and WatershedSpecialist

Senior Environmental Safeguard SpecialistSocial safegured Specialist

Senior Capacity Building & Gender SpecialistSenior Procurement specialist

Assistant Procurment SpecialistFinance Manager

Accountants M & E specialist

Federal Technical Team

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TABLE 5: IMPLEMENTATION RESPONSIBILITIES

Component/ Subcomponent/Activity Coverage ImplementationResponsibility

ServiceProvider

INSTITUTIONS DEVELOPMENTFEDERAL PROGRAMMECOORDINATION UNIT1) Establishment of Federal Programme

Steering CommitteeNational Ministry of ANR

2) Establishment and staffing of FederalPCMU

National Ministry of ANR

3) Procurement of vehicles for FPCMUand RPCMU

National Ministry of ANR

4) Study and tours National FPCMU5) Providing office for FPCMU National Ministry of ANR6) Workshop and TOT training National FPCMU7) Procurement of Office equipment,

furniture’s, office supplies andoperating costs

National FPCMU

8) Hiring consultancy service National FPCMUREGIONAL PROGRAMMECOORDINATION UNITS1) Establishment of Regional Programme

Steering Committees one in fourregionso Establishment and staffing of

Regional PCMUo Providing office for RPCMU

Regional

RegionalRegional

Regional Bureau ofAgriculture and NaturalResourceBO-ANRBO-ANR

2) Organizing inter and intra region studytours for the regional staff andstakeholders

Regional RPCMU

3) Facilitate the establishment ofMonitoring and evaluation system

Regional RPCMU

4) Facilitate baseline survey in theprogramme area

Regional RPCMU

5) Procurement of Office equipment,furniture’s, office supplies andoperating costs

Regional RPCMU

6) Deployment of Woreda Focal Persons,accountants and DA

Regional Regional Bureau ofAgriculture and NaturalResource

7) Regional training and workshops Regional RPCMU

8) Hiring consultancy service andcontractor for construction.

Regional Regions water bureau/irrigation authority

CAPACITY BUILDINGCarrying out capacity needs assessment ofthe Regional Bureaux of Water, Agricultureand Natural Resource development andother stakeholders in the context of theprogramme implementation needs

National FPCMU Localconsultingfirm

1. Training1.1) Training for PCMU

o Project managemento Communication and Facilitation

National

FPCMU National

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ServiceProvider

skillo Result based monitoring and

evaluation, KML and MISo Training managemento Gender mainstreamingo Financial and procurement

management

institutions

1.2) Training for the Regional WaterBureaux:o Refresher courses; (study &

design, operation andmaintenance, contractadministration etc )

Regional RPCMU & BoWR ManagementInstitutes,universitiesand researchinstitutes

o Study visits Regional FPCMU OverseasTravel

o On-the-job-training Regional BoWR and RPCMU National &regionalExperts

o Training of Woreda staff Regional BoWR and RPCMU Regionalexperts

o Training for the Regional ANRBureaux:

o TOT training on irrigationagriculture, watershedmanagement, environmentalprotection and climate changefor regional technical experts

o TOT zonal technical experts

National

Regional

Mo-ANR & FPCMU

RPCMU & BoANR

NationalInstitutions

NationalInstitutions

o Training Woreda technicalexperts

Regional RPCMU & BoANR Regionaland zonallevelresourcepersons

o Training to DAs Woreda RPCMU & WoANR zonal andworedalevelresourcepersons

o Community sensitization andawareness training to IWUA

Kebele /IWUAs

RPCMU & BoANR Woreda staff

o Training to Water userAssociations

o Formation and organization ofIWUAs

Kebele/Woreda

BoWR and RPCMU Woreda staff

o Leadership training to IWUAcommittees

Kebele/Woreda


o Water management training toIWUAs

Kebele,/Woreda


o Operations and maintenance Kebele/Woreda


o Irrigated farming Kebele/Woreda


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ServiceProvider

1.3) Training for the regionalcooperative agency

o TOT training on marketing,cooperative formation andstrengthen for regionalcooperative experts

National FCA & FPCMU Nationalinstitutions

o TOT training on marketing,cooperative formation andstrengthen for zonalcooperative experts

Region Regional coop &RPCMU

Regionalresourceperson

o Training on marketing,cooperative formation andstrengthen for woredacooperative experts andMarket Access Alliance

Region/Zone Regional coop &RPCMU

Regional/zonalresourceperson

1.4) Training for farmerscooperatives and IWUAcommittees

o Post-harvest management

o Warehouse managemento Cooperative marketing and

Value additiono Financial managemento Modern marketing practiceso Business plan preparationo Cooperative formation and

strengthen

Kebele/Woreda

Kebele/WoredaKebele/Woreda

Kebele/WoredaKebele/WoredaKebele/WoredaKebele/Woreda

Regional PCU & Coops

>>>>

>>>>>>>>

WoredaCoop office

WoredaCoop officeWoredaCoop office

WoredaCoop officeWoredaCoop officeWoredaCoop officeWoredaCoop office

2. Equipment and material provision2.1. Equipment and material provision

for water bureauo Study and design equipmento Engineering softwareo Laptop computer

2.2. Equipment and material provisionfor regional ANR bureauo FTC equipmento Farm tools for nursery ,

demonstration and homegarden development

o Desktop computers with itsaccessories

o Laptop computerso Tabletso Bicycle

2.3. Equipment and material provision

Region

Region

Region

RPCMU & BoWR

RPCMU & BoANR

RPCMU & Regionalcoop agency

To beidentified

To beidentified

To be

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ServiceProvider

for cooperativeso Desktop computers with its

accessorieso Marketing equipment (moisture

tester, weighted scale, borer,sample tray, calculator,laboratory balance, sieve etc.)

2.4. Equipment and material provisionfor regional research centerso Desktop computers with its

accessorieso Research materials and

equipment

RegionRPCMU & RARC

identified

To beidentified

MONITORING AND EVALUATION1. Establishment of M&E system2. Establishment of KML & MIS system

NationalNational

Federal PCUFederal PCU

NationalconsultingfirmsNationalconsultingfirms

3. Carry out baseline surveys for RIMSindicators and component monitoringindicators

National Federal PCU andRegional PCUs

Nationalconsultingfirm

SMALL-SCALE IRRIGATION DEVELOPMENT

IRRIGATION DEVELOPMENT1) Engineering survey and design and

preparation of cost estimates for thecommunity identified small-scaleirrigation schemes

Tigrai,Amhara,

Oromia andSNNRPregions

Regional Water Bureau,Tigrai, Amhara andSNNRP and OromiaIrrigation Authority inOromia.

Nationalconsultingfirms wouldbe contactedforoutsourcingthe task

2) Technical Review of all engineeringDesign and environmental aspects of allproposed irrigation schemes

Regional Regional Water Bureau,Tigrai, Amhara andSNNRP and OromiaIrrigation Authority inOromia.

Nationalconsultingfirms wouldbe recruited.

3) Construction of schemes: Regionalo Improvement of traditional schemes Kebele,

WoredaRegional Water Bureau,Tigrai, Amhara andSNNRP and OromiaIrrigation Authority inOromia.

It would becarried outunder FA

o Construction of new diversionschemes

Kebele,Woreda


LCB orunder FA,wherelocations areremote

o Spring protection schemes Kebele,Woreda

Regional Water Bureau,Tigrai, Amhara andSNNRP and OromiaIrrigation Authority in

LCB orunder FA,wherelocations are

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ServiceProvider

Oromia. remoteo Micro-dams Tigrai and

Amhararegions


LCB orunder FA,wherelocations areremote

o Water harvesting structures /ponds Kebele,Woreda

Woreda/Zone

o Shallow-wells Kebele,Woreda

Regional Bureaux ofAgriculture and RuralDevelopment, Tigrai,Amhara and SNNRP andOromia, Woredas

FA/LCB

o River pump schemes Kebele,Woreda

Regional Bureaux ofAgriculture and RuralDevelopment, Tigrai,Amhara and SNNRP andOromia.

FA/LCB

o Household drip irrigation units BoANRs FA/LCB

4) Implementation supervision of allcommunity-based schemes underconstruction

Regional Regional Water Bureauxand OIDA in Oromia

Ls

5) Periodic maintenance of communityschemes

Regional Respective Woredaadministration

FA

6) Routine maintenance of communityschemes

Regional Respective IWUAs FA

7) Routine maintenance of householdschemes

Regional Respective householdsand user groups

FA

ACCESS ROADS1) Engineering survey and design of

proposed road alignmentsRegional,

kebeleRegional Road Authority

2) Spot improvement work and roadconstruction

Regional,kebele

Regional Road Authorityand the Woreda andkebele administrations.

3) Routine maintenance of completedroads

Regional,kebele

Woreda, community

CATCHMENT AREA PLANNING1) Assessment Planning Regional,

Micro-basinlevel

Regional Water Bureau InassociationwithCGIARResearchcentres,UniversitiesandResearchinstitutes

2) Database Management Regional,Sub-basin

level

Regional Water Bureau

3) Database Analysis Regional,Sub-basin


30



ServiceProvider

level4) Catchments Area planning for scheme

sitesRegional,Micro-basinlevel


Agricultural DevelopmentAGRICULTURAL PRODUCTIONIMPROVEMENT1) Demonstrations on irrigated agriculture Regional Respective Regional

Bureau of Agricultureand Rural Development

Irrigated FarmingWater ManagementExtension services, FTC

2) Demonstration on new technologiesUsing new veritiesIntroducing new speciesIntroducing labour-saving tools

3) Research and Development With the support ofRegional AgriculturalResearch Centres

Farmers research groupsAdaptive on farm research

4) Farmers Training onGood agronomic practicesFarming systemsFarm visits

IMPROVING ONFARM SOILFERTILITY1) Introducing forage and fodder plants

and legumes in cropping systemsRespective RegionalBureau of Agricultureand Rural Development

2) use of organic and compost manure3) Establishment of nurseries4) Soil and water conservation measures5) Community sensitisation Local NGOs6) Establishment of women’s group7) Introduction of fuel-saving technologiesSEED PRODUCTION SYSTEMS1) Demonstrations on seed multiplications2) Establishment of women’s seed units

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IV. PLANNING PROCESS AND BUDGETING

80. PASIDP II planning will be conducted with strategic and demand driven approach to ensuregovernment priorities as well as to bring effective participation of the local communities in theirdevelopment affairs. PASIDP II development plan is therefore the result of demand driven andstrategic plan conducted at all levels. The seven-year work plan together with year 1 work planand budget for PASIDP II will be prepared by all implementing agencies at Federal andRegional level and Cascaded to community level. The demand driven plan will then becombined with strategic plan at all levels and become PASIDP II plan.

81. The approved work plan and budget by the Federal Steering Committee will be sent back to therespective federal implementing agencies and to the RCUs. The Implementing Agency will thencascade the annul PASIDP II work plan and budget to responsible implementers. Allimplementing organizations, institutions and responsible officials, experts, DAs and KDCs willincorporate PASIDP II activities in to their annual, quarterly, monthly and weekly operationalwork plans.

A. Planning Time frame

82. Planning schedule will be according to the kebele development plan; it should be completed,consolidated and reach the woreda office before March 15. The woreda will consolidate thekebele plan and send it to regional PCMU before April 15. The FCMU will consolidate the planfrom the regional PCMUs and send consolidated plan and budget to technical committee fortechnical reviewing of the physical activity and budget, and send it to Federal SteeringCommittee for review and approval. Once approved by the federal steering committee an officialrequest will be made to the IFAD Country office before August 15.

B. Content of the Work Plan and Budget

83. The annual work plan and budget at each level should concisely put justification andclarification. Therefore, the annual work plan and budget prepared at all levels should include:o Introductiono Progress and Achievement Physical and Financial Progress Constraints, and Measures Proposed

o Annual Work Plan and Budget for the Yeari. Purpose and Objective

ii. General activitiesiii. Component Specific Activities Investment in Small-Scale Irrigation Investment in Capacity for Sustainable Agriculture Programme Management

iv. Procurement Planv. Training Schedule

vi. Staff Deployment Schedulevii. Financing Plan and Sources of Funds

o Expected Outcomeo Suggestion for Improvemento Attachments

i) Result Based AWP& Bii) Procurement Planiii) Training Scheduleiv) Staff Schedulev) Progress Report (Financial & Physical)

o Proposed budget by program components and sub components, including communitycontributions,

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o A financial plan schedule with quarterly breakdowns for budget planning and monitoringpurposes—by program component and sub components,

o Estimated number of beneficiaries by sex and impact on women and youth,o Gender, climate and nutrition sensitive activities were deemed appropriate,o A procurement plan, methods, quantities of goods, civil works and service at each level in

order to deliver within appropriate schedule of requirement,o Responsible implementing agencies,o Monitoring, follow up and technical support modalities

C. Cost and Financing of the Programme

84. The total Programme cost would be US$ 145.3 million. An allocation of about US$ 103.5million is available to the Federal Democratic Republic of Ethiopia (GOE) from the PBAS cycleof 2016/2018, which will constitute IFAD loan of US$ 102 million on highly concessionaryterms, as well as an IFAD grant of US$ 1.5 million. An additional grant of USD 11 million(7.4% of total programme cost) is being considered under ASAP to mainstream climate resilientinterventions within the IFAD co-financed programme in Ethiopia. GOE will provideequivalents of US$ 18.7 million representing 12.9% total Programme costs. GOE will cover allduties and taxes. In addition, the public services at national, regional and Woreda levels will playa key role in Programme implementation. The beneficiary contribution would be US$12.787million. They would provide a 5% contribution in the construction works of the irrigationschemes, to be provided in labour and materials. They would also provide labour for thewatershed improvements.V. SMALL-SCALE IRRIGATION INFRASTRUCTURE DEVELOPMENT

A. Component Objective

85. The main objective of the component is to develop sustainable small-scale irrigation that is cost-effective, demand-driven and participatory. The expected outcome of Component A is “farmershave access to sustainable irrigation schemes“. Component A aims at developing or upgrading18,400 ha of small-scale irrigation.

86. It is thus focused on irrigated crop production using the active and willing participation ofbeneficiaries’. The proposed seven year programme will be executed by the Regional Bureau ofAgriculture/Agriculture and Natural Resource Development/Oromia Irrigation DevelopmentAuthority under the overall coordination of the MOANR.

87. Scheme Construction: Schemes to be developed and constructed would be of three categoriesin terms of ownership and operations and maintenance: (i) community-based schemes, and (ii)group schemes; and (iii) individual or household schemes for the special support to the womenbeneficiaries.

TABLE 6: CATEGORIES OF SCHEMES

Water source CommunitySchemes

Group Schemes Individual Scheme

River/Spring DiversionsSpring developmentSpate irrigation

River Pump SchemesGroundwater Already drilled BH

Pump Schemes (Dripunit)

Shallow wellsDrip irrigation unitsLow lift pump

Hand Dug wellsDrip units

Waterharvesting

Micro-dams Ponds Ponds

88. Majority of community-owned schemes would be based on diversion of run-off–river flows intoa conveyance and distribution system using furrow or basin irrigation depending upon the

33


topography. Permanent diversion structures with gated head regulators would replace traditionaldiversions as required, and night storage reservoirs would be provided where necessary andjustifiable in terms of costs and benefits. Design techniques for weirs on permeable foundationsare well established in Water Bureaus using the MoWR guidelines and the same would be used.All structures would be constructed in masonry, to reduce cost and also maximize unskilledlabour content. Scheme size will be determined by appropriate flow analysis and water balancecalculation to ascertain prior water rights, formal or otherwise.

89. Technically, a scheme would be designed with diversion weirs with silt excluders, flap-gates ifsilting is a major problem, facilities for lining the main canals to their full length in order toensure distribution of water to all farmers if irrigation intervals are wide. Average landholdingwould be in the range of 0.25 and 0.5 ha and it is expected that some 20 % of beneficiarieswould be FHHs.

90. The land levelling has to be done in each irrigation block until the desired level is reached. Insmall scale irrigation unlike the medium and large, land levelling is customarily left tobeneficiaries to do it through a period of 2-3years, by visually checking spots of less or moredepth of irrigation water. However, the details will be provided in the operations andmaintenance manual. As inadequate and poor lack of land levelling and drainage may lead towater logging, causing eventually soil salinity, adequate attention will be provided right from theinitial stage5.

91. Spring Protection Schemes: The scheme design is similar to upgrading or new diversionscheme but before proceeding further with scheme construction, the priority use for the availablespring flow must be decided in consultation with the user and downstream communities.Meeting the water supply needs, if any would be given priority the spring source should be wellprotected to avoid any pollution. Canal network should be fully lined to avoid seepage andconveyance losses.

92. Spate Irrigation Schemes: The spate irrigation is more like an art than engineering.Communities have been using this system for generations, in the past and there is an interestingexperience in the regions of Amhara and Tigrai. The spate irrigation is the system of exploitationof the “residual moisture” in soils and it therefore requires (i) adequate structure either freeintake or diversion for diverting flash floods into arable command area and arrangement fordrainage; (ii) network of large canals for spreading the water to individual fields or blocks; (iii)gentle, or near flat land gradient and farm protected by high bunds; and (iv) adequate soil depthto ensure storage of moisture. Since of the irrigable land it is important to ensure that irrigableareas have effective land gradient and adequate soil depth the spate irrigation by diverting splashfloods would be designed and constructed in Tigrai, Amhara and also in Oromia and SNNPR.The size of area benefited may range between 200 to 500ha involving 1000 households or more.

93. Micro-dams: Micro-dams or water harvesting structures would be designed and constructedwhere there is potential and where it is the only option of using the water. Potential for suchconditions exist in Tigrai, Amhara, SNNP and Oromia Regions. Specific design features are (i)average irrigable command area would be in the range of about 50 to 100 ha, (ii) its landsubmergence should be less than 20% of its designed irrigable area, (iii) submergence of anyvillage habitation, existing springs, pastures etc will be avoided, (iv) its catchments should havebeen protected or under treatment; and (v) catchments area will be in the range of 500 and 1000ha. The micro-dam would be constructed using locally available materials and will havearrangements for spilling, impervious core walls, sluice gates, lined canals, etc. Largecatchments should be avoided as spillway designs would be expensive. Command area of amicro-dam may have some 150 to 200 beneficiaries and would also involve some sort ofcommunity-accepted land redistribution. Farmers affected due to submergence and ‘right ofway’ or ‘way leave’ must be provided land in the command area on priority basis.

5 Advantages of land levelling and irrigated agriculture will be demonstrated to WUAs under agricultural developmentcomponent.

34


94. Low Lift Pump Schemes: The low lift pump schemes would be located along riverbanks. Thepumps would be of low head, up to 10m and either diesel, solar or grid electricity operated.Pump stations could be permanent or portable based on the afflux conditions of flood in therivers. A total of 25 pump schemes are envisaged each covering some 2.5ha during dry season.Each pump scheme will have a group of 5 to 10 women beneficiaries, who would cultivatemarket-demanded vegetables or raise seed or tree nurseries. Source of water, proximity tomarket, women group agreeing to undertake the operations and maintenance of the pump, accessto inputs etc would be key criteria for selection. The pump scheme could be located within thecommand area or outside of it but within the same kebele. These pumps would be of low lift,centrifugal units of 3 to 5 HP pumps with short length of hose, say 50m, for facilitatingirrigation.

95. Shallow Wells: The shallow wells are more reliable than surface ponds as these are rechargedby rains. Productive and reliable wells can be sunk where favourable geologic formations exist.The shallow wells are targeted to provide irrigation for vegetable cultivation or seeds productionby women’s group. These wells would be hand-dug using locally available masons and locatedin the valley bottoms and flat terrains which have potential recharge. A well would be of 3 to3.5 m in diameter and excavated up to a depth ranging between 5 to 8m and protected either bystone lining or concrete. The wells would be constructed during the dry season when the watertable is deeper, and these are spaced at least 50 m apart. These would be located above thecommon inundation levels if any. Water is lifted either manually or using a treadle or powerpump. Each well will be shared by some 10 to 15 FHH households owning some 2 to 3ha in all.Preference would be given to women who are willing to use these wells for more productiveagriculture.

96. Water-harvesting Ponds: Series or networks of ponds are excavated or constructed to divertand regulate flood flow and avail irrigation water when and as required. The ponds are surfacetype either cut/fill or embankment but placed in a network to form a series. The size of eachpond in the series will range between 500 cubic meters up to 10,000 cubic meters. A pond willhave an approach channel to deliver water in to it and an outlet channel to carry excess water to anearby drain or a next pond, sealing surfaces (natural such as clay or synthetic, made of plasticsheets) and water lifting mechanism such as low head pumps or treadle pump as required.

97. Drip Irrigation Units: Family or house hold drip systems are available in the market with sizesranging from 50m2 up to 2500m2 which are modular in arrangement. This type of irrigationscheme has the distinct advantage of water saving with an irrigation efficiency of 95% for dripirrigation. The programme would provide support for installation of 200 m2 size drip irrigationon pilot basis for women’s group. Depending on reliability and availability of proper watersource, the activity can be scaled up after MTR. These schemes will be installed close tohabitats for ease of operations and maintenance. As the system is sensitive to water quality,reasonable care should be paid to it. The shallow wells could be the appropriate water sourcefrom the point of view of water quality. Household drip irrigation units would be provided forthe water shortage areas of the target regions with a view to conserving water and also reducinglabour for irrigation application and for the cultivation of vegetables, fruit crops and otherhorticulture crops. The facilities under the programme would be restricted to training and supplyof drip lines on matching contribution basis. The progress of the schemes would be reviewed atMTR, if found satisfactory, it can be up scaled.

B. Scheme Access Roads

98. Access roads to irrigation sites are an important link for marketing and input supply. WhilePASIDP will intervene at limited scale in improving the access roads through spot improvement,provision of culverts and ford crossings and limited road surfacing, the improvement andupgrading of these rural access roads will be linked to the ongoing URRAP (Ethiopian RuralTravel and Transport Programme). The road improvement activity is subject to the intended

35


communities or the kebele/woreda administration agreeing to shoulder the responsibility of theoperations and maintenance of the completed work. Only existing roads or road alignments willbe selected for improvement, and the selection will be based on the initial assessment carried byworeda in consultation with the concerned community.

C. Key Factors for Success

99. The following factors will determine the overall success of the implementation of thecomponent:

Good communication and flow of information between the user groups and the executingagencies;

Farmer motivation to ensure proactive response from village councils and user groups for theprogramme.

Formation of water user associations and according to them a legal status and involving thewomen’s groups.

Proper selection and identification of schemes, quality engineering surveys and design,proper specifications and bill of quantities for local bidding supported by quality supervision.

Availability of local contractors/local development partners/ enterprises and their ability torespond to the programme’s participatory approaches and work with the beneficiaries groups.

Ensure food security and create access to commercially viable markets for the cropsproduced.

Sustainable water shade development &EIA implementation in line with schemeconstruction.

D. Programme Interventions

100. PASIDP II will build a pipeline of irrigation schemes to be implemented during its lifetimeand the first years of the third phase. In order to enhance ownership, sustainability and market-oriented management, PASIDP II will adopt a fully participatory process for identification,feasibility, detailed design and construction of new irrigation schemes.

101. Under the small-scale irrigation development component, the programme will supportinterventions designed to improve the economic conditions of the target group through thefollowing activities:

Identification, selection and study (Prefeasibility & Feasibility Study) for, 130 new diversion schemes, 52 Pump Irrigation (Ground & Surface Water Source) schemes, 10 Spring development schemes 8 micro dam Schemes 10 Spate schemes Detail Design of

94 new diversion schemes, 42 Pump Irrigation (Ground & Surface Water Source) schemes, 10 Spring development schemes 8 micro dam Schemes 10 Spate schemes

Formation of 150 IWUA for newly developed infrastructure and 60 IWUA for phase III &strengthening of PASIDP I schemes,

Quality Assurance for 210 small scale irrigation schemes 12 scheme base climate analysis Construction of community schemes of,

101 new diversion, 25 Pump Irrigation (Ground & Surface Water Source), 10 Spring development, 4 micro dam, and 10 Spates

Construction of 630 water–harvesting structures /individual and household ponds)

36


Household schemes consisting of 300 shallow hand-dug wells, Facilities for installation of 300 low lift pump schemes, Installation of 800 drip irrigation units; Facilities for construction of 150 IWUA office-buildings cum stores. Construction of 4 market shade;

102. The cost estimates will be based on the feasibility studies and subsequent detailed design.A nominal ceiling of USD 5,500 per ha has been proposed. The cost estimates assumed a 5%contribution by IWUA members in the form of materials and labour and these will be discussedwith the community and agreed at design stage. During the operations and maintenance phase,the labour requirement will be about 6 persons-days per household and these are not accountedfor in the cost estimates. All labour input to scheme construction and O&M will be inproportion to the total land held by a household within a scheme. For each scheme, thebeneficiary contribution will be estimated and ascertained during detailed design phase and thesewill be agreed to.

103. Executing Agencies: The Minister of State for Natural Resources and the MoANR will beresponsible for coordinating implementation with support from the Directorate of Small ScaleIrrigation for the PASIDP II. The regional Bureau of Agriculture/Agriculture and NaturalResource Development/Oromia Irrigation Development Authority in the respective regions ofTigrai, Amhara, SNNPR and Oromia will be the executing agencies and responsible forplanning, formulation, design, construction and supervision and monitoring and evaluation.Scheme selection, initiation, planning, formulation and identification will be the responsibility ofthe concerned Zone administration, Woreda administration, and at the grassroots level, thekebele administration; and the respective water user groups and associations will be responsiblefor scheme construction and operations and maintenance.

104. The Irrigation Water Users Associations (IWUAs) or Groups, which are the ultimateowners and operators of the irrigation schemes, will receive technical support from the Bureausof Water/Agriculture/Irrigation organization for irrigation extension, water management andmaintenance.

TABLE 7: MILESTONES

SchemeDevelopmentPhase

Responsible Agency MILESTONES

Schemeinitiation,formulation,Identification

Woreda, Zone, Regional BoWRD/BoWI D/BoWI&ED/ OIDA& BoA/BoANRin consultation with respective kebele

Signed Applications from thewater user group are received

Reconnaissancestudy

Regional, Zonal& Woreda water/Agriculture/Irrigation organization, kebele, beneficiaries

Technical, social,environmental aspectsvalidated; community andWUG/Asensitised; and consensusreached

Feasibility study Regional, Zonal/Woreda Water/Agriculture/IrrigationOrganization

Review of the projectconform to the selectioncriteria i.e. technical, social,environmental, financial andeconomical

Detail design Regional,Zonal/WoredaWater/agriculture/irrigationOrganizations in consultation with kebele andIWUA

Beneficiary labourcontribution discussed andagreed; bill of quantitiesexplained to user groups,scheme agreement signed

Implementation/Construction

Regional Zonal/WoredaWater/agricultural/irrigation

Works carried out as perdesign, specification & bill of

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SchemeDevelopmentPhase

Responsible Agency MILESTONES

Organization, Woreda office,IWUA and Federal Ministry of Agricultureand Natural Resource

quantity;Close supervision made bythe IWUA, woreda/ zone /region ;Payment verification of workand certificates by woreda/zone /region.

Handover/Provisional& Final/

Regional, Zonal / Woredawater/Agricultural/irrigationOrganization, beneficiaries

IWUA accorded legal status;O&M manual provided toIWUA; Scheme handed overto IWUA.

E. Implementation Procedures

105. Preparation of Technical Guidelines: In order to ensure quality at all level, a technicalmanual will be prepared by Ministry of Agriculture and Natural Resource with collaboration ofthe respective Regional BoWRD/BoWI D/ BoWI&ED/ OIDA, which would providecomprehensive guidelines to all stakeholders. These guidelines would be based on GoEapproved standards and norms but with specific reference to the PASIDP II. The manual wouldalso contain procedures for obtaining EIA clearance where required for any programme activity.Copies of these guidelines would be made available to all stakeholders including the selectedWoreda for reference. The guidelines will deal all technical, engineering, social, agricultural,financial and economic aspects relating to the development of small-scale irrigation usingparticipatory approaches.

106. Initial Steps and Briefings: To start with, the Regional PCMUs will invite all stake holdsat all level for a sensitising workshop cum meeting at the respective regional headquarters. Inthis workshop, the PASIDP II approach and methodology and also its facilities are explained tothe all stake holders and detailed guidelines are provided for initiating further action.

107. The Woreda Agricultural office, will in turn, call a meeting of all Development Agents(DAs) under their jurisdiction, in particular, the DAs from theselected PASIDP-I scheme areasand also DAs from the possible potential sites, and provide them with the PASIDP-II details andfacilities available and urging them to pass on the message to their respective kebeleadministration. If there are more than one DA in a kebele, the Woreda Agricultural office willnominate one of them with profession irrigation and related expertto be the scheme focal point atkebele level. The DAs, then contact their respective kebele and explain the selected scheme onPASIDP-I and possible potential sites PASIDP- II facilities to the kebele administration andencourage them to forward their request for scheme assistance on the basis of the establishedselection criteria and other norms for participation.

108. Preliminary Selection of Sites: Preliminary selection of schemes will be made by theDAs and Woreda Agricultural office based on written request from the kebele or villagecommunities or existing water user groups or through PRA. Using the scheme selection criteria,these sites will be taken up for preliminary investigation by the Woreda technical staff. If thepreliminary technical investigations proved encouraging, the regional PCMU, on the advice ofthe Woreda Agricultural office, will refer them to BoWRD/BoWI D/ BoWI&ED/ OIDA fordetailed survey and investigations. A comprehensive checklist as provided in Section-H will beused to evaluate the socio-economic status of each scheme. This will be validated by a team ofnational consultants.

109. Formation of IWUA: With the support of locally available NGO, woreda and kebeleofficials and involving the respective DA, efforts will be made to form and organize theIrrigation water user association without affecting their traditional values but on the regionalpatterns of water management practices. The proposed organizational structure of the IWUA

38


could be allowed to retain the traditional, indigenous structure, and the bylaws will be built onthese local values and indigenous wisdom. The respective legitimate institution of the regions,in particular, the Cooperative Promotion Office will be involved to prepare draft bylaws andrules and regulations for the formation of IWUAs will be prepared beforehand by the respectiveRegions using the models, which were used earlier or modified as proposed. No constructionactivity will commence until the IWUA is in place and IWUA has agreed in writing that it iswilling to shoulder the responsibility of O&M once the scheme was completed.

110. Sensitizing IWUA: Sensitizing IWUA with regard to their roles and functions duringscheme planning, construction and operations and maintenance will be necessary for thesustainability of the schemes. The sensitization will be ensured by involving local NGOs or anyother organizations including the private sector agencies, which have proven skills and capacity.

111. IWUA Scheme Committee: After the Request Letter has been received from the usergroups, various activities relating to the scheme and organization of the IWUA will start. Thefirst activity will be a general farmers’ meeting to elect a Scheme Committee which will workwith Woreda staff and DA throughout the preparation and implementation period. Otheractivities that are started at this stage will include: Preparation of a list of the farmers who have plots in the proposed command area and the

average plot size; Assessment of the number of large land owners and their estimated land holding; Initial savings by farmers to set aside money for future scheme maintenance; Identification of potential beneficiaries for plot re-allocation through individual request

forms and with the consent of the community; and Assessment of whether scheme development will include bringing unallocated land into

production, and if not, whether there are possibilities to reallocate some plots to rainfedfarmers and female-headed households who do not have access to irrigated land in theproposed command area.

112. IWUA Training: Training will be organized for all IWUA/ scheme members. The trainingwill cover farmers’ rights and responsibilities, scheme constitution and by-laws, schemeorganization and management, in particular, the leadership training. The IWUA, with theassistance of water and irrigation office, DA and Woreda cooperative staff will prepare a draftversion of an organizational structure for the scheme, a constitution and by-laws. The Woredastaff will provide a standard outline of by-laws which will be discussed and modified duringvarious meetings with the IWUA Scheme Committee to meet the specific requirements of thearea.

113. Detailed Surveys: The study team consisting of engineer, agronomist, hydrologist etc willcarry out detailed field surveys and technical investigations and on the basis of survey; theBoWRD/BoWI D/ BoWI&ED/ OIDA study team will send the reports to Regional PCU foradministrative approval. The Regional PCMU will communicate its decision and approval toBoWRD/BoWID/ BoWI&ED/ OIDA, Woreda focal person and federal PCMU and copies ofcommunication to kebele administration. Basic social and agricultural data, demography andkebele level information will be collected by DA with the help of kebele administration. TheIWUA committee will involve themselves fully during field surveys and design. Detailedinvestigation regarding soil, agriculture, livestock, marketing etc would be carried out by otherconcerned experts from BoANR and respective zone Woredas.

114. Design Review: Before approval, the full feasibility reports including technical design andall key assumptions in formulating a scheme will be reviewed by senior technical experts/consultants. Reports are later modified to incorporate their comments. Similarly, keyassumptions regarding agricultural plans, cropping patterns and crop yields etc will also besubject to review. The scheme’s overall environmental aspects would be reviewed and clearedby the Regional Environmental Authorities and where schemes need EIA, these will be carriedout separately. The scheme’s overall water shad aspects would be reviewed

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PASIDP II Scheme Development Stakeholders Sensitization Workshops atRegional Level

Focal persons, DAs & stakeholders workshops

DAs nominated &Woredas Action Plan

Selection of sites based on expressed Demandsfrom IWUAs/ WUGs/ beneficiaries

IWUA organized/ formed

Sensitizing IWUAs or WUGs

Detailed survey conducted by BoWRD/BoWI D/BoWI&ED/ OIDA

Design Review and consultation with IWUA

Selection of schemes for construction

Water use certificate arranged

Tender documents prepared and bids invited&awarded

Implementation agreement with IWUA

Procurement of materials

Labour & materials requirement agreedwith IWUA

Joint inspection by IWUA &Woreda

Completed scheme handed over to IWUA under Agreement

Preparation of ADP& Watershade mang’t Plan

Farmers Training on ADP&WSM

Production levels & costEstimates provided

ADP contains croppingPatterns, Demonstrations,

training & FRGs

Construction work Commences ADP submitted &implemented along with

Scheme developmentMarket Linkageimplementation

Preparation of Technical Manual by FPCMU incollaboration with RPCMU

IWUA Reulations

Guide lines issued at National andRegional Levels

Model IWUA bylaws are ready

Stakeholders Workshops

PASIDP II approach

PASIDP II facilities

Selection criteria

IWUA formation & sensitization

Participatory procedures

Roles & responsibilities

Training facilities

TA facilities

M&EProcess

Marketing Linkage &Dev’t

WatershadeMang’t

Env’tal issues

IWUA participation in design &construction

Land use certificates (first level)issued

Existing PASIDP I initiallyidentified for support

IWUA/WUG makes formalrequests for Market & AD

service facilities

IWUA/WUG committeestrengthening

IWUA refreshment training

BOQ explained to IWUA &agreement reached

List of beneficiaries made

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115. Consultation with IWUA: When indicative plans and scheme estimates are ready, thesewould be further discussed with the IWUA and the kebele administrations in order to obtaintheir views and opinion on the proposed arrangement for the implementation of the scheme. Anymodifications needed and the suggestions made by the IWUA would be incorporated in the planand estimates. At this point of time, the IWUA would also be intimated about their participationand mode and type of participation and their arrangements for collaboration.

116. Selection of Scheme Facilitator: The kebele administration or the IWUA or the wateruser group will be encouraged to select one among them as a group leader or scheme facilitator.Through him/her, the beneficiaries will be motivated to set up construction committees. Inselecting the facilitator/s, the social values and practices would be respected. At no point oftime, any action that may destroy the local customs and initiatives in resources management andprotection will be pursued. In this matter, the kebele administration will be intensivelyconsulted.

117. Water Use Right Certificates: On the basis of an application made by the Irrigationwater user group or water user association, the Woreda will arrange for specific water use permitor rights in favour of the water user association. The user rights will ensure exclusive rights tothe IWUA and any water use disputes will be addressed on the basis of this user rights. The userright certificates will be issued by the BoWRD/BoWI D/ BoWI&ED on the basis of catchmentsarea plan, for which facilities have been provided under the PASIDP II.

118. Preparation of Tender Documents: The BoWRD/BoWI D/ BoWI&ED/ OIDA, based onthe original or modified plans will prepare estimates and tender document. All data andinformation relating to a scheme will be compiled in the form of a scheme profile and copieswill be made available to IFADwith hard and soft copy, while seeking approval for theimplementation of the proposed schemes.

119. Invitation of Bids: Tender for Study& design and construction of new irrigation schemeswill be invited by the respective Regional BoWRD/BoWI D/ BoWI&ED/ OIDA with assistanceof PCMU. All bids will be evaluated and ranked by the BoWRD/BoWI D/ BoWI&ED/ OIDA& technical experts from RPCMU and the details will be sent to PCMU for further action. Thework will be awarded to successful contractors subject to satisfactory compliance of allconditions and procedures and processes that are in force. The IWUA will be associated in allthese processes.

120. Scheme Implementation Agreement: Before the commencement of construction, anagreement will be made between IWUA, and the Woreda indicating clearly the role andresponsibilities and obligations of all parties. The agreement will also indicate a tentative timeframe for completion of activities and IWUA’s specific role. The results of the survey anddesign activities, and the work that has been done by the IWUA Scheme Committee on defininga scheme organization, a constitution and by-laws, would form the basis for the schemeImplementation Agreement, which include the following aspects:

An overview of all the earthworks and structures to be included in scheme construction; The division of responsibilities during implementation between the Woreda and farmers

and details regarding free labour and materials to be provided by the water userassociations or groups;

The proposed implementation period and a schedule of activities for this period, includingtraining;

An outline of the scheme organization, draft constitution and by-laws of IWUA; Explanation of scheme ownership and procedures for handing over to IWUA; The results of the efforts to make benefits reach the target group, poorer farmers and

female-headed households through plot allocation, or other measures that farmers and thekebele may have agreed on with the programme.

This Implementation Agreement will be presented and discussed with IWUA farmerstogether with the proposed scheme organization, constitution and by-laws, in anAgreement Meeting as described before.

The Agreement will be mutually signed by the IWUA Scheme Committee, the Woreda

41


and kebele administration.

121. Listing of Beneficiaries: On the basis of the final map of the command area, listing of allbeneficiaries who are directly benefited by the scheme will be prepared. Efforts would be madefor possible re-allocation/ re-adjustment / re-distribution of surplus lands (no individualhousehold will hold more than 0.5ha of irrigable land within the command area) to the other rainfed farmers and FHHs. The list, as prepared by the kebele administration will be sent to Woredaagricultural office (focal person) for information and also for necessary formalization of theprocesses.

122. Land Certification: After land re-allocation, steps will be initiated for issuing the Firstlevel of land certificates to all beneficiaries. First Level of land certificate means, an ownershipcertificate issued in favor of the land user without any cadaster details, but ownership boundariesand land area are mentioned. This process will be completed before the scheme construction iscompleted.

123. Procurement /Construction Procedures: Construction will be carried out through acombination of force account, LCB, NCB and direct contract procedures and the activities willaccordingly be packaged to permit effective supervision and ensure participation by IWUA inconstruction. Small simple items can be entrusted to direct contract for construction such asexcavation of secondary canals, construction of simple on-farm structures etc.

124. IWUA Participation in Construction: In all new schemes using LCB and NCBprocurement procedures, clear division of role and responsibilities between the participatingbeneficiaries/ farmers and Woreda will be made in the agreement to be signed between theWoreda and IWUA. The following will be the typical activities to be carried out by the IWUAand beneficiaries:

TABLE 8: ACTIVITIES TO BE CARRIED OUT BY THE IWUA AND BENEFICIARIES

ActivityDetails to be indicated

in the SchemeAgreement

Responsibility

Supply of local constructionmaterials

Quantity to be specified IWUA

Excavation of CanalsCart away and backfillSite clearing

Quantity to be specifiedQuantity to be specifiedQuantity to be specified

IWUAIWUAIWUA

Excavation for on-farm structures Quantity to be specified IWUALand development Area to be developed IWUA individual members

NB: -The above listed activates are taken in to consideration based on the workable by users

125. Labour and Machinery Requirement: Unskilled labour required for schemeconstruction will be estimated for each activity and a clear distinction would be made betweenfree-labour that is to be provided by the IWUA and the wage-labour. These details will beexplained to the IWUA and their agreements obtained. The PASIDP II will give preference tolabour intensive construction methods as this enhances the participation. The constructionschedule will be based on the availability of local labour and accordingly, the schemeconstruction schedule will be rescheduled.

126. Implementation Supervision: Implementation supervision and quality control would bethe responsibility of BoWRD/BoWI D/ BoWI&ED/ OIDA/FPCMU &RPCMU and the day today management and control would vest with the site supervisor site irrigation technicians. Inorder to improve quality and ensure sustainability of schemes, overall implementationsupervision may / will be outsourced. Completed works and scheme will be under the directobservation of the concerned Woreda, for at least for one crop season for test-checking theoperational efficiency and performance of the scheme. Defects, if any, will be repaired bycontractors or enterprise. A5% of the payment due to the contractor or the constructionenterprise will be held till completion of all work satisfactory to the IWUA and kebele. Workcompletion will be certified for payment by the supervising woreda/ zone /region experts.The

42


kebele administration and IWUA chairperson will participate in construction supervision andphysical measurements.

127. Second Round of Training to IWUAs: The IWUA will be provided training on aspectsrelating to leadership, operation and maintenance of the irrigation system, general farmingtraining, water management practices, principles of cost recovery and systems of charging forservices and cash collections for attending to specific repairs, operation of headwork shutters,sluices, methods of silt clearing using stream flows, book-keeping etc. A detailed O&M manualwill be developed by BoWRD/BoWI D/ BoWI&ED/ OIDAusing the facilities available underthe programme and copies will be provided to each IWUA. Leadership training will beorganized for the IWUA Scheme Committee and following their leadership training, selectedcommittee members will be taken on study visits to similar projects in other parts of Ethiopia.The O&M training for water masters, water guards, block leaders and committee members willstart towards the end of the scheme construction and continue during the first season when thescheme becomes operational.

128. The process of organizational development in the scheme will be rounded off with theapproval of the scheme by-laws by the Woreda council. Repeat general meeting will be heldduring when farmers would elect their IWUA Committee, by either confirming the SchemeCommittee or by electing new committee members, depending on the performance duringpreparation and implementation.

129. Joint Inspection of Scheme: Joint inspection of the completed works will be undertakenby IWUA, DA and Woreda BoWRD/BoWI D/ BoWI&ED/ OIDA and RPCMU staff using the“walk through” method. This includes inspection of the system during the first season and anydeficiencies noted, will be rectified before the scheme handover.

130. Agricultural Development Plans: At the time of preparation of detailed design,arrangements will be made for the preparation of an agricultural development plan for eachscheme. The ADP will have provision of various facilities under the PASIDP II so as to initiateappropriate actions such as setting up of farmer research groups, crop trials and demonstrations,seed production demonstrations, composting and above all irrigation agronomy etc. No schemewill be approved for construction without appropriate agricultural development plan for thescheme.

131. Handing over of Completed Schemes: After satisfactory completion of a scheme, it willbe turned over to the IWUA for regular operations and maintenance under an agreement to besigned between the Woreda, kebele administration and IWUA. Database of all schemesidentified, selected, designed, approved and constructed will be maintained by the respectiveRegions and also at the FPCMU level.

132. Construction of Group Schemes: Planning for the construction of irrigation wells couldbe carried out simultaneously with the preparations for the diversion schemes. Each dug-wellwill be managed by a committee preferably of women. Beneficiaries’ contribution could includefencing of the vegetable plots, provide construction materials and feeding the construction dailylabor. The Woreda will involve /invite the Woreda/Zone /Region agronomist and irrigationtechnician for planning, design and construction supervision. The Woreda will assume an overallcoordinating and supervisory role. The Woreda will, through the regional PCMUs, beresponsible for arranging the construction materials such as cement, steel moulds for forming theconcrete rings, the manual pump, transport to ferry materials, etc. will be provided by theprogramme. The Woreda/Zone /Region engineer and geologist will carry out hydro geologicalsurveys, design and location of sites for well-sinking. The beneficiary’s contribution couldinclude collecting of materials, loading, off-loading and digging under supervision of atechnician from Water Department. The other contribution from the villagers will be the castingof the concrete rings for lining and cover slab and they will also assist with the lowering of therings in the well. Similar procedures will be adopted for the design and construction of waterharvesting ponds and low lift pump schemes. The initial planning and detailed design will beprovided by the BoWRD/BoWI D/ BoWI&ED/ OIDA for the recommended sites and locations.Scheme construction and implementation will be the responsibility of BoA/ BoANR.

43


DAs, Kebele & Dev’tpartners

BoWRD/BoWID/BoWI&ED/ OIDA

Eligibility criteria;water resources, landtenure, engineering &economic viability

Apply EligibilityCriteria for selection

Request for PASIDP II facilitiesreceived from WUG

Preliminary assessment by teamBoWRD/BoWID/ BoWI&ED/ OIDA

Formation of farmers’Representative group

Participatory Agreement for development

Technical and socio-economic feasibility assessment in consultationwith farmers

Multi-disciplinary teamof BoWRD/BoWID/

BoWI&ED/ OIDA

Surveys

Design of options

Presentation to farmers

Selection & approval ofoption

Final Design & Review

Apply for water permit

Final presentation

Approval by IWUA

Approval by RPCMU

Organization

Development

Scheme

Infrastructure

Formation/ TrainingIWUA

Design IrrigationSystem

Application forRegistration

Land use certificatesissued

Preparation of Agricultural Development Plan

Training Modules: Farmer Organization

Type of Organization

Understanding IWUA

Legal Farm work

Preparation of By-laws

Roles/Responsibilities

EIA

DA/NGO, Dev’tpartners & Kebele

Woreda ARD/OIDA

Training Modules:

General Management

Leadership

Understanding bylaws

Finance

Record Keeping

Contract Management

Irrigation, drainagepractices;

Crop production

Water management

System O&M

IWUA participation, roles &responsibilities:

Involvement in tenders

Contractors Works Schedule

Monitoring Works Progress

Final Acceptance of works

Modalities of executingPhysical Works:

NCB/Contractor

Force account procedure

Empowering IWUA ConstructionWorks

OperationaliseIWUA Activities

Joint verification ofworks

Scheme

Transfer Agreement

Figure 3: IWUA Formation Process in Schemes

44


133. Installation of Drip Systems: Drip systems in large sizes are available and these could beprocured and supplied to users. The suppliers also provide required training on installation,operations and maintenance of the drip systems and also the irrigation practices includingselection of crops etc. In selecting sites, care should be taken to ensure availability and quality ofwater.

134. Operations and Maintenance: Routine and regular maintenance of the irrigation systemsand other facilities will be responsibilities of iwuas for irrigation systems, women’s groups forshallow, hand-dug wells and village water groups and women for domestic water wells andpumps. In addition to free-labour, iwuas have to collect cash for attending special repair andmaintenance work, in particular payment for skilled labour, purchase of materials such as steel,gabion and cement. IWUA will, during the operation phase, decide the amount of money to becollected from each beneficiary farmer. Indicative estimates show 20 labour-day/ha/years willbe required for the flow diversion scheme. The periodic maintenance of all communal schemes,estimated at 2% of the investment, will be responsibility of the regions through the Woredaadministrations. All irrigation schemes that are turned over to iwuas for operations andmaintenance will be periodically inspected by the Woreda staff and deficiencies if any, will berectified. This and the responsibilities of iwuas will be incorporated into the scheme turn overAgreement.

TABLE 9: CHECKLISTS FOR VALIDATION OF SCHEME SELECTION

1.Name of Scheme:

2. Location: Kebele Woreda/Zone Region

3.Category of Scheme: Community Group Individual

4.Types ofScheme:

Waterharvesting

Diversion Springs Spate Micro- Dam others

Traditional/upgradeRehabilitation/ExpansionNew

5.Access to Scheme Distance Road Conditions CommentsMarket to KebeleKebele to scheme siteScheme site to feederroad

6. Population: Male: Female: Total:

7.Households:Number of HHs Total: FHHs: Landless HH:Agricultural HHs XLivestock HHsNumber of HHsreceiving Food relief

8. Land use: Upland/ (ha) Lowland (ha) Irrigated land (ha)

9. Crops grown Total Crop Area Average Yield/ha Production sold

45


in the Scheme area (ha) (kg/ha) (% of total production)and market price/kg

10. Proposed / existingScheme:

Area Ha Number of Beneficiaries Number of FHHs

11. WatershedTreatment:

Watershed areatreated(ha)

Watershed area is undertreatment(ha)

Under Planningstage(ha)

12. Source ofwater for theproposedscheme:

PerennialStream flow

Seasonalstream flow/

Springs Ground water Run off

Present UseWaterassessmentdone

Yes/No Yes/No Yes/No Yes/No Yes/No

If, No, when theassessment willbe made

13. Request for schemedevelopment receivedfrom….

The Community Kebele/ Woreda WUG/ women’s group

Date of ReceiptDetails of request(please attach a copy ofthe request letter receivedfrom the community)

14. Community iswilling to….

a.) Organize IWUAand IWUA committee.

b). Contribute labour &materials duringconstruction.

c). Assumeresponsibility to O&Mafter schemecompletion.

d). Include otherfarmers under schemeafter improvement.

e). Undergo training. f). Include womenmembers on theircommittee.

g). Execute schemeimplementationAgreement.

h). Execute schememaintenance Agreement.

i). Supervision ofconstruction

j). Verify jointly thefacilities completedunder the PASIDP.

k). Abide by waterallocation principles andadopt regulations forIWUA.

l). undertake landdevelopment beforescheme is complete.

15. First level landcertificates issued tobeneficiaries:

Yes /No If, yes Number offarmers issuedcertificates

If, No, likely time framefor issuing landcertificates

16. Availability of Number of labour Number of Labour Number of Labour

46


labour by season: available during Mainseason:

available during Secondseason:

available in Otherseasons:

Average Labour wages ETB: per day ETB: per day ETB: per day

17. Whether DADeployed in the kebele:

Yes/No. If yes, since when How many DAs

18. Name of DA allocated scheme responsibility:

19. Agricultural Development Plan: Prepared/under preparation.Staff involved in ADP PreparationTime spent in field and with farmers

20. Persons Met Kebele/Community/DA

Woreda/ Zone Region

Name & Designation

Date of meetingName(Engineer)

Name (Sociologist)

Signature SignatureDate Date

F. Outline Format for the Field Validation Report

Report No: AM/OR/SN/TG/100Region/s Visited: Amhara /Oromia /SNNPR/TigraiDate of Visit:

INTRODUCTION[Indicate the purpose of visit, schemes visited, and people met and discussed; methodology etc…]TASKS CARRIED OUT[Summarise activities carried out in the field in terms of discussions, meetings, consultation, validation,cross-checking of data, collection of additional reports and information, wrap up meeting held with theregions, final outcome or results of visit etc]

LIST OF SCHEMES VISITED AND STATUS[List all scheme sites visited, and their current status]

KEY RECOMMENDATIONS[Summarise specific recommendations for each scheme separately in clear terms; and also indicate furthersteps and follow up activities to be carried out and with clear time frame and responsible implementingunits]

ATTACHMENTS

1. [Attach completed and signed checklist as in Annex-II for each scheme]2. [Any other information or data relevant to schemes]

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VI. INVESTMENT IN CAPACITY FOR SUSTAINABLE AGRICULTURE

A. Component objective

135. The Component’s expected outcome is “farmers have market-oriented skills and capacityfor sustainable agriculture using irrigation technology”. The scope exists in the programmeWoreda to provide enhanced small-scale irrigation schemes and other water storageinfrastructure, thus reducing risks of crop failure and livestock mortality.

136. There is also scope and need for improved watershed management, both to protect theirrigation schemes and to provide for improved productivity and incomes from watershedsadjacent to and contiguous with irrigation schemes. This will: Reduce farmers' exposure to variability in crop and livestock yields and therefore to food

insecurity, especially in the more remote, disadvantaged and poorer areas; and Raise agricultural production and rural incomes where crop diversification and market

oriented agriculture can be promoted and Attract investment to protect degraded upper catchments.

137. Key Factors for Success: Following factors will be the key determinants in ensuring theoverall success of the component implementation: Scope of introducing new technologies exists Support from Woreda and kebele councils Availability of the services of trained DAs for each scheme Research stations support the programme activities Fair supply of water for irrigation and sustaining crop yields under new technology Success of initial farm demonstrations and farmers response Access to finance to enable improved productivity Access to markets and conditions favouring marketing of produce Community response and support from the district councils for the road construction

activities Interest from women’s groups and availability of seedlings plantings Proper arrangement for training to village communities

138. Component Activities: PASDIP II will implement an integrated and participatoryagricultural development sub-programme, which includes the following four sub-components,namely: Improved Agricultural Extension Services. This sub-component will enhance the

productivity and profitability of irrigated agriculture through strengthened agriculturalsupport services, including improving the capacity of the extension system, strengtheningfarmers’ training centres (FTCs), establishing farmer research groups (FRGs) anddemonstrations. It also promotes pro-poor approaches to technology transfer;

FTCs - Farmers Training Centers (FTCs) are the institutions that were established in peasantassociations throughout the country to serve as training and information centers. Hence, theFTCs Should serve its purpose fully. Should be furnished and equipped with necessary materials. It should have enough demonstration fields and must serve farmers for practical

training on this demonstration sites.

FRGs – Refers to farmers who are willingly form groups to try out but value-addingagricultural or natural resource management practices to solve immediate farm problems,using their own knowledge and wisdom but also through appropriation of researchers’knowledge. The FRGs serves in identifying the current challenges farmers are facing inaccessing technology that helps them to maximize their benefits from agriculturaldevelopment activities.

Demonstrations- Demonstrations on farmers’ plots are one of the most important tools tointroduce technologies to new communities and command areas. Since the farmers are the

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ones who are entitled to the harvest of the demonstration fields, they commonly intend toadd additional inputs on control plots so that they do not loose from the treatment effects.

Land and Crop Management. This sub-component will promote Integrated Soil FertilityManagement (ISFM), Integrated Pest Management (IPM), and soil and water conservationactivities in the command areas and adjacent upper catchments.

Seed Systems. This sub-component will establish on innovative seed production anddelivery systems, by supporting community nurseries and creating farmer seed groups tolocally produce seeds of vegetables and fruit trees that are in short supply in the Woreda;

Home Garden Development. This sub-component will be introduced in order to enhancethe income, food security and nutrition of rural women through increasing thediversification and intensification of home gardens.

Post-harvest handling and nutrition. This sub component will include pre harvestagronomic practices and post-harvest handling (harvesting, transporting, sorting andgrading, packaging, small agro- processing and storage). Vegetable and fruit crops are veryimportant source of nutrition to a country like Ethiopia where the population experiencesmalnutrition due to feeding habits depending on cereal crops. Its primary contribution issolving the health problem through providing vitamins, minerals, and hence improving thenutritional quality of the family diet and thus contributes to food self-sufficiency. Post harvest technologies

Potato lifters Harvesting boxes Improved animal drawn carts Cool storages

Grading and sorting methods Packaging Small agro-processing (for potato, tomato and onion) Simple preservation methods Marketing

Selection of marketable products Selling before production Produce high quality production in quantity Transportation facilities Market information and linking producers with consumer associations.

Nutrition – In most rural areas of the country, the nutritional requirement for human beingsat different age level is not fulfilled even though the farmers have enough production fromtheir farm. This issue is more serious mostly on children and women due to differentreasons. One of the reasons is the low level of awareness and knowhow of preparation andutilization of vegetable crops that the farmers produce. This can be solved by creatingawareness and effective practical training (demonstration) to women on how to prepare andutilize vegetable products for home consumption for themselves and the family at all.

TABLE 10: AGRICULTURAL DEVELOPMENT ACTIVITIES THAT SHOULD BE CONDUCTED IN EACH SSI SCHEMES

No Component/activities Amount per scheme Remarks1 Agricultural Support Service

1.1 Agricultural plan preparation One per scheme

1.2 FRGs Establishing main group 2 per schemeMember of FRG per Group 20-25 person

Plot size of each FRG 20m x 20m10mx10m onsmall farm

1.3 On farm demonstration establishment 2Plot size of each demonstration 20m x 20m 10mx10m on

small farm1.4 FTC equipment provided and furnishing 1 FTC per schemekebele

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No Component/activities Amount per scheme RemarksField day/scheme/year 1time

2 Seed system2.1 Seed production demonstration establishing 10 per scheme

Plot size for seed production/individual 20m x 20m 10mx10m onsmall farm2.2 Communal nursery establishment (vegetable, Fruit

and Forage)1 per scheme (> 0.5ha)3 Women Home Garden Development

3.1 Home Garden Development Demonstration 10 per schemeGroup size/members 10Plot size 10m x 10m

3.2 Fuel saving stoves producing mould provided 2 perschemeGroup size/members 10

4 Trainings on land and crop management4.1 Improved agricultural practice, ISFM, IWM & IPM Number5 Post -harvest handling & Nutrition

5.1 Post-harvest materials provided for schemes (set) 1 per schemeLike plasticboxes

5.2Provision of Small scale Agro-processingtechnologies/devices (potato, tomato, onion) forgroups

2 per schemes

For home andlocal markets

5.3 Training on nutrition (demonstration) 10 per scheme

* The above mentioned agricultural development (AD) components would be implemented for twoconsecutive years within each scheme.

139. Implementation Arrangements: At the regional level, the RPCMU will coordinate theprogramme under the guidance of the RSC. All activities related to the implementation of theagricultural development component include; preparing and consolidating the regional annualwork plan and budget (AWPB) pertaining to the component; and, creating linkages with nationaland regional research institutions, other IFAD funded programmes such as RUFIP, regionalProductive Safety-Net programme, environmental protection and watershed managementprojects and other programmes of relevance to PASIDP II. The Regional Bureau of Agriculturewill provide technical review and backstopping for the proper implementation of theprogramme. Regional research institutes with close interaction with extension will implement onfarm research through FRGs and provide technical input and support.

140. Zonal offices participation in implementation should be considered. Zonal focal personshould be assigned to coordinate the whole program activities and the team of subject matterspecialists (technical committee) from concerned offices should technically assist the programactivities accordingly at their respective woredas and schemes.

141. At the Woreda level, the office of Agriculture through the assigned focal person/WoredaCoordinator will coordinate all activities related to the component. The Woreda agronomist, thesoil and water conservation, the livestock and gender specialists will prepare AWPB in closeinteraction with the DAs. The Woreda Office subject matter specialists will provide technicalbackstopping at the scheme level through field visits, for at least 20 days per year.

142. At the Kebele level, Assigned irrigation DA in collaboration with DAs(crop, livestockand natural resource specialists) will be responsible for the implementation of the programme atthe kebele level. They will identify farmers’ needs through PRA and propose activities andrelated annual work plan and budget to the Woreda Office. The PA leader will be sensitised togive political support to the scheme activities and actors.

143. Agricultural Development Plan The current agricultural system in the new schemes iscommonly practicing an extensive rain-fed agriculture, which is prone to weather shocks, attractlimited inputs, guided by low-input low-output principles, and prone to food insecurity and

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environmental degradation. Designing an integrated scheme development plan for irrigatedAgriculture will strengthen the agricultural service in PASIDP II.

144. The Woreda experts will guide the planning process with back stopping from regionalexperts of the respective bureaus of agriculture and rural development, cooperatives and water.Each scheme is expected to include a detailed and step-wise agricultural development plan in thecommand area. This would be tailored to the agro-climatic conditions of the area, the farm sizesinvolved, marketing conditions, local priorities of communities and Woreda and the level offood insecurity among participants.

145. Since transforming agriculture from extensive cereal farming to intensive market-orientedagriculture demands the creation of a strong local capacity and commitment, there will need tobe a detailed training plan for communities, farmers, DAs and if necessary, at Woreda levelsubject matter specialists on knowledge gaps and scheme priorities. The plan will also includethe identification of all necessary production inputs, their source of supply and a schedule fortheir delivery to coincide with seasonal considerations and proposed scheme completion dates.The Agricultural Plan will include estimates of the current production levels in the commandarea for each enterprise and of the increases in production that can be expected from itsimplementation under improved irrigated conditions. The plan will include detailed costestimates and identification of the source of funding for each item – beneficiary or government.No irrigation scheme will be approved without an approved Agricultural Plan. The approval bythe PCMU for the construction of any irrigation scheme will be the trigger for the simultaneouscommencement of the implementation of the Agricultural Plan for the proposed scheme. Theinitial interventions will mainly involve training and capacity building for DAs and Woreda staffin key agricultural disciplines, followed by training of lead farmers across gender, social group,landscape, position and community hierarchy. Training of communities in modern agriculturalpractices, irrigation water management, integrated pest management and post harvestmanagement.

146. Training of communities/ FRG group members will be strengthened by active researchthrough establishment and promotion of farmers’ research groups. In the new schemes, thedesign of the cropping systems will follow consecutive steps: Community mapping of the command area to identify fertile and less fertile lands, erosion

prone fields from less erosion fields, rain-fed fields from irrigable fields, potential niches forgrowing trees, forages, fruit trees, communal and private plots for livestock keeping andother related niches;

Identify the most important food and market crops from the perspective of communities andlocal market demands to be integrated into home gardens and command areas. In this case,identification of enterprises should consider the food, feed and market value of theenterprise, its yield response to water and related inputs, experience and interest of thecommunity for the identified enterprises, water requirement of the enterprise and itsadaptability to the environment; and

Once the enterprise is identified, experts should locate the source of improved seed locallyor from other sources.

147. If a variety is new to the area, there is a need to establish a demonstration field wherecommunities can learn about the agronomic management and productivity of the crop. If it is acommon crop, slead farmers will be encouraged to grow the crop with improved water andnutrient management without going through formal demonstrations. Successful farms should beused as a learning ground for other community members. Since low soil fertility dictates yield asmuch as water, there is a need to identify key nutrients limiting crop yield in the area anddevelop a soil fertility management strategy for the various crops and landscape positions. Thereis a need to estimate the amount and type of seed required for key new crop enterprises and theirpotential sources even before the scheme is commenced. The plan will include the time, spaceand budget of training farmers in various agricultural disciplines. There is also a need to identifyand train local traders who could access market information and create market linkages withnearby towns and beyond. This process will help to establish a feedback mechanism so thatfarmers produce quality products fulfilling the market demands.

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B. Guidelines for the Preparation of ADP

148. Scope and Purpose of this Guideline: PASIDP will cover institutional, small scaleirrigation development and agricultural development subcomponents. In the appraisal report it isclearly indicated that the quality of planning process is one of the success factors for thePASIDP. In this respect, the agricultural development plan, which will be part of the feasibilitystudy, will form a base for sustainable agronomic practices, soil fertility and integrated pestmanagement (IPM). In PASIDP’s appraisal report it is indicated that Woreda and RegionalBoANR will undertake the agricultural development plan. The report also elaborated high turn-over of manpower and gaps in subject matter specialization. The purpose of this agriculturaldevelopment guideline is to facilitate and backstop this envisaged planning process.

149. Planning Tools and Procedures: Proper agricultural development planning depends onhuman element. With this perception PASIDP appraisal report indicated that agriculturalplanning starts from the bottom and involves beneficiaries at all level. The basic elementsincluded in the agricultural development planning process are agronomy, soil fertility, andlivestock and related farmers livelihood investigation. Therefore, it is important that the differentsectors involved interact and combine their skill with that of the community to come up withrealistic and integrated plan: capitalizing on the local knowledge. The point is, however,approaches that can ensure this participatory process. Experiences show that there are multitudesof participatory planning tools, if carefully followed that can yield good results. The followingtable indicates different participatory tools that can be applied in participatory agriculturaldevelopment planning for irrigation of different scales. Examples of participatory tools foragricultural development planning are given below.

TABLE 11: EXAMPLES OF PARTICIPATORY TOOLS FOR AGRICULTURAL DEVELOPMENT PLANNING

Name of the Tool 10 ha 100 to 250 haTransect walk 1X with group of 3-5 farmers 2X with group of 3-5

farmersIrrigation system map 1Xwith group of five to 7

farmers2Xwith group of 5-7 farmers

Crop rotation &seasonal calendar With five individual farmers With 15 individual farmersCost benefit analysis For two major crops 5 farmers

per cropFor 4 major crops(5 farmers per crop)

Organizational analysis For the whole scheme For the whole schemeRapid gender based differencesanalysis

1X with group of womenbeneficiaries

1 or 2X with group ofwomen beneficiariesdepending on number

Semi structured interview 1X 1XConstraint ranking 2X with male and female

group of 5-7 farmers)3X with ( group of 5-7farmers) near head, middle,tail & females

Multi criteria analysis 1Xwith group of 5-7 farmers 2X with group of 5-7farmers

Action plan formulation 1X with farmers &1X withlocal officials

2X with farmers&1X withlocal officials

150. Steps in ADP Planning: As suggested in the appraisal report, agricultural developmentplanning will be the tasks of the DAs, Woreda and Regional experts. A participatory agriculturaldevelopment planning requires the involvement and commitments of various disciplines. Withthis perspective, there should be a team of expertise comprising of (but not limited to): Irrigation agronomist responsible for overall team leadership and also addressing agronomic

and related components (e.g. livestock feed; soil fertility, compost making, IPM, farmerslivelihood description, community seed system establishment);

Natural resources expert who can handle soil survey, land use land cover, soil and waterconservation and household energy issues;

Socio-economist who can handle land use and administration issues and land redistribution

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issues; socioeconomic issues, cost benefit analysis; developing scenarios in cooperation withother expertise; and

Community facilitation expert who will contribute to the sensitization of the community atdifferent level, situation analysis to establish FRG, identification of the sources of differentseed ( in collaboration with agronomist) and also handles marketing issues;

151. Preparatory Phase: The preparatory work will involve: Mapping of the scheme area with clear indication of watershed and command area

component ( 1:50,000 Topographic map); Identifying administrative units within the catchments and also identify if the command area

is within one or more administrative units such as Kebele, Woreda and Regions (1:50,000Topographic map)

Identifying accessibility in dry and rainy season using the topo-maps and informationgathered;

Organizing materials that will assist for initial field observation and field survey ( e.g. GPS,altimeter, clinometers etc);

Reviewing, thoroughly, literature related to the project sites; and Identify tasks for DAs for the successive project related activities.

152. Issues in Irrigation Agronomy: Farming system is in state of spatial, temporal andhuman decision dynamics. It generally reflects ethno-cultural conditions, livelihoods of thecommunity, land use land cover of the area, constraints encountered including moisturedeficiency. Therefore, it is important that agricultural development planning includes detailedanalysis of farming system and agricultural practices of the project areas; Analysis of existing agricultural practices must be one of important elements in agricultural

development planning. This may include: land preparation, seed bed preparation, plantingmethods and date of planting, transplanting (if any especially for horticultural crops),thinning and pruning, irrigation (if there is traditional irrigation), application of fertilizerand/or manure, weeding time and methods, cultivation, disease and pest control, croprotation and cover crops, harvesting, threshing and winnowing, transport, storage (types ofstorage facilities used, storage capacity, storage disease and pests including cares to betaken), marketing and prices and harvest residues management etc.

Experiences indicated that existing settlement patterns and size of holding have directimpact on development of irrigation as they have implications on irrigation waterscheduling, land redistribution and distribution of water between the farms. Therefore it isimportant that the agricultural development plan considers analysis of the existing settlementpatterns;

In crop planning for irrigation, it is necessary to identify all types of potential crops, whichcan possibly grow in the project area (from climate, soil, and environmental aspects to makea wide ‘crop basket’;

After having a basket of crops on the desk, the next stage is selection of best crops andestablishing of cropping patterns for the proposed irrigation projects. The choice of cropsand cropping pattern for a proposed irrigation projects depends on: climate, availability ofwater both in quantity and quality, type and method of irrigation, socio-economic and policyand strategies, dietary habit and nutritional requirement of the local people;

Once crops have been selected, one or more cropping patterns must be proposed. Ifconditions are markedly different, in different parts of the project area, the proposal of morethan one cropping pattern may be justified;

The cropping pattern has to be divided into dry season and wet season in areas where thereis marked rainfall exists. All cropping patterns may be for irrigation or there may be acombination of irrigation on one part of the project and improved rain fed cropping onanother. The cropping patterns must clearly show what crops are grown, cropping intensityand percentage of each crop grown, when it is planted and when it is harvested;

Crop water requirement is one of the critical data requirement fro irrigation scheduling.Therefore, it is recommended to analyze agro-climatic parameters of the scheme area; toestablish cropping/intensity; investigation of soil water plant relationship for each crop; toestimate reference (crop) water requirement; to estimate crop water requirement; project

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irrigation interval; Having selected the best crops and adopting a combination of alternative cropping pattern,

the next critical step is to identify irrigated farm inputs and support service requirements.This includes estimating quantity required and identifying sources (organic and inorganicfertilizer, seeds, insecticide and herbicides);

Irrigation development is highly constrained by lack of strong linkage between extensionresearch and the farmers. In PASIDP, it is planned to involve FREGs in such activities withbackstopping from regional research centres. Therefore, FREGs research focus areas mustbe indicated in the agricultural development plan and this will be further discussed with thecommunity;

Having established cropping pattern and recommended irrigated farm inputs the next step inirrigation agricultural development planning is estimation of agricultural production andyield build up. Based on the data collected from different sources (e.g. nearby PASIDP I),possible increase in yield over the project life for each crop has to be estimated. This helpsin calculation of financial flow by the economists. The calculation of cost-benefit, FIRR andEIRR are also based on yield estimation and build up;

Then follows estimating crop budget (agronomist in collaboration with agro-economist), Inthe case of projects where crop production is the primary objective, to make financialanalysis it is compulsory to know the gross and net return of the “with’ and “without”project condition (see also exercises given in appraisal report Working Paper 3);

Based on the existing agronomic practices and recommendation of improved agriculturalpractice will be part of the agricultural development plan. This can be linked to theintegrated soil fertility management (ISFM) and Integrated Pest Management (IPM) sub-component of the project;

PASIDP-I has shown that pest is one of the major causes of post harvest looses of theharvested product. Therefore, agricultural planning has to take into consideration pestproblems, which might occur in the field as well at the post harvest in the storage.Methodologies for scouting and identification of weeds, diseases, pests, rodents, storagedisease and pests and corresponding control measures have to be planned by an irrigationagronomist. In section 3 of this report detail discussion will be made;

Agricultural development scenarios and options should give the choice of possible crop mixand farming enterprise available. Justifications for those scenarios and options have to be inplace and finally the most promising development options must be selected;

Current livestock population, heard compositions, sources of feed, watering points (degreeof scarcity of feed) and also alternative feed sourcing as related to the project activities(e.g. distribution of improved forage seeds & incorporating food-feed legumes in croppingpatterns etc..) must be assessed. Possibly, use this integration of livestock into irrigationsystems as elements of scenario analysis and also search for a means of enhancing thecomplementarities between the two major ecosystem components. Focus must be given inidentification of niches and also kind and quantities of forage seed/seedlings required.

153. Issues in Farmers’ Livelihood Analysis: The socioeconomic condition and farmerslivelihood strategies are directly linked to the agricultural planning. A good example, in thiscase, could be availability of labor and off farm activities in the project areas. This has strongimplication for types of crop to be considered in the cropping pattern. Thus, it is suggested thatthe agricultural planning considers the following points: Characterize the household profile including: land holding (irrigable and rain fed) total, and

percentage changes in last 10 years, main sources of livelihood (farming and non-farming)man/woman headed, farm family size, age structure, level of education;

Leased and shared cropped land, titles to land and water, fragmentation, social contexts, landsales, land prices;

Examine village settlement pattern (along the road), with house gardens, cluster, isolated,etc;

Identify potential marketing and production problems such as seed, fertilizer, credit, pestsand diseases and communicate this information to the agronomist;

Investigate existing sources of income and employment opportunities ( e.g. on and off the

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farm); Propose mechanisms and modality for irrigable land redistribution (if required); Identify storage, processing and marketing facilities in the project areas; Identify informal and formal (e.g. community based) institutions such as cooperatives,

farmer associations, other joint or group activities, changes over time and also comment onhow those institution can support the intervention process and outcomes;

Identify farm labor, employment, wage rates, systems of wage payment, changes over time; Investigate prices of major produce, their temporal and spatial variations, data on price

differentials between local and major markets; Costs of all inputs, yields and value of produce and estimate profitability of the intervention.

Note that this exercise can be linked to scenario analysis indicated in agronomy section; Develop clear picture on the disadvantaged groups and mechanisms of engaging them in the

different components (e.g. water harvesting and home garden development etc…).

154. Consulting the Communities and DAs: The reconnaissance phase is designed to supporta decision on whether to proceed with feasibility investigations and also validation of thepreplanning work which can lead to preparation for detail planning and also discussion withKebele with the Woreda technical team. This work must be undertaken by the Woreda technicalteam and DAs with strong backstopping from Regions. In view of this objective the followingactivities must be accomplished during the reconnaissance visits: Preliminary investigation of suitability of land with the soil scientist (natural resources with

good background of soil survey); Assessment of types of crops grown and yield obtained under current practices and

preliminary selection of crops to be grown and cropping pattern; Identify problems and constraints of existing agricultural development; Estimate preliminary crop water requirement and compare this against the results of

catchments plan (see irrigation development component); Prepare a reconnaissance level agricultural development proposal and comment on the need

for next stage studies (feasibility); Discuss with the community on the existing opportunities, role of the community, steps for

planning, and at the end of the meeting decide on approximate time schedule for carryingout the planning exercise;

At this stage, tentatively identify those key resources person to coordinate communitymembers or groups during the problem identification, socioeconomic and field survey; and

Prepare TOR and work plan for the next stage of the study (i.e. feasibility).

155. Establishing FREGs: Traditionally, agricultural research and extension have beendesigned to stimulate those development efforts and in earlier days attempts of seeking solutionto agricultural problems were mainly taken as mere responsibility of the professionals (Amede etal., 2004). Farmers were considered as passive recipient of technologies developed on theresearch stations. In early 1980s, farmer participatory research (FPR), participatory learning andaction, participatory technology development and etc... were used in rural developmentprograms (globally). Recently, other new participatory research and extension methodologiessuch as Client Oriented Research, Farmers Research and Extension Groups (FREG), FarmersField School (FFS), and Farmers Extension Group (FEG) have been developed and used at awider scale (Zerfu, 2005; Amede, 2004). Currently, in Ethiopia agricultural research system, aswell, client orientation of research is becoming a central issue, but procedures required toestablish FRG are not yet in place. In PASIDP appraisal report, it is stated that involvement offarmers, by way of FRGs, facilitates appropriate technology development verification, transferand adaptation. It is with this viewpoint that PASIDP planned FRGs group establishment asstrategy of implementing the agricultural development subcomponents. The major purposes canbe summarized as follow: To assist the beneficiaries to identify constraints and opportunities faced by male and

female farmers, engaging in scientific methods to generate appropriate and sustainableeconomic, social and technological responses;

Because formal research institutes have limited capacity to develop a multitude of locally-

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specific technology adaptations, to support the beneficiaries to assemble their social skillsand technologies which augment their productivity, their natural resources management,raise their incomes; and

Learning with spill over effects: technologies (e.g. seeds, etc) and skills are gradually sharedwith other community members through farmer-to-farmer exchanges (e.g. at FTC).

156. Focus Areas of FREGs. The following are the key focus areas under the FREGs: Identifying high yielding crop varieties responsive to water and other inputs, but also those

maturing early so as to release land for the next crop. Screening of legumes that could strivewell with residual moisture after the irrigated crop is removed, and also improve soil fertilityand serve as animal feed for dairy cows and calves;

Fertilizer trials such as compost and inorganic fertilizer application rate date; planting date,spacing, watering time and intervals;

Adaptability trials, demonstration of new technologies, seed multiplications; Effect of dual purpose legumes such as faba beans and soybeans on the succeeding and

companion crops like maize or sorghum; Various combination of organic and inorganic fertilizers and its effect on crop yield; Traditional pest control measures in comparison to pesticides; various combinations of pest

management practices and their effect on pest control; Forage development in backyard, under sowing and over sowing system (e.g. Vetches) with

cereals like barley, wheat and other small seeded crops; Intensive integration of fodder tree and shrubs in various spatial niches in the command

areas and upper catchments; Forage development in livestock exclusion areas, particularly area enclosure; forage on soil

conservation structures in arable areas, gullies and farm borders; Intensive use of crop residues and other by-products for animal feed vs soil fertility; Various

composting management systems and its effect on crop yield and soil fertility; Seed production, management of quality seed in the field and in the store, quality seed

indicators.

157. Issues in FREGs Establishment: In Ethiopia, there is no conventional procedure forestablishment of FRGs (Zerfu, 2005). In different literature it is indicated that FRGs initiationcan be internal and external. Internal initiation could happen when farmers themselves take self-initiation to organize themselves in groups to solve their common problems and request theresearch for technical help. In this case the group will be responsible for identification andprioritization of the problems. In case where the research and extension organizations take theinitiation to form FRGs research, extension is expected to provide a range of technologicaloptions to fit needs and interests of farmer. Such options can be best developed withparticipation and through knowledge sharing among stakeholders (Zerfu, 2005; Deressa andKelemework, 2005).

158. In PASIDP II, it is planned to initiate the idea from the researchers and DAs and clearlysensitize the community on the merit and demerit of the FREGs approaches. Such approachesare mentioned to be participatory and bottom up. In general, once the FREGs are formed it isadvisable to have group identification such as, name and type of activities/programs in which thegroup is engaged in and group category of sex, education and socio-economic status. Theprocess of FREGs formation involves various steps as summarized in Figure below and keyissues that should be addressed in managing and establishing FREGs are illustrated Table below.

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TABLE 12: KEY ISSUES TO BE CONSIDERED IN ESTABLISHING AND MANAGING FREGS

Activity Aspects to be consideredComposition ofFREGs

Consider: Farmers’ interest, gender equity, age category; Proximity/agro-

ecology; Agro-ecology based adaptability, different sub-locations, farming

system; Level of education, problem based, indigenous knowledge base; Socio-economic and socio-cultural factors; etc

Size of FREGs In Ethiopia the number of members in a given FREG varies from 13to 30;

It is preferable to have groups of 20 to 30 members than having alarger number for ease of communication, exchange of information,clear understanding and active involvement of partners.

Functions ofFREGs

Prepare group action plan jointly prior to any further steps of FREG; The function of FREG should not be limited to technology “uptake”

that comes from research institutions; It has to be also able to initiate new ideas, system, and technologies

that fit to changing environmental conditions;ManagingFREGs

Effort need to be made to develop necessary rules and regulations asto how the group should be managed and monitored during its lifetime;

Free election of group leaders, equity, openness and fairmanagement are among the key points to be considered in FRGmanagement.

Life time ofFREGs

Entirely dependent on the type of activities it is engaged in and shortand long-term objective of the group (e.g. livestock production,perennial fruit production, NRM etc. require long time groupcollaboration);

Each year it is advisable to check and assess the overall performanceand outcome of the group i.e. benefit obtained, livelihood improved,problem solved and constraints encountered etc;

It is not advisable to fix the lifetime of FREGs.Links in FREGs Linkage within group;

Linkage between group; Linkage with wider farming community is important; Link with FTC, demonstration activities, FFS, seed multiplication

etc…Agreements Who lead the group?

Who should communicate or serve as contact person? Regardless of the type of trial, farmers had to agree on labour

contributions;, Ownership of the produce.

159. Integrated Pest Management (IPM): In the agricultural subcomponent of PASIDP, IPMis recognized as one of important strategies to achieve the goals of increased production fromsmall scale irrigation intervention. In principle, IPM uses an array of complementary methods:mechanical devices, physical devices, genetic, biological, legal, cultural management, andchemical management. These methods are done in three stages: prevention, observation, andfinally intervention. A full scale IPM implementation consists of six basic elements that can beapplicable to PASIDP schemes.

160. Assessing level of severity: Primarily it is important that the farmers (in collaborationwith DAs through FRGs) asses the level of severity of the pests. Please not that, eradication isnot a target in IPM. and attempt can be more costly, environmentally unsafe, and frequentlyunachievable.

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161. Preventive cultural practices: The preventive cultural practice is the major target areaswhich can involve the wider community. The preventive methods are of two forms: the first isday to day farmers’ agricultural practices which must be followed despite the results of theseverity level assessment and the second part basically depends on the results of the severityassessment (e.g. mechanical intervention). In general, as a preventive measure, the following keypoints are important to consider in promoting IPM: Make sure that the seed are of known origin and free of weeds and diseases; Avoid damaged and discoloured seeds; Proper land preparation is important to clean weeds that can be a potential sources of pests; Proper time of planting must be followed: e.g. avoid moisture stress time; Avoid under watering and over watering: follow irrigation intervals recommended in the

agricultural development plan; Consider proper spacing as this will influence humidity, moisture level, nutrient and light

competition and thus vigorous plant growth; Make sure that the soil fertility level is maintained: inputs and outputs of nutrient “balanced”

and also ensure the sources of organic fertilizer is compost. It is advantageous in that it cankill weeds, insect larva and also decrease C: N ratios and thus nitrogen mobilization. Thiswill results in vigorous plant growth;

Weeding is one of the most important preventive measures and thus having a clean stand ofyour crop is important;

Proper harvesting: consider moisture level, avoid wounding (e.g. potato) or use thosewounded for immediate purpose;

Proper care must be taken during transportation and storage; Proper crop rotation (to be clearly indicated in agricultural development plan).

162. Regular monitoring: regular observation of the different fields must be the cornerstone ofIPM. This has shown already a good result (e.g. Arata Chufa): farmers and DAs, as a team,regularly monitor their crop-stands and discuss on observed problems. Normally, visualinspection of insects, weeds, can be done and record-keeping is essential. Recording will,obviously, helps to understand the behaviour and reproductive cycles of target pests.

163. Mechanical controls should a pest reach unacceptable level; mechanical methods are thefirst options to consider. They include simple hand-picking, erecting insect barriers, using traps,vacuuming, and tillage to disrupt breeding.

164. Biological controls though biological control measures are one of the important steps inIPM, its applicability at farmer’s level can be questioning. In general the main focus inbiological control is on promoting beneficial insects that eat target pests.

165. Chemical controls This is the last option to be used. Synthetic pesticides haveenvironmental, cost and health implication and thus the following care must be taken inimplementing these chemical control methods: Expiry date of the chemical; Kind of crops (root or leaf crops); Follow safety procedures in applications; and Consider drift effects on the nearby crops and also downstream with the return flow.

166. Seed Production Systems: Typically, seed systems are comprised multiple actors withnumerous, often conflicting, interests and objectives. Actors range from non-market actors, suchas public regulatory agencies, research institutes, extension services, and non-governmentalorganizations; to market actors, including domestic and foreign private firms, cooperativeunions, and trade associations; and farmers themselves. In view of the complexity of the system,high price, inaccessibility and on-time non-availability to the smallholder farmers, in PASIDEPit is planned to establish a seed system for farmers in the scheme. But the principle behind isstrengthening on-farm seed management. The following key issues and procedures aresuggested. Clearly indicate on the type, quantity and sources of seeds required for the scheme

development as part of the agricultural development plan;

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Estimate the number of farmers to be involved and area required to multiply sufficient andquality seed locally;

Assign issues of seed demonstration and seed multiplication to one of the FREGs and selectlead farmers from the selected FREGs;

Provide training facilities for the lead farmers on seed production, storage, distribution andutilization techniques;

Organize of groups sharing common goals, such as crop introductions and crop choices; Establish linkages with RARI in terms of improved seed demonstration, trails etc..; Organize community seed production stores/seed banks (e.g. diffused light storage for

potato); Organize smallholder seed entrepreneurs, etc.

C. Format for the Preparation of Agricultural Development Plan

Title of the ADP:Introduction This should contain names of DA, Woreda coordinator, SMS team involved in thepreparation of the ADP, time spent in the field and discussions with the kebele administration and IWUA,their endorsement of the ADP etc. Discussions held with Agricultural research institute.

Objective of ADP The main objective of the Agricultural development plan is to develop a sustainable;farmer owned and managed system of small-scale irrigated agriculture from full participation ofbeneficiaries.Specific objectives of the plan include:o To identify the agricultural (crop production) constraints and potentials.o To propose suitable cropping pattern and cropping calendar for the project.o To recommend input requirements, yield projections, crop protection measures, and extension services.o To increase agricultural yields for benefiting households.Generally, the expected output of the agricultural development plan is increased production throughefficient utilization of resources of the area, improved nutrition and health of the farming community andincreased income of the beneficiary farmers.Location and access this section should include a brief description of the location, distance to market,conditions of the link road, market days etc. Access to credit, agricultural inputs, marketing of output etcshould be indicated. Total population, male and female, number of HHs, total FHHs and number of HHsreceiving food aid etc, FTC and its present status and need for improvementScheme data Potential area to be benefited, number of beneficiaries, area likely to be irrigated during firstseason and second season, security of water, IWUA views on the scheme should be indicated.Present Farming & Production Systems Area under crops, levels of productivity, total production[trends if some data are available], household consumption, marketed produce by type and quantity. Costof production, labour input etc.TABLE 13: TREANDS OF FARMING AND PRODUCTION SYSTEMS

Crops grown Area(ha)

# ofHHs

Total Production(Qtl)

Average costof production(cash costonly)

Labourinput

Labourrate

Constraints to and Potential for development This section should highlight problems and constraintsbeing faced or likely to be faced by the kebele and IWUA in the agricultural development and indicate howthese constraints and problems are being addressed under the Programme. See Table below

TABLE 14: FORMATS FOR CONSTRAINTS AND POTENTIAL FOR DEVELOPMENT

Constraints Faced by IWUA/G and farmers How these constraints are proposed to beaddressed

1 Lack of access to market2 Lack of access to credit3 Lack of better agricultural production

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Constraints Faced by IWUA/G and farmers How these constraints are proposed to beaddressed

technologies4 Lack of irrigation technology5 Lack of land development and access to land

use rights6 Soil erosion and land degradation7 Lack of seeds and input8 Lack of agri. Research and extension services9 FTC inadequately equipped/ No FTC?10 Pests and disease problems11 Frost problems12 Lack of access roads

Scope for crop diversification and requirements: Indicate possible scope for crop diversification andalso indicate clearly the key requirements that are likely to be met under the programme.Proposed Production Systems: crop area, cost of production, possible increases in production under theProgramme, likely trends in diversification, marketing of agricultural produce and likely trends, etc

TABLE 15: FORMATS FOR PROPOSED CROPPING PATERNS

ProposedCroppingpatterns

Area(ha)

# ofHHslikely topracticeM FT

Yield Projectionat fulldevelopment

Average costof production(cash costonly)

Labourinput

Comments

Interventions Proposed under the PASIDP: These interventions should be in response to constraints anddemands expressed by WUG/A, and broadly in line with Appraisal recommendations. (This Table can beas detailed as possible)

TABLE 16: FORMATS FOR PROPOSED INTERVENTIONS

Key Activity(please refer toAWPB provisions)

Unit UnitCost

TotalCost

Key personresponsible forimplementation

Timeframe

IWUARole andcomments

*Kebele levelworkshop ordiscussion on ADP& ADP preparation

* Setting of FREG2

Material requiredfor FREG

Training for FREG

ADP

Scheme

DA and SMS

Research centres

Beforefinalisingthe ADP

* New Technology3

Demo Agriculture office

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Unit UnitCost

TotalCost


Timeframe


Demonstrations

Materials requiredfor new technologydemonstrations

Training requiredfor new technologydemonstrations

* Equipping FTCs4

* Seed system 5demonstration

Materials for seedsystem

Training for seedsystem

* Establishment of6 communitynursery

Materials requiredfor communitynursery

Training requiredfor communitynursery

Scheme

Demo

Scheme

Agriculture Office

Research centres& Agricultureoffice

Agriculture office

*Establishment of7 home garden

Materials requiredfor home garden

Training requiredfor home garden

* Provision of Fuel8 saving improvedstove moulds

FHH

Scheme

Agriculture office

Agriculture Office

* Land and crop 9managementtraining

Improvedagricultural

Scheme Agriculture office/Research centres

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Unit UnitCost

TotalCost


Timeframe


practicesISFMIWMIPM

Post harvesthandling &nutrition 10

Provision of postharvest materials

Provision of smallscale agro-processingtechnologies

Training onnutrition

Scheme Agriculture office

Total ADP Expenditure and indicative timeframe for expenditure

TABLE 17: ADP TOTAL PLAN OUTLAY

ADPTotal PlanOutlay

Year ofPreparation

Implementation Phasing Total

2016/17 17/18 18/19 19/20 20/21 21/22 22/23

USD 2016/17

Implementation Arrangements: Indicate implementation arrangements and person and institutionsresponsibleConclusion:ADP Prepared by Woreda Team [Name and designation]ADP Endorsed by WUG/A [Name and designation]ADP Approved by RPCMUDate

VII. WATERSHED MANAGEMENT

167. The objective of this Subcomponent is to improve land and water management on 68,160ha in rain-fed areas adjacent to areas selected for irrigated agriculture, building on Ethiopia’ssuccessful community-based watershed management approach. The interventions would includethe following:

168. Specific Assistance through Farmer Research Groups (FRGs). It is proposed that eachFRG be provided with access to a demonstration and adaptive trials intervention to promote CA.In addition, these sites would also tackle the issues related to soil fertility management,integrated pest management (IPM), labour-saving technologies and access to improved seed, incommon with the irrigation farmers. To tackle the socio-economic root causes of landdegradation, investments in the rain-fed areas will be guided by a landscape approach,integrating socio-economic benefits from land and environmental sustainability in a widergeographic zone. The interventions will lead to measurable and valuable improvements inproductivity of the land, and thereby provide improved incomes for the users, while at the sametime ensuring restoration and maintenance of environmental capacity.

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169. Planning and execution of interventions will be done in a participatory manner, using thetested and proven approaches to watershed management under the Community-Based IntegratedNatural Resources Management Project (CBINReMP). In areas where no landscape approachhas been adopted yet, the Programme will support the full process from the initial stages. Inaddition to the activities mentioned above, interventions in these cases will include: a) trainingof beneficiaries and government staff on watershed/rangeland management; and b) provision oftools and materials to implement the planned interventions. Experience with watershedmanagement has shown that it is essential to combine restoration and protection interventionswith productivity and income-oriented interventions. Based on experiences from earlier projects,such as CBINReMP, PASIDP II will support a range of the most successful multi-benefitinterventions specific to the local context such as:(i) Introduction of conservation agriculture (see below),(ii) Grazing land management through area closures and ‘social fencing’;(iii) Planting of fruit trees;(iv) Participatory forest management;(v) Introduction of energy-saving technologies; and,(vi) Introduction of sustainable energy production technologies. All of these initiatives will be

supported by programme investment, in partnership with the communities which use theland, guided by the WMTs through the Micro-Watershed Management Plans and ADPs.

170. Watershed management teams (WMTs). The Watershed Management Teams areformed under Water sector policy and strategy and the Community Based Participation andDevelopment Guidelines. They are mandated to rehabilitate degraded watersheds, conservewater and soil and mitigate climate change. This is done primarily by changing the way in whichfarmers use the land. This could involve introduction of production techniques such asconservation agriculture for rainfed cropping, and fodder production and conservation usingexotic species already in local use, as well as by constructing physical structures, such as waterstorage facilities, benches, terraces and planting of appropriate plant materials such as trees,including fruit trees, and different types of grass, Appropriate forms of watershedmanagement/rehabilitation are essential to protect catchments for dams and streams. It will alsoreduce or avoid, damage to irrigation facilities through siltation and inundation, as well asdamage to public facilities (roads, bridges) and private property (buildings, land, crops)downstream. It can greatly reduce incidents of soil erosion and landscape degradation, while atthe same time, providing for enhanced production and income-generating opportunities in thewatersheds. There are thus private as well as public benefits from investment in improvedwatershed management.

171. These would be formed from the community of farmers using the watershed areas as soonthe associated irrigation scheme has developed an acceptable feasibility plan. The programmewould provide the necessary training and mentoring for the establishment and initial operation ofthe WMTs. The training, to be provided by a competent service provider with support frompublic officials and institutions, would cover the following topics, as well as others to beidentified during programme implementation;(i) Formation of the WMT and appointment of office bearers;(ii) Training of office bearers in leadership and determination of rules and procedures for

micro-water shed management;(iii) Techniques of micro-water shed management;(iv) Techniques for construction and maintenance of anti-erosion and anti-degradation

structures;(v) Biological techniques for erosion and degradation management and restoration of

degraded areas; and,(vi) Enhanced rainfed agriculture and livestock management systems compatible with

sustainable catchment management

172. Micro Watershed Management Plan (MWMP). The WMT would be engaged, withappropriate technical support, to develop and adopt a viable MWMP) at the same time as theassociated irrigation scheme is having its detailed design process. There would be closecooperation and sharing of information between these two planning processes, to ensure

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compatibility. The Programme’s specific approaches to be employed will depend on the agro-ecological zone and the existing efforts in terms of landscape approach in that particular area,from the SLMP or through other interventions. In areas where community-based watershedmanagement interventions have already been introduced, PASIDP II investments will aim atsupporting and enhancing that process. In such cases, the Programme will pay specific attentionto: a) integration of multiple-benefit interventions; b) improved climate-informed planning,through mapping and capacity building; c) introducing water harvesting; and d) specific soil andwater conservation measures directly protecting the irrigation schemes.

173. Rationale of IWM into PASIDP II. The implementation of PASIDP II project fromintegrated watershed management perspective mainly focused on surrounding adjacent schemesto be constructed by the project at micro watershed level. It is basically intended to be schemeprotection from sediment coming from unprotected watershed area. However, it would havebeen better to implement the watershed management interventions into the adjacent area of thescheme with regular support from the project like awareness creation for the community andprovision of tools. Implementing integrated watershed management intervention at communitylevel has dual benefits from the PASDIP II perspectives. One of the benefits is as indicativeabove reduce the silt and there by contribute and complement climate change initiative.

174. Implementation Approach for Integrated Watershed Management: There are twoapproaches to be followed for implementation of Integrated watershed management:-VIII.The Selected five micro watershed upper and downstream Surrounding the proposed

schemes to be constructedIX. Upper and downstream watershed of the proposed schemes to be constructed

175. The selected micro watersheds will be treated with full support from the PASDIP IIproject following based on the implementation arrangement set similar with other programmeand strictly following the MoANR CBWPGL of Part one and two.

Selection Criteria of Micro Watershed

176. For Upper stream of the Scheme(i) Severely degraded and steep farm and grass land(ii) Extended gully area(iii) Willingness of the community(iv) Surrounded scheme area(v) For downstream of the scheme(vi) Severely degraded and steep farm and grass land(vii) Upper part of crossing structure(viii) Upper part of the constructed canal,(ix) Extended gully area surrounding the structures to be constructed(x) Willingness of the beneficiary(xi) Focuses on small streams surrounded the constructed structures

A. Opportunities and Implementation Strategies

177. Development Opportunities; Despite the existing constraints, there are also opportunitieswhich can be used as building blocks of integrated watershed development. In PASIDP 2programme areas the communities have realized that their livelihood could be improved if theycan exploit the existing opportunities. Some of the socio-economic opportunities to improve thelivelihood of the community in the watershed are;- In most part of the watershed availability of smallholder farmers on which abundant labor at

household level to undertake agriculture (crop and animal) production activities; In some part of area availability of biomass particularly in the homestead to prepare compost Availability of tradition to use manure to fertilize the land using organic fertilizer. Prior experiences of the community in managing crop and animal production; In most part

of the watershed implement conventional way of crop and animal production system, theirexperience and exposure can be used as springboard and will have huge contribution to

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improve the productivity of the watershed using improved technologies Availability of bee forage and fruit in the homestead to run beekeeping activities

178. Implementation Strategies; The implementation of the proposed watershed developmentinterventions should start at the most top part of the micro-watershed. According tocharacterization assessments of watershed, treatment starts from the hill which is the mostaffected and vulnerable for erosion. The protection of this section should be the first priority.Implementation shall start at the top of the watersheds. Otherwise the runoff coming from theupper parts of the watershed will damage the conservation structures at the middle or bottom ofthe watersheds and will extremely aggravate soil erosion.

179. Multidisciplinary Approach: The development of watersheds should follow vertical andhorizontal management aspects. Since watershed management involves decision-making forresources utilization, for all implementation activities a multi-disciplinary approach is essential.The development options have to be decided with real participation of all stakeholders. Specificintervention options have to be negotiated among all stakeholders. Based on the above mentionselection criteria 240 micro watershed plan will be prepared prior to the commencement ofimplementation and the document includes the detail activities plan, base and development mapof the micro watershed.

180. Climate Change Concepts: Watershed development addresses almost all elements of agiven ecosystem and physical, socio-economic and cultural and institutional components. Aswithin a watershed unit, climate change affects the different components/resources of thewatershed at different degrees and levels. Data and information on climate change, andparticularly on adaptation, are sparse and sometimes difficult to obtain. The greatest challengesin coping with the impacts of climate change are therefore access to data, technology, policies,as well as tools and other opportunities that are specific to the area. Therefore, the project has towork with inclusion of climate change in the development interventions. Some aspects, in thesurrounding Schemes /adjacent watershed/, are already included, but there is the need toconsider the issues seriously and include new interventions which could mitigate climate changeimpacts.

181. Buffer Zone along the River Banks and the streams protection: The purpose ofestablishing buffer zones around dams or Irrigation Schemes and other water bodies is to providea filter for runoff, protect the structures from siltation and pollution, and provide necessary shadein order to protect streams from extreme temperature fluctuations. This is possible throughleaving adjoining undisturbed land as long as possible to serve as natural buffer zones andbuilding vegetated strip of land bordering the water in the water bodies and dams. So that it isrecommended that protection of buffer zone area is indispensable by applying differentconservation technologies. PASIDP II is also give attention and support for safeguarding thestructure.

182. Researching and documentation of best practices: To sustain and restore watershedfunctions, there is a need to make researches on the different aspect of the specific watershed.The FRG is responsible to adopt and select best technology with in the watershed.

B. Watershed Development Interventions

183. Adjacent schemes Micro Watershed treatment: Watershed development interventionsare key to improve the livelihood of people in the watershed through restoring and enhancingland productivity, support rehabilitation of degraded land and protection of natural resources,providing opportunities for income generating and contribute to small-scale infrastructuredevelopment. This will help to intensify the land productivity with no jeopardy on existingnatural resources. The Size of area to be treated ranges 250-500ha on which at micro watershed level based on

the Mo-ANR CBPWDG. PASIDP II is mainly focuses at micro watershed level up to 300 habut no limitation for the community to treat the land beyond this size.

A multiple of development interventions are proposed for such cases, and recommendationsare made based on the specific site conditions. The development interventions for the

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adjacent Schemes watersheds of PASIDP II include: Soil and water conservation,afforestation and forest management, crop production intensification and diversification;livestock development; income diversification; infrastructure development; alternative ruralenergy technology; and capacity building. These measures are discussed below.

C. Soil and Water Conservation

184. Physical Soil and Water Conservation Measures: Physical SWC measures are those soiland water conservation measures, which lead to change in land surface arrangement and profile.There are various physical soil and water conservation measures that can be applied on differentland uses types, slopes, soil etc. 240 watershed management plan will be prepared and differentconservation technologies will be employed such as Soil bunds, stone bunds, Fanya juu, cut offdrains and waterways etc..

185. Biological Soil and Water Conservation Measures: Biological SWC is a conservationpractice that prevents loss of soil and moisture, improve soil property and maintain/restoreproductivity and stability of the ecosystem through good farming system, good cover,recirculation of organic matter and nutrient and establishment of vegetative barrier. A number ofbiological SWC systems can be applicable for the programme area in combination with physicalSWC measures based on the specific conditions. The proposed interventions includes Nurseryestablishment, Reforestation, closure of existing natural vegetation: Grass Strips, CompostMaking and Utilization.

186. Agro-Forestry Development Interventions: The recommended agro forestry practices aspart of the watershed development intervention are plantation of Federi-albida, Alley Croppingand Multi-Story Gardening specifically at homesteads.

187. Gully Control and Rehabilitation: The techniques of gully control and rehabilitationinclude, treating upslope lands, reclaiming the gully area, diverting runoff (partially or wholly),close off, plantation and construction of different types of check dams across gullies to hold backwater and trap sediments. The type of check dams selected to treat and rehabilitate gulliesdepends on the gully features (depth, width, gradient, gully formation stage, slope), availabilityof construction materials, and slope gradient of the gullies. To this end, live brush wood checkdams, stone check dam, and gabion check dam all integrated with plantations along the side ofthe gullies proposed for this watershed area.

188. River Bank Protection: River bank erosion is one of the problems in most part of riversand streams. The buffer area of the river or streams should be protected with differentconservation technologies. Moreover, in these areas cultivation is practiced close to the edges ofthe rivers. Such cultivation practices are made without any interventions that may protect the cutand slide of riverbank. In future, if the practices are allowed to continue unabated, there wouldbe a danger of losing many cultivated lands and the proposed reservoir may get filled withsediment and consequently its effectiveness reduced.

189. Therefore, the measures for protection of riverbank are recommended. The interventioninvolves establishment of buffer zones on the sides of the riverbank (river training works) andestablish plantations of economically important vegetation of various types. This zone will act asa de-silting and sediment trapping zone and dispersing the concentrated run-off before enteringinto the rivers so that the runoff will have non-erosive effect. In this regard, establishment ofbuffer zone of 5-10 meters away from the edge of the riverbank is recommended throughprotection of cultivation and other agricultural operations beyond this zone. The buffer zoneshould be established with productive grass species that could be used for livestock feedingthrough cut and carry method; trees that can be used as fuel wood and construction materials andfruit trees that may be useful for generating income for communities who own the land adjoiningthe river bank. Thus, river bank protection measures are proposed on the right and left side of theproposed scheme river bank.

190. Promote Agro forestry and Fruit Production: Generally the PASIDP II program ismainly focus on food in secured and potential area for development. So these areas are morefavorable for fruit production particularly in the homestead areas. Thus, this has to be

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strengthened through providing the necessary financial and technical support from PASDP IIproject.

191. Access for credit services: The households in the watershed have a limited capacity topurchase farm inputs mainly fertilizer, improved seeds and livestock in the programme area.However if there is a strong credit facility, these households will have a chance to build theirfinancial capacity. Thus for the project to be successful, there must be a strong credit services inthe watershed.

192. Homestead farming: Homestead farming has significant contribution in supporting thelivelihoods of the households in the watershed. Traditionally, most Farmers are applying manureto increase the yield of homestead farming. This is a good practice and needs to be strengthened.

193. Vegetable production: Vegetable production is one of the livelihood improvementactivities at homestead level development. Treated the Upper part of the Scheme watershed willhelp for the community to produce vegetable due to the incremental moisture available. Shortageof irrigation water is the main reason that impedes the farmers in this particular activity. In thisregard if integrated watershed development is practiced through the improvement of waterresources mainly by improving the infiltration of rain water thereby increasing the volume ofwater which creates opportunity to undertake vegetable production, which significantlyimproves and contribute a lot for the households.

194. Diversifying animal production and improve productivity: Micro watersheds with inthe programme area have big potential for cattle rearing, oxen and shoat fattening, poultryproduction, beekeeping, etc. Despite its potentials, the community is not benefiting out of it,because they are undertaking conventional method of animal production methods. Lack ofpractical training and uncertainty in the side of the community are among the contributingfactors for weak animal production and productivity. To alleviate the prevailing constraints andto improve productivity:-

195. Farmers should be advised to practice cut-and-carry system, instead of free grazing:Most of the case watershed is situated in a very sloppy area, therefore free grazing aggravatessoil erosion and environmental degradation. To stop if not to reduce overgrazing and its negativeconsequences, the farmers in the watershed should be advised to use cut-and-carry system aswell as should get awareness training regarding the benefits of cut-and-carry system.

196. Engage farmers in fattening activities: Hence farmers should get in depth and practicaltraining on fattening techniques and management to run the activities year round using cut- and-carry as well as hay system.

197. Involve female farmers in poultry production: Poultry production is another livelihoodoption mostly carried out by female farmers. PASIDP II has intended to provide 20 egg layerchicken/HH/. In connection withthis the programme will support practical training on poultryproduction and management for female farmers.

198. Involve farmers in Beekeeping: Beekeeping is another livelihood opportunity whichneeds priority. Despite the availability of bee forage, beekeeping activities are not undertaken bythe farmers. This is basically connected with the evil that the farmers in the watershed are usingherbicides which kill bee, and the farmers don’t possess the required experience, skill andknowledge to carry out beekeeping activities. Therefore, the following points should get highemphasis so as to earn substantial benefits from apiculture. In depth and practical training on apiculture should be provided to farmers Farmers in the watershed should get repeated advise and extension service to use manual

weeding rather than using agrochemicals, since there are abundant labor at household level Provide improved beehives for 10hh or youths/scheme and seed money for farmers to

promote the sector.

199. Introduce fuel saving stove for energy source: The HHs in the micro watersheds areusing biomass as energy source which triggers deforestation and exacerbates soil erosion.Therefore, promoting fuel saving stove is adverse effect contribute for mitigate deforestation,thereby to reduce sediment generation and delivery to the scheme. Thus, the PASIDPII is

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support the user groups to promote fuel saving stove for the 20 HHs members of thegroup/scheme in the micro-watershed. The watershed is very close to the scheme. To this end,supplying the community with electric power is another alternative energy source to reducedeforestation and thereby reducing sediment delivery to the dam.

D. Implementation Arrangement for Integrated watershed Management

200. Communal lands, hillsides and gullies: For interventions on communal lands, the programwould finance up to 60% of the total costs. Such costs include farmlands which have a slopegradient greater than 30% (as described below). In addition for gullies located on farmland, theproject will cover a maximum of 60% of the project cost and communities will cover at least40% of the total cost. Regions can increase community contribution depending on localconditions. The program would also provide technical assistance to communities to developlocal by-laws to govern the use of communal lands, including grazing lands in a participatoryway.

201. Farmlands: The project would finance 25% of the total costs (in the form of CSA-relatedinputs and equipment, grass seeds and cuttings, tree seedlings, and other materials beyond thecapacity of farmers) and the intended beneficiaries would cover the cost of the remaining 75% inthe form of labor and cash from their own resources or access the credit scheme under theGovernment’s agricultural household extension packages or micro-finance institutions that arewidely available in rural Ethiopia.

202. Homesteads development (livelihood improvement): All inputs (fruit and vegetableplanting material, poultry, small ruminants, bee hives, etc.) which could not be accessiblethrough the extension system will be provided by the project. However, the farmers are expectedto pay back the loan to a revolving fund scheme or similar arrangements agreed by the Region.This ensures consistency with the extension system, the project would finance up to 40% of thetotal costs in the form of revolving fund for seed and for other support. The intendedbeneficiaries would cover the cost of the remaining 60% in the form of labor and cash from theirown resources or access the credit scheme under the Government’s agricultural householdextension packages or micro-finance institutions that are widely available in rural Ethiopia.

203. The total Upper and downstream watershed could be treated with the minimum support byprovision of tools from PASIDPII project and the lion share from the regular Governmentprogram i. e community mass mobilization

TABLE 18: COST SHARE AND INDICATORS FOR WATERSHED

Component Inputs/materialssupply

Requirements Cost share Indicator

Communal,hillside, GullyLand areatreatment

Improved stove, Solarpanel, Gabion, Toolsand Equipment,

Reduction ofdeforestation, plantingof trees on physicalstructure on farmlands,homesteads and farmboundaries

60% PASIDPII and 40 %Community

Hectare ofcommunallands/hillsidesand gulliesrehabilitated withappropriate bio-physical measuresand technologies

Biologicalconservation,tree and grassseedlingsplanting alongbunds

Promote multipurpose trees species; member ofthe user groups/association planting on his/theirown farmland/s, homestead/s communal lands,forest areas ,Nursery tools and other etc.

SeedlingPlanting by thecommunity andnurseryoperation byyouth groupfinancialsupport fromPASIDP II

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Component Inputs/materialssupply

Requirements Cost share Indicator

Area Closure Beehives and related materials , agro forestrypromotion; planting of trees on communal lands,homestead, forest area etc.

From PASIDPII, Planting bycommunity,encouragingUser group

Farmland ,>15% hillsidetreatment andhomesteaddevelopment

Improved varieties ofagricultural crops,vegetables, temperateand tropical fruit treeseedlings andcultivars, root crops,SWC tools, bio-fertilizer inputs, etc.

Promote zero-/reducedtillage, maintenance ofresidues on farmlands,use of compost,animal/green manure;row planting of teff,wheat, barley and fababean. agro forestrypromotion, crop rotation,intercropping, constructwater harvestingstructures on his farmland etc.

60% byPASIDP II and40%Community

Hectare offarmland treatedwith appropriatebio-physicalmeasures andpractices,

Climate Smartuphill farmland <15%

Provision of improvedforage and fodderseeds, multi-purposetree and grassseedlings,

promote zero-grazing;controlled grazing,improved Reducedtillage, conservationtillage, Agro forestry,reduce number of largeruminants and swift tosmall ruminants;fattening, improvedpasture management,homestead fodderdevelopment, feedconservation and haymaking,

75 % by thecommunity and25% byPASIDPII

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VIII. ENVIRONMENTAL & SOCIAL MANAGEMENT PROCEDURES

A. Introduction

204. An Environmental and Social Management Framework (ESMF) has been prepared forPASIDP II which is intended to facilitate the application of environmental and socialmanagement procedures to PASIDP II interventions in order to address the social, environmentaland climate impacts associated with PASIDP II design and implementation. These procedureshave been summarized in this section; however it is advised that the ESMF document is referredto during project identification, planning, design and implementation.

205. Projects are identified by the local communities and submitted to the Development Agents(DAs) and Kebele Technical Teams for consideration. The DAs and KTTs take the projectthrough a first screening process (Tier 1 Screening) to establish the schemes’ eligibility forfunding under PASIDP-II based on a set of eligibility criteria. If the project clears this stage, itthen proceeds to the Woreda level for further screening (Tier 2 Screening), where the need foradditional precautionary measures, further studies, and extent of environmental and socialinvestigation is determined. At this point impact rating is done, and the project is categorized asCategory A (requiring an ESIA) or low-impact Category B (requiring an ESMP). Tier 1 andTier 2 Screening Checklists and the Impact Rating Form are provided at the end of this section.

206. For Category A projects and more complex or high impact Category B projects (ie. thosethat raise concerns as determined by the screening criteria), ESIAs will be prepared by theRegional Social and Environmental Safeguards Specialist or by hired consultants. For projectswith no major issues of concern, ESMPs can be prepared by the Woreda Environmental Expertwith support from the Woreda Level Technical Team (WLTT). In some cases other safeguardsdocuments may be required such as:

a) Resettlement Action Plans,b) Pesticide Management Plans,c) Physical Cultural Resources (PCR) Assessment,d) Climate Risk Analysis or other management plans dealing with environmental and social

aspects.

207. Approvals for ESIAs will be done by Regional Bureaus for Environmental Protection,Land Administration and Use (BOEPLAUs) or the respective office responsible forenvironmental protection 6 , but ESMP will be approved by the Woreda EnvironmentalProtection, Land Administration and Use Agencies (EPLAUAs).

208. During consultations to be carried out for environmental and social impact studies, theprocesses for disclosure of the documents should be communicated at all levels. IFAD’s SECAPprocedures also require that sufficient consultations are carried out with key stakeholders(especially the affected and beneficiary communities) in order to satisfy its requirements forFree, Prior and Informed Consent (FPIC). The FPIC Management Plan is provided at the end ofthis section.

209. Prior to approval of the projects, the ESIAs and ESMPs, Pesticide Management Plans(PMPs) and RAPs where these are required, will be disclosed at regional, woreda and kebelelevels at a location accessible to the general public, and in a form and language that thecommunities are able to understand, so that they may comment on any aspects/issues containedin the reports prior to their approval.

6 Different regions have different offices that deal with environmental protection. For example in Oromiya Region theresponsible office is the Bureau of Rural Land and Environmental Protection. For the purposes of this document the officesresponsible for environmental protection at Regional and Zonal level are referred to as the Bureau of Environmental Protection,Land Administration and Use (BOEPLAU).

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210. A grievance redress mechanism (GRM) has been developed in line with the national EIAProclamation which provides that any person dissatisfied with the authorization or monitoring orany decision of the environmental authority or relevant regional environmental agency maysubmit a grievance notice to the authority or regional agency. The mechanism will facilitate theresolution of concerns raised and lodged by affected persons through established grievancesystems. Cognizance will also be taken of IFAD’s Complaints Procedure which can also receivecomplaints from project-affected people. The Grievance Redress Mechanism flow chart is alsoprovided at the end of this section.

211. Performance monitoring will ensure that safeguards instruments are prepared to therequired standard and approved, and that the ESMPs and RAPs are being implemented. Thiswill be done by the IWUAs, WMTs, Kebele DAs, Woreda Technical Team and the PASIDPRPCMU Social and Environmental Safeguards Specialist, overseen by the FPCMUEnvironmental Safeguards Specialist and Social Safeguards Specialist.

212. Results monitoring involves the monitoring compliance and effectiveness of thesafeguards instruments, and also the overall environmental, socio-economic and climate-relatedassessment of the Programme’s interventions. Results monitoring will be done on an annualbasis by the RPCMU Social and Environmental Safeguards Specialist with support from theFPCMU Environmental Safeguards Specialist and Social Safeguards Specialist, and IFAD’sEnvironmental, Social and Climate Safeguards team.

213. Quarterly and annual reviews will be undertaken and annual review workshops will beheld with a view to identifying bottlenecks in implementing the ESMF and proposing solutions.Environmental and social auditing will be done by the Regional BOEPLAU and WoredaEPLAUA, who may request that independent consultants conduct the audits.

214. The Woreda Focal Persons will submit quarterly and annual social and environmentalperformance reports to the RPCMU Social and Environmental Safeguards Specialists. TheRPCMU Social and Environmental Safeguards Specialists will in turn submit quarterly andannual environmental and social performance reports covering all the woredas in their regions tothe FPCMU Environmental Safeguards Specialist and Social Safeguards Specialist. The FPCMUEnvironmental Safeguards Specialist and Social Safeguards Specialist will submit quarterly andannual reports to IFAD.

B. Capacity Building

215. Training will be carried out targeting FPCMU Environmental Safeguards Specialist andSocial Safeguards Specialist and RPCMU Social and Environmental Safeguards Specialists,Zonal Technical Teams, Woreda Level Technical Teams, Irrigation Water Users Associations(IWUAs) at the scheme level, Kebele Technical Teams, Kebele Development Agents,Watershed Management Teams at the Woreda, Kebele and Community levels (WMTs),Regional, Zonal, Woreda and Kebele staff in the relevant implementing agencies (namelyAgriculture, Environmental Protection and Land Use, Water and Irrigation), and Federal andRegional Programme Steering Committees.

216. Training will be conducted by consultants at the Federal and Regional levels, andthereafter will be rolled-out (through training of trainers) to the woreda and kebele levels.Training will cover topics such as:

a) National and IFAD environmental, social and climate legal and administrative frameworksrequirements;

b) ESMF processes, procedures and institutional arrangements to develop and implementrequired safeguards documents;

c) Screening and impact rating;d) Environmental, social and climate impact assessment, PMP, RAP, PCR assessment

approaches and requirements;e) Preparation, implementation and monitoring of ESMPs, ESIAs, PMPs and RAPs;f) National and IFAD grievance redress and complaints procedures;g) Reporting and monitoring the implementation of ESMPs, PMPs and RAPs; and

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h) Environmental and social best practices.For the detail environmental and Social Safeguard please refer the detail under Annex 8 of thisdocument or ESMF

IX. PROGRAM MANAGEMENT, M& E AND LEARNING

A. Management information systems

217. The monitoring and evaluation (M&E) function will be subsumed within an overallapproach to management for results and impact, and be guided by the programme’s logicalframework. Information from a variety of sources will form the basis for an integratedmanagement information system (MIS) focusing on continued analysis of, rather than generationof, information. The analysis of programme results will be used to manage programme activitiesso as to be more responsive to client needs and programme objectives which in turn will lead toenhanced achievement of impact.

218. The M&E function will be streamlined so as to allow for more efficient reporting ofprimary or 1st level results (e.g., number of IWUAs established, number of schemes constructed,etc.), thus allowing more time for analysis of programme activities and learning fromimplementation. To that end, the programme will rationalize the monitoring system, focusing onanalysis of key results indicators and broaden the system to participating agencies and partners.The programme will make provision to allow for regular feedback from/to clients, programmepartners and programme implementers. In addition, the MIS will be designed to take advantageof existing sources of information -- surveys and studies conducted external to the programme(notably those associated with the Productive Safety Nets Programme (PSNPThe monitoringfunction under PASIDP will allow government and programme staff to assess the degree towhich physical and financial progress has been achieved, and will also involve the farmersbenefiting from the schemes. The monitoring system will enable programme stakeholders toassess the extent to which tangible results on the ground have been achieved. Performancemonitoring will be a continuous process that provides real time feedback so that implementationresults can be improved. Monitoring is the responsibility of all the PASIDP stakeholders –programme staff, regional and federal agencies, donors and farmers. The monitoring system willbe designed to assess:

Appropriate use of resources; Progress of PASIDP in delivering outputs; Institutional performance; and Potential impact on household food security, incomes, nutrition, health and environment.

B. Measuring Results

219. Programme activities carried out during the first two years of implementation should leadto the realization of the 1st level results (corresponding to the activities or output level of thelogical framework). Initially, these will mainly be related to the formation of IWUAs, and theparticipatory design and construction of schemes. The success in reaching targets, first set out inthe Appraisal and later revised in annual work plans work and budget (AWP&B), will serve toguide the Regional and Federal PCMUs and programme implementing agencies in takingcorrective action as well as provide IFAD supervision and follow-up missions with a timelybasis of information from which to judge progress.

220. The elaboration of the MIS will take into account the need to collect and analyse bothquantitative and qualitative information and will include the financial performance of theprogramme. The MIS will seek to minimize the time spent on generating data for reports, andfacilitate more analytical review. The main elements of the MIS will be reports from the Woredaas well as information regarding programme accounts. Reports from these entities will, in thefirst instance, focus on the agreed upon measures of results as briefly described below. Datacompiled in this regard will form the basis for future planning and the allocation of resources.

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221. The monitoring system under PASIDP will rely on the regional reporting structurecurrently in place. The DAs at scheme level form the backbone of the monitoring systemproviding data through regular quarterly, half-yearly and annual reports. For kebele/schemessupported under PASIDP, these reports will be compiled at Woreda level and forwarded to theregional project coordination and management unit (RPCMU). Reports on PASIDP supportedschemes will be consolidated at regional level and forwarded to the federal PCMU foraggregation and analysis. Reports will include a comparison between planned and actualachievements, and include cost data. Key reporting indicators are found in the programme’slogical framework as well as in Attachment.

C. Monitoring Indicators

222. Regional PCMUs will report semi-annually to the federal PCMU on agreed and specificmonitoring indicators. These regional reports will be aggregated at federal level. The exactindicators to be monitored will be defined during PY 1, including the source of data and methodfor data collection. PASIDP’s logical framework provides an indication of the type of data thatwill be reported, and includes data relevant for reporting to IFAD under its Results and ImpactManagement System (RIMS). The semi-annual regional monitoring reports will also includecost appropriate cost information. Table below sets out some of the key performance indicatorsthat will be reported.

TABLE 19: MONITORING INDICATORS

Component Monitoring IndicatorsProgramme Goal and Objectives

# of HH participating in the Programme graduated above the poverty line3/4 years after scheme are operational % increase in value of assets of participating households % reduction in prevalence of child malnutrition # of direct beneficiaries (FHH & MHH) Increase in household income from agriculture % of targeted population with increased climate resilience7

Component-1: Investments in Small-Scale Irrigation # of farmers that benefit from irrigation schemes (FHH & MHH) # of feasibility studies approved # of operational Irrigation Water Users Associations # of ha farmland under operational irrigation # of people adopting water-efficient practices

Component-2: Investment in capacity for sustainable agriculture Yield increase per ha # of functional cooperatives that provide at least 3 services to clients # of households with access to agricultural credit (FHH/MHH) In and off farm employment creation (FHH/MHH) # of people trained in production practices and technologies (FHH/MHH) # of ha under improved watershed management practice Improvement in Ecosystem Health Crop yield stability over seasons8

7 Measured by household resilience index8 Would be used in areas where yield and rainfall data is regularly recorded

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D. Knowledge Management and Learning

223. Knowledge management is the deliberate and systematic coordination of anorganization’s people, technology, processes, and organizational structure in order to add valuethrough reuse and innovation. This coordination is achieved through creating, sharing, andapplying knowledge as well as through feeding the valuable lessons learned and best practicesinto corporate memory in order to foster continued organizational learning

224. Knowledge sharing is concerned; the working culture of most of these organizations inEthiopia is in a way that the focus is on practical questions of day-to-day work rather than onlessons being learned at a strategic level. It’s usually hard to find good examples of a coordinatedand strategic approach either to knowledge dissemination or knowledge strategy. Most of the time,the problems associated in this regard are not what technological platform to use but how tomanage the vast amount of knowledge generated in a way that satisfies stakeholders, peers andgovernment counterparts as a strategic asset for development assistance. The following are thebasis to undertake Knowledge management and learning during the operational process dependson: Information Dissemination at Sub Kebele and Kebele Levels, Display Boards Conflict

Resolution Mechanism Sub Kebele Representatives Lessons learned/story telling

Internal Learning Kebele level, Woreda level, Regional level, Federal level Kebele levelMonthly Forum Quarterly Woreda Learning Forum, twice a year Regional Learning Forumand bi-Annual Federal Learning Forums.

225. Information Dissemination at all levelsAt woreda level it is disseminated by woreda focal person mainly through posters, meetings andprogress reports. At Regional and federal level it is disseminated through progress reports,newsletters, brochures, radio/TV programs, different studies, workshops and project web site

226. Kebele level Information Dissemination: Transparency in implementation andinforming community members even at the sub-Kebele level about project activities bringsabout greater involvement of community members in project activities. This will also makeIWUA committee and members perform their roles to the satisfaction of general communitymembers and hence ensure downward accountability. As committee members and IWUAmembers perform their roles and responsibly.

227. Information Dissemination through sub-Kebele representative:- In the kebele there is animportant link between IWUA Committee members or sub Kebele community. Therepresentative will convene a meeting of all IWUA members to gather information to becommunicated to the Kebele IWUA committee. The representative will also carry importantmessages from the Kebele IWUA committee meeting and disseminate the same at Sub- Kebelelevel.

228. Information dissemination at woreda level: Information about the project at woreda levelwill be disseminated by woreda focal person mainly through posters, meetings and progressreports.

229. Dissemination of information at regional and federal level: The main informationdissemination tools at region and federal levels are progress reports, newsletters, brochures,radio/TV programs, different studies, workshops and project web site.

230. Internal Learning: The programme will be uniquely implementing a participatorylearning framework for understanding issues emerging from programme implementation as wellas for documenting lessons learnt. Internal Learning forum at all level will be framed as: Annuallearning forum at Federal level, Bi-annual learning forum at Regional level, quarterly learningforum at woreda level and monthly learning at community level.

231. Learning Forums: The project will institutionalize opportunities from learning fromproject implementation at Kebele, Woreda, Regional and Federal level. The Learningframework is annual learning forum at Federal level, Bi-annual learning forum at Regional level,quarterly learninig forum at woreda level and monthly learning at community level.

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232. The Kebele level Monthly Learning Forums are on a monthly basis. The Kebelechairperson will be chairing the meetings and discussions are facilitated by other IWUAmembers. The Learning Forum will be attended by as many Kebele community members aspossible. The Social Audit Committee will make a presentation about their findings andrecommendations. In the implementation issues, qualitative aspects like complaints to rules,guidelines, criteria for selection of beneficiaries etc are raised in the Learning Forum. Thoseissues in which the IWUA can find solutions will be resolved then and there. Those issuesrequiring help from Woreda are raised and help sort from Woreda. The Learning Forum alsobrings up success stories, innovations and lessons which will be widely shared. These are alsocommunicated upward to the Woreda.

233. At Woreda level all inputs received from Kebele level Monthly Forums are discussed atthe Quarterly Learning Forum. The Woreda level Learning Forum will be attended byrepresentatives of all IWUA in the Woreda. The Woreda technic teams will also attend theWoreda Quarterly Learning Forum which will be chaired by the Woreda administration.

234. All lessons and issues from the Woreda will be reviewed at the bi-annually learningforums at the Regional level. The Federal level Learning Forums will occur every year year.The monthly learning forum at Kebele level will be chaired by Kebele leader and facilitated bycommunity leaders. Quarterly learning forums at Woreda level are to be chaired by WoredaAdministrator, the half yearly learning forum at Regional level will be chaired by Regionalproject coordinator and the annual learning forum at federal level will be chaired by projectcoordinator.

E. Impact Measurement

235. Assessment of the programme’s impact will be based on a comparison of pre-programmeliving conditions with conditions at programme completion. These assessments aim todemonstrate that the programme has achieved its goal and contributed to a reduction in povertyand improvement in livelihoods for the rural populations in the targeted kebele. Key measures ofthis impact will include: reduction in the number of people registering for assistance under theProductive Safety Nets Programme, reduction in the prevalence of child malnutrition and anincrease in household asset ownership. Since the geographic areas in which the programme willoperate are very broadly defined, and in view of the phasing of the programme interventions, animpact assessment survey at programme start-up would yield little data that could be comparedat programme mid-term or completion.

236. The baseline or benchmark assessments for each scheme will be carried out during thescheme planning/design phase by the development agents with assistance from theregional/federal M&E specialists. The specific information to be collected will be defined by theM&E staff during PY 1 with the specialist support. Attachment A provides indicativeinformation that will be included as part of these assessments. This information will be enrichedby data from secondary resources, including nutrition surveys, Productive Safety NetsProgramme data, and other regional/national data. To the extent possible, data from secondarysources should be disaggregated to the woreda level and where possible to the kebele.Assessments will be carried out for both schemes that will be constructed under PASIDP as wellas those underPASIDP II.

237. Mid-term assessments will be conducted for those schemes that have been operational formore than two years, to assess any changes from the benchmark. The mid-term assessment willalso include an assessment of sustainability – including both the works carried out (has O&Mbeen regularly carried out?) and the IWUA (has the IWUA been collecting water charges? Isthere sufficient water for all members?) An analytic report for each scheme will be prepared bythe RPCMU M&E Specialist, contrasting the pre- and post-programme situation in each scheme.This report will provide an early indication of the suitability and sustainability of PASIDP’sstrategy for poverty reduction.

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238. A completion assessment will be undertaken before the programme ends on at least 24randomly schemes that have been operational for at least three years, six in each of the regions.The selection will need to ensure that schemes constructed under both PASIDP (I) and PASIDP(II) are included. This assessment will be undertaken during the first quarter of PY 7. The sameinformation will be collected from the same data sources where possible, as for the mid-term andbenchmark assessments.

239. It is expected that the mid-term and completion assessments, including field work andreport writing, will be carried out over an approximate two to three week period for each region.The federal PCMU M&E Specialist will lead these assessments, supported by regional M&ESpecialists, SMS teams and development agents. Findings from the assessments will form anintegral part of the completion review.

F. Rims Indicators

240. Assessments for food security, incomes, nutrition and environmental impacts are systemicand cannot be accurately measured through direct methods. Food security is defined by theability of a given community or households to have the food they need through-out the year(usually measured through a proxy of the calorific requirements of individuals per household).This measure includes those who do not produce their own food and takes into account thecalorific intake through a diversified dietary intake. Estimation methods through formal surveyinvolving sampling and extrapolation with assumption are a conventional imperial practice.However, the accurate inference to the targeted community is essential for establishing the levelsof food security.

241. Direct questionnaire surveys to establish incomes are usually inadequately reliable. This isso because there is a tendency for households to hold back information on their true incomes forpurposes of modesty, or for suspecting that by telling the truth they may pre-empt somegovernment free distributions. Thirdly, information on household incomes is considered asprivate. It is thus recommended to use a number of tools to establish incomes and to triangulateresponses probed from household questionnaires. A process by which the resulting data andinformation can be taken with confidence needs to be established.

242. Family nutrition data is usually obtained from the proxy of growth monitoring statisticsof Under-5 children of a community and can be further triangulated or augmented by survey dataon dietary intake. This is justified because it is too expensive, time consuming or clumsy toundertake anthropometric surveys to establish this welfare statistic from adults. Furthermore theHIV& AIDS pandemic undermines and confounds the true picture of the quality of nutritionaccessed by the adult community.

243. Through a series of steps taken in environmental impact assessments (EIAs) ,environmental impacts of project interventions can be established. This document recommendsthat a comprehensive plan for undertaking the assessments on food security, incomes, nutritionand environment be considered and planned in view of the recommendations discussed above. Itis thus pointed out that a detailed document laying down the proposed approaches with a timeframe of execution will be presented separate from this document.

244. Staffing: A monitoring and evaluation specialist will be recruited at federal level. TheM&E specialist will ensure the timeliness of the reports submitted and provide support toimprove quality. The M&E specialist will also be responsible for carrying out mid-term andcompletion assessments/surveys that will be used to assess programme impact as well as otherad hoc studies or surveys. Regional PCMUs will include an M&E specialist, or that function willbe undertaken by staff in the BoANR’s Planning and Monitoring Department. Federal andregional M&E specialists will be responsible for compilation and analysis of reports receivedfocusing on detecting emerging trends, potential problems, and replicable successes. Theanalysis should also include measures of cost/benefit.

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245. Computer equipment and training will be provided for each of the specialists; andprovision will be made for logistical support. The M&E specialists will be expected toparticipate in the elaboration of PASIDP’s monitoring system, which will be led by short-termtechnical assistance. Regional specialists will be responsible for ensuring that baseline and otherreports for schemes or Woreda are submitted on time and meet quality standards. Baseline datawill be stored electronically using a standard spreadsheet package in order to facilitate analysisand data sharing. Allowances for the M&E specialists to visit schemes and Woreda as well as forSMS teams will be financed under the programme.

246. Terms of reference for the technical assistance include an analysis of existing monitoringstructures, definition of roles and responsibilities and definition of key performance indicators.The TA will further review existing reporting arrangements and devise simple, targetedreporting formats for compiling results under PASIDP. The initial TA will also identify thebaseline information required at scheme level (to be collected by the DAs supervised by Woredastaff), and devise relevant reporting formats. The technical assistance will also be used toundertake a benchmark survey on household asset ownership. It will also be used to identifyother information sources, particularly regarding nutrition, health and environment indicators.

G. Logical Framework

247. The Logical Framework is a summary statement of the strategic objectives of a project. Itwill show the relationship between and among various components of the project and how theyconspire to give rise to the overall goal and intended impacts of the project. Central to itsconstruction is the requirement to illustrate that selected outputs would give rise to desiredoutcomes and which would in turn produce the goals and impacts. Subsequently, routineprogramme activities are strategically selected to ensure that they lead to the expected outputs.In other words, the choice of activities for implementation follows some logic. It follows thatthere is a logical relationship between the activities planned to ensure that they lead to certainoutputs. In turn the outputs are so produced with the expectation that they lead to certainoutcomes. The long term effects of outcomes give rise to the attainment of the Project orProgramme Goals. For the purpose of a reminder to the reader of this section the terms used inthe logical framework are defined below as: Activities: Actions taken or work performed in a project to produce specific outputs by

using inputs such as funds, technical assistance, vehicles, fuel, etc. Input: The financial, human and material resources necessary to produce the intended

output of a project/programme Output: The products, services or results that must be delivered by the project for the

component objectives and purpose to be achieved. Outcome: Short term and medium term effects of an intervention’s output Goal/impact: Long term positive and negative effects produced by a development

intervention

248. The Logical Framework Matrix is arranged in a tabular form which ensures that for eachobjective expected to be attained, there is one or more description of the performance indicatorsby which to tell that the objective has been achieved. It is followed by a provisional statement ofthe source of information from which the evidence of attainment will be obtained, registered orrecorded. Finally, the expectations to achieve the objectives are subject to deleterious threats thatare beyond the control of the programme. They are recorded as Assumptions to denote theconditions that must be fulfilled or held constant if the stated objectives are be attained. ThePASIDP Logical Framework is presented at end of the text. It has been developed from theProgramme Development Report produced in May. 2016

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H. Establishing Participatory MIS

249. Monitoring has been defined as a continuous process of critical observation of what isactually happening compared to plans. This process is held in tandem with the collection of data,analysing, synthesizing and reporting at various levels where these plans are conceived. Thestrategic aim of a monitoring system is to support management with timely information onwhich to make decisions for support and controls. It follows that such a system has to be relevantto the various managers at all levels of the programme execution. Since monitoring is based onplans the reporting formats and requirements have to be derived from the plans themselves. Theprocess must aim at producing simple formats requiring rapid completion of reports, and yetremain informative, timely and effective. To attain this requires a skill that must be built at alllevels.

250. On the other hand the Evaluation Systems comprise periodical assessments on the processof delivery, and attainment of outputs, outcomes, goals and impacts. The development of anEvaluation Systems begins with a rigorous process of developing or (in the case of PASIDP)firming up the Logical Framework as described above, and then proceeding to develop tools formeasuring the benchmarks (the baseline). It further lays a basis for a continuous or recurrentplanning process (such as in the Annual Work-planning & Budgeting – AWPBs) and ensures aclear connection between The system further lays milestones at which formal periodicalassessments must be made. In addition, it is desirable to undertake special studies in order tolearn from a variety of experiences gained during the process of execution. A systematic processof the choice for the learning tools, the compilation of captured lessons and packaging them fordissemination and dialogue. The latter is an emerging discipline of Knowledge ManagementSystems promoted by IFAD.

251. A further consideration of establishing effective P, M&E Systems is to ensure theexistence or the development of staff capacity to operationalize the systems. In the case ofPASIDP further skills in facilitation and participation are required. To this end a rapid trainingneeds assessment of staff responsible for M&E needs to be carried out in all the regions.Additionally, the adequacy of staffing and a recommendation of alleviating strategy need to bemade.

252. In view of the state of the art briefly discussed above, it is recommended thatcomprehensive participatory Planning, Monitoring & Evaluation Systems be developed andinstitutionalized for PASIDP. In conformity to the functional learning process of adults, it is notappropriate to undertake the development of all components of the systems at one time. All thesubcomponents of the Monitoring and Reporting Systems will need to be demonstrated and staffbe demonstrated to utilize them. Whether a subsystem is developed or not must answer to aperceived or felt need by the Programme stakeholders.

253. During the first quarter of the year, it is hoped that the Programme shall have decided thenew schemes to be developed and a feasibility study carried out. The first evaluation module tobe developed will be utilized for the undertaking of the Baseline Survey to the new Schemes.Along the baseline surveys for new schemes, impact assessments surveys will be carried out forselected PASIDP I schemes in the second and third quarter of the year. A detailed proposalindicating a time schedule and requirements to develop a replicable M&E Systems for PASIDPis presented in a separate document from this one.

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TABLE 20: INDICATIVE SCHEME BASELINE DATA

Socio-economic characteristics Number and size of households in the kebele (disaggregated by sex of household head) Number of adults (m/f, over 16 years) in kebele Number of children (m/f, under 16 years) in kebele Adult literacy (m/f, over 16 years) % of school age children (m/f) currently attending % of households with access to safe water % of households with access to safe sanitation Number of households reporting food insecurity, and average months of food insecurity Number of households participating in Productive Safety Nets Programme (by type of

participation) Household fuel source (% of households)

Agriculture

Number of farmers with landcertificates

Size of rainfed holdings Cropping patterns for each holding Yields of most important crops % of production marketed in kebele

and elsewhere (estimated by farmer by crop) Number of livestock by type Feeding/grazing patterns

Irrigation

Type of scheme proposed Size of the proposed scheme Number of farmers who own/will

own irrigated land, disaggregated by sex ofhousehold head

Size of irrigated holdings Proposed cropping patterns Distance from kebele to scheme

Environment % of catchments area considered degraded Number of livestock allowed to graze on catchments Other uses of catchments, e.g., beekeeping, fuel wood source

TABLE 21: LOGICAL FRAMEWORKS

ResultsHierarchy

Performance Indicators Means of VerificationRisksAssumptionsIndicators9 Baseline End

Target10 Source FrequencyResponsibility

Goal:Increasedprosperity andimprovedresilience toshocks in foodinsecure areasof Ethiopia

1. # of HHparticipating in theProgrammegraduated abovethe poverty line3/4 years afterscheme areoperational

TBD11 TBD

Referencesurveys

PY1,PY7

FPCMU,consulting firm

2. % increasein value of assetsof participatinghouseholds

TBD TBD

Referencesurveys

PY1,PY7


9 If possible, indicators are disaggregated by gender of household head, gender and age.10 The impact survey of PASIDP (IFAD, 2016) was used to determine the end targets.11 TBD= To Be Determined after baseline survey

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ResultsHierarchy



3. %reduction inprevalence ofchildmalnutrition

TBD TBD

Referencesurveys

PY1,PY7


Development Objective:Improvedincome andfood securityfor ruralhouseholds ona sustainablebasis

4. # of directbeneficiaries

0 100,000

Progressreports

Annual


Effectiveagribusinesslinkages

Efficientstart-up5. Increase in

householdincome fromagriculture

xxETB/ha

xxETB/ha

Referencesurveys

PY1,PY3,PY7


6. % oftargetedpopulation withincreased climateresilience12

80%

Referencesurveys

PY1,PY3,PY7


Component 1: Investments in Small-Scale Irrigation

Outcome1: Farmershavesustainableaccess toirrigationschemes

7. # offarmers thatbenefit fromirrigationschemes

0 37,500

Surveysandspecializedstudies

PY1, PY3,PY7

RPCMU,implementers

Ownership ofbeneficiariesin irrigationschemes (A)

No elitecapture (R)

Output1.1. Selectionof 15,000 haof irrigationschemes forinvestment

8.# of feasibilitystudies approved 0 15,000 ha

Progress report

Quarterly RPCMU,implementers

9. # ofoperationalIrrigation WaterUsersAssociations

0200IWUAs

Progressreport

Quarterly RPCMU,implementers

Output 1.2Irrigationschemesdeveloped orupgraded on15,000 ha

10. # of hafarmland underoperationalirrigation

0 18,400 ha

Survey PY1,PY3, PY7

RPCMU,implementers

11. # ofpeople adoptingwater-efficientpractices TBD

80% ofpeopleuse atleastthreepractices

Survey PY1,PY3, PY7

RPCMU,implementers

Access totechnologicaloptions

Component B: Investment in capacity for sustainable agriculture

12 Measured by household resilience index

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ResultsHierarchy



Outcome 2:Farmers haveincreasedmarket-oriented skillsand capacityforsustainableagriculture.

12. Yieldincrease per ha Maize:

3.5 MT/haOnion:

5 MT/haChickp

ea:1.5MT/ha

Maize:5.0 MT/ha

Onion: 16.0MT/ha

Chickpea: 2.0MT/ha

Surveys andspecializedstudies

PY1,PY3,PY7

FPCMUandconsultingfirm

Access tofinancialservices (A)Sufficientcapacity ofpublicservices (A)

Climatechangemeasuresadopted (A)

Output 2.1Improvedaccess toappropriateinputs, accessto agriculturaland financialservices forsmallholderproducers

13. # offunctionalcooperatives thatprovide at least 3services toclients

TBD 100

Progressreport

Quarterly

RPCMU,implementers

14. # ofhouseholds withaccess toagriculturalcredit

TBD50,00

0

Progressreport

Quarterly

RPCMU,implementers

15. In andoff farmemploymentcreation

020,00

0

Progressreport

Quarterly

RPCMU,implementers

Output 2.2Improvedproductivity ininterventionareas

16. # ofpeople trained inproductionpractices andtechnologies

TBD15,00

0 ha

Progressreport

Quarterly

RPCMU,implementers

Output 2.3Improved andsustainablewatershedmanagement

17. # of haunder improvedwatershedmanagementpractice

0 ha68,16

0 ha

Progressreport

Quarterly

RPCMU,implementers

18. Improvement inEcosystemHealth

0 40%

LDSF13 PY1,PY3,PY7

RPCMU,implementers

19. Cropyield stabilityover seasons14

TBD 70%Progress report

PY1,PY3,PY7

RPCMU,implementers

13 Land Degradation Surveillance Framework (LDSF) for monitoring land and environmental health surveillance,14 Would be used in areas where yield and rainfall data is regularly recorded

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X. CAPACITY BUILDING

A. Introduction

254. The capacity of public institutions that are involved in the design and development ofsmall scale irrigation including the implementation and supervisions is not as it used to be earliersuch as Co-SAERT in Tigrai, Co-SAERAR in Amhara, OIDA in Oromia and Co-SAERSAR inthe southern region. To date the only surviving specific irrigation institution with diminishingtrained and professional manpower is the Oromia Irrigation Development Authority.

255. There is a pressing demand for the public institutions and also IWUA to be equipped withknow-how regarding project preparation, management, and evaluation and monitoring. Thus,these areas will form the basis for capacity building activity. Initially a comprehensive needsassessment should be conducted in order to articulate capacity building areas, extent, content andapplication. The capacity building is one of the key activities of PASIDP II.

256. The training will be goal-specific and it would cover all aspects of programmeimplementation - design, approach, participatory development, agricultural development,monitoring, and any topic identified in the training needs assessment study. The initial approachto training will involve the Training of Trainers (ToTs) using senior national experts and seniorspecialist staff from within the BoANR and BoWR as the resource persons. Thereafter the staffin the FPCMU and Woreda offices would be trained and the Woreda staff would providetraining to the DAs and to the IWUAs. Keeping in mind the risk of staff turnover during theprogramme implementation, training would be provided on a continuous basis and it would bere-scheduled whenever the need arises.

257. The staff will be trained as quickly as possible after programme start-up and they wouldalso be provided with logistic support for their office and field-based work. The trainingcurriculum will be adjusted depending on the needs of the participants. Tables attached at end ofthe text will be modified and revised according to field specific requirements and also on thebasis of the recommendations of the training needs assessment.

258. The FPCMU Capacity Building & gender officer will be appointed for the full, seven-yearduration of the programme. During the first year, he/she, assisted by the Capacity Building &gender officers from RPCMUs, will support, monitor and steer the training programme, preparetraining plans, identify and assist with the recruitment of persons to prepare training material,arrange training sessions, and monitor and control the quality of training. The FPCMU CapacityBuilding & gender officer will provide on-the-job training for the RPCMU Capacity Building &gender officers. In the subsequent years, the RPCMU Capacity Building & gender officers willtake full responsibility for coordinating the regional training activities, including: the preparationof annual training plans and identification of the need for refresher training and the organisationof this training.

B. Key Factors for Success

259. The key factor for success are mainly based on the following points: Ability of the Government to deploy required staff for the FPCMU, RPCMUs, and regional

bureaux on time. Ability of Woreda administrations to provide Woreda focal person and deploy the

necessary DAs for the selected schemes. The importance of community mobilisation and sensitisation of farmers at the time of

organising them into water user associations without disturbing their traditional watermanagement practices.

Identifying quality trainers for the proposed programme, as the activities are scattered andlocated in remote area sites.

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C. Training Needs Assessment

260. A training needs assessment will be conducted to analyses and assess the present andfuture training needs of farmers, women, water user associations, DAs, Woreda and regionalstaff. Based on the assessment a comprehensive training strategy would be prepared andimplemented in order to upgrade the skills in irrigation, water management, irrigated agronomyand participatory processes. It would include training of IWUAs in group organization andmanagement, planning and bookkeeping. In developing the capacity building programme stepswill be taken to ensure that the programme meets the specific needs of farmers and women’sgroups. This will require the use of structured questionnaires to obtain primary information, andconducting focus group discussions with the target group to get the details or further validatesome of the issues.

261. The result of the analysis of the training needs assessment survey will be used to designthe training programme for each level. The survey is expected to come out with the trainingcourses, modules, seminars and workshops (with detailed contents, reading references, serviceproviders, faculty, etc.), for the staff of BoANR, BoWR, Woreda staff, Development Agents,farmers, women, IWUAs etc. This will help the FPCMU and RPCMUs to prepare acomprehensive plan for training activities with guidelines for the preparation of the annualtraining calendar.

262. The training needs assessment should be completed within nine months of programmestart-up. A nationally recruited agricultural consulting firm or any other agency including theAgricultural Research Organizations or Universities would be used to make the study. TheCapacity Building & gender officer of the FPCMU with the support of the RPCMUs Trainingand Gender Officers will coordinate the training needs assessment study

263. Training Materials and Modules. Once the training needs have been assessed, trainingmaterials and modules would be prepared by capacity building and Gender specialist assisted byPCMU and other partners. The training would include analysis of case studies, exercises insmall group discussions, role playing, further study material, etc for each course identified. Anyexisting curriculum of training institutions will be thoroughly reviewed and revised in order toproduce a comprehensive new curriculum which would include irrigation extension, watermanagement, participatory approaches to irrigation development etc. A team comprising anationally recruited TA and two experts, one each from BoWR and BoANR from each regionwill develop: (a) the material for training of trainers’; (b) training materials and training modulesfor regional Woreda staff; and, (c) the revised curriculum modules.

D. Capacity Building for the Staff of RBoWR

264. Focus. Capacity building for the staff of the Water Bureaux would target scheme designand implementation supervision using the participatory approaches. This would be achievedthrough a series of short term in-field and in-country training and refresher course as well as theprovision of some regional study visits.

265. Training of Trainers. A training of the trainers programme will be provided to seniorstaff experts in the Regional Water Bureaus so that they can train their junior staff. On the jobtraining would be provided to the staff of Regional Water Bureaux by senior irrigation experts.Staff from the Woreda will join this training depend on their needs. The Woreda staff would betrained by the Regional staff and the topics to be covered would include irrigation extension,irrigated agronomy, water management and water rights, land certification and participatorydevelopment approaches. This training would be conducted at the regional headquarters forabout one week and be provided once (twice) a year, for three consecutive years.

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266. Refresher Courses and Study Visits. Five days refresher courses would be organizedfor the senior staff officers on subjects covering project management, planning, conflictmanagement, participatory approaches, catchment area planning approach and methodology.The training will be organized on second, fourth and sixth years at any of the institutions(Research, Universities, Management and others). The domestic training will be supplementedby more specialized training of individual staff experts through their participation in shortcourses at foreign institutions that relate directly to the job specializations of these staff and forwhich suitable training is not available in Ethiopia. The Programme will also include study visitsto countries that have successfully developed participatory irrigation development andagricultural extension systems that are of relevance to the Ethiopian situation. These studyvisits, which will be on average one week in length, will be for the staff from the Federal andRegional Bureaus of Water and Agriculture.

267. Training DAs in Irrigation Extension. All DAs including those responsible foragriculture, cooperatives, irrigation and women’s groups would be provided with training at therespective Woreda headquarters at least twice a year. All DAs associated with the PASIDPwould attend these training programmes. Key topics would be participatory approaches forirrigation development, organisation of IWUAs, water management and water distribution,training of IWUA committee members, gender issues etc.

E. Capacity Building for the Staff of BoANR

268. Training of Trainers. Following the training needs assessment, training activities for thestaff associated with PASIDP implementation would be structured and planned. Tentatively, andwith a view to providing initial support to the programme activities, the emphasis would be ontraining of trainers. The staff from the Regional BoANRs would be receiving training on cropproduction technology, extension support services in irrigated agriculture, gender mainstreamingand natural resources conservation. This training would be for fifteen days and be conducted inGovernment institutions (Universities, Research or management institutions). The programmewould hire the services of two senior resource persons for the purpose. The training would beconducted once a year for the first three consecutive years.

269. Woreda Staff Training. The Woreda staff, including the Woreda focal persons, wouldreceive training on aspects of agricultural development with special emphasis on irrigated cropproduction, post-harvest technology, scheme selection procedures, setting-up of FRGs, watermanagement and aspects project management. This training would be organised at least once ayear for one week and the Regional staff of BoANR, gender specialist and one external expertwould be used as the resource persons.

270. Training DAs. For IWUAs to be effective and for irrigation schemes to be productive itwill require the rural institutions at the scheme level to be sustainable. This would be achievedthrough the on-going agricultural extension programmes complimented by specific trainingprogrammes. Although the extension is primarily intended to disseminate agriculturalinformation packages on increasing production and productivity, under PASIDP the programmewill be reoriented to promote and improve overall scheme performance. The DAs at the Kebelelevel will be responsible for the implementation of the participatory small-scale irrigationdevelopment activities at the grassroots level. Getting a group of farmers organised into a IWUAwill take time and skill and success will be dependent on the personal skills and attitudes of DAsin forming and supporting the groups.

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271. The DAs will play a key role in the implementation of the PASIDP II activities at schemelevel. They will need, first to have the basic skills in irrigated agriculture and the capacity tomobilize, organize and manage the activities of the IWUAs. In addition, they need to beadequately prepared to implement training courses and other activities of the programme at thegrassroots level. The content of DAs’ training should include: awareness creation, communitymobilisation, mainstreaming gender in programme implementation, irrigation watermanagement, water distribution, conflict resolutions and management, and monitoring andevaluation. The training topics would include scheme selection, planning and PRA techniques,operation and maintenance procedures, organizing FRGs, how to setting-up demonstrations,post-harvest technology and programme linkages with other activities such as market and creditetc.

F. Capacity Building for IWUA

272. The community sensitization activities under PASIDP will help to define local prioritiesand lay the foundation for building local ownership, sustainability and better implementation ofPASIDP activities at grassroots level. The objective of community sensitization is to increase theinvolvement and participation of farmers and create awareness about the scheme developmentand O&M practices in line with the existing traditional practices and approaches. This will givefarmers opportunities to share experiences, exchange ideas and interact with other farmers andIWUA members, to identify issues of concern and how to address them.

273. IWUAs would be provided with training 4 times in a year, two of these trainings wouldbe for the committee members of IWUA, and two would be for all members of IWUA. Thetraining would be organized by the DAs with the support of the kebele administration, Woredacoordinators and staff from the Cooperatives. The IWUA committee would be provided withtraining on all aspects of leadership, water management and water distribution, irrigationagronomy, operation and maintenance responsibilities, procedures for scheme maintenance andparticipatory approaches. In particular key members would be trained in bookkeeping, recordkeeping and the operation of a bank account. The IWUA members would be provided withtraining on O&M procedures, production systems and market-based agriculture. The trainingwould be organized at the FTC and would generally be of one or two days’ duration. Thetraining would be scheduled so as to avoid any disruption of the regular farming operations.

274. The effective training of IWUA committees is fundamental for scheme sustainability asthey would eventually assume full responsibility for the O&M of the completed irrigationschemes. Their training would focus on: leadership, water management, O&M procedures,conducting IWUA management meetings and general meetings, conflict resolution andmanagement, group dynamics; collective marketing and market information systems;environmental problems, etc. In addition to training, IWUAs would also be taken on specialexposure visits to successful irrigation schemes in nearby areas. This would facilitate sharing ofexperiences and ideas and provide opportunities to learn from the best practices of irrigation andagricultural production and marketing within the Woreda and outside. At least one experiencesharing visit (consisting of 12 members) will be organized for each IWUA, and some 10 to 15%per cent of the participants in the exposure visit programmes should be women.

G. Training Women Beneficiaries

275. Women play a major role in agricultural production and marketing in rural areas. Whilethey are not usually involved in land preparation, they are involved directly in all aspects of cropproduction. Women also have responsibility for providing the household with a healthy diet –especially for the children. Special training programmes would be organized to target women.These would be conducted by the Gender Specialist from the Woreda level, and DAs would alsoparticipate. This training would cover both agricultural aspects and issues relating to health,nutrition and family welfare.

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276. This training would be designed to change attitudes, improve skills and positivelyinfluence the role of women in agricultural production, processing and marketing. Theprogramme will provide basic training on irrigated agriculture, use of drip irrigation forvegetable cultivation, new technology, use of labour saving tools and farm implements and fuel-saving cooking stoves etc. This will involve sensitization and skill transfer in agriculturaltechnology. Subject to the baseline surveys and training needs assessment, the training willinclude: management and organization of group dynamics; collective marketing and contractualarrangements; market information system; post-harvest handling; quality control etc. Inparticular the training of women would be designed to support them playing a greater part indecision making – particularly within the IWUAs.

H. Implementation Arrangements

277. The Programme Coordinator, FPCMU will be responsible for identifying suitablecandidates for all TA positions and submitting them to the State Minister, NRD, and MOANRfor clearance. In the case of short-term TAs, the Programme Coordinator will develop terms ofreference in close coordination with the involved government staff and other stakeholders. Oncecleared by the PSC and the Minister, MOANR, the Programme Coordinator will be responsiblefor hiring and mobilizing all TAs, who will report to him/her. The identification and recruitmentof trainers and/or training institutions will be the responsibility of the Capacity Building &gender officer and FPCMU in close consultation with the Regional Capacity Building & genderofficers and RPCMUs.

278. The selection of trainees will be the responsibility of the RPCMUs and FPCMU in closeconsultation with the respective heads of departments or Bureaux and finally approved by therespective regional SCs. Course assessment questionnaires will be prepared by the CapacityBuilding & gender officers and completed by all trainees. These will be reviewed by theCapacity Building & gender officers prior to his/her recommending payment of remuneration tothe trainers. The Programme Coordinator will be responsible for preparing and implementingstudy visits on the basis of advice from involved government staff, other stakeholders and TA.He/she will also determine the public and private sector institutions from which participants willbe drawn and the number of participants from each category. The individual(s) will be selectedby the head of each involved institution.

TABLE 22: TRAINING IMPLEMENTATION ARRANGEMENT

A. STUDY TOUR: FOR THE STAFF OF THE REGIONAL WATER BUREAUXTitle of Training: Study tour within Ethiopia and neighbouring countriesMode of Training: Study toursTraining Centre: Neighbouring CountriesDuration: One weekTraining

Topics/modules:Participatory Approaches, catchments area planning

Details PY 1 PY 2 PY 3 PY 4 PY 5 PY 6 PY 7 TotalNumber of

Sessions/year:1 1 1 1 1 1 6

Number ofParticipants:

Federal: 4 4 4 4 4 4 24Regional: 20 20 20 20 20 20 120

EstimatedExpenditure

(000 ETB)

At the rate of 87.33 per participant

Estimated at USD 4100 per participant

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B. TRAINING THE STAFF OF REGIONAL WATER BUREAUXTitle of Training: Training of Trainers.Mode of Training: Two senior experts hired as Resource PersonsTraining Centre: GoE Institutions ( University, EIAR, management)Duration: Two weeksTrainingTopics/modules:

Participatory Approaches, irrigation extension, water management, IWUAs,

Details PY 1 PY 2 PY 3 PY 4 PY 5 PY 6 PY 7 TotalNumber ofSessions/year:

1 1 1 1 16

Number ofParticipants:Federal: 2 2 2

6

Regional: 24 24 2472

Zonal : 24 66 72 36 18 216

Woreda: 72 204 222 102 60660

EstimatedExpenditure(000 ETB)

1,925.284 3,056.184 3,212.184 897 507 9,597.552

a/ training materials assumed at ETB 300 each, DSA at ETB 300/day, food expenses at ETB725/person/dayPayment to resources person at ETB 2000/day/person

C. Training of Watershed Management TeamTitle of Training: Training of Trainers.Mode of

Training:Two senior experts hired as Resource Persons

Training Centre: GoE Institutions within respective regionsDuration: One weekTraining

topics/modules:Participatory Approaches, irrigation extension, watershed management, IWUAs,

Title of Training: Implementation supervision, environmental aspects in irrigation planningMode of

Training:Training of Zonal, Woreda Experts,DAs and Kebele Communities .

Training Centre: Two senior experts hired as Resource PersonsDuration: GoE Institutions (University, EARI, Management etc.)


1 1 1 1 1 1 6

Number ofParticipants:Federal: 2 2 2 2 2 2 12Regional: technicalteam

28 28 28 112

Zonal technicalteam

281 105 161 126 63 21 504

Woreda watershedteam

84 322 497 378 189 70 1540

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C. Training of Watershed Management TeamWoreda technicalteam

120 460 710 540 270 10 2200

DAs 188 372 388 296 144 52 1440Kebele TechnicalCommittee

170 630 970 740 360 130 3000

Kebele watershedcommittee 153 567 873 666 324 117 2700Communitywatershed team

221 819 1261 962 468 169 3900

IWUA Committee 517 1023 1067 814 396 143 3960Beneficiariestraining

12,325 45,675 70,325 53,650 26,100 9425 217,500


(000 ETB)

6,738.376 20,466.776 29,175.576 22,329.576 10,792.8 3910.4 93,413.504

a/ training materials assumed at ETB 500 each, DSA at ETB 200/day, food expenses at ETB 100/person/dayPayment to resources person at ETB 2000/day/person

D. ON-THE-JOB TRAINING TO THE REGIONAL AGRICULTURAL BUREAUXTitle of Training: On-the-job trainingMode of Training: Federal and Regional PCMUTraining Centre: Respective regional headquarters or work sites/UniversityDuration: ContinuousTraining

Topics/modules:Support monitoring and steer the training programme, prepare training plans and

control thequality of training

Title of Training: On-the-job training

Details PY 1 PY 2 PY 3 PY 4 PY 5 PY 6 PY7 TotalNumber of

Sessions/year:1 2 2 2 7


Federal: 16 32 32 32 112Regional: 40 80 80 80 280


(000 ETB)

3,668.616 7,337.232 7,337.232 7,337.232 25,680.312

Estimated at ETB 11,295 per participant for 15 days

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E. TRAINING THE STAFF OF THE REGIONAL AGRICULTURAL BUREAUXTitle of Training: Training of trainersMode of Training: Two specialists are hired as resource personsTraining Centre: Respective regional headquarters (government institutions)Duration: Two weeksTraining

Topics/modules:Crop production technologies, PRA, irrigation extension, FarmerResearch

Title: Groups, seed production,IPM,


Sessions/year:1 1 1 1 4


Regional:Zonal and WoredaDAs training on

agronomyTraining for

FHH/WHHTraining for FRGTraining on

demonstrations2 person/schemeTraining on nutrition

4701880

94

8114479303720

1261400

8122639703880

194

8188977402660

1481710

8144743601440

72

87236130520

261960

82613

40666330360014400

6605070

Estimates are based on training materials at ETB 100,000, travel and DSA ETB 20,082300, venueETB 44,300

Payment to resource persons at ETB 2000/ person-day.Estimates are based on training materials at ETB 100,000, travel and DSA ETB 20,082,3000,

venue ETB 44,300

F. TRAINING THE STAFF OF REGION, ZONE and WOREDA AGRICULTURAL OFFICESTitle of

Training:training Marketing

Mode ofTraining:

Two specialists from Federal Coop Agency, Institutes are engaged as Resource persons

TrainingCentre:

GoE institution centres (University, EIAR, Management)

Duration: One weekTitle New technologies, Farmer Research groups, demonstrations


Sessions/year:1 1 1 1 1 1 1 7


Regional: 12 12 12 12 12 12 12 84Zonal andWoreda:Coops communitytraining onMarketing

82

517

114

1023

122

1067

188

814

144

396

72

143

26 748

3960

EstimatedExpenditure(000 ETB)

16,165.508 41,723.284 50,952.484 44,854.4 20,778.192 9,269.0928 185,208.592

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G. TRAINING THE KEBELE DEVELOPMENT ASSISTANTSTitle of Training: Orientation TrainingMode of Training: Training given by Woreda staff by region and zonal expertsTraining Centre: Woreda headquartersDuration: One weekTraining

Topics/modules:Scheme selection process, irrigated agriculture, seed production, new

technologiesTitle of Training: Orientation TrainingMode of Training: Training given by Woreda staff

Details PY1

PY 2 PY 3 PY 4 PY 5 PY 6 PY 7 Total

Number ofSessions/year:

1 1 1 1 1 1 1 7


17 46 51 23 13 150Kebele/DAs 188 372 388 296 144 52 1440


(000 ETB)

1,710.8 3,385.2 3,530.8 2,693.6 1,310.4 473.2 13,104.0

Assumed at ETB 1450/participant. This includes training materials at ETB 50, travel ETB 100,DSA ETB 490

Venue expenses ETB 500 and payment to resources persons at ETB 250

H. COMBINED TRAINING TO DEVELOPMENT ASSISTANTSTitle of Training: Orientation TrainingMode of Training: Training given by Woreda staffTraining Centre: Woreda headquartersDuration: Twice a year and 3 days eachTraining

Topics/modules:Water management, conflict resolutions, participatory approaches


2 2 2 2 2 2 12

Number of Participants:Woreda: 17 46 51 23 13 150Kebele: 18 45 72 95 118 118 466

Estimated Expenditure(000 ETB)

54.5 109.0 163.5 218.0 272.5 327.0 0 1144.5

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I. TRAINING THE IRRIGATION WATER USER ASSOCIATIONSTitle of Training: Training IWUA committee members and all members, DAs & Kebele staffMode of Training: Cooperative AgencyTraining Centre: At respective kebele headquarters or at FTCDuration: Four times a year; one day eachTraining

Topics/modules:Community sensitisation and awareness creation, community based participatory planning




IWUA committeemembers

517 1023 1067 814 396 143 3960

IWUA membersCommunity

watershed team

12,325221,000

45,675819,000

70,3251,261,000

53,650962,000

26,100468,000

9,425169,000

217,5003,900,000


(000 ETB)

2,203 10,977 16,393 12,506 6,084 2,197 51,360

The task will be outsourced to NGO for the initial three year period and cost is estimated at USD 1000 in first year,USD 250 in second year and USD 250 in third year per IWUA.

J. TRAINING THE WATER USER ASSOCIATIONS BY DasTitle of Training: Training IWUA committee members and all members, & Kebele staffMode of Training: DasTraining Centre: At respective kebele headquarters or at FTCDuration: Four times a year; one day eachTraining

Topics/modules:Leadership training, water management, O&M procedures, IWUA meetings

Conflict resolution and management



Number of Participants:IWUAs 15 30 45 60 75 90 90 405IWUA committee

members180 360 540 720 900 1080 1080 4860

IWUA members 1500 3000 4500 6000 7500 9000 9000 40500Kebele admin staff 18 45 72 95 118 118 118 584

Estimated Expenditure(000 ETB)

60.0 120.0 180.0 240.0 300.0 360.0 360.0 1,620.0

Estimate is based on the assumption that four one day training per IWUA per yearEach IWUA has some 12 member committee and with a total of 100 members per IWUAEach member is given ETB 10/day towards food expenses;Gender specialist from Woreda also attend the training and provide orientation and sensitisation to women’s groups

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K. WORKSHOPSAt Federal levelTitle of Training: Start-up workshop for stakeholders, and performance, Closing and baseline and impact

survey workshops organized by FPMCUMode of

Training:Regional steering committees and stakeholders, GoE Institutions.

Training Centre: At Adama for start-up and at respective capitals of the regions for performance evaluationDuration: 1 day for start -up and 5 days for performanceTraining

Topics/modules:Informing stakeholders the start-up of the programme, performance evaluation of eachregion, and field visits within the region.

Details PY 1 PY 2 PY 3 PY 4 PY 5 PY 6 PY 7 TotalNumber ofSessions/year:Number ofParticipants:Start-up (1 day) 120 120Performance (5days)Baseline and impactsurvey(3 days)

120 120 120 360

Closing workshop (1day)

120 120

EstimatedExpenditure (ETB(000)

1,285.135 1,182.35 1,683.11 1,182.35 1,182.35 1,182.35 667.68 9,547.675

At Regional Level:Title of Training: Start-up workshop for stakeholders, and performance, Closing and baseline and impact

survey workshopsMode of Training: Prepared and organized by respective Regional PMCUTraining Centre: At each respective RegionDuration: 1 day for start-up, performance twice a year /region, baseline and closing workshop 3 and

1 day respectivelyTrainingTopics/modules:

Informing stakeholders the start-up of the programme, performance evaluation of eachzone and woreda, and field visits within the region.

Details PY 1 PY 2 PY 3 PY 4 PY 5 PY 6 PY 7 Total

Number ofSessions/year:Number ofParticipants:

Start-up (1 day)(150 participants/region)

600 600

Performance (5days)

500 1000 1000 1000 1000 1000 1000 6500

Baseline andimpact survey(3days)

150 150 150 450

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Communitysensitization

12,325 33,350 36,250 34,075 29,000 145,000

Closingworkshop (1 day)

600 600

EstimatedExpenditure(ETB (000)

4,007.8 6,635 6,925 7,082.5 6,200 3,300 1,188 38,638

L. LOCAL LEARNING Visits

Title of Training: Irrigation cooperatives, irrigation cooperative expert, Visit per FTC and project visit fromall regions

Mode ofTraining:

Organized by Regional PCMU, RBoANR, RBoWR

Training Centre: Field visits and evaluation within regionsDuration: 1 day for start-up, 1 visit per year/region, FTC (1/year for 7 years),TrainingTopics/modules:

Experience sharing from one another within and outside the region

Title of Training: Train irrigation cooperatives, irrigation cooperatives experts, project visits from eachregion and FTC visitit for experience sharing in technology transfer.

Mode ofTraining:

Organized by respective regions project staff, Zone and woreda focal persons.

Training Centre: Field visit in each selected region, zone and woreda FTCDetails PY 1 PY 2 PY 3 PY 4 PY 5 PY 6 PY 7 Total

Number ofParticipants:Irrigationcooperatives

517 1023 1067 814 396 143 3960

Irrigationcooperatives experts

24 92 142 108 54 20 440

project visit from allregions

125 125 125 375

Visit per FTC 2350 3150 4850 3700 1800 650 16,500EstimatedExpenditure(ETB (000)

289.2 2,238.4 2,056 3,196.4 1,778.8 1,479.2 260 11,278

M. Oversea Training / VisitTitle of Training:Mode of Training:Training Centre:Duration:

Training Topics/modules:Details PY 1 PY 2 PY 3 PY 4 PY 5 PY 6 PY 7 Total

Number of Participants:Higher Officials 9 9 9 9 36Experts 15 15 15 15 60Estimated Expenditure(ETB (000)

2,858.52 2,858.52 - 2,852.52 2,858.52 11,278

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ANNEXS

Annex 1: Project Coordination Unites and Staffing Duties and Responsibilities

A) Federal Project Coordination Staffs

1. Job Title: National Programme Coordinator

Organisation: Ministry of Agriculture and Natural Resources (MOANR)

Programme Name: Participatory Small-scale Irrigation Development Programme Phase 2 (PASIDP II)

Funding Source: International Fund for Agricultural Development (IFAD)

Duty Station: Addis Ababa, Ethiopia

Reports to: State Minister Natural Resources Management, Mo-ANR

About US:

The PASIDP II is implemented by the Ministry of Agriculture and Natural Resources (MOANR) and isfunded by IFAD and Government of the Federal Democratic Republic of Ethiopia. The ProgrammeDevelopment Objective of PASIDP II is to improve income and food security for rural households on asustainable basis. PASIDP II has three components; Investment in Small-scale Irrigation InfrastructureComponent, Investment in Capacity for Sustainable Agriculture component and the ProgrammeManagement, M& E, and Knowledge Management component.

The Programme area of PASIDP II will cover four regions of Ethiopia, namely: (i) Amhara, (ii) Oromia,(iii) Southern Nations, Nationalities and Peoples Region (SNNPR), and (iv) Tigray. By mid-term review,the opportunity to expand the interventions of PASIDP II on a pilot basis to other regions is envisaged.

Key Duties and Responsibilities

o Guide, supervise and coordinate the activities and functions of the core team of the FPCMU;

o Implement the overall strategic planning and implementation strategies;

o Coordinate the training programme at Federal and regional levels;

o Coordinate all activities relating to the PASIDP II with each region;

o Liaison and coordination with all key stakeholders, on-going donor programmes;

o Keep close association with the IFAD Country Office (ICO) and associated Supervision andImplementation Support Missions;

o Flag the policy gaps and identifying critical issues in programme implementation and submit them tothe NPSC for the consideration, and take actions to address the constraints at appropriate level;

o Ensure programme expenditures are incurred in accordance with the provisions of IFAD LoanAgreement;

o Ensure that the Finance Agreement covenants are complied with;

o Ensure that the annual work plans and budgets (AWPBs) are prepared and submitted in accordancewith the Finance Agreement to the NPSC for approval;

o Ensure that the loan Withdrawal Applications are submitted to IFAD in time and in accordance withexpenditure categories;

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o Ensure that the programme financial and physical progress reports are submitted in compliance withthe programme documentation and requirements of IFAD and the government including the RIMSand other indicators;

o Undertake field visits for coordination, meetings with the RPCMUs, programme clients, donors, etc.and

o Prepare regular quarterly reports for the NPSC, and in consultation with the State Minister Mo-ANR,facilitate convening the meetings of the NPSC and keep records of all minutes and providecompliance reports

Qualifications, Skills and Experience

Post-graduate degree in agricultural economics or agronomy, irrigation/agricultural engineer, oragricultural extension, or natural resources management, or related fields having an experience of 10to 15 syears, with a proven track record of effective management, integrity, and a deep understandingof agriculture and related areas, including agricultural market access.

The Mo-ANR will assign to the position, a senior staff member of the Ministry or recruit someonedirectly from the market for the position.

He/she would hold full time office without any additional responsibilities within the Ministry.His/her continuation in the position would depend on satisfactory annual assessment of his or herwork.

The suitability of the identified candidate for the post of Programme Coordinator would be subject toprior concurrence of IFAD.

2. Job Title: Environmental Safeguard Specialist

Organisation: Ministry of Agriculture and Natural Resources (MOANR)


Funding Source: Adaptation for Smallholder Agriculture Programme (ASAP)

Duty Station: Addis Ababa, Ethiopia

Reports to: National Programme Coordinator


1. Work closely with the Social Safeguards Specialist to ensure the sustainable implementation ofPASIDP interventions.

2. Work with multi-disciplinary team of irrigation engineers, and other experts to supportenvironmentally sustainable small scale irrigation which would bring increased benefits to farmers.

3. Establish a programme level environmental and social management system, with inputs from theSocial Safeguards Specialist and the Climate Change and watershed management Specialist.

4. Prepare a training manual, and carry out training in environmental management for regionalsafeguards specialists and supervise roll out training provided by regional safeguards specialists tozonal, woreda and kebele level implementers, particularly focal persons, development agents andIWUAs.

5. Ensure that the processes and procedures stipulated in the ESMF are followed at regional, zonal,woreda and kebele level by the Regional safeguards specialists, zonal, woreda and kebele focalpersons, development agents and other relevant implementers.

6. Ensure that PASIDP II activities are in compliance with GOE environmental, social and climate-related policies, proclamations and directives as well as IFAD’s safeguards requirements.

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7. Develop topic-specific management plans which can be easily adapted for each scheme, asappropriate. These include: Pesticide Management Plan, Dam Safety Plan, Emergency ResponsePlan, Waste Management Plan, Biodiversity Action Plan, Integrated Soil Conservation and NutrientManagement Plan; Cultural Heritage Plan or Chance Find Procedure, Traffic Management Plan (forconstruction phase);

8. Ensure climate risk assessments are carried out where required, and with assistance from the ClimateChange Specialist, review proposed mitigation measures for applicability and practicability.

9. Disclose environmental and social safeguards documents as required by SECAP and GOE directives.10. Oversee all PASIDP environmental management requirements in all regions.11. Oversee environmental performance monitoring.12. Carry out programme environmental results monitoring.13. Supervise the annual internal review process to assess the overall performance, outcomes, and

impacts of the programme in respect of environmental aspects.14. Monitor all grievances reported from kebele to regional level, and receive notification of, and

documentation relating to the verification, investigation, resolution and communication withcomplainant.

15. Work in close collaboration with the regional PCU in facilitating integrated irrigation developmentand mainstreaming environmental management into PASIDP II and beyond;

16. Support the national coordinator in communications and compilation of knowledge; facilitatingworkshops and reaching experts engaged in SSI in the regions,

17. Perform other duties assigned by the National Programme Coordinator.


a. MSc/BSC in Environmental Sciences, Environmental Engineering, Natural resourcesmanagement or related fields; with at least 8/10 years of experience;

b. Thorough knowledge of Government of Ethiopia and donors funded project guidelines andprocedures in environmental safeguards, environmental impact assessment and analysis,environmental monitoring,

c. Experience in effective stakeholder engagement and grievance redress systems;d. Practical experience in application of environmental management approaches in the agricultural

sector;e. Experience with adapting agricultural practices to local biophysical conditions;f. Fluency in spoken and written English is essential;g. Excellent presentation and group moderation skills.

3. Job Title: Climate Change and Watershed Management Specialist


1. Work with multi-disciplinary team of irrigation engineers, social scientists and other experts tosupport Climate resilient small scale irrigation which would bring increased benefits to farmers.

2. Work in close collaboration with the regional PCU in facilitating integrated irrigation developmentand mainstreaming climate change adaptation strategies into PASIDP II and beyond;

3. Back stop national, regional and woreda experts in compiling adaptation strategies on crop andlivestock yield, natural resource management and household benefits;

4. Develop and strengthen partnership between the various bureaus and regional agricultural researchinstitutions so that expertise and technologies from the various institutions reach farmers’ fields andschemes;

5. Prepare training manual, and conduct meetings on various technical and institutional climateadaptation strategies;

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6. Assess the policy and regulatory framework at the Regional level (and Federal, if needed) on climatechange adaptation strategies, particularly from the perspective of watershed management, irrigationagriculture and collective action.

7. Review incentives being used in natural resource management (NRM) programs and/or projects withwatershed management components such as the Food Security Project and the Productive Safety Netproject in programme Regions and make specific recommendations on specific incentives that willgenerate and sustain community interest in participatory watershed management programs.

8. Review the proposed schemes areas in each Region, and develop a watershed planning andmanagement regime using MOANR’s Community Based Participatory Watershed DevelopmentGuidelines as the starting point for the site-level design.

9. Design and implementation methodology/process for implementation of the demonstration projectswith a view to:a. Demonstrating best practice in improved scheme management on a micro-watershed basisb. Facilitating FRGs and other adaptive experimentation of different practices to test and/or adapt

the practices to local conditionsc. Undertake evaluations of each practice in terms of its social acceptability, profitability, and

environmental acceptabilityd. The methodology should allow for the identification of key knowledge gaps in necessary to

facilitate adoption and replication within each Region/demonstration site and define research orother programs to address those knowledge gaps.

10. Develop an environmental management and climate resilience framework to guide local communitygroups, woreda, research institutions, etc to pre-screen best management practices, technologies, andlivelihoods for potential environmental impacts and to guide the development mitigation measures,where necessary.

11. Assess the capacities of the implementing agencies (Bureaus, Woredas, Kebeles, communityOrganizations) for each of schemes, and recommend required capacity enhancement programs.Recommend a possible sequencing or phasing in of the FRGs and other demonstration sites. Thismight reflect both technical and administrative (local capacity) considerations.

12. Assess the capability and facilitate action of regional government research institutions to partnerwithin local actors to support FRGs in each Region.

13. With the MOANR, identify key knowledge gaps in the information on irrigation and PASIDP IIwithin each Region/demonstration site and define targeted research or other programs to addressthose knowledge gaps.

14. Design an outreach program for local (regional/agro-ecological zone) dissemination of demonstratedbest practices. Distil key lessons across schemes and regions, compile and publish reports onagricultural success factors and institutional learning;

15. Support the national coordinator in communications and compilation of knowledge; facilitatingworkshops and reaching experts engaged in SSI in the regions

16. Perform other duties assigned by the National Programme Coordinator


a. MSc/BSC in Climate change, Natural resources management, Water Resources Management,Environmental Sciences, Agronomy, soil science, or related fields; with at least 8 years/10 yearsin climate smart interventions;

b. Considerable practical agricultural experience, including experience on on-farm experimentationand working with farmers;

c. Experience in watershed management practice, conservation agriculture and good agriculturalpractices,

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d. Record of compiling, publishing and sharing knowledge;e. Ability to work with people at various skills and institutions;f. Willingness to stay a considerable time away from home;g. Commitment to improve irrigation agriculture, system productivity and address rural poverty

4. Job Title: Senior Procurement Specialist

Duties and Responsibilities:

1. Responsible for establishing appropriate procurement systems and procedures for effectiveplanning and monitoring of procurements under the programme;

2. Responsible for communicating through the Programme Coordinator to all implementing entitiesand service providers their responsibilities and requirements with respect to procurement,according to guidelines with prevailing government practices as well as IFAD procurementrequirements and or guidelines;

3. In charge of leading the timely preparation and consolidation of the Annual Procurement Plans;4. Preparing procurement and contracting documents like solicitation/ bidding documents, draft

contracts, local purchase orders, among others;5. Managing the contracting process, including ensuring that Evaluation Committees have people

with appropriate expertise;6. Responsible for monitoring the implementation of contracts, report status and problems to the

National Programme Coordinator on a regular basis; and intervening to address problems uponrequest by the National Programme Coordinator;

7. In charge of maintaining all procurement records in a form appropriate for regular auditing;8. Performing any other activities as may be e assigned from time to time by the National

Programme Coordinator.


The ideal candidate should possess a Bachelor’s degree in Procurement, Supply Chain, Logistics,business or a related field;

Membership of a professional procurement body will be an added advantage;

a. A minimum of 8/6 years’ experience in the field of procurement in government/donor projects ora large institution is required;

b. Ability to work well in teams and to interact with a wide range of private sector partners andgovernment agencies and representatives

5. Job Title: Finance Manager (FM)

Key Duties and Responsibilities:

1. Installation of appropriate accounting/reporting systems to ensure that the FPCMU and especially theNational Programme Coordinator are regularly informed of on-going financial activities andtransactions;

2. Communicate to all implementing entities and service provider their financial responsibilities, thefunds available and how to access it, and the requirements of reporting and record keeping inaccordance with prevailing government practices which are acceptable to IFAD;

3. Maintain all accounting records in a form appropriate for regular auditing (at least once a year);4. Ensure that:

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a) All programme funds are used in accordance with the conditions of the financing agreements,with due attention to economy and efficiency, and only for the purposes for which the funds wereprovided;

b) Counterpart funds have been provided and used in accordance with the conditions of thefinancing agreements, with due attention to economy and efficiency, and only for the purposes forwhich they were provided;

c) Goods and services financed have been procured in accordance with the financing agreement andin accordance with government and IFAD’s rules and procedures;

d) All necessary supporting documents, records and accounts are kept in respect of all programmeactivities, with clear linkages between the books of account and the financial statements presentedto the financiers;

e) Designated accounts are maintained in accordance with the provisions of the financing agreementand in accordance with the financier’s rules and procedures;

f) The financial statements are prepared in accordance with International Accounting Standards andor International Public Sector Accounting Standards;

g) Liaise with external auditors to audit the programme accounts to meet the required submissiondates by IFAD;

h) Oversee tax matters of the programme, ensuring that tax exemptions or payments from GoE forthe procurement of goods for the programme are secured at the appropriate time;

5. Assist in procurement for the programme in accordance with procedures laid down by the financingagreements of IFAD and the Federal Democratic Republic of Ethiopia public procurementproclamations;

6. Process documentation and follow up on disbursements from the government and IFAD to ensure thatfunds for programme implementation are disbursed in a timely manner to enable programmeinterventions to be carried out on time;

7. Follow up on all programme funds released to RPCMUs and implementing partners for timelyretirement and proper utilization;

8. Ensure that expenditure claimed in the statements of expenditure (SOEs) are eligible and have beenincurred in accordance with the financing agreement and the letter to the borrower, and with referenceto the Programme Design Report for guidance when necessary;

9. Ensure that fixed assets are well accounted for and annual verification is undertaken of the conditionof assets and their location;

10. Prepare half-yearly consolidated statements of programme accounts as an integral part of theManagement Information System to be submitted to the National Programme Steering Committee,and subsequently to IFAD;

11. Prepare annually: (i) financial statements, which should disclose bank and cash balances (that shouldagree with the statement of sources and application of funds), fixed assets and liabilities; (ii) yearlyand cumulative SOEs by withdrawal application and category of expenditures; and (iii) reconciliationof the Special Account;

12. Prepare quarterly reports regarding aspects of programme financial monitoring bringing out variancesand advising component heads as to the limits of expenditure; and

13. Carry out any other activities that are assigned by the National Programme Coordinator.


The candidate should have a Bachelor’s degree in accounting, business or finance, and specific training orcertification as a financial accountant or manager. A Master’s Degree shall be an added advantage. Otherqualifications include:

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a. At least 10/8 years of relevant work experience, including at least four years as a financial manager ingovernment/donor programmes or large institutions.

b. Strong managerial skills and demonstrated capacity to manage people and interact with a wide rangeof private sector partners and government representatives.

c. Knowledge of work planning, budgeting and reporting.d. Excellent quantitative and analytical skills.e. Computer-literate and well-versed in the use of Excel, Word and accounting software.

6. Job Title: Capacity Building and Gender Specialist


o Coordinate the capacity needs assessment, training manual preparation including training modules,courses and curricula development, training materials development, etc.;

o Identify stakeholders capacity gaps and propose possible solutions

o Coordinate training of trainers;

o Coordinate the finalization of annual training plans and calendar before the commencement of theyear and consolidation;

o Coordinate the periodical review of the annual training plan implementation and follow-up incollaboration with regional PCMUs;

o Coordinate the reviewing, updating and fine-tuning of the training modules based on feedback andinputs from trainees and regional PCMUs;

o Identify training institutions, training providers or resource persons that are critical for theProgramme and facilitate the plan implementation accordingly including the training to women’sgroups, women IWUA members, etc;

o Develop criteria for selection of participants for international study visits and overseas courses;

o Prepare periodical and annual reports on the progress and implementation status of Capacity Buildingactivities for the entire programme; and

o Coordinate the training activities for the IWUAs, women’s groups and conduct special reviews withregard to their quality and output result and make changes or modifications in consultation with therespective Regions.

o Ensure that gender is mainstreamed across the program, including training materials, monitoring,operations, and design activities that target women and girls within the scope of the programme;

o Facilitate gender trainings with program staff and program stakeholders;o Conduct project gender analysis with key findings and actionable recommendations, and integrate

analysis results into a comprehensive gender integration plan;o Review and provide input to project work plans, with attention to gender dimensions of technical

activities and operations, and discuss gender issues and priorities with project senior management andother technical specialists;

o Assist in the collection and analysis of sex-disaggregated data


The Capacity Building and Gender Specialist will be a person with a post graduate university degree inmanagement, Development studies, economics, or related fields with a minimum of 10 years’ experience,preferably in planning training programmes. The MoANR will recruit the candidate with appropriatequalifications and experience, as may be satisfactory to IFAD.

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7. Job Title: M & E Knowledge and Learning Specialist


o Ensure the establishment and operation of the overall programme M&E system (including the RIMSsurvey) and compliance with the overall requirements;

o Ensuring that the M&E of the participating institutions is adequate to provide the requiredinformation for timely preparation and submission of progress reports;

o Preparing the reports required by IFAD, co-financers and GoE;

o Carrying out the M&E functions including direction of baseline surveys and impact assessmentstudies at Woreda level, national impact assessment and evaluation studies;

o Prepare detailed progress reports, containing, inter alia, an analysis of successes, problems,constraints and design issues that would help annual reviewers by supervision missions and a mid-term review by IFAD, GoE and other stakeholders;

o Facilitate the development and implementation of the PASIDP II Programme Learning andCommunication System and Strategy;

o Ensure the key functions in programme M&E by all the programme implementing partners and thePCU structure, and put in place and in function the main tools for data collection, recording, reportingand management in a feasible way;

o Lead the process of development and updating of an overall M&E framework and M&E plan for theprogramme, ensuring that the programme M&E is aligned to the existing mechanisms and systems ofkey stakeholders.

o Ensure the programme measures and interventions are well monitored and evaluated as an integratedpart of the M&E system,

o Develop and implement processes and guidelines for systematic capture of knowledge, good practicesand innovation, and documented and disseminated/shared to improve programme implementation,including in the development of the AWPB and progress and performance reporting system;

o Support advocacy efforts through providing evidence of programme impact gathered through theM&E system;

o Monitor and evaluate the implementation of capacity building activities for PCU staff, the Regionsand implementing partners, including coaching and mentoring;

o Provide assistance/guidance in implementing the Programme Learning System;o Coordinate surveys and case studies to assess achievements and outcomes and impacts of PASIDP II;o Facilitate in developing a multi-stakeholder communication strategy along the seasonal performance

of the programme including web-based feedback of beneficiaries, private sector partners and regionaladministrations

o Coordinate the dissemination of the findings from the impact assessment studies.o Foster partnerships for broader knowledge-sharing and learning;o Lead the process of preparing the AWPB and progress reports;o Undertake any other duty as may be revised in the TOR and assigned by the PC.


The essential qualifications for the position include a post graduate university degree in agriculturaleconomics, economics, statistics, development studies or related fields and a minimum of 10 yearexperience in ME and KML functions. The Mo-ANR will recruit from the market an appropriatelyqualified experienced person.

8. Job Title: Senior Irrigation infrastructure/Engineer

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o Validate the site identified by the communities are inconformity with the criteria as out lined in thefinancing agreement and appraisal report;

o Ensure that designs and studies are technically, socially and environmentally acceptable;o Assure that the quality of construction is sufficiently met;o Ascertain that the tender process is inconformity with the agreed procurement procedures;o Certify that payment certificates comply with contractual agreement;o Ensure that schemes tail-enders report adequate water delivery;o Ascertain that of watershed in the program area treated land degradation;o Make sure that one market linkage infrastructure constructed on each scheme;o Make sure that all identified water harvesting technologies are applied depending on the feasibility

(i.e. diversion, spate, micro-dams, ponds, shallow wells, water pumps, drip etc.);o Prepare annual work plan and submit periodic and special reports;o In consultation with the National Program Coordinator undertakes field visits to respective regions

and carries out site validation of those proposed schemes under the PASIDP-II, at the end of eachfield visit discus the findings with the regional and woreda coordinators and ensures that inagreement with the findings;

o In consultation with the regional PCMU, wereda coordinators and kebele administration andirrigation water users association ascertain the specific process that were employed the selection andidentification of schemes is inconformity with the agreement;

o Make sure that all procedures outlined in the PASIDP-II are observed as regards to participation ofbeneficiaries and screening of projects;

o Ascertain that proper operation and management plans are included in the feasibility reports and theseprovisions are within the capacity of the user groups or IWUA/WUG;

o Insure that appropriate training facilities are provided for in the feasibility report;o Assess the adequacy and completeness of all design calculations and drawings to a certain safety and

cost effectiveness;o Check the completeness and practicality of the construction documents i.e. general conditions,

conditions of particular application and bill of quantities with specifications;o Ascertains that proper operation and maintenance plan is prepared within a comprehensive manual,

easy to understand and to be used as an input at the training of the beneficiaries;o Conduct design review based on the scheme project cycle and viability criteria and ascertain that

water availability is insured through appropriate hydrologic and catchments analysis;o Prepare and submit review reports with clear points of recommendation, or clarification, or rejection

if any. In the event that scheme is rejected, clear reasons and justifications should be given in thereports;

o All reports need to be precise and constructive to the extent possible in light of the limited experts inthe respective regional irrigation organization. In the event that projects is rejected for reasons ofviability as per the IFAD formulation documents, clear reasons and justification s have to be given inwrithing;

o Conduct construction supervision on pre-defined occasional visits and advice on improvement onquality assurance and cost effectiveness;

o Conduct field assessments discussion with the construction staff to arrive at consensus onrectifications to be made if there is any;

o Prepare supervisions report after the end of each supervisions visit with precise statements on tasksperformed and requirements of additional measures;

o Examines the submitted measurements and payment certificates for consistency to agreedspecifications and volume of work and verifies payments on behalf of the owner;

o Ensure contract management and administration confirms with acceptable standards and monitorhandling of variations and additional works with sufficient care in acceptable manner;

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o Prepares and submits scheme implementation completion reports.o Perform any additional assignments which shall be assigned to him/her by the National Program

Coordinator


He/she should have a minimum of BSC in/ Irrigation Engineering/ Agricultural Engineering/ Soil andWater resource Engineering/ Hydraulic Engineering and related fields. He/she should have at least 10years relevant working experience with BSc degree or 8 years with MSc degree.

9. Job Title: Senior Irrigation Agronomist


o Coordinate to the preparation of the programme implementation and agronomic manualso Approve agricultural development plan for each PASIDP I and PASIDP II scheme with detailed cost

estimates and facilitate their implementation;o Prepare annual work plan and budget and their implementation for agronomic activitieso coordinate and support the regional agronomists to collecting basic agronomic data from each

schemeso review and evaluate agronomy feasibility study of each schemes submitted from respective regiono Prepare annual AD reporto Facilitate training and orientation to regional experts on irrigation agronomy;o Technical advice and follow up for all AD activities (FRGE, Demonstration, Seed system

development, Home garden and nursery management, post-harvest handling and nutrition, etc); atrespective regions.

o Assess and provide complied report on the project output and outcome in term of food security athousehold level and asset building status including incoming earning and additional supplementaryfood production to the market chain due the program;

o Other tasks as may be required by the National Programme Coordinator.


The Senior Irrigation Agronomist will be a person with a post-graduate degree in irrigation agronomy,Horticulture, plant sciences /Agronomy having related experience of 8 years, preferably in agronomic andirrigation water management or a deep understanding of irrigated agriculture and related areas.

10. Job Title: Senior Agribusiness Specialist


General Issues

1. He/She will work under the overall supervision of the National Program Coordination (NPC) and inclose collaboration with relevant government sectors, and FPCMU technical staff, especially with theMicro Finance Institutions (MFIs) and Rural Saving and Credit Cooperatives (RuSACCO),

2. Ensure that the component activities are properly implemented, and then the expected Results (outputs,outcomes and impacts) are efficiently achieved in line with the program objectives and goals atnational level,

3. Provide technical advices and overall direction and working framework for Program marketing expertsat regional levels,

4. Prepare national annual working plan and activity/progress reports closely working with the regionalrespective staff members, and aggregate at national level,

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5. Closely work with program team members at federal and regional levels, implementing partners, andstrategic partners (such as financial institutions, cooperatives, private sectors-value chain actors, etc),

6. Identify the needs for capacity-building of key stakeholder (value chain actors) to enable them toovercome constraints and realize the opportunities they face,

7. Present lessons learned and best practices in support of evidence-based policy, investment and relateddecision-making processes,

8. Identify key potential bottlenecks and risks on product value chains, financing and market linkageswork carried out by implementing partners and solicit measures to mitigate the challenges inconsultation with the program team members and concerned stakeholders.

9. Facilitate and closely work with consultants providing technical assistances and conducting studiesconnected to the program,

10. Organize Validation Workshop at Federal level for the approval of the studies related to marketing,value chain and related issues.

11. Undertake regular monitoring and evaluation of activities.12. Perform other duties as may be assigned by the Federal Program Coordinator

Ensure Market Access and Linkages

1. Facilitate the establishment of Market Access Alliances (MAAs) at (regional/federal) to facilitatecollaboration with agricultural market and value chain actors and build public-private partnerships(PPP) to support the commercialization of the programme products

2. Facilitate forums and consultative meeting for agricultural market and value chain entities, privatesector, to build public-private through MAAs

3. Identify, work closely with and gain the trust of stakeholders associated with the product value chain, including service providers, local government, and business associations etc

4. Encourage these stakeholders to take progressively greater responsibility for the identification andundertaking of joint activities

5. Identify opportunities for cooperation among value chain actors and support services that will be ofcollective and mutual benefits,

6. Working with relevant government (such as regional BoA/extensions and advisory services, Trade,cooperatives, etc.) and commercial partners, seek opportunities and support efforts to develop andexpand sustainable market oriented production and ensure market linkages

7. Identify service providers that may be able to provide appropriate capacity- building to farmers andother market and value chain actors

8. Support and supervise the regional Program Market Development Facilitation Team (PDMFT) atFederal and the Regional levels by facilitating dialogue with all concerned actors, and ensuringappropriate support is provided.

9. Provide technical advice and support to the program team, implementing and strategic partners inorder establish national and regional linkages and sharing best practices

10. Support and facilitate value chain actors to involve in or enhance their capacity to add values andreduce post-harvest losses through agro-processing opportunities at the farm/household level.

11. Collect market information, analyse and prepare a summarized report to guide market orientedproduction and provide price information

Ensure Access with Financial Institutions

1. Provide technical backup for the regional Market Experts to facilitate collaboration and linkages withMFIs, RuSACCOs and Banks to provide loans to farmers and other value chain actors for inputs andmedium-scale capital assets, and assist in developing means of viable commercial financing

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2. Provide technical advice to the regional experts on loan management and ensure farmers operateirrigation farming as a business

3. Support the introduction and utilization of warehouse receipt systems (WRS) by smallholderirrigation farmers.

Minimum Requirements

Education

1. Qualifications Required: Advanced Degree in Agricultural Marketing and Value chain,Agricultural Economics, Business Economics, Cooperative marketing/management, BusinessAdministration or comparable professional qualification

2. Technical and Functional Expenses: extensive experiences in agribusiness development withparticular emphasis on Market Access and value chain development. Familiarities withgovernment rural development strategies and agricultural marketing and processing areadvantages. A minimum of ten (10) years professional experience in related areas

11. Job Title: Social Safeguards Specialist


o The SSS will work closely with the Environmental Safeguards Specialist to ensure the sustainableimplementation of PASIDP interventions.

o Ensuring that guidelines for responsible treatment of land-related issues as defined by IFAD and theGovernment of Ethiopia are respected and diligently followed in all PASIDP II activities that involveland acquisition and related issues.

o Evolve a strategy for provision of effective training and sensitization on social issues such asempowerment, inclusion, participation and effective functioning as an institutional collective such asWater User Associations and other relevant user groups and how to effectively integrate the processof addressing these issues as part of activities under the project;

o Coordinate the provision of effective training and capacity building in social issues to the PASIDPTeam in the project area through experienced organizations and experienced practitioners withexpertise in this area in a manner that this results in the development of a manual of practical do's anddon'ts of direct relevance to the planning and implementation of the Program.

o Use all available data on social issues (including the ESMF, social assessment and analysis, andstudies undertaken as part of project preparation) to evolve a strategy for social mobilization andcommunity organization that is based on actual demonstration of what is possible in the differentparts of the project area.

o Coordinate the process of social assessment through participatory rural appraisal and joint walk-through in each scheme and to develop plan of action for institutional strengthening with inclusion ofwomen and men farmers on the project.

o Support in IWUA formation as per the proposed Federal IWUA regulations and ensuring that allstakeholders' voices and concerns are effectively included.

o Sensitize stakeholders and private sector entities to work in partnership with farmers and tounderstand farmers' perspective for ensuring win-win agreements that help achieve programobjectives.

o Identify a suitable agency to undertake process documentation of the community organizing andsocial mobilization processes under the program, outputs of which can be used as effective trainingmaterial for learning from experience of implementing the program. .

o Design important exposure visits of farmers, WUA representatives, and other stakeholder teams tobest practice examples of social mobilization and community organizing in other parts of the regions.

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o Mainstreaming social mobilization/community organization related issues in the program activities, inkey program decisions and processes including those related to technical design, MIS, monitoring andlearning and all such decisions that would contribute to the program development outcomes.

o Assist the Environmental Safeguards Specialist in establishing a programme level environmental andsocial management system.

o Ensure that the processes and procedures stipulated in the ESMF are followed at regional, zonal,woreda and kebele level by the Regional safeguards specialists, and zonal, woreda and kebele focalpersons, development agents and other relevant implementers.

o Assist the Environmental Safeguards Expert to carry out training in environmental management forregional safeguards specialists and supervise roll out training provided by regional safeguardsspecialists to zonal, woreda and kebele level implementers, particularly focal persons, developmentagents and IWUAs.

o Ensure that PASIDP II activities are in compliance with GOE social and gender policies,proclamations and directives as well as IFAD’s safeguards requirements.

o Oversee all PASIDP social impact management requirements in all regions.o Prepare a format for agreement for land acquisition and compensation of affected assets, structures,

crops or trees, etc, to be used where land is acquired and/or assets affected, which will be approvedby the kebele and woreda administrations, and used as documentation for verifying that properprocedures are followed for addressing physical and economic displacement.

o Oversee the implementation of resettlement action plans and all measures to address any physical andeconomic displacement resulting from the construction of the schemes and their ancillaryinfrastructure, as well as market centres, and watershed management activities if applicable.

o Review the PASIDP grievance redress mechanism and modify as necessary or appropriate.o Monitor all grievances reported from kebele to regional level, and receive notification of, and

documentation relating to the verification, investigation, resolution and communication withcomplainant.

o Oversee social performance monitoring.o Carry out programme social results monitoring.o Supervise the annual internal review process to assess the overall performance, outcomes, and

impacts of the programme in respect of social aspects of PASIDP

Qualification Required & Experienceo Master's degree in Sociology, Anthropology, Development studies or related field, with 10 years of

relevant experience of which at least 5 years should have been for projects funded.o Thorough knowledge of Government of Ethiopia and donors funded project guidelines and

procedures in social safeguards, social assessment, social analysis;o Experience in effective stakeholder engagement and grievance redress systems.o Fluency in spoken and written English is essential, Excellent presentation and group moderation

skills.o Excellent presentation and group moderation skills.

12. Job Title: MIS/ GIS Specialist


o Develop systems to ensure the quality of data and ensure its entry into the new M&E, mapping, andreporting systems.

o Coordinate regional staff and evaluation teams to collect all field data (survey and GIS data, etc.) andensure its entry into MIS;

o Provide technical assistance, including the design and integration of the spatial database.o Identify existing databases and determine how best the information can be displayed using GIS.

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o Liaise with implementing partners to collect their GIS data in a usable format.o Meet with technical staffs as needed to define data needs and project requirements and perform

spatial analysis using data from the project and data obtained from regions’ demographic and socio-economic survey.

o Support communication, and monitoring/evaluation initiatives with GIS information.o Integrate GIS, performance management, field monitors reporting and projects operational databases

to generate tabular and cartographic output for analysiso Prepare and produce the MIS/GIS training materials, and design training programs to support

program functions.o Build the capacity of PASIDP II M&E system in designing, managing, maintaining and upgrading the

program database as well as develop Web based data management systemo Assist to ensure that the MIS/GIS program is in line with both the Minister of Agriculture and NR

(MoANR) MIS system and the program’s objectives.o Support the program M&E system in developing a checklist and guideline for MIS/GIS

implementation follow-up.o Provide technical support to ensure system security and control services of the program at all levels;o Providing other MIS/GIS related technical supports based on the need of the program.

Qualification Required & Experience

Master’s degree in MIS/GIS, Information and Communication Technology; 8 years working experiencein the field; proven experience and understanding of MIS/GIS; Strong computer and communicationsskills (oral, written, presentation).

13. Job Title: Financial Controller/ Accountant


o Contributing to the preparation of the programme implementation and financial manuals

o Facilitating timely disbursal of programme funds to the Woreda and other stakeholders andcompiling SOEs for submitting them to the FPCMU;

o Ensure that all expenditure is in accordance with IFAD Finance Agreement;

o Maintain and monitoring the Special Account and Programme Accounts;

o Coordinate with the Woreda Coordinators to ensure that the SOEs are prepared and sent to theFPCMU on time;

o Prepare guidelines for procurement and facilitate procurement of goods and services in accordancewith IFAD Finance Agreement;

o Ensure that the programme accounts are audited in time and audit reports are sent to IFAD;

o Such other duties as may be assigned by the Regional Programme Coordinator including attending allRPSC meeting and assisting the PC in compiling his/her reports.

Qualification and Experience

The essential qualifications include a post graduate degree in accounting, finance or comparable postgraduate professional qualification and a minimum 8 to 10 years professional experience in financialmanagement, preferably in a managerial position. It will be a full time position exclusive for the PASIDP.

14. Job Title: Assistant Procurement Specialist


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o In consultation with the regional Programme staff, prepare and consolidate the ProgrammeProcurement Plans and periodically update the plans based on the IFAD guidelines;

o In cases of procurement actions requiring IFAD’s ‘no objection’, review any procurement relateddocuments for compliance with financing agreement, PDR or the procurement plan, whichever isappropriate; coordinate the dispatch and delivery of the documents to FPCMU for review and closelyfollow up for timely responses;

o Assist in the preparation of specifications and bills of quantities for procurement of goods, works andpreparation of terms of reference for selection of consultants;

o In consultation with the programme staff and stakeholders prepare bidding documents, requestsproposal documents for approval based on Standard Bid Documents (SBD) to FPCMU;

o Prepare Specific Procurement Notices (SPN); Expression of Interests (EoI), Request forQuotations/shopping, ensure timely publications, collection of bids/RFP/RFQ and prepare relevantpaper work for receipt of bids/proposal;

o Facilitate the bid Evaluation Committees’ meetings, provide guidance and assist in the preparation ofevaluation reports following the Government’s and IFAD’s standard evaluation guidelines and ensureinternal approval of procurement evaluation reports and decisions prior to submission to FPCMU forreview;

o Follow up procurement related correspondences and document submissions, facilitate timely analysisand responses to request for clarifications, complaints and issues raised in the procurement contractimplementation with clients and FPCMU for speedily actions;

o Ensure safekeeping and handling of bid securities, performance securities and advance paymentguarantees to ensure the validity, timely extensions and timely releases;

o Provide support in preparation of the final contracts and ensure timely distribution of copies ofcontract agreements to relevant stakeholders;

o Ensure timely and proper arrival of goods and other deliverables, receipt of payment invoices, goodsreceiving reports and reconcile financial and technical proposals/offers against final invoices for theaction of the Financial controller;

o Take immediate action for short landed and missing items and follow up for claim settlements andreport to the Programme Coordinator;

o Maintain proper records of all procurement documentation and develop a monitoring and reportingsystem in line with the IFAD's progress reporting requirements;

o Prepare periodic status reports (monthly, quarterly and annual) on procurement implementation underthe programme and keep stakeholders informed of procurement status;

o Support zone/woreda and other stakeholders in procurement capacity building and other relatedactivities;

o Other duties as may be assigned by the Regional Programme Coordinator.The Procurement Specialist will be housed in the regional Program Management Unit. She/he will reportto the Regional Programme Coordinator and Procurement and Property Administration.


o Masters degree in either purchasing and supply management; Economics; Finance, BusinessAdministration or any other relevant field;

o A post graduate diploma from the Chartered Institute of Purchasing and Supply (CIPS) or equivalent8 years’ experience in procurement practice of which 3 years should be in project procurement;

o Minimum of 2 years working experience in bilateral or multilateral donor funded programmes withspecific responsibilities in procurement of goods, works and services will be an added advantage;

o Familiarity with national procurement systems will be an essential requirement;o Computer literate with demonstrable proficiency in Microsoft Word, Excel, Project and Access, or

equivalent;o Excellent writing, presentation and interpersonal skills; and

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o Excellent analytical skills and ability to effectively communicate with procurement stakeholders.

B) Regional PCMU Staffs

1. Job Title: Regional Programme CoordinatorOrganisation: Bureau of Agriculture and Natural Resources (BOANR)


Funding Source: International Fund for Agricultural Development (IFAD)

Duty Station: Respective Regions

Reports to: BO-ANR


o Guide, supervise and coordinate the activities and functions of the core team of the RPCMU;

o Coordinate the training programme at the Regional level;

o Coordinate all activities relating to the Participatory Small-scale Irrigation Development Programmein the Region;

o Provide support and facilities to IFAD supervision and implementation support missions;

o Flag the policy gaps and identifying critical issues in programme implementation and submit them tothe Regional Steering Committee for its consideration, and take actions to address the constraints atappropriate level;

o Ensure programme expenditures are incurred in accordance with the provisions of IFAD FinanceAgreement;

o Ensure that the Finance Agreement covenants are completed before the specified dates;

o Ensure that the annual work plans and budgets (AWPBs) are prepared and submitted in accordancewith the IFAD Finance Agreement to the RSC for approval;

o Ensure that the required details for the preparation of Withdrawal Applications are submitted toFPCMU in time and in accordance with expenditure categories;

o Ensure that the programme financial and physical progress reports are submitted in compliance withthe programme documentation and requirements of IFAD and the government including the RIMSand other indicators;

o Undertake field visits for coordination, meetings with the Woreda coordinators, programme clients,donors, etc.

o Prepare regular quarterly reports for the RSC and FPCMU, and facilitate convening the meetings ofthe RSC and keep records of all minutes and provide compliance reports

The Regional Programme Coordinator will be a person with a post-graduate degree in agriculturaleconomics or agronomy, or irrigation/agricultural engineer, or agricultural extension, or natural resourcesmanagement, having related experience of about 10 years, with a proven track record of effectivemanagement, integrity, and a deep understanding of agriculture and related areas.

The Bo-ANR will recruit regional programme coordinator. He/she would hold full time office withoutany additional responsibilities within BoANR. His/her continuation in the position will depend onsatisfactory annual assessment of his or her work. The suitability of the identified candidate for the postof Programme Coordinator will be subject to prior concurrence of IFAD.

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2. Job Title: Regional Capacity Building and Gender Specialist


o Facilitate the capacity needs assessment, training manual preparation including training modules,courses and curricula development, training materials development, etc.;

o Coordinate training of trainers;

o Prepare the annual training plans and calendar before the commencement of the year andconsolidation;

o Review periodically the annual training plan implementation and follow-up in collaboration with theWoreda Focal person;

o Facilitate the Reviewing, updating and fine-tuning the training modules based on feedback and inputsfrom trainees and Woreda Focal person;

o Identify training institutions, training providers or resource persons that are critical to the Programmeand facilitate their implementation including for the women;

o Develop criteria for selection of participants for experience sharing and study tour inter and intraRegion

o Prepare periodical and annual reports on the progress and implementation status of training activitiesfor the regional programme;

o Coordinate the training activities for the IWUAs members and women’s groups and conduct reviewswith regard to their quality and output result and make changes or modifications in consultation withthe respective Zone/Woreda.

o Ensure that gender is mainstreamed across the Regional program activities through training materialspreparation, monitoring, operations, and design activities that target women and girls within the scopeof the programme;

o Facilitate gender trainings with program staff and program stakeholders;o Conduct project gender analysis with key findings and actionable recommendations, and integrate

analysis results into a comprehensive gender integration plan;o Review and provide input to project work plans, with attention to gender dimensions of technical

activities and operations, and discuss gender issues and priorities with project senior management andother technical specialists;

o Assist in the collection and analysis of sex-disaggregated data;o Any other tasks as assigned by the Regional Programme Coordinator.


The Specialist will be a person with a post graduate university degree in management, economics, Genderand Development Studies or related fields with about 8 years experience, preferably in planning trainingprogrammes.

3. Job Title: M & E, Knowledge Management and Learning (ME and KML) Specialist


o Ensure the establishment and operation of the overall programme M&E system (including the RIMSsurvey) and compliance with the overall requirements;

o Ensure that the M&E of the participating institutions are adequate to provide the required informationfor timely preparation and submission of progress reports;

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o Ensure the operation of the programme M&E and knowledge management systems at the Regionallevel and their vertical integration with the Federal PCU and the project Woredas;

o Participate actively in revising the programme objective hierarchy and log-frame matrix in line withthe changing implementation context;

o Respond to information needs of programme management, implementing partners, primarystakeholders, the cooperating institution and funding agencies;

o Provide data and information to performance questions, key indicators and targets for eachprogramme component and for each level of the objective hierarchy in the required formats;

o Review existing social and economic data for the programme area to assess if it can provide goodbaseline data for impact evaluation and identify gaps to be filled;

o Assist in drawing up the TOR, designing and costing out programme surveys and studies;o Ensure the application of the required formats and procedures for operational monitoring;o Review existing M&E and knowledge management systems of implementing partners and identifying

where support is needed;o Collect , compile and analyze reports prepared by implementing partners and prepare consolidated

progress reports at regional level to timely submit to the PCU in accordance with approved reportingformats;

o Review monitoring reports to assess interim impacts and identify causes of potential bottlenecks inimplementation;

o Collaborate with implementing partners and primary stakeholders to develop feasible and effectivediscussion events where M&E data are analyzed and corrective actions can be agreed upon;

o Guide and supervise organizations that are sub-contracted to implement special surveys or studiesrequired for evaluating programme effects and impacts;

o Conduct training and facilitate ME and KML design and implementation processes withimplementing partners and primary stakeholders at regional levels;

o Undertake and facilitate stakeholders to implement the M&E plan, regularly revising and updatingperformance questions, indicators, methods, formats and analytical processes.

o Ensure the programme measures and interventions are well monitored and evaluated as an integratedpart of the M&E system.

o Ensure systematic capture of knowledge, good practices and innovation are documented anddisseminated/shared to improve programme implementation, including in the development of theAWPB and progress and performance reporting system; are well;

o Support advocacy efforts through providing evidence of programme impact gathered through theM&E system;

o Monitor and evaluate the implementation of capacity building activities for RPCU staff, woredasand others implementing partners, including coaching and mentoring;

o Provide assistance/guidance in implementing the Programme Learning System;o Conduct surveys and case studies to assess achievements and outcomes and impacts of the regional

program;o Facilitate multi-stakeholder communication along the seasonal performance of the programme

including web-based feedback of beneficiaries, private sector partners and zonal/woredaadministrations;

o Foster partnerships for broader knowledge-sharing and learning;o Lead the process of preparing the AWPB and progress reports;o Undertake any other duty as may be revised in the TOR and assigned by the PC.


The essential qualifications for the position include a post graduate university degree in agriculturaleconomics, economics, statistics, development studies or related fields and about 8 year experience in M&Efunctions. The BoANR will recruit from the market an appropriately qualified experienced person.

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4. Job Title: Senior Irrigation infrastructure/Engineer


o Validate the site identified by the communities are inconformity with the criteria as out lined in thefinancing agreement and appraisal report;

o Ensure that designs and studies are technically ,socially and environmentally acceptable;o Assure that the quality of construction is sufficiently met;o Ascertain that the tender process is inconformity with the agreed procurement procedureso Certify that payment certificates comply with contractual agreement :o Ensure that schemes tail-enders report adequate water delivery ;o Ascertain that of watershed in the program area treated land degradationo Make sure that one market linkage infrastructure constructed on each scheme;o Make sure that all identified water harvesting technologies are applied depending on the feasibility

(i.e. diversion, spate, micro-dams, ponds, shallow wells, water pumps, drip etc.);o Prepare annual work plan and submit periodic and special reports;o In consultation with the Regional Program Coordination Unit undertakes field visits to respective

project sites and carries out site validation of those proposed schemes under the PASIDP-II, at the endof each field visit discus the findings with the regional, zonal and woreda stake holders and ensuresthat in agreement with the findings;

5. Job Title: Senior Irrigation Agronomist


o Coordinate to the preparation of the programme implementation and agronomic manualso Prepare agricultural development plan for each PASIDP and PASIDP II scheme with detailed cost

estimates and facilitate their implementation;o Prepare annual work plan and budget and their implementation for agronomic activitieso collecting basic agronomic data from each schemes

o Review and evaluate agronomy feasibility study of each schemes

o Prepare annual AD report

o Facilitate training and orientation to Woreda experts DAs, WUAs and kebele administration onirrigation agronomy;

o Technical advice and follow up for all AD activities ( FRGE, Demonstration, Seed systemdevelopment, Home garden and nursery management, post-harvest handling and nutrition, etc); ateach schemes

o Facilitate and support for woredas and kebele for the implementation of each AD components

o Other tasks as may be required by the Regional Programme Coordinator.


The Senior Irrigation Agronomist will be a person with a post-graduate degree in irrigation agronomy,Horticulture, plant sciences /Agronomy having related experience of 8 years, preferably in agronomic andirrigation water management or a deep understanding of irrigated agriculture and related areas.

6. Job Title: Financial controller/accountant


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The Financial Controller or Accountant will be responsible for all financial transactions under PASIDP IIand will work closely with the Regional Programme Coordinator. He/she would report to the RegionalProgramme Coordinator. His/her functions and responsibilities will essentially include:

o Contributing to the preparation of the programme implementation and financial manuals

o Facilitating timely disbursal of programme funds to the Woreda and other stakeholders andcompiling SOEs for submitting them to the FPCMU;

o Ensure that all expenditure is in accordance with IFAD Finance Agreement;

o Maintain and monitoring the Special Account and Programme Accounts;

o Coordinate with the Woreda Coordinators to ensure that the SOEs are prepared and sent to theFPCMU on time;

o Prepare guidelines for procurement and facilitate procurement of goods and services in accordancewith IFAD Finance Agreement;

o Ensure that the programme accounts are audited in time and audit reports are sent to IFAD;

Such other duties as may be assigned by the Regional Programme Coordinator including attending allRPSC meeting and assisting the PC in compiling his/her reports.


The essential qualifications include a post graduate degree in accounting, finance or comparable postgraduate professional qualification and a minimum 8 to 10 years professional experience in financialmanagement, preferably in a managerial position. It will be a full time position exclusive for the PASIDP.

7. Job Title: Agri-business Experts


The Expert at the RPCMU will work under the overall supervision of the RPC and in closecollaboration with relevant Regional Government and regional program technical staff, and keypartners such Micro Finance institutions and cooperatives.

He/she is responsible for initiating and supporting efforts to get smallholder farmers in PASIDP II toproduce for the market and ensure that all agricultural development supported by the program iscommercially sustainable. The expert is expected to have adequate experience in agriculturalmarketing, business finance and cooperative management. In particular, the following are keyresponsibilities and activities to be performed:

General issues

1. Ensure that the component activities are properly implemented, and then the expected Results(outputs, outcomes and impacts) are efficiently achieved in line with the program objectives in therespective regions.

2. Facilitate regional forums and consultative meeting for agricultural market and value chain entities,private sector, to build public-private partnership through MAAs;

3. Prepare annual working program and timely provide progress reports.4. Closely work with program team members at federal and regional levels, implementing partners, and

strategic partners (such as financial institutions, cooperatives, private sectors-value chain actors, etc)5. Identify problems and challenges at the grassroots level regarding the product value chains, financing

and market linkages and suggest mitigation measure in consultation with the program team membersand concerned stakeholders.

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6. Identify the needs for capacity-building of key stakeholder (value chain actors) to enable them toovercome constraints and realize the opportunities they face.

7. Present lessons learned and best practices in support of evidence-based decision-making processes8. Facilitate and closely work with consultants providing technical assistances and conducting studies

connected to the program.9. Undertake regular monitoring of activities on the ground.10. Perform other duties as may be assigned by the Federal/Regional Program Coordinators.

Ensure Market Access and Linkages

1. Facilitate the establishment of Market Access Alliances (MAAs) at regional and local levels to createstrong collaboration among value chain actors and build public-private partnerships (PPP) to supportthe commercialization of the programme products.

2. Support in establishing Regional and Zonal/Woreda market linkages and sharing best practices;3. Identify, work closely with and gain the trust of stakeholders associated with the product value chain,

including service providers, local government, and business associations in the region.4. Encourage these stakeholders to take progressively greater responsibility for the identification and

undertaking of joint activities5. Identify opportunities for cooperation among value chain actors and support services that will be of

collective and mutual benefits,6. Identify service providers that may be able to provide appropriate capacity- building to farmers and

other market and value chain actors7. Provide technical advice and support to the program team, implementers and strategic partners in

order establish national and regional linkages and sharing best practices8. Support and facilitate value chain actors to involve in or enhance their capacity to add values and

reduce post-harvest losses through agro-processing opportunities at the farm/household level.9. Advice the Extension and Advisory Services, particularly with regard to the participation of extension

providers to enhance farm productivity, agribusiness and meeting market demands.10. Collect market information, analyse, forecast and prepare a summarized report to guide market

oriented production and provide price informationEnsure access with financial institutions

1. Facilitate collaboration and linkages with MFIs, RuSACCOs and Banks to provide loans to farmersand other value chain actors for inputs and medium-scale capital assets, and assist in developingmeans of viable commercial financing

2. Closely work with the financial institutions on loan management and ensure farmers operate irrigationfarming as a business

3. Facilitate the introduction and utilization of warehouse receipt systems (WRS) by smallholderirrigation farmers.

MINIMUM REQUIREMENTS

Education:

Qualifications Required:Advanced Degree in Agricultural Marketing and Value chain,Agricultural Economics, Business Economics, Cooperative marketing/management, BusinessAdministration or comparable professional qualification

Technical and Functional Expenses: Extensive experiences in agribusiness developmentwith particular emphasis on Market Access and value chain development. Familiarities withgovernment rural development strategies and agricultural marketing and processing areadvantages. A minimum of eight (8) years professional experience in related areas.

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8. Job Title: MIS/GIS Specialist

Duties and Responsibilities:

o Assist regional, Zonal/Woreda program staff to collect all field data (survey and GIS data, etc.) andensure its entry into MIS,

o Ensure the quality of data entry into the M&E, mapping, and reporting systems.o Provide technical assistance, including the design and integration of the spatial database.o Establish databases and determine how best the information can be displayed using GIS.o Liaise with implementing partners to collect their GIS data in a usable format.o Meet with technical staffs as needed to define data needs and project requirements and perform

spatial analysis using data from the project and data obtained from project woredas’ demographic andsocio-economic survey,

o Support communication, and monitoring/evaluation initiatives with GIS information,o Integrate GIS, performance management, field monitors reporting and projects operational databases

to generate tabular and cartographic output for analysis,o Prepare the MIS/GIS training materials, and design training programs to support program functions,o Support the capacity of M&E system in designing, managing, maintaining and upgrading the

program database as well as develop Web based data management systemo Support the program M&E system in developing a checklist and guideline for MIS/GIS

implementation follow-up.o Provide technical support to ensure system security and control services of the program at all levels;o Work in close collaboration with ME and KML Specialist, specially assist in the area of data and

information management.o Providing other MIS/GIS related technical supports based on the need of the program.o Other duties as may be assigned by the Regional Programme Coordinator.

Education & Experience

Master’s degree in MIS/GIS, Information and Communication Technology; 6 years working experiencein the field; proven experience and understanding of MIS/GIS; Strong computer and communicationsskills (oral, written, presentation).

9. Job Title: Social and Environmental safeguard Specialist

Duties and Responsibilities:o Ensuring that guidelines for responsible treatment of land-related issues as defined by IFAD and the

Government of Ethiopia are respected and diligently followed in all programme activities that involveland acquisition and related issues.

o Evolve a strategy for provision of effective training and sensitization on social and environmentalissues such as empowerment, Environmental protection, inclusion, participation and effectivefunctioning as an institutional collective such as Water User Associations and other relevant usergroups and how to effectively integrate the process of addressing these issues as part of activitiesunder the programme;

o Facilitate the provision of effective training and capacity building in social and environmental issuesin the project area through experienced organizations and practitioners with expertise in this area in amanner that this results in the development of a manual of practical do's and don'ts of direct relevanceto the planning and implementation of the Program.

o Use all available data on social and environmental issues (including the ESMF, social andenvironmental assessment and analysis, and studies undertaken as part of project preparation) tofacilitate social mobilization and community organization that is based on actual demonstration ofwhat is possible in the different parts of the project area.

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o Coordinate the process of social and environmental assessment through participatory rural appraisaland joint walk to develop plan of action for institutional strengthening with inclusion of women andmen farmers on the projects as well as conducts social and environmental impact assessment

o Support in IWUA formation as per the proposed Federal IWUA regulations and ensuring that allstakeholders' voices and concerns are effectively included.

o Sensitize stakeholders and private sector entities to work in partnership with farmers and tounderstand farmers' perspective for ensuring win-win agreements that help achieve programobjectives.

o Identify a suitable agency to undertake community organization and social mobilization processesunder the program, outputs of which can be used as effective training material for learning fromexperience of implementing the program. .

o Facilitate important exposure visits of farmers, IWUA representatives, and other stakeholder teams tobest practice examples of social mobilization and community organizing inter and intra region.

o Mainstream social and environmental related issues in the program activities, in key programdecisions and processes.

o Supervise the implementation of all PASIDP ESMF and environmental and social impactmanagement requirements in all the woredas in the region.

o Carry out roll out training in ESMF procedures and environmental and social management to zonal,woreda and kebele focal persons, development agents and other relevant PASIDP implementers.

o Provide support to woredas and kebeles in carrying out ESMF procedures, as well as for anyenvironmental and social issues where they require assistance.

o Review Tier 1 and Tier 2 screening checklists for the proposed schemes for accuracy, and to confirmlevel of environmental and social analysis required (whether ESIA or Partial ESIA/ESMP)

o Where possible, prepare ESIAs for projects having significant environmental and social concerns.o Participate in selection of consultants hired to carry out ESIAs, RAPs or related environmental and

social studies, and supervise them during the studies.o Review ESIAs and ESMPs prepared by consultantso Review of RAPso Ensure agreements for land acquisition and compensation of affected assets, structures, crops or trees,

etc, to be used where land is acquired and/or assets affected, are agreed by the affectedpersons/parties and approved by the kebele and woreda administrations. Retain this documentationfor verifying that proper procedures are followed for addressing physical and economic displacement.

o Ensure implementation of resettlement action plans and all measures to address any physical andeconomic displacement resulting from the construction of the schemes and their ancillaryinfrastructure, as well as market centres, and watershed management activities if applicable.

o Closely monitor all grievances reported from kebele to regional level, and receive notification of, anddocumentation relating to the verification, investigation, resolution and communication withcomplainant.

o Ensure implementation of Pesticide Management Plan, Dam Safety Plan, Emergency Response Plan,Waste Management Plan, Biodiversity Action Plan, Integrated Soil Conservation and NutrientManagement Plan; Cultural Heritage Plan or Chance Find Procedure, Traffic Management Plan (forconstruction phase), as applicable to the schemes;

o Ensure implementation of recommendations for climate resilience and adaptation.o Disclose safeguards documents at regional level, and ensure dissemination to zones, woredas and

kebeles for disclosure purposes.o Monitor performance of environmental, social and climate-related activities of PASIDP in woredaso Contribute to programme level social and environmental performance monitoring.o Contribute to programme level social and environmental results monitoring.

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o Participate in the Annual internal review to assess the overall performance, outcomes, and impacts ofthe programme in respect of environmental, social and climate aspects of PASIDP,

o Other duties as may be assigned by the Regional Programme Coordinator.

Education and Experienceo Master's degree in Sociology, Anthropology, Development studies or related field, with 8 years of

relevant experience of which at least 3 years should have been for projects funded.o Thorough knowledge of Government of Ethiopia and donors funded project guidelines and

procedures in social safeguards, social assessment, social analysis, effective stakeholder engagementand grievance redress systems.

o Fluency in spoken and written English is essential, excellent presentation and group moderationskills.

10. Job Title: Watershed Management Specialist

Main Duties and Responsibilities

The specialist will be responsible in operational planning, conceptualization and standardization ofregional watershed agenda in light of emerging challenges of climate change.

The specialist will be responsible for developing project proposals and implement integratedwatershed management and ecosystem services with partners.

The incumbent will evolve innovative methodologies and approaches for participatory soil and waterconservation measures aimed to strengthen both sustenance of production systems and conservationof watershed resources.

The specialist will develop climate change adaptation programmes using watersheds as functionalunits within the wider landscape and river basin approaches of the programme.

The specialist will carry out research and knowledge compilation on topics related to integratedwatershed management and good practices will be packaged and disseminated.

Facilitate rural job opportunities within the watershed in collaboration with other relevantstakeholders;

The specialist will support the design and implementation of capacity building and networkingprogrammes on integrated watershed management for various stakeholders from the region.

Other duties as may be assigned by the Regional Programme Coordinator.

Education and ExperienceMaster degree in Soil and water conservation engineering, watershed management, natural resourcemanagement, land and water management, forestry and other related fields with 8 years of experience, ofwhich at least 3 years working experience on watershed management

C) Woreda Focal Person

The woreda focal person has the overall responsibility for coordinating woreda project activities and willensure that the proposed project is executed in accordance with the plan. The woreda focal personthrough the woreda agriculture and natural resource office will be responsible for overall projectcoordination, supervision, backstopping and advising all actors and stakeholders at woreda level. TheWoreda Agriculture and natural resource office will assign the relevant focal person.

Duties and Responsibilities

o Identify trainings needs and arrange training program to Woreda experts and stakeholders, kebeleand DAs who are associated with the project implementation;

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o Report to the Regional Programme coordination and management unit and prepare annual work planand budget and follow its implementation;

o Identify schemes in consultation with communities, kebele administration and DAs, and facilitatewith concerned partners to conduct survey, preliminary and feasibility studies;

o Assist the Woreda Environmental Expert to carry out Tier 2 Screening for Environmental and SocialConcerns as required by the ESMF,

o Prepare agricultural development plan for each PASIDP II schemes with detailed cost estimates andfacilitate their implementation;

o Establish linkage with respective agricultural research institute and facilitate setting up of the FRGsfor each PASIDP scheme;

o Provide and supply materials and inputs for conducting action-oriented agricultural activities in allscheme areas and evaluate their impacts;

o Facilitate community mobilisation and organise irrigation water user associations for each schemeand facilitate training;

o Facilitate IWUA scheme agreement and securing them water use certificates;o Facilitate the project beneficiaries get first/second level land use certificates in collaboration with

land administration and environmental protection office;o Facilitate the study and design as well as scheme construction and access roads of irrigation schemes

and ensure IWUAs active participation and organise members for effective O&M;o Responsible to provide relevant data and information from grass root level, and prepare regular and

periodic progress reports to RPCMU;o And any other tasks as may be required by the Regional Programme Coordinator.

D) Responsibilities of Kebele Administration

o Participate in scheme identification and selection according to PASIDP II selection criteria;o Approve scheme site based on water use assessment;o Community mobilisation and organisation of water use groups;o Facilitate, land allocations if any, with the consent and support of the community;o Facilitate the implementation of resettlement action plans, and resettlement and compensation

processes.o Facilitate demarcation of scheme area and identification of direct beneficiaries and facilitate the

preparation of beneficiaries’ list for each scheme;o Identify scheme access road for improvement and facilitate community involvement in road

construction;o Select sites for construction of IWUA office-building cum storage;o Support in scheme design, survey, construction and implementation supervision;o Organise water users in to IWUA and provide them with required support and encouragements;o Ensure that each approved scheme has agricultural development plan;o Facilitate the IWUAs in scheme operations and maintenance.

E) Responsibilities of Development Assistants or Agent (DA)

The Development Assistant (DA) at the respective scheme area has a very crucial role to play. They arethe key and essential links between the Woreda and the farmers. Under PASIDP II, one DA is assignedexclusively for the PASIDP scheme, be it a new, improved scheme. Major responsibilities of a DA are to,

o Identification and selection of scheme sites for development and improvement using the PASIDPselection and identification criteria;

o Carry out Tier 1 Screening for Eligibility of Schemes as per ESMF procedures;o Implementation of environmental and social management plan and pesticide management plans

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o Implementation of resettlement action planso Collection of baseline data for the scheme and beneficiaries and organisation of farmers into water

user groups, their sensitisation and later forming water user associations;o Providing training to IWUAs on the organisation, management, O&M and participatory approaches

and ensuring that the beneficiaries agree to PASIDP approaches;o Facilitate scheme agreement, participatory agreement and turn over agreements etc and ensuring that

the completed schemes are under the effective O&M responsibilities of the IWUA;o Facilitating the preparation of agricultural development plan for each scheme under the programme

including cost estimates and ensuring that these ADPs are prepared at scheme design stage;o Facilitating setting up of FRGs for each scheme are and developing appropriate plans and action-

oriented research programme with the PASIDP support;o Identification and selection of sites for conducting agricultural demonstrations and facilitating supply

of agri-inputs and advising farmers on market access;o Imparting training on scheme O&M and assisting the IWUAs in undertaking special repairs, if

needed;o Participating in the watershed development programmes and sensitising the communities with the

importance of watershed treatment;o Facilitating the issue of land use certificates to the beneficiary farmers;o Paying special attention to women and FHHs in scheme access and also reaching the scheme benefits

to them equitably;o Assisting the M&E staff in the collection and compilation of data relating to monitoring and RIMS;

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Annex 2: Financial Management Manual (FMM)

Introduction

The Participatory Small-scale Irrigation Development Programme Phase 2 (PASIDP II) is aUSD 145.30 million intervention with a development objective is to improve income andfood security for rural households on a sustainable basis. It is a seven year Programme withfive funding sources some of which will be disbursed on parallel basis. The Programme willcover four regions of Ethiopia, namely: (i) Amhara, (ii)Oromia, (iii) Southern Nations,Nationalities and Peoples Region (SNNPR), and (iv)Tigray. By midterm review, theopportunity to expand the interventions of PASIDP II on a pilot basis to other regions isenvisaged. The purpose of this manual is to guide financial management and disbursementarrangements of this multi-financier programme to ensure smooth implementation.

A) Summary of PASIDP II cost structure

Programme financing will be on a parallel basis, each financier financing specific activities.IFAD loan, IFAD grant and ASAP trust grant fund financing at 100% net of taxes andbeneficiary contribution.

Programme Costs and Financing. PASIDP II has multiple funding sources, IFAD loan, IFADgrant, ASAP grant, GOE counterpart financing and beneficiaries as indicated in the table below.

FIGURE 4: PROGRAMME COSTS AND FINANCINGFinanciers USD' Million % financedIFAD Loan 102 70IFAD Grant 1.5 1GoE 18.7 13Beneficiaries 12.1 8ASAP Grant 11 8

145.3 100

Allocation by Component USD' Million % of totalInvestment in Small-Scale IrrigationInfrastructure 104.5 72Investment in Capacity for SustainableAgriculture 29.8 21Programme management, M & E andKnowledge Management 11.0 8

145.3 100

Allocation by expenditure category USD' Million % of totalTrainings 12.4 9Works 98.8 68Consultancies 8.4 6Goods, Services and inputs 18.6 13Salaries and allowances 4.3 3Operating costs 2.8 2

145.3 100

1021.518.7

12.111

IFAD Loan

IFAD Grant

GoE

Beneficiaries

ASAP Grant

-20.040.060.080.0

100.0120.0

Investment inSmall-ScaleIrrigation

Infrastructure

Investment inCapacity forSustainableAgriculture

Programmemanagement, M

& E andKnowledge

Management

USD' Million

USD' Million

Expenditure categories will be financed as follows:Category Activities to be financed

I Trainings a) IFAD Loan will finance activities related to strengthening of: Irrigation Users’ associations; Farmers’ Associations; and Cooperatives

b) ASAP Trust grant fund will finance activities principally related to: Water efficiency and water productivity; Climate smart agriculture; and Watershed management

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c) GOE – TaxesII Works a) IFAD loan will finance the following activities:

Completion of PASIDP I schemes (in PASIDP II area); Construction of new irrigation schemes; and Construction of offices under support to cooperatives

b) ASAP Trust grant fund will finance works activities related todevelopment of alternative water sources

c) Beneficiaries will contribute 5% the cost of construction of newirrigation schemes

d) GOE will finance taxesIII Consultancies a) IFAD loan will finance consultancies related to:

Feasibility studies; Engineering designs; Site supervision; Baseline studies and Impact assessments

b) IFAD grant will finance consultancies related to International andNational TA to provide technical support to FPCMU in Ensuring the quality of market and feasibility studies; Supporting market access facilitation; Learning and knowledge management; and Capacity building of M & E

c) ASAP Trust grant fund will finance activities related to: Climate analysis; and Preparation of agricultural development plans

d) GOE will finance taxesIV Goods, Services and

inputsThis category will cater for eligible expenditures in respect of equipmentand materials, vehicles and goods, services and inputs. GOE will financetaxes and duties while other sources will finance 100% costs net of taxesand duties.a) IFAD loan will finance equipment and material inputs for

Support to cooperatives; Support for knowledge management; For WRB under institutional support for irrigation

development; Office equipment for FPCMU and RPCMU; Vehicles for FPCMU and RPCMU; Office equipment and material inputs for M & E; Motorcycles under support for cooperatives; and Goods and inputs for documentation and dissemination of

lessons learned and innovationsb) ASAP trust grant will finance

Crop genetic material under climate smart agriculture; Inputs for home gardens

c) Beneficiaries will provide community labor in watersheds

V Salaries and allowances a) ASAP trust grant fund will finance costs of MIS/GIS Specialists at FPCMU and RPCMUs; Climate change and Environmental Safeguard Specialists

b) IFAD loan will finance

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100% salaries and allowances, except for a) above; and 50% Salaries and allowances under retroactive financing

c) GOE will finance 50% salaries and allowances under retroactivefinancing

VI Operating costs a) IFAD Loan will finance 100% programme operating costs afterentry into force and 50% of retroactive programme operating costs;and

b) GOE will finance 50% of retroactive programme operating costs

The purpose of Financial Management Manual (FMM): This manual is PASIDP II specificand avoids the reproduction of material already available in other IFAD/GOE financialmanagement guidelines. The focus of the manual is to illustrate how the availableIFAD/GoE guidelines can be specifically adapted to the needs of PASIDP II. Therefore, thefollowing key documents/ guidelines will always be reference material duringimplementation.

o The PASIDP II Financing Agreement

o IFAD Disbursement Handbook

o PASIDP II Letter to the Borrower/ Recipient

o IFAD Guidelines on Programme Audits

o Guidelines for AWPB and Progress Reporting (IFAD)

o GoE Financial Management related Proclamations

o IFAD resource park for Financial Management

This manual is to be considered a living document and it is to be reviewed and updatedduring implementation. The generic IFAD documents listed above are available athttp://www.ifad.org/pub/basic/index.htm

The key players in the PASIDP II financial management have a fiduciary responsibility toensure that programme funds are used exclusively for intended purposes. Poor financialmanagement in the implementation of PASIDP II could result in failure to achieve itsintended programme objectives. IFAD will undertake supervision missions that will includea review of all fiduciary aspects, including review of audit reports. As provided for in thefinancing agreement, IFAD may commission own audits/ reviews. On the other hand, theGoE has a number of systems and structures to achieve its mandate of ensuring that publicfunds are used for intended purposes.

In summary the manual aims to provide users with tools and guidance on the entire PASIDPII Financial Management cycle that involves the following stages. The annual financialmanagement cycle will include budgeting and related budget control aspects, commitment offunds, processing payments, seeking replenishments, financial reporting on the results andthe related internal and External audits.

B) The PASIDP II financial Management cycle

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FIGURE 5: THE PASIDP II FINANCIAL MANAGEMENT CYCLE

5. Financial Reports &Audit

3. Treasury Function includingthe Accounting system

4. WithdrawalApplications

1.Budgeting andBudget control

2. Committing Funds-managing the

Procurement process

C) Users of the Manual1. Successful PASIDP II financial management players will be those that are directly

responsible to the day to day accounting (PCMU) and those who will oversight/ supervisionfunctions. This manual provides guidance to both these players in financial management ofthe Programme.

2. As described in the manual the reporting structure below will assure the required segregationof duties with separation of responsibilities to originate, process, approve, sign off paymentsand certify the receipt of any related goods and services.

3. Finance team reporting structure1. The full description of each officer above is available in annex XII. Specifically, in the

payments and recording cycle the role play will be as follows to assure the requiredsegregation of duties.

2. PASIDP II Staff roles implementation for achievement of segregation of duties

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FIGURE 6: STAFF ROLES IMPLEMENTATION FOR ACHIEVEMENT OF SEGREGATION OF DUTIES

Technical Approval and/ orrequisition by the supervisingtechnical officer/Engineer/ committeeinvolved in the activity

Procurement Specialist: Prepare payment Request Attach technical approval & other

supporting documents Attach contractor’s/ supplier invoice

and Delivery Notes

Senior Accountant Verifies availability of budget Reviews the status of contract

monitoring forms Reviews the status of

securities (advance/performance bonds)

Checks reliability of bankinginstructions

Makes entry in thecomputerized accountingsystem

Reviews the work of theAccountant/Assistantaccountant

Program Finance Manager Checks the accuracy of payment

request and supporting documents Verify the payment request’s

compliance with the contract Reviews the work done by the Senior

Accountant Authorizes vouchers, signs off

cheque or forwards direct payments Review open entries passed by Senior

accountant and if satisfied updatesthe computerized system

Accountant/Assistant Accountant Prepares payment vouchers

ensuring checklists in thismanual and fully ticked off

Prepares cheques orwithdrawal application in caseof direct payment

Undertakes chronologicalfiling in a series for eachfunding source disbursed on aparallel basis

Makes entries in manualregisters

NPC Reviews work of Finance Manager

and Procurement Specialist Approves the payments Request Treasury to sign off

withdrawal applications in case ofdirect payments

D) PASIDP II Annual Work Plan and Budgeting

1. Annual Work Plan and Budget (AWPB) is the key instrument for PASIDP II implementationand operational control. The PCMU, gives particular attention to budget preparation andcontrol. During day-to-day financial management, an approved AWPB is the most importantdocument, and the principal guide on what to do and how to use resources. In the context ofPASIDP II financial management, the AWPB is more than a guideline. It represents:

a) a commitment of PCMU and implementing agencies to carry out a set of activities,produce specific outputs and achieve certain targets; and

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b) Agreement by GoE and IFAD that the planned activities are appropriate in light ofthe Programme objectives and approval to spend the necessary money as specified inthe annual budget.

2. Approval of AWPB by GoE and IFAD is “prior approval” to implementers to spendresources on the activities included in the AWPB. Any expenditure incurred outside theAWPB will be queried by auditors, supervision missions and will be declared ineligible forIFAD financing.

3. The technical steps to be followed in the preparation of the PASIDP II AWPB are included inthe main Programme Implementation Manual (PIM). What are included in the FMM are thefiduciary aspects related to AWPB. The Procurement planning aspects are covered under theProcurement aspects of the PIM.

4. Timing: The draft AWPB should reach IFAD within two months prior to commencement ofthe fiscal year in question that is by 07 May of each fiscal year. Timely preparation andsubmission of AWPB will require agreement on, and adherence to a schedule of preparation.It is equally important that AWPB preparation schedule be in line with Governmentbudgetary process since programme budget should pass through Government budgetaryapproval process. To achieve this timely submission a budget/planning calendar below hasbeen proposed.

5. The proposed AWPB preparation schedule should be reviewed and modified as may benecessary in consultation with the MOARD implementing partners and other keystakeholders.

ANNUAL WORK PLAN AND BUDGET SCHEDULEActivity/ steps Schedule Responsibility

(i) Briefing on preparation of AWPBprovision of guidelines and format tokey implementing agencies.

30 NovemberNPC, M/E Officer supported bythe Programme FinanceManager and RegionalProgramme Coordinators

(ii) Call letter from FPCMU for thepreparation of AWPB to participatinginstitutions.

Early DecemberLetter drafted by M/E Officerand sent under the signature ofNPC.

(iii) Preparation of AWPB by participatinginstitutions. Submission of AWPBproposals to FPCMU

31 December.

Focal point identified by therespective institutions.Head of participatingInstitutions

(iv) Preparation of consolidated AnnualWork Plan and Budget.

31 JanuaryM/E officer and ProgrammeFinance Manager with supportfrom PCMU members

(v) Review/Agreement on draft AWPB byparticipating institutions

28 February Meeting convened by NPC

(vi) Review by NPSC Early March PSC

(vii) Finalization by FPCMU Mid MarchNPC, M /E Officer andProgramme Finance Manager

(viii) Submission to MOARD forincorporation into MOARD budget

Last week ofMarch

NPC

(ix) Submission to Parliament Mid April MOANR(x) Submission of draft AWPB to IFAD

It is important to note that ifParliamentary approval is likely to takelong, the NPC should submit an

07 May NPC

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Activity/ steps Schedule Responsibilityadvance copy to IFAD after approvalby NPSC

(xi) Comments from IFAD Mid May IFAD Country Director(xii) Approval by Parliament May/June Parliament(xiii) Finalization of

AWPB/Distribution to implementinginstitutions

End June NPC and M/E Officer

6. Guidance for preparation of acceptable AWPB: The processes of preparing the AWPB arewell described in the IFAD guidelines for AWPB preparation and progress reporting. In theplanning and budgeting stage, the PASIDP II finance officers perform the four functionsbelow:

E) Roles of PASIDP II finance staff in budgeting process

1 2 3 4Avail the respectivecomponent teams statusof available balances

Quantify otherrestricting factors

Data analysis,consolidation andpresentation ofbudget tables

Treasuryplanning

7. Role 1: Avail PASIDP II Budgeting teams the status of available balances: The PASIDP IIbudgeting facilitating teams will be arranged by sub-component. Each sub-component isidentifiable to a senior staff that will be a budget facilitator and planning and budgeting stageand during implementation will be designated as budget holder to be measured forperformance results:

8. PASIDP II Budgeting units

Budget facilitator/ holder

1.1Irrigation Scheme participatory planning andpreperation

1.2Small Scale Irrigation InfrastructureDevelopment Irrigation Engineer

2.1 Agri-business linkages & market access

2.2Capacity Building and Empowerment ofSmallholder Farmers

2.3 Watershed management3.1 Learning and Knowledge Management

3.2Programme Management, Monitoring andevaluation M & E, KM Specialist

Cost and planning unit

9. Prior to the start of the planning and budgeting exercise Programme Finance Managerprovides each of the above budget facilitators the respective sub-component status ofavailable balances by category. The Programme Finance Manager does this by makingextracts from the Accounting system and from IFAD a status of funds balances available bycategory. From the computerized accounting system, the Programme Finance Manager alsoobtains balances by component, including up to the major activities. The status of fundsavailable should be adjusted by deducting commitments, WAs in the pipe line andProgramme expenditure for the remaining part of the current year. The adjusted informationabout the status of funds is provided to the above named budget facilitators/ holders so that

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they are aware of budget ceilings. A working form that can be used in Ms Excel todetermine the available balance is as shown below.

10. Working Form to determine status of available balances category-wise (ETB)Category Available

cashbalance)15

LessCommitments16

LessWA’s inPipeLine

LessProgrammeExpenses tothe end

NetAvailableBalance

Trainings x X x x xWorks x X x x xConsultancies x X x x xGoods, Services andinputs

x X x x x

Salaries and allowances x X x x xOperating costs x X x x xTotal x X x x x

11. The net available balance should also be broken down according to components, sub-components and major activity headings so that planners are able to determine the relativeweights for each component/ sub-component in the AWPB as illustrated in the table below. Itis important to keep a relative balance between components so that some components do notlag behind.

12. Working Form to deduce status of available balances Component-wise (ETB)Component Available

cashbalance)17

LessCommitments18

LessProgrammeExpenses tothe end

NetAvailableBalance

Irrigation Scheme participatoryplanning and preparation

X x x x

Small Scale Irrigation InfrastructureDevelopment

X x x x

Agri-business linkages and marketaccess

X x x x

Capacity building empowerment ofSmallholder farmers

X x x x

Watershed management X x x xLearning and knowledgemanagement

X x x x

Programme Management andMonitoring & evaluation

X x x x

Total X x x x13. Role 2: Other disbursement restricting factors: Available balances set the ceiling of what to

include in the AWPB. The Programme Finance Manager will need to quantify other

15 IFAD Flex cube Statement of Funds (convert to ETB) plus balances for domestic financiers well reconciled to thecomputerized accounting system to be installed by PASIDP II16 Take care to roll-over commitments into next year’s budget17 This will be as per PASIDP II accounting system18 Commitments should be rolled over into next year’s budget

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restricting factors and communicate to the budget holders/ sub-component heads at the startof the planning season; examples will include: The realistic amount that can be replenished for from IFAD; and

Time lag between commitment and disbursement. For example in the case of worksin the context of integrated contracting the disbursement may turn out to be longerthat planned and may not happen in the planned quarter.

14. Role 3: Consolidating the PASIDP II AWPB: In the AWPB there are a number of financetables that have to be consolidated by the Finance Manager, working closely with the M&ESpecialist. While the consolidation of the AWPB into one document will be led by the M & ESpecialist, the finance tables will be a responsibility of the Finance Manager. These tableswill include:o Past year financial performance and cumulativelyo Consolidated Annual Budget Summaryo Budget by component summaryo Budget by category summaryo Budget by category summary by financiero Budget by component summary by financiero Detailed Activity based annual Work Plans and Budgets for each budget

responsibility centre15. The formats for each of the above summary tables are summarised below and more details

can be obtained from the IFAD guidelines for AWPB preparation and progress reporting.

F) Accounting system

1. PASIDP II financial reporting will be in accordance with the International Public SectorAccounting Standards (IPSAS)- cash basis. This is how the accounting system will bedeveloped.

2. The Programme will procure Sage Peachtree (Sage 50) accounting software as an upgradeof previously used unlicensed software that has many limitations.a) 5 parallel / parri passu funding sources;

b) Components/ sub-components;

c) Key activities; and

d) Categories

The coding approach to be uniform all the from budgeting, requisitions, procurementdocuments, payment vouchers, accounting system, e.t.c

G) Recording and processing of transactions

1. Whenever a transaction takes place under the Programme, it should be recorded and processedusing the Peachtree accounting software.

2. The recording of transactions under the Programme will follow the Cash basis of accounting withallows for the recognition of cash inflows in the period they are received and the reporting ofexpenses in the period those expenditures are paid;

3. Individual records of transactions are treated as source documents. For the programmeaccounting purposes, the following source documents are considered:

a) Purchase orders/ Contractsb) Purchase invoices

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c) Service invoicesd) Consultants/engineers’ reports

4. All transactions occurred should be registered in the accounting software in accordance with thedate of occurrence and in the form of journals. Vouchers should contain sufficient and detailedinformation about the date of the transaction, its type, amount and reference to the sourcedocument. All the transactions should be entered on the accounting software using the principleof double entry, where each transaction should be recorded twice, once on the debit side of thetransaction and once on the credit side of the transaction. The accounting software willautomatically process those transactions and post them to the ledger accounts, which are accountswhere all transactions of similar type are recorded. This processing of transactions also allows forthe production of timely reports.

5. Other key aspects discussed later in the manual are:a) Petty cash management: The Finance Manager will manage and periodically reconcile the

petty cash account.b) Bank account reconciliations: The Finance Manager will need to perform monthly bank

account reconciliations between the different accounts. The reconciliation is discussed morein detail later in this manual.

c) Withdrawal of funds: The Finance Manager will be responsible for preparing withdrawalapplications to be submitted to IFAD. The necessary procedures are explained in later in thismanual and in the IFAD disbursement Handbook.

d) Financial reporting: The Finance Manager is not only in charge for recording the financialtransactions on a daily basis but also for summing up the expenditures made under eachcomponent and sub-component and for each activity under those and posting the data onaccounting/financial reports on a periodic basis during the reporting periods specified in theLetter to the GoE and in the Financing Agreement. The Finance Manager will also need tokeep track and report on the availability of programme funds in the different accounts(Designated accounts, Programme accounts and petty cash) as well as the commitments madeby the Programme at the respective cost centre.

e) Fixed asset register: The Finance Manager needs to maintain a fixed asset register recordingall fixed assets but this will be done off the Peachtree accounting system. Fixed assetmanagement is discussed more in detail later in this manual.

f) Period for which records are to be kept: The Finance Manager will file the original recordsin an organised way to be maintained by the FPCMU/RPCMUs for a minimum 10 years afterthe Programme completion. Record management is discussed more in detail later in thismanual.

g) Access Levels: The access to the accounting system should be managed by the privilegedmetrics defining the levels of access by different users: (i) active use for inputting/editing ofdata; (ii) read-only use; or (iii) no-access. This would allow a separated and controlled accessto the Accounting module (i.e. Journal recording, posting to the General Ledger). Eachaccounting transaction records the user’s ID, preventing unauthorized access to the systemand an adequate level of protection against the input of false data or the destruction of therecords. At the same time, the data-sharing nature of the system involves a strict coordinationand active data exchange among its various users. In this respect the system should ensure thereliability in information storage and fast data processing.

H) RECORDS MANAGEMENT

1. Financial records must be created and preserved for every financial transaction performedunder the Programme. Financial records are defined as any financial information including

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written, computer data, internal forms, e-mails, or any other form of storage informationoriginated from the PCMU such as internal forms, journal vouchers financial reports(Monthly & quarterly) copies of cheques and withdrawal applications etc. or received by thePCMU such as supplier invoices and receipts, bank statements, IFAD documents etc. withinthe framework of the programme's official activities. The objective of this procedure is topreserve the financial records and files for further official use by the MOARD/ RegionalBureaus, for financial audit and for review by the Fund during the supervision missions. Theprogramme’s financial records are the property of the MOAIWD and cannot be removed ordestroyed.

2. In accordance with the IFAD general conditions, the GoE has to maintain the originalrecords for a minimum 10 years after the programme completion.

3. Filing of the financial records-The Finance Manager is responsible for filing the financialrecords created or received by the programme at his or her respective cost centre(MOARD/FPCMU or RPCMU Level). To fulfil this responsibility, the Finance Managermust maintain chronological files in which the financial documents have to be filed for futurereference. Filing should be performed daily to prevent the accumulation of papers and toensure that the financial records are maintained in an up-to-date manner at all times. Eachfinancial record should be filed under its code in a chronological order, with a sequentialnumber assigned to every document. Any kind of additions or amendments to the financialdocument should be filed in a chronological order immediately following the principaldocument.

4. Storage of financial records - The financial records of the Programme should be stored inthe FPCMU/ RPCMU offices, for a minimum 10 years after the programme completion. Thedata should be stored within the accounting software, as paper copies, as scanned copies andas computer disc copies. The Finance Manager should allocate an appropriate storage area forthe financial records in paper format and maintain them in locked cabinets, safe from waterand fire, to which access is controlled and limited. The Finance Manager should also classifythe financial records as "Confidential", or "General". All important correspondences shouldbe filed.

5. Archiving of financial records - In order to prevent an unnecessary pile-up of files in alimited office space, the Finance Manager should make sure that the financial records arearchived on a regularly basis. Once a year, the Finance Manager should make sure that thecompleted or inactive files are archived in a manner that will allow for easy retrieval of thefiles in case they are required at some future date.

6. Back- up procedures - To avoid the loss or damage of financial data, the information shouldbe kept in two copies: i) at the computer server of the FPCMU / RPCMUs and ii) in thelocked cabinets of the FPCMU/RPCMUs office. Only authorised personnel should beallowed to access the financial records without authorization. The access of External personsis prohibited except for GoE official access, the auditors & IFAD staff.

I) INTERNAL CONTROLS

1. Designing, Installing, and maintaining a system of internal financial control is anintegral part of the Financial management function. Internal financial controls aim toensure: i) efficiency, ii) reliability, of financial reports and iii) compliance withapplicable laws and regulations including the conditions set forth in the financingagreement. The key features of the internal control system include:

a) Segregation of duties;b) Authorization;c) Reconciliations and checks;

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d) Restricted access; ande) Monitoring and review.2. Segregation of duties - An important element in any control system is the separation

of those duties which would, if combined, enable one individual to record andprocess a complete transaction. It is the Finance Manager’s responsibility to ensurethat the following duties are segregated under the Programme: preparation,authorisation, execution, custody, recording and the operation of systems.

3. Authorization - Authorization controls require the certification that a transaction orevent is acceptable for further processing. Several types of authorization are in effectat the programme, mainly in the procurement cycle, payment cycle, and bank andcash management cycle including reconciliation. The Finance Manager should ensurethat the authorizations of FPCMU/ RPCMU staff ensure efficient implementationwhile keeping the risk as low as possible. The authorization of programme staffshould be in line with their respective job descriptions.

4. Reconciliations and Checks. Reconciliations between independent, correspondingsources of data are a key control for identifying errors and discrepancies in balances.The Finance Manager should perform the following reconciliations each month:

a) Bank reconciliationb) Reconciliation between system and special account receipts and payments statementc) Any reconciling or balancing amounts should be promptly cleared. Unusual or long

outstanding reconciling items must be brought to the attention of the NPC. The head offinance unit will review and sign all reconciliations as evidence of his review.

d) In addition physical checks should be performed on assets held and on petty cash.5. Restricted Access. All data, records and assets should be kept in a physically secure

environment. This should cover safe keeping of finance records such as official orderforms and bank details. In addition, any petty cash should be kept securely. Financialdata and other records should also be protected in the form of back up procedures.All work should be regularly backed up and copy records stored securely off site

6. Monitoring and Review. Periodic financial reports (Quarterly and Semi-annually)must be prepared and submitted to the fund. For the purposes of internal control thesame information should be prepared and monitored by the NPC and RegionalProgramme Coordinators on a monthly/quarterly basis. The reports should beprepared on a timely basis and should normally be available for distribution twoweeks after the end of the reporting period to which they relate. The periodic reportsshould be reviewed by the Finance Manager and the NPC as a minimum. Wherenecessary, corrective action should be taken to ensure the authorized budget andprocurement plan is not exceeded. In cases where activities initially not planned forbut have become necessary arise, both the AWPB and Procurement Plan have to berevised and a No Objection sought from IFAD.

J) FLOW OF FUNDS, CASH AND BANK ACCOUNT MANAGEMENT

Funds flow: One Designated Account denominated in US Dollars was opened and ismaintained at the National Bank of Ethiopia for all external Financing sources (loanand grants). The Account will be administered following an Imprest Accountarrangements. Advances from this Financing must be segregated from other funds forthe Programme.

From the designated account funds will flow to the Programme operating account. Theprogramme operating account will be used for transfer of funds to RPCMUs and payment

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for eligible programme expenditure at FPCMU level. A separate Counterpart funds accountis used to receive counterpart funds. No funds will flow from the beneficiaries into theprogramme bank accounts. This funds flow structure will be reflected at the RPCMUs.Below is a summary of PASIDP II Bank accounts.

a) One Designated Account for all external funds- Denominated in United States Dollars. Thiswill be operated by FPCMU

b) One Programme Operational Account denominated in ETB held at the Commercial Bankof Ethiopia and operated by FPCMU;

c) One Counterpart Funds account denominated in ETB held at the Commercial Bank ofEthiopia and operated by FPCMU;

d) One Regional Programme Operational account denominated in ETB held at theCommercial Bank and operated by RPCMU at each of the participating Regions;

e) One Regional Programme Counterpart Funds account denominated in ETB held at theCommercial Bank and operated by RPCMU at each of the participating Regions

Signing mandate will be structured as follows:

a) FPCMU

PANEL “A”

I. NPC, Director Small Scale Irrigation Directorate

PANEL “B”

I. Financial Manager, Finance Director

b) RPCMUs

The Operational Accounts denominated in ETB at the RCPMUs: The mandate to operate theaccounts and effect financial transactions is delegated to the officers of the day as detailedbelow:

PANEL “A”

I. The Regional Coordinator and Head of Bureaux

PANEL “B”

I. Regional Finance Officer and Bureaux Head of Finance

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SOURCES GOE - MOFEC/BOFEC

2 7

Designated AccountUSD

31

Operational A/C5

4

8

6

Contractors/ service providers, suppliers, consultants, project implementers

IFAD

National Bankof Ethiopia

One Programme Operational Account -at Commercial Bank of Ethiopia

One Counterpart FundsAccount at CommercialBank - FPCMU/RPCMU

Regional ProgrammeOperating Accouts

An explanation of each of the above lines on the PASIDP II funds flow chart of presentedbelow:

Line 1. Direct payments from IFAD to suppliers, etc for disbursements valued witha minimum value of USD 100 000 or its equivalent.

Line 2. Authorised allocation into the Designated Account (advances from IFADfor loan and grants) and subsequent replenishments. This advance will bereplenished until towards Programme closure when recovery of the advance starts totake place. With the replenishment system, the full authorised allocation shouldalways be reconcilable within the replenishment cycle as any ineligible expensesincurred will be replenished back. Towards Programme closure the advance to theDesignated Account will be recovered by IFAD by way of justification ofexpenditure accounted for by PASIDP II. When recovery commences, PASIDP IIwill submit SOE justifications and will not be replenished in full, with a portiongoing to the credit of the advance account.

Line 3 Transfer of IFAD Loan and Grant funds from the designated account to theProgramme Operational Account for covering eligible local costs in ETB and fortransfer to Programme Regions.

Line 4 Payments of IFAD loan and grant portion of costs in ETB.

Line 5 Transfers of IFAD loan and grant funds in ETB to RPCMUs.

Line 6 Payments of IFAD loan and grant portion of costs in ETB by RPCMUs.

Line 7 Transfer of GoE counterpart funds in ETB from MOFEC to counterpartfund account at FPCMU and transfers of counterpart funds from respective BOFECsto respective RPCMUs.

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Line 5. GoE financing of its share of costs in ETB by FPCMU and RPCMUs

Based on the Funds Flow arrangement above, the following accounting procedure willapply:

Event Entries in the Accounting SystemTo record the initial deposits from IFAD Debit: Designated Account in the Peachtree accounting package

apportioning the funds by source of financingCredit: Authorised Allocation (As a receipt item on the receiptsand payments statement)

To record subsequent receipts fromIFAD

Debit: Designated Account in the Peachtree accounting packagewith proper apportionment

Credit: Replenishments from IFAD (Income)To record transfers to the OperationalBank account

Inter-bank transfer entry (even the transfers to the RPCMUsaccounts)

To record expenses incurred as part ofthe respective components, sub-components and activities

Debit: Respective Expense account on chart of accountsdeveloped to reflect Programme components and expenditurecategoriesCredit: Operational Bank Account.

Dealing with RPCMUs -The RPCMUs bank accounts will be accounted for as anyother Programme bank accounts and any balance remaining on those accounts will betreated as cash and bank balances. The RPCMUs will have to submit bank statementsalong with the reconciled cashbooks to enable the Finance Manager at the FPCMU tobe able to collate the designated account reconciliation.

Daily Subsistence Allowances (DSAs): PASIDP II will follow GOE provisions forallowances/DSA rates. The PASIDP II DSA rates are:

Rate

Officers travel to and from AddisAbaba to Programme RegionalStates or other part of the country

ETB per day

Travel within up-countrylocations

ETB per day

Facilitation allowance- e.g at atraining outside normal dutystation

ETB per day

For International travels, GoE rates will be applicable.

Allowances are paid only when the officer has left his/her work station and should not bepaid to employees executing their normal duties at their work place. For example, if aPASIDP II employee sits on an evaluation committee, within Addis Ababa, he or she shouldnot be paid a “sitting” allowance; as this is deemed to be part and partial of his or her work.

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Disbursements/Withdrawal Applications

The IFAD disbursement handbook provides all the guidance and forms needed for thepreparation of withdrawal applications including replenishment applications. It has not beenreproduced here but the applicable forms constitute annexes to this financial manual. Asstated in the LTB and the LDH, four standard disbursement procedures may be used forwithdrawal of financing.

Disbursements - Withdrawals will happen after preparation and submission ofwithdrawal applications accompanied by a summary of expenditure by category andby relevant forms and supporting documents is sent in original to IFAD using thefollowing procedures.

a) Procedure I: Advance withdrawal (using the designated account for replenishment to theNational Bank of Ethiopia);

b) Procedure II: Direct payment which should be used for eligible project expenditure to bepaid directly by IFAD, for large contracts, to suppliers, contractors or third parties, asauthorised by the borrower for payments with a value above USD 100,000 or itsequivalent;

c) Procedure III: Special commitment may be used for eligible project expenditure relatedto items imported by specific implementing agencies under letter of credit requiring theissuance of guarantee for reimbursement to negotiating banks by IFAD. This procedure,however is not foreseen to be applied under PASIDP II; and

d) Procedure IV: Reimbursement will be used to claim eligible programme expenditures,reimbursable under the financing, have been pre-financed by the borrower. Theexpenditure will include eligible payments under retroactive financing which will beclaimed after the financing agreement has entered into force and all withdrawal conditionshave been satisfied. Any other reimbursements are expected to be claimed not later than90 calendar days from the date of payment by the borrower.

The tools needed in managing a proper treasury unit:

a) The accounting software to manage the entire accounting data (production of WA, AWPBcontrol, disbursement rate, Variance analysis etc)

b) Regular updating of the Cash Bookc) Monthly Bank reconciliation for all currenciesd) Monthly Designated Account reconciliation (as per IFAD accepted format)e) Regular update of the status of disbursement, commitment and disbursement as against the

approved fund allocated by category and component for your Programme (ensure toinclude commitments)

f) Monthly Financial Report for management decision makingg) Regular reconciliation of WA presented to IFAD by PASIDP II for reimbursement as

against the payment made by IFAD to the designated accounth) Cash & Expenditure forecast

PASIDP II implementers should ensure timely justifications of advances to facilitate asmooth replenishment cycle. This will help avoid cash flow implementation constraints andensure timely activity implementation. The designated account reconciliation will thereforebe used as a performance measure to trace the whereabouts of funds within thereplenishment cycle.

Illustration of designated account reconciliation as a management tool for use by NPC andFinance Manager.

Illustrating that Designated Account Reconciliation is good Treasury Management Tool

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USD Management Tips1 Total Advanced by IFAD xxx

This reconciliation should give the whereabouts ofthis advance and the Finance Manager shouldalways on a monthly basis be interested to knowthe whereabouts of the Authorised Allocation.

2 LESS: Amount Recovered byIFAD

-

3 Outstanding Advance toDesignated Account

Xxx

4 Balance of Designated Account asper Bank Statement- NBE

Xxx

If less than 50% of the Authorised Allocation canbe traced to bank statements, this can always alertthe Finance Manager and NPC of the impendingcash flow problems by looking at lines 4 and 5

5 Balance on Programme OperationalAccounts as per Bank Statements(including FPCMU level andRPCMUs)

Xxx

Total of Bank Balancesxxx

6 Plus Total Amount claimed in thisApplication No. xxx

If this amount is materially higher than 30% of theauthorised allocation it points at laxity in thereplenishment system. It tells the Finance Managerthat he/she should have submitted a WA whenexpenditure reached the minimum amount of 30%of the authorised allocation.

7 Plus Total Amount withdrawn frombank accounts not yet claimed xxx

Its a indicator of laxity in the replenishmentsystem. The NPC should follow up and demandexplanation why money to this magnitude has beenwithdrawn but is not being included in the WA.The manager should always demand for aschedule/break down of this amount—it reflectsinefficiency and results in cash flow problems.Secondly care should be taken that this figure isnot only inserted as a balancing figure, whichwould reflects that the designated account is notwell managed.

8 Plus Amounts claimed in previousApplications not yet credited atdate of Bank Statement

xxx The WAs in the pipeline, if they take long to beprocessed, could reflect that IFAD raised manyqueries on the quality of the WAs, in which casethe NPC should follow up to establish the reasonsand find a solution for the same. The status of theWAs can be tracked on IFAD’s WithdrawalApplication Tracking System (WATTS) to whichthe Finance Manager is given access.

9 Minus Interest Earned-

10. TOTAL ADVANCEACCOUNTED FOR xxx

If this total does not equal to the outstandingauthorised allocation, the NPC should demandexplanation. It is so serious to fail to reconcile theauthorised allocation

Knowing the treasury position at all times is key to management of Programme’s liquidityposition and addressing all sort comings in a timely and efficient manner. The key goals areto ensure that:

a) There are sufficient funds in treasury to meet the Programme’s field activities for

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implementation.b) the disbursement rate of the Programme increasesc) Increase in the performance level of the Programme and meeting it objectives as in the PDR The key elements on Programme treasury position are:

a) Status of Designated accounts balances (Using the cash books as at reporting date)b) Status of the operation accounts balances (Using the cash books as at reporting date)c) The status of cash in hand (Using the cash book as at reporting date)d) The money value of WA with IFAD for reimbursemente) The money value of WA to be submitted to IFAD

The Finance Manager should prepare regular Cash and Expenditures forecasting includingtaking into account, realistically, an estimated time when IFAD will actually reimburse thedesignated accounts, noting the time frame the WA was presented to IFAD for payment,other considerations will include the time it takes to complete preparing a withdrawalapplication.

Below is an Indication of PASIDP II treasury plan for a quarter (can be done monthly,quarterly, half-yearly, annual etc taking to account the realistic timeframes involved inprocessing a WA.

Formats for use to prepare a Cash flow; the cycle it takes to get a withdrawal applicationthrough and the format for financial position as at a given date:

CASH FLOW FORECAST FOR THE NEXT 3 MONTHSADD: CASH FORECAST RECEIPTS Month 1 Month 2 Month 3

USD USD USDB/f XXX XXX XXXIFAD XXX XXX XXXGOE XXX XXX XXXTotal expected Income XXXX XXXX XXXXLESS: CASH FORECAST –EXPENDITURESCATEGORY

I Trainings XXX XXX XXXII Works XXX XXX XXXIII Consultancies XXX XXX XXXIV Goods, Services and inputs XXX XXX XXXV Salaries and allowances XXX XXX XXXVI Operating costs XXX XXX XXX

Programme Expenditure XXX XXX XXX

Fore cast Closing Balance XXX XXX XXX

How to ensure submission of good quality withdrawal application

a) Follow the SOE procedure. The SOE threshold for PASIDP II is currently USD50,000;

b) Complete the checklist usually attached to withdrawal applications;

c) Ensure completeness of supporting documents;

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d) Include correct information on correspondent bank to avoid a series ofcorrespondences with IFAD causing delays to receive the funds.

e) Charge the right categories of expenditure and ensure that overdrawn expenditurecategories are not charged.

How to ensure proper reconciliation of the designated account

a) Attach correct bank statements (Bank statements will be needed for all bank accountsincluding those held by the RPCMUs);

b) Attaching bank statements with correct cut-off dates or balance thereon not tallyingwith amount shown on the designated account reconciliation;

c) Use correct exchange rates to avoid surplus/shortage on the reconciliation of theauthorises allocation;

d) Identify ineligible expenditure not refunded to avoid discrepancies on thereconciliation;

e) Never Insert as a “balancing figure” amount withdrawn and not yet replenishedwithout obtaining a substantive breakdown of the amount. For each withdrawalapplication, this breakdown should be available;

f) Avoid depositing on a designated account funds other than those drawn from theauthorised allocation - eg refunds of items already replenished without corresponding‘credit note’ or banking on account proceeds from sale of bids etc.

g) Do NOT include on the reconciliation on the part of withdrawal applicationapplications in the pipeline, direct payments yet these have been nothing to do withthe initial advance.

Petty cash account. In addition to the bank accounts outlined in the section above, theFPCMU and RPCMUs will operate a petty cash account in local currency up to theequivalent of USD 500. The Petty cash will be operated by the Finance Manager. Thepurpose of the petty cash is to allow the FPCMU/ RPCMUs to make payments for low valueitems (e.g. minor repairs, small supplies, newspapers, taxi fares, and other sundry expenses)in a quick and efficient manner. Payments through petty cash will only be allowed foramounts up to the equivalent of USD 50 for a single transaction. The cash is placed in alocked box which is kept in the FPCMU/ RPCMUS safe.

The Petty cash disbursements may be in the form of an advance or a reimbursement (whenthe staff member has personally advanced the funds). In both cases, the requesting staff fillsout a petty cash request form. The payee name, the description of the goods or services, theestimated (or actual) cost and the transaction coding are indicated on the form, which isforwarded to the the Finance Manager for processing.

For advances, the Finance Manager delivers petty cash advances on the basis of theapproved request. After the purchase is made, the requestor must return the invoice/receiptalong with the change, if any, to the Account for recording into the Accounting system.

For reimbursements (i.e. when the goods or services have already been delivered), theinvoice or receipt is given to the Finance Manager who reimburses the requesting staffmember or directly pays the supplier. The form is signed by the individual who receives themoney.

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The petty cash transactions will be recorded in the accounting software petty cash journal asthey happen. At the end of each week, the Finance Manager will reconcile the petty cashjournal with the physical cash count In addition, a surprise cash count will be conducted bythe Finance Manager twice a month. It will also be followed by a reconciliation of the pettycash balance per the cash journal with the actual cash held in the petty cash box.

The petty cash will be replenished on a monthly basis (or more often if necessary) on thebasis of the last reconciliation done by the Finance Manager. The amount of thereplenishment will be equivalent to the total disbursements made since the previousreplenishment, so that the petty cash balance is maintained at the original level of theequivalent of USD 500. No funds can be deposited into the petty cash, other than thereplenishments.

Bank reconciliation - The finance Manager must perform monthly reconciliationsbetween the designated account(s) balance recorded on bank statements and localcash book balance, recorded on the system. Performance of the monthlyreconciliation should follow the following steps:

i. Designated Account balance recorded on bank statement on reconciliation date is taken asstarting figure;

ii. Add reimbursements/replenishments/other deposits that have been processed and are due todesignated account, but not yet recorded on bank statements;

iii. Subtract undelivered cheques. Any long-outstanding cheques should be identified andinvestigated

iv. Following these adjustments, the bank statement and local finance system cash totals shouldagree. Any remaining difference should be reported and investigated;

v. The completed bank reconciliation statement should be signed by the finance controller; andvi. The reconciliation should be reviewed and countersigned by independent finance team

member who understands the reconciliation process. Similar bank reconciliations will be undertaken on a monthly basis for each of the

Programme bank accounts. Periodic designated account reconciliations will be submittedIFAD as part of periodic progress report.

K) PROCESSING OF PAYMENTS

The Programme will mainly finance civil works, consultants' services (design, supervisionand studies), goods, operating and maintenance costs etc. Last section outlined how theFPCMU will receive funds from IFAD to cover the incurred expenditures related. Thissection will outline the different steps involved in the outflow of funds from the FPCMU/RPCMUSs to the Contractors, Suppliers, and Consultants etc.

General instructions - For all payments, the Finance Manager should ensure that thefollowing steps are performed:

i. Preparation of Payment request voucher. A payment request voucher should be prepared foreach payment.

ii. Validation of invoice. The following validation checks should be performed by the FinanceManager on invoice: Invoice arithmetically correct; and Quantity and price recorded on invoice should be checked back to contract, order, and

certification of completion/delivery. If there is any discrepancy identified, it should beraised with the vendor prior to proceeding with invoice processing,

iii. Supporting documentation: the following documents should be attached to the paymentvoucher to support validation:

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Copy of invoice; Copy of letter of approval from technical committee or the specialist, Director Small

Scale Irrigation or the State Minister; Copy of purchase order, goods received note and contract if applicable; and Copy of required guarantees

Payment Documentation - Payments must be supported; and in GoE there arecertain minimum set of supporting documentation that should be attached to apayment/ journal voucher. To ensure that the RPCMUSs and other implementers’collect all the supporting documents, the following checklists are provided; theyshould be ticked-off carefully and attached to each cheque payment voucher.

Standard Goods (Tick)

1. Complete Written Voucher,duly approved

2. Confirmation byProcurement Specialist thatthe Procurement wasproperly done in accordancewith GOE and IFADprocedures

3. Attach Copies of relevant NoObjections from IFAD,where applicable

4. Availability of supportingdocumentationa) Contractb) Invoicec) Evidence of paymentd) Bank guaranteee) Delivery notes/reports

(Make Cross Referencewhere bulky)

5. Fund availability ina) Budget-Ensure Vote

Book has been updatedb) Category(ies)

6. Accuracy ofComputations/footings

7. Reviewed optimality of thedisbursement method?

8. Banking instructions9. Correspondence bank10. Percentage of financing

In-Country Workshops (Tick)

1. Attendance sheets

2. Attendance sheets shouldbe reconciled to DSApaid

3. Availability ofsupportingdocumentationa) Training reportb) Hotel Receipts/ bills

for meals andaccommodation(should be reconciledto attendance sheets)

4. Procurement record onhow the venue wasselected

5. Justification for any fuelrefunds and relatedsupport

6. Fund availability ina) Budget-Ensure Vote

Book has beenupdated

b) Category(ies)7. Accuracy of

Computations/footings

Consultancies (Tick)1. Time sheets in

comparison with thework done;

2. Attach Copies of relevantNo Objections fromIFAD, where applicable

3. An acceptable report4. Availability of

Workshops- Abroad (Tick)

1. Invitations and relatedIFAD’s No Objection

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2. Availability of supportingdocumentationc) Boarding passes

reconciled DSA daystaken

d) Back to Office Reports3. Fund availability in

c) Budget-Ensure VoteBook has been updated

d) Category(ies)4. Accuracy of

Computations/footings

supportingdocumentationa) Contractb) Invoicec) Evidence of paymentd) Bank guarantee for

advances5. Fund availability in

c) Budget-Ensure VoteBook has beenupdated

a) Category(ies)6. Accuracy of

Computations/footings7. Banking instructions

Correspondence bank

Processing of payments for Civil Works and Goods -The Expenditure Cycle forworks and goods is detailed in the following chart:

FIGURE 7: PROCESSING OF PAYMENTS FOR CIVIL WORKS AND GOODS

Technical Approval by the supervisingEngineer (s), or technical committee involved in

the activity

Procurement Specialist: Prepare payment Request Attach technical approval & other supporting

documents Attach contractor’s/ supplier invoice and

Delivery Notes

Senior Accountant Verifies availability of budget Reviews the status of contract

monitoring forms Reviews the status of securities

(advance/ performance bonds) Checks reliability of banking

instructions Makes entry in the computerised

accounting system Reviews the work of the Assistant

accountant

Finance Manager Checks the accuracy of payment request and

supporting documents Verify the payment request’s compliance with

the contract Reviews the work done by the Senior

Accountant Authorises vouchers, signs off cheques or

forwards direct payments Review open entries passed by accountant

and if satisfied updates the computerisedsystem

Assistant Accountant Prepares payment vouchers ensuring

checklists in this manual and fullyticked off

Prepares cheques or types out a awithdrawal application in case ofdirect payment

Undertakes chronological filing in aseries for each funding sourcedisbursed on a parallel basis

Makes entries in manual registers

NPC Reviews work of Finance Manager and

Procurement Specialist Approve the payments Request Treasury to sign off withdrawal

applications in case of direct payments

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Before releasing the payment to the contractor or supplier, the Finance staff will make surethe following processes are followed:

a) The quantity of goods is checked back to the purchase order and to contract and bid awardletter (if applicable). The committee members, assigned by MOARD after being assured thatquality of goods is compliant with the contract conditions deliver an accepted delivery sheetor a compliant report to the Procurement Specialist. The Finance Manager will ensure thatthe Procurement Specialist provides all the necessary documents including the invoice andthe acceptance/compliant report before proceeding with the payment.

b) The condition of the goods are reviewed for any damage or impairments. Damaged goodsare to be identified and returned to the supplier/replaced. If any goods are rejected orreturned to the supplier because they are not as ordered or are of sub-standard quality, theFinance Manager should be notified. Finance Manager must keep a central record of allgoods returned to suppliers and maintain a separate record of all goods and equipmentdelivered by suppliers by contracts funded by the IFAD financing.

c) All the works, are to be monitored by an architect or engineer. It is good practise to assignthe architect/engineer responsible for the design to monitor and assess the works of thecontractor. The architect or engineer is responsible for sending compliant reports/certificateof completion to the Procurement Specialist which includes the percentage of completion ofthe construction and if the construction materials are compliant with the contract conditionsand specifications. A request for payment is prepared by the Procurement Specialist to besent to the Finance Manager. The Finance Manager will ensure that the payment requestincludes all the necessary documents including the invoice and the compliantreports/certificate of completion before proceeding with the payment to the contractor forthe completed phase.

d) Processing of payments for Consultants' Services Under the Programme there are two types of consultants' services; a) Consultants with a

lump sum contract, and b) Consultants with a time based contract. For type (a) consultants,payments will be made against the delivery of outputs as detailed in their contracts. For type(b) consultants, payments will be made against the submission of a time sheet and asummary of activities performed.

The Expenditure Cycle for type (a) consultants is detailed in the following chart:

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Technical Approval of acceptancecommittee involved in the activity

Procurement Specialist: Prepare payment Request Attach technical approval & other

supporting documents Attach consultant’s invoice

NPC: Review payment request &

supporting documents Authorize and sign payment request

Finance Manager Checks the accuracy of payment request

and supporting documents Verify the payment request’s compliance

with the contract Prepare cheques or withdrawal application

in case of direct payment

Finance Manager Approve the payments and directs

signs off cheques or requestMinister to sign off withdrawalapplications in case of directpayments

The Expenditure Cycle for type (b) consultants is detailed in the following chart:

Submission of monthly Time sheet &summary of activities performed report

Senior Accountant: Checks the accuracy of Time sheet &

calculate pay Prepare list of payments

NPC/ RPC Review and sign the Time sheet Review & approve summary of

activities performed report

Finance Manager Approves payments Sign Cheques

Before releasing the payment to the consultant (firms), the Finance Manager will undertakethe following steps:

a) The consulting services reports are monitored by technical committees, assigned byFPCMU/RPCMUS for the purpose of evaluating the deliverables submitted by theconsultant (firms). Therefore the finance manager will ensure that no payment to theconsultant is prepared unless an approved committee report or letter of approval receivedfrom the committee assures that the deliverable submitted by the consultant is compliantwith the contract conditions, these documents should be passed first through theProcurement Specialist.

b) The consulting services reports are monitored by the specialist responsible for the activityfor the purpose of evaluating the deliverables submitted by the consultant (Individual

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Consultant). Therefore the Finance Manager will ensure that no payment to the consultant isprepared unless an approved report received from the specialist assures that this report iscompliant with the contract terms and conditions, these documents should be passed firstthrough the procurement specialist.

c) All Supporting Documents and Internal Forms must be retained at the FPCMU/ RPCMUSand must be maintained and archived in accordance with the maintenance of records sectionof this manual.

Processing of Payments for Office Supplies and Other Operating Costs. The payment foroffice supplies and operating cost will be against the preparation by the procurementspecialist of a serially numbered checklist evidencing the receipt of office supplies, and thepresentation of the Purchase order and supplier invoice. The Finance Manager will comparethe information on the checklist to the purchase order and supplier invoice, then sign thechecklist. The payment for services is against the presentation by the supplier performing theservice of a service invoice. The following chart summarizes the process detailed above:

Procurement Specialist Custodian of procurement

documents even under limitedbidding

Prepare purchase order Collate Good Received Notes Supplier invoice

Senior Accountant: Check Documents Prepare list of payments

NPC/ RPC: Authorise payments

Finance Manager Approves payments Sign Cheques

Travel Arrangements & Processing of Travel Related Expenditures. Under theProgramme there is a budget allocated for workshops and study tours as well as staff trainingcourses. The following chart summarizes the transaction cycle that should be followed to getapproval for the travel and the expenditures related to it:

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Person approved to travel Present a signed travel request

form Upon return present all the

necessary supportingdocumentation, invoices/ receiptsand prepare a back to office report

NPC/RPC Approve & sign travel request form and ask

IFAD for IFAD No Objection Forward Travel Request & No Objection to

the Finance Manager Approve the Travel Expense Report

Finance Manager Check the availability of funds then

forward the Travel Request to theProcurement Specialist

Check the accuracy andcompleteness of travel expensereport and supporting documentsreceived from the procurementofficer

Procurement Specialist Approve & sign travel request form and ask

for IFAD No Objection Forward Travel Request & No Objection to

the Finance Manager Approve the Travel Expense Report

L) FINANCIAL REPORTING

Periodic financial progress reports are a formal requirement of the IFAD FinancingAgreement. Sufficient information must be made available about what money is spent on,how much is spent and what the results are. The major financial reports include thefollowing: AWPB, monthly financial reports, periodic financial progress reports, supervisionreports, annual financial statements and audit reports.

FIGURE 8: ANNUAL FINANCIAL STATEMENTS AND AUDIT REPORTS

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In addition to the AWPB, supervision reports and audit reports the Finance Manager willensure that the following financial reports are prepared in a timely manner and submitted toIFAD in due time (applicable to reports 2-4 only):

a) Monthly financial reports for FPCMU/ RPCMUS internal use only. These reports will be verifiedduring IFAD supervision missions.

b) Periodic (semi-annual) progress reports, to be provided to IFAD within 45 days after the reportingperiod

c) Annual financial statements, to be provided to IFAD within 4 months after the end of theProgramme fiscal year.

d) Annual financial statements audited by an independent auditor acceptable to the Fund and inaccordance with Internationally accepted auditing standards and terms of reference cleared byIFAD, to be provided to IFAD within 6 months after the Programme fiscal year (explained indetail in section 11).

Monthly Reports. In accordance with best practises, the Finance Manager atFPCMU/ RPCMUS will prepare monthly financial reports based on the accountingsystem to aid management decision and control. The monthly management accountswill include the following.

a) Monthly Budget Execution Report, summarising the budget-actual comparison of the expendituresincurred, component-wise and category-wise. The report will also include a list of commitmentsentered into and still to be paid, by component and by category.

b) Bank Reconciliation Statementc) Petty Cash reconciliation form

Periodic Progress Reports - Semi-annual progress reports should be submitted toIFAD no later than 45 days after the end of reporting period during the Programmeimplementation period. The importance of the periodic progress reports lies in thefact that they provide GoE/ IFAD with sufficient information to determine whetherthe funds disbursed to the Programme are being used as intended, the Programmeimplementation is on track and the budgeted costs will not be exceeded. The financialinformation should be linked to the information on physical progress andprocurement to give assurance that the financial and physical progress are consistent.The Periodic Progress Reports include the following:

a) Programme Statement of Cash Receipts and Payments by Category: This report summarizes thesources of Programme financing, with the uses of funds in accordance with the disbursementcategories foreseen in the Financing agreement with the Fund. This report also states the cumulativeexpenditures from the start of the Programme until the date of the report as well as the cash flowforecast for the following semi-annual period.

b) Uses of Funds by Programme component: This report details the Programme expenditures by eachcomponent or sub component and by financier.

c) Uses of Funds by Programme Activity: This report details the Programme expenditures by eachcomponent or sub-component consistent with those foreseen in the Financing Agreement. The totalplanned, actual and cumulative expenditures in this report should correspond to those mentioned inthe uses of funds section of the “Sources and Uses of Funds” report presented above.

d) Cash flow forecast: This report summarizes the cash inflow and outflow for the following semi-annual period.

e) Designated Account Reconciliation Statementf) SOE-Withdrawal Application Statement: This report summarizes the claimed and received WA

from IFAD during the reporting period.g) Contract Expenditures: This report details all the contracts signed and amounts paid during the

quarter by category.

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h) Physical progress report: This report summarizes the quantitative physical progress made inachieving overall objectives and links them to Programme expenditures by component and bycategory. This report should also contain a narrative part on the strategic direction for the nextplanning cycle as well as the main financial problems encountered. Annual Financial Statements and Audit Reports. PASIDP II follows the IPSAS

Cash basis of accounting. The annual statements are provided to IFAD within fourmonths after the end of the fiscal year. In accordance with the Programme DesignReport, the Programme will prepare it financial statements in accordance with IPSAScash basis.

The Programme financial statements should include the following information:

a) Programme Information and performance,b) Statement of Programme management responsibilities,c) Statement of cash receipts and payments (by category and by financier),d) Statement of cash receipts and payments (by component),e) Statement of comparative budget and actual amount,f) Statement of Designated Account movements,g) Statement of Designated Account Reconciliations,h) SOE-Withdrawal Application Statement and Notes to the Financial Statements.

M) FIXED ASSET MANAGEMENT

Fixed asset management is an important process that seeks to track fixed assets for thepurposes of financial accounting and to ensure preventive maintenance, and theft deterrence.Adequate Fixed asset maintenance also increases the sustainability of the Programme. Thereare three elements in fixed asset management that require the attention of the FinanceManager.

a) Purchase of equipmentb) Setting up and maintaining an asset register including verificationc) Setting up a plan for disposal and/or handover of the asset once the Programme is completed

Purchase of Equipment - All procurement and payments for Programme equipmentwill be processed in line with the guidance provided in the procurement section of thePIM. The Finance Manager or Senior Accountant should assign a unique, sequentialasset number to all furniture and equipment items purchased (excluding minor itemssuch as stationary).This must be clearly labelled on each item. Each item ofequipment must be recorded in the fixed asset register.

Asset Register - The Finance Manager must maintain a register of all (material)Programme equipment. The asset register should record the following informationfor each individual piece of equipment: 1) Asset description, 2) Asset number, 3)Serial number of the item, 4) Officer responsible for asset, 5) Funding of asset(IFAD, Government etc..), 6) Location; Date of purchase; and 7) Estimated life.

Asset Verification Review - The Finance Manager must ensure that a verificationcount of all equipment recorded in the fixed asset register is performed at least once ayear. This should include the following checks:

a) Verify that all equipment is still held in the location recorded on the register; andb) Check that equipment is still in a reasonable state of repair.

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c) Discrepancies between the verification exercise and the fixed asset register should be investigated.Where assets are missing or seriously damaged, they should be removed from the asset register. Theremoval should be formally documented and approved by the respective Head at the cost centre.

The verification review must be performed by different staff from those who use theequipment, to ensure adequate segregation of duty.

Vehicle Maintenance and Fuel - The drivers are required to record all trips and fuelrefills in a logbook and collect all the supporting documentation (invoices etc.). Thevehicle logbook provides control over the use of the cars as well as fuel consumption.For official missions, a special cash provision is given to mission leaders to allowthem to purchase fuel during the trip.

The safety of cars is the responsibility of the recipient staff members and drivers assigned tothe vehicles. Consequently, they must ensure that the cars are parked in a secure area whennot in use or outside working hours. The drivers are required to monitor the maintenance oftheir assigned vehicles under the supervision of the FPCMU/RPCMUs. The drivers mustnotify the FPCMU/RPCMUS of maintenance needs so that the cars can be serviced on atimely basis.

The Finance Manager or a designated officer should on a monthly basis review the mileageand fuel usage as well as any undertaken service as reported in the log book of each car andcompare these with the official invoices and travel authorizations etc. to make sure thenumbers are accurate.

An insurance policy must be taken by the FPCMU/RPCMUS to ensure all cars andpassengers against all risks, including damage, theft, fire, as well as injury and propertydamage to third parties. The insurance must also cover the same risks when the cars are usedby the recipient staff members outside of normal working hours.

N) AUDIT ARRANGEMENTS

The Programme audit is an ex-post review of financial statements, records of transactions &financial systems; It examines the adequacy of accounting systems & procedures, capacity tomaintain appropriate accounts & documentation of the Programme/grant expenditures. Theobjective of the Programme audit is to provide credibility and assurance of accountability.

In accordance with the IFAD general conditions and the IFAD guidelines for Programmeaudits, the FPCMU must have PASIDP II financial statements audited by an External auditoracceptable to IFAD. The Audited financial statements need to be sent to IFAD no later than6 months after the end of the fiscal year. The detailed instruction regarding Programme auditare outlined in the IFAD guidelines for Programme audits available athttp://www.ifad.org/pub/basic/index.htm

The Audit Cycle and Appointing the Auditor - The complete audit cycle can be dividedinto the three main roles carried out by the Finance Manager/FPCMU, the Auditor andIFAD.

The FPCMU will:

a) Timely prepare TORs of the Audit and submit these to the Fund for no objection,b) liaise with the Auditor General/Audit Services Corperation to appoint the auditor.c) Prepare the financial statements for reporting periodd) Make available all the financial information necessary to the auditors.e) FPCMU should respond to the audit findings and recommendations.

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f) Submit the audit report to the fund no later than 6 months after the end of the Programmefiscal year.

The Auditor will:

a) perform the audit work in accordance with the TOR and IFAD audit guidelines and expressthe required three audit opinions

b) Indicate any ineligible expendituresc) Provide a management letter

The Fund will:

a) Provide a No Objection to the auditors TORsb) Monitor timely submission and review of audit reportsc) Follow up on remedial action\apply sanction and /or remedies if relevant including

suspension of disbursement and or cancellation of loan/grant balance (Legal Notice is sentto the LPA after 3 months of delay. Suspension of disbursement to the Programme after 6months delay.)

When appointing the auditor the Finance Manager will need to ensure that the followingsteps are followed:

a) Finance Manager /FPCMU prepares TORs for the auditor and sends it to IFAD for reviewand No-objection.

b) IFAD communicates “No objection” to GoE.c) Auditor General/Audit Services Corporation or an appointed private auditor undertakes the

audits in Ethiopiad) Finance Manager /FPCMU informs IFAD of the name of proposed auditore) IFAD communicates “No objection” to GoE on the proposed auditor upon performance of

the necessary due diligence.f) FPCMU appoints the auditor.g) The auditor appointed normally issues a formal engagement letter

TORs of the Auditors and the Engagement letter

When preparing auditors TORs the financial officer should address the point outlined below:

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a) Description of the employing Programme authority or entity;b) Term of the auditor’s engagement, namely whether it is for a fiscal year or somec) other period;d) Description and the timing of the financial statements and other material to be provided by

Programme management for the audit;e) Terms for delivery of the audit report;f) Specification that the audit be carried out in accordance with Internationally accepted

auditing standards;g) Provision of a management letter;h) Statement of access to Programme records, documents and personnel available to the

auditor;i) Details regarding submission of a proposal and work plan by the auditor.j) A description in the TORs of the entity engaging the auditor and whether it is acting on

behalf of or is a constituent part of a larger entityk) Legal and general descriptions of the Programme and the MOARD, in sufficient detail to

enable the auditor to understand their nature, objectives and activities.

The following additional information should also be considered:

a) Organizational charts;b) Names and titles of senior managers;c) Names and qualifications of officers responsible for financial management, accounting and

internal audit;d) name and address of any existing External auditor, if a change is made;e) Description of information technology facilities and computer systems in use;f) andg) Copies of the latest financial statements, financing agreement, minutes of financing

negotiations, Programme design document, and annual work Programme and budget, if it isavailable.

The auditors are required to provide a formal engagement letter confirming their acceptanceof the appointment and outlining the methodology, scope and responsibilities under theaudit. The GoE’s representative will sign and return a copy of the letter to the auditor.

The Audit Report - The Audit Report must include the following elements which shouldalso be reflected in the auditor’s TORs:

a) An opinion on the Programme’s financial statementsb) A separate opinion on the eligibility of expenditures included in the WA /Statement of

Expenditurec) A separate opinion if the use of the Designated Account is in compliance with the financing

agreementd) In addition to the audit report, the independent auditor will prepare a management letter. This

will include comment and recommendations on the adequacy of the financial managementsystem, and on the system of internal controls. The management letter should also include afollow up section on the status of implementation of previous years recommendations.

O) IFAD SUPERVISION

The Programme will be subject to extensive supervision from IFAD during the wholeimplementation period to ensure that the FPCMU fiduciary requirements are completed ontime and to minimise the Programme’s fiduciary risk.

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If financial arrangements of the Programme are deemed acceptable, IFAD will rely on themto provide assurance that the financing proceeds are being used for the intended purposes. Inthe case that IFAD identifies weaknesses in the financial arrangements, it will require theFPCMU to take the appropriate measures to mitigate those risks e.g. changing the design andoperation of internal control processes or modifying the disbursement arrangements for anoperation.

The IFAD supervision of the Programme includes the following measures:

a) Monitor of timely submission of audit reports and review of these reportsb) Verify compliance to audit recommendations and recommendations made by past supervision

missions.c) Monitor the submission of timely periodic financial reports and review of these reportsd) Monitor disbursements rate and the quality of the received Withdrawal Applicationse) Annual or semi-annual financial management supervision missions.

Throughout Programme implementation, IFAD will conduct annual financial supervisorymissions to develop financial management ratings and ensure compliance with the IFAD’srequirements. During the supervisory missions, IFAD will assess and monitor the adequacyof the FPCMU/RPCMUS financial management arrangements such as accounting,budgeting, internal controls, flow of funds, financial reporting and the auditing practices.The key findings and recommendations of the mission will be captured in the Aid Memoire.

When preparing for and during an IFAD supervisions mission, the necessary supportingactions by the finance manager will include the following:

a) Update and make available for the mission, the Programme financial information andespecially the incurred expenditures by component, by category and by financier as of thelast day of the preceding month.

b) Update and make available reports on the status of counterpart funding (has the GoE/LeadProgramme Agency made available financing proceeds to the Programme as planned?

c) Provide a walkthrough of the existing accounting system including its main modules,budgeting, accounting, financial reports, fixed asset register as well as the security settings inuse.

d) Facilitate checking of the internal controls, by system “walk through” to ensure that approvedprocedures are consistently being followed.

e) Make available Withdrawal Applications, Statement of Expenditures and all supportingdocumentation regarding expenditures claimed under the SOE thresholds to facilitate theverifying of adequacy, completeness and validity of claims.

f) Make available evidence of qualifications and educational background of the financial staffincluding, organogram of the FPCMU/ RPCMUS, CVs, TORs of each position and FPCMU/RPCMUS training plan.

g) Update and make available a complete a fixed asset register and facilitate sample test checkof physical existence of the asset.

h) Make available written procedures regarding financial operations such as processing oftransactions, financial administration manual, accounting manual, fixed asset maintenanceand records management as well as the lead Programme agency’s anticorruption policy andwhistle blowing procedures.

i) Prepare and make available the updated bank account reconciliation statement and bankaccount statements for all designated and Programme accounts.

j) Arrange meeting with the auditors and any other selected party requested by the mission.

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k) Make available all necessary documentation and contracts regarding procurement not subjectto prior review.

l) Provide an update on the actions taken regarding past audit recommendations as well asaction points outlined in the past aide memoires.

m) Make available the most recent AWPBs, annual and semi-annual reportsn) Participate in report writing if necessary.

P) LOAN AND GRANT COMPLETION AND CLOSING

The closing of the loan/grant is due six months after the Programme completion date. Boththe completion and the closing date of the loan/grant have financial implications on theProgramme management such as:

a) Development and submission of a recovery plan,b) Ensuring eligibility of expenditures, andc) Submission of the necessary documents outlined below. Please also refer to section 1.3 of the

Disbursement Handbook. Recovery plan - To ensure that the designated account is completely and timely

justified, the financial officer/FPCMU has to develop and submit to the Fund a socalled recovery plan outlining the percentages per withdrawal application that willrecovered and paid respectively. The recovery plan should be submitted to the fundaround 6 months before the completion date or when the outstanding balance(amount still undisbursed by IFAD is less than the double of the authorizedallocation.

Loan Completion - As defined in the Financing agreement the completion date ofthe loan is its 7th anniversary; that is seven years after it entered into force. By thecompletion date all the Programme activities must have been finalised. The paymentscan be done also after the completion date, as long as the commitments/ contracts aresigned prior to the completion date. Activities that have continued after thecompletion date are not considered as ineligible expenditures and can therefore notbe financed by the IFAD funds.

After the completion date but no later than the closing date (six months after the completiondate) the FPCMU can still incur expenditures related to so called winding up expenditurese.g. Final Audit, Programme completion report, Programme staff salaries involved in thewinding up activities, FPCMU maintenance cost, Programme completion workshop.

Loan Closure - The Fund requires the following to be provided by the FPCMU inorder to close the grant:

a) Confirmation of last withdrawal applicationb) Submission of final audit reportc) Submission of Programme completion report

The Final Audit Report has to cover, the final Programme year up to the final expenditures and itcan be paid from the loan/grant available balance by using for example direct payment orReimbursement of pre financed expenditures.

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Annex 3: Procurement Arrangements

GENERAL CONDITIONS

1. Anticorruption policy: The Procurement carried out with the project funds, including IFAD Loanand Grant as well as GoE financing, shall be sufficiently rigorous to safeguard against Fraud andCorruption. Fraud and corruption include, but are not limited to: Corrupt practice - offering, giving,receiving, or soliciting, directly or indirectly, anything of value to influence improperly the actions ofanother party Fraudulent practice - any act or omission, including a misrepresentation, that knowinglyor recklessly misleads, or attempts to mislead, a party to obtain a financial or other benefit or to avoidan obligationCollusive practice - an arrangement between two or more parties designed to achieve an improperpurpose, including influencing improperly the actions of another party Coercive practice - impairingor harming, or threatening to impair or harm, directly or indirectly, any party or the property of theparty to influence improperly the actions of a party.

2. IFAD applies a zero-tolerance policy towards fraudulent, corrupt, collusive or coercive actions inprojects financed through its grants and grants. The IFAD anticorruption policy is available on IFADwebsite at (www.ifad.org/governance/anticorruption/index.htm). The IFAD website also providesinstructions on how to report any alleged wrongdoing to the Office of Audit and Oversight(http://www.ifad.org/governance/anticorruption/how.htm).

3. It is the responsibility of the National Project Director to make sure that all Office staff including thefinancial department are aware of IFAD’s and the GOE policy and whistle blowing procedures.

4. IFAD’s General Conditions Chapter 7 section 7.05 provide for use of the Borrower’s procurementregulations, provided they are consistent with IFAD’s guidelines. This is in line with the variouscommitments of the international donor community to work towards increasing the use of nationalsystems where they are compatible with the requirement of the donors.

5. The Federal Democratic Republic of Ethiopia has enacted a procurement law that governs publicprocurement in the Country. The applicable law and regulations are contained in: a) FederalDemocratic Republic of Ethiopia Procurement and Property Proclamation number 649/2009(proclamation); b) the Public Procurement Directive of June 2010; and c) Public Procurement Manualof December, 2011. There also exist guidelines in the management of fixed assets, stock and StandardBid Documents.

6. The Federal Democratic Republic of Ethiopia’s legislative and regulatory framework will be used inthe implementation of procurement activities under PASIDP II in as far as they are consistent withIFAD’s procurement guidelines. This is consistent with article 6(1) of the Procurement and PropertyProclamation which provides that “To the extent that this Proclamation conflicts with an obligationof the Federal Government under or arising out of an agreement with one or more other states orwith an international organization, the provisions of that agreement shall prevail”.

7. Proclamation No. 649/2009 established the Ethiopian Federal Public Procurement and AssetAdministration Agency’s (FPPA), a body responsible for regulation and monitoring of Federalbodies’ public procurement activities. It is the FPPA that issued the Public Procurement Manualwhich covers and lays down procedures for procurement of goods, works and consultancy services.

8. The Ministry of Agriculture and Natural Resources (MoANR) is a federal ministry and itsprocurement system is governed by public procurement legislative framework. The Regional Statesand two City Administrations have their own procurement proclamations and directives. Theproclamations and directives are in line with the Federal procurement proclamation as prototype.

9. The National level procurement assessment point to risks arising out of shortage of qualifiedprocurement staff, high level of staff turnover, lack of proper institutional structures for procurementmanagement, poor record keeping, absence of systematic procurement performance M&E, andsignificant delays in completing procurement activities. These weaknesses mirror the Ethiopia 2010Country Procurement Assessment Review (CPAR) by the World Bank and are prevalent at

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MoANR/PASIDP II, as well as the Regional Bureaus of Agriculture, Zones and Woredas. These havebeen put into consideration in the course of design of PASIDP II.

10. Overall the Country’s legal framework provides an adequate operational environment forprocurement, including procurement for works under PASIDP II. The procurement assessment notesthat the following will require improvement to ensure that procurement processes in practice are fullycompliant with the legislative and regulatory framework.

11. Linking procurement planning to budgets to maximise advantages of use of procurement plans.Currently procurement plans are made after budget allocation and are not usually followed. In somecases, plans have been submitted well after the budgets have been approved; and increasingawareness of procurement procedures of all staff involved in procurement activities.

12. Project Specific Assessment: Government of Ethiopia (GoE) procurement arrangements are that forall projects implemented within the Federal Ministries or Bureaus at Regional State level,procurement services are rendered by Procurement Officers pooled within the procuring entity.Accordingly, procurement activities of PASIDP II will be oversighted by the Directorate ofProcurement and Property Management at MoANR and by the Procurement and PropertyManagement Processes in the respective Regional Bureaus.

I) PROCUREMENT METHODS

1. There are standard methods of procurement, both for procurement of goods and works and forprocurement of consulting services. The methods available for the procurement of goods, works andservices in the individual projects are:-

Methods of Procurement of Goods andWorks

Methods for selection of ConsultingServices

International competitive bidding Limited international bidding National competitive bidding International shopping National shopping Procurement from UN Agencies Work by force account Procurement with community

participation

Quality and cost based selection Quality based selection

2. Under PASIDP II thresholds and methods employed will be as follows:

ThresholdProcurement MethodUSD

Goods Up to 10,000 Request for Quotation (RFQ) using Govt approved list>10,000 - 200,000 National Competitive Bidding (NCB). IFAD prior review for

goods above USD 50,000>200,000 International Competitive Bidding (ICB). Prior review by IFAD

Services Up to 10,000 Least Cost Selection (LCS) - Other methods such as FixedBudget and Quality Based Selection (QBS) may be useddepending on the assignment.

>10,000 – 20,000 Quality and Cost Based selection (QCBS)

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ThresholdProcurement MethodUSD

>20,000 – 100,000 QCBS- Expression of Interest/ Prior review by IFAD forservices of value of USD 50,000 and above

>100,000 QCBS- Expression of Interest/ International advertisement andPrior review by IFAD

Works Up to 50,000 Request for Quotation (RFQ) using Govt approved list>50,000 - 1,000,000 NCB and prior review for works of USD 100,000 and above>1,000,000 ICB and prior review

II) PROCUREMENT PROCEDURES

1. PASIDP II procurement will be over sighted by the Directorate of Procurement and PropertyAdministration, drawing from the pool of specialists, and managed by the Procurement Officerunder FPCMU. Under PASIDP I, there was no specific recruited procurement officer(s) for theProgramme. As a consequence, officers in the MoANR procurement pool prioritised procurementactions for their respective projects; this led to delays in PASIDP procurements. Under PASIDP II,provision has been made for a procurement officer and an Assistant Procurement officer who willhandle PASIDP II procurement at FPCMU and support RPCMUs in executing their procurementplans.

2. A Procurement Officer and an Assistant Procurement Officer will be recruited competitively andengaged on a performance based contracts as a contribution of the Programme to the pool ofspecialists during the PASIDP II implementation period. The Procurement Officer will technicallybe responsible to the Director of Procurement and Property Management with a dual reporting lineto the Programme Coordinator. He/She will be the focal point to handle all procurement aspects ofPASIDP II assisted by an Assistant Procurement Officer.

3. Procurement planning: Procurement planning will follow the Government of Ethiopia planningcalendar. Due to the medium inherent risk ranking of the Government of Ethiopia procurementsystems; the IFAD prior review thresholds for PASIDP II will be equivalents of USD 50,000 forgoods and services and for works over equivalents of USD 100,000 for the start. This may howeverbe reviewed depending on the performance of the project during implementation. The plan will beconsistent with the AWPB for each year and will spell out the process milestones with specificstartin with bid preparations all the way to the contract award.

4. The Procurement plan for each year will be consistent with the Programme’s AWB and its targetdate of implementation including list of procurement of works, goods, and services to be procuredunder the Programme yearly with estimated cost and method of procurement shall be detailed inappropriate formats for each budget year. Items procured outside the procurement plan and therelated AWPB will be declared mis-procurement and the related expenditure will be ineligible forfinancing from the IFAD loan proceeds.

5. A Procurement Endorsement Committee will be the overall approval authority as it will approve; (i)all procurement plans; (ii) draft advertisements and other bidding documents; (iii) specific terms andconditions relating to contract amounts, completion periods, stages and conditions of partpayments;(iv) all the contracts above US$10,000 (or as shall be specified in the Letter to theBorrower) and (iv) variations/amendments of contracts that have been cleared by the Committee.

6. PASIDP II procurement will follow the methods provided for in the Procurement and PropertyProclamation and IFAD Procurement guidelines. All PASIDP II ICB procurements will be carriedout and managed centrally at the FPCMU. NCB and local shopping may be carried out at theRegional level in case bulking opportunities may not be feasible at the FPCMU. In this regard,Regions/BoA will have to submit their procurement plans for inclusion in the consolidated PASIDP

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II procurement plan. Efforts should be made by the Procurement Officer to ensure that the bestcontract packaging possible, including consideration of what lots can be bulked in a package forwhich it is possible to find a supplier or bulking opportunities.

7. The consolidated PASIDP II Procurement Plan will be submitted together with the AWPB to theNational Programme Steering Committee for approval, and the Directorate of Procurement andProperty Administration as appropriate for information/inclusion in the MoANR annual ProcurementPlan and later to IFAD for a no objection as part of the PASIDP II AWPB.

8. Bidding Documents: The conduct of a transparent and successful procurement is dependent on thequality of bidding documents. Thus, to guard against mis-procurements, it will be essential that biddocuments get very well prepared. Under PASIDP II, the GOE standard bid documents will be usedand adapted to suit each specific procurement item. On-the-job training will be carried-out forPASIDP II management by MoANR and/or IFAD in the preparation of these documents. IFADclearance of the Standard Bidding Documents under PASIDP II will be a requirement.

9. In accordance with IFAD procurement guidelines, where international competitive bidding is used,the World Bank’s Standard bidding documents and related guidelines will apply in all cases.

III) REVIEW OF PROCUREMENT DECISIONS

1. Procurement is fundamentally the responsibility of the Government, but the IFADsupervision involves three main tasks in relation to procurement: (i) Review of theprocurement plan; (ii) Prior or ex-post review of procurement, and (iii) Review ofpre-qualification of bidders.

2. Review of Procurement Plan. The FPCMU will have a duly approved annual workplan and budget, which includes a procurement plan for all major procurements ofgoods, works and consulting services to be carried out within a period of at least 18month (ie extending up to six months beyond the end of AWPB). The firstprocurement plan is to be updated after loan effectiveness and is to cover the initial18 months of the project implementation period and is to be submitted to IFAD forapproval. The procurement plan is to be updated annually (or as needed) to coverevery subsequent 18-month period of project duration as part of the AWP&B. Theprocurement plan will identify in reasonable details: (a) the various contracts ofgoods, works and consulting services required to implement the project: (b) theproposed methods of procurement for such contracts that are permitted under theFinance Agreement, and (c) the related IFAD review procedures.

3. Prior and Ex-post Review of Procurement. Irrespective of the method of procurementto be employed, the Finance Agreement specifies the threshold for prior review ie forcontracts valued at more than the threshold amount. IFAD reviews the government’sprocurement procedures, documents, bid evaluations, award recommendations andcontracts to ensure that the procurement process is carried out in accordance withagreed guidelines. The IFAD financing agreement specifies the extent to which thereview procedures will apply in respect of the various categories of goods, works andservices, in whole or in part, from the IFAD loan and Grant. Where prior review isnot required, IFAD conducts post-award reviews on a sample basis of documentationand contracts submitted as supporting documents for withdrawal applications andwill ensure that the following aspects maintained:

Coherence as per PDR Packaging was logically grouped according to the categories of procurement Packaging has been done in a way that generally facilitates the use of the most competitive

and efficient procurement

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Procurement methods are compliance with the Financing agreement Time estimates indicated seem realistic Procurement schedule consistent with the implementation schedule in the AWPB

4. Review of Pre-qualification of Bidders. Pre-qualification involves review by IFAD intwo instances: (a) prior to the government issuance of invitations to prequalify, IFADreviews the draft documents to be issued, including the text of the invitation toprequalify, the qualification questionnaire and the evaluation methodology, togetherwith a description of the advertising procedures to be followed; and (b) following thegovernment’s evaluation of submissions IFAD reviews the draft evaluation reporttogether with the list of prequalified bidders and a statement of their qualification,and of the reasons for excluding any applicant from prequalification.

IV) GUIDELINES FOR THE EVALUATION OF BIDS

1. The following aspects, as per GOE requirements are to be followed by examining officersresponsible for evaluating bids, component heads for making recommendations to the ProgrammeSteering committee / Ministerial Tender/Purchasing Committees/ Regional Tender Board and tothe District Council who are responsible for receipt and processing of bids: -

2. Responsibility for Evaluation. The Programme Coordinator, or in certain cases, his/her designateddeputy, is the examining officer for tenders referred for evaluation and recommendation to theProgramme Steering committee / Ministerial Tender/Purchasing Committees/ Regional TenderBoard and to the District Council who are responsible for receipt and processing of bids. Inhis/her absence, it is to be clear who is responsible for this function.

3. Promptness in dealing with Tenders. Processing of bides should be dealt with promptly anddelivered by hand to the Secretary of the Approving Authority as soon as action has beencompleted but not later than two days proceeding the next meeting of the Approving Authority.

4. Security of Documents. Until a bid has been accepted, no information whatsoever may be releasedto bidders or others. Bids at all stages before and after acceptance to be treated as strictlyconfidential to the tender boards secretary, members of the tender boards and officers directlyconcerned with the examination and analysis, etc. of bids. All bid papers and schedules are to betreated as strictly confidential. They are to be kept in a safe place, not in public view while in thecustody by examining officers. On no account are tender papers to be treated as ordinarycorrespondence passing through the records rooms. If tenders are to be referred to districts orProgramme component for comment, this should be arranged with the Secretary of the ApprovingAuthority.

5. Defacement of Tenders. Examining officers must not write on or otherwise deface the original bidpapers. As the accepted bid will later form part of the contract documents, any defacement couldprove embarrassing should the successful bidders take exception to their inclusion and refuse tosign the contract or in a dispute situation where bid documents are produced at a formal hearing.Notes or calculations should be made on a separate sheet of paper.

6. Errors or omissions. Bidders’ schedules are to be checked for arithmetical errors or omissions ofitems. If errors are discovered then the bidder should be asked – via the Secretary, of theApproving Authority, to confirm his/her price. Amendment of a price to a more favourableposition would normally not be accepted unless all other bids were clearly unsatisfactory.

7. Tagged Bids. ‘Tags’ in bids introducing new conditions or qualifications only serve to confusethe issue and if allowed to stand would not permit examining officers to place all bids an equalfooting. However ‘tags’ which draw attention to ambiguity in documents must be carefullystudied. Provided a tag does not afford a bidder any advantage over other competitor and does notconflict with the specifications and the Bidding Documents, it may be accepted. While specific

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tags are preferable to general tags, each case of a tagged must be taken on its merits. Neverthelessdue regard must be given to the bidder who has submitted his offer untagged and therefore,accepts the risks as set out in the documents. In order to be able to reduce all bids to a strictlycomparable price level, examining officers must accurately assess and document the cost of anyacceptable tags. Tags, which conflict with the requirements of the documents, must be consideredunacceptable. All correspondence relating to the tags must be included in the signed documents.

8. Suitability of bidder. Examining officers must satisfy themselves as to the sufficiency of allaspects of a bid and the bidder’s suitability from the point of view of technical ability, plant,materials, labor force (where applicable), financial standing and current work commitmentsbefore recommending acceptance of a bid to the Approving Authority. While some of thisinformation may be known or supplied with the bid, other aspects, such as financial standing mayremain in doubt. In this case the examining officer should request the Secretary of the ApprovingAuthority to arrange for a credit report to be obtained. This information should assist theexamining officer in making his recommendation. Technical experts should be asked to commenton low bidders not known in head office and in other respects concerning bids as therecommending officer may decide is desirable.

9. Recommendations signed by the head of the Procuring entity or in his/her absence, by his/herdeputy. Recommendations together with bids are to be returned to the approving authority atleast two days preceding the next meeting of the committee.

10. Pre-Recommendation Discussions. It is the Programme / Government’s practice to avoiddiscussion of bids prior to letting. This has been seen as an important feature of the security andintegrity of the Programme / Government procuring procedures. However, occasions do arisewhen there are aspects of bids, which can only be satisfactorily resolved by discussion with thebidder. In cases such as where there may be a lack of clarity or some lack of understandingbetween the parties, examining officers may choose to recommend that a pre-recommendationdiscussion be held with a particular bidder or bidders.

11. Bidders much not be permitted to vary prices during discussions and procuring entities should notcommit the government in any way by indicating that the bidder'’ price is being recommended foracceptance or giving the bidder any grounds whatsoever for thinking it would be the successfulbidder.

12. Relationship to Cost Estimates. Bids substantially above or below the up-to-date cost estimatesare to be regarded with considerable reserve. Where the bid recommended for acceptance isabove the estimate, an adequate explanation must accompany that recommendation givingreasons for the difference. Merely advising that the estimate is out - of – date is insufficientreason. The importance of having approved up-to-date estimates cannot be over emphasized.Similarly, recommendations for bids considerably lower than the estimate must contain a suitableexplanation.

13. Alternative Officers. Where alternatives are not invited but are offered by bidders, these will notgenerally be considered unless the bidder also provided a price for the design as set out in thedocuments. In assessing prices in such cases, the alternative is only likely to be accepted wherethe design is clearly comparable and the price for the basic design in also competitive.

14. By passing Lowest evaluated Bid. The policy governing consideration of bids is as advised totender boards from time to time. The lowest or any Bid need not necessarily be accepted. Whilethe lowest or any bid need not necessarily be accepted, substantial and factual reasons must bedocumented before the lowest bid is passed over.

15. The Tender Evaluation Report must record in its minutes the reason or reasons why any lower bidwas neither recommended nor accepted. Private and oral explanations are frequently sought bybidders who have been by passed, so reasons given must be able to stand up to scrutiny.

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16. Probity and Ethics. All Programme / Government officers concerned with procurement andmembers of tender committees must be scrupulously honest in all their dealings with suppliers,contractors, consultants, members of the public and with the Government and Donors.

17. Procuring entities and members of approving authority or tender committees must conductprocurement proceedings with complete probity and in such a manner that Programme /Government is respected and trusted as a client or a customer whilst maintaining good reputationwith contractors, suppliers and consultants.

V) BID EVALUATION SUMMARY CHECKLIST

a) Attach bid-opening record.b) Explain any inconsistencies between prices and modifications to prices read out at bid

opening (and written into the record) and presented.c) Provide details on eliminating any bids during preliminary examination. Copy select pages

from bids, as desirable, to show examples of objectionable features.d) If provisional sums vary among bidders, explain. Explain any substantial corrections for

computational errors that may affect the ranking of bidders.e) Provide a copy of the rates requested for and used.f) The additional, adjustments, and priced deviations require detailed explanations where they

may affect the ranking of bidders.g) Eligibility for domestic or regional preference must be verified if the ranking of bids is

affected. Provide details in an attachment. Exclusions to the calculations for preferenceshould be explained if similarly significant.

h) Explain any cross – discount not read out and recorded at bid opening. In addition, attachcopies of any evaluation reports for the other related contracts awarded to the same bidder.

i) Provide detailed reasons for refusing to award a contract to a party other than the lowestevaluated cost bidder.

j) If an alternative bid is accepted, provide a detailed explanation of the reasons for itsacceptance, addressing issues of timeliness, performance, and cost implications.

k) An attachment should explain adjustments to the price provided. Explain any changes toscope of bid and contract conditions.

l) Attach copies of any correspondence from bidders that raise objections to the bidding andevaluation process, together with detailed responses.

m) Attach copies of any letters to bidders requesting clarifications. Provide copies of responses.n) Submit bid evaluation with separate evaluation report from consultant, if one was

commissioned.o) Ensure that the bid evaluation report is double–checked, paginated and complete and includes

a Letter of Transmittal.p) Attach original and or certified copies of all the bids.

VI) PROCUREMENT COST CONROL AND CONTRACT MANAGEMENT

1. Procurement and cost control. PASIDP II will procure works for the construction of selectedschemes and the associated infrastructure from qualified bidders. Tender documents will includeconstruction works for irrigation and road infrastructure as a package. It has been established thatconstruction companies (public, private or NGOs) with capacity to ably undertake the requiredconstruction works exist in the target areas. Priority will be given to those companies whichdemonstrated good performance with the first phase of PASIDP. The BoWR will have animportant role to play in controlling the costs of infrastructure, avoiding underbidding andsubsequent excessive cost variations. Increased attention will also be paid to the design review

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process. Detailed engineering designs as prepared by the design consultant will be reviewed bythe FPCMU, paying specific attention to the adequacy of the design and completeness of the Billof Quantities (BOQ).

2. Construction works and contract management. All selected schemes will be constructedfollowing technical specifications provided by designs, including the measures for mitigation ofenvironmental, social and climate risks. The construction process will adjust and align with anyunforeseen situation, after discussion with the design engineers and IWUA. Contracts will besupervised by the design engineer, in close collaboration with Programme staff. Followingspecific training to do so, IWUAs will also monitor implementation progress during constructionand report their concerns with the supervising engineer.

3. Completed infrastructure Hand over. After construction and expiration of the defect liabilityperiod of the contractor, each scheme will be handed over to the respective IWUA. This translatesto a transfer of all responsibilities for the sustainable management and result oriented for intendeduse of the scheme. A scheme handover certificate will be signed between regional authorities andthe IWUA, and witnessed by the Kebele authorities.

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Annex 4: Agri-Buisness Implementation Manual

1. Introduction

Agricultural markets in general have not worked efficiently for poor smallholder producers in Ethiopia.Following the market liberalization reforms undertaken by the government in the mid-1990s, agriculturalmarkets for smallholder producers are characterized by, among others, the following constraints: longchains of transactions between the producer and the consumer, poor access to appropriate and timelymarket information, small volumes of products of highly varied quality offered by individual smallholderproducers and poorly structured and inefficient markets. The lack of market linkages represents asignificant impediment to market access, especially for poor smallholder producers. The lack of marketlinkages substantially increases transaction costs, post-harvest losses, perpetuates farming as a socialrather than business activity and reduces market efficiency. For any one commodity, the marketing chainconsists of multiple middlemen, each taking a margin at every stage of the chain, and price variations inspace and time are often large and erratic. The purpose of this program is to link smallholder producers tocommercial mainstream markets; that are linking smallholder producers with the formalized value-chainmarkets through institutions such as cooperatives, commodity associations, etc. This will assist inreducing marketing and transaction costs as well as alleviate some production constraints, and therebyenhancing household income and food security.

A typical marketing paradox is that buyers, such as supermarkets and processors, complain aboutinadequate supply while farmers complain about lack of markets. Clearly the buyers have not been tooactive in seeking out new suppliers, while farmers have lacked the skills and resources to identify newmarkets and the ability to take advantage of identified markets through value addition activities such asgrading, cleaning, sorting, packaging, bulking, and primary processing. Organizations working to linkfarmers to markets need to contact agri-food companies, traders, retailers and exporters and identify theirproduct shortages. This should really be the first step of any program to develop linkages.

Name of the project sub component: “Developing agri-business linkages and market access” is one ofthe main sub-components of this program included in the second component of the program. Theobjectives of the component is to improved access to appropriate inputs, agricultural and financialservices to the target communities, and to mitigate marketing risks, in particular for perishable high-value crops. Thus, the expected outcome of this program component would be “increase in percentage ofvolume and value of sales of the major irrigation based commodities supported by the program19”. It willsupport a range of activities designed to ensure that the beneficiaries operate in an environment that ismore conducive to rural commercial development such as financing to strengthen farmers’ cooperatives,the development of agribusiness linkages and access to financial services.

This document contains two sections, implementation manual and a general guideline (and additionalnotes included in the annex). It is developed to ease the implementation of the market access andagribusiness linkage component of the PASIDP II. A brief explanation of theoretical concepts on marketand marketing systems is first presented in the next chapter and then the remaining parts of the documentthematically explain details activities and implementation modalities.

19 The expected outcome in the program document read as “farmers have increased marked-oriented skills and capacity forsustainable agriculture” but the consultant felt important to redefine differently to make it technically sounder.

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2. Theoretical Concept: Types of Markets and Marketing systems:

In broad terms, there are two basic market types that value chain projects can target: (i) “informal”markets, which have few regulations and often no taxation; and (ii) more regulated “formal” markets,which operate using standard weights and measures and where transactions are agreed upon based onclearly defined legal frameworks. The complexity of the market system typically reflects the volume andvalue of trade, the types of products being traded, and the number of market actors who want to make useof the system.

2.1. Informal markets

For the majority of smallholder farmers in developing countries (including Ethiopia), the most accessiblemarkets are informal markets. They are termed informal because they exist beyond the tax system and areoff-record. Informal markets trade constitute more than 85% of the agricultural and include alltransactions at the farm gate, roadside sales, village markets, rural assembly markets, and sales in themain urban wholesale and retail markets. The informal markets are particularly important for trading allproducts produced by smallholder farmers, including the high-volume, lower-value grain and pulse crops,as well as the higher-value fruits, vegetables, and meat products.

Typically, these markets have no formal grades, no traceability, they rarely use standard measures, andprices are set through arbitrary combinations of supply and demand, trader cartels, and local customerloyalties to specific sellers.

Positive characteristics of informal markets:

Limited standards mean that there are relatively low levels of postharvest loss; there may beextreme flexibility in value propositions, which makes these markets attractive to a wide varietyof suppliers and buyers.

Informal markets provide significant income opportunities for producers, wholesalers andretailers.

The informal market process of multiple sellers and price fixing is used as risk management or asa safety net for sellers.

Negative characteristics of informal markets:

Lack of investment and poor transparency often results in crowded and unsanitary conditions. Often, food safety issues are overlooked, resulting in a shift in the buying habits of some middle-

class consumers (although most customers still value the accessibility and low costs of informalmarkets).

Markets have few modern trading facilities. The lack of a business outlook on the part of marketmanagement limits investment and growth.

The informal market sector is in great need of modernization, including:

The development and legal enforcement of grades and standards, as well as the equipment neededto monitor them.

Investment in information and communication technology to enable the monitoring and sharingof information related to produce quality and volume, as well as pricing and transaction volumes.In addition to helping facilitate transactions between poor farmers and traders, it would alsocreate an opportunity to develop effective market information and raise local taxes that can beused to invest in the marketing system.

The upgrading of storage conditions and the development of a more standardized and hygienicsystem of selling goods.

2.2. Formal markets

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Formal markets are characterized by modern value chain systems. These markets can link the morecommercial or competitive smallholder farmers with larger commercial buyers. These markets provide anopportunity for farmers to link to a consistent source of income, with clear market signals coming fromthe buyers. In addition to the more consistent income, farmers who succeed in linking to formal marketsgenerally access more support services. To work within the formal market sector, farmers must complywith the stringent quality standards and regular volume requirements of formal buyers as well as bewilling to accept that prices may be below those in informal markets.

Formal market requirements for smallholders:

It is common for firms to require traceability of lots along a supply chain, and must adhere tofood safety standards. Failure to comply with such standards is penalized.

Higher volumes in formal markets require a greater level of organization of smallholders throughgroups, associations and cooperatives, and access to specific services in order to maintain quality,volume, and flow.

Farmers agree to lower prices in exchange for longer term buying arrangements, access toservices, and social investments.

Formal market challenges:

Legal Frameworks: In modern markets, buyers and sellers rarely meet. Trust is reinforcedthrough clearly defined standards that are supported by documentation and, often, certification.These contractual transactions depend on a reliable legal system. The establishment of legalframeworks is mainly the responsibility of government. However, there must be qualified,independently certified lawyers who operate according to international standards and are backedby law enforcement to prevent fraud. Otherwise, no party to a transaction can be certain that theterms of any contract will be upheld.

Credit: Traders extend credit, usually as a cash pre-payment, to producers in almost all of themillions of transactions that occur in agricultural markets. Most traders are not able to generateenough cash to finance large deals, nor do they like the risks that come with carrying largeamounts of cash. Nearly all advanced forms of market systems rely on banks to provide credit.Such systems are only able to work where banks can be relied on to work within a legally bindingregulatory framework. Installing a robust and completely dependable legal and banking system isa massive undertaking in many developing countries, yet it is a necessary precondition for theestablishment of advanced trading systems (including contractual trading, and a warehousereceipt system).

There are a number of factors affecting the market performances (see summaries in annex 1).

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3. Supporting Agri-Business Linkages and Market Access

The objective of this sub component is to strengthen the marketing and agribusiness of irrigation basedproducts in the project areas. The activities are expected to result in an increase in the value and volumeof (domestic or export) sales of commodities targeted by the project. Overall, the component will employa market-led approach; i.e., an “agribusiness” designed to identify and address the constraints andmarket opportunities of the key value chains and stakeholders and stimulate market-led agro-enterprise,cooperative and small farmers' linkages with domestic, regional and international markets.

This sub component will support a range of activities designed to ensure that the beneficiaries operate inan environment that is more conducive to rural commercial development. It will finance the strengtheningof farmers’ cooperatives, the development of agribusiness linkages and access to financial services. Itsupports improving participation, awareness, knowledge and skill and business linkages of the privatebusiness enterprises (e.g, small farmers, cooperatives/unions, processors, wholesalers, retailers, exportersand relevant public agencies). Unlike the other components program, support to markets and agribusinesswill be largely implemented at the regional level along the commodity value chains.

The program sub component for agribusiness linkages and market access has three main focusedActivities: (i) strengthening farmers groups, cooperatives/union, and private enterprises; (ii) creating andstrengthening access to financial services and (iii) establishing market access alliance platform (MAA)and supporting private-public dialogue.

3.1. Activity I: Strengthening of Farmers’ Groups, Cooperatives and Private Sectors

This involves first identification of capacity gaps and providing training and/or BDS for all privatestakeholders along the value chain. Focus will be to Farmers' groups (focus on ‘farming as a business’),primary cooperatives, unions, and private sectors (such as traders, agro-processors and exporters) who areinvolved in the development of agribusiness. Mobilizing, organizing and strengthening of farmers’ groups(FG) and farmers' cooperatives 20 (FC) will be the key activities as they are the main vehicle forapplication of the principles and practices of irrigation farming as a business. The Program will mainlywork with the multi-purpose cooperatives. Note that the FCs will not replace traders and larger privatesector entities, but rather organize the farmers to engage in effective, viable and mutually beneficialbusiness relationships, by aggregating demand for inputs and services as well as agricultural products forefficient marketing.

These will largely perform as the ‘commercial arms’ of the smallholder farmers with responsibility ofavailing inputs to the farmers and helping farmers to market their surplus produce in a more organizedmanner. The Program will provide sustained support for the development of the FG and FC as cohesivebusiness entities. The specific activities therefore include:

(i) Conducting capacity building (training) needs assessment for the FG, FC and private sectors inthe value chain to identify the level and thematic areas.

(ii) Providing technical training: - It could be generally in the areas of21

‒ Record keeping, book keeping‒ Business management and development‒ Financial management

20 Farmers Cooperatives (FCs) exercise their authority from Cooperatives Societies Proclamation No. 147/1998.Cooperative membership is on a voluntary basis. Responsibilities for Cooperatives include supplying inputs,marketing farm produce and extending lines of credit to members.21 Detail of the thematic levels of the training will be based base on study results

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‒ Profit and loss calculations;‒ Market searching and client management

(iii) Providing training on governance: development of leadership skills, cooperative governance,and communication;

(iv) Providing Business Development Services (BDS) such as on understanding the values andmechanisms to improve:‒ product quality, product promotion,‒ Technology transfer and use;‒ Developing business partnership among small farmers, agro-processors and traders based

on domestic, regional and international market opportunities(v) Facilitation support to enable FC & FG to access inputs, finance and agribusiness links to

produce markets

Implementation procedure:Activities (i) to (iv) will be contracted to service providers on a competitive base, with strongsupervision (by Technical Advisor) on (a) quality of the report on the training need assessment and (b) thesyllabus of the training materials and mode of delivery to the beneficiaries. Staff of the Agribusiness willdevelop a ToR, and timely submit to the Procurement Directorate to announce and undertake theprocurement process. Then follow the steps below:

1st. Identifying already established FGs, FCs and Associations of Private enterprises involved in thevalue chain of the commodities under consideration. If they are not there, the agribusiness expert(supported by relevant government offices in the locality) should organize interested farmers andprivate enterprises into groups clearly explaining the objectives and establish by-laws.

2nd. Candidate trainees will be identified and organized from the FG, FC, private sectors (enterprises)by the agribusiness experts/specialists.

3rd. The frequency and number of trainee will be defined in the annual work plan (AWP).4th.Conduct participatory monitoring, feedback and deplaning for amendments

However, activity (v) will be the full responsibility of the agribusiness experts to be accomplished linkedwith MAA sub-components.

3.2. Activity II: Creating and Strengthening Access to Financial Services

The second important intervention will be developing linkages with financial service providers.Availability and terms of financing remain serious constraints for small farmers as well as processors orenterprises. This is a key factor to enable productivity improvements through the timely acquisition offarm inputs, agricultural machinery, post harvest management, transportation, etc. Cooperatives, tradersand agro-processors also need financing to aggregate farmers’ marketable surplus.

Program will assist irrigation smallholder farmers and other actors in the marketing chain to accessfinancial services through linkages with Micro-finance Institutions (MFIs) and Rural Saving and CreditCooperatives (RuSACCOs) ass well as Commercial Banks. The Program will also support the utilizationof existing Warehouse Receipt Systems (WRS). The WRS would enable smallholder farmers to accesscredit by using their output as collateral. It will also technically support to strengthen the WRS.

While the project aims at creating and assisting to gain access to credit programs, the details of thesupport are pending on the findings of a finance study. Key elements in the area of facilitating access tocredit include:

(i) Provide technical assistance to agribusiness in the development of profitable business plans forbusiness actors such as through conducting market and financial feasibility analyses;

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(ii) Supporting FG and FCs in credit negotiation with MFIs and RuSACCOs;(iii) Facilitating WRS as a credit guarantees to encourage FG & FC private bank lending to

agribusiness and MFIs; and(iv) Facilitating and linking agro processors, traders, transporter to access financial lending

institutions

Implementation procedure:1st. Conduct a quick study on “opportunities and challenges of small farmers and private enterprises

to access credit from MFI and RuSACCO as well as Banks and to identify intervention areas”.This could be contracted to a consultant with defined ToR to be developed by the AgribusinessExperts. Quality of the study report should be ensured by a senior experts or Technical Advisors.

2nd. Identifying FGs, FC and private enterprises (linked to the commodities in the market chain) whoare interested to access for credit… the training obtained in sub-component I should assist themto think “farm as a business” and the need for financial resource to do the business.

3rd. Agribusiness experts assist developing business plan in line with standard MFI or RuSACCO orBanks for each FG, FC and private enterprises. Carefully check for market and financialfeasibility of receiving a loan at specified interest rate and time.

4th. The experts should facilitate negotiations on terms and conditions of the loan with the financialservice providers

5th. Exploit opportunities through the MAA platform6th. Detail activity schedule to be clearly indicated in the AWP7th.Conduct participatory monitoring, feedback and deplaning for amendments

3.3. Activity III: Establishing and Strengthening Market Access Alliances (MAA)

The MAA sub-component has two sub-sub components, establishing and strengthening MAA andsupporting private-public dialogue.

3.3.1 Establishing and Supporting MAA

The program will facilitate the establishment of agribusiness linkages among small farmers, relevantprivate and public stakeholders through MAAs. The MAA would be established as voluntary platforms.The main purpose of the MAA will be facilitating emergence of agribusiness linkages between organizedfarmers and other marketing chain stakeholders and service providers.

The MAA will comprises of membership of FGs, FCs, inputs suppliers, primary processors andaggregators, exporters, etc), and key service providers such as MFI, RUSACCO, banks, transporters aswell as relevant Woreda level public institutions.

The MAA Platform will be established at each program Zone or Woreda level (to be specified inconsultation with the local stakeholders). MAA will have an Executive committee would consist of sevenmembers specified as follows:

1. Chair person - from Bureau of Trade/industry2. Co-chair person - from the FC/Union3. A Member - representing MFI4. A Member - representing service providers (input suppliers, aggregators, processors, exporters,

etc)5. A Member - representing Lead farmers6. A Member - representing the Youth7. A Secretary - Agribusiness Facilitator

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Election procedure of the MAA executive members will be locally defined. Once formed, the MAAExecutive committee will develop Annual Action plan. It will accountable to report to local and regionalProject Coordination Unit and Regional BoANR. The detail of the MAA activities are defined in sections4, 5, and 6 below.

The development of MAAs will require coordinated effort throughout the life of the program andthereafter. To provide this support, Teams of the Market Facilitation, supported by qualified consultants,in agribusiness, will be constituted within the PCMU at Federal and Regional levels.

Implementation procedure:1st. Conduct quick study (review) to identify opportunities and challenges for market access and

agri-business linkage and to recommend intervention areas2nd. Organize sensitization and awareness creation workshop on relevance MAA for stakeholders

(FGs, FC, private enterprises and service providers)3rd. Define ToR for MAA executive committee4th. Define criteria for nominee to be an MAA Executive Committee arrange formal meeting for

FGs, FC, private enterprises and service providers5th. Conducting election of MAA Executive committee – arranging general assembly for the

stakeholders6th. Provide intensive training for the MAA executive committees on importance and mechanisms

for creating agribusiness linkages7th. Develop annual action plan (based on results of the study and the ToR) - Agribusiness experts

facilitate the process8th. the agribusiness experts of the program strongly facilitates the MAA Executive’s activities on

the Annual action plan developed9th. Conduct participatory monitoring, feedback and deplaning for amendments

3.3.2 Supporting Private-Public Dialogue

This activity is very much connected to that of the MAA. Private-public dialogue is always crucial inbusiness and market development, particularly regarding policy and intuitional supports. The FCs andprivate sector have a central role to play in identifying and advocating policy, legal and institutionalsupports that will help government to take directives. The MAA executive committees would haveopportunities to organize public and private dialogue – with the help of the Agribusiness experts(facilitators) – to facilitate a common understanding and collaboration among private and publicstakeholders responsible for market and agri-business development. Stakeholders in the various valuechains will be assisted to identify policy, legal and institutional constraints and articulating impact onactors and functions of the market and agribusiness, and to develop a strategic intervention plan thatprioritizes actions and investments for greatest effect. When further analysis and study is required, theMAA will suggest defining the issues for further study and analysis as appropriate.

Therefore, it is one of critical elements to support effective dialogue between public and private sectors,which matters to the performance and success of the MAA. As regards, the program will strengthenpublic sector agencies, particularly (a) Marketing Directorate, (b) Horticultural Agency; (c) RegionalMarketing and (d) Industrial Agencies. This is to let them own and support the implementation of the keyactivities of the agribusiness and market access and facilitate the responsibilities of the MAA. Theactivities may include the following:

(i) Problem identification and experience sharing workshops;(ii) Training on agribusiness development;(iii) Encouraging public sectors to participate in the MAA platforms, and

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(iv) Conducting a public-private dialogues on policies and lobby to create better enablingenvironment for small farmers towards enhanced agribusiness and market access

Implementation Procedure:1st. Identifying and articulating issues/problems that need government attention so as to create a

better working environment for agribusiness development. This could be obtained from studyresults to be done for the MAA.

2nd. Identify all responsible public sectors for the dialogue and lobby for discussion regarding policyor institutional challenges relevant to market access and agribusiness linkages (see also thosepublic sectors mentioned above).

3rd. Provide training to most relevant staff members in the public sectors on "Basic principles,Practices and Enabling Environment" for market access and agribusiness linkages.

4th. Organize a private-public dialogue forum on priority problems (indicated in the study results) ina regular manner. The MAA executives can represent the private sector and dialogue with therelevant public sectors.

5th. The Agribusiness experts (facilitators) together with the MAA executives should follow up theeffectiveness of the private-public dialogues in resolving the policy and institutional challengesregarding the market access and agribusiness linkages.

Identification of opportunities for young entrepreneurs

In addition to strengthening FCs, PASIDP II will support the identification of potential post-harvest andmarket related activities/enterprises benefiting youth and provide skills training.

4. Planning, Monitoring and Evaluation

4.1. Planning

Annual work planning should start at the grassroots level. The Regional Agri-business experts will takethe lead responsibility with active participation of the executive committee of the MAA and localcollaborating government offices. The draft work plan should be discussed with the lead farmers andgroup representatives of primary stakeholders at the scheme and micro-watershed levels. The plan shouldinclude detail physical activities, well described resources to be procured and the budget required to coverthe capital and recurrent costs. The federal agri-business specialists (supported with technical committee)will compile the annual work planning and budgeting (AWPB) of the components at federal level. Thisbudget will finally be included in the overall annual work plan of the program, and then will follow theprocedure explained in the document design.

4.2. Monitoring and Evaluation

The component M&E will follow the PASIDP II’s M&E system. In line with the overall program resultbased management approach. However, the result framework of the component is redefined and detailed;that is component indicators for output and outcomes are more concretized to guide the working activityplan and to measure the progress towards the program impact and sustainability. Internal staff,beneficiaries and stakeholders in a regular base should arrange monitoring - monthly, quarterly and yearlyproduce progress reports. It should be supported by participatory field verification including the programpersonnel and beneficiary (farm households and private sectors) and supporting public sectors. Themonitoring process will focus on assess the progress of activities and outputs achieved and checkedwhether or not they are gearing towards the target outcome and impacts.

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The overall performance of the program sub-component will be evaluated by external reviewer(evaluator) at two levels. The first level is a midterm review, which will assess how much of the activitiesare accomplished and to what extent the desired outputs are attained and likely to achieve the intendedoutcomes. It should come with critical recommendations and lessons to improve the progress of theprogram component performance in the remaining project period. The second level of evaluation is a finalevaluation to measure whether or not the program component resulted the expected outcomes/impacts.

4.3. Result Framework: Indicators to Measuring Success

The most critical factors determining the success of access to market and agri-business linkage are (i)access to inputs (such as improved seed, inorganic fertilizer and pesticides), (ii) supporting services likefinance and transportation, and (iii) enabling and Regulatory Environment.

4.3.1 Access to Improved Inputs

Experts have documented the significant output and yield increases that can be achieved if farmers couldadopt recommended packages that include all critical factors of production (certified seeds, fertilizer andpesticide/ herbicides).

Increase in productivity through an optimal use of improved agricultural packages would be a more viableoption in increasing output and market supply. The adoption of improved varieties therefore is aprerequisite success factor to for agribusiness and to enhancing profitability of farmers. The seeds couldbe imported from abroad, be produced and supplied by the seed enterprises of the government, privatesectors or smallholders, but should be certified.

While it is true that differences in the application rates of fertilizer may be influenced by such factors asvariations in soil conditions and agro-ecological conditions, it is also true that across most part of thecountry, fertilizer use is very low and must increase significantly across the board if agriculture is to beprofitable and stimulate entrepreneurship along the value chain of agribusiness. The application ofpesticides is compulsory, particularly for vegetable production and marketing.

4.3.2 Access to Financial Services

Financial services have been identified as critical enabler factor for sustainable farmers’ ad private sectorparticipation in market and agribusiness. The program identified that access to finance is significantlydifficult for entrepreneurs in the agricultural sector and more so for smaller farmers and firms that areagro-based. We focus on credit in agribusiness considering the following: RUSACCO, MFI22, and Bankslending to the project beneficiaries groups (their cooperatives). Access and cost to credit as well theexistence of warehouse receipts could influence credit availability among actors in agribusiness.

22 Amahara Credit and Savings Institutions (ACSI) and Tigrai Credit and Savings Institutions ((Dedebit/DECSI), Waldaa Liqii fiQusannoo Oromia (WALQO), etc; RUSACCOs- Rural saving and credit cooperatives

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4.3.3 Result Frameworks

TABLE 23: SUMMARY OF RESULT FRAMEWORK

Categories Indicators Base year Values

A. Program Sub-Component: Market Access & Agribusiness linkagesB. Sub-component Objectives: To improve access to appropriate inputs, agricultural and financial services to the target

communities, in particular for perishable high-value cropsC. Lead Organization: MoARD /IFADD. Supporting Organizations: Marketing Directorate/ Agency, Horticulture Agency, Ministry of Trade & Industry, and

the corresponding Regional Bureaus and Woreda and Kebele OfficesE. Budget Allocated: USD $ ____________million

Component Outcome

Increased volume of sales by key actors (tons)23

Increased value of sales by key actors (Birr) The business capacity of small farmers and private sector

developed In and off farm employment creation

Intermediate Outcomes (1) – Access and use of inputs1. Access and use of

improved seeds Percentage of area planted with improved seeds (%) Proportion of farmers using improved seeds by crops (%)

2. Access & use offertilizer

Proportion of farmers using fertilizer (%) Percentage of fertilized area (%) Average fertilizer application (kg/ha)

3. Access & use Pesticideuse

Proportion of farmers using pesticide (%) % of framers reporting incidence of pest attack, but not

using pesticide % loss reduced due to pesticide use

4. Timeliness in theavailability of theinputs

% of farmers reporting late arrival of seed, fertilizers andpesticide (disaggregated)

Intermediate Outcomes (2) – Access to financial service

1. Access to financialServices

Number of small farmers obtained credit forproduction/marketing

Average loan extended by MFIs, RUSACCO, Banks Percent of small farmers saving % of farmers paid back the loan in agreed time

2. Cost of Credit andFinancial Services

Nominal average deposit Rate Nominal average lending rate

3. Warehouse ReceiptFinancing (WRF)System

Existence and functional of a Warehouse ReceiptFinancing (WRF) System to target community

Number (%) of WRF beneficiariesIntermediate outcomes (3): Market & Business linkages for small farmers created

1. MAA functioning

Volume of product market transactions among farmersand cooperatives, processors, aggregators increased

Percent of major products passing through formalmarketing channels

Number of Agribusiness enterprises (private sector and

23 Key actors refer to small farmers targeted in the program and include other stakeholders such as aggregators,wholesale, agro-processing, or export level of the commodities supported.

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Categories Indicators Base year Values

public sector ) strengthened or capacitated Number of Agribusiness enterprises engaged in new

agribusiness or agriculture –related businesses

2. Private SectorAdvocacy Group forAgribusiness-

Policy and institutional problems to market andagribusiness linkages are resolved: Ordinal Scale based onefficacy and effectiveness in influencing governmentpolicies; 5 if very influential and always influencesgovernment policies, O if totally not effective

Key Activities Output Indicators

1 Strengthening ofFarmers’ Groups,Cooperatives andPrivate Sectors

Training need assessment done and gaps indentified Training on identified thematic areas provided to selected

target groups Technical Assistance provided BDS support provided The capacity of private sector & small farmers developed # of functional cooperatives that provide at least 3 services

to clients # of households with strengthened financial literacy

2 Creating andStrengthening Accessto Financial Services

Business plan for FC,FG & private enterprises developed FC,FG & private enterprises are linked to MFIs,

RUSACCOS and Banks, negotiate on credit arrangementand agreed

3 Establishing andStrengthening MarketAccess Alliances(MAA)

MAAs formed Executive committees elected & trained MAAs become functional New markets and market segment identified Relevant personnel from public sector trained Multi-stakeholder, public-private fora organized Roundtable Private –public dialogue regularly conducted Policy and institutional problems to market and

agribusiness linkages identified

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5. Implementation Guidelines

5.1 Linking Farmers to Markets

The overall aim of linking process to the market is “To provide market linkage innovations andempower smallholder producers to choose what commodities to produce, what technologies to applyfor production, when to produce, for whom to produce and when and at what price to sell”. Marketlinkage innovations will enable smallholder producers to sell their produce or purchase needed inputson time and at competitive prices. There are several ways of linking small farmers to market. Themost important ones include linking through growers’ association, cooperatives and contract farming.The market linkage is to be done with domestic traders, retailers, agro-processors, exporters and buyerinstitutions. Therefore, t needs to first mobilize and organize small farmers in groups, cooperatives,association, etc, then to identify most effective ways of linking them to market.

In order to help farmers access to market and create linkages to agribusiness so as to improve theircompetitiveness, market facilitators and extension worker must focus on forming farmers'organization. Some examples of methods for farmer organization in market linkage include:

• Commodity/growers' Association• Farmer groups in collective marketing• Cooperative support• Contract farming (out growers)

Accordingly, there are different ways of enabling farmers to access to market and create marketlinkages. Types of linkage can be categorized in various ways.

5.2 Linkages through commodity/growers’ associations

Commodity/growers’ associations serve as important vehicles to get producers organized andworking as a unit; for instance, vegetable growers association could be formed. Supporting theproducers’ level to facilitate production planning according to market demand, systematic training onquality standards with regard to market requirements, and finally, to customize their training programto current market conditions.

It also needs to facilitate the provision of short training courses, study tours and workshops thatencourages sharing of ideas and exchange of experiences among extension staff, producers andinstitutions. The program will also facilitate the development and dissemination of marketinginformation materials.

5.3 Farmer groups in collective marketing

At the most basic level, Agribusiness experts, together with extension workers, can help farmersorganize into groups where they can learn new technologies and prepare plans to produce a specificlevel of surplus for sale to a local trader. Organizing farmers into groups is beneficial for training andprovides farmers with better negotiating power at the time of sale through collective marketing.

The diagram below, Figure 1, provides an example of a flexible approach to aggregate produce forsales. The approach can be used at the local level with less than 100 farmers. When only a fewfarmers are involved, the management can be minimal, and meetings may only be required to agreeon sales conditions, at the start of the season, then at the time of storage, and sales. It is important thatwhen farmers start to associate beyond the primary group, they have a transparent system for grouprepresentation at the association level and they have reporting mechanisms to provide regular andtimely feedback to members. This process can be scaled to include several thousand farmers, but asthe number of associated groups grows, more effort is required at the second order level to provideeffective and transparent management.

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FIGURE 9: COLLECTIVE MARKETING ORGANIZATIONS

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5.4 Linkages through marketing cooperatives

Marketing cooperatives are composed of individual producers with a mutual interest in marketingtheir produce collectively. By forming marketing cooperatives, producers can achieve economies ofscale. By negotiating as a group, producers can get a better price for their produce. Through marketingcooperatives, producers can save the time and expense of taking their produce to the marketthemselves. Furthermore, producers can reduce the risk of being left with piles of unsold producerotting in the fields while they wait for a buyer. They can also grade and sort their produce, andpossibly store and process it before selling. Groups of producers may help each other with fieldworksuch as land preparation, weeding and harvesting. They can also try to market their own produce ifthey are dissatisfied with the prices that traders offer. The program will use marketing cooperatives asthe main channel for agricultural support programs in line with the marketing strategy. This is becausesupport services delivered in bulk, reduce costs and broaden the impact of development assistance.

A cooperative is the classic form of a farmer-based organization. The cooperative movement has along history based on a more formal arrangement of farmer groups. When working well, thecooperative movement has helped improve the fortunes of millions of farmers. Cooperatives, throughmarket linkage mechanisms such as certification schemes, have improved long-term trading relationsin specific value chains (e.g., coffee).

However, the cooperative movement has also suffered from major problems with corruption and ineptmanagement. Frustration with years of mismanagement, often linked to poorly manage financialarrangements, led many farmers to abandon the cooperative movement and strike out as loneoperators. The role of governments in most agricultural marketing systems has declined due toreforms such as the structural adjustment programs. As a result, farmers have begun returning to moreinformal farming organizations, though they have a lingering preference for lean management systemsand fair representation in the marketplace.

Therefore, care should be taken to identify the cooperatives with due assessments of the background,performance, and prospect to work with as stakeholder of the program representing the beneficiaryfarm households.

5.4 Linkages through contract farming

Contract farming is another way of linking farmers to market. Terms of contract is arranged definingthe required quality, quantity and prices of the product. In contract farming, a trader or processorpurchases producers’ harvests according to terms arranged in advance through contracts. Theproducer harvests and delivers to the contractor a certain quantity of a product, based on anticipatedyield and cultivated acreage, at a pre-agreed price.

Contracting is fundamentally a way of allocating risk between the producer and the contractor. Theproducer assumes the risks of production, while the contractor bears the risks of marketing. Theallocation of risk is specified in the contract and can vary widely. Some contracts specify a certainvolume of production while others specify only a price (which can be, for example, market price,average price over a period of time, or the difference between a basic price and a market price).

A major factor in ensuring contract compliance is the degree to which the smallholder wants thecontract to be renewed. The contract must be sufficiently attractive to the smallholder producers sothat the costs of defaulting (such as being excluded from contracts in future seasons) exceed thebenefits of defaulting (such as being able to pocket forward payments). If a contract offers onlymarginal profitability, the risk of default is higher. In contractual farming, the existence of effectivelegal body to enforce the agreement is critical.

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5.5 Linking small farmers to market actors

The following are key market actors that actively involved in market transaction to which farmers canbe linked in one or different ways explained above.

• Farmer to domestic trader- traditionally practiced• Farmer to retailer; (e.g.; super markets, but not easy)• Farmer to agro processor (need continuous supply or storage to operate efficiently);• Farmer to exporter;• Institutional buyers

The opportunities and challenges of linking farmers to each of the market actors are summarized inTable 1 below. The market facilitators should work on maximizing the benefits from the opportunitiesand mitigate challenges to reduce risks losses.

5.6 Linking farmers to domestic traders

Traders have traditionally interacted with producers on a one to one basis, either buying from them atlocal markets or at the farm gate. Purchases at local markets can be relatively efficient if they enablethe trader to buy a sufficient quantity to achieve economies of scale with subsequent transport, whichis usually the main marketing cost. On the other hand, purchases at village level can often beextremely inefficient and this can contribute to the high marketing costs that often lead to allegationsof exploitation of producers by traders.

The key focus area should be to assist producers in working together to assemble all their products atone location, for purchase by one or more traders. In this regard, there should be basic agriculturalmarketing infrastructure to collate fresh produce from a number of smallholder producers in a givenproduction area/hub. The farmers can perform first-stage marketing functions such as grading,washing and packaging before selling to traders. Furthermore, private sector should be encouraged toprovide transport services to bring their produce to the collation facility.

5.7 Link farmers to retailers

Currently, smallholder producers are facing numerous constrains in supplying the retail markets suchas to supermarkets, restaurants/hotels, shops and small road side or open market sellers. The majorconstraints for the smallholder include, among others, quality and their inability to supply the requiredvolumes regularly. Supplying to such buyer may also generate increased income opportunities forsmallholder producers if they take advantage of their specific location and social adeptness in terms ofproducing food commodities of special quality.

The program could introduce a quality standardization certification to assist smallholder producers toaccess retail markets by selling products that comply with standards set by retail markets. Theassistance to qualifying producers will address all the different aspects of becoming compliant andobtaining certification pertaining to, for example, quality and food safety issues. Therefore, throughthe assistance provided, producers will be in position to comply with standards required by thedifferent markets, which will further enable them to participate in mainstream retail markets.The program would support smallholder producers in the following areas:

• Training producer groups to engage with higher-value market chains and buildingrelationships with supermarket buyers.

• Strengthening cooperation between producer groups and buyers/traders through meetings andexchange visits - to discuss commodities with a high potential for return, and to outline theirrequirements for quality, quantity, price, delivery, packaging, transportation and paymentmethods.

• Facilitating access to regular market information through MIS and other forms of media.

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5.8 Linking farmers to agro-processors

The process of agro-processing involves a set of techno-economic activities, applied to all theproduce, originating from agricultural farm, handling and value addition to make them usable as food,feed, or to produce intermediate industrial raw materials. Linking producers to the markets throughprocessors can be a well-recognized means of augmenting seasonal gluts and associated price crashes,especially for smallholder producers. Unfortunately, the linkage between smallholder producers andprocessors might be rather weak under local conditions. That can be attributed to, among others, thehigh cost of processing, inadequate supply of the right quantity of raw material for processing, etc.,apart from inconsistent demand for the processed produce.

The program, together with its partners, will provide training to smallholder producers. The trainingwill assist smallholders in increasing production volumes and quality required by the agro-processors.The agro-processors and distributors should work towards improving their internal business processesthat will be achieved by the development of technical requirements packages to ensure that theproduce meets the standards set by the agro-processors. The program can facilitate knowledgedevelopment and brokering through the following:

• Collecting and disseminating information relating to types of produce demanded, demandedquantity and quality standards, demand schedule, etc;

• Assisting in the arrangement and/or negotiations of transactions between a buyer (agro-processor) and a seller (smallholder producer).

5.9 Linking farmers to exporters

In the case of linkages between smallholder producers and exporters (regional traders), it is importantto have an external catalyst to identify new market potential and link producers and traders whowould not, otherwise, have made contact. The key focus area for this approach is effectiveparticipation in business networking events, including trade shows and business-to-business and directbuyer engagements. These networking events are open to most global industry players and have apotential to link Ethiopian smallholder producers and exporters with global markets (at least with theneighboring countries).

The program would complement business networking support with direct assistance to smallholderproducers and exporters in meeting regional/global market requirements. The assistance will bethrough training and technological upgrading that will enable them to meet requirements for export-oriented activities (in terms of standards for production, quality, packaging and delivery). The supportwill also be provided to the national exporters seeking to identify qualified suppliers in project areas.The program, together with its partners will also play a critical role in catalyzing transactions betweenbuyers and producers through the following:

• Ensuring that both buyers and producers have complete and accurate market information;• Designing networking events that will produce the most effective interactions between buyers

and producers in common market or market segments.

5.10 Linking farmers to institutional buying

Government and international institutions are potential sources of demand for agricultural foodproducts. In Ethiopia, farmers could be linked to institutions such as universities/colleges, hospitals,military comps, etc which involve in the purchase of food items in a regular manner for theircommunities members. A contractual farming or supply arrangement can be formed with definedquantity and quality of the product and specified price. Agribusiness experts, MAA and supportingstakeholders can facilitate such business linkages.

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TABLE 24: ADVANTAGES AND DISADVANTAGES OF VARIOUS TYPES OF LINKAGES

Type of linkage Opportunities for Farmers Challenges to farmers

1. Linkages throughmarketingcooperatives

‒ Inputs may be supplied on credit;‒ Crop marketing, packaging, grading and

storage and, sometimes, processingorganized by the cooperative;

‒ Potential for farmers to sell larger volumes.

‒ Cooperatives often depend on subsidiesand

‒ external managerial assistance;‒ Commercial activities can collapse when

subsidies and assistance run out.

2. Linkages throughcontract farming

‒ Inputs, technical assistance, etc., may besupplied on credit.

‒ Forward and backward linkages could bestrong

‒ Companies often require external agency(e.g.

‒ bank) to finance credit provision;‒ Frequent mistrust between farmers and

companies and their employees;‒ Contracted price lower than market price

may‒ lead to sales outside of the contract;‒ Difficulties may be experienced if

projects with draw

3. Linkages through anexporter

‒ Potential high returns if quality can be‒ achieved;‒ Inputs, technical assistance, etc., may be

supplied on credit;‒ Exporter often provides transport and

packaging

‒ Export markets are inherently risky;‒ Compliance with standards (e.g. organic;

quality and traceability; fair trade) can beproblematic, even with technicalassistance.

4. Linkages through anagro-processor

‒ May provide secure market at agreed price;‒ Offers additional market in addition to fresh‒ market;‒ Inputs, technical assistance, etc., may be

supplied on credit;‒ Processor often provides transport;‒ Potential for farmers to sell larger volumes

‒ There may be an inadequate market forthe

‒ processed products, therefore jeopardizing‒ sustainability;‒ Must meet variety, quality and safety

specifications;‒ Open market price may be higher than

that‒ agreed with processor;‒ Risk of delayed payments.

5. Linkages through aretailer

‒ Reliable market at agreed price.

‒ Must meet variety, quality and safetyspecifications;

‒ Must be able to supply agreed quantitiesat all times.

‒ May have to accept deferred payment -this may place farmers in conflict withurgent payments;

6. Linkages though adomestic trader

‒ Requires high level of trust‒ likely to ensure long-term sustainability;‒ Formal farmer organizations not usually

needed;‒ Traders may (rarely) provide training in

production and handling.

‒ May need to accept short-term deferredpayment;

‒ Limited access to high-value markets.

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6. Market Linkage Approaches

There are many options for interventions based on market types and farmer assets. Smallholdersrequire diversified business plans which may be through combinations of linking to formal andinformal markets. Formal markets offer the best returns for smallholders with somewhat largerlandholdings. Some form of links to structured procurement can be a more viable long-term option formore land-constrained farmers.

6.1. Market linkage to formal markets

There are several ways for smallholders to access formal markets:

Smallholders actively seek links with new supply chains; Initiatives by lead firms to engage farmers in more modern market systems; Initiatives by governments or development agencies to support greater smallholder

engagement in formal markets.

6.1.1. Investing in value chains to link small farmers to market

Value chain methods are intended to provide a systematic process to improve market linkage forfarmers. Specifically the approach aims to change the buying and selling culture from the“occasional” and “opportunistic” sales transactions of individual farmers to transient traders, to amore consistent sales approach that builds relationships between groups of organized farmers sellingto known trading partners. Whether a market process is led through a farmer organization or a chainfacilitator, the process generally follows a set of basic steps:

1. Organize support staff and meet the community (training and innovation);2. Identify products that are in demand and farmers who are interested in supplying those goods;3. Build relationships with buyers in formal markets to understand pertinent information (market

requirements, demand, services available through the supply chain, options for tradingmechanisms);

4. Collect information for a business plan (production, marketing, finance);5. Write a business plan and prepare farmer implementation schedules (produce as individuals,

but follow a group plan);6. Market the produce as a group;7. Review the agro-enterprise performance of the group;8. Review, improve, and scale up the process.

Depending on the local context and farmer, a number of possible project entry points can be identified(Table 3). It needs decisions on which entry point to select based on a combination of participatoryanalysis with the farmers, market studies, and farming systems analysis. If farmers are vulnerable tofood insecurity, which is often the case, but still need to be linked to market, the following steps areworth considering.

At the first, the emphasis for the value chain team will be to support the rebuilding of thefarmer group. The program will invest in basic assets for the farmers, often involving theprovision of seeds and fertilizer. These farmers generally need to increase their productivityjust to feed themselves before they are able to produce a surplus to sell in the market.

At the second level, the market support team will focus on skills training and working onspecific types of innovation analysis with farmers. Skills training may focus on issues such assetting up a savings and loan system within the group so farmers can save income to invest ininputs. The farmers will learn about basics marketing and establishing links to traders andbasic services on a more regular basis. To improve linkage, farmers will need to aggregatetheir goods for sale.

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FIGURE 10: BUILDING FARMERS CAPACITY TO RECOVER AND BECOME MARKET ORIENTED TO FURTHER

GROW

At the third level, farmers are already selling to a market. In this case, the value chain teamwill focus on helping farmers to optimize their production and to build links with specificbuyers. When farmers are already well established, the emphasis of the support will be tobuild linkages to other service providers, particularly from input suppliers, extension, andfinancial services. The approach will also help farmers to work with higher order farmerassociations, rather than groups, and to find ways of adding value to their produce.

TABLE 25: OVERVIEW OF POSSIBLE PROJECT ENTRY POINTS

Entry Points Startup activities

1. Pilot testingWork with producers and other chain actors to test new innovationsbefore going to commercial scale

2. Pre-selected commodity Go straight to market analysis

3. Poor, unorganized farmersForm groups and build social capital with savings-led methodsbefore engaging in market linkage

4. More organized farmers Focus on strengthening market linkages

5. Existing buyer or contractfarming

Develop business plans and initiate an investment program

6. Support for businessdevelopment services

Strengthen or develop critical business service

Source: adopted from CRS

6.1.2. Contract farming to link small farmers to market

Contract farming (out-grower schemes) provides smallholders with a direct sales agreement for atarget market. The agreement is usually based on specifications such as price, quality standards,and sales volumes. Contracting has many variations but is generally supported by an intermediaryfirm who secures the market and then sources smallholder produce to aggregate supply volumes andcontrol quality. These intermediary firms often support financing and technology and also producelogistics that significantly reduces risks for smallholders.

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Contracting is used in many formal trading arrangements for high value horticultural produce fordomestic and export markets. As countries urbanize and food systems are formalized, contracting isused to support traceability in supply chains and to ensure compliance with food quality standards.

Farmers are attracted to contracting because it allows them to access a more consistent market.Pricing in contract agreements is often competitive with farmers getting slightly below prevailingmarket prices. They agree to these conditions because they prefer consistent pricing to the highlyvolatile informal market situation. Contract farmers also seek other benefits such as access to newtechnologies, financing, and improved social capital through farmer organizations that provideprospects for learning as well as future market opportunities.

6.1.3. Certification schemes to link farmers to market

Certification schemes that support smallholder production and marketing have been growing. Now,certification is common in the retail sector and there is a number of leading certification agencies withgrowing market share, including Fair trade, Organic, etc. Major food processing and retailingcompanies looking for a more sustainable supply and ways to attract consumers who want assurancesthat their purchases were ethically produced have recently bolstered the certified market segment. Theprogram may look for possibility of certification products perhaps after midterm of the programperiod.

Note: Formal markets have the most challenging requirements for quality, consistency, and, often,cost. Partnering with companies in the supply chain to develop business models with policies andpractices that meet the needs of smallholders, while also complementing investments to upgrade theirskills, can be a very effective way of creating market linkages. To be successful, it is necessary toensure that companies have the patience needed to invest in the process and that farmers have thecommitment and ability to meet the requirements

6.2. Market linkage in informal markets

The market linkage project could support greater integration of farmers within the informal marketsector. There are many examples of farmers who are able to sell their periodic small-farm surpluses inlocal village, district, and national markets after they received support and training as groups. A majorreason that most farm produce is sold in informal markets is because formal markets are often limitedin size and volume, and the cost for most buyers and sellers is prohibitive. The lessons learned insupplying the informal sector are, in many ways, a stepping-stone to becoming a reliable supplier ofquality goods to a higher-paying formal buyer.

7. Providing support services

For small farmers and agro-enterprise projects to have long-term success, producers and other chainactors must have links with business development services (BDS). In many cases, market and a valuechain projects will provide business services to a target farming community at the outset. There is awide range of services, financial and non-financial, that small or medium-sized agriculturalenterprises may need to improve their efficiency and investments. The types of BDS servicescommonly provided to small enterprises are shown in Table 3. In situations where business servicesare present, but weak, the market support team should find ways to strengthen the local serviceproviders. Where business services do not exist, they may need to work with local volunteers or findprivate sector agents and train them to provide basic services in the target zone. The marketfacilitators will undertake the process of coordinating market actors and service providingstakeholders.

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TABLE 26:TYPES OF SUPPORT SERVICES PROVIDED TO THE AGRI-FOOD SECTOR BY CATEGORY

Type of BDS Examples of service provided

1.Single serviceproviders

Fertilizer suppliers Seed suppliers Pesticide and herbicide suppliers Transport

Market information price Warehousing Infrastructure (roads, power, water) Telecommunications

2.Financial serviceproviders

Savings and loans groups Savings and Credit Cooperatives Micro-finance institutions

Formal banks Insurance brokers Mobile lenders or banks

3.General serviceproviders

Input supply Market intelligence Market brokerage Farmer organization

Market research Business management Legal services Food safety, quality, compliance

4.Sector/product specific Agricultural extension Technical assistance and training

Postharvest: storage, processing,grading, packing

5.New business model Certification services Inclusive chain-wide service support

Support services can focus on five areas: (i) information management, (ii) skill change, (iii) valuechain development, (iv) agri-business networking, and (v) linkages to financial services.

7.1. Information management

The advent of Information and Communication Technologies (ICT), and the rapid spread of mobile-based ICT, is transforming management systems throughout the world. The use of ICT is a criticalbuilding block in the upgrading of extension services for marketing. The program community has amajor role to play in this process because they have access to mobile telephone technologies. Moreefforts are needed to link technology users in order to modernize the other parts of productionextension. Closer ties among farmers, government, market actors would result in better informationanalysis and interpretation.

7.2. Reform in skill sets

Farmers required multiple skills to improve their market linkage. The desired set of skills is commonacross wealth levels and locations in the farmer groups. The skill sets are classified as follows:

• Group management skills - the presence of leadership and management skills appears vital forthe success of groups. Without such skills a group may have little chance of long-termsuccess.

• Financial skills (starting with internal savings and lending);• Marketing and entrepreneur skills;• Innovation skills for accessing new technology;

The type of skill to be developed should also be based on market and business functions to helpfarmers invest in individualized business opportunities. Farmers and their organizations will have tobecome adept in basic business methods including:

• Analyzing market opportunities• Assessing production costs• Evaluating local service options• Developing business plans• Negotiating new business models with chain partners• Evaluating profitability on a seasonal basis• Generating long term upgrading plans that include chain-wide processes

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7.3. Facilitated value chain support

In situations where there is reluctance from farmers to work in cooperatives, or lack of farmercooperatives in key value chains, modern market extension services will have to devise differentsystems of organization that support greater collective action in value chains. The level of maturity orformality within the chain, and the emphasis that is placed on developing durable tradingrelationships, are important factors in the design of these value chain structures.

To avoid problems associated with being too heavily involved in the chain, it is advisable for theservice providers and agri-business facilitators to be outside of the value chain, but to work directlytowards within chain development (Figure 1). The purpose of remaining outside the chain is topromote greater sustainability of the value chain when the facilitation process ends. In this case, chainactors are given technical advice and training to take on an upgrading process that they implement.

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FIGURE 11: VALUE CHAIN AND SUPPORTS

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7.4. Supporting Agri-dealer Networks

The agri-systems networks work with both the farmers and input suppliers to demonstrate the value ofnew technologies and to build relationships to enable farmers to have continued access to improvedtechnologies when the project support ended (see Figure 2). The market and agribusiness facilitatorsshould identify gaps and areas of intervention and support inclusively.

FIGURE 12: AGRI-DEALERS NETWORK

7.5. Strengthening linkages to financial support

Limited access to financial services is a major problem for farmers and certainly affects their ability totake advantage of market-oriented production opportunities. The availability of suitable financingarrangements must be considered at an early stage. Lack of rural finance prevents scale andaccelerated change. One of the least supported areas in agricultural projects is the link betweenfarmers and financial services. Poor farmers want financial support with the following attributes:

• An entry point that offers them savings, insurance, and credit• Low cost (interest)• Locally available, secure

• Transparent• Simple procedure

These features are not available from traditional micro-finance institutions. Thus, several NGOs aredeveloping self-help or “savings and internal lending communities” (SILC’s) as a first step in buildingtheir financial skills and to provide access to small amounts of investment funds.

Market facilitators should place emphasis on helping farmer groups establish savings groups as ameans to build financial skills in market-led extension programming. Market extension service shouldbe prepared for the possibility that it may take up some time complete a savings and loans trainingand that it requires trained staff. Another option is Savings and Credit Cooperatives (SACCOs).SACCOs attract more members and typically manage larger sums of money to finance productionloans. Market facilitator can connect the small farmers to SACCOs and more successful lead farmerwith formal banking options and WRS.

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Financing arrangements for market linkages are many and varied. In traditional systems traders mayadvance money to farmers. The situation also works in reverse with farmers often having to acceptdeferred payment, a practice that continues under more modern systems as supermarkets may delaypayment. Contract farming companies will often provide inputs and mechanization services on credit,particularly when they are confident that the product will be delivered to them.

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Annex 5: Factors Affecting Market Performance

Every program has a limited number of areas in which satisfactory results will ensure its successfuland competitive performance. Critical success factors are elements that are vital for a programme tobe successful. These factors direct the program forward and are crucial to the success of theprogramme. Similarly, linking producer to markets program also has a number of cross-cutting issuesthat also serve critical success factors. These critical success factors can be summarized as follows:

• Organization of producers into commodity groups and formation of marketing cooperatives;• Development of the input support program;• Development of a certification program;• Development of transportation assistance program;• Provision of training;• Provision of physical infrastructure, (roads, electricity, potable water and drainage, water for

irrigation and telecommunications) and marketing infrastructure (storage services, collationfacilities, processing infrastructure, etc.).

The following issues are addressed:

• Adding value. There is considerable scope for adding value to agricultural production. Addingvalue to products at farm level can require significant investment and, but make sure there isguaranteed returns to avoid risks of losses by farmers.19

• Farmers can face significant problems in moving from ad hoc sales to becoming moremarket-oriented. Linking organizations need to be aware of these and consider ways ofaddressing them;

• The private sector must play a crucial role. There is a need to overcome the suspicion of theprivate sector that exists in development organizations working in developing countries;

Related to this, the Market facilitators must have a clear capacity to develop commerciallinkages.

• Business relations inevitably depend on the existence of mutual trust between the partiesinvolved and linkage activities have to pay attention to the development of such trust;

• While organization of farmers into groups is not always essential and some groups, such ascooperatives, have a poor track record, there are strong theoretical advantages to groupactivities. There is some limited evidence regarding the types of group that have the bestchance of success;

• Contracts between farmers and buyers can be either written or oral. Contract negotiation is animportant skill for farmers to develop;

• Finance is an essential component of most linkage activities. Where this cannot be providedby the buyer, linkages to suitable financial institutions need to be developed;

• Linking organizations need to address sustainability from the outset;• Similarly, the relatively small number of farmers who are presently benefiting from linkage

activities dictates that ways in which a greater number of farmers can benefit need to beaddressed.

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TABLE 27: FACTORS AFFECTING MARKET PERFORMANCE

Key factors Specific details

Location

‒ Crop productivity depends on location attributes (temperatures, rainfall, and seasonality),because certain crops can only be grown in specific agro-ecozones.

‒ Soils and soil fertility is important in terms of production levels.‒ Access to water is key to being able to manage production.‒ Market access is highly correlated with distance to market and access to roads.‒ formal market options, such as supermarkets, were all within 100 kilometers of the urban

center and close to major road networks.

Farm size

‒ The probability of being a net seller of staple grains increases significantly with land holdingsof 4 ha and

‒ Net buyers typically work land parcels of 2 ha and below‒ Farmers who supply supermarkets are 5 times larger than traditional farmers, 9-18 ha compared

with 1.2 - 2.4 ha‒ In traditional markets, most smallholder farmers are constrained in their ability to supply

markets by their farm size and access to water.

Financialassets &linkage tofinancialservices

‒ To invest in change, farmers need financing in the form of production loans, storage, tradecapital, and insurance. Most get none of these.

‒ Larger scale farmers, and those linked to formal markets, have access to formal financialservices.

‒ Net buyers generally have no access to formal financial services.‒ Poor farmers may be linked to savings groups.‒ Most farmers borrow from family, friends and moneylenders, or they receive credit through

their inputs dealers who also buy their grains.Ability tomanage waterresources

‒ Commercial farmers of staple and higher-value produce manage their water resources.‒ Farmers linked to higher value markets typically have access to irrigation, whereas most

smallholders, especially those growing field crops, operate in a rainfed environment

Costs of inputs

‒ High prices, availability, and financing for inputs are major barriers to their use‒ Government procurement and delivery of fertilizer is notoriously slow and distribution is often

given to only a few favored farmers.‒ The main reason for the difference in cost is internal transport and storage— after the port, poor

road systems and outdated vehicles make domestic transport costs prohibitively high, resultingin the high cost of inputs and the low rate of uptake.

‒ At the village level, the problem of high costs is exacerbated by poor quality inputs asdisreputable dealers sell adulterated products.

‒ The cost to establish production in many types of crops can require a farmer’s entire savingsand loan potential.

Transactioncosts

‒ Farmers are unable to switch from subsistence crops to cash crops because the income gainedby producing and selling cash crops is offset by the high costs (price of goods, or distance tomarket) of satisfying their own food needs in produce markets (Barrett, 2008).

Price volatility

‒ Grains tend to be more price stable than horticultural products.‒ Horticultural products suffer from boom and bust cycles that carry high risk (Chapoto et al.,

2013).‒ With limited coordination of sales, farmers are unable to know when excess supply conditions

will occur, and due to lack of storage and processing facilities, they cannot find alternativemarkets.

Access andadoptionproductiontechnologies

‒ Farmers with access and the ability to buy technologies (such as seeds from improved varietiesor fertilizer), and who can manage water resources have sizeable advantages over farmers whoare unable to use such technologies.

‒ Free government and NGO support services have been scaled back. Farmers who wantextension support will need to co-invest in upgrading processes because most services willlikely be fee-based soon to allow the greatest range of coverage.

Skills training‒ Farmers that receive training through formal education and farm-based extension services are

more likely to invest in new technologies, build their market linkages, and improve theirproduction and incomes in a more sustainable manner.

Access to roadsand ownership

‒ Access to roads and transport is typically a function of location, while more remote and poorfarmers have less market access than those farmers living in areas with more investment do.

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Key factors Specific details

of transport

Use of farmlabor

‒ Whether farmers hire or provide farm labor to others is a function of their land holdings; largerfarmers tend to hire more labor in the absence of mechanized equipment. Farmers who are netbuyers for their staple foods may be required to offer their labor to farmers with larger landholdings. Providing labor often reduces the productivity of smallholder farmers, as they willprepare their land or work their land at less than optimal times.

Education

‒ Education levels are highly correlated with market access levels.‒ This is typically a legacy issue in that wealthier households can educate their children who then

run, or manage, the farms.‒ Women tend to have lower levels of education than men, which reduce their power level and

ability to make decisions within their families and societies.

Linkage togroups

‒ In most situations, farmers in groups have been more likely to receive support from extensionworkers. Learning is more rapid in groups compared with physically meeting many individuals.Peer support helps farmers to learn together, stick to plans, and sell collectively. Group salesassociated with aggregated sale lots are more likely to gain premium prices compared to farmerswho sell as individuals.

Use ofinformation&communication technologies

‒ Virtually all farmers now have access to mobile technologies. Farmers are using this technologyto communicate with service providers, colleagues and buyers, and to learn about technologyand market opportunities.

‒ Systematic data collection about costing and sales records, in partnership with extension, willallow farmers to benchmark their operations and will allow extension workers to demonstratethe type of cost structures that are used by farmers that are more successful.

Marketing‒ A critical challenge for smallholder farmers is the size of their production units and the

associated economies of scale. To reduce the cost of inputs and improve sale prices, farmers canwork together to bulk buy and market their goods.

Businessrelations

‒ Farmers with strong business relationships with buyers can access market information that ismore reliable and can use their links to access better market options.

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Annex 6: Principles to Create Market Linkage

1. Initiating linkages• Identify linkage require: The first step with all linkage development is to identify the type of

linkage required and the level of external support that may be necessary. It is important tobalance the level of support offered with the amount of assistance really required.

• These second is product choice. The choice of product to promote must, of course, be basedon market demand. But market demand is not in itself sufficient to make the product suitablefor all farmers. The choice must take into account farmer location, education levels, socialstructure, available infrastructure, farm size, agronomic suitability of the land, the likelihoodof pests and disease, the land tenure situation, farmers’ assets, capacity to establish newenterprises, access to finance and capacity to use that finance profitably, technologicalrequirements and access to extension advice. It also needs to take into account the capacity offarmers to adapt to new systems. Even apparently simple activities, such as grading producewhere no grading has been done in the past, can present problems.

• Working with the private sector: There is already much collaboration between traders,either informally or on a formal basis through their associations, and there appears to be scopefor further such collaboration. One problem with trader collaboration is that while workingtogether to achieve economies of scale, identify markets and reduce risk can make a lot ofsense for traders, it does open them up to allegations of cartel-like behavior.

2. Mutual trust is essential• Trust has been an essential ingredient of business dealings since people started to trade with

each other. A significant proportion of agricultural marketing transactions between farmersand traders are based on trust: traders trust farmers to repay loans while farmers trust tradersto pay for the products they sell to them, deferred payment being a common practice. Thisseems to have been achieved most easily through those linkages involving relatively smallprivate-sector operators. Interestingly, several of these trust-based linkages involve cross-border trade. Arrangements between farmers and buyers may be carried out with only averbal contract or written type.

3. Group formation• Development of groups is necessary to enable farmers to make the transition from a

production to a market orientation. Farmers can access extension and inputs more easily,improve product quality, increase quantity and achieve economies of scale, and increasebargaining power with buyers. From the point of view of a company, provision of credit andinputs through groups can reinforce peer pressure and can discourage non-compliance withcontractual obligations. Working through groups can also reduce the costs associated withsupplying inputs, collecting outputs, providing extension advice and negotiating contracts.Nevertheless, it should be noted that several of the successful direct linkages between theprivate sector and farmers reported in Annex 1 have been initiated by the private sectorwithout group formation.

• Market-oriented collective action has potential when it overcomes the high transaction coststhat would be faced by farmers acting individually. While awareness of the potential benefitsof such collective action often exists among farmers, this awareness is often not sufficient toovercome their suspicions about working with each other. Implementing group linkageactivities is thus easier when farmers are used to collaborating.

• The capacity of farmers to manage business-oriented groups successfully, or to employqualified personnel to do this, remains problematic and there are many experiences tosuggest that this is likely to be the major hurdle to overcome. Where there are doubts aboutthe ability of farmers, even with training, to manage their own groups, it is almost certainlybetter to consider alternative approaches. Integrating farmers more efficiently into existinglocal marketing channels, rather than trying to bypass those channels, is one approach.

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4. Contract negotiation and contract specifications• One key factor affecting sustainability of market linkages is risk management and the

question of who bears the risk under contractual arrangements. Mitigating risk is one of themost important motivations for contracting, while perception of who bears the risk is animportant factor affecting the sustainability of contractual relations. In any market linkage,there need to be contractual negotiation – simple and specific that is easily understandably tofarmers.

5. Ensuring enabling environments• Although the private sector should be responsible for organizing production, processing and

marketing of agricultural products, the government must play a vital role in guiding andfacilitating this development. Governments can improve efficiency by providing anappropriate macro-economic framework as well as necessary public goods, such as roads, andsuitable policy and legal environments. One of the biggest challenges to tackle is how todevelop policies, institutions and services to foster value chain development outside thecontext of interventions such as those discussed in this paper.

• Legal and regulatory framework: There are many legal issues that governments shouldaddress in order to promote agribusiness development. Specific to market linkage activities isthe need to clarify legislation relating to farmer groups and cooperatives. In particular, somemore advanced groups, as noted earlier, feel the need to have a similar status to limitedliability companies. Given that the concept of farmer groups as business entities is a relativelynew one, many countries have yet to develop appropriate legislation. Contract farmingcompanies entering into agreement with cooperatives also have to be sure that the cooperativeis on a sound legal footing. Of broader concern is the question of laws of contract and theability to enforce agreements in the courts of law. Unfortunately, it is at this point that legalarrangements often break down; court procedures are universally slow and even if a judgmentis eventually obtained, there are usually problems in enforcing it and inflation may haveeroded the sum claimed. Furthermore, contract laws are of limited utility for businessesseeking to obtain repayment of loans from farmers who have practiced extra-contractualmarketing, given the small sums involved. Conversely, small farmers will never have themeans to bear the costs of fighting large companies in court. The use of third-partyarbitration, e.g. by industry associations, may be one way of addressing this problem.

• Infrastructure: Most studies identify the lack of suitable infrastructure as a major constraintto linkage development. The role of governments should be to develop infrastructure.Reliable power and water supplies are vital for agro-processing and export of fresh produce.Governments should review the adequacy and availability of rural market infrastructure,particularly assembly markets, and plan for improvements as necessary.

• The institutional environment: Farmers lack knowledge of markets, both in terms of currentprices and in terms of likely future market developments.

Remark: Linkages can be jeopardized both by too little and too much support.

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Annex 7: Success Factors and Indicators for Agribusiness

These success factors formed the basis for the construction of indicators. The following are categoriesof success factors that could promote and leverage farmers and private sector development.

1. Access to Critical Factors of Production: These were identified to include: Certified Seed,Inorganic fertilizer and Mechanical Input

2. Supporting Services Measures: These include finance and transportation3. Government Policies, Enabling and Regulatory Environment: These include fiscal and

monetary policies, trade policies and the private sector perception of enabling environmentparticularly as regards to government crowding out of the private sector. Others are the roleand Influence of civil society and advocacy groups and the existence of roundtables on issuesaffecting the stakeholders in the agribusiness sector.

With regards to the success factors of access to credit, good logistics in terms of rural roads andtransportation and the overall enabling environment for doing agribusiness in the country. Ethiopiahas enacted some laws, established some institutions and revised some policies and introduced somenew programs. The warehouse receipt financing (WRF) system through the Ethiopian CommodityExchange (ECX) and the establishment of the Agricultural Investment Support Directorate (AISD)are some of the positive measures that have been introduced to leverage agribusiness despite theinitial hiccups these programs and institutions are experiencing.

In terms of the success factor for transportation, although significant process has been made in theoverall road density in the country, however, not much progress has been recorded in the rural roaddensity in the past decade that are very crucial for transporting agricultural produce from the primaryproducer to the secondary and tertiary markets. The poor conditions of the rural roads are clearlymanifested in the higher cost of transportation in the rural areas compared to the urban areas and theinternational corridor from Djibouti to major agricultural hubs in the country.

Finally, the future of the agribusiness industry will depend on the extent to which the public andprivate sectors are able to form partnerships to engage all the stakeholders in meaningful discoursethrough dialogue and roundtables to reform policies that can leverage agribusiness and private sectordevelopment in the country. The program should, therefore, understand the local circumstances tostrategize its operations and lobby the government through dialogues to improve enablingenvironments.

In one or two seasons, value chain support can catalyze rapid and robust improvements in marketperformance for farmers who lack market access and business linkages, but who are organized andhave the assets and skills needed to increase production. Few standard metrics are widely used acrossprojects and agencies to routinely measure the market performance of smallholder farmers. Wheresuch methods are used, the main measures include production per area, value of sales, cost ofmarketing, and gross margin24.

24 The ability of a target farming community to respond to value chain support depends on their starting point profile (assets,skills and existing market access). Not surprisingly, some groups take longer to acquire more durable market linkages, butthe level of market performance, in terms of income gains, will also be considerably higher for more endowed farmers

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Annex 8 TOR for Quality Assurance for Study and Design of Small Scale Irrigation project

Objective of the Term of Reference (ToR)The purpose of these Terms of Reference is to enter a contractual agreement with a successfulbidder and select a suitable Consultant that will undertake the review of study and design of smallscale irrigation projects, which includes checking the reports of the study respect to the naturalground truth of the site proposed for each scheme proposed for the Participatory Small-ScaleIrrigation Development Program Phase II (PASIDP II) in Ethiopia.

Potential Private Consultants/Relevant Regional Design & Supervision Works Enterprise/Bureaus of Water Using Own force are welcomed to submit their technical proposals forconsideration to undertake this assignment, with the aim of delivering the highest quality of theproduct while ensuring the most cost-effective solution to meet all the requirements of thisassignment. The evaluation is weighted in favour of quality over price for the consultants andnegotiation for bureau of regional governments. Technical proposals submitted by the potentialConsultants will be evaluated based on (1) previous experience conducting similar exercises, (2)background and expertise of the proposed team, (3) proposed methodology to use in this study,and (4) financial proposal.

Introduction and BackgroundPASIDP II is financed by the International Fund for Agriculture Development (IFAD), GOE andBeneficiaries with the total cost of USD145.3million. From the total project cost, IFAD willcontribute 78.8%, the Government of Ethiopia 12.9% and programme beneficiaries 8.3%. Theprogramme is implemented by the Ministry of Agriculture and Natural Resource (MoANR) tocontribute to the sustainable improvement of the life conditions of food insecure Woredas(districts) in the four program regions of Amhara, Oromia, Southern Nations, Nationalities andPeoples Region (SNNPRS) and Tigray. The Federal and Regional Programme CoordinationManagement Units (FPCMU and RPCMU) established during the first phase of the Programmeare responsible to provide day to day management of PASIDP II. The programme developmentobjective is to "improved income and food security for rural households on a sustainable basis".The program will focus on the most vulnerable and food insecure communities and households.The general target groups of PASIDP II are, therefore, resource poor and food-insecuresmallholder farmers and disadvantaged and vulnerable households. In addition to the generaltarget area and group, the program identified specific target groups – Female Headed Households,Landless Households and Unemployed Rural Youth – to be the beneficiaries of PASIDP IIinterventions.

In view of this objective PASIDP II planned to benefit 108,750 households (HH),of this,46,250 HH in small scale irrigation scheme, 37,500 HH in adjacent watershed, 15,000employment opportunities created due to growing labour needs and 10,000 HH to besupported under PASIDP I and proposed to develop 18,400 ha of irrigated land. Theproject is scheduled to start by the end of 2016.

PASIDP II has three components namely Investment in Small-scale IrrigationInfrastructure, Investment in Capacity for Sustainable Agriculture and ProgrammeManagement, Monitoring & Evaluation (M&E), and Knowledge Management.

I. Component A: Investment in Small-scale Irrigation Infrastructure: Investment in Small-scale Irrigation Infrastructure component aims to develop 18,400 ha of small-scaleirrigation schemes. This component implements on two sub-components: the first subcomponent will support (a) the identification and selection of schemes, (b) the feasibilitystudies and detailed designs following improved quality guidelines, (c) the establishmentand strengthening of Irrigation Water Users Associations, (d) the required environmentaland social impact studies. The second Sub-component will support the development ofthe selected irrigation schemes.

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II. Component B: Investment in Capacity for Sustainable Agriculture: Investment inCapacity for Sustainable Agriculture component has three subcomponent (a) will financethe strengthening of farmers’ cooperatives, the development of agribusiness linkages andaccess to financial services, (b) will support the improvement of crop husbandry practicesmainly through farmers’ research groups, extension support and the availability ofimproved seed, and (c) will also make provision for gender-activities and promotion ofnutrition-sensitive agriculture. In particular, it will support improved watershedmanagement on 68,160 ha of adjacent watersheds and promotion of conservationfarming.

III. Component C: Programme Management, Monitoring and Evaluation, and KnowledgeManagement: The Programme Management, M&E, and Knowledge ManagementComponent will focus on (a) Learning and Knowledge Management, (b) ProgrammeManagement, Monitoring and Evaluation.

Irrigation Water User Associations (IWUA's) and other kebele (sub-district)-levelorganizations such as women’s groups, Farmer Research Groups (FRG's) and FarmerTraining Centres (FTC's) will be supported in order to strengthen their capacity. Similarly theworeda, regional and federal level organizations will be provided with the capacity to adopt amore efficient, effective and sustainable approach in the program intervention. The programwill also strengthen the technical capacity of the stakeholders on irrigated agriculture,agricultural marketing, and design and supervision construction of irrigation schemes.Women will be given training to empower them to participate more confidently andeffectively in decision making and productive activities.

The overall goal of PASIDP II is to increase the profitability of small-scale farmers through atleast three channels: (1) improved access to a well-functioning irrigation infrastructuresystem, (2) greater access to markets and services, and (3) increased sustainability of theirrigated areas and the surrounding watershed. The development objective of PASIDP II is toimprove the resilience against negative external shocks of farmers, which may help increasetheir income, food security, and nutritional outcomes.

Objective and Scope of Work

Objective of the WorkThe main objective of this assignment or consultancy service is to review the feasibilitystudies and detailed engineering designs prior to preparation of tender documents andmobilization of civil works. Besides the Consultant shall prepare a report where hisconcurrence with the feasibility study and engineering designs is stated and / or modificationsare proposed and all are formulated in full consultation with beneficiary communities andstakeholders agreement to ensure the overall reports compliance with standard design procureand IFAD guideline set for the programme .

Specific objectives of the assignment Testing and verification including review of the design reports and ensure that the reports

are compliance with TOR given and standard design document procedure set for Small-scale irrigation projects in the country and follow best international practice.

Make sample data collection and analysis at proposed site/field and laboratory test (ifany) for outstanding points and undertake report comparison with already availabledesign documents.

Identify challenges/gaps or omitted activities observed in the report against the groundtruth and recommend workable and acceptable remedial measures accordingly.

Rejecting, where warranted, the study reports in case acceptance criteria is not satisfiedpointing out the problems observed while the report is checked.

The quality assurance work is to validate the study and detail design report and makecomments for producing a reliable, workable and cost effective design document that can be

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employed for immediate implementation that would be reach to the community of projectarea.

Scope of the WorkThe major scope of the consultancy service is to review, identify gaps and validate study anddetail design reports, validate the report to the natural ground to the proposed site andrecommend for any gaps, correction as per standard guidelines, manual and programmeobjective and target. Consultant/ task force will conduct field verification of the design reportand ensure BOQ, working drawings; technical specification and tender document areundertaken as per acceptable code of conduct of practice. This consultancy service includescollecting pertinent data and analysing information and ensures the design of the envisagedprojects is comply with the client requirement relevant to development of small-scaleirrigation infrastructure systems. The overall assignment shall be administrated by MOANRfederal programme management unit with respective RPCMU with the regional PMU. Theconsultancy work include employing various study and design equipments at field level,field measurement and appropriate design software, personal interviews, key-informantinterviews, focus-group discussions, or other relevant means to validate the raw data collectedat field level received from the client.

The assignment shall cover, but not limited to the following major components outlined inthis TOR.

Community Organization and Management

Review the communities’ willingness, decision and Ensure Clear consultation andcommunication with District officials, PA officials, DA’s and Individual farmers in theproject area.

Assess community awareness creation (Brief description about project idea, its plan,future direction & the objectives of the study crew to District officials, PA officials,DA’s, individual farmers and others in & around the project area)

Discuss with the community openly and assure that:Irrigation project plan is preparedVerify and clearly the duties & responsibilities of the community & region andcommunity Participation in the project cycle (Based on the Meeting)

Verify that community participation and willingness ,during Study and Design Phase During Implementation Phase, during Scheme Operation and management phase. Ensure

there is a process of meaningful consultation on an ongoing basis that encouragesinformation disclosure and provides communities/stakeholders with opportunities toexpress their views on project risks and impact, and mitigation measures.

Review the arrangement of the contribution of the community from the total cost ofproject in percentage; kind of contribution (labor, material, money, etc,) should bequantified in terms of money; type and volume of the work they involve.

The beneficiaries' labor contribution schedule will be done on the basis of their slackperiod and they also shall approve this.

Assess if any effect of displacement size and nature of land/asset that will be affected Ifthere is necessity of compensation payment or replacement of properties due toconstruction of the project, the study shall be conducted with the beneficiaries and thestudy and design team.

Examine the existing land holding of the household, existing production condition of thehousehold the beneficiaries shall decide on the irrigation land distribution and confirmthis by the agreement signed by all beneficiaries and district administration and PA of theproject area.

Assess the idea of the cost recovery will be discussed with the beneficiaries and theopinion of beneficiaries towards the water tariff payment shall be identified and includedin the project document.

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Review establishment of WUA in accordance with the newly proclamation theparticipatory approach ppreferably applies the following steps of organization frameworkfor coordination activities of community self-management and empowerment.

Assess community Attitudes (positive, Negative, indifferent, etc), Peasant AdministrativeAttitudes (positive, Négative, indifférent, etc), district Administrative Attitudes (positive,Negative, indifferent, etc), different groups (upstream, downstream and nearby resident’s)General Commitment and Consciences.

Assess adequacy of the existing formal and informal mechanisms for resolving conflicts.At the project level. Are they readily accessible to all parties and do they addressconcerns promptly and effectively in a transparent and culturally appropriate manner?

Verify the design Document (as per the stated criteria)

As the name of the program, PASIDP (participatory Small Scale Irrigation DevelopmentProgram) indicates, the whole process including study and design phases should ensure realparticipation of farmers.

Furthermore, the consultant must ensure active participation of all stake holders namely,Administration office of the Woreda, the Woreda Water Resources office, the Woreda Ruraland Agricultural Bureau, the Woreda or nearby Research Institute, the extension developmentagent with in the scheme and The Woreda Health Office

As a result, the consultant should make sure that (using official signatures):

The consultant should be responsible for bringing a copy of certificate from the respectiveWoreda or regional Bureau of Health stating that, an impact assessment of the scheme onpublic health has been carried out and instituted appropriate measures to protect thecommunity have been proposed.

The consultant should be responsible for bringing a copy of certificate from the respectiveWoreda or regional Bureau of water resources about irrigation water permission of thescheme.

The consultant should be responsible for bringing a copy of certificate from the respectiveWoreda administration office about acknowledgement and request made by thebeneficiaries. (The scheme initiation and identification should be carried out jointly withbeneficiaries in such a way that the beneficiaries will contribute 10% of the project costeither in the form of labour or supplying construction materials).

The consultant should be responsible for bringing a copy of certificate from the respectiveWoreda Bureau of water resources about agreement made between the water user’sassociation officials (all) and the Woreda administration. (A scheme implementationagreement must be entered into between the respective WUA and Woredaadministration).

The consultant should be responsible for bringing a copy of certificate from the respectiveWoreda or regional Bureau of agriculture and rural development stating that, allbeneficiaries have their own land holding certificates. (or Realistic arrangements must beput into place for the issuance of land certificates to beneficiaries of the respectivecommand area).

The consultant should be responsible for bringing a copy of certificate from the respectiveWoreda or regional Bureau of agriculture and rural development stating that,Development Agent (DA) is assigned on each scheme (indicating his full name)

The consultant should be responsible for bringing a copy of certificate from the respectiveWoreda or regional Bureau of agriculture and rural development stating that, therespective watershed has either been treated or that realistic arrangements (includingfinance) have been made for its treatment.

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Detailed Engineering Surveys and Mapping

General map showing all engineering features of the project such as catchments area,command area, access road, and other important physical features should be shown on amap with appropriate scale.

Topographic survey of the headwork site should be carried out after establishing aminimum of four benchmarks on both sides of the river (two on each side). Thebenchmarks should be strongly fixed to the ground so that it will not be dismantled byany other interference.

All natural, artificial features, and bench marks should be shown on the topographic mapof the head work to be prepared at an appropriate scale depending on the informationneeded (area coverage).(i.e. 1:1000,1:500, 1:200 scale). Coverage of weir site is aminimum of 50m on all the four direction from the axis of the proposed weir.

The topographic survey of the command area shall be carried out and a topo map will beprepared at a scale of 1:2000 or larger with contour internal of 1m and /or 0.5m.

Longitudinal profile of canal and water conveyance system should be surveyed andplotted on appropriate scale: Preferably 1:1000 H and 1:100 V and at an interval of 20 to50m. More over strip contour plan of 10 to 20m on either side of center line of the canalshould be surveyed and plotted at 1:1000 and 0.5 m counter interval.

Longitudinal and cross section survey of river channel should be conducted and plotted toan appropriate scale. If the project is a storage Dam, the topographic survey of thereservoir site should be prepared at a scale of 1:2000 or large and contour interval of 1mup to an elevation of maximum water level (MWL) plus certain meters above the waterlevel (5m) shall be prepared. An area Vs elevation relationship and determination ofcorresponding capacities shall be made.

Hydro-meteorology

Ensure some of the general information required for the site included such as location,topography, vegetation cover, type of climate, existing water resource activities etc.

Review catchment area water balance study:- water balance, timing of flow measurementand farmers are consulted if the minimum flow is uniform from year to year.

Evaluate catchment water balance computations with due consideration to most upstreamand tail end users, existing irrigation or water supply demands within the catchment andenvironmental releases are discussed.

Assess the availability of the required information (hydro-meteorological data) in oraround the project area. Available data should be described and presented in the form oftables, bar–diagrams, etc. including source, location and altitude of the station, drainagearea, and distance from the site under consideration.

Review the most important element of climatic data required are discussed ,Temperature:mean monthly maximum and minimum, relative humidity: Monthly mean, Solarradiation: monthly mean, Wind speed: monthly mean maximum and minimum

Review stream flow, sediment transport and water quality are exhaustively checked anddiscussed processed hydro meteorological data collected from various sources should becompiled, discussed and their specific sources will be indicated at appropriate places.

Review methods used and standards followed during measurements or observation of thedifferent hydro meteorological data, calculating discharge from rating curves. Ifextrapolation from rating curves is used it shall be checked and verified by other methodssuch as hydraulic calculations

Review standard methodology used for filling gaps Observed data quality may bechecked by double mass analysis using reliable site, checking of the consistency ofobserved data should be made at specific control points and corrections made, if any.

Review depth of reservoir evaporation shall be indicated for selected time units (Daily,monthly). This shall be computed from average long-term records of Pan Evaporation,

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potential Evapo- transpiration shall be computed using appropriate methods, like thepenman-Monteith method from available climatic elements of the same station.

Assess the criteria for selection of design flood (probable max. Flood of specified returnperiod) for the sake of safety of structures should be elaborated, Dams =100 years returnperiod, diversion weir =50 years return period, in designing hydraulic structures like boxand slab culverts (25 years), pipe culverts (10 years) using SCS method Water right ofboth upstream and downstream users and current water users shall be identified.

Irrigation and Drainage

Review delineation of the command area made based on: Soil characteristics Depth,Permeability, Soil reaction, PH, CEC, ESP, Location, Topography, Slope, Micro relief,Water availability, Drainage, accessibility

Review soil analysis for each scheme. Soil characteristics such as infiltration rate,moisture holding capacity, readily available moisture

Check canal and drain alignment of the command area be prepared and described of themain, secondary and tertiary canal be given including Length of each canal, Length,bottom width, capacity and other hydraulic parameters of each canal for each reach,Location, Lining requirements (if any)

Reviewed canal Structures the type, location and salient features of canal structures shallbe discussed in detail these structures include: -Regulating and energy dissipatingstructures, road and drainage crossing structures, water measurement structures, plan,profile and cross – section of the typical structures shall be shown.

Assess water distribution system and justified in most appropriate type for intendedproject, rotational, on demand and continues

Review formula used and values of constants, bed slopes, available gradients, side slopes hydraulic section and canal capacity, limiting velocities full supply depth, free board,

head loss at the canal structures, type of embankment materials, canal lining material etc.shall be presented in appropriate tables

Ensure based on practical field experience, designers often consider a minimum bottomwidth and total canal depth of 30 cm and 50 cm, respectively. For unlined canals, theminimum free board is 30 cm. The inflow can be regulated at the canal inlet by providingproportional division boxes, which is already considered in the design.

Ensure Cutoff drains, aiming at safeguarding the main canal, should be included in thedesign

Review the proposed method of irrigation and be discussed the spacing/internal, width,length stream etc for furrows.

Ensure water requirement of the intended crops computed using the penman Monteithmethod as far as data availability shows.Net irrigation requirement (mm/day),Grossirrigation requirement (mm/day/),monthly and seasonal irrigation requirements, effectiverain fall, system /project efficiency, field application, distribution, conveyance, overallproject efficiency be discussed

Assess water balance calculations, depth of application, irrigation intervals, duration ofirrigation etc. discussed in detail

Review the system lay out map should shows,Canal( main, secondary, tertiary and fieldcanals) drains (field, secondary, collector, mains,Farm roads,Irrigation structures, likeculverts, turn outs, flood protection works,bench marks, natural and artificial features,Legends

Ensure that the following drawing are available, river diversion/ Reservoir area/Dam/pond site, irrigable contour map plan, Lay out of head works and distributionsystems, plan and sections of head works, lay out of the command area with all detailsand physical features

Ensure also llongitudinal profiles and cross sections of all canals and drains, plan, profileand cross sections of all canal structures, area- elevation capacity curves, plan and cross

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section of spill ways, preparation of construction procedures and technical specificationscalculation of quantities, cost estimates.

Geology and Geotechnical Study

Assess with visual observation on the proposed head work area, catchments area, andcommand area canal route, etc.

Assess sub–surface geological investigation by location the test points along the proposedhead work axis (weir/dam), burrow areas, and other important appurtenant structures.

Insitu permeability tests on the reservoir surface and its rim, dam axis to determine watertightness (if it is dam project)

Review construction material and quantification, depth of bed rock/hard stratum Logging and description of soil profile of the test pits Review preparation of geological cross- section and location map of the construction

materials and final reporting, determine the depth of excavation and workability of thefoundation of the head work, canals, pond reservoirs, extent of area to be blanketed fordam project etc

Different geological data will be collected from geological and hydrological maps &related offices such as mining and energy, etc

Ascertain that collection of disturbed and undisturbed samples for laboratory analysis andinterpretation of the results, perform insitu tests, especially permeability test in each soiltype and soil profile.

Review detailed report on the investigations of the following materials and more, if Soils Location(s) of different types of soils (to be used for lining) in the borrow area –

quantities, properties etc, with a map showing the thickness. Review Sand – Location(s) of sand quarry/other source (crushed sand) quantity available,

properties, etc. Rock and Aggregates – Location(s) of the quarries of different types ofrocks available and their properties, quantity available, etc. Scarce Materials – Source,quantities required and procedures for procurement etc.

Review the geological report constitutes,geological cross section of the headwork,location map of the construction materials,geological map of the catchments and thedam site,geological logging data of test pits on burrow pits, canal route, etc

Geological report that clearly defines the foundation condition and the water tightness Review report on construction material exact location, quantity and quality, problems,

encountered and their possible solution, predictions, uncertainties or challenges should beclearly defined.

Soils

Ensure that the following soil measurement techniques are used for soil properties at fieldsite, auger observation, brief profile description ( for brief profile description, see theattached soil profile description from feasibility guideline),Infiltration and permeabilitytest

Review chemical properties of the oil are made ,soil reaction (PH),Organic carbon(OC),Total nitrogen,Salinity EC and soluble salts,Exchangeable actions (Na, k, ca,mg),Action exchange capacity (CEC),Free calcium carbonate( CaCo3),Base sat%,ESP,Avail P,Avail k

Review soil texture,Available water holding capacity,Bulk density, Permanent wiltingpoint,Field capacity,Presence of organic horizon,Hydraulic conductivity

Review identification of soil mapping unit based on, Land form (topography), effectivesoil depth, slopes and surface features, surface soil texture and suitability, nnutrient status

Assess, interpretation of soil map for land capability classification,characteristics of landsbelonging to different capability classes (class I,II,III,IV),Interpretation of soil map

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information for land irritability classification,characteristic of land belonging to differentirritability classes, principles for land utilization, principles of maximization,

Land and soil characteristics, meaning, classes like land form, slope rangealtitudinal range, micro relief, slope range, slope shape, slope length, runoff,flooding, ponding, erosion status, rockiness, etc will be discussed.

Irrigation Agronomy

An agricultural development plan must be prepared addressing (jointly Bureau ofagriculture and rural development and research institute) and endorsed by beneficiaries ofthe respective command areas.

Review the agro ecological area, identify the major Agro-Ecological zones based on LGPand TZ (Thermal zone),describe the basic Meteorological Data of the nearest P.A.calculate the potential evapo-transpiration using modified penman method,Identify thelength of growing period, draw a graph of LGP

Review the present state of land use and farming systems,proportion with respect toAgro-climatic zones, proportion with respect to family head and population,existingcropping pattern, intensity and yield

Evaluate potential and actual average yield of each crop per hectare both under rain fedand irrigation, if any, total annual production, crop yields by crop, agriculturaltechnology, farm size farming system.

Review existing agricultural inputs & supporting services like agricultural inputs, seed,fertilizer, chemicals, machinery, labour, storage & processing, transport & marketing,credit.

Assess identification suitable for the projections area: Identify types of potential cropswhich can possibly grow, Evaluate suitability, moisture requirement, soil suitabilityecological suitability, and produce a crop suitability map of the project area, proper cropbudget showing the financial returns per hectare of each crop to compare crops.

Review proposed cropping pattern ,indicate cropping intensity, justify cropping &intensity

Evaluate the crops and cropping patterns considering different factors such as, agronomicand technical factors, water availability and demand factory, government policyobjectives and priority factors

Recommend the steps that should be taken to ensure the selected cropping patterns orprogressive improvements

Review show in bar chart and/or if any conventional method the calendar for all croppingand irrigation practices, identify factors affecting project crop water requirement andbriefly discuss crop wise effect of them, calculate the crop water requirement usingmodified penman method

Assess the livestock production in the project area, data on livestock population Identify the livestock diseases are prevalent in the P.A area list the extent of damage diseases observed in recent years and comment on degree of the damage & action taken,

identify the sources of food for animals Ensure Collection of baseline agricultural information, input, yield, cropping system,

meteorological and other related data the detail focus on : Review Setting up of Farmer Research Groups (FRGs),Regional research institutions

invitation to undertake action-oriented on-farm research in partnership with FRGs &Extension staff ,FRGs per scheme to be established & become operational and

Review crop trial and demonstration plan (for the Introduction of New & ImprovedTechnologies),new crop varieties & species, Low-cost soil fertility management options,Labor & time saving tools, Intercropping & relay cropping systems

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Review Seed Production & Demonstration plan, establishment of communal nurseries of0.5 ha each to supply horticultural crop seedlings, facilitation for the establishment ofquality seed production &/or delivery system

Review establishment of Integrated pest management (IPM),Establishment of communitynursery plan, indicating budget necessary for training, FTC, FHH management and FRGfacilitation, arrangements for implementing the plan

Watershed Management

Include map of the watershed area showing the different land use categories very clearly.It briefly states the reason for developing the area and appropriate action to be adopted forcarrying out the development program.

Ensure the history of the water shed area in terms of the past land use practice and subsequence social, economical and ecological effect will have to be described. Any watershed management practice if existed and its ultimate output will be assessed.

Review the justification the need of watershed management that will address past andpresent problems of soil erosion and land degradation as a result of deforestation and theconsequence of such on a community and the cause and responsible agent or suchenvironment degradation activities has be revealed and present the expected solution ofthe watershed areas for after implementation of the project.

Assess the general description of the watershed area including location (Altitude, latitude,longitude, distance from reference point, road topography (features of the catchments,mountain, hill, valley, plain land, plateau and other and their management. Climate Meanannual rain fall,Temperature range, dry and rainy months ( from_______ to __________dry, etc), existing crop, vegetation and the above parameters determined anddescribe the agro-ecological zonation of the area

Assess soil type soil type, texture, structure, colure, depth, soil condition (extent ofdegradation, sheet, rill, gullies, etc) for all land use type (forest, grazing, cultivated andmiscellaneous land based on slope rang, type of vegetation (Eg. Wood land, grass land,forest and shrub land, etc…), species composition of the vegetation (trees, shrubs,grasses, by name),dominate species of trees or shrubs, etc, dominant grass,Vegetation in%( percent) trees and shrubs)

Review the present land use pattern of the catchments presented in tabular form asfollows incorporating land use type, cultivate and ,grazing land, forest land homestead(village), miscellaneous vs area coverage%, total area and slope.

Ensure data required for land use classification carried out based on type of land ,Area inha, slope%, soil depth, past erosion, surface soil texture, infiltration, surface stoniness:-

Review may include problems like, fuel wood, deforestation, over grazing,Shortage ofdrinking water, aabsence of construction measures, eerosion and salutation problems andmiss management of crop lands,eexplain each identified problems briefly, ttheseproblems should come from the community up on interviewing, cconservation effortmade in the catchments area:-On agricultural land,On grazing land,On forestland,Quantify the extent of work done on each land use type and summarize the above intabular form

Review prepared development map of the water shed, indicate the proper conservationmeasures suitable of each land class,development strategies for cultivated land classes,grazing land classes, forest land classes and miscellaneous land classes and explain theexpected outcome of each proposed measures

Ensure the detailed methodology used in designing and quantify the required amount ofconservation work for each land classes, ssummarize in table form the type ofconservation measures proposed for each land class, the amount of work, norm, requiredper day to complete the work and required grows, prepare operational calendarcorresponding to each activities and months of the year.

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Review and estimate the timing of different activities to be carried out in the watershedarea and can be presented / shown in a graphic method.

This will help to prepare the necessary materials and labour needs on time. The type andamount of tools and equipments for implementation. Manpower needs or equipment willbe identified under this topics and relevant research needs should be pointed out and costestimate plan has to be made.

Environmental and Social Impact Assessment

Review the description of the proposed project the proximity of the proposed projectcomponents to the sensitive resources and homesteads be discussed

Description of the environment: Assemble, evaluate and present base line data on therelevant sociological parameters and environmental characteristics of the study area,including water shed, site of head work, command area and downstream areas.

Ensure the potential impacts such as social and ecological effects (loss of agricultural,forestry, and grazing land, natural and critical habitats, cultural heritage, populationresettlement effect on flora and fauna), assess the impact of the project to water usersdownstream, potential for increased incidence of water borne and water-based, water-related, and vector-borne diseases, and communicable and non-communicable diseasesthat could result from project activities, effect of the existing and predicated land use inthe watershed on the fractioning and longevity of the proposed headwork (diver/dam).,

Review the location of the project. population density per sq.km, catchments submerge area, population size in the catchment area and submerged area, number of

peasant association affected and population displaced, land ownership in the affectedvillages number of households to be displaced at project site.

Assess if there is any investment in the project area, indicate industrial and otherdevelopment projects in the area, catchment area, submergence area ( if any), commandarea ,

Review to what extent the surrounding urban/rural centers depend,on the catchmentarea,in the submergence area, in the command area

Examine details of development activities in the affected area, drought prone areaprogramme, small farmer development programme, Rural developmentProgramme,Tribal development programme,

Ensure the land use system is broken in land use pattern in the catchment and submergedarea, forest type in the catchment submerged, and command area (indicate type of trees,whether sparser, thickly wooded and other details) indicate the areas that are alreadyconserved and not conserved.

Review present ground water use pattern in the catchment, depth (max, min,) quality(portable/non portable), fit for irrigation/industry/both.

Review llivestock population in the catchment, submergence and command area intabular form.Does the area support economically viable aquatic life like fish? Are thereany fish breeding grounds in the river? Wild animal and birds and indicated no of wildlife, breading feeding area, mmigration route the area potential wildlife sanctuary? Floraand fauna in the submerged area

Socioeconomic study

Review the socioeconomic study objectives, approach and methodology, projectrationally and scope and limitation of the study.

Ensure the following major points are discussed the report, Current Economic Situation,The agricultural Sector, Development and Social Objectives, Income Distribution andPoverty, Existing Institutions

Examine the location & some description of the area, socio-economic, social andcultural features, demographic characteristics

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Study the people in the project area with regard to their, population size, age and sexcomposition (heterogeneity and/or homogeneity), population spatial distribution,population projection, the respective demand for food, supporting capacity and othernecessities in the project and the catchment area.

Review the population movement or migration, infant and child mortality situation in thearea, existing & future labour availability (Demand & Supply analysis), assess currentsettlement pattern, township, Expected displacement due to the intended project, if any

Review the size and nature of land that will be submerged (settlement, grazing land, cropland, forest land, other social value such as recreational, holy place, aesthetic etc.

Examining the attitude of people towards relocation, irrigation development and landredistribution ,origin, Religion and language of the people, ethnic group their tribe/ clancharacteristics, culture, their values, customs and traditions, economic source/ Major

Review means of livelihoods/potential income generating activities, farming system, cropproduction (potential crops, area covered by potential crops, , constraints of cropproduction), livestock production (Major livestock type, size, major diseases, numberand type of veterinary services & major constraints)

Assess economic activities & potentials (potentials of apiculture, fish, forest & forestproduct etc), land use pattern (area under different use, cultivated/ cultivable, pasture,forest, bushes & shrubs land, rivers & lakes…),land tenure and size of holdings

Review communication (road, transport, telephone, other ICT services…), healthservices, education, water supply, financial institutions, energy supply/ mineral source

urban development (current urban development issues), other infrastructure and socialservices

Assess input supply and product, input supply (the type, quantity, availability and pricesof inputs required), product marketing and agro-processing. product marketing,communication(Transport, road….),storage, marketing channels, marketing size andstructures

Assess facilities storage marketing channels, marketing size and structures, marketingconstraints, proportion of agricultural products sold in the market, actual and projectednational/ regional data should be provided for the intended crops.

Review market potentials for project production should be identified and quantified to theextent possible such as own consumption, local and/or regional markets, national markets,international /export markets.

Review price analysis and fluctuations, how demand & supply of crops & livestock’sdetermined, price of existing and proposed crops clearly stated and included

Ensure association ,institution and service provider like research and extension (existing& future),input supply and credit services (existing & future),existing institutions/Organization / Co-operatives (Formal and informal),current Irrigation Practices andTradition, existing NGO’s and area of cooperation with the community

Suggest additional government institutions and services that may be required for effectiveimplementation and operation of the scheme

Review the existing and future labour availability for scheme implementation, ways ofmaximizing the local people’s participation in the project cycle from the early stage ofproject planning up to its operation, involvement of women in the development of theproject and ways of maximizing their role and active participation, Provision ofemployment for outsets

Ensure that report identify direct economic benefit of the project to the area includingagricultural yields and production of major and minor crops, family income from bothcrops and livestock's and farm income per area as a result of the proposed project.

Review non- economic benefits includes forestry factors as wind breaks and shelter beltsto reduce wind, blowing dust and improve the living environment, and upper watershed aforestation, to reduce siltation problems of reservoirs and thus lengthen the useful life ofreservoirs and reduce annual operation and maintenance costs.

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Review project development creates infrastructure benefits, welfare facilities and incomeand employment opportunities outside the project.

Financial and Economic Analysis

Financial Analysis

Review the financial and economic costs, benefits and cash flow should be identified andclassified properly and given in tabular form.

Review the financial Net Present Value (FNPV), financial internal rate of return (FIRR)and Benefit Cost Ratio (B/C) are used to determine the financial viability of irrigationproject.

Review opportunity cost of capital, relevant price and constant price, farm get price,treatment of transfer payment

Assess financial price of Inputs and Outputs Estimation including prices of fertilizer,Prices of Seeds, price of tools, equipment and Packing Materials, Wage for unskilledlabour and cost of ox en power,

Review output price of the existing and proposed crops should be analyzed and includedin detail. Production Cost (Operation Cost), labor, fertilizers, seeds, chemicals,agricultural Practices and Management Project Cost

The full capacity utilization of irrigation land of the scheme, if the irrigable land was notfully utilized under traditional irrigation practices before, should be (60%, 80%, 100%respectively) in the first three consecutive years of the project lifetime.

The feasibility project document must have action plan of both physical (in quantity andweighted average) and finance using capital budget on monthly and quarterly basis.

Contribution of the community from the total cost of project in percentage, kind ofcontribution (labor, material, money, etc,) should be quantified interims of money; typeand volume of the work they involve.

If the irrigable land needs redistribution, based on findings of the feasibility study, theremust be signed agreement between the direct beneficiaries and the farmers of the projectarea so that compensation or replacing the land outside the irrigable area will be made.

The EIRR and NPV should be computed and presented for “with project and without”project net cash flow for incremental net benefit.

To depict the comparative analysis of the viability of the project, it is recommended thatone prepare a profitability analysis (profit – loss statement) with and without project.

Economic Analysis

Review the purpose of economic analysis of a project like Irrigation Project is to measurethe real contribution, which the project will make to the national income/nationaleconomy.

Assess the comparison between with and without project as in the case of financialanalysis, the economic analysis involves the comparison of economic outcome withproject if any, has to be foregone when the project is established, net return attributable tothe project will have to exclude such benefits without the project.

Review economic analysis opportunity cost values (real values) of all items of cost andbenefits have to be estimated.

Ensure that transfer payments such as taxes, duties, subsides, loans, payment of interestand repayment of principal are excluded from the calculation of economic cost or benefit.This is done because these are considered as transfer payments and do not reduce orincrease national income.

Review life time of the of the project for which project period has to be carried out lifetime the economic life of such capital assets may be shorter because of technologicalobsolescence. Therefore, for diversion 25 years, for Pump irrigation 10 years, micro earth

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dams 15years and macro earth dams 30 years will be taken as appropriate for theeconomic analysis.

Review economic crop budget the selection of crops to be grown, determination ofoptimum yield for each crop to be achieved, yield build-up period from year 1 to the yearwhen optimum yield is achieved, optimum level of uses of inputs at optimum yield level,pattern of uses of inputs from year 1 to the year when optimum yield is achieved andprices of outputs and inputs.

Review project Cost (Economic),investment, operation and maintenance cost, replacecost an return to project

Review economic rate of Return, sensitivity analysis and other benefits, economic NetReturn With and Without Project

Expected Outputs and Deliverables

Throughout the course of the assignment, the Consultant is expected to produce and presentthe following outputs and deliverables directly to MONAR/ Programme Coordinationmanagement office.

Inception report

This report shall be submitted within 20 days of the commencement of the project. It shalloutline the consultants organizational and work plan for accomplishing the study. Co-ordination of activities and schedules of services to be provided with a chart of activityand manning schedule shall be shown in the report.

It shall also include the consultant’s appreciation of the task including an outline ofmethodologies on how the assignment would be approached.

Review of pervious report ,existing data and literature shall be given and identifiedconstraints and potentials of the report and then the consultants view on how to approachthem clearly presented.

Review the relevant project documents to familiarize with the project's TOC, logicalframework, strategies, activities and status and determine the appropriate indicators.

Study Phase

The consultant shall thoroughly review relevant literature, amplify and supplement asrequired for the assignment.

Conduct field survey work at specified location and observe and approved bench mark,test pits on head work axis and along main canal route at specified interval as per standardprocedure and TOR.

Undertake catchment water balance computations with due consideration to mostupstream and tail end users, existing irrigation or water supply demands within thecatchment and environmental releases.

Ensure sufficient water availability and water quality its suitability for irrigation,domestic water supply etc.

Conduct sample quantitative data collection as part of the households and communitylevel surveys with geo-referencing locations of the irrigation schemes, households, andcommunity centers.

Reporting Phase

This report shall be prepared following the review of the detailed design report withemphasis on the BOQ, working drawing, specification for technical and financialfeasibility of the irrigation project.

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This report shall include review of all the detailed calculations used to arrive the finaldesigns, necessary sketches, graphs, tabulations required for clarification of theirapplication, and all supporting data on which the design is based.

The consultant should incorporate detail analysis report n environmental procedure set forthe programme SECAP/ESIA/ESMP in depth for approval of the report.

Alternative solutions shall be discussed together with the technical specifications, typicaldesign, cost estimates and justification of the solutions selected, conclusion for theassignment. This report shall be submitted to the Bureau for review before the majorworkshop held by the client.

Institutional Set Up/Responsibility

Executing Agency (MOANR/FPCMU)

Shall be the Executing Agency (i.e., representative of the Government in the ContractAgreement with the Consulting Firm);

Shall, through its committee Bids and Awards Committee , be responsible for facilitatingthe bidding and tendering of the consultancy services in compliance with Ethiopiaprocurement guideline with the Implementing Agency as end-user;

Shall provide the Consulting Firm necessary study and design document /availableinformation/data and facilitate for site handover for job assigned and relevant studies;

Shall be responsible for the disbursement of the fund for the conduct of the assignmentonce the contract becomes executed;

Shall be responsible for contract implementation and management, including ensuring thequality of outputs. Further, the Regional office shall be responsible for the monitoringand evaluation of the progress of the study and approval of reports to ensure delivery ofoutputs as specified in TOR;

Shall warrant that the Consulting Firm shall have free and unimpeded access to all landsand properties required for the effective execution of the services.

Shall reimburse or pay in behalf of the Consulting Firm for amounts paid on account ofall taxes, duties, levies, and other impositions under the laws and regulations of theGovernment of Ethiopia , in respect of any payment made to the Consulting Firm inconnection with the carrying out of the services;

Shall cover all costs of hosting meetings and workshop for end of assignment workshopto be held on date to be specified

Shall have the option to detail counterpart technical personnel to the project for thepurpose of on-the-job capacity building/technology transfer.

Shall have the right to accept or reject the report based on evaluation findings of thereport

Consulting Firm

Shall be responsible for the conduct of the study and the timely delivery of results/outputsas indicated under of this TOR and work closely with regional and federal project staff;

Shall: (a) carry out the services with sound engineering theories and practices to ensurethat the final works will provide the most economical and feasible development for thestudy; (b) accept full responsibility for the consulting services to be performed under thisTOR for which the Consulting Firm is liable to all information, comments and approveddesign report given to executive agency (FPMU/MOANR.)

Shall not assign nor sub-contract any part of the services under this TOR to any person orfirm, except with prior written consent of FPCMU. The approval by the FPCMU to theassignment of any part of said services or to the engagement by the Consulting Firm ofsub-contractors to perform any part of the same shall not relieve the Consulting Firm ofany obligations under this TOR;

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Shall not at any time communicate to any person or entity any information disclosed tothem for the purpose of this services, nor shall the Consulting Firm make public anyinformation as to the recommendations formulated in the course of or as a result of theservices, except with prior consent of FPCMU.

Shall be responsible for having its own field and office equipment, expenses incurred forexecution of the assignment

Schedule of Deliverables

The timing and duration for the assignment will be approximately 2 months effective from thedate of signing of the contract. The timetable for the evaluation, including when differentdeliverables or products – such as inception report, briefs, draft report, final report is provided inthe Table 2 below.

TABLE 28: DELIVERABLES OF OUTPUTS IN THE STUDY AND DETAIL DESIGN STUDY

S.N Output Time (Submitted)1. Submit and present Inception report 15 days after the signing of an

agreement2. Field assessment, data collection ,analysis

work(if any)30 days after the approval of theinception report

3. Submission of first draft report toMOANR/FPCMU after field report.

10 days after data collection

4. Submit the final and refined version of thereview report including recommendation,gaps identified to MOANR/FPCMU.

within 10 days after the workshop

2 months

Minimum Requirements and Skills

The assignment of the proposed work is supposed to be conducted by two entities

1. Private /public consultant

2. Regional water bureau staff /Task force, if the study and detail design report is done by theconsultant

The Consultant is required to have the following minimum requirements below to conduct thestudy and design of PASIDP II proposed schemes.

Legal status, recognized by the Government of Ethiopia, enabling the organization toperform the above-mentioned tasks and operate in accordance with the laws andregulations of Ethiopia.

Minimum 3 year experience with study and design irrigation development projects(minimum three projects or above), managing study and design of similar scale isnecessary.

Previous experience working on review, study and design and construction supervisionactivities is essential. The evidence such as copies of contracts, purchase orders orreference letters should be provided.

Excellent knowledge of English, both spoken and written, and be able to hire localenumerators with local languages/dialects.

Ability to provide and use survey instruments, appropriate engineering software (e.g.Total satiation, Eagle point, AutoCAD civil 3D, Z profile, AutoCAD, etc.) for verificationwork during the course of the assignment.

Table 30. below summarizes the relevant skills, qualifications and levels of experience required fromthe consultancy team to be recruited by the Consultant.

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TABLE 29: SUGGESTED LIST OF THE CONSULTANCY TEAM

No. Role Specialization MinimumQualification Experience

1 Team Leader IrrigationEngineer/HydraulicEngineer/water resourceEngineer/Agricultural/soil and water Engineer

BSc /MSc. A relevant post graduatequalification in irrigationwould be an additionalasset and minimum of 10years for BSc. Degree and8 years MSc. Degreeworking experience inirrigation developmentincluding substantialexperience both inplanning, designing andimplementing small-scaleirrigation and particularlydam/headwork design;long years of experience inleading and managingmulti-disciplinary studyteams in irrigationmanagement and relatedfields. Excellent commandof English. Experience inthe region context has anadvantage. Excellent skillsin design AutoCAD andEagle point etc.

2 Hydraulic/IrrigationEngineer

IrrigationEngineer/hydraulicEngineer/Agricultural/soil and water Engineer

BSC/M.Sc Minimum of 10 years forBSc. Degree and 8 yearsMSc. Degree workingexperience in irrigationdevelopment includingsubstantial experienceboth in planning,designing andimplementing small-scaleirrigation and particularlyextensive farm structures;long years of experience inleading and managingmulti-disciplinary studyteams in irrigationmanagement and relatedfields. Excellent commandof English. Experience inthe region context has anadvantage. Excellent skillsin design software such asAutoCAD and Eaglepoint.

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3 Senior irrigationAgronomist

Irrigation agronomy orrelated fields

B.Sc/Msc At least 10/8 years ofexperience in irrigationagronomy, agronomicpractices, etc. in irrigationstudy and design activities.Good command ofEnglish. Knowledge of theregion/Ethiopian conditionis an advantage.

4 Soil and WaterConservation Expert

Soil and waterconservation engineers,natural resourcemanagement or relatedfields

B.sc/Msc At least 10 years in BSc.degree or 8 years in MScand direct field levelexperience in undertakingand managing soil andwater conservationinterventions. Goodexperience in study anddesign of irrigationprojects. Extensiveexperience in watersheddevelopment of technicalsupport, monitoring andevaluation ofimplementation progressof physical and biologicalsoil and waterconservation interventions.Good command ofEnglish. Knowledge of theEthiopian condition is anadvantage.

5 Senior Economist/Agro economist

Economics, agriculturaleconomics,developmenteconomics, sociology,or related fields

MA/M.Sc At least 10 years ofexperience in micro-levelhouseholdsurveys/baseline survey,socioeconomic analysis,feasibility studies andevaluations ofdevelopmentprograms/projects. Goodcommand of English.Experience in the regionand/or Ethiopia is anadvantage.

6 Environmentalist Environmental science,Soil and waterconservation/Naturalsource managementand/or related fields.

B. Sc /M Sc.degree

At least10/8 yearsexperience in BSc. & 8years of experience inMSc. degree. Directexperience in irrigationschemes and watershedbased integrated

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developmentinterventions. Includingsubstantial experienceboth in planning,designing andimplementing Small ScaleIrrigation Schemes. Goodcommand of English.Knowledge of theEthiopian condition is anadvantage.

7 Geologist Geology/GeotechnicalEngineering and relatedfields

B. Sc /M. Sc At least 10 years in BSc.degree or 8 years in MSc.degree direct field levelexperience in irrigationdevelopment includingsubstantial experienceboth in planning,designing, andimplementing small scaleirrigation schemes. Goodpractical experience ingeological study forirrigation study and deigndevelopment. Excellentskills in relevant softwareand excel spreadsheetwould be an asset;Knowledge of theEthiopian condition is anadvantage.

Marketing,cooperative andrural financialexpert

Economics/Marketingor related field

B. Sc/M.Sc At least 10 years in BSc.degree or 8 years in MSc.degree direct field levelexperience in put andproduct marketing andadditional knowledge andexperience in cooperativeand rural financing. Goodpractical knowledge inputand output product,marketing linkage andMAA in irrigationdevelopment scenario.Knowledge of the regionalrural condition is anadvantage.

8 Hydrologist Hydrology/CivilEngineering /

B. Sc /M. Sc At least 10 years in BSc.degree or 8 years in MSc.Previous experience inhydrology, planning, study

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design of small scaleirrigation. Knowledge oflocal languages/dialects inthe region. Experience inthe region is an advantage.

9 Survey Expert Surveyor, or relatedfields

Diploma/Bsc At least 10 years ofexperience in relevantareas, and demonstratedexperience in survey ofstudy and designingirrigation projects. Goodpractical experience inapplying engineeringsoftware and conductingsurveys, studies, analysisand interpretation ofsurvey data in irrigationsplanning, study and designand relevant other areas.Knowledge of the regioncondition is an advantage.

Mode of Payment

The lump sum fee for this service which will be paid to the consultant:

I. 30% of payment will be effective upon the submission of approved Inception Report.II. 40% of payment will be effective upon the submission and approval of the draft of the

report of all multi disciplinary report including BOQ and working drawing and baselinestudy report.

III. 30% of payment will be effective upon the submission of the final full report of the studyafter inclusion of comments, suggestion from FPCMU staff.

The Consultant is expected to cover any travel expenses and subsistence allowances of the team whileengaged in this assignment for the entire duration of the contract.

Selection Criteria

The Consultant will be selected based on the following criteria listed in Table 4 below:

TABLE 30: SELECTION CRITERIA

Criteria Weight

Organizational profile and relevant work experience/track record in relevant fields:training/education, capacity building, baseline survey and impact assessment,agriculture, extension, rural development

20%

Team composition: demonstrated expertise, technical skills, previous relevant experience 20%

Methodology/technical plan proposed for review of study and design 30%

Financial proposal 30%

Preparation of the Technical and financial Proposal

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The consultant shall present separate and wax sealed technical and financial proposals.

Technical Proposal

The technical proposal shall include

Comments and observations on the TOR, Proposed approach, methodology and work plan of activities including the organization and time

schedule of the proposed services. Staffing/man-month schedule using a bar chart indicating clearly the duration (in office and in the

field) and timing of assignment of each proposed personnel, Detailed description of the specific tasks to be assigned to each expert, along with Curriculum

Vitae, Expected output of the study, References and descriptions of Similar works undertaken by the consultant, E.t.c.Under the technical approach and methodology shall be included the consultants explanation of theirunderstanding of the objectives of the assignment, highlight the issues and their importance, andexplain the technical approach they would adopt to address them. They should them explain themethodologies they propose to adopt, demonstrate the compatibility of those methodologies with theproposed approach (for instance, the method of collecting and interpreting available data, filling indata gaps, carrying out investigations, analysis, and studies and comparing alternative solutions) andaddress any modifications to the TOR.

Financial Proposal

The financial proposal shall be submitted with all fees clearly broken down to show the basis ofcalculations. These would include:

Staff remuneration, separated in to foreign and local, in the field and at the office, Reimbursable expenses (per-diem, office rent, office equipment, transportation, local &

international, supplies, insurance, communication, Preparation and printing of documents.

Contact Details

All queries regarding the details in this TOR must be submitted in writing to the followingaddress:

MOANR FPCMU.

Procurement, Finance and property Administration Directorate,

Block. B Floor 4.

P. O. Box………. City Addis Ababa. Ethiopia,Tel. +251 ---------

MOANR, Federal programme coordination management unit reserves the right to amend orcancel all or part of this bid consultancy service at any time.

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Annex 8: TOR For Supply & Installation of Accounting Software and Give Training for Federal &Regional Finance Personnel

1. The Participatory Small Scale Irrigation Development Programme Phase Two (PASIDP II) isa Government Programme implemented by the Ministry of Agriculture and Natural Resources(MOANR) and is funded by IFAD and Government of the Federal Democratic Republic of Ethiopia.The Programme Development Objective of PASIDP II is to improve income and food security forrural households on a sustainable basis. PASIDP II has three components; Investment in Small-scaleIrrigation Infrastructure Component, Investment in Capacity for Sustainable Agriculture componentand the Programme Management, M&E, and Knowledge Management component summarizedbelow.

2. PASIDP II has multiple funding sources, IFAD loan, IFAD grant, ASAP grant, GOEcounterpart financing and beneficiaries as indicated in the table below.

Financiers USD' Million % financedIFAD Loan 102 70IFAD Grant 1.5 1GoE 18.7 13Beneficiaries 12.1 8ASAP Grant 11 8

145.3 100

Allocation by Component USD' Million % of totalInvestment in Small-Scale IrrigationInfrastructure 104.5 72Investment in Capacity for SustainableAgriculture 29.8 21Programme management, M & E andKnowledge Management 11.0 8

145.3 100

Allocation by expenditure category USD' Million % of totalTrainings 12.4 9Works 98.8 68Consultancies 8.4 6Goods, Services and inputs 18.6 13Salaries and allowances 4.3 3Operating costs 2.8 2

145.3 100

1021.518.7

12.111

IFAD Loan

IFAD Grant

GoE

Beneficiaries

ASAP Grant

-20.040.060.080.0

100.0120.0

Investment inSmall-ScaleIrrigation

Infrastructure

Investment inCapacity forSustainableAgriculture

Programmemanagement, M

& E andKnowledge

Management

USD' Million

USD' Million

The Programme area of PASIDP II will cover four regions of Ethiopia, namely: (i) Amhara, (ii)Oromia, (iii) Southern Nations, Nationalities and Peoples Region (SNNPR), and (iv) Tigray. By mid-term review, the opportunity to expand the interventions of PASIDP II on a pilot basis to otherregions is envisaged.

3. Programme financing will be on a parallel basis, each financier financing specific activities.IFAD loan, IFAD grant and ASAP trust grant fund financing at 100% net of taxes and beneficiarycontribution.4. Expenditure categories will be financed as follows:

TABLE 31: EXPENDITURE CATEGORIES

Category Activities to be financed

1. Trainings d) IFAD Loan will finance activities related to strengthening of: Irrigation Users’ associations; Farmers’ Associations; and Cooperatives

e) ASAP Trust grant fund will finance activities principallyrelated to: Water efficiency and water productivity; Climate smart agriculture; and Watershed management

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f) GOE – Taxes

2. Works e) IFAD loan will finance the following activities: Completion of PASIDP I schemes (in PASIDP II area); Construction of new irrigation schemes; and Construction of offices under support to cooperatives

f) ASAP Trust grant fund will finance works activities related todevelopment of alternative water sources

g) Beneficiaries will contribute 5% the cost of construction of newirrigation schemes

h) GOE will finance taxes

3. Consultancies e) IFAD loan will finance consultancies related to: Feasibility studies; Engineering designs; Site supervision; Baseline studies and Impact assessments

f) IFAD grant will finance consultancies related to Internationaland National TA to provide technical support to FPCMU in Ensuring the quality of market and feasibility studies; Supporting market access facilitation; Learning and knowledge management; and Capacity building of M & E

g) ASAP Trust grant fund will finance activities related to: Climate analysis; and Preparation of agricultural development plans

h) GOE will finance taxes

4. Goods, Services andinputs

This category will cater for eligible expenditures in respect ofequipment and materials, vehicles and goods, services and inputs.GOE will finance taxes and duties while other sources will finance100% costs net of taxes and duties.

d) IFAD loan will finance equipment and material inputs for Support to cooperatives; Support for knowledge management; For WRB under institutional support for irrigation

development; Office equipment for FPCMU and RPCMU; Vehicles for FPCMU and RPCMU; Office equipment and material inputs for M & E; Motorcycles under support for cooperatives; and Goods and inputs for documentation and dissemination

of lessons learned and innovationse) ASAP trust grant will finance

Crop genetic material under climate smart agriculture; Inputs for home gardens

f) Beneficiaries will provide community labor in watersheds

5. Salaries and allowances d) ASAP trust grant fund will finance costs of MIS/GIS Specialists at FPCMU and RPCMUs; Climate change and Environmental Safeguard

Specialistse) IFAD loan will finance

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100% salaries and allowances, except for a) above; and 50% Salaries and allowances under retroactive financing

f) GOE will finance 50% salaries and allowances under retroactivefinancing

6. Operating costs c) IFAD Loan will finance 100% programme operating costsafter entry into force and 50% of retroactive programmeoperating costs; and

d) GOE will finance 50% of retroactive programme operatingcosts

5. In order to comply with IFAD’s reporting requirements the Mo-ANR will need to procure anAccounting Software to be used by the FPCMU for the Programme for the following purposes: tocollect, analyse, store, and distribute information that is useful for decision making to providetransparency and accountability of the project activities, to provide timely reports, help detect errorsand deficits during project implementation and indicate necessary corrections, and to prepare andpresent progress reports to the FPCMU, Mo-ANR and IFAD.6. Set up of chart of accounts. The chart of accounts will be designed to meet the reportingrequirements of the programme; including consolidating data of the entire programme without usingthe cumbersome ms excel worksheets. The chart, which will be finalized when the softwarerequirements are agreed, will clearly define activities reflecting the following.

Area/dimensions Number of items Segment length of characters

Activities Maximum of 999 Maximum of 3

Components 3 1

Sub components 7 3

Categories 6 1

Financiers 5 1

7. The contracted service provider will be required to supply the programme with the latestaccounting software.8. In addition to supplying the accounting software, the service provider will be required todesign a program specific chart of accounts for use by the project at both Federal and Regional level.This should enable the project generate the IFAD and GoE required financial reports.9. The service provider should also train the project staff in the use of the customized softwareand assist in the uploading of opening balances into the system.10. Specifically, the service provider will:

General features

1. The Accounting software should be configured as a modular solution and the differentmodules should be suitably integrated, the following are the basic modules:

a. Chart of Accountb. Accountingc. Financial Reportingd. Budgete. Assetsf. Withdrawal Applicationg. Contract Management, and integrating other modules if needed.

2. classifying the levels of the Chart of account into four levels;a. Type (Assets – Liabilities – Expenses)b. General Ledger Accountc. Subsidiary Accounts

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d. Subsidiary -1 Accounts, to end up with auxiliary accounts.3. Handling all the financial transactions of the Project according to the chart of account, that is

used to:a. Capture the financial data under the appropriate headingsb. Classify and group financial data for the various financial reports. The structure of the

Chart of Accounts caters data to be captured by:i. the Project components and sub-components

ii. expenditure items under each component and sub-componentiii. The IFAD disbursement category for the Projectiv. Sources of funding

4. All vouchers used in the system are based on double entries.5. Ability to account under different bases of accounting (cash,modified accural, Accural)6. using adjusting entry when needed7. Handling the definition of various currencies used by the system8. Holding multi – donor’s information, with notification that no contract will have more than

two donors.9. Recording the daily currency rates for all the predefined currencies, if reports can be

demanded by Ethiopian Government currency.10. Recording the loan number and source of fund.11. Capacity to customize reports by e.g. exporting data to excel.

Designing the Chart of Accounts

PASIDP II will face multiple financial reporting demands thus the need for a well customizedsoftware here the accounting Software and well thought through chart of accounts. Serviceprovider shall respond to the needs from the TORS in the following ways

Budget control up to activity level; not only cash control but be able to encumber funds atpoint of entering firm commitments (signing contract/ issuing LPOs).

The coding of the chart of Accounts should Reflect the structure of the PASIDP’scomponents, activities, financiers; An appropriate Chart of Accounts will be set-up to enable production of different

types of reports The purpose of the Chart of Accounts is to provide meaningful management

information to enable users to analyze financial data for internal and externalreporting requirements

STRUCTURING OF THE CHART OF ACCOUNTS

The Chart of Accounts will be made up of segments with each segment containingdigits or characters of expenditure to its classification, component, sub-component,category, financier,.

Each transaction will be allocated to an account, a budget item, a donor category, aproject component/activity and a location

CODING STRUCTURE

The coding structure will be based on five parameters which include;

1. The financial plan: Donors, credit agreement

2. Location: areas where the programme is being executed.

3. Programme classification: Component/sub-component, activities.

4. Budgetary: budget items.

5. Accounting: economic classification of expenditure.

The chart of accounts coding should allow for reporting in various dimensions for asmooth implementation:

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Analysis receipts and payment by financiers, Expenditure trends by category by financiers Expenditure trends component and sub-

components by financiers Individual budget activities by financiers for current and cumulative years Current and cumulative receipts and expenditure trends Analysis different cost centers where applicable Statement of Receipts and Payments by category by financier Statement of Receipts and Payments by Component by financier Statement of Comparison of Budget and Actual by category by financier Statement of Comparison of Budget and Actual by Component by financier Statement of Designated Accounts Activities Designated Accounts Reconciliations Statement SoE- Withdrawal Application Statement Explanatory notes to the financial statements including accounting policies, non-

current assets schedule, listing of yearly procurements, allocation and use of loanfunds.

Financial reporting

12. Produce the periodic Financial Reports as requested by IFAD:a. Statement of Cash Receipts and Payments per Project components showing quarterly,

yearly and cumulative balances for the quarter and cumulative;b. Statement of Cash Receipts and Payments per Project categories showing quarterly,

yearly and cumulative balances for the quarter and cumulative;c. Statement of Designated Account reconciling period-opening and end balances;d. Statement of Project commitments, i.e., the unpaid balances under the Project’s

signed contracts;e. Statement of fixed assets,f. Statement of Cash Payments using SOE.

13. produce other financial statements on a quarterly and annually basis, which are as follows;a. Journal and Payment Vouchersb. Statement of Special Accountsc. Cost Center Statements

14. Progress report (physical) and not financial by contract, component and category (allprojects). This request will involve:

a. A function will be designed and developed to allow the user to define the planned(estimated) physical % completion on each period (year, Quarter).

b. A function will be designed and developed to allow the user to enter/modify theactual reported on physical % completion on each period (year, Quarter).

c. An Inquiry function to display physical progress on each contractd. A report showing detailed physical progress reporting per periode. A report showing up-to-date physical progress reporting per period15. .Consolidated report (financial report) of all projects managed under the software.16. Recording the budget of all the activities of the project, and enable comparison of the actual

performance with budgets/targets (quarterly, annual, and cumulative for the Project).17. a fixed assets listing report indicating all relevant information (such as description, location, quantity,

serial number, etc.) which needs to be updated and include any discrepancies between the regularphysical inspection and the accounting records

18. Enhancement on the Withdrawal Application report to include the SOE and Summary sheet

Procurement

19. Keeping detailed records for all the contractors and consultants (ID number, Name, Nationality,Address, Phone, Fax, e-mail, contact name “position, phone number, fax, bank account bank address”and other information needed, and the accounting system should afford information regarding theprocurement cycle that took place before contract signature and report on the following:.

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a. Prior review thresholds;b. Procurement methods thresholds;c. Procurement reference;d. Activity description;e. Component (as per the description schedule of the Loan);f. Category (as per disbursement schedule);g. Estimated amount;h. Procurement method used;i. Prior/Post review;j. Date of issuance of advertisement;k. Bank no objection on bidding documents (Goods/works) or RFP (consultants);l. Date of bid (Goods/works) or RFP (consultants) submission;m. Bid opening date (goods/works) or Financial Proposal opening date(consultants);n. Bank No objection to evaluation report;o. Bank no objection to contract draft;p. Date of submission to the Bank of the Copy of signed contract;q. Contract related data (date of signature, date of completion, contract amount, and contract

amendments and payments terms).

Security

20. Handling the required security according to predefined system security and privileges.21. The program has adequate security features including password protection , not possible to delete a

posted transaction, controlled access22. Includes proper backup and system maintenance procedures.

Training and support

23. Training of the Finance Manager and Accountants on all features of the software.24. Provide a complete and a user friendly manual25. Configuration and Full installation of the software on seven computers, three at Federal and four in

the different regional offices.

A. Delivery time table

26. The delivery of this assignment is expected to be not more than one month.27. The main objective of the firm is to deliver a well designed software, that facilitates reflection of

project needs and be designed to provide the financial information required by all interested parties(the Mo-ANR, Ministry of Finance and IFAD) and fulfil the legal and regulatory requirements.

The firm is expected to deliver the system during the phase mentioned below:

Ref Deliverable’s Title Duration

Deliverable 1: install the present system 1 week

Deliverable 2: needed modifications should be applied on the system 3 weeks

Deliverable 3: Training sessions on the system 1 week.

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Annex 9: Social and Environmental Safegurd Proceedures

The first phase of the Participatory Small-Scale Irrigation Development Programme (PASIDP) wasimplemented from 2008 to 2015. PASIDP has contributed to reducing Ethiopia’s vulnerability toadverse weather conditions and drought, and to reduce rural poverty and food insecurity. However,implementation was limited to parts of four regions, and therefore more needs to be done to extendPASIDP’s successful interventions to other parts of the country for the benefit of the rural poor. Thecountry is still very dependent on rain-fed agriculture and, given the variable rainfall, increasingtemperatures and the recurrent droughts, achievement of full food and nutrition security for all wouldbe difficult. Therefore, the Government of Ethiopia (GOE) and the International Fund for AgriculturalDevelopment (IFAD) have agreed to design and implement a second phase of the Programme,PASIDP-II. PASIDP-II’s goals and objectives are consistent with the strategic objectives of theGOE’s Second Growth and Transformation Plan (GTP II), namely: increased and market-orientedcrop production and productivity; increased livestock production and productivity; reduceddegradation and improved productivity of natural resources; and enhanced food security.

PASIDP-II has been assigned a Category A classification according to IFAD’s Social, Environmentaland Climate Assessment Procedures (SECAP). Although the majority of the proposed interventions,including irrigation schemes, are expected to have limited, site-specific and manageableenvironmental and social risks, since the exact sites and interventions are not known at this stage, anEnvironmental and Social Management Framework is required to be developed for the Programme inorder to guide the preparation of environmental and social impact assessments (ESIAs) andenvironmental and social management plans (ESMPs). Project (or scheme) specific ESIAs will beundertaken during Programme implementation for those schemes classified as Category A, whileESMPs will be prepared for schemes classified as Category B. The interventions, particularly in thelowlands, may trigger the need for the implementation of a Free Prior and Informed Consent (FPIC)plan. The ESMF will facilitate the application of SECAP requirements to PASIDP-II interventions inorder to address the social, environmental and climate impacts associated with PASIDP-II design andimplementation.

Project Description

The Programme area covers four regions of Ethiopia: Amhara, Oromiya, Southern Nations,Nationalities and Peoples Region (SNNPR) and Tigray. The targeting mechanism will seek to ensureequitable participation in, and benefits from, Programme activities. The Programme will focus onrural areas only, and woredas will be selected based on the level of poverty and food insecurity,potential for small-scale irrigation and those not covered by the second phase of the AgricultureGrowth Programme (AGP-II). The Programme comprises the following components andsubcomponents:

Component A: Investment in Small-scale Irrigation Infrastructure aims to enable farmers tohave access to sustainable irrigation schemes. The proposed Programme aims to develop18,400 hectares of small-scale irrigation schemes. Subcomponent A.1 will support (a) theidentification and selection of 22,000 ha of schemes, (b) the feasibility studies and detaileddesigns following improved quality guidelines, (c) the establishment and strengthening ofIrrigation Water Users Associations, (d) the required environmental and social impact studiesand environmental and social management plans. Subcomponent A.2 will support thedevelopment of the selected irrigation schemes, including multiple user systems alongsideirrigation.

Component B: Investment in Capacity for Sustainable Agriculture aims to give farmersincreased market-oriented skills and capacity for sustainable agriculture. The component willsupport a range of activities designed to ensure that the target beneficiaries operate in anenvironment that is more conducive to rural commercial development. Subcomponent B.1will finance the strengthening of farmers’ cooperatives, the development of market linkages,and access to financial services. Subcomponent B.2 will support the improvement of crophusbandry practices mainly through farmers’ research groups, availability of improved seed.

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The Subcomponent will also make provision for gender-activities and promotion of nutrition-sensitive agriculture. Subcomponent B.3 will support improved watershed development on68,160 ha of adjacent watersheds and promotion of conservation agriculture.

Component C: Programme Management, Monitoring, Evaluation and KnowledgeManagement will focus on Learning and Knowledge Management, Programme Management,and Monitoring and Evaluation.

This ESMF focuses on Component A Investment in Small-scale Irrigation Infrastructure andSubcomponent B.3 Watershed Development and Management.

The ESMF is therefore intended to:

Guide ESIAs and ESMPs that will be prepared such that they address the deficienciesidentified in the Gap Analysis;

Present a table of standard preventive actions and mitigation measures for irrigation sub-projects to address any potential adverse environmental or social impacts;

Describe implementation procedures in relation to screening, preparation of ESIAs andESMPs, submission, review and clearance of ESIA/ESMP documents;

Provide guidance for steps to be undertaken to develop a Resettlement Action Plan in theevent any subproject triggers resettlement and/or displacement of economic resources or lossof environmental services, including arrangements for information disclosure, meaningfulconsultation with affected communities and description of grievance redress mechanisms(both informal and formal channels) for resolving complaints;

Assign roles and responsibilities of the various actors in implementing the ESMF; Provide capacity building and training measures to ensure that both ESMF and subsequent

ESIAs/ESMPs will be effectively implemented; Recommend the preparation/undertaking of further studies, investigations or activities, and

their respective timing, to ensure that environmental and social management and monitoringwould comply with national and IFAD requirements; and

Provide an estimated budget for implementation of preventive actions and/or mitigationmeasures recommended in the ESIAs and ESMPs to be included in the overall Programmecost.

EPA Guidelines

The EPA developed a number of guidelines that have a bearing on PASIDP activities. These are alsopresented in tabular form below, for ease of reference.

TABLE 32: EPA GUIDELINES OF RELEVANCE TO PASIDP II

EPA Guidelines Requirement/Provisions Relevance to PASIDP-II

Environmental ImpactAssessment Guidelines(EPA, 2000)

- Provides the policy and legislativeframework, the general ESIAprocess and key sectoralenvironmental issues, standards.

- Recommendations forenvironmental management in keysectors such as agriculture,industry, transport, tannery, damsand reservoirs, mining, textiles,irrigation, hydropower andresettlement projects.

Relevant to PASIDP-II as SSIprojects might potentiallycause some significant adverseenvironmental and/or socialimpacts

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Procedures For PreparationOf EnvironmentalManagement Plans (EPA,2003)

- Provides the essential componentsto be covered in any environmentalmanagement plan (eg. Identifiedimpacts, mitigation measures,monitoring, capacity building, etc).

- Structured formats for mitigationmeasures, monitoring andinstitutional arrangements.

Relevant to PASIDP-II for theabove reason

Environmental ImpactAssessment Guidelines OnIrrigation (EPA, 2004)

- Cover all types of irrigationprojects including water harvesting,storage, conveyance, on-farmdistribution and drainage etc.

- Aim to assist in developingirrigation projects that addresssustainable development issues.

- Highlight major issues andpotential impacts with appropriateenhancement and mitigationmeasures to be taken duringpreparation and assessment phases.

Relevant to PASIDP-II as itmainly involves Irrigationdevelopment; projects arerequired to undergo EIAs, asthey might potentially causesignificant adverseenvironmental and socialimpacts, the management ofwhich will be guided by theseguidelines.

Guidelines on SoilConservation on CultivatedLand (EPA, 2004)

- Intended to assist farmers, to takecare of their cultivated landsagainst soil erosion.

- Describe six physical soilconservation techniques brieflyincluding their descriptions, areasof applicability, specifications,effects, best combinations withother biophysical conservationmeasures and materials used etc.

Relevant to PASIDP-II asmost SSI are used for cropcultivation on landssusceptible to erosion anddegradation; these guidelineshelp to apply appropriateconservation measures toprotect the land.

Guidelines on Cropproduction (EPA, 2004)

- Cover food crops andexport/industrial crops aiming toassist crop production processesaddress sustainability needs.

- Analyse both rain-fed and irrigatedproduction process including post-harvest activities (storage,processing, andcommercialisation).

- Highlight major issues andpotential impacts with appropriateenhancement and mitigationmeasures to be taken in preparationand assessment phases.

Relevant to PASIDP-II as theSSI projects are geared forcrop production, and theseguidelines assist to ensuresustainability productionprocesses.

Guidelines for Dams andReservoirs (EPA, 2004)

- Provide guidance on theconstruction and operation of damsand reservoirs for various purposes.

- Highlight major issues andpotential impacts with appropriate

Relevant to PASIDP-II assome SSI schemes mayinvolve the construction ofdams and reservoirs as theirsource of irrigation water.

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enhancement and mitigationmeasures to be integrated indesigning, construction, and EIAand management phases.

Thus there is a need toincorporate appropriatemeasures to avoid potentialadverse social andenvironmental impacts, forwhich these guidelines areuseful.

IFAD Safeguard Polices

Indigenous Peoples Policy (2009)

Policy on Engagement with Indigenous Peoples aims to enhance IFAD’s development effectivenessin its engagement with indigenous peoples’ communities in rural areas. It sets out the principles ofengagement IFAD will adhere to in its work with indigenous peoples, and the instruments, proceduresand resources IFAD will deploy to implement them. The Policy is consistent with internationalstandards, in particular the United Nations Development Group Guidelines on Indigenous Peoples’Issues, and with IFAD’s mandate and Strategic Framework 2007-2010.

In its engagement with indigenous peoples, all IFAD supported projects are guided by ninefundamental principles:

a) Building upon cultural heritage and acknowledging cultural identity as assets;b) Ensuring free, prior and informed consent;c) Enhancing community-driven development;d) Ensuring equitable access to land, territories and resources;e) Valuing indigenous peoples’ knowledge and practices;f) Enhancing resilience of ecosystems in which indigenous people live and developing

innovative adaptation measures to address environmental issues and climate change;g) Exploring opportunities to enable indigenous people to value their products and facilitating

access to markets;h) Empowering indigenous peoples to secure and manage their resources and lead their own

development processes; andi) Ensuring gender equality, with commitment to improve the well-being of indigenous women.

Policy on Improving Access to Land and Tenure Security

The IFAD land policy provides a conceptual framework for the relationship between land issues andrural poverty, and identifies the major implications of this relationship for IFAD’s work. The policyacknowledges the complexity and dynamics of evolving rural realities and articulates guidingprinciples for mainstreaming land issues in the Fund’s main operational instruments and processes. Italso provides a framework for the subsequent development of operational guidelines and decisiontools.

The main principles of the policy are:

Align with national priorities and support to poverty reduction strategies; Adhere to the “do-no-harm” principle at all times; Appreciate the diversity and dynamic nature of existing agrarian structures and tenure

systems; Support the centrality of the empowerment of poor rural people and the organizations that represent them; Forge complementary partnerships with like-minded actors; Focus on the gender dimension of land rights;

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Adhere to the principle of free, prior and informed consent; Support to production services and market linkages to maximize the positive effects of access

to land and tenure security.

Anchored in this policy are the tenets of Free Prior and Informed Consent (FPIC).

Policy on Disclosure of Documents (2010)

IFAD’s Policy on the Disclosure of Documents enables project design documents to be disclosedprior to the Executive Board session at which the project is to be considered. The Consultation alsodirected the Executive Board to review policy provisions with regard to the disclosure of previouslyundisclosed documents.

Under IFAD’s current disclosure policy, the following documents are disclosed to the public at thesame time that they are made available to Executive Board representatives and Governors:

All documents submitted to the Governing Council (including its ReplenishmentConsultations);

All documents submitted to the Executive Board (including the Evaluation Committee); Information/status notes on projects being developed for presentation to the Executive Board

following internal approval of the inception memorandum; Agreements for loans and grants once they are signed and effective; Amendments to loan and grant agreements once signed and countersigned; Previously undisclosed documents that are eligible for disclosure under the current policy

(upon request or as necessary)

All evaluation reports and documentation submitted to the Evaluation Committee are made availableto the general public on the website of the IFAD Office of Evaluation (IOE), which is part of IFAD’scorporate website. Project/programme design documents are disclosed to the public in their originallanguage prior to the Executive Board session at which the project/programme is to be considered.

The policy also discusses the process for disclosure of previously undisclosed documents, thelanguage of disclosure and appeals.

Policy on Gender Equality and Women’s Empowerment (2012)

This policy is central to the attainment of the overarching goal of the IFAD Strategic Framework2011- 2015 of “enabling poor rural women and men to improve their food security and nutrition, raisetheir incomes and strengthen their resilience”. The policy reinforces IFAD’s position as a leader inpromoting gender equality and women’s empowerment in agricultural and rural development. Itbuilds on IFAD’s experience and achievements in field operations and in the broader policy arena inpromoting gender equality and women’s empowerment. The policy provides IFAD with strategicguidance in systematizing, intensifying and scaling up its efforts to close gender gaps and improve theeconomic and social status of rural women in rapidly changing rural environments. The policy hasthree strategic objectives; these are to:

1. Promote economic empowerment to enable rural women and men to have equal opportunityto participate in, and benefit from, profitable economic activities.

2. Enable women and men to have equal voice and influence in rural institutions andorganizations.

3. Achieve a more equitable balance in workloads and in the sharing of economic and socialbenefits between women and men.

To achieve these strategic objectives, the policy outlines five action areas which requires IFAD to:

Systematically address gender equality and women’s empowerment ifad-supported countryprogrammes and projects;

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Improve contributions to advocacy, partnerships and knowledge management on genderequality;

Strengthen the capacity of partners to address gender issues in agriculture and ruraldevelopment;

Develops approaches and procedures that support gender and diversity balance; Fully support gender equality and women’s empowerment in its human and financial

resources, and monitoring and accountability systems.

Climate Change Strategy (2010)

The goal of IFAD’s Climate Change Strategy is to maximize IFAD’s impact on rural poverty in achanging climate through:

Supporting innovative approaches to helping smallholder farmers build their resilience toclimate change;

Helping smallholder farmers take advantage of available mitigation incentives and funding; Informing a more coherent dialogue on climate change, rural development agriculture and

food security.The strategy aims to empower local communities and their institutions to participate in climate-change related decision-making processes, and to build their capacity to respond using their own andothers’ experience. IFAD’s focus is to develop key partnerships on the ground, such as community-based, farmers’ and women’s organizations, NGOs, and national and local public institutions,including agriculture ministries. Based on its growing in-country presence, IFAD also engage whereappropriate in country-level climate and environment coordination efforts, working closely withbilateral and multilateral donors, and taking advantage where appropriate of the capacity of partnerorganizations.

Environment and Natural Resources Policy (2012)

IFAD’s Environment and Natural Resources Policy aims to enable poor rural people to escape fromand remain out of poverty through more-productive and resilient livelihoods and ecosystems, byintegrating the sustainable management of natural assets across its activities and its partners’activities.

The Policy sets out 10 core principles to guide its support, namely:

1. Scaled-up investment in multiple benefit approaches for sustainable agriculturalintensification;

2. Recognition and greater awareness of the economic, social and cultural value of naturalassets;

3. ‘Climate-smart’ approaches to rural development;4. Greater attention to risk and resilience in order to manage environment- and natural-resource

related shocks;5. Engagement in value chains to drive green growth;6. Improved governance of natural assets for poor rural people by strengthening land tenure and

community-led empowerment;7. Livelihood diversification to reduce vulnerability and build resilience for sustainable natural

resource management;8. Equality and empowerment for women and indigenous peoples in managing natural

resources;9. Increased access by poor rural communities to environment and climate finance; and10. Environmental commitment through changing its own behaviour.

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Social, Environment and Climate Assessment Procedures (SECAP) (2014)

SECAP endeavours to ensure that IFAD’s goal of enabling poor rural people to improve their foodand nutrition security, increase their incomes and strengthen their resilience, particularly to climatechange, is done in an environmentally and socially responsible manner. The procedures set theminimum standards for the assessment of social, environmental and climate change risks of IFADprojects which apply throughout the project cycle. The procedures aim to:

“.. (i) provide information and analysis that strengthen the social, environmental and climatedimensions of projects and programmes; (ii) maximise social, environmental and climate changeadaptation benefits and avoid or minimise negative impacts; and (iii) increase the consistency,transparency and accountability in decision making concerning these dimensions...”.

SECAP provides a step-wise description of the processes to assess risk at each phase of the project orprogramme cycle, namely: Environmental and Social Categorisation and Criteria, Environmental andSocial Impact Assessment (ESIA); Climate Risk Analysis; ESIA Review and Recommendations;Loan Negotiations; Executive Board Approval, Project Supervision and Implementation, and ProjectCompletion and ex-post ESIA.

With regard to categorisation, PASIDP falls under Category A as some of the programmeinterventions may have significant environmental and social consequences that are sensitive, affect abroader area or are irreversible, and will need specific focussed measures to manage them. Forexample, the irrigation schemes may:

Require the construction of dams > 15 m in height; Necessitate physical and / or economic displacement; Affect access to land and natural resources, hindering communities’ user rights; Result in loss of environmental services provided by a natural ecosystem (for example

wetlands); and/or Affect physical cultural resources.

The programme also classifies as high to medium risk for climate risk as the schemes are located inareas that are highly degraded areas, have a track record of extreme weather events, and haveexperienced weather-related losses and damages in the recent past.

Category B projects are those that may have some adverse environmental and/or social impacts onhuman populations or environmentally significant areas, but the impacts are less adverse than thosefor Category A; are site-specific and few are-irreversible in nature; and can be readily remedied byappropriate preventive actions and/or mitigation measures. While no formal ESIA is required forCategory B programmes/projects, in many cases further environmental analysis could be undertakenduring project preparation or implementation.

Category C projects generally do not require additional environmental analysis because the activitieshave positive environmental impacts, or negligible or minimally adverse environmental impacts.They would include, for example, technical assistance grants for agricultural research and training,grants to generate global environmental impacts, research, capacity building and institutionalstrengthening.

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FIGURE 13: SECAP SCREENING FLOW DIAGRAM

Included in SECAP are a series Guidance Statements which are applicable in the context of PASIDP:these include Biodiversity and Protected Area Management; Agrochemicals; Fisheries andAquaculture; Forest Resources; Livestock and Range Resources; Water; Small Dams; PhysicalCultural Resources; Rural Roads; Development Of Value Chain, Microenterprises and SmallEnterprises; Rural Finance; and Physical and Economic Resettlement.

Where resettlement or economic displacement is envisaged, SECAP requires that the principles of “dono harm” and “free, prior and informed consent” are adhered to at all times and for all beneficiariesfor any intervention that might affect the land access and user rights of communities.

Differences in IFAD and GOE Policy Requirements

The table below highlights differences and similarities in the requirements for environmental andsocial assessment as well as resettlement and compensation in the Ministry of Environment, Forestand Climate Change and IFAD’s SECAP.

TABLE 33: COMPARISON OF MOEFCC AND IFAD REQUIREMENTS

Requirement Ministry of Environment, Forests andClimate Change (EPA)

Environmental Procedures

IFAD SECAP and Other Policies

Environmental andSocial Screening

According to the EIA Directive No2/2008, projects requiring fullenvironmental impact assessments andwhich are reviewed at Federal levelinclude:

Irrigation schemes having anirrigated area of 3000 ha ormore

Dam and reservoir constructionwith a dam height 15 metres ormore, or with reservoir storage

SECAP categorises small scaleirrigation projects as Category B, butdoes not define “small scale” as beingbelow a given area of land to beirrigated. Professional judgement istherefore used to determine thecategorisation which can be influencedby proximity to environmentally orecologically sensitive areas, or othersocial, cultural or socio-economicconsiderations.

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capacity of 3 million m3 ormore

The Ministry of Water, Irrigation andEnergy and the Ministry of Agriculturehave jurisdiction over EIAs for theseprojects – ie. EIAs are reviewed andapproved by the respective Ministries.

Projects having irrigated areas of lessthan 3000 ha, or dams/reservoirs havingdam heights of less than 15 m orreservoir capacities of less than 3million m3 require Preliminary ImpactAssessments, and are reviewed atRegional Level by specific Bureauoffices – these come under differentsectors in the various regions. TheMEFCC does not have its agencies atRegional Level as yet, but it is intendedthat they will do so under the currentrestructuring.

SECAP’s Guidance Statement #8 onSmall Dams categorises dams andreservoirs having a dam wall ≤ 5mhigh wall or reservoirs having avolume of ≤ 50 000 m3 as Category B(requiring a Preliminary ESIA orEMP) and dams/reservoirs having adam wall > 5m or reservoir volumesof > 50 000 m3 as Category A(requiring full ESIA).

For Category A projects a formalESIA, RAP and/or IPP, as applicable,are required with ESMP elaboration.Category B projects do not requireformal ESIA, but in many casesfurther environmental analysis isrequested during project preparation orimplementation in the form of anESMP which may be a stand-alonedocument or an output fromenvironmental analysis.

Climate RiskClassification

The EIA Procedural Guidelines (2003)list climate as an aspect to be consideredas potentially affecting projects.Although the MEFCC / EPA guidelinesdo not currently consider Climate Riskin project assessment, with the newchange in structure within the Ministry,and having Climate Change in its title,the Ministry is now placing greaterimportance on climate changeadaptation and resilience, as evidencedby the launching of the ClimateResilient Green Economy Strategy(2011)..

SECAP provides a Climate RiskClassification methodology whichspecifies that projects that have highvulnerability to climate risk are forexample: those that promoteagricultural activity on marginaland/or highly degraded areas; projectsthat establish infrastructure in areaswith a track record of extreme weatherevents; and projects in areas in whichrural development projects haveexperienced weather-related lossesand damages in the past. IFADrequires that projects classified as highrisk undertake an in-depth climate riskanalysis. Examples of medium riskprojects include projects that make useof climate-sensitive resources, but donot focus on these resources as a maincommodity (such as irrigationprojects); projects which invest ininfrastructure not directly exposed toextreme weather events but havepotential to become more resilientthrough adaptation of greentechnologies; and projects which focuson institutional development andcapacity building for rural institutions

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in climatically heterogeneous areas,where opportunities exist to strengthenindigenous climate risk managementcapabilities. Low risk projects arethose that are not likely to bevulnerable to climate risks (eg.development of a micro-financeinstitution). Projects under PASIDP-IIare therefore considered to lie withinthe high and medium climate riskcategory.

Consultations andFPIC

The EIA Proclamation No. 299/2002and the EPA EIA Procedural Guidelines20013 guidelines require consultationswith key stakeholders at Federal,Regional, Zonal and Woreda level, aswell as with the affected communities,and their participation, during the entireEIA process.

There is no requirement for FPIC, butthe national EIA Guidelines requireparticipation of interested and affectedgroups through consultations, and alsoin providing inputs and commentsthroughout the ESIA process.

With regard to irrigation schemes, WaterUser Organisations (which arecommunity based) are required to beinvolved in the management of irrigationwater management.

SECAP emphasises the need forgreater consultation by communities(especially the marginalized poor) andstakeholders that are likely to beaffected by IFAD’s operations duringthe respective programme/projectcycle, in order to provide input to theproject design, receive feedback on thedraft ESIA report, ensure broadcommunity support to the project, andto ensure that affected people endorsethe proposed mitigation/ risk reductionand management measures.

In addition to public consultations,SECAP requires FPIC for all projectsthat are likely to affect land or userrights to land, whether or not theaffected people belong to indigenousgroups or minorities. All schemesbeing considered under PASIDP-IIwill therefore require FPIC.

Public Disclosure There is no stipulated requirement forpublic disclosure, although the MEFCCand Regional Bureaux responsible forenvironmental review recommenddisclosure of environmental and socialdocuments at woreda level.

IFAD’s Policy on the Disclosure ofDocuments (2010) requires fulldisclosure to the public, and includesinformation notes on projects beingdeveloped for Board presentation,agreements for approved loans andgrants, and project/programme designdocuments which include ESIAs,ESMFs, RAPs and RAFs.

Compensation andResettlement

Compensation and resettlement ischiefly guided by three legalinstruments. The Rural LandAdministration and Use ProclamationNo. 456/2005, introduces a Rural LandHolding Certificate which provides alevel of security of tenure. For land tobe acquired for public works or for

IFAD’s Policy on Improving Accessto Land Tenure Security stresses FreePrior Informed Consent and the “Dono Harm” Principles. These principlesare also reflected in other IFADpolicies including the TargetingPolicy, Engagement with IndigenousPeoples Policy and Gender Equality

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investment, the proclamation requirescompensation to be paid to the land useholder commensurate with theimprovements made to the land, orsubstitute land must be offered. TheProclamation on Expropriation ofLandholdings for Public Purposes andPayment of Compensation No.455/2005addresses issues related to publicdomain, property laws, land assetclassification and valuation, customarylaws and processes for expropriation,and provides for complaints and appealsin relation to compensation. TheRegulation for the Payment ofCompensation for Property situated onLandholdings Expropriated for PublicPurposes No. 135/2007 describes theprocedures for settling issues related topublic domain, property laws, land assetclassification and valuation, customarylaws and processes for expropriation,and grievance redress.

and Women’s Empowerment Policy.The core tenets of IFAD’s principleson compensation and resettlement arethat wherever possible, any physical oreconomic resettlement that couldnegatively impact affected peopleshould be avoided or minimised; thatall land and natural resource userswith a legitimate claim will berecognised including people havinginformal/ customary rights; and thatno affected person should be leftworse off, and preferably in a betterposition through proper and timelycompensation and other mitigationmeasures.

Grievance Mechanisms The Proclamation on EIA No. 299/2002provides that any person dissatisfiedwith the authorisation or monitoring orany decision of the environmentalauthority or relevant regionalenvironmental agency may submit agrievance notice to the authority orregional agency. This also applies if acomplaint arises out of non-complianceof environmental or social actionsprovided in the ESMP. The authority orregional agency is required to respondwithin 30 days. As mentioned above, theProclamation on Expropriation ofLandholdings for Public Purposes andPayment of Compensation No.455/2005and the Regulation for the Payment ofCompensation for Property situated onLandholdings Expropriated for PublicPurposes both provide avenues forgrievance redress.

IFAD has developed a ComplaintsProcedure for “Alleged Non-Compliance with its Social andEnvironmental Policies andMandatory Aspects of Its SocialEnvironmental and ClimateAssessment Procedures”. Partiesadversely or potentially adverselyaffected by IFAD-funded projects andprogrammes may bring issues to theFund’s attention [email protected] must be put forward by atleast two people who are bothnationals of the country concernedand/or living in the project area.Complaints from foreign locations oranonymous complaints will not betaken into account. Complaints mustconcern projects/programmescurrently under design orimplementation. Complaintsconcerning closed projects, or thosethat are more than 95 per centdisbursed, will not be considered.IFAD does not provide monetarycompensation to resolve complaints.The IFAD website provides a clear

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summary of the steps involved andguidance on how to report issues.

Physical CulturalResources

The protection of physical culturalresources is enshrined in theConstitution of the FDRE. The NationalCultural Policy of 1997 puts into effectthe requirements of the constitution interms of protection and preservation ofcultural and historical legacies.Proclamation No. 839/2014 onClassification of Cultural Heritages intoNational and Regional CulturalHeritages provides for the classificationof cultural heritages and theirmanagement, and Proclamation No.209/2000 on Research and Conservationof Cultural Heritage states that in theevent of a chance find in the course ofany fortuitous event, the find must bereported to the Authority for Researchand Conservation of Cultural Heritage,and the discoverer is required to protectand keep the same intact, until theAuthority takes delivery thereof.

In cases where physical culturalresources are found, IFAD assistsborrowers in avoiding, minimising ormitigating adverse impacts on PCR inthe development programmes/ projectsthat it finances. Due diligence iscarried out through applying SECAPto ensure that PCR are properlyidentified and adequately addressedand that any measures to protect PCRcomply with the borrower’s nationallegislation as well as with itsobligations under relevantinternational treaties and agreements.SECAP prescribes general steps forprogrammes/ projects that apply incases involving PCR: screening;collecting data; assessing impacts; andformulating mitigating measures.

Safety of Dams In addition to the requirements the EIADirective No 2/2008 which lists projectsrequiring full environmental impactassessments, the MEFCC/EPA hasdeveloped Guidelines for Dams andReservoirs (2004) which highlight majorissues related to dams and reservoirs,and describes typical beneficial andadverse impacts and enhancement andmitigation measures. In consideringdam/reservoir design and construction,aspects to be covered should includepoverty, physical and naturalenvironment, health, gender, populationand participation by communities andcivil society. The Guideline notesexternal factors that need to beaddressed, including land use,seismicity, social instability, and hazardmanagement. The guidelines alsopresent environmental and socialmonitoring indicators.

SECAP’s Guidance Statement #8 onSmall Dams categorises dam sizes inrelation to the level of environmentalinvestigation required (see above).Since the risk of small dams failing ishigher than that for large dams, theGuidance Statement recommendsfollowing international best practicesbased on the World Commission onDams recommended procedures(including gaining public acceptance,an options assessment, ensuringsustainability of rivers andlivelihoods), as well as ensuringadequate planning, quality of thedesign and construction, optimum useof storage infrastructure afterconstruction, and safety monitoring.

IFAD has no specific guidance onsafety of large dams

International Treaties and Conventions

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Ethiopia is a signatory to a number of international or multi-lateral conventions and treaties. Thosewhich are of relevance to PASIDP-II are described below. GOE has domesticated these treaties andconventions, as reflected in the various policies and proclamations described above in Sections 3.2and 3.3.

TABLE 34: INTERNATIONAL TREATIES AND CONVENTIONS

International Treaty /Convention

Stipulations/ Requirements Relevance to PASIDP-II

Convention on Access toInformation, Public Participationin Decision-making and Access toJustice in Environmental Matters(1998)

Deals with the rights of access toinformation, public participation indecision-making, and access to justicein environmental matters.

The Programme is based on aparticipatory approach, andtherefore access to information,public participation and access tojustice are among the foundingprinciples of the Programmedesign.

Convention on BiologicalDiversity (CBD, 1992)

Aims to conserve biological diversity,promote the sustainable use of thecomponents of biological diversity,and ensure fair and equitable sharingof the benefits arising out of theutilization of genetic resources.

Schemes may require the clearingof vegetation but also may affectaquatic ecology if environmentalflow is not maintained.

Cartagena Protocol on Biosafetyto the Convention on BiologicalDiversity

Aims to ensure the safe handling,transport and use of living modifiedorganisms (LMOs) resulting frommodern biotechnology that may haveadverse effects on biological diversity,taking also into account risks to humanhealth.

May be relevant if modified seedis to be used on the schemes. Mayalso apply to the growing ofindigenous crops such as teff andcoffee.

UN Framework Convention onClimate Change (UNFCCC)

Provides a framework for internationalcooperation to combat climate changeby limiting average global temperatureincreases and the resulting climatechange, and coping with its impacts.

PASIDP focusses on climatesmart agriculture and requires aclimate risk assessment to beundertaken in order to guideProgramme design in coping withclimate-related impacts onlivelihoods.

Kyoto Protocol to the UNFCCC(1997)

Legally binds developed countryParties to emission reduction targets.

Paris Agreement to the UNFCCC(2015)

Seeks to accelerate and intensify theactions and investment needed for asustainable low carbon future. Itscentral aim is to strengthen the globalresponse to the threat of climatechange by keeping a globaltemperature rise this century wellbelow 2 degrees Celsius above pre-industrial levels and to pursue effortsto limit the temperature increase evenfurther to 1.5 degrees Celsius. The

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Agreement also aims to strengthen theability of countries to deal with theimpacts of climate change

United Nations Convention toCombat Desertification (UNCCD,1994)

Aims to combat desertification andmitigate the effects of drought incountries experiencing serious droughtand/or desertification, particularly inAfrica, through effective action at alllevels, supported by internationalcooperation and partnershiparrangements. It specifically addressesthe arid, semi-arid and dry sub-humidareas, known as the drylands, wheresome of the most vulnerableecosystems and peoples can be found.

Although PASIDP-II focusesmainly on the highland areas,there are some schemes that fallwithin the semi-arid zones.

Convention concerning theProtection of the World Culturaland Natural Heritage (WorldHeritage Convention, 1972)

Requires state parties to recognize thatthe duty of ensuring the identification,protection, conservation, presentationand transmission to future generationsof the cultural and natural heritagesituated on its territory, belongsprimarily to that State. It will do all itcan to this end, to the utmost of itsown resources and, where appropriate,with any international assistance andco-operation, in particular, financial,artistic, scientific and technical, whichit may be able to obtain.

The Programme regions host anumber of important historic andcultural sites. These are welldocumented. However because ofits rich cultural history there maybe sensitive cultural/historic areasin the vicinity of the scheme sitesthat may be particularly affectedduring scheme construction.

The Rotterdam Convention(formally, the RotterdamConvention on the Prior InformedConsent Procedure for CertainHazardous Chemicals andPesticides in International Trade)

Promotes shared responsibilities inrelation to importation of hazardouschemicals. The convention promotesopen exchange of information andcalls on exporters of hazardouschemicals to use proper labelling,include directions on safe handling,and inform purchasers of any knownrestrictions or bans.

Signatory nations can decide whetherto allow or ban the importation ofchemicals listed in the treaty, andexporting countries are obliged tomake sure that producers within theirjurisdiction comply.

Agrochemicals used on theschemes must be those that areregistered with, and approved by,the MOANR and properlylabelled for safe handling,disposal, etc. In addition, farmersmust be trained on the hazards ofthese agrochemicals and how tostore, handle and use them.

The Basel Convention on theControl of TransboundaryMovements of Hazardous Wastesand Their Disposal (the BaselConvention, 1989),

Designed to reduce the movements ofhazardous waste between nations, andspecifically to prevent transfer ofhazardous waste from developed toless developed countries (LDCs). It

Of particular relevance toPASIDP is the provision ofassistance in the management ofhazardous and other wastes – inthis case it applies to the disposal

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does not, however, address themovement of radioactive waste. Alsointended to minimize the amount andtoxicity of wastes generated, to ensuretheir environmentally soundmanagement as closely as possible tothe source of generation, and to assistLDCs in environmentally soundmanagement of the hazardous andother wastes they generate.

of expired agrochemicals andtheir containers.

Stockholm Convention onPersistent Organic Pollutants(1992)

Aims to eliminate or restrict theproduction and use of persistentorganic pollutants (POPs).

Agrochemicals used in PASIDPschemes must be those that areregistered with and approved bythe MOANR.

The Bamako Convention on theban on the Import into Africa andthe Control of TransboundaryMovement and Management ofHazardous Wastes within Africa(Bamako Convention, 1991).

Prohibits the import of any hazardous(including radioactive) waste intoAfrica

Relevant in the case if expiredagrochemicals and theircontainers are taken to othercountries for disposal.

Anticipated Adverse Environmental and Social Impacts of PASIDP-II

Irrigation

Typical environmental and social impacts that may be expected from the construction of the proposedirrigation schemes and their operation – or conditions which could affect the schemes - are tabulatedin below, together with some typical measures for mitigation. The most significant adverse ones are:

Reduction in downstream flow as a result of diversion of water, which could compromisewater availability downstream to satisfy human and livestock demand, and affect aquatichabitats and biodiversity;

Inundation of the river upstream, caused by damming, which could result in physical andeconomic displacement, hinder access to grazing and water sources for livestock, and destroyvegetation and natural habitats;

Soil erosion caused by scheme excavation works (including access roads, dams), and poorlymanaged upper catchment areas, leading to loss of cultivable land or siltation of canals;

Soil degradation and salinization due to improper application of agrochemicals, overwateringand poor drainage;

Reduction in water quality due to application of agrochemicals or oil spills, affecting waterpotability for domestic and livestock use downstream, as well as causing poisoning of aquaticfauna;

Loss of biodiversity and ecological imbalances caused by poisoning of non-target species,particularly bees and other beneficial insects, and pest resurgence;

Resistance to pesticides; Impacts on community health and safety from construction activities, but more seriously as a

result of dam failure and storage, handling, use and disposal of agrochemicals;

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Reduction in water availability due to climatic events – prolonged dry seasons andsubsequently drought – or diversion of water upstream for water supply or irrigation;

Flooding due to climatic events resulting in loss of soil and crop damage; and Destruction of physical cultural resources, given that Ethiopia is blessed with a rich history

and culture and these resources are abundant.

Well-designed schemes, diligent supervision during construction and proper management duringoperation will ensure that many of these adverse impacts are avoided or substantially mitigated.PASIDP-II focusses on climate resilience as climate-related impacts are unpredictable in terms of typeof impact, timing and significance, and by incorporating climate resilient approaches into schemedesigns, it is anticipated that the impact of these event(s) will be diminished.

In addition the Programme Implementation Manual (PIM) provides guidance for incorporatingenvironmental mitigation measures at the various stages of the projects, as well as contractual clausesthat will ensure certain mitigation measures are included in scheme design and during construction.

TABLE 31: TYPICAL ENVIRONMENTAL AND SOCIAL IMPACTS OF IRRIGATION AND THEIR MITIGATION

Aspects/Causes of Impact Environmental / Social Impact Some Recommendations forMitigation

ENVIRONMENTAL ISSUES

Climate change resulting inreduced rainfall.

Over-abstraction of waterupstream.

Degradation of catchmentareas due to poor agriculturalpractices, overgrazing.

Unavailability of water forirrigation and downstream use,particularly in the dry season

- If feasible, design and install offriver storage facilities, eg.dams, tocapture spate water.

- Design and install water harvestingtechniques to capture run off andrun on.

- Install water abstraction monitoringinfrastructure (gauges).

- Install infrastructure to measureflow levels in the river or dischargerates for groundwater (boreholes,wells, springs).

- Train IWUAs in keepingmonitoring records for abstractionand river flow.

- For rivers, determine and maintainenvironmental flow requirementstaking into account human,livestock and ecological needs.

- Train IWUAs to manage use ofirrigation water requirementsduring dry seasons.

- Implement watershed managementinterventions under PASIDP-II.

Soil erosion due to excavationand clearing activities forroads, canals, workshops,market centres.

Deterioration of water quality - Minimise/prevent soil erosion bycontrolling earthworks, installingand maintaining drainage structuresand erosion control measure; usezero-till/reduce till methods of land

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Removal of vegetation(including riparian vegetation)for clearing land.

Pollution of water due tofoulwater leaching into watersources (from pit latrinesprovided on schemes or atmarket centres).

Pollution due to leaching,seepage or transmission ofagrochemicals through the soilinto water sources

preparation.

- Establish buffer zone along riverbank; existing riparian vegetationshould be maintained (not cleared).

- Careful supervision of clearingactivities so that only areasrequired for infrastructure andagricultural infrastructure arecleared.

- Drains from the fields should leadto a collection pond where thewater can be tested and treatedbefore discharge to a river

- Install proper sanitation facilitieswhich include a form of treatment(eg.2-chamber latrines).

- Latrine location and design shouldtake into consideration distancefrom water sources, soil types, andestimated usage.

- Minimise use of agrochemicalsthrough adopting conservationagriculture techniques, exploreorganic/natural fertilizers,agrochemicals

- Manual removal of weeds

Excavation and clearingactivities during constructionof roads, canals, dams

Speeding construction vehicles

Air pollution – dust - If water is available, keep dustdown by watering exposed/ workedsurfaces

- If possible schedule earthworkssuch that they avoid the height ofthe dry seasons.

- Controlling the speed ofconstruction vehicles

Slash and burn methods toclear land for cultivation, or inpreparation for new planting

Air pollution – particulates - Develop kebele bylaws thatprohibit clearing through slash andburn methods, and field burning

- Create fire breaks

- Train farmers on improved farmingmethods

Clearing of vegetation for landpreparation for cultivation, andother scheme infrastructure(including canals, roads,market sheds)

Tilling land releases carbon

Air pollution – GHG emissions - Adopt zero tillage so carbon isstored in soils, and less carbonreleased to the air

- Adopt best practices for soilmanagement (aeration, carefulapplication of inputs) to minimise

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stored in soil.

Excessive use of fertilizerswhere unabsorbed ammoniaand nitrates may subsequentlybe released into the air.

emissions of ammonia and nitrates.

Oil spills from storing,handling and disposal of fuel,oils and lubricants

Oil pollution - Where fuel is stored in bulk, thetank should be contained in a bundof 110% tank capacity

- Where fuel drums are used, theseshould be stored on sump pallets.

- Establish procedures for fueldelivery; decanting/draining; use,storage; spill response; disposal ofwaste oil; handling of oil products.

- Minimise need for having fuel oilon site – explore options for solarpowered pumps or connect tonational grid.

Construction traffic,construction works.

Pump houses where waterfrom the river is being pumpedto the schemes.

Excessive noise levels - Provide PPE to personnel workingin areas exposed to excessive noiselevels

Generation of waste duringconstruction, including debrisand packaging.

Waste generated duringoperation, eg. food waste,packaging, scrap metal, etc.

Proliferation of pests and vermin(snakes, rats, mosquitoes) posinghealth risks to communities

- Dispose of construction waste andsolid waste as per EPA Solid Wasteguidelines

- Recycle, reuse, recover and reducewaste

Excessive rain, floods.

Over-watering of fields.

Water logging, poor drainage - Provide drainage for access roads

- Fields should have slight gradientsso as to allow drainage of excesswater

- Maintain drainage canals and otherdrainage structures

Excavation and clearingactivities, including removal ofvegetation during construction.

Clearing for planting newcrops.

Erosion caused by rain, runoffand wind.

Soil erosion - Control earthworks

- Install and maintain drainagestructures to regulate stormwaterand runoff/run on

- Install and maintain erosion controlmeasures

- Use zero-till/reduce till methods forland preparation

Excavation and clearingactivities along the edge of

Riverbank erosion - Establish buffer zone along riverbank; existing riparian vegetation

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riverbanks

Removal of riparian vegetationduring clearing

should be maintained (not cleared)

Poor cultivation practices, eg.tilling, excessive use ofchemical inputs, mono-cropping for long periods oftime.

Soil degradation - Use best practices for growingcrops recommended conservationagriculture techniques, such as zerotillage or reduced tillage,

- Intercropping to strengthen soilstructure;

- Green fertilization and greenharvesting to cover soil with cropresidue.

- Implement Integrated SoilConservation and NutrientManagement systems

Poor application of, and/orexcessive use of agrochemicalinputs.

Chemical pollution of soils,groundwater and surface water

- Minimise use of agrochemicalsthrough adopting conservationagriculture techniques, selectnatural organic alternatives

- Careful supervision of applicationof agrochemicals

- Use agrochemicals approved byMOANR, WHO and FAO

- Set up an AgrochemicalManagement system and draw up aPesticide Management Plan

- Train farmers in in proper use,handling, storage, and disposal ofagrochemicals.

- Ensure chemical containers aredisposed of as hazardous waste

- Keep records of chemicals used,application amounts.

Loss of biodiversity, ecologicalimbalances, caused by poisoningof non-target species, particularlybees and other beneficial insects

Resistance to pesticides

Pest resurgence

Clearing of vegetation duringscheme construction and forcultivation of crops.

Loss of biodiversity, soil erosion - Careful supervision of clearingactivities so that only areasrequired for infrastructure andagricultural infrastructure arecleared.

- Assess impacts of inundation ofdams (or alternative water storagefacilities) on vegetation

- Assess impacts of bridges or footpaths on riparian and othervegetation

- Preserve/maintain woodland or

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forest areas to preserve biodiversity

Carbon releases - Green crop production includingadopting conservation agriculturetechniques

- Woodlot afforestation

- Reafforestation of riverine belt

Insufficient flow left in riversdownstream of schemes.

Pollution of river water dueleaching of agrochemicals intoriver.

Threat to aquatic ecology,including bio-magnification oftoxins in tissues of aquatic fauna,and/or species die off

- Establish and maintainenvironmental flows

- Careful application ofagrochemicals – developagrochemical management plan

- Monitor water quality in rivers,downstream of diversion weirs andabstraction points.

- For schemes with major diversions,establish aquatic ecologicalbaseline

- Monitor aquatic ecologyperiodically

Proximity of schemes tonational parks and wildlifedispersal area.

Human-wildlife conflicts,including crop raiding

- Raise awareness raising amongscheme communities.

Poaching

Proximity of schemes tocommunity or national forests– leading to illegal felling oftrees for charcoal production.

Loss of biodiversity and ecosystemservices

- Establish community fuelwoodplantations

- Preserve/maintain existing foreststands to preserve biodiversity

Sourcing of constructionmaterials, excavation ofborrow pits, quarries, sand.

Destruction of environment,changes in landscape and land use.

- Assess environmental impacts dueto materials for construction

- Restoration/ rehabilitation of landdisturbed for purposes of acquiringmaterials. Requires propermanagement of quarries andborrow pits, and sand mining.

- In some cases communities mayrequest that quarries or borrow pitsare left open to serve as water pans.In these cases the excavated areasshould be landscaped in order tofacilitate safe access to the waterpans.

Setting up Workman’s /Contractor’s camp

Generation of solid and liquidwaste

- Solid and liquid waste managementplans to be developed forconstruction and operation phases.

- Provide proper sanitation facilitiesto workforce

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SOCIAL/SOCIO-ECONOMIC ISSUES

Grazing land being taken foragriculture, consequently lessland available and largenumbers of livestock.

Access to water and pasturefor livestock blocked (eg.bycanals, or dams or cultivatedirrigated fields).

Livestock drinking water fromcanals damaging structures.

Land use conflicts arising betweenlivestock keepers/pastoralists andfarmers

- Develop kebele land use plans thatprovide land for livestock grazingand watering points.

- Allow livestock access routes toriver and water sources.

- Alternatively provide wateringpoints for livestock located alongon existing livestock routes towater and pasture, and throughconsultations with thecommunities.

- Establish local monitoring systemfor non-compliance to reduceconflicts and manage them at earlystage.

Abstraction upstream (inhighlands) resulting ininsufficient flow left in riversdownstream.

Conflicts between highland andlowland farmers

- Install water abstraction monitoringinfrastructure (gauges).

- Install infrastructure to measureflow levels in the river.

- Train IWUAs in keepingmonitoring records for abstractionand river flow..

- For rivers, determine and maintainenvironmental flow requirementstaking into account human,livestock and ecological needs.

- Train IWUAs to manage use ofirrigation water requirementsduring dry seasons.

- Implement watershed managementinterventions under PASIDP-II.

In-migration due to potentialjob opportunities, and spin offemployment activities.

Growth of kebeles due to inducedsettlement

- Plan for population increase andconsequent demand on publicutilities

- Dialogue between local leadership,farmers and immigrants

- Initiate educational campaigns forHIV/AIDS awareness, drug abuseprevention, security, etc

- Give employment preference tomembers of local communities

Insecurity concerns among hostcommunities

- Dialogue between local leadership,farmers and immigrants

- Give employment preference to

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members of local communities

Setting up Workman’s /Contractor’s camp.

Pressure on water sources,fuelwood /energy sources andother public services.

- Consult kebele authorities toidentify camp location.

- Develop clear specifications forcamps with regard to sanitationfacilities, accommodation,provision of water, health andsafety, etc.

Competition for local food - Contractor to supply workforcewith food ensuring that local foodsupplies are not compromised intimes of food shortages.

Risks of increased rates of STIs,including HIV/AIDS

- Contractor to conduct HIV/AIDSprevention and awarenesscampaign targeting his workforceas well as local communities.

Permanent acquisition of landfor scheme infrastructure,roads and/or market centres.

Loss of land, (includingagricultural land), structures, treesand crops

- Avoid physical or economicdisplacement if possible, orminimise as much as possible bychanging siting of infrastructure

- Develop land use plans to identifylocation of infrastructure andaffected persons.

- Verify identity of project affectedpeople, particularly vulnerablepeople

- Prepare RAP

- Implement RAP.

- Where land is available within thekebele, land for land to be given.Otherwise compensation to be paidfor production for a period of 10years, in accordance with thenational laws.

- Livelihood restoration activities tobe implemented for severelyaffected PAPs

Temporary acquisition of landfor construction camps


- Compensation to be paid for allproperty on land to temporarilyacquired for scheme works,including road construction anddam construction

- Restoration/ rehabilitation of landacquired temporarily forconstruction purpose

Insufficient flow left in rivers Threat to fisheries: loss of aquatic - Establish and maintain

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downstream of schemes.

Pollution of river water dueleaching of agrochemicals intoriver

habitats, bio-magnification oftoxins in tissues of aquatic fauna,and/or species die off

environmental flows

- Careful application ofagrochemicals, guided by anagrochemical management plan

- Establish aquatic ecologicalbaseline

- Monitor water quality in rivers,downstream of diversion weirs andabstraction points.

Cash crops grown inpreference to food crops – noprovision made for growingfood crops on schemes.

Food insecurity - Promote production of food cropsin parallel with cash crops

- Provide support to farmers toimprove food crop production

- Introduce cash savings from cropsales for purchasing food especiallyduring times of food shortages

Poor application and handlingof agrochemicals resulting infarmers touching, inhaling oringesting toxic chemicals

Health effects: respiratory,dermatological or gastric ailments,poisoning.

- Develop agrochemicalmanagement plan describinghandling, storage, use and disposalof all agrochemicals used on theschemes.

- Train farmers in the handling,storage, application and disposal ofall agrochemicals.

Construction activities posingdanger to site personnel (eg.working at heights, lifting,handling machinery, etc)

Occupational health and safetyrisks

- Ensure compliance with nationalOHS requirements and bestpractice

- Provide appropriate PPE to allconstruction workers and enforceuse

Presence of a large permanentwater body (dam).

Community health and safety riskseg. waterborne diseases such asmalaria, bilharzia; incidences ofdrowning

- Conduct awareness campaigns onprevention and cure of waterbornediseases

- Erect warning signs at possibleentry points into dam

Excavation of borrow pits andquarries, in which may wateraccumulate

Community health and safety riskseg. waterborne diseases, danger ofchildren/livestock falling intoborrow pits/quarries

- Cordon off all borrow pits/quarriesto prevent children/livestock fallingin

- Materials sites should be excavatedwith specified entry and egressroutes

- Borrow pits and quarries should beexcavated so that water drains outof them

- Conduct awareness campaigns onprevention and cure of waterborne

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diseases

Failure of dam structures dueto poor design and/orconstruction, excessivequantities of water storedbehind them as a result ofextreme rainfall events, orseismic movement

Community health and safety risks– loss of life, damage to property

- Ensure sound dam design, takinginto account climatic,geological/seismic aspects.

- Ensure dam maintenance –checking structures, desilting, etc

- Prepare dam break analysis andemergency response plan

Transient and immigrantlabour for construction andspin off employmentopportunities.

Increased incomes in localcommunities leading topromiscuity.

Increase in the prevalence ofHIV/AIDS and other STIs

- Carry out situational analysis ofHIV/AIDS in project area

- Workplace HIV/AIDS preventionand awareness programme

Children working on theschemes or associated spin offactivities - for money (and inviolation of national labourlaws).

Children dropping out of school asemployment is more attractivethan school or because theirfamilies need the money

- Sensitise parents

- If possible introduce / strengthenprovision of food in schoolsthrough PASIDP-II.

- Schemes should develop a labourpolicy prohibiting child labour

Construction traffic,excavation activities,immigrant labour with surpluscash.

Disturbance to the public,disruption of livelihoods androutines, dust emissions, nuisance

- Sensitisation / awareness raisingamong communities on projectdetails, timing etc.

- Diligence on the part of contractor/construction workers to minimisedisturbance to communities

Construction traffic, andduring operation tractors orcarts for collection.

More vehicular traffic due toimproved roads/better accessin the project area.

Increased number of roadaccidents causing injury or loss oflive

- Prepare and implement road safetyprogramme

- Construct diversions road to reduceinconvenience to road users

- Improve footpaths alongconstruction traffic routes so thatpedestrians need not use the roads

Disturbance of graves withinscheme areas.

Personal / emotional stress torelatives of the deceased if gravesare to be relocated

- As far as possible avoid disturbinggraves.

- Identification and relocation ofgraves as per local customs andnational laws

Destruction of, or damage to,physical cultural resourcesnear or within scheme areas

Loss of cultural heritage or item oftraditional value

- As far as possible avoid disturbingphysical cultural resources

- Develop a procedure to manage“chance finds” of cultural andtraditional significance.

Clearing of Loss of indigenous knowledge and - Identify and preserve traditional

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vegetation/woodlands andforest stands, resulting indestruction/loss of traditionalplants, trees.

cultural heritage plants and trees having indigenousvalue and sacred forests


- Special plantations to grow andpreserve indigenous tree/plantspecies of cultural value

Watershed Management

While the overall intention of watershed management is to improve environmental conditions incatchment areas, some interventions could have adverse impacts. The most significant ones relate to:

Denied or hindered access to natural resources or grazing areas; Use of exotic species for slope protection.

TABLE 35: TYPICAL IMPACTS FROM WATERSHED CONSERVATION PROJECTS

Aspects/Causes of Impact Environmental / Social Impact Proposed Mitigation

ENVIRONMENTAL ISSUES

Failure of structures due topoor design and/orconstruction (eg. small dams,check dams, catch waterdrains)

Soil erosion, gully formation - Ensure sound design of all structures,taking into account soil susceptibilityto erosion

- Ensure structures are continuouslyand routinely maintenance –checking structures soundness(cracks, erosion around edges),desilting, etc

- For small dams, prepare dam breakanalysis

Soil erosion due to clearingactivities before replanting forconservation

Erosion caused by rain, runoffand wind.

Deterioration of water quality - Minimise/prevent soil erosion bycontrolling earthworks, installing andmaintaining drainage structures anderosion control measures

Clearing activities beforereplanting

Loss of native/endemic species - Identify and preserve endemic plantsand trees

- Allocate special areas withinwatershed conservation areas togrow and preserve native/endemictree/plant species

Use of exotic plant species inwatershed management andsoil conservation activities

Spread of invasive species - Use only exotic species that arealready commonly found and used inthe project area

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- Manage the growth of exotic speciesso that they do not spread beyond thedesired area and do not threatennative/endemic species

- Avoid use of genetically modifiedforage crop

SOCIAL/SOCIO-ECONOMIC ISSUES

Grazing land being taken forwatershed protection activities.

Watershed activities hinderingaccess to pasture and watersources.

Land use conflicts arising betweenlivestock keepers/pastoralists andfarmers

- Develop kebele land use plans thatprovide land for livestock grazingand access to watering points.

- Grow fodder as part of watershedconservation activities which can besold or given to the livestock owners.

- Allow livestock access routes toother grazing areas.

- Establish local monitoring system fornon-compliance to reduce conflictsand manage them at early stage

Permanent acquisition of landfor watershed conservationarea.


- Avoid physical or economicdisplacement if possible, or minimiseas much as possible by changingsiting of watershed conservation area

- Develop land use plans to identifylocation of watershed areas andaffected persons within these areas.

- Verify identity of project affectedpeople, particularly vulnerablepeople

- Prepare RAP

- Implement RAP.

- Where land is available within thekebele, land for land to be given.Otherwise compensation to be paidfor production for a period of 10years, in accordance with thenational laws.

- Livelihood restoration activities to beimplemented for severely affectedPAPs

Failure of structures due topoor design and/orconstruction

Community health and safety risks - Ensure sound design of all structures,taking into account soil susceptibilityto erosion

- Ensure structures are continuouslyand routinely maintenance –checking structures soundness(cracks, erosion around edges),

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desilting, etc

- For dams, prepare dam breakanalysis and response plan

Disturbance of graves withinwatershed conservation areas

Personal / emotional stress torelatives of the deceased if gravesare to be relocated

- As far as possible avoid disturbinggraves.

- Identification and relocation ofgraves as per local customs andnational laws

Destruction of, or damage to,physical cultural resourcesnear or within watershedconservation areas

Loss of cultural heritage or item oftraditional value

- As far as possible avoid disturbingphysical cultural resources


Destruction/loss of traditionalplants, trees.

Loss of indigenous knowledge andcultural heritage

- Identify and preserve traditionalplants and trees having indigenousvalue


- Allocate special areas withinwatershed conservation areas togrow and preserve indigenoustree/plant species of cultural value

Climate Risk Assessment

Introduction

Ethiopia has been repeatedly hit by climate-induced recurrent droughts and other extreme events, aswitnessed most recently in 2015/2016, when an estimated 15 million people are exposed to droughtand hunger. The country’s ecological system is very fragile and vulnerable to climate change, in partdue to stress on natural resources, where the key challenges include soil degradation, deforestationand loss of biodiversity. Poverty remains high in vulnerable, drought-prone regions, with the verypoorest facing the increasing impacts of a changing climate. In addition, the agricultural sector stillsuffers from traditional, low-input, low-output farming practices. The ND-GAIN Index25 summarizesa country's vulnerability to climate change and other global challenges in combination with itsreadiness to improve resilience. According to this index, in 2014 Ethiopia ranked 145th out of 180countries. This indicates that Ethiopia therefore requires for investment and innovations to improvereadiness to climate variability.

Climate change projections for Ethiopia indicate a significant increase in temperature and a likelyincrease in drought occurrences, heavy rains and floods, particularly in the lowlands26. Spatial patternsand temperature and rainfall amounts are projected to change through 2010–2039, and to result inmore extreme events27 . For the past four decades, the average annual temperature in Ethiopia has

25 http://index.gain.org/country/ethiopia26 Gummadi, S. etal, 2015. The changing climates of Ethiopia and its implication on agricultural systems. ICRISATResearch Paper, under review. Addis Ababa, Ethiopia27 USAID and USGS, 2012. A climate trend analysis of Ethiopia

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been increasing by 0.37 oC every ten years, with the majority of the temperature rise observed duringthe second half of the 1990s28. Future projections show that the mean annual temperature will increasein the range of 0.9 to 1.1ºC by 2030, in the range of 1.7 oC to 2.1oC by 2050, and in the range of 2.7 oCto 3.4 oC by 2080 compared to the 1961 to 1990 normal9, posing a sustained threat to agriculture andthe economy. However, the biggest climate change impact is associated with limited wateravailability29. Although there is no significant change in annual rainfall amounts during last 30 years,increasing intra-seasonal variability caused significant damages in communities livelihoods, includingin the year 2015/16. Drought in Ethiopia will continue to be regional in nature and commonly coverlarge areas and extend for long periods of time. In the last five years, about 80% of the farmers in thelowlands and 22% in the highlands had at least one crop failure30. During the time of high cropfailure, farmers tend not to farm the next crop season, due to high uncertainty on the rainfall and highprice of improved seeds. Crop failure causes some of these households not to meet their food needsand rely partly on food assistance.

For the Belg rains31, rainfall declines are projected across the south-central and eastern parts of thecountry, and will negatively impact Belg harvests as well as pastoral rangelands during the summerand early fall. This may be particularly disruptive for drought-prone communities in southernOromiya and The Great Rift Valley, which have been relying upon meager Belg rains for theirlivelihoods. As for the Kiremt rains32, rainfall declines are projected to range across the western andsouthern parts of Ethiopia. Increasing temperature is expected to increase irrigation water demands,both in the drylands where irrigation is currently required but also in areas where the system iscurrently dependent on rain-fed agriculture. This scenario will exacerbate poverty, particularly in thevulnerable, drought-prone regions, with the very poorest facing the increasing impacts of a changingclimate.

Since 2011, the Ministry of Environment and Forestry’s efforts have been focused on implementingthe Climate-Resilient Green Economy (CRGE) strategy that sets the target for the Ethiopia to becomea middle-income carbon-neutral country by 2025. To this end, in April 2014, a project aimed atsupporting the Reducing Carbon Emissions from Degradation and Deforestation (REDD) mechanismwas launched. This will help Ethiopia access the carbon trade whereby developed countries offsettheir emissions by investing in emission-reduction projects in developing countries. Concerted efforthas been geared towards rolling out and operationalizing the CRGE. In addition to preparing manualsand introducing monitoring and evaluation systems, these include the Sectoral Reduction Mechanism(SRM), which sets comprehensive actionable plans for the CRGE’s goals of reducing vulnerabilityand emissions. In 2014, CRGE projects in agriculture, water, irrigation and energy, forestry, transport,industry and urban development were being implemented. Both up-front support and ex postpayments are provided for carbon-reduction actions. Interventions including a large-scalereforestation campaign (with approximately 1 million trees planted per year) over the past decadehave resulted in the forest cover dramatically increasing from 3% in 2000 to 11% of total land area in2014. Since June 2013, re-afforestation has fallen under the remit of the Ministry of EnvironmentForestry and Climate Change.

Climate Risk Analysis

Key Considerations

28 EEA, 2008.29 You and Ringler (2010) IFPRI.30 START, 2013.31 Belg rains are the short rains occurring between February, March and May and provide water to Ethiopia’s southern,north-eastern, eastern and north-central parts. These rains are essential for long-cycle crops such as sorghum and maize,harvested in the meher season, i.e. from June to October. The Belg season is producing about 30% of the food and feed inthe Ethiopian highlands.32 Kiremt rains are the long rains occurring between June and October across most of the country, apart from thesoutheastern parts. These rains lead to meher season and provide around 50-80% of annual rainfall totals.

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Key considerations in determining climate risk are:

Is the target group of the project dependent on climate sensitive natural resources? Has the project area been subject to extreme weather events in the past? Could changes in temperature, rainfall or extreme weather affect the project impact,

sustainability or cost over its lifetime? Will climate variability likely affect agricultural productivity within the project or incidence

of pests and diseases? Would weather-related risk or climatic extremes adversely impact upon key stages of

identified value chains in the project (from production to markets)? Does the project have potential to integrate climate resilience measures without extensive

additional costs? Would the project benefit from a more detailed climate risk and vulnerability analysis to

identify the most vulnerable rural population improve targeting and identify additionalcomplementary investment actions to manage climate risks?

Risk Classification

According to SECAP’s climate risk classification guidelines, high, medium and low riskprogrammes/projects are described as:

High Risk: Projects that promote agricultural activity on marginal and/or highly degraded areas(such as on hillsides, deforested slopes or floodplains); projects that establishinfrastructure in areas with a track record of extreme weather events, and projects inareas in which rural development projects have experienced weather-related lossesand damages in the past are considered as high risk.

Medium Risk: Medium risk projects are those projects that make use of climate-sensitive resources,but do not focus on these resources as a main commodity (such as irrigated farmingsystems), projects which are investing in infrastructure not directly exposed toextreme weather events, but has potential to become more resilient through theadoption of green technologies (such as renewable energy, water efficiency, re-use/recycling of waste products); and projects which focus on institutionaldevelopment and capacity building objectives for rural institutions (such as farmergroups, cooperatives) in climatically heterogeneous areas, where opportunities exist tostrengthen indigenous climate risk management capabilities; and projects which focuson policy dialogue to improve agricultural sector strategies/policies, whereopportunities exist to integrate climate resilience aspects.

Low Risk: Where a project/programme is not likely to be vulnerable to climate risks and thusvoluntary measures could be incorporated into the detailed design (eg. developmentof a micro-finance institution).

Within the Programme area, climate change is likely to cause an increase in the intensity andfrequency of extreme events, generating impacts and reducing the time available for recovery.During consultations, communities described both flood and drought events as having severe impactson their livelihoods. Often times, floods have damaged homes, traditional irrigation infrastructure,roads/access ways, vegetation, crops and pasture, while drought has affected agricultural production,and livestock have perished due lack of food and water. PASIDP-II has therefore been designated ashaving high climate risk - primarily as a precautionary measure - and therefore according to SECAPassessment processes requires an in-depth climate risk analysis.

Risk Analysis

In order to assess the impact of PASIDP-II on climate change, gross fluxes (in tCO2eq) need to beconsidered in terms of “with” and “without” project scenarios. The increase or decrease ingreenhouse gas (GHG) emissions is indicated in Table 8.1 below for various the project activities.

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At this stage of the Programme development, the locations and extents of the schemes to be includedin the Programme are not known. Nor has the area and type of vegetation (woodlands, grasslands,forests) to be cleared been determined. Therefore it is not possible to carry out a detailed assessmentof GHG emissions. So while Table 5 below may indicate a net decrease in GHG emissions as a resultof programme activities as compared with the “no project” scenario, this can only be confirmed whenactual figures for tonnes of carbon dioxide equivalent (tCO2eq) are obtained.

TABLE 36: COMPARISON OF GROSS FLUXES IN GHG EMISSIONS WITH/WITHOUT THE

PROGRAMME

Programme activities PotentialGross Fluxes

– GHGEmissions

WithoutProject

WithProject

Land use changes

Deforestation/clearing of vegetation

Afforestation

Watershed management andconservation

Agriculture

Annual crops

Perennial crops00

Grassland

Livestock

Soil degradation (soil erosion, salinisation)

Inputs (eg.fertilizers, agrochemicals)

Legend: likely increase in GHG emissions

likely decrease in GHG emissions

Climate Risk Resilience Measures

Since 2011, the Ministry of Environment and Forestry’s efforts have been focused on implementingthe Climate Resilient Green Economy (CRGE) strategy that sets the target for the Ethiopia to becomea middle-income carbon-neutral country by 2025. Improving crop and livestock production practicesfor higher food security and farmer income while reducing emissions, and protecting and re-establishing forests for their economic and ecosystem services, including as carbon stocks, are keypillars through which the CRGE’s intends to reduce climate vulnerability. PASIDP-II is well-alignedwith the CRGE strategy goals, as it aims to enhance climate resilience through sustainable irrigationdevelopment and improved watershed and landscape management. PASIDP-II recognizes the needfor developing climate resilient communities through employing a combination of institutional andclimate-smart technological interventions along with creating local capacity to identify best-betagricultural enterprises and adaptation strategies fitting into changing climates and market needs. It isalso about enabling communities to supply the desired quantity of water for the preferred agriculturalcommodity in the right amount and timing to efficiently produce more food and income per unit ofwater investments.

Climate change adaptation measures are integrated into PASIDP-II activities to address the inherentrisks resulting from a changing climate and the potential multiplication of effects, such as damage to

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landscapes and infrastructure, and recurrent droughts. To this end PASIDP-II will focus on five keyissues to improve climate resilience:

Improve local knowledge: conduct scheme-based climate analysis and to develop targetedadaptation strategies, helping communities to understand climate change scenarios;

Promote longer-term adaptive agronomic practices: supporting watershed managementactivities, organizing and facilitating farmers research groups (FRGs) to experiment andinnovate on various climate smart and profitable options on behalf of the wider community,including more efficient and equitable use of irrigation water;

Establish water monitoring instrumentation in close collaboration with key players, to provideimproved information flow between upstream and downstream farmers and woredaadministrations; and,

Knowledge management: document evidence of profitable water-saving strategies andclimate-smart agriculture, and facilitate knowledge exchanges between farmers to scale-upadoption of these practices.

Preparation of a Resettlement Action Plan

At this stage of the Programme, the schemes to be included under PASIDP-II have not beendetermined, and thus the number of people likely to be physically or economically displaced byPASIDP-II activities is not known. However, the Programme will endeavour to avoid schemes thathave high probability of physical resettlement and economic displacement of communities – theseschemes will not proceed past the first screening tier in the project selection process (see Section10.3.1). But in the event that schemes that pass Tier 1 screening are subsequently found to causephysical resettlement or economic displacement, a Resettlement Action Plan (RAP) will be preparedas a pre-condition to scheme financing and implementation. The RAP will be finalised as asupplementary document to the Environmental and Social Impact Assessment report. The RAP willprovide a set of binding actions to be taken in order to avoid, mitigate and compensate the affectedpeople as needed. This chapter is therefore intended to guide the preparation of a Resettlement ActionPlan (RAP) for any scheme that may result in physical resettlement and economic displacement.

Approach to the Preparation of a Resettlement Action Plan for PASIDP

SECAP (2014) contains a guidance statement on Physical and Economic Resettlement (GuidanceStatement 13). The preparation of RAPs that may be required for any PASIDP-II scheme should takedirection from the principles of free prior and informed consent and “do no harm”. IFAD’s LandPolicy requires involuntary resettlement to be avoided wherever possible. IFAD’s Land Policyspecifies that “while working on ‘doing good’, IFAD will adhere to a ‘do no harm’ principle at alltimes, so as to minimize physical and potential economic impacts”. The policy requires all viablealternative project designs to be explored in order to address risks of physical and economicdisplacement, and it also stipulates the need to restore livelihoods to improve the standards of livingof affected persons. The approach and level of measures taken should be proportional to the range ofIFAD’s operations.The RAP should also align itself with the RPF documents prepared for AGP-II in order to beconsistent in methodologies and procedures contained in ESMFs developed within the agriculturalsector at Federal, as well as at Regional, Woreda and Kebele levels. Therefore guidance should besought from the World Bank’s OP 4.12 on Involuntary Resettlement which sets out the framework forcompensation and resettlement requirements and IFC’s Handbook for Preparing a ResettlementAction Plan (IFC/WB April 2002). The principles of Involuntary Resettlement as stipulated in thesedocuments are primarily that:

Involuntary resettlement should be avoided where feasible, or minimized, exploring all viablealternative project designs;

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Where it is not feasible to avoid resettlement, resettlement activities should be conceived andexecuted as sustainable development programs, providing sufficient investment resources toenable the persons displaced by the project to share in project benefits.

Displaced persons should be meaningfully consulted and should have opportunities toparticipate in planning and implementing resettlement programs.

Displaced persons should be assisted in their efforts to improve their livelihoods andstandards of living or at least to restore them, in real terms, to pre-displacement levels or tolevels prevailing prior to the beginning of project implementation, whichever is higher.

The objectives33 of the RAP will be to:

To avoid, and when avoidance is not possible, minimize displacement by exploringalternative project designs;

To avoid forced eviction; To anticipate and avoid, or where avoidance is not possible, minimize adverse social and

economic impacts from land acquisition or restrictions on land use by (i) providingcompensation for loss of assets at replacement cost and (ii) ensuring that resettlementactivities are implemented with appropriate disclosure of information, consultation, and theinformed participation of those affected;

To improve, or restore, the livelihoods and standards of living of displaced persons; To improve living conditions among physically displaced persons through the provision of

adequate housing with security of tenure at resettlement sites.

Steps for RAP Preparation

The general steps in preparing a RAP are as follows:

1. Initial Meetings / Consultations

Meetings will be held with the PASIDP PCMU in order discuss the approach to the RAP, and toobtain relevant information and documentation, as well as to set up meetings with the relevantFederal, Regional and Woreda authorities and arrange the necessary field visits.

Meetings will be held with key sector Federal, Regional, Zonal and Woreda authorities to establishnational/regional processes for compensation and resettlement and procedures for identifying projectaffected people, as well as natural the resources that may be affected (such as water resources,woodlands/forests or national parks).

2. Review of Existing Information

Familiarization with the programme context, components and implementation modalities will be donethrough review of various documentation, such as the Socio Economic studies conducted as part ofthe Feasibility and Design. Maps and drawings will be referred to where available.

3. Legal Framework

A number of policy legal instruments, which govern issues pertaining to compensation andresettlement, will be reviewed. Among the most important is the Constitution of Ethiopia, which hasprovisions regarding land tenure, expropriation, compensation, public consultation, gender andenvironmental issues. The Environmental Policy of Ethiopia (EPE) aims to promote sustainablesocial and economic development through the sound management and use of natural, human-madeand cultural resources and the environment as a whole. Other legal documents pertinent to the RAPare:

The Ethiopian Civil Code; The Federal Rural Land Administration Proclamation No. 89/1997; The Environmental Protection Re-establishment Proclamation No. 295/2002;

33 IFC (2012); IFC Performance Standards: Performance Standard 5 – Land Acquisition and Involuntary Resettlement

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Proclamation on Expropriation of Landholdings for Public Purposes and Payment ofCompensation: Proclamation No. 455/2005

Regulation for the payment of Compensation for property Situated on LandholdingsExpropriated for Public purposes: Regulation No. 135/2007.

In addition, regional proclamations on Rural Land Use and Administration, Environmental Protectionand Agricultural Development will be referred to.

The RAP will explain the requirements of these policies and proclamations in the context of theproject.

4. Differences in GOE and IFAD Approaches to Compensation and Relocation

There are a number of differences between the Ethiopian legal framework for resettlement andcompensation and IFAD’s Guidance Statement for physical and economic resettlement, Land Policyand FPIC requirements. These differences will be described and proposals will be made foraddressing the differences so that both GOE and IFAD requirements are satisfied.

5. Scope of the Compensation and Resettlement

The scope of resettlement will be described in terms of geographical scope, processes foridentification of PAPs, estimated of numbers of households and assets affected, a general descriptionof the total acreage of land affected and types of assets and structures affected; general description ofphysical cultural resources (PCR) or sites of personal value (such as graves and graveyards) andpublic services that may need to be relocated.

6. Screening Checklist

A screening checklist will be developed with the aim of establishing whether the project will:

Reduce access to economic and natural resources, such as land, pasture, water, publicservices;

Result in resettlement of individuals or families; Require the acquisition of land (public, usufruct, temporary or permanent) for its

development; Result in the temporary or permanent loss of perennial or annual crops or fruit trees; Affect household infrastructure such as the main residence, outside toilets, granaries,

kitchens; Affect commercial premises such as shops, coffee houses; Affect institutional premises such as churches, mosques or schools; Affect physical cultural resources; Affect vulnerable people (elderly, poor, orphans, women headed households, widows or

physically challenged).

7. Environmental and Socio Economic Profile of the Programme Regions

In order that the context of the programme is understood, the RAP should present a brief descriptionof the environmental and social setting of the PASIDP regions. The bio-physical baseline couldinclude topics such as topography, climate, soils, water resources, forests, wetlands, national parks,flora and fauna. The social baseline should describe, among other things, household characteristics,poverty levels, health status/nutrition levels and economic activities. This information can be availedfrom socio-economic and environmental and social impact assessment studies carried out during thefeasibility and design phases.

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8. Consultations

With Regional, Zonal, Woreda and Kebele Authorities

A second round of consultations with the regional, zonal, woreda and kebele authorities will berequired to:

Confirm their commitment (written, signed and stamped) from the local authorities for theentire resettlement and compensation process, and to inform the public accordingly;

Confirm that the kebele authorities will assist in the identification of PAPs, and in confirmingthe eligibility of listed PAPs;

Agree on the “cut off” date for compensation, for example if it should be set as the startingdate of the PAP survey;

Specify the responsibilities of the kebele and woreda authorities regarding the monitoring ofthe compensation and resettlement process;

Establish the mechanisms for redress of grievances that will be most appropriate for theaffected communities; and

Identify existing social networks and social support systems that can help persons affected bythe project, and ways in which support can be provided.

Minutes and details from the consultations with the local administrations and the PAPs will berecorded.

With Communities

These meetings will focus on issues such as land acquisition, compensation, entitlement, institutionalarrangements for implementing and monitoring the RAPs, grievance redress mechanisms. Themeeting will also establish how the communities can be involved in the RAPs at all stages – fromPAP identification, surveys, valuation, entitlements, implementation, monitoring and evaluation. Ofimportance is the need to inform the PAPs of the cut-off date.

9. Grievance Redress Mechanisms

Based on discussions and consultations, the RAP will develop a grievance redress mechanismindicating the ways in which grievances can be registered, and processes, timescales and stages forresponses, redress and appeal.

10. Cutoff Date

The RAP will develop a methodology for determining the cut off date. This is the date beyond whichpersons occupying the project area are not eligible for compensation and/or resettlement assistance.

Similarly, fixed assets (such as built structures, crops, fruit trees, and woodlots) established after thecut off date will not be compensated. The cut off date is determined in consultation with localauthorities, and is usually the date of completion of the census and assets inventory, or any othermutually agreed date.

11. Eligibility Criteria

Eligibility criteria will be defined in order to identify PAPs and affected structures and assets. Thiswill be based on Ethiopian laws, but will also take into account those with no formal legal rights overtheir land holdings, in accordance with IFAD and other development partner requirements.

12. Entitlement Matrix

An Entitlement Matrix will be prepared indicating the types of impacts on agricultural land,commercial land, residential land, buildings and structures, standing crops, trees, and temporary

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acquisition of land, types of persons affected, and to establish types of compensation, entitlements andbenefits that will be accorded.

13. Land and Asset Surveys

The RAP will assess and inventories land and property/assets affected by the proposed schemes. Aland/property assessment form will be developed for use during the survey, and may includeinformation such as:

Location of the affected plot/house/structure; Category of the land (public/private/institutional); Property characteristics (types of structures affected, quality of structure, type of construction,

roof type); Measurements of the structure/compound, and value of affected area; Occupancy details (tenant/squatter/owner); Affected area under cultivation (crop type, area under cultivation); Affected area not under cultivation (current land use, area affected); and Affected trees.

In addition, sites for the relocation of the PAPs will be identified together with the kebele authorities,should this be necessary.

14. PAP Socio Economic Survey

The RAP will develop detailed baseline surveys for each project affected person/household.Information that will need to be collected for the PAP survey will include:

Personal data (name/age/sex of respondent, residency, occupation, ethnic group, religion); Household composition and education levels (number of adult men and women, boys and

girls, education levels of each); Household activities and income (main source of income, other income sources, bartering); Household expenditure (amount spent on basic goods); Health status (main illnesses suffered); Relocation options (extent of affectation, current use of property/land, preferred options for

resettlement, preferred time for relocation, types of assistance required, other support needs,perceived problems during and after relocation).

15. Valuation Methodology

The RAP will describe methodologies used for valuing affected structures, assets, crops and trees.Where land is to be acquired, methodologies for valuation and compensation in kind or cash will bedescribed. The rate of compensation for lost assets must be calculated at full replacement cost, ie. themarket value of the assets plus transaction costs. Other infrastructure that may be affected includeswater pipelines, power lines, fences, hedges, which must also be considered in the valuationmethodology.

16. Compensation and Resettlement Measures

Based on the entitlements and valuation methodology, the RAP will determine compensation paymentand resettlement processes. Cultural preferences will be borne in mind. There is also need to addressthe treatment of vulnerable groups, such as living below the poverty line, the landless, the elderly,women and children, indigenous peoples, ethnic minorities, or other displaced persons who may notbe protected through national land compensation legislation.

The RAP will develop detailed livelihood restoration plans for severely affected PAPs.

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The RAP will also stress that, in accordance with IFAD policies, programme activities can only beginonce compensation has been fully paid and resettlement completed.

17. Site Selection, Site Preparation and Relocation

The RAP will describe the process for identification and preparation of relocation sites, and willdescribe the institutional and technical arrangements for identifying and preparing relocation sites toensure that these sites selected are comparable to those that have been lost. It will present an outlineof procedures for physical relocation, including the timetables for site preparation and transfer.

18. Housing Infrastructure and Social Services

The RAP will describe the process of providing housing for resettled persons, and their access toinfrastructure and social services, and any assistance required by the PAPs for accessing theseservices.

19. Environmental Protection and Management

There may be environmental impacts as a result of any resettlement. The RAP will propose means toassess the impact of the relocation process on the bio-physical and social environment. The roles ofthe different stakeholders, and specifically of the displaced and host communities will be specified interms of environmental protection.

20. RAP Implementation and Schedule

The RAP will describe the institutional framework for the implementation of the RAP. It will alsodescribe the various implementation activities that must be undertaken by the RAP. The RAPimplementation schedule should be sensitive to seasonal and cultural demands of the affected personsand communities (eg. rainy season, planting and harvest seasons, lent).

21. Budget for RAP Implementation

The RAP will determine the cost of compensation and relocation activities and activities related toother forms of assistance as may be required. This will include allowances for inflation, and willindicate sources of funds, and flow of funds.

22. Monitoring and Evaluation

Procedures for internal monitoring - which will include tracking of the RAPs - will be developed.Monitoring indicators should be specified so that progress of the RAPs can be evaluated.

The RAP will also propose how impact monitoring should be done to assess the effectiveness of theRAP and its implementation with respect to meeting the needs of the PAPs and in terms of, forexample, appropriateness of the relocation sites, practicality of the implementation schedule; theeffectiveness of grievance mechanisms and mechanisms for assisting vulnerable groups.

23. Disclosure of the Resettlement Action Plan

The RAP will be made available to the regions, woredas and kebeles so that the affected communitiesmay comment or seek clarification on any issues of concern prior to preparation of individual RAPswhere these may be required. Interested or affected parties may therefore submit their comments,verbally or in writing, to the kebele or woreda councils. The RAP will also be disclosed on the IFADwebsite as required by IFAD’s Disclosure Policy.

Abbreviated RAP Process for Small Numbers of Displaced Persons

In order to simply the preparation of a RAP where 10 or less households will be economically orphysically affected by the project, the following steps can be followed:

1. Carry out a census survey to identify the potentially affected people, giving the number ofpeople and households affected. The number of affected people should be limited as much aspossible through adjustment of project design, investments or activities.

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2. Inform the potentially affected households (both men and women members) on projectactivities, discuss how they may affect them, and what the consultation and negotiationprocess will be to reach an agreement on their resettlement/compensation. Explain to thepotentially affected households the grievance procedures if they have any concerns about theprocess.

3. Identify any vulnerable persons within this group in order to be able to accord them specialconsideration.

4. Set a well-defined cut-off date after which claims for eligibility to be included in theresettlement process will not be entertained.

5. Verify, through the Kebele administrations, that the identified affected people are eligible tobe included in the resettlement / compensation process.

6. Document the socio-economic status of the affected people including the value/assessmentof their assets and other sources of livelihood that will be affected or lost.

7. Describe the various compensation options to be offered to each person/household to beresettled (entitlement options), and document agreement by men as well as women householdmembers on preferred options for each person/household, providing the cost of that optionand applying the principle that no one must be left worse off and should preferably be leftbetter off. Involve the whole community and households in the decisions of such agreed uponcompensation.

8. Document agreement on other resettlement or compensation assistance to be provided asrequested by the affected persons, including their preferred choices.

9. Physically displaced or economically affected people should preferably be resettled orcompensated for loss of land or livelihoods within their own communities or villages, so thatthe upheavals caused by resettlement are minimised. If this is not the case, then consult withthe host communities for the provision of land and social services for the resettled persons,and ensure that support is provided to them accordingly.

10. Describe the institutional roles and responsibilities for implementation of the resettlement /compensation plan including involvement of Kebele administrations and NGOs inmonitoring the plan.

11. Provide a clear timetable and budget for the resettlement / compensation activities and atimeframe for the entire process. The timetable must ensure timely compensation/resettlementand must include measures for monitoring the implementation of the process and forassessing the impact of the resettlement / compensation measures.

12. Present the draft resettlement and compensation action plan to the affected person/householdsand document their (men as well as women) agreement to it based on the previous agreementsachieved under point 7 and 8. Discuss early measures that will help the affected people toprepare for their resettlement or compensation for their loss of lands and livelihoods. Makefinal revisions to the plan if needed.

13. Present the final RAP to the affected person/households and document their (men as well aswomen) agreement to it based on the previous agreements achieved under points 7, 8 and 12.

14. Implement early measures as required, prior to resettlement and compensation.15. Monitor the implementation of the resettlement and compensation arrangements and assess

their impact after an appropriate period of time and on a regular basis during the duration ofthe project.

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Environmental and Social Management Procedures for PASIDP-II

Overview

For reasons of maintaining consistency in developing and implementing ESMFs within the MOANR,the environmental and social management procedures for PASIDP-II closely follow those developedby AGP-II and SLMP-II.

Projects are identified by the local communities and submitted to the Kebele Development Agents(DAs) and Kebele Technical Teams (KTT) for consideration. The DAs and KTTs take the projectthrough a first screening process to establish the schemes’ eligibility for funding under PASIDP-IIbased on a set of eligibility criteria. If the project clears this stage, it then proceeds to the Woredalevel for further screening, where the need for additional precautionary measures, further studies, andextent of environmental and social investigation is determined. At this point impact rating is done,and the project is categorised as Category A (requiring an ESIA) or Category B (requiring an ESMP).ESIAs and more complex ESMPs (Category B projects that raise some concerns as determined by thescreening criteria) will be prepared by consultants, while for projects with no issues of concern,ESMPs can be prepared by the Woreda PASIDP Coordination Team. Approvals for ESIAs andcomplex ESMPs will be done by Regional (or in the case of Oromiya and SNNP Regions, Zonal)BOEPLAUs but other ESMPs will be approved by the Woreda Office of EPLAUA.

Programme Coordination and Implementation

The management, coordination and implementation of PASIDP-II will involve various governmentinstitutions and partners as well as private entities that will play different roles at various levels foreffective delivery of the Programme to the intended beneficiaries. The process will be governed byfour main principles: a) alignment with GOE systems and procedures, especially those governingpublic expenditure management and procurement, and integration of Programme implementation intorelevant institutions in decentralized government structure; b) greater empowerment of beneficiariesto take lead role through their grassroots institutions in Programme implementation; c) cooperationwith private agricultural service providers and various players in priority commodity value chains;and d) stronger partnerships and harmonization with other development partners and otherstakeholders in the sector. The implementation arrangement for all PASIDP-II components will beprovided in a detailed Programme Implementation Manual (PIM).

Federal Level

The Ministry of Agriculture and Natural Resources (MOANR) will be the lead executing agency forPASIDP-II. The Minister of State for Agriculture and Natural Resources will be responsible forcoordinating implementation with support from the Directorate of Small Scale Irrigation. The FederalProgramme Coordination Management Unit (FPCMU) established during the first phase of theProgramme will continue to provide day to day management and supervision of PASIDP-II. TheFPCMU will be under the leadership of a National Programme Coordinator who would report to theMinister of State for Agriculture and Natural Resources. An Environmental Safeguards Specialist, aSocial Safeguards Specialist and a Climate Specialist will be recruited within the FPCMU, and willreport directly to National Programme Coordinator. The Federal Environmental and SocialSafeguards Specialists will primarily be responsible for ensuring that the processes stipulated in theESMF are followed, with support from the Climate Specialist. Together they will ensure thatProgramme activities are in compliance with GOE environmental, social and climate-related policies,proclamations and directives as well as IFAD’s safeguards requirements.At the Federal level, the Federal Programme Steering Committee (FPSC) established during PASIDPwill continue to provide oversight with regard to policy and strategic guidance on Programme focus,priority setting and institutional strengthening to ensure that PASIDP-II achieves its developmentobjective and contributes to the higher level sector policy and strategic goals under GTP II. Thecurrent NPSC membership will be revised to include other State Ministers from key ministries, suchas the Ministry of Water, Irrigation and Energy, the Ministry of Marketing and Trade and Ministry of

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Environment and Forestry. Consideration will also be given to the inclusion of senior executives fromrelevant institutions, including the Federal Cooperative Agency (FCA), Ethiopia AgriculturalResearch Institute (EARI), and others as deemed necessary. The committee will be chaired by theState Minister of Agriculture and Natural Resources. A PASIDP multi-sectoral Federal TechnicalCommittee (FPTC) will also be established in order to provide technical backstopping andsupervision, and provide technical advice to the FPSC.

Regional Level

At the Regional level, the Programme will continue to be managed by the respective Regionalgovernments with the Heads of the Bureaux of Agriculture and Natural Resources providing overallleadership. The Regional level coordination and management structure under PASIDP will bestrengthened to ensure that the Regions have adequate capacity to implement PASIDP-II inaccordance with the overall strategic priorities and contribute to the achievement of Programmeobjectives. The existing Regional Programme Steering Committees (RPSCs), chaired by therespective Heads of Bureaux of Agriculture and Natural Resources, will be expanded to includeHeads of the relevant Bureaux and other representatives from market and trade, cooperative agency,Environmental Protection, Land Administration and Use Agencies (BOEPLAU), AgriculturalResearch Institutes, etc. As at the Federal level, Regional Programme Coordination and ManagementUnits (RPCMUs) will be responsible for the day to day management of the Programme. RegionalTechnical Committees (RPTCs) will be established to provide technical advice to the RPSCs, andbackstopping and technical supervision at the regional level. Regional Social and EnvironmentalSafeguards (SES) Specialists (1 specialist per region) will be based within the RPCMUs. They will beresponsible for preparing ESIAs and ESMPs (the latter for projects that may have issues of concernbut do not fall into Category A), ensuring that the processes stipulated in the ESMFs are followed.They may seek assistance from the Federal Environmental and Social Safeguards Specialists inpreparing the ESIAs, or may hire consultants to do this, particularly where projects fall underCategory A. The ESIAs and ESMPs are then submitted to the BOEPLAU for approval/clearance.They will also monitor compliance of Programme activities in accordance with the ESMPs that areprepared as part of the ESIA documents.

Zonal Level

In Amhara and Tigray Regions, the Zonal administrations form a communication link betweenRegional level and Woreda level, particularly in administrative terms. However in Oromiya andSNNP Regions, the Zones are autonomous and the Zonal authorities have much greater roles andresponsibilities in terms of administering their duties, coordination and monitoring sectoral activities.Thus at the Zonal level, the Zonal Technical Team (ZTT) will coordinate the required technicalsupport, capacity building activities, experience sharing, and provide the link between Woredas andRPCMUs. They will be responsible for preparing ESIAs and ESMPs (for projects that may haveissues of concern but do not fall under Category A), ensuring that the processes stipulated in theESMFs are followed. They may seek assistance from the Regional ESC Safeguards Specialists, orwhere a project is classified as Category A, they may hire consultants to do this. The ESIAs andESMPs are then submitted to the Zonal BOEPLAU for review, and to the Regional BOPLAU forapproval/clearance. The Zonal EPLAU will also monitor compliance of Programme activities inaccordance with the ESMPs that are prepared as part of the ESIA documents.

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Woreda Level

At the Woreda level, a Woreda PASIDP Focal Person (FP) will work with a team of three to fourDevelopment Agents to oversee Programme activity implementation. The skill mix of theDevelopment Agents will depend on priority interventions in a given Woreda. The Woreda FP, theWoreda Environmental Expert and Woreda Level Technical Team (WLTT) will together carry outfurther screening to determine whether there are environmental or social issues of concern and theirsignificance (Tier 2 Screening). ESMPs for projects with no significant environmental or social issuesof concern (usually Category B projects) are prepared by the Woreda Natural Resources ManagementDA or by consultants, and will be submitted to the Office of the Woreda EPLAUA forapproval/clearance. The Woreda Natural Resources Officer will supervise the implementation ofESMPs. However, the responsibility for monitoring the implementation of the ESMPs at this levelwill be done by the Office of EPLAUA, in conjunction with the Woreda Agriculture and NaturalResources Office.

In addition, where issues of compensation and resettlement arise, the Woreda Compensation andResettlement Committees will ensure the implementation of the RAPs in line with national and IFAD(and other development partner) requirements. They will also monitor the status of PAPs after RAPimplementation is completed.

Kebele Level

The Kebele Natural Resources Development Agents and the Kebele Technical Teams (KTTs) will beresponsible for initial environmental and social screening to establish the eligibility of the schemes forfunding under PASIDP-II (Tier 1 Eligibility Screening). They will also be responsible for theimplementation of the ESMF. The Kebele Natural Resources Management Development Agent willbe responsible for ensuring that ESMF processes are followed and that ESMPs are implemented onthe ground.

The Kebele FP, KTT and Kebele Administration will be responsible for ensuring that theCompensation and Resettlement Committees at kebele level are implementing the RAPs in line withnational and IFAD requirements, and for monitoring the compensation and resettlement process.

In addition, Physical Cultural Resources Committees at kebele level will be responsible for dealingwith any chance finds that may occur during scheme construction in line with national requirements,again under the supervision of the Kebele FPs and KTTs.

Scheme Level

At the scheme level, the Programme will work with three key grassroots institutions each with adistinctive role but their roles wills be correlated to ensure the effective attainment of the setobjectives. These organizations, where they do not already exist, will be formed, recognized andenabled to perform their mandates through various legal proclamations, policy instruments, strategiesand guidelines. The first of such organisations are the IWUAs. IWUAs will be supported variously todevelop and implement the ESMPs, as well as business plans that will include collection of fees frommembers that would be used for routine operation and maintenance (O&M) and longer-terminvestments to keep the irrigation schemes operating efficiently. They will actively participate in theentire process of scheme establishment. The second are the multi-purpose cooperatives. These willlargely perform as the ‘commercial arms’ of the smallholder farmers with responsibility of availinginputs to the farmers and helping farmers to market their surplus produce in a more organised manner.The last of such organisations are the watershed management teams; these will play a pivotal role inimproving land and water management through watershed/catchment rehabilitation and managementactivities.

ESMF Process

Screening

Tier 1 Screening - Eligibility

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When a potential irrigation scheme is first proposed by a community, it will be screened at the Kebelelevel by Development Agent and the Kebele Development Committee. The purpose of eligibilityscreening (Tier 1 Screening) is to determine whether there is a possibility that the identified projectwill be funded through PASIDP-II, bearing in mind SECAP screening criteria. For this purpose, anEligibility Checklist needs to be completed. This checklist is presented below:

TABLE 37: TIER 1 SCREENING: ELIGIBILITY CHECKLIST

Will the Project/Scheme result in or involve: YES NO

Loss of critical natural habitats, biodiversity and/orenvironmental services provided by a natural ecosystem –for example natural primary forests or significant areas ofwetlands

Surface-water or groundwater-based development whereit is believed that significant depletion due to climatechange or overutilization has occurred

Risk of destruction and pollution as a result ofclimatic/geophysical hazards (storms, flooding, landslides,earthquakes)

Conversion and loss of important nationally recognisedphysical cultural resources or a World Heritage Site

Significant social adverse impacts on indigenous groups

High probability to have physical resettlement oreconomic displacement - ie more than 5034 householdsare displaced

Development of a large-scale irrigation schemes

>3000 ha

If the answer to the above is “YES” in one or more instances, then the project will be rejected, unlessthe issues triggering these concerns are avoided through alterations in design or location. If all theanswers are “NO”, then the project can proceed to the next step, and the project is submitted to theWoreda Implementing Agencies (IAs) such as the Office of Agriculture, Natural Resources, RuralDevelopment and/or Water and Irrigation, for further screening.

Tier 2 Screening for Environmental and Social Concerns

The purpose of Tier 2 Screening is to identify whether further precautions, mitigation measures, orstudies are required in order that adverse impacts from the proposed project can be avoided ormitigated. As mentioned above, screening will be done by the Woreda PASIDP Coordination Team.

The Tier 2 Screening Checklist is presented in Table 7 below. If the project triggers any of thecriteria, then it is considered to be a project of environmental or social concern and additionalsafeguards documentation may be required depending on the significance of the issues.

34 Derived from WB and AfDB guidelines that projects affecting >200 people are categorised as Category 1 / Category A,requiring greater attention to, and management of, the compensation and resettlement process.

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TABLE 38: TIER 2 SCREENING: ENVIRONMENTAL, SOCIAL AND CLIMATE ISSUES CHECKLIST

CRITERIA

Will the Project:

NO YES IF YES, ADDITIONAL SAFEGUARDSDOCUMENTATION AND MEASURESREQUIRED

Require the acquisition of land, loss ofassets, structures, trees, crops, andaccess to assets

RAP to be prepared and implemented. FPIC to be sought. Livelihood restoration plan to be prepared

and implemented.Affect physical cultural resourcesother than nationally or internationallyrecognised sites of importance – eg.religious sites, graveyards and graves

ESIA or ESMP to include chance findsprocedures, recommending actions to betaken in the event of a PCR find,including restoration and protection ifnecessary.

Hinder or prevent access to livestockgrazing areas or watering points

ESIA or ESMP to recommend specificlocations to allow access to grazing areasand watering points.

FPIC to be sought.Require the use of agrochemicals(fertilizers, herbicides, pesticides, etc)

Pesticide Management Plan to bedeveloped and implemented.

Be located adjacent to, or within, 2km of protected areas (eg. nationalparks, wildlife/nature reserves,biosphere reserves, priority forests,national or community forests),dispersal areas and buffer zones

Biodiversity Action Plan appropriate tothe scale of expected impact to beprepared and implemented.

Be located in an area that is highlyeroded, or is susceptible to severeerosion

Integrated Soil Conservation and NutrientManagement Plan to be developed andimplemented

Involve construction/rehabilitation inhazard-prone areas, ie. areas mostvulnerable to climate change andvariability

Conduct climate risk analysis and proposeappropriate resilience measures.

Large-scale dam/reservoirconstruction (more than 15m high, or5-15 m high with a reservoirexceeding 3 million cubic metres)

Full ESIA required, and should includedetermination of environmental flow, dambreak analysis and emergency responseplan.

RAP to be prepared and implemented. FPIC to be sought. Livelihood restoration plan to be prepared

and implemented.Drainage (eg of wetlands), diversionor training of natural water bodies (eg.dykes, river training)

ESIA/ESMP to analyse and addressdownstream and upstream impacts,including environmental flow.

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Preliminary Significance Rating of Impacts

In order to determine the significance of impacts, the likelihood of an impact occurring is consideredagainst the consequence or magnitude of the impact if it was to occur. Likelihood is defined as thefrequency of an impact occurring. The definitions of consequence are presented in Table 8 below:

TABLE 39: DEFINITIONS OF CONSEQUENCE

Consequence Definition

No Impact / No change No impacts on biophysical and social environments /livelihood / health / gender

No public concerns No legal issues

Negligible Low/minor impact on environment / livelihood / health /gender

Minor social impacts No legal issues

Intermediate Some level of impact on environment / livelihood / health /gender

Social issues apparent May have legal implications

Severe High level impacts on environment / livelihood / health /gender

High public concerns or perceptions Legal non- compliance

Unknown Extent of the impact cannot be determined at this point Apply precautionary principle

Thus the chart below can assist to make a quick visual assessment of the significance of particularimpacts, as well as the intervention as a whole.

LikelihoodConsequence

No Impact/Nochange

Negligible Intermediate/Moderate

Severe

Unlikely

Possible / less than annually

Occasional / at least annually

Frequent / at least monthly

Continuous, inevitable, daily

Irreversible

Legend:

Rating

Low significance

Medium significance

High significance

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Screening and Rating Forms are contained in Annexes 2 and 3, respectively.

Regardless of significance, in all cases where an adverse impact may occur, mitigation measuresshould be proposed. In most cases, it is possible to incorporate mitigation measures into the design,so designs may have to be changed/altered to allow for this.

Projects that have impacts of low to medium significance will appear as mainly green and orange inthe Impact Rating Form (see Annex 3). These require ESMPs to be prepared. In some cases where animpact of high significance occurs, the development of appropriate plans may suffice to manage theseverity of the impacts. For example if a project necessitates the resettlement of than 40 households,this is a severe impact and irreversible, and consequently has high significance. But by preparing andimplementing a Resettlement Action Plan in a timely, efficient and fair manner, the severity of theimpact can be mitigated. Similarly all the irrigation schemes will use pesticides or agrochemicals; butby preparing and ensuring the proper implementation of a Pesticide Management Plan, the impacts ofpesticide use can be mitigated.

However, if there are several impacts having high significance, and it is deemed that the nature ofthese impacts are more complex – the rating checklist appears predominantly red - and thereforerequire detailed additional analysis, then an ESIA should be prepared (Category A or “High”Category B projects).

Environmental, Social and Climate Safeguards Documentation

The basic purpose/requirements of various safeguards instruments are described below.

Environmental and Social Impact Assessment (ESIA)

An ESIA enables both environmental, climate change and social issues to be taken into accountduring all stages of project design and implementation. It identifies, predicts, evaluates andcommunicates the potential environmental, climate, and social impacts and risks of projects in asystematic and objective way. It also recommends appropriate preventive actions and mitigatingmeasures, and maximizes environmental opportunities where possible.

The ESIA Report must cover, among others:

Administrative and institutional arrangements required for environmentally soundimplementation of the environmental management, applicable national and internationalenvironmental legal and policy frameworks and their relevance to the project;

A detailed description of the proposed project components, as well as all ancillary worksincluding location, technologies to be used, materials and their quantities, construction period,etc ;

A detailed description the biophysical and socio-economic baseline conditions, bearing inmind that these provide the basis for impact analysis and monitoring;

A description of other ongoing or planned developments in the project area that could havecumulative or synergistic effects on the project outcome;

Outcome of stakeholder consultations and public participation; Identification and analysis of potential adverse and beneficial impacts; Analysis of alternatives, including project sites, access options, technologies, construction

methodologies, etc, and a ‘no project’ alternative; Preventative, mitigation and enhancement measures; Environmental and social management plan (ESMP), which includes climate risk resilience

proposals; Monitoring and auditing requirements and procedures; Costs for environmental and social management and monitoring.

As ESIAs and ESMPs are done in tandem with design development, it is important that:

Stakeholder concerns – particularly those of the communities and project affected persons -are addressed in the ESMPs, and if they are not, reasons for doing so should be explained;

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Stakeholder concerns should be communicated to the design team; The design takes into consideration stakeholder concerns; and The project design should be presented to the communities.

The ESIAs are prepared by Regional ESC Safeguards Specialist at the RPCMU, who may requestassistance from the Regional Watershed Management Specialist, consultants, or from relevantRegional Bureau (eg. Water and Irrigation, Community Development).

Reference should be made to EPA’s EIA Guideline Document (2000), EIA Procedural Guideline(2003) and Environmental Assessment Reporting Guide (2004). SECAP provides a model terms ofreference for undertaking ESIAs, and recommends a format for the ESIA Report. Annex 4 provides achecklist of key issues by chapters that should be addressed/considered in the preparation of an ESIA.

Environmental and Social Management Plan (ESMP)

For projects that have no major environmental and social issues, and usually those that are categorisedas “Low” Category B, an environmental and social management plan is required to be prepared. Thisdocument is similar in content to an ESIA report, but does not require detailed baseline studies to beconducted, and the level of analysis of impacts is less rigorous. However, an ESMP must, at aminimum, contain:

A detailed description of the project components; A baseline which focuses on baseline information required for the analysis of impacts and

also for the purposes of monitoring; An analysis of positive and negative environmental, social and climate-related impacts; Mitigation measures for negative impacts; Details on the implementation of mitigation measures, including at what stage/when they

should be incorporated, responsibilities for implementing mitigation, cost of mitigation; Details on monitoring requirements, including responsibilities for monitoring during

construction and operation, monitoring indicators, monitoring baseline, frequency and meansof monitoring, costs of monitoring.

The environmental and social management plans are prepared by the Woreda PASIDP Team. If theproject is a more complex Category B project, it may be that the team does not have the capacity to dothis, in which case they may hire a consultant to prepare the ESMP. The Woreda PASIDP Team mayseek assistance from the Regional ESC Safeguards Specialist in the preparation of the ESMP, andguidance from the Woreda EPLAUA.

Again, stakeholder concerns must be addressed in the ESMPs, and the project design should bepresented to the communities.

The EPA Guidelines on the Preparation of ESMPs as well as SECAP’s ESMP formats should beclosely followed.

Pesticide Management Plan (PMP)

Agrochemicals (mainly fertilizers and pesticides) may be necessary to achieve higher yields, but theymust be carefully applied as they have various adverse environmental and social impacts as noted inSection 7.3 above. In order to properly manage the use of pesticides, a Pesticide Management Plan(PMP) must be prepared. The PMP should evaluate the impact of potential pests prior to programmeimplementation, identify the type of pests and assess the magnitude of impacts likely to be caused bythose pests. In assessing the hazards of pesticide use, the toxicity of the pesticide and exposure to itare key elements. Therefore as a minimum, the PMP should:

Screen the types of pesticides for toxicity by ensuring: they are effective against the targetspecies, have negligible adverse impacts on human health and non-target species, will notprecipitate resistance in pests, and do not fall into WHO class 1A or 1B;

Aim to reduce exposure time or degree of exposure. Propose alternative non-pesticide management options (physical, mechanical and

biochemical), as well as any available less toxic varieties of the pesticides.

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The PMP may be developed as part of the ESIA or ESMP or it can be a stand-alone document. TheRegional ESC Safeguards Specialist in the RPCMU should be responsible for preparing the PMP,which can then be fine-tuned by the Woreda PASIDP Team as required and appropriate to the typesof agrochemicals used in the schemes within the woredas.

In developing the PMP, reference should be made to the Pesticide Registration and ControlProclamation: Proclamation No. 674/2010, EPA’s Guidelines on Crop Production, SECAP’sGuidance Statement #2, the World Bank’s OP 4.09 Pest Management, and IFC’s EHS Guidelines onCrop Production (revised 2015).

Guidelines for the development of a Pesticide Management Plan

Dam Safety Plan

The overarching dam safety objective is to protect people, property and the environment from theharmful effects of mis-operation or failure of dams and reservoirs. To ensure that dams and reservoirsare operated and that activities are conducted so as to achieve the highest standards of safety that canreasonably be achieved, measures have to be taken to achieve the following three fundamental safetyobjectives:

to control the release of damaging discharges downstream of the small dam; to restrict the likelihood of events that might lead to a loss of control over the stored volume

and the spillway and other discharges; to mitigate through onsite accident management and/or emergency planning the consequences

of such events if they were to occur.The three major factors that trigger small dams to fail in Ethiopia are:

Sedimentation behind dam (sediments deposited clog outlet and intake structures); Seepage loss through foundation and embankment; and Low catchment yield and low volume of stored water in dams.

These situations come about as a result of inadequate design (hydrological, geotechnical, hydraulic);very limited site investigations and consequently poor understanding of site conditions; substandardembankment placement methods (eg. soil compaction methods); lack of watershed managementpractices; and inadequate maintenance or inspection frequencies are inadequate.

To avoid or minimize the occurrence of dam failure, the dam owner (in this case PASIDP/MOANR)has the responsibility to inspect dam safety aspects periodically during all phases of the dam design,construction, and operation and maintenance. Key considerations are:

Dam hazard classification – which is assessed depending on the probable loss of human lifeand economic and environmental losses.

Dam site investigations:o Selection of dam site so that in the event of failure there will be minimal impact;o technical considerations such as catchment, topography, embankment conditions and

foundation, spillway locations, and watershed activities;o environmental considerations including reservoir slope stability, seismic activity,

groundwater changes, sediment trapping, impacts on flora and fauna upstream anddownstream, the need to maintain an environmental flow, and social demandsdownstream;

Dam design – taking into account potential for overtopping of the embankment; potential forextreme events such as earthquakes or unprecedented high flows; sedimentation rates.

Dam construction – the need for qualified and experience contractors and supervisors;meticulous design review;

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Safety surveillance – surveillance programme specifying regular and frequent inspections,checklists of factors to be inspected; special inspections; problem solving; andinstrumentation and monitoring.

Operation and maintenance - effective and ongoing operation, maintenance and surveillanceprocedures; maintenance systems.

Guidelines for Small Dams Safety are presented in Annex 7.

Resettlement Action Plan (RAP)

Where involuntary physical displacement (relocation or loss of shelter) and economic displacement(loss of assets or access to assets that leads to loss of income sources or other means of livelihood)occur as a result of a project-related land acquisition and/or restrictions on land use or access toresources, a resettlement action plan must be prepared. The approach to a project should first be to dono harm, and adhere to the principle of free, prior and informed consent – that is to first avoid, thenminimise displacement. But this may not always be possible. Therefore the RAP aims to ensure thatall persons affected by the project are treated equitably, and are compensated fully and fairly for lostassets, and that the mitigation of adverse effects as well as the benefits of resettlement are appropriateand sustainable. The RAP must identify the full range of people affected by the project and justifytheir displacement after consideration of alternatives that would minimize or avoid displacement. Allpeople affected by involuntary resettlement should be consulted and involved in resettlementplanning. The RAP establishes eligibility criteria for affected parties, and rates of compensation forlost assets, as well as levels and types of assistance for relocation and reconstruction of affectedhouseholds. The RAP includes a grievance mechanism through which affected people can raiseconcerns, and it provides guidance on mechanisms for monitoring the performance of the resettlementand compensation program.

Depending on the number of persons or households affected, a full RAP or abbreviated RAP (ARAP)should be prepared by a consultant or by the Woreda PASIDP Team, respectively.

Chapter 9 presents a methodology for the preparation of a full Resettlement Action Plan (RAP) and anabbreviated RAP in the event schemes to be considered under PASIDP-II cause physical resettlementor economic displacement.

In addition, reference should be made to SECAP’s Guidance Statement #13 on Physical andEconomic Resettlement.

Climate Risk Analysis

The climate risk analysis should be undertaken prior to the full design of a project in order to informthe design and decision-making processes.

The purpose of climate risk screening is to determine the exposure of the project to climate-relatedrisks (High, Moderate or Low) based on available information about historic climate hazardoccurrences, current climate trends and future climate change scenarios, as well as to assess thelikelihood of the project increasing the vulnerability of the expected target populations to climatehazards. It provides an opportunity to integrate climate issues into project design and thereforeincrease project resilience and hence sustainability.

TABLE 40: CLIMATE RISK SCREENING

Climate Categorisation Types of Projects

High Risk Projects that promote agricultural activity on marginaland/or highly degraded areas (such as on hillsides,deforested slopes or floodplains).

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Climate Categorisation Types of Projects

Projects that make investments in low-lying coastalareas or glaciated mountain areas.

Projects that establish infrastructure in areas with atrack record of extreme weather events (eg. a cassavaprocessing plant in a landslide-prone area; a dairyplant in a floodplain; a grain storage silo in a zone thatis prone to tropical storms).

Projects in areas in which rural development projectshave experienced weather-related losses and damagesin the past.

Medium Risk Projects that make use of climate-sensitive resources,but do not focus on these resources as a maincommodity (eg. irrigated farming systems, projectswhich have temperature-sensitive crops in a larger,diversified bundle of commodities).

Projects which are investing in infrastructure which isnot directly exposed to extreme weather events, buthas potential to become more resilient through theadoption of green technologies (such as renewableenergy, water efficiency, re-use/recycling of wasteproducts).

Projects which focus on institutional development andcapacity building objectives for rural institutions (suchas farmer groups, cooperatives) in climaticallyheterogeneous areas, where opportunities exist tostrengthen indigenous climate risk managementcapabilities.

Projects which focus on policy dialogue to improveagricultural sector strategies/policies, whereopportunities exist to integrate climate resilienceaspects.

Low Risk These projects generally focus on investments whichdo not have a direct physical or geographical interfacewith climate hazards (such as the development of amicro-finance institution).

Source: IFAD (2014), SECAP

High risk projects are those that are highly vulnerable to climate-related hazards. In this case it isrecommended that an in-depth Climate Risk Analysis as part of design or initial implementation stage,which may include an analysis of GHG emissions. The analysis should recommend practical climaterisk management measures that can be integrated into the project design and implementation phases.

The project which is moderately sensitive to climate risks requires a basic integration of climate issuesto be undertaken during the project design phase. This includes practical adjustments under the projectto reduce losses and damages from climate hazards to the project, and capitalize on opportunities tostrengthen local risk management capacities.

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If a project is not likely to be vulnerable to climate risks, it is categorized as low risk – voluntarymeasures may be incorporated into the detailed design and implementation phases.

Other Environmental and Social Management Plans

Depending on the scale and complexity of the proposed scheme/project and issues that arise, othermanagement plans may need to be developed to ensure environmental protection, community andoccupational health and safety and other risks and hazards. If necessary, these may include:

Traffic Management Plan; Waste Management Plan; Health and Safety Management Plan; Pollution Contingency Plan; Erosion Management Plan; Agrochemicals Management Plan; Emergency Preparedness and Response Plan; Cultural Heritage Management Plan.

Review and Approval of ESMP, ESIA, PMP and RAP

For projects that have no significant environmental or social issues, the ESMPs will be reviewed andapproved/cleared by the Woreda Environmental Protection, Land Administration and Use Agency(EPLAUA) or its equivalent (as different regions have different agencies responsible forenvironmental protection).

ESIAs and ESMPs for projects with issues of concern (high-impact Category B projects) will bereviewed and given clearance by the Regional (or Zonal) Bureaus of Environmental Protection, LandAdministration and Use (BOEPLAU) or the equivalent Bureau dealing with environmental protection.If the ESIAs and ESMPs are prepared by consultants, these will be reviewed by the Regional (orZonal) SES Specialist, and if acceptable, they will be submitted to the BOEPLAU for approval.

PMPs and RAPs will be reviewed by the Regional SES Specialist and then submitted for approval tothe BOEPLAU at Regional Level.

Disclosure of the ESIAs and ESMPs

The schemes selected for PASIDP-II support will have been identified by the local communities in thefirst place, who then put in a written request to the Kebele Development Committee (KDC) forassistance. In developing ESIAs and ESMPs, consultations must be held with all levels: atcommunity, kebele, woreda, and regional levels. During these consultations, the processes fordisclosure of the documents should be communicated. IFAD’s SECAP procedures also require thatsufficient consultations are carried out with key stakeholders (ie. the communities) in order to satisfyits requirements for Free Prior and Informed Consent (FPIC).

Prior to approval of the projects, the ESIAs and ESMPs, Pesticide Management Plans (PMPs) andRAPs where these are required, will be disclosed at regional, woreda and kebele levels at a locationaccessible to the general public, and in a form and language that the communities are able tounderstand, so that they may comment on any aspects/issues contained in the reports prior to theirapproval. The ESIAs, ESMPs, IPMPs and RAPs may therefore have to be updated to reflect thesecomments and indicate how the comments have been accommodated in project design andimplementation procedures. If the comments have not been taken on board, the reason for doing somust be provided.

It is also important that the scheme designs are provided to the woredas and kebeles for comment andapproval.

Grievance Redress Mechanisms

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A grievance redress mechanism (GRM) is a process for receiving, evaluating and addressing project-related concerns of, and complaints by, project affected communities or persons.

The Proclamation on EIA No. 299/2002 provides that any person dissatisfied with the authorisation ormonitoring or any decision of the environmental authority or relevant regional environmental agencymay submit a grievance notice to the authority or regional agency. IFAD’s Grievance RedressMechanism allows affected complainants to have their concerns resolved in a fair and timely mannerthrough an independent process. IFAD’s GRM requires: working proactively with the affected partiesto resolve complaints; ensuring that the complaints procedure is responsive and operates effectively;and maintaining records of all complaints and their resolutions.

The principles of GRM are to35:

Protect beneficiaries/project affected persons and communities’ rights to comment andcomplain;

Ensure neutrality and equity while handling complaints; Ensure grievances are handled in a timely manner; Ensure transparency in the receiving and handling of grievances; Maintain confidentiality with regard to complainants and their grievances; Ensure the GRM is accessible to all people within the project communities as well as other

stakeholders; Establish mutual responsibility between PASIDP-II and complainants to ensure fair, accurate

and responsible behaviour.The key steps for grievance management are36:

i. Publicising grievance management procedures so that the mechanism is accessible toeveryone;

ii. Receiving (ie. collecting, recording and registering) and keeping track of grievances;iii. Reviewing and investigating grievances to assess the nature of the grievance, its severity and

legitimacy;iv. Developing resolution options commensurate with the nature of grievances and preparing and

communicating a clear response, and closing out cases when agreement with the complainantsis reached

v. Monitoring grievances through tracking to ascertain effectiveness, adapting the mechanism tocorrect inefficiencies, using the results of monitoring for feedback and lessons learned.

GRM for PASIDP Projects

The following GRM follows the national grievance processes and closely follows the AGP-IIGrievance Redress Mechanism.

A member of the project community or any project-affected person may lodge a project-relatedcomplaint with the Woreda EPLAUA. The Woreda EPLAUA verifies the complaint – this couldinvolve consultations with other members of the community and carrying out field investigations –after which the Woreda EPLAUA provides a response in a timely and transparent manner (15 days).

If the complainant is not satisfied with the response, they may take their complaint, or be referred to,the Zonal BOEPLAU or to the Woreda court. If the Zonal BOEPLAU or Woreda court is not able toresolve the case, then the matter is referred to the Regional BOEPLAU or to the Zonal court,respectively.

The Regional BOEPLAU deals with cases that are not resolved at Woreda or zonal Level or cases thathave been referred from the Woreda, and also with complaints that emanate from PASIDP projectsthat are implemented by the PASIDP Regional PCMU. The Regional/Zonal BOEPLAU conducts a

35 Adapted from MOA (2015); AGP-II Environmental and Social Management Framework36 IFC (2009); Good Practice Note – Addressing Grievances from Project-Affected Communities, Guidance for Projects andCompanies on Designing Grievance Mechanisms

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full investigation of the complaint, and responds to the community or affected/interested partieswithin 15 days of receiving the complaint.

If the complainant is still not satisfied with the response, the complaint is passed on to the RegionalGovernment, following which it will be forwarded to the Regional Court. If no resolution is arrivedat this point, the case may be referred to the High Court.

FIGURE 14: GRIEVANCE REDRESS MECHANISM

IFAD’s Complaints Procedure

IFAD has recently established a complaints procedure entitled: “IFAD Complaints Procedure forAlleged Non-Compliance with its Social and Environmental Policies and Mandatory Aspects of itsSocial, Environmental and Climate Assessment Procedures” (PB/2014/06). The procedure came intoeffect in January 2015, and provides a means for any person who is not satisfied that an IFADsupported development is complying with IFAD’s social and environmental policies to lodge acomplaint. This can be done by email on [email protected].

Monitoring

Performance Monitoring

Performance monitoring requires that:

The various safeguards instruments (ESIA, ESMP, PMP, RAP) have been prepared to therequired standard, within the required timelines;

The safeguards instruments have been reviewed and approved by the responsible entities; Environmental and social mitigation measures have been/are being implemented and that

mitigation measures are effective; The community is participating in all stages of the environmental and social management and

monitoring processes; Relevant Federal, Regional, Woreda and Kebele level officers have been trained in

accordance with the capacity building proposals; Reports are prepared and delivered as required.

Performance monitoring is done by the IWUAs, WMTs, Kebele DA, Woreda PASIDP Team and thePASIDP RPCMU ESC Safeguards Specialist, overseen by the FPCMU Safeguards Specialist.

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Examples of typical monitoring parameters and indicators are shown in Table 9 below:

TABLE 41: TYPICAL PERFORMANCE MONITORING INDICATORS

Monitoring Parameter MonitoringActivity/Indicators

Target Responsibility forMonitoring

Safeguards Instruments

Approvals andImplementation

% of ESIAs/ESMPsapproved

%. of RAPs whereimplementation completed

% PMPs implemented

100% ESIAs/ESMPsapproved100% RAPscompletedimplementation

100% PMPsimplemented

RPCMU SESSpecialist

Safeguards training No. of Federal, Regional,Woreda and Kebele levelofficers trained

All relevant Federal,Regional, Woreda andKebele level officerstrained

FPCMUEnvironmentalSafeguardsSpecialist

FPCMU SocialSafeguardsSpecialist

Reporting No. of quarterly reportsreceived

No. of annual reportsreceived

4 quarterly reportsreceived

1 annual report received

FPCMUEnvironmentalSafeguardsSpecialist

FPCMU SocialSafeguardsSpecialist RPCMUSES Specialist

Scheme Level Monitoring

Water availability No. of days water notavailable for irrigation

Zero days water notavailable

IWUAs

Abstraction rates As stipulated in SchemeWater Use Permit

IWUAs

Soil erosion No. of gullies formed Zero number of gullies IWUAs, WMTs

No. of erosion controlmeasures functioning

All erosion controlmeasures functioning

IWUAs, WMTs

Soil quality Area of scheme wheresalinization is present andevident

No salinization present IWUAs

Compensation andresettlement

No. of PAPs compensated All eligible PAPscompensated

Woreda TechnicalTeam, Kebele DA

No. of PAPs relocated All PAPs eligible forrelocation are relocated


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Monitoring Parameter MonitoringActivity/Indicators

Target Responsibility forMonitoring

No. ofcompensation/resettlement- related grievancesreceived

Zero complaintsreceived


Results Monitoring

Results monitoring involves monitoring compliance and effectiveness of the safeguards instruments,in order to assess the overall environmental, socio-economic and climate-related impacts of theProgramme’s interventions in relation to its development objectives. Results monitoring will be doneon an annual basis by the RPCMU SES Specialist with support from the FPCMU Environmental andSocial Safeguards Specialists, and IFAD’s Environmental, Social and Climate Safeguards team. Thiswill also contribute to the PASIDP-II Mid Term Review. Results monitoring will be critical inproviding feedback and lessons learned for future PASIDP phases.

Typical parameters for results monitoring are shown in Table 10 below:

TABLE 42: TYPICAL RESULTS MONITORING PARAMETERS

Monitoring Parameter Monitoring Activity/Indicators

Water quality in rivers Water quality at given sites upstream anddownstream of abstraction points alongriver

Agrochemical releases intoirrigation drains/rivers

Water quality at given sample sites alongdrainage network, and point of dischargeto river

Agrochemical concentrations inaquatic fauna

Levels of pollutants from agrochemicalsin fish

Soil quality Nutrient depletion and loss in structure

Agrochemical contamination

Economic activity in project area Changes in agricultural production andmarketing

Socio-economic status Changes in poverty levels

Changes in nutrition status

Changes in employment levels for women,men and youth

Food security Impacts of crop production on foodsecurity in the kebeles

Quarterly and Annual Reviews

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Quarterly and annual reviews will be undertaken by the Regional SES Specialist, under thesupervision of the Federal Environmental and Social Safeguards Specialists. These reviews arenecessary to:

Ensure that projects are complying with the processes established in the ESMF; Ensure that projects are compliant with the conditions and requirements stipulated in ESMPs,

PMPs and RAPs, Identify challenges and opportunities in order to learn lessons and thereby improve

Programme performance; and Be able to determine the cumulative impacts of the Programme to establish attainment of the

Programme Development Objectives.

The reviews will produce a Quarterly and Annual Review Reports which will cover all fourProgramme regions. Copies of the report will be distributed to all zones and woredas where PASIDP-II activities are being undertaken. It is recommended that each year, the workshops are held whereFederal, Regional, and Woreda level management teams will review and discuss the findings of theannual review and make recommendations for improved Programme performance.

The Quarterly and Annual Review reports will be presented to the Regional and Federal ProgrammeSteering Committees on a quarterly and annual basis in order to ensure that the Programme activitiesare achieving Programme objectives. IFAD will participate in these presentations.

Environmental and Social Auditing

The purpose of auditing is to establish the level of compliance with national policy objectives andregulatory requirements and whether the conditions of approval attached to the environmental impactassessment report are being implemented satisfactorily. The responsibility for conducting audits lieswith the Regional BOEPLAU and Woreda EPLAUA. Audits will be done during project constructionand operation and can be done once or twice a year, depending on the complexity of the project.

Audit reports will be sent to the FPCMU, RPCMU and the Woreda PASIDP Focal Person.

Reporting

The Woreda PASIDP Focal Persons will submit quarterly and annual performance reports to theRPCMU ESC Safeguards Specialists. The RPCMU ESC Safeguards Specialists in will turn submitquarterly and annual performance reports covering all the woredas in their regions to the FPCMUESC Safeguards Specialist. And the FPCMU ESC Safeguards Specialist will submit quarterly andannual reports to IFAD.

Summary of ESMF Processes and Responsibilities

Table 11 below summarizes the processes described in this ESMF in terms of responsibilities at eachadministrative level.

TABLE 43: ESMF PROCESSES AND RESPONSIBILITIES

Administrative Level ESMF Process Responsibility

Kebele Level Project identification Communities

Tier 1 Screening - Eligibility Kebele DA (NaturalResources) and KTT

Implementation of ESMP andPMP

IWUAs, Kebele DA (FocalPerson/Natural Resources),KTT

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Implementation of RAP Kebele FP, KTT, KebeleAdministration

Woreda Level Tier 2 Screening –Environmental and SocialConcerns

Woreda PASIDP FP, WoredaEnvironmental Expert, WLTT

Preparation of ESMP forprojects with no issues ofconcern

Woreda Environmental Expert,WLTT

Fine tuning PMP to suitscheme requirements

WLTT

Review and approval of ESMP Woreda EPLAUA

Implementation of ESIA Woreda Agriculture & NaturalResources Office, WLTT

Supervision of implementationof ESMP

Woreda Agriculture & NaturalResources Office, WLTT

Supervision and monitoring ofthe implementation of RAP

Woreda SC, WoredaCompensation andResettlement Committee

Supervision of theimplementation of PMP

Woreda Agriculture & NaturalResources Office, WLTT

Monitoring implementation ofESMP and PMP

Woreda EPLAUA, WoredaAgriculture & NaturalResources Office

Performance monitoring ofESC activities of PASIDP inkebeles

WLTT

Environmental and socialaudits of projects with nosignificant ES concerns

Woreda EPLAUA

Grievance receipt, verification,investigation, resolution,communication withcomplainant and referral toRegional BOEPLAU or ZonalEPLAU Office level ifnecessary

Woreda Administration Office,Woreda SC, Woreda EPLAUA

Zonal Level Preparation of ESIAs andESMPs for projects havingsignificant environmental andsocial concerns.

Zonal EPLAUOffice/Department

Review of ESIAs and ESMPsprepared by consultants

ZTT, Zonal EPLAUOffice/Department

Approval of ESIAs and ESMPs Regional BOEPLAU

Review of PMPs ZTT, Zonal EPLAUOffice/Department

Review of RAPs ZTT, Zonal Administration,Zonal EPLAU

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Office/Department

Approval of PMPs Zonal EPLAUOffice/Department

Approval of RAPs Zonal Administration, ZonalEPLAU Office/Department

Disclosure of safeguardsdocuments


Performance monitoring ofESC activities of PASIDP inworedas


Annual review Zonal EPLAUOffice/Department

Environmental and socialaudits of projects withsignificant ESC concerns


Receipt of referred grievance,verification, investigationresolution and communicationwith complainant, and referralto Zonal Court or RegionalBOEPLAU

Zonal Administration, ZTT,Zonal EPLAUOffice/Department

Regional Level Preparation of ESIAs andESMPs for projects havingsignificant environmental andsocial concerns.

RPCMU Social andEnvironmental SafeguardsSpecialist / Consultant

Review of ESIAs and ESMPsprepared by consultants

RPCMU Social andEnvironmental SafeguardsSpecialist

Review of ESIAs/ESMPsprepared by RPCMU E&SSafeguards Specialist

Approval of ESIAs and ESMPs

Regional BOEPLAU

Review of RAPs for projectswith significant concerns

RPCMU Social andEnvironmental SafeguardsSpecialist / RegionalBOEPLAU

Approval of RAPs for projectswith significant concerns

Regional Government


Regional BOEPLAU, RPCMUSocial and EnvironmentalSafeguards Specialist

Performance monitoring ofESC activities of PASIDP inworedas

RPCMU Social andEnvironmental SafeguardsSpecialist

Annual review RPCMU, RPCMU Social andEnvironmental SafeguardsSpecialist

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Environmental and socialaudits of projects withsignificant ESC concerns

Regional BOEPLAU

Receipt of referred grievance,verification, investigationresolution and communicationwith complainant, and referralto Regional Court

Regional BOEPLAU, RegionalGovernment

Federal Level Ensuring safeguardsrequirements meet MOEFCCand SECAP standards

FPCMU EnvironmentalSafeguards Specialist andSocial Safeguards Specialist



Overseeing all PASIDPenvironmental and socialmanagement requirements inall regions


Overseeing E&S performancemonitoring


Programme E&S resultsmonitoring


Supervision of annual review FPCMU EnvironmentalSafeguards Specialist andSocial Safeguards Specialist

Receipt of notification/documentation of referredgrievance, verification,investigation resolution andcommunication withcomplainant


IFAD Review of ESIAs/ ESMPs forprojects with significant ESCconcerns.

Also RAPs if developed

Environment and ClimateDivision and Policy TechnicalAdvisory division


Country Programme Officer,Communications Division

Support to FPCMU forsupervision and conductingresults monitoring

Country Programme Officer,Country M&E Specialist

Review of quarterly and annualreports

Country Programme Officer

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Guidelines for Small Dam Safety

These Small Dam Safety Guidelines have been adopted from those prepared for the AGP-II ESMF(MOA, 2015).

1. Introduction

Benefits which will accrue from the promotion and achievement of adequate dam safety practices includeenvironmental protection, public confidence, and the commercial benefits to the owner of constructingand maintaining in a safe and insurable condition, what is usually a significant investment.

The owner of a dam is responsible for:

safely operating and maintaining the dam; giving appropriate warnings if the operation or failure of the dam could cause damage; Compensating damage caused by the operation or failure of the dam.

The overarching dam safety objective is to protect people, property and the environment from theharmful effects of mis-operation or failure of dams and reservoirs. To ensure that dams and reservoirs areoperated and that activities are conducted so as to achieve the highest standards of safety that canreasonably be achieved, measures have to be taken to achieve the following three fundamental safetyobjectives:

to control the release of damaging discharges downstream of the small dam; to restrict the likelihood of events that might lead to a loss of control over the stored volume and

the spillway and other discharges; to mitigate through onsite accident management and/or emergency planning the consequences of

such events if they were to occur.

These fundamental safety objectives apply to dam and activities in all stages over the lifetime of a dam,including planning, design, manufacturing, construction, commissioning and operation, as well asdecommissioning and closure.

2. Parties Involved

The main parties that are involved in dam are the owner or developer, the supervising body, the technicaladviser/engineer, the contractor, and the public, who may be affected directly or indirectly by the dam.

The dam owner for small dams to be constructed by PASIDP-II is the Bureau of Agriculture. Small Damowners are responsible for the safety and the liability of the dam and for financing its upkeep, upgrade,and repair. The common legal understanding is that the dam owner is the developer of the dam, and istherefore responsible for the potential impacts, which the impoundment of water may have on upstreamor downstream life, property and environment. It is the owner who holds the various legal permits for thedam and is legally responsible for maintaining the dam in a safe condition and for operating it safely. Forthe detail of the parties involved and their roles and responsibilities, please consult the dam safetyguideline.

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3. Legal and Regulatory Framework

Ethiopia does not have specific dam and dam safety legislation or administration as some otherdeveloped countries do. These legislations require that all dams be periodically inspected to ensure thattheir continued operation and use does not constitute a hazard to life and property downstream. Rather,there are some broader legal obligations under Ethiopian law which owners need to appreciate. Thepolicies and legislations which are somehow related to dams and dam safety issues are listed describedbelow:

Ethiopian Water Resources Management Policy (1999) Ethiopian Water Resources Management Proclamation (Proclamation No. 197/2000) Water Resources Management Regulations Environmental Laws. The environmental laws related to the dam construction are:

Environmental Policy of Ethiopia (1997), National Conservation Strategy, EnvironmentalPollution Control (No.295/2002), Environmental Impact Assessment (No 299/2002), EIAAssessment Guideline Document in 2002 and EIA Procedural Guideline in 2003.

Occupational Health and Safety law (Proclamation No.42/1993)

4. Dam Failure and Dam Hazard Classification

Dam Failure

If a dam fail, the owner is likely to be held legally liable for all associated damage. To minimize thepossibility of failure and the attached liability, the owner should use the services of a suitably qualifiedengineer to design and construct the dam; make periodic visual inspections of the dam; monitorconditions that may affect the safety of the dam; perform regular maintenance; carry out repairs whereand when required to meet current design and construction standards; and have an experienced damengineer investigate any unusual conditions which could result in partial or total failure.

The three major failures modes of small dams in Ethiopia are:

Sedimentation behind dam : sediments deposited clog outlet and intake structures Seepage loss through foundation and embankment Low catchment yield and low volume of stored water in dams.

The most common causes for failure of small dams in Ethiopia would be as follows:

a) Design is not adequate (hydrological, geotechnical, hydraulic).b) Very limited site investigations are undertaken and consequently understanding of site conditions

is poor.c) Embankment placement methods are substandard eg. soil compaction methods.d) Lack of watershed management practicese) Maintenance or inspection frequencies are inadequate.

To avoid or minimize the problem, the dam owner has the responsibility to inspect safety of the damperiodically during all phases of the dam design, construction, and operation and maintenance.

Dam Hazard Classification

The destructive force unleashed by an uncontrolled escape of water stored behind a dam has the potentialto harm people, property and the local environment. The consequential losses can include loss of life,socio-economic, financial and environmental losses. Measures can be taken to reduce the risk to anacceptable level and that is what dam safety is about. For this ESMF, three dam hazard classification

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levels are adopted as low, significant, and high, listed in order of increasing adverse incrementalconsequences.

Dams assigned the low hazard potential classification are those where failure or mis-operation results inno probable loss of human life and low economic and/or environmental losses. Losses are principallylimited to the owner’s property. Dams assigned the significant hazard potential classification are thosedams where failure or mis-operation results in no probable loss of human life but can cause economicloss, environmental damage, disruption of lifeline facilities, or can impact other concerns. Significanthazard potential classification dams are often located in predominantly rural or agricultural areas butcould be located in areas with population and significant infrastructure. Dams assigned the high hazardpotential classification are those where failure or mis-operation will probably cause loss of human life.The small dam safety guideline is intended for the owner of dams with hazard potential classification ofLow.

5. Planning of Small Dams

There are some fundamental principles which should be applied through the investigation, design,construction and commissioning stages to achieve an adequate level of safety. The principles are:

i. the competence and experience of the owner’s agents relative to the nature and damii. hazard category of the dam, must be appropriate in all areas;

iii. there must be a cooperative and trusting relationship between the owner and technical advisers,and the designers must be given full control over decision making in critical areas;

iv. the owner must agree to apply the appropriate level of funding for investigations, design andconstruction to reduce the chances of critically important issues (particularly related tofoundations) being not sufficiently well assessed or under protected;

v. the designer/technical adviser has a duty not to compromise unduly due to financial pressuresfrom the owner, developer or contractor;

vi. continuity of key technical advice should be maintained throughout all stages of the dam fromdevelopment, through design, construction and commissioning, to reduce chances of criticalpoints of design philosophy and intent being misinterpreted during construction orcommissioning.

Dam Site Investigation

Selecting the Dam Site

When choosing the location and size, the dam owner should also take into account what would happen ifthe dam failed suddenly and whether it would result in loss of life, injury to persons or livestock, damageto houses, buildings, roads, highways or railroads. The owner of the dam should ensure to avoid locatingthe dam where run-off from houses, dairies or septic systems can pollute the water.

Considerations at Investigation Stage

Technical Consideration

Site selection and site investigations are critical components to the success or failure of a dam.

Regarding the technical consideration the following important aspects should be considered:

a) The catchment is the area of land from which run-off is to be collected. If it is the main source ofwater supply, make sure that it is capable of yielding enough water to maintain both, the supplyin the dam and the required releases over all periods of intended use. The catchment areahowever should not be too large, as it will then require a big and expensive overflow system (orspillway) to safely pass excess run-off from heavy rainfall without overtopping the dam.

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b) Topographical features such as slope, width and height of dam, as well as reservoir capacity willinfluence construction costs.

c) Conducting site tests to establish the material properties for the embankment and foundation.d) A good location for a spillway that will effectively handle runoff and minimize erosion.e) Watershed activities that can affect the water quality or quantity of runoff.

Environmental Considerations

Dams with their associated reservoirs can have substantial environmental effects and any existing dam ornew project must comply with the Ethiopian environmental and environmental legislations andassociated licensing or permit requirements. It should be recognized at the outset that dam developmentshave effects extending beyond the immediate confines of the dam and inundated areas. For example:

Reservoir slope stability may become a dam safety issue due to the risk of overtopping caused bylarge volumes of reservoir water being displaced by slope failures.

Siting of the dam/reservoir must take into consideration the local earthquake and faulting activitywhich may cause breaching of the dam

Groundwater level changes may affect stability and land use around the reservoir margins andpossibly adjacent to the downstream river, as a result of changed water levels.

Trapping of sediments in the reservoir can result in upstream shoaling and loss of reservoirstorage.

Flora/fauna effects may occur in storage basin, downstream, and in passage around and throughthe dam.

Minimum flow maintenance downstream of the dam to ensure the survival of flora and fauna,and to reduce causes of stream bed deterioration.

Social development/changes to downstream use given the changed flood situation.

Dam Design

Embankment Dam Design

The single most common cause of earthen dam failures is overtopping of the embankment. Anundersized spillway will lead to overtopping; therefore spillway design is critical to reservoirs. Thespillway must be located such that discharge will not erode or undermine the toe of the dam. If the banksof the spillway are made of erosive material, provision must be made for their protection. Considerationmust be given to the hazard to human life and potential property damage that may result from the failureof the dam or excessive flow rates through the spillway. Further consideration must be given to thelikelihood of downstream development that may result in an elevation of the hazard classification.

Extreme Events

Large earthquakes, storm/flood activity and failure of upstream dams can be considered extreme events.The risk of failure from these events is minimized by using engineering design standards and relevantguidelines incorporating adequate margins of safety. Emergency preparedness set up well in advance isthe only available measure of reducing the impact when a dam failure is about to happen.

Sedimentation

The effective life of many of small dams is reduced by excessive siltation – some small dams silt up afteronly a few years. This issue is poorly covered in the many small dam design manuals that are available,as they mostly focus on the civil engineering design and construction aspects. Appropriate methods/toolshave to be chosen to predict, and where possible reduce, siltation rates in small dams.

6. Construction of a Dam

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The quality of construction is all-important to dam safety. As far as construction is concerned, thefollowing requirements are necessary from the dam safety viewpoint:

the contractors must be suitably experienced and committed to achieving the standards of workspecified;

the level of supervision of the works, quality assurance procedures and designer continuity, mustbe appropriate to the scale and complexity of the dam;

the owner must recognize that inherent uncertainties may remain after design investigations andonly be revealed during construction, and have funding in place to deal with costs arising fromadditional requirements identified during construction;

any area identified in the design process as requiring confirmation by the designer duringconstruction, must be totally under the designer’s control, and no design change, however small,shall be made without the designer’s review and formal approval;

a suitably detailed design report and drawings showing the as-built structure of all components ofthe dam and foundation shall be developed as an on-going and integral part of the constructionsupervision process, and be prepared after completion of each component so that there is areliable record to refer to at all times in the future.

Therefore, the dam owner should ensure all the above mentioned requirements are fulfilled andcomplied.

Selecting the contractor

The use of inexperienced contractors and/or inadequate supervision can develop into an expensiveliability. Nothing can take the place of a reputable contractor, using appropriate equipment andexperienced machine operators and working under supervision of an experienced engineer.

Construction Supervision

Construction supervision is an important phase of dam construction. Supervision is meant to ensure thatthe design factors and specification requirements have actually been included in the final product.

If foundation preparation, material selection, outlet/spillway installation and embankment compaction arenot properly carried out then the safety of the dam will be compromised. So, for all small dam types(both earthen and rock fill) expected to be constructed, all the dam safety requirements applicable shouldbe considered accordingly.

7. Safety Surveillance

Purpose of Regular Inspection

The purpose of a dam safety surveillance program is to avoid failure of the dam, by giving early warningof any kind of symptom of trouble as early as possible. It is the most economical and effective means anowner has of maximizing the long-term safety and survival of the dam. Its primary purpose is to monitorthe condition and performance of the dam and its surroundings.

Frequency of Inspections

The frequency of inspection required for an effective program of surveillance depends on a variety offactors including:

Size or capacity of the dam; Condition of the dam; and Potential for damage resulting from failure of the dam (represented by the hazard category).

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Adoption of the inspection frequency for a particular dam is the responsibility of the owner, thoughprofessional advice should be sought for large dams or those categorized under significant and highhazard dams.

The suggested inspection frequencies for small dams of less than 15 m height for the two levelssurveillance (quick visual inspection and comprehensive examination) is presented in the table below andshould be followed critically.

Special Inspections

Special inspections will be required after unusual events such as earthquakes, major floods, rapiddrawdown or volcanic activity. Special inspections should enable the dam owner to become aware offaults before partial or total failure occurs. Times when inspections additional to those above arerecommended are:

before a predicted major rainstorm (check embankment, spillway and outlet pipe); during and after severe rainstorms (check embankment, spillway and outlet pipe); after any earthquake, whether directly felt on the owner's property or reported by local news

media (check all aspects of the dam).

Inspections should be made during and after construction and also during and immediately after the firstfilling of the storage.

Dealing with Problems

A systematic program of safety surveillance should maximize the likelihood that any developingconditions likely to cause failure would be found before it is too late. Surveillance will also help earlydetection of problems before they become major repair bills. As identified earlier typical problems (manyof which are treatable if found early enough) are most likely to fall into one of the following categories:seepage/leakage; erosion; cracking; deformation/movement; concrete structure defects; and spillwayblockage.

Instrumentation and Monitoring

Instrumentation at a dam furnishes data to determine if the completed structure is functioning asintended, provides a continuing surveillance of the structure, and is an indicator of developments whichmay endanger its safety. Typical items instrumented or monitored include:

profiles and condition, deformations, seepages or damp areas (visual) reservoir water levels which relate to dam loads and flood behaviour local rainfall which relates to background seepages drainage and distinguishable seepages which relate to control of leakage water flow

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Clarity of seepage flow which relates to potential erosion of embankment or foundation material. water pressures within the dam and foundations which relate to structural behavior movement or deformation of the dam surface and internal structure which relates to structural

behavior stresses within the dam which relate to structural behavior seismic acceleration which relates to structural behavior

8. Operation and Maintenance of Dams

Effective and ongoing operation, maintenance and surveillance procedures are essential to ensure thecontinued viability and safety of a dam and its appurtenant structures. Poor operation, maintenance andsurveillance will invariably result in abnormal deterioration, reduced life expectancy and possibility offailure. The proper operation, maintenance and surveillance of a dam provide protection for the ownerand the general public. Furthermore, the cost of good operation, maintenance and surveillance proceduresis small compared with the cost and consequences of a dam failure which could include major repairs,loss of life, property damage and litigation.

Because many small dams fail through lack of maintenance, it is prudent to have a definite andsystematic maintenance plan.

The maintenance plan should be decided upon when the construction work on the dam is completed. Itwill affect the life of the storage if it is not maintained properly. A good plan should include the practicesto be used, as well as the approximate time of the year when they are applicable.

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Annex 10: Technical Assistance

A) TOR to conduct the Baseline Study and Capacity Need assessment

Objective of the Term of Reference (ToR)

The purpose of these Terms of Reference is to enter into a contractual agreement with asuccessful bidder and select a suitable Consultant that will undertake the baseline study, whichincludes conducting the capacity need assessment study and the baseline survey for theParticipatory Small-Scale Irrigation Development Program Phase II (PASIDP II) in Ethiopia.

Potential Consultants are welcomed to submit their technical proposals for consideration toundertake this assignment, with the aim of delivering the highest quality of the product whileensuring the most cost-effective solution to meet all the requirements of this assignment. Theevaluation is weighted in favour of quality over price. The technical proposals submitted by thepotential Consultants will be evaluated based on (1) previous experience conducting similarexercises, (2) background and expertise of the proposed team, (3) proposed methodology to usein this study, and (4) financial capacity. The potential Consultants submitting the successfultechnical proposal will be selected as the Consultant to undertake this baseline study.

Introduction and Background

PASIDP II is financed by the International Fund for Agriculture Development (IFAD), GOE andBeneficiaries with the total cost of USD145.3million. From the total project cost, IFAD willcontribute 78.8%, the Government of Ethiopia 12.9% and programme beneficiaries 8.3%. Theprogramme is implemented by the Ministry of Agriculture and Natural Resource (MoANR) tocontribute to the sustainable improvement of the life conditions of food insecure woredas(districts) in the four program regions of Amhara, Oromia, Southern Nations, Nationalities andPeoples Region (SNNPRS) and Tigray. The Federal and Regional Programme CoordinationManagement Units (FPCMU and RPCMU) established during the first phase of the Programmeare responsible to provide day to day management of PASIDP II. The programme developmentobjective is to “improved income and food security for rural households on a sustainable basis”.The program will focus on the most vulnerable and food insecure communities and households.The general target groups of PASIDP II are, therefore, resource poor and food-insecuresmallholder farmers and disadvantaged and vulnerable households. In addition to the generaltarget area and group, the program identified specific target groups – Female HeadedHouseholds, Landless Households and Unemployed Rural Youth – to be the beneficiaries ofPASIDP II interventions.

In view of this objective PASIDP II planned to benefit 108,750 households (HH),of this, 46,250HH in small scale irrigation scheme, 37,500 HH in adjacent watershed, 15,000 employmentopportunities created due to growing labour needs and 10,000 HH to be supported underPASIDP I and proposed to develop 18,400 ha of irrigated land. The project is scheduled to startby the end of 2016.

PASIDP II has three components namely Investment in Small-scale Irrigation Infrastructure,Investment in Capacity for Sustainable Agriculture and Programme Management, Monitoring &Evaluation (M&E), and Knowledge Management.

i. Component A: Investment in Small-scale Irrigation Infrastructure: Investment in Small-scaleIrrigation Infrastructure component aims to develop 18,400 ha of small-scale irrigationschemes. This component implements on two sub-components: the first sub component willsupport (a) the identification and selection of schemes, (b) the feasibility studies and detaileddesigns following improved quality guidelines, (c) the establishment and strengthening of

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Irrigation Water Users Associations, (d) the required environmental and social impactstudies. The second Sub-component will support the development of the selected irrigationschemes.

ii. Component B: Investment in Capacity for Sustainable Agriculture: Investment in Capacityfor Sustainable Agriculture component has three subcomponent (a) will finance thestrengthening of farmers’ cooperatives, the development of agribusiness linkages and accessto financial services, (b) will support the improvement of crop husbandry practices mainlythrough farmers’ research groups, extension support and the availability of improved seed,and (c) will also make provision for gender-activities and promotion of nutrition-sensitiveagriculture. In particular, it will support improved watershed management on 68,160 ha ofadjacent watersheds and promotion of conservation farming.

iii. Component C: Programme Management, Monitoring and Evaluation, and KnowledgeManagement: The Programme Management, M&E, and Knowledge ManagementComponent will focus on (a) Learning and Knowledge Management, (b) ProgrammeManagement, Monitoring and Evaluation.

Irrigation Water User Associations (IWUA’s) and other kebele (sub-district)-level organizationssuch as women’s groups, Farmer Research Groups (FRG’s) and Farmer Training Centres(FTC’s) will be supported in order to strengthen their capacity. Similarly the woreda, regionaland federal level organizations will be provided with the capacity to adopt a more efficient,effective and sustainable approach in the program intervention. The program will also strengthenthe technical capacity of the stakeholders on irrigated agriculture, agricultural marketing, designand supervision construction of irrigation schemes. Women will be given training to empowerthem to participate more confidently and effectively in decision making and productiveactivities.

The overall goal of PASIDP II is to increase the profitability of small-scale farmers through atleast three channels: (1) improved access to a well-functioning irrigation infrastructure system,(2) greater access to markets and services, and (3) increased sustainability of the irrigated areasand the surrounding watershed. The development objective of PASIDP II is to improve theresilience against negative external shocks of farmers, which may help increase their income,food security, and nutritional outcomes. PASIDP II’s theory of change (TOC) can besummarized in Table 1 below.

TABLE 44: PASIDP II THEORY OF CHANGE

Inputs/Activities

o Formation of irrigation water user associations IWUA’so Training of IWUA leaders and members about water management

and water distribution/allocationo Provision of agricultural capacity building and training services

o Construction of irrigation infrastructure system

o Development of watershed surrounding the irrigation infrastructureso Strengthening of agribusiness and financial linkages between

farmers and services

Outputs

o Greater access to water available for crops (through construction ofirrigation infrastructure system)

o More efficient water management (through formation and training ofIWUA leaders and members)

o More efficient water distribution/allocation (through formation andtraining of iWUA leaders and members)

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o Greater productive capacity of the surrounding watershed area(through watershed development)

o Improved access to information about agricultural knowledge andtechnology (through training activities)

o Increased access to rural financial services (through strengthenedfinancial linkage)

o Increased market linkages to sell agricultural products (throughstrengthened market linkage)

Outcomes

o Adoption of new and more suitable agricultural technologyo Expansion of cultivation areas (extensive margin) and crop rotations

(intensive margins)o Increased crop production/higher yields of crop

o More higher-valued crops cultivated

o Increased livestock production (both live animals and products)

o Increased agricultural diversification

o Increased asset accumulation/savings

o Increased access to credit

o Greater market participation (both spatially and temporally)

o Increased resilience against negative external shocks

Impacts o More stable and increased household income

o Greater food security and nutritional levels

Objective and Scope of Work

Objective of Work

The main objective of the work is to undertake the baseline study of the PASIDP II project.There are two components of the baseline study: (1) the capacity need assessment, and (2) thebaseline survey.

The capacity need assessment is a qualitative inquiry which will serve two purposes.

First, it is a listing exercise to help identify the capacity gaps in the development of small-scale irrigation infrastructure systems, agricultural production system, watershedmanagement and strengthening of linkages of farmers to markets and rural financial services.

Second, it is to develop the design of the implementation plan for the capacity buildingactivities which can allow a rigorous impact assessment to be conducted. The capacity needassessment will accommodate to help and inform project implementation, M&E, projectevaluation, and impact assessment plans of PASIDP II.

The baseline survey is to provide a benchmark for tracking, monitoring, and assessing theprogress and impacts of the project at a later stage. The baseline survey should containinformation about output, outcome and impact indicators of the project (including both Resultsand Impact Management System (RIMS) indicators and other relevant indicators according toTOC) collected at both the micro level and at the project level. It should also include production,market, and financial access indicators collected at the community level and at the project level.The information gathered from the baseline survey is useful and necessary to construct thecounterfactual scenario (what would have happened to the beneficiaries of the project in absenceof the project), which is crucial to conduct an ex-ante impact assessment of PASIDP II.

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Scope of the Work

Capacity Need Assessment

For the capacity need assessment, the Consultant will conduct a listing exercise to identify thecapacity gaps that are important to carrying out the project activities covered by PASIDP II. Thisqualitative inquiry includes collecting and analysing information relevant to development ofsmall-scale irrigation infrastructure systems, agricultural production system, and strengthening oflinkages of farmers to markets and rural financial services. The capacity need assessment shouldbe conducted at the national, regional, woreda, and kebele levels. The capacity need assessmentmay include personal interviews, key-informant interviews, focus-group discussions, or otherrelevant means. The Consultant must propose a work plan to conduct the capacity needassessment, which may include but not limited to the following activities:

Develop a work plan and timeline to carry out the capacity need assessment exercise inconsultation directly with FPCMU.

Assess the legal and regulatory frameworks those govern the activities and mandate ofPASIDP II

Conduct a listing exercise of the quality of systems, structures and processes in place to thesuitability of working space and access to equipment which facilitate workforces to performtheir roles

Evaluate site-specific training needs in terms of gaps in knowledge, skills and attitude toperform their roles to reach the expected level of quality, and identify the required trainingsand their format (e.g. who, what training, in which format, how and when, etc.)

Propose a plan to implement the capacity building activities based on the results of the needsassessment

Baseline Survey

For the baseline survey, the Consultant is to develop and conduct a baseline survey which willconsist of both a household survey, and a community survey. The existing social economiccharacteristics of the households in the project areas, and their current income, food security,nutrition and vulnerability status will serve as a benchmark to track, monitor, and evaluate theprogress and impacts of PASIDP II. The Consultant is required to propose a work plan todevelop and conduct the baseline survey, which includes but not limited to the followingactivities:

Develop a work plan and timeline to develop and conduct the baseline survey in consultationdirectly with FPCMU.

Develop a sampling frame, sampling design, and sample size of the baseline survey Pilot and field-test the baseline survey for both the household and the community

questionnaires Carry out the baseline survey based on the log frame of the project, that is, its broader goal,

objective and expected results Direct to show the changes to be observed “before and after” the project is implemented and

completed Verify the completeness and the accuracy of the data collection Submit the data a cleaned format directly to FPCMU. Obtain a complete list of irrigation schemes and their locations (around 75 schemes), to be

built under PASIDP II in consultation with FPCMU,

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The Consultant should collect the following information for each scheme: net present value(NPV), internal rate of returns (IRR), market access indicator, and accurate GPS coordinates.

Expected Outputs and Deliverables

Throughout the course of the assignment, the Consultant is expected to produce and present thefollowing outputs and deliverables directly to FPCMU, in close consultation with IFAD staffmembers from ICO in Ethiopia and RIA,

i. An inception report should be submitted to FPCMU within 20 days after the signing of thecontract. The inception report should describe the Consultant’s understanding of the TOR,outline key findings and observations from the review of relevant project documents alignedwith objectives of the capacity need assessment and the baseline survey, identify key areaswhere future interviews and data collection will focus on, and interview guides or self-assessment tools to be used later in the baseline study.

ii. A short brief report from the capacity need assessment and baseline survey summarizing thechallenges and difficulties or the expected shortcomings related to the baseline studysubmitted to FPCMU.

iii. A draft of the capacity need assessment report submitted to FPCMU for review.iv. Verified, cleaned, and quality checked datasets of both household and community surveys

with cross-checked geo-referenced coordinates provided both in Excel (.xls) and in Stata(.dta) formats for use and analysis by IFAD.

v. A draft of the baseline study report describing activities performed and incorporatingcomments from FPCMU and IFAD staff members presented to the key stakeholders.

vi. A final baseline study report incorporating comments from FPCMU and IFAD staffmembers presented to the key stakeholders.

vii. The consultant will produce baseline survey and capacity need assessment in differentdocuments, all reports will be issued in Word format and will each take the form of thirtyprinted hard copy for each assignment and one soft copy, submitted to the FPCMU.

viii. A DVD with pictures and some video recordings of the data collection exercise and theentire dataset (soft and hard copies) submitted to FPCMU.

ix. A map showing the locations of all the PASIDP II irrigation schemesx. A map showing the locations of all households and communities surveyed in the baseline

survey

Methodology and Activities

Methodology and Approach

The Consultant is to develop a work plan to design, organize, and conduct the baseline study tofacilitate the M&E and impact assessment activities of PASIDP II. To ensure that the M&E andimpact assessment plans are rigorous, the Consultant will work closely with FPCMU and IFADto develop a tentative sampling design, sample size, data collection plan, the plan to constructionthe irrigation schemes in each year of the project life which can allow a rigorous ex-ante impactassessment to be conducted, and other relevant information to be included in the inception reportfor review by FPCMU and IFAD. The Consultant is requested to obtain a complete list ofirrigation schemes (around 75 schemes) to be constructed within the next 3 years by PASIDP II ,and conduct primary data collection of the households and communities in the areas of all theseirrigation schemes. The Consultant can only start to collect and analyse data after receivingpermission from FPCMU.

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The purpose of the baseline survey will be to establish baseline indicators, and to establish thefirst round of a panel household and community survey. Careful and detailed documentation ofdata collection methods, and accurate GPS coordinates of each irrigation scheme, household, andcommunity locations surveyed will be required, to establish the basis for subsequent rounds ofdata collection. Additional information regarding the methodological approach to conduct thebaseline survey is provided in Appendix A, Appendix B.

Specific Activities

Inception Phase

Review the relevant project documents to familiarize with the project’s TOC, logicalframework, strategies, activities and status and determine the appropriate indicators that willmeet both project-level and corporate-level monitoring objectives

Develop the sampling plan Develop the plan to conduct the baseline study to gather information from the relevant

stakeholders at the national, regional, woreda, and kebele levels Conduct a listing exercise to identify the capacity gaps that are important to carrying out the

project activities covered by PASIDP II at all project levels Prepare a capacity need assessment report to help inform the implementation the project

activities in PASIDP II, and support M&E and impact assessment activities Prepare and submit the inception report to FPCMU for review within 20 days aft the contract

is signed, Organize an inception workshop to disseminate the findings from the baseline study report,

and discuss with stakeholders

Study Phase

Hire survey enumerators with the necessary skills of local languages/dialects spoken in thestudy area and train them for at least three or four days to familiarize them with the projectdetails, the relevant information required to be collected, and the survey questionnaire tocollect data from primary sources.

Pilot the survey questionnaire in the field with at least 10 households (both in the treatmentand control areas) in at least two communities before the baseline data collection begins torevise and fine tune the survey tools.

Conduct the quantitative data collection as part of the households and community levelsurveys with geo-referencing locations of the irrigation schemes, households, andcommunity centers in the baseline survey

Supervise data entry, verification of data quality for analysis and data cleaning should alsobe performed on a regular basis

Submit a short data quality report to FPCMU and IFAD during the course of the datacollection process on a regular basis

Reporting Phase

Prepare and submit brief baseline study field report within 5 days after collection of data Submit the first draft baseline study report within 45 days after the data collection Submit the final baseline study report within 20 days after receiving comments and

suggestions from FPCMU and IFAD staff members and present it to the workshop todisseminate the findings from the baseline study report in consultation with FPCMU, IFAD,and other stakeholders

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Submit the final and refined version of the baseline study report and verified, cleaned, andquality checked data sets within 15 days to FPCMU.

Schedule of Deliverables

The timing and duration for the assignment will be approximately four months effective fromthe date of signing of the contract. The timetable for the evaluation, including when differentdeliverables or products – such as inception report, briefs, draft report, final report is providedin the Table 2 below.

TABLE 45: DELIVERABLES OF OUTPUTS IN THE BASELINE STUDY

Output Time (Submitted)5. Submit and present Inception report 20 days after the signing of an agreement6. Data collection 15 days after the approval of the inception report7. Brief Field Report immediately after data

collection5 days after data collection

8. Data analysis and submission of first draftreport to FPCMU

60 days after data collection

9. Submit final Baseline Study Report andconduct stakeholders workshop

20 days after the first draft comment

10. Submit the final and refined version of thebaseline study report and verified, cleaned,and quality checked data sets to FPCMU.

Within 15 days after the workshop

Minimum Requirements and Skills

The Consultant is required to have the following minimum requirements below to conduct the baselinestudy of PASIDP II.

Legal status, recognized by the Government of Ethiopia, enabling the organization toperform the above-mentioned tasks and operate in accordance with the laws and regulationsof Ethiopia.

Minimum experience with agricultural-related development projects (minimum threeprojects or above), managing household-level surveys of similar scale is necessary.

Previous experience working on baseline study and impact assessment-related surveys isessential. The evidence such as copies of contracts, purchase orders or reference lettersshould be provided.

Previous experience conducting behavioral-related experimental games or auctions in a ruraldeveloping country setting.

Experience of conducting training of trainers (adult learning) courses/workshops forundertaking capacity-building training at federal, regional and the community-level.

Excellent knowledge of English, both spoken and written, and be able to hire localenumerators with local languages/dialects

Ability to provide and use electronic devices (e.g. smart phones, tablets, etc.) free of chargefor data collection and management during the course of the assignment

Ability to submit a commitment letter to recruit survey enumerators with the necessary skillsof local languages/dialects spoken in the study areas of the baseline study

Table 3 below summarizes the relevant skills, qualifications and levels of experience required from theconsultancy team to be recruited by the Consultant.

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TABLE 46: SUGGESTED LIST OF THE CONSULTANCY TEAM


1 Team Leader Economics,developmenteconomics,agriculturaleconomics,natural resources,management,statistics, orrelated fields

MA/M.Sc butPh.D. preferred

At least 15 years of experience inleading large micro-level householdsurveys/baseline survey, monitoring andevaluation system development,feasibility studies and evaluations ofagricultural development projects; longyears of experience in leading andmanaging multi-disciplinary study teamsin irrigation and watershed managementand related fields. Excellent command ofEnglish. Experience in the region and/orEthiopian context has an advantage.

2 Survey Expert Economics,developmenteconomics,agriculturaleconomics,natural resources,management,statistics, orrelated fields

MA/M.Sc At least 10 years of experience inrelevant areas, and demonstratedexperience in baseline survey designingand conducting large micro-levelhousehold surveys, studies, analysis andinterpretation of survey data inagriculture, irrigations and watershedmanagement and relevant other areas.Good command of English. Knowledgeof the Ethiopian condition is anadvantage.

3 GIS Expert Geography,geology,environmentalscience,environmentalstudies, naturalresourcemanagement, orrelated fields

M.Sc At least 8 years of experience in GIS.Direct experience in irrigation schemesand watershed based integrateddevelopment interventions. Goodcommand of English. Knowledge of theEthiopian condition is an advantage.

4 Senior irrigationAgronomist

Irrigationagronomy orrelated fields

M.Sc At least 10 years of experience inirrigation agronomy, agronomicpractices, etc. in agriculture and naturalresource management is desirable. Goodcommand of English. Knowledge of theEthiopian condition is an advantage.

5 Soil and WaterConservationExpert

Soil and waterconservationengineers, naturalresourcemanagement orrelated fields

M.Sc. At least 10 years of direct field levelexperience in undertaking and managingsoil and water conservationinterventions. Extensive experience inwatershed development of technicalsupport, monitoring and evaluation ofimplementation progress of physical and

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biological soil and water conservationinterventions. Good command ofEnglish. Knowledge of the Ethiopiancondition is an advantage.

6 SeniorEconomist/Sociologist

Economics,agriculturaleconomics,developmenteconomics,sociology, orrelated fields

MA/M.Sc At least 10 years of experience in micro-level household surveys/baseline survey,socioeconomic analysis, feasibilitystudies and evaluations of developmentprograms/projects. Good command ofEnglish. Experience in the region and/orEthiopia is an advantage.

7 IrrigationEngineer

Agriculturalengineer,irrigationengineer,hydraulicengineer orrelated fields

M.Sc. At least 10 years of direct field levelexperience in undertaking and managingirrigation interventions. Extensiveexperience in watershed development oftechnical support, monitoring andevaluation of implementation progress of\ irrigation interventions. Goodcommand of English. Knowledge of theEthiopian condition is an advantage.

8 SeniorCooperativeExpert

Economics,agriculturaleconomics,developmenteconomics,Cooperativemarketing orrelated fields

MA/M.Sc At least 10 years of experience in basiccooperative and unions, marketing ofagricultural products, market structure,channel, value chain and marketlinkages etc. Good command of English.Knowledge of the Ethiopian condition isan advantage.

9 GenderSpecialist

Gender,Sociology, orrelated fields

MA/M.Sc At least 10 years of experience in gendermainstreaming in to developmentprograms is a requirement. Goodcommand of English. Knowledge of theEthiopian condition is an advantage.

10 Data Manager Statistics orrelated fields

B.Sc At least 5 years of experience inmanaging data collection of micro-levelhousehold surveys. Good command ofEnglish. Knowledge of locallanguages/dialects in Ethiopia.Experience in the region and/or Ethiopiais an advantage. Must be based in-country for the entire duration of theproject.

11 Data EntryAgent

Statistics orrelated fields

B.Sc Previous experience in data collection ofmicro-level households surveys.Knowledge of local languages/dialects inEthiopia. Experience in the region and/or

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Ethiopia is an advantage. Must be basedin-country for the entire duration of theproject.

12 Field Manager Economics,agriculturaleconomics,developmenteconomics,sociology, orrelated fields

BA/B.Sc At least 5 years of experience inmanaging data collection of micro-levelhousehold surveys. Good command ofEnglish. Knowledge of locallanguages/dialects in Ethiopia.Experience in the region and/or Ethiopiais an advantage. Must be based in-country for the entire duration of theproject.

13 Enumerator Householdsurveys,qualitativeinterviews

Secondaryeducation

Previous experience in data collection ofmicro-level households surveys.Knowledge of local languages/dialects inEthiopia. Experience in the region and/orEthiopia is an advantage. Must be basedin-country for the entire duration of theproject.

Mode of Payment

The lump sum fee for this service which will be paid to the consultant:

i. 30% of payment will be effective upon the submission of approved Inception Report.ii. 40% of payment will be effective upon the submission and approval of the draft of the

baseline study report.iii. 30% of payment will be effective upon the submission of the baseline study final report and

cleaned, verified, and quality checked datasets to FPCMU.

The Consultant is expected to cover any travel expenses and subsistence allowances of the team whileengaged in this assignment for the entire duration of the contract.

Selection Criteria

The Consultant will be selected based on the following criteria listed in Table 4 below:

Criteria Weight

Organizational profile and relevant work experience/track record in relevantfields: training/education, capacity building, baseline survey and impactassessment, agriculture, extension, rural development

30%

Team composition: demonstrated expertise, technical skills, previous relevantexperience

20%

Methodology/technical plan proposed for the baseline survey and the capacityneed assessment

40%

Annual turnover financial report approved by the Revenue and Custom Authorityat least for the last three years

10%

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Preparation of the Technical Proposal

To submit a technical proposal for consideration to undertake the baseline study, all potential biddersmust include all the following documents:

i. A copy of the registration of the company and its legal statusii. Evidence on experience of delivering services with the similar requirements to the TOR in a

form of a copy of a contract, purchase order, reference letter, etc. A high number of references aspart of the technical proposal is an advantage

iii. Copies of the CVs of the proposed consultancy teamiv. A tentative plan to conduct the baseline survey and capacity need assessmentv. Letter of Commitment by the vendor to execute the recruitment of the Field Staff/Enumerators

according to the requirement in the TOR (free format)vi. A comprehensive, itemized total budget to carry out the assignment calculated in Ethiopian birr

(ETB), inclusive of 15% VAT

Contact Details

All queries regarding the details in this TOR must be submitted in writing to the following address:

Ministry of Agriculture and Natural Resource,

Procurement, Finance and property Administration Directorate,

Block. B – 1-2,

Bole Sub-City, Around Gurd Shola, behind Ministry of Mines

P. O. Box 62347 Addis Abeba, Ethiopia,

Tel. +251 11 6461242

MoANR reserves the right to amend or cancel all or part of this bid consultancy service at any time.

Note: All information, texts, data and datasets compiled as part of this baseline study will be the joint

property of the Government of Ethiopia and IFAD and the Consultant will not use it for anyother private or official use, any publication, or claim any right to it. The Baseline Study Reportshould also follow, the IFAD’s reporting system. The FPCMU would also consult IFAD’s Country Office (ICO) and Research and Impact

Assessment Division of IFAD (RIA) for each stage of the study to verify.

Appendices

Appendix A: Suggested list of modules

I. Basic household socio-economic characteristics Age and sex of household members Ethnicity/clan Religion Occupation Educational levels Literacy status

II. Financial endowments, asset ownership, and food security and nutritional levels Financial assets /institutions (e.g. savings, capital, credit, etc.)

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Income (weekly or monthly) Food and non-food expenditure (weekly and up to yearly) Agricultural production assets (e.g. land/farm size, machinery and equipment, farm structures,

livestock) Physical assets (e.g. housing conditions, household items, transport facilities, etc.) Human assets (e.g. education levels, food security, and sanitation facilities, etc.) Food security (e.g. length of hunger months, and frequency of meals per day, etc.) Weekly dietary diversity (e.g. number of food items consumed during a week, etc.)

III. Access to PASIDP II project activities, information, market, financial services and otherassistance programs PASIDP II services (e.g. watershed management, agricultural trainings, etc.) Irrigation services (e.g. water frequency, water quantity, watershed management activities, water

user fees, WUA fees, etc.) Information (e.g. source of information, frequency of information received, etc.) Markets (e.g. crops, livestock, inputs, other consumer goods, travel time to markets, seasonality

of markets, etc.) Financial services (e.g. credit, savings, insurance etc.) Other assistance programs (e.g. PSNP, food-for-work, input-for-work, schooling, etc.)

IV. Shock occurrences, resilience measures, and risk and time preferences Vulnerability to shocks and resilience questions on adaptive and coping capacity (subjective

indicators) Related risk management and risk coping strategies related to the reported shocks Risk and time preferences (proxied by parameters drawn from experimental games)

V. Agricultural production systems Plot information (e.g. area, ownership, etc.) Crops grown Inputs used (both labor and cash inputs) Area cultivated and irrigated (including source of irrigation) Volumes harvested per unit area Volumes of crop produce Quantity consumed from own production Quantity and price received from crop sales (fresh, dry, and byproducts) Livestock raised Quantity and price received from livestock sales (both live and byproducts)

VI. Access to the closest landmarks Distance and travel to the closest dirt road (through GPS measurement) Distance and travel to the closest paved road (through GPS measurement) Distance to closest market (through GPS measurement) Distance to closest agricultural extension office (through GPS measurement)

The community survey in the baseline survey must collect relevant community-level information relatedto the access to agribusiness and financial linkages of the community members. It should include bothspatial and temporal indicators of access to information, markets, roads, and other landmarks. Theinformation should include both distance and travel time to the destinations, and should capture anydifferences in distance and travel time within the year.

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TABLE 47: BUDGET SUMMARY BY CATEGORY AND COMPONENTS

2016/17(2009 E.C)

2017/18(2010 E.C)

2018/19(2011 E.C)

2019/20(2012 E.C)

2020/21(2013 E.C)

2021/22(2014 E.C)

2022/23(2015 E.C)

2023 (2016E.C)

A. Investment in Small-scale Irrigation Infrastructure1. Irrigation Scheme Participatory Planning and Preparation 1,323.24 1,728.26 1,821.43 466.73 553.69 482.64 494.58 150.00 7,020.572. Small-scale Irrigation Infrastructure Development 11,812.04 27,428.87 31,477.40 16,912.38 8,919.99 830.95 24.77 - 97,406.40Subtotal 13,135.28 29,157.13 33,298.82 17,379.11 9,473.69 1,313.59 519.35 150.00 104,426.97B. Investment in Capacity for Sustainable Agriculture1. Agribusiness Linkages and Market Access 607.72 552.61 724.64 745.58 169.08 4.50 4.50 - 2,808.632. Capacity Building and Empowerment of Smallholder Farmers 824.99 1,253.76 1,577.32 1,982.72 1,474.43 821.91 164.72 - 8,099.853. Watershed Management 2,401.45 5,643.05 6,300.24 2,897.78 1,636.34 16.89 - - 18,895.74Subtotal 3,834.16 7,449.42 8,602.20 5,626.08 3,279.84 843.30 169.22 - 29,804.22C. Programme Management, M&E, Knowledge Management1. Learning and Knowledge Management 388.13 387.20 114.74 376.67 216.29 117.81 270.99 5.46 1,877.292. Program Management, Monitoring and Evaluation 1384.88 1384.08 1189.46 1400.61 1032.40 1116.77 1132.97 530.44 9,171.61Subtotal 1773.00 1771.28 1304.20 1777.28 1248.69 1234.58 1403.96 535.90 11048.90GRAND TOTAL OF A+B+C 18,742.45 38,377.83 43,205.22 24,782.47 14,002.22 3,391.48 2,092.53 685.90 145,280.09

Annual Cost (USD in 000) Total Budget

(000)Component

Budget Summary for seven years

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Amount % Amount % Amount % Amount % Amount % Amount %

A. Investment in Small-scale Irrigation Infrastructure1. Irrigation Scheme Participatory Planning and Preparation 4,954.77 3.41 1,000.00 0.69 295.17 0.20 770.63 0.53 - - 7,020.57 4.832. Small-scale Irrigation Infrastructure Development 77,035.04 53.03 - - 940.73 0.65 14,613.80 10.06 4,816.82 3.32 97,406.40 67.05Subtotal 81,989.81 56.44 1,000.00 0.69 1,235.91 0.85 15,384.43 10.59 4,816.82 3.32 104,426.97 71.88B. Investment in Capacity for Sustainable Agriculture1. Agribusiness Linkages and Market Access 2,195.46 1.51 - - - - 284.51 0.20 328.66 0.23 2,808.63 1.932. Capacity Building and Empowerment of Smallholder Farmers 1,271.74 0.88 - - 5,743.43 3.95 1,084.68 0.75 - - 8,099.85 5.583. Watershed Management 7,849.84 5.40 - - 2,898.61 2.00 526.95 0.36 7,620.34 5.25 18,895.74 13.01Subtotal 11,317.04 7.79 - - 8,642.04 5.95 1,896.15 1.31 7,949.00 5.47 29,804.22 20.52C. Programme Management, M&E, Knowledge Management1. Learning and Knowledge Management 978.60 0.67 - - 692.19 0.48 206.50 0.14 - - 1,877.29 1.292. Program Management, Monitoring and Evaluation 7,789.80 5.36 500.00 0.34 430.15 0.30 451.65 0.31 - - 9,171.60 6.31Subtotal 8,768.40 6.04 500.00 0.34 1,122.34 0.77 658.15 0.45 - - 11,048.89 7.61GRAND TOTAL OF A+B+C 102,075.25 70.26 1,500.00 1.03 11,000.28 7.57 17,938.73 12.35 12,765.82 8.79 145,280.09 100.00

TotalProgramme Workplan & Budget SUMMERY FOR (2016/17 to 2023) BY COMPONENT

ComponentIFAD loan IFAD grant ASAP GoE Beneficiaries

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Amount % Amount % Amount % Amount % Amount % Amount %I Training 2,983.12 2.05 - - 7,288.04 5.02 1,752.61 1.21 - - 12,023.77 8.28

II Works 78,230.29 53.85 - - 940.73 0.65 14,762.89 10.16 4,822.79 3.32 98,756.70 67.98III Consultancies 3,879.98 2.67 1,500.00 1.03 1,770.67 1.22 786.56 0.54 - - 7,937.21 5.46IV Goods services and inputs 10,070.76 6.93 - - 643.17 0.44 294.90 0.20 7,943.03 5.47 18,951.85 13.05V Salaries and allow ances 4,226.64 2.91 - - 357.67 0.25 85.54 0.06 - - 4,669.85 3.21

VI Operating costs 2,684.46 1.85 - - - - 256.24 0.18 - - 2,940.71 2.02Project Cost 102,075.25 70.26 1,500.00 1.03 11,000.28 7.57 17,938.73 12.35 12,765.82 8.79 145,280.09 100.00

Programme Workplan & Budget SUMMERY FOR (2016/17 to 2023) BY Category

Category by FinancersIFAD loan IFAD grant ASAP GoE Beneficiaries Total