TABLE OF CONTENTS ACRONYMS ..................................................................................................................... I GLOSSARY ..................................................................................................................... III CHAPTER I ...................................................................................................................... 1 1 INTRODUCTION ................................................................................................................................................... 1 1.1 Importance of Good Governance ................................................................................................................ 1 1.2 Principles of good Governance .................................................................................................................... 2 1.3 Introduction to GZD..................................................................................................................................... 2 CHAPTER 2 ..................................................................................................................... 5 2 METHODOLOGY ................................................................................................................................................... 5 2.1 RIPORT in GZAP ........................................................................................................................................... 5 2.2 Involvement of Govt. line departments ....................................................................................................... 5 2.2.1 Government Involvement............................................................................................................................ 6 2.2.2 Government (KP) Support ........................................................................................................................... 6 2.3 Organizing Communities into VCs ............................................................................................................... 6 2.4 Provision of Services to Farmers in Accountable Manner ........................................................................... 8 CHAPTER 3 ..................................................................................................................... 9 3 REVIEW OF IRRIGATION WATER GOVERNANCE MODELS .................................................................................... 9 3.1 Importance of Irrigation Water Governance............................................................................................... 9 3.1.1 Some Suggestions to Deal with Water Scarcity .......................................................................................... 9 3.2 Concept of Irrigation Water Governance .................................................................................................. 11 3.3 Irrigation Water Governance Models ....................................................................................................... 12 3.3.1 Andhra Pradesh, India ............................................................................................................................... 12 3.3.2 Latin American and Caribbean (LAC) countries ......................................................................................... 14 3.3.3 Comparison of Water Policies in Developed & Developing Countries ....................................................... 14 3.3.4 Indonesia ................................................................................................................................................... 15 3.3.5 China ......................................................................................................................................................... 15 3.3.6 Turkey ....................................................................................................................................................... 15 3.3.7 Mexico ....................................................................................................................................................... 16 3.3.8 The Netherlands ........................................................................................................................................ 16 3.4 Pakistan’s Experience ................................................................................................................................ 17 3.4.1 Designing an Appropriate Water Governance System for Gomal Zam Project ........................................ 18 3.4.1.1 Watercourse Association—1s Tier ........................................................................................................ 19 3.4.1.2 Federation of WAs—2nd Tier ............................................................................................................... 20 3.4.1.3 Farmers' Organization (FO)—3rd Tier ................................................................................................... 20 3.5 Khyber Pakhtunkhwa Experience .............................................................................................................. 21 3.5.1 Provincial Irrigation and Drainage Authority ............................................................................................ 21 3.5.2 Area Water Boards .................................................................................................................................... 22 3.5.3 Farmers’ Organizations (FOs).................................................................................................................... 23 3.5.3.1 Bye-Laws and Regulations for F.Os. ...................................................................................................... 23 3.5.3.2 Functions and powers of F.Os. .............................................................................................................. 23 3.5.4 3.5.5 3.5.6 3.5.7 Swat Canal System .................................................................................................................................... 24 Functioning of Swat Canal Area Water Board .......................................................................................... 24 Chashma Right Bank Canal (CRBC) System ............................................................................................... 25 Functioning of Chashma Right Bank Canal (CRBC) System ....................................................................... 26 CHAPTER 4 ................................................................................................................... 27 4 GOVERNANCE MODEL FOR IRRIGATED AGRICULTURE IN COMMAND AREA OF GOMAL ZAM CANAL SYSTEM . 27 4.1 Background ............................................................................................................................................... 27 4.2 Proposed Governance Model for Irrigated Agriculture under Gomal Zam Canal System ......................... 28 4.2.1 Gomal Zam Dam Canal Water Board ........................................................................................................ 28 4.2.2 Formation of Farmers’ Organizations ....................................................................................................... 29 4.2.3 Water Users Associations.......................................................................................................................... 30 4.3 Modification in existing laws required for better delivery of services ....................................................... 30 4.4 Indicators proposed for sustainable development of command area ...................................................... 30 4.5 Canal System Operation and maintenance ............................................................................................... 31 4.6 Recent Changes in Gomal Zam Project Increase Project Risks .................................................................. 31 CHAPTER 5 ................................................................................................................... 33 5 RECOMMENDATIONS ........................................................................................................................................ 33 ANNEXURE................................................................................................................... 35 NWFP IRRIGATION AND DRAINAGE AUTHORITY ACT 1997 ................................................................................................. 35 REFERENCES................................................................................................................. 54 ACRONYMS ADB Asian Development Bank ARI Agriculture Research Institute AWB Area Water Board AZRI Arid Zone Research Institute CCA Cultivable Command Area CDWP Central Development Working Party CRBC Chashma Right Bank Canal CTA Chief Technical Advisor D.I.Khan Dera Ismail Khan DC Deputy Commissioner ECNEC Executive Committee of National Economic Council FGDs Focus Group Discussions FOs Farmers’ Organizations GZD Gomal Zam Dam GZDCADP Gomal Zam Dam Command Area Development Project IMT Irrigation Management Transfer JUC Joint Union Councils committee KP Khyber Pakhtunkhwa LAC Latin American and Caribbean LOS Letter of Support M&E Monitoring & Evaluation NGO Non Governmental Organization O&M Operation & Maintenance OECD Organization for Economic Co-operation and Development OFWM On-Farm Water Management i P&D Planning & Development Department PHLC Pehur High Level Canal PIDA Provincial Irrigation and Drainage Authority PRA Participatory Rural Approach PWD Public Works Department RIPORT Institute of Policy Research and Training SCARP Salinity Control and Reclamation Project SCAWB Swat Canal Area Water Board SGAFP Small Grants Ambassador Fund Program SGW Saline Ground Water SRC Steering and Review Committee UCs Union Councils UNDP United Nations Development Program USAID United States Agency for International Development VCs Village Committees WAPDA Water and Power Development Authority WUAs Water Users Associations WUOs Water Users Organizations ii GLOSSARY Abiana: Water charges levied on use of irrigation water in accordance predetermined rate per acre per crop. Bund: Earthen flow diversion structure. Cultivable Command Area: Cultivable area having water right under Gomal Zam Canal. Farmers’ Organization (FO): Representatives from a number of WUAs at a minor/distributary level for an association called Farmers’ Organization. Gandi/Sad: Any obstruction constructed across the bed of torrent or its branch for diverting flood flows towards the fields. Haqooq: The area on channel having water rights out of hill torrents. Karezes: Under ground watercourse usually practiced in Baluchistan. Mogha: Uncontrolled outlet from parent canal to watercourse. Public goods and services: A product or service that one individual can consume without reducing its availability to another individual and from which no one is excluded. Rod Kohi: Irrigation from hill torrent. Warabandi: Rotational method for equitable distribution of available water in an irrigation system by turns fixed according to a predetermined schedule specifying the day, time and duration of supply to each irrigator in proportion to the size of his landholding. Water Intensity: Volume of water passing per second. Water Users Association: Association of farmers having water right on a water course. Zam Local term for perennial flow in hill torrent irrigation system service area iii CHAPTER I 1 INTRODUCTION 1.1 Importance of Good Governance Good governance and proper management of an irrigation system through stakeholders is the sine qua non of developing trust between the state and its citizens. It is based on justice and employs the rule of law for determining rights and quotas where patronage is not considered a good practice. Such an approach is recognized as one of the most important component of a successful CCA development model. It was in this background that the Secretary General of the United Nations stated that “Good governance is perhaps the single most important factor in eradicating poverty and promoting development”1. Keeping in view the importance of good governance, a potential model is suggested for the socio-economic development and poverty eradication from the command area of Gomal Zam Canal Project. The governance is about exercising authority within a framework defined and protected by law with the goal of providing common public goods and services. The Asian Development Bank (ADB) defines governance as the manner in which power is exercised in the management of a country’s economic and social resources for development. Governance is the exercise of political, economic, and administrative authority in the management of a country’s affairs. It comprises the mechanisms, processes, and institutions through which citizens and groups articulate their interests, exercise their legal rights, meet their obligations, and mediate their differences.2 Agricultural governance is concerned with increase of growth and development of a country’s agriculture sector and managing the consequences of this process through the effective functioning of its institutions, the application of technology and scientific innovations, and the implementation of policies, adherence to acts and regulations, and active participation of all stakeholders leading to long term sustainability of the irrigation system. The involvement of other actors in the provision of public goods, individually or organized in groups, associations, cooperatives, societies or networks is what sets governance apart from government. These actors may vary depending on the level of governance being considered. At the local level, they may be farmers’ groups, associations and cooperatives, field units of extension and research organizations, NGOs, microfinance institutions, political parties, etc3. 1 Kofi Annan in Annual Report to the General Assembly of the United Nations, 1998. Good Agricultural Governance, A resource guide focused on smallholder crop production, by Subash Dasgupta Indrajit Roy, Bangkok 2011 3 Ibid (2) 2 1 1.2 Principles of good Governance The United Nations regards good governance as having eight major principles to formulate a realistic model based on such principals for natural resource management.4 1. Participation 2. Consensus-orientation 3. Accountability 4. Transparency 5. Responsiveness 6. Equity and inclusiveness 7. Effectiveness and efficiency 8. Consistency with the rule of law. 1.3 Introduction to GZD Gomal Zam Dam (GZD) is a hydro-electric power and irrigation project in northwest Pakistan. It sits on the Gomal River in the South Waziristan Agency and impounds the river at Khajuri Kach. It is an arched, gravity-type roller-compacted concrete dam with a height of 437 feet, and has a gross storage capacity of 1,140,000 acre feet. It can irrigate about 191,000 acres of land, and produce 17.4 MW of electricity. Initiated by WAPDA as the executing agency in July 2002 and with completion scheduled in February 2013; there are four major components of this 12 billion rupees worth scheme: Dam & Spillway, Diversion Tunnel, Hydro Power, & Irrigation System. Of the four it is the irrigation related component that is facing the most delays and posing the most challenges. To better understand the reasons for the same, it is important to first look at the backdrop. In KP, Districts Tank and Dera Ismail Khan in their role as upper and lower riparian of Gomal River would be directly affected from this project. As the Gomal Zam project’s irrigation system would, with the construction of a 63km long canal and 369km long distributaries, irrigate the Cultivable Command Area (CCA) of over 191,000 acres spread over 10 UCs in the two districts. Prior to Gomal Zam Canal irrigation project, the area was irrigated through a traditional spate irrigation system known as Rod-Kohi, which consisted of utilizing hill torrents for irrigation by the construction of temporary dykes. The controlling structure is made of soil that is formed as a barrier across the torrent usually constructed through use of oxen and tractors. This structure controls the heavy flow and at secondary level diverts water to sub streams. The core principle involved by the controlling structure is to (i) control flow of water intensity and (ii) distribute water into further small canals for use in the fields. What is good governance? United Nation Economic and Social Commission for Asia and the pacific, No Date, UNESCAP. 4 2 These small torrents (wah) are further controlled by other structures in order to divert water to tertiary level known as Gandi, Ghatta or wakra. Each structure controls and diverts water according to size of stream/Nullah. Water at tertiary level enters into fields. It is previously decided by the stakeholders and government staff what areas will be irrigated according to rights. Saroba-Paina System is the most important rule of distribution of Rod-Kohi irrigation water. Saroba refers to head and Paina means down or tail in local language. It describes the division of water into different streams, villages, areas, individual fields according to time and amount. The local farmers have made rules that certain areas have irrigation rights only and these command areas are known as Raqba Mutalliqa – literary meaning ―area concerned. The procedures adopted states that the upstream farmers have first right of water for their fields and can use as much they can. In case of smaller flow water is then applied only there and Sad/Gandi is not broken and remains there till next flood. Upon occurrence of second flood/flow then depending on the requirement, season, climate, and wish of upstream users, water is applied to Saroba fields or allowed to flow down. On smaller hill torrent Saroba Sad/Gandi can remain till water is applied to all fields having rights of irrigation (Raqba Mutalliqa or Peech). The Sad can remain there for several years till intensity of flood forces a breach or is intentionally broken by Saroba farmers under the local laws already described. The idea to provide support to the communities of GZD beneficiaries, for smooth transformation of their role from Rod-Kohi irrigation system to canal irrigation system, was first advocated by Regional Institute of Policy Research and Training (RIPORT) and was subsequently supported by USAID – SGAFP as well as the government of KP. Before designing the project interventions several reconnaissance visits were made by RIPORT to obtain maximum information. Meetings were held with communities, district administration, and agriculture experts in Gomal University, agriculture department, WAPDA, OFWM, CRBC and GZD engineers from both the districts of Tank and D.I Khan. The result of these meeting and needs identified during reconnaissance visit was shared with P&D department. USAID – SGAFP subsequently approved the proposal of Gomal Zam Command Area Advocacy Program (GZAP) for implementation in Tank and D.I Khan Districts. The goal of GZAP is to “Strengthen the rural communities and to mitigate the danger of conflict expected to arise because of the shortage of availability of water and issues connected to the design of different intensities of irrigation in the CCA”. The GZAP aims to mobilize the local community for the introduction of appropriate irrigation, agricultural and other related practices in the CCA of the project. RIPORT conducted field visits and united the communities through formation of Village Committees (VCs), this was to be the forum to represent communities at the Union Council level and would actively work for the development of their village. RIPORT created 33 VCs that were provided with training and exposure by making visits to Chashma Right Bank Canal Project (CRBC) for learning purposes. The government of Pakistan initiated the CRBC project in 1979 for supply of irrigation water over to 570,000 acres of land (350,000 acres in district D.I.Khan of KP and 220,000 acres in D.G.Khan district of Punjab). The CRBC area and farmer characteristics are similar to the profile of land and customs of farming and thus could be beneficially case studied for the GZ area. 3 To establish long term institutional sustainability of the project and its continuation after completion of the current phase, RIPORT also established a Joint Union Councils committee (JUC) composed of representatives from village committees and agriculture and irrigation departments for continuance of the consultation mechanism. The JUC was formally registered with the KP Department of Social Welfare as a civil society organization under the Voluntary Social Welfare Agencies, (Registration and Control Ordinance 1961) Ordinance No. XLVI of 1961. 4 CHAPTER 2 2 METHODOLOGY 2.1 RIPORT in GZAP This creation of the current governance model is a joint effort of the RIPORT and the University of Agriculture, Peshawar. The university was engaged by RIPORT under an agreement to conduct a Research Study on Transition from Traditional Agriculture to Irrigated Agriculture in Gomal Zam Command Area, District D.I.Khan and Tank as well as support RIPORT in formulating a Governance Model. Dr. Muhammad Zulfiqar and Mr. Rizwan Ahmad contributed on behalf of the AUP, while from RIPORT the task was supervised by Khalid Aziz, team leader, Muhammad Yousaf Khattak (CTA) and the RIPORT Field Team operating in Tank and DI Khan supported by community mobilization experts. The methodology adopted was as under:RIPORT established a Project Management Unit (PMU) in district D.I.Khan and carried out GZAP activities in 10 UCs of D.I.Khan and Tank. This USAID – SGAFP – RIPORT Rs 19.8 million funded GZAP began in March 2013 was to last for 10 months in its current phase. The project will conclude by the end of December 2013. During its implementation phase, various activities were undertaken like, Focus Group Discussions (FGDs), Village Committees (VC) formation, Joint Union Council (JUC) formation, Awareness Campaigns, CRBC exposure visits, training for VCs, training for JUC and holding community meetings at village level by locals that identified important issues at grass root level. The project was divided into three phases. Phase I – included data gathering, human terrain mapping, making networks and identifying bottlenecks through extensive consultations with communities, key-informants and interacting with government departments in the region. It also included staff selection, training and orientation, formation of VCs and other activities, phase II was building the capacity of the formed VCs and undertaking awareness sessions that lasted about 03 months. The last phase of 03 moths was utilized for registration of JUC and conducting JUC meetings to identify the village level issues. 2.2 Involvement of Govt. line departments Government of KP was involved in the GZAP project from the start and in this regard various meeting were conducted before implementation of project at field level. Meeting with agriculture department and detailed discussions about expected outputs of GZAP project were conducted. Government. of KP encouraged RIPORT efforts and assured its support for successful implementation of the project. At district level a series of meetings were conducted with a very proactive Commissioner and Deputy Commissioners (DCs) of both D.I.Khan and Tank districts. The GZAP project was welcomed by district administration and all relevant line departments i.e. irrigation, agriculture, livestock, agriculture extension, on farm water management (OFWM) and WAPDA. The project experienced a high degree of ownership by the stakeholders. An indication of its success can be judged from the fact that a major part of the project area has been experiencing insurgent activities and in some cases the project are also saw anti-insurgency operations. However owing to RIPORT’s professionalism and the support of communities its work was not interrupted expect when for a few days staff was kept out of operation areas for some days 5 2.2.1 Government Involvement For the better coordination and implementation of the project, RIPORT advocated the creation of a Steering and Review Committee (SRC) in the Planning and Development (P&D) department that has representatives of all the stakeholders to undertake budgetary and apex coordination. The purpose of SRC is to ensure that the project activities of GZD are in line with the approved project outcomes as in the PC1 and to render advice for improvement of project results. It is to meet once every three months. Its first meeting is expected before the closure of the project. 2.2.2 Government (KP) Support To support RIPORT activities the P&D Department provided a Letter of Support (LOS) where various government line departments were requested to keep close interaction with RIPORT staff, the same was also disseminated to the line departments at district level. Adoption of Participatory Rural Approach (PRA)5 PRA is a techniques that allows stakeholders in rural communities to analyze their problem and develop plans to solve collectively and with mutual consultation the issues confronting them . It has been defined as “Any systematic activity designed to draw inferences, conclusions, hypotheses or assessments, including acquisition of new information in a limited period of time”. The methodology is popular and has been used in the identification of community problems, and for monitoring and evaluation of ongoing activities. The activities conducted included the following. i. Participatory Mapping ii. Group Meetings iii. Review and discussion on existing laws iv. Focus Group Discussion v. Case studies 2.3 Organizing Communities into VCs VCs’ formation in GZAP was the core function and a most important component of the project. Success of every project is based on active formation/participation of village VCs. Keeping in view project importance and its future implications on the rural communities, RIPORT staff formed active and strong VCs’ and ensured that each VC will conduct monthly meetings to highlight their irrigation and agriculture issues. Initially, mobilization were done in the targeted area where residents were informed about the GZAP and its objectives, at this stage Key Informants were also identified. To reach the actual/primary beneficiaries Deputy Commissioners (DCs) were kept in the loop during identification process and a list of community member (farmers) were provided. Through 5 A Manual on Processing and Reporting of Participatory Rural Appraisal (PRA) Data for Natural Resource Management, January 2006, Topic 4, Page 3. 6 mobilization, meetings with key informants and stakeholders, VCs were formed in the targeted UC/villages. Farmers’ organizations were formed at village and UC level after active mobilization in a participatory manner. The approach is depicted in the diagram below: After completing the mobilization process at village level, VCs were formed at the first level, i.e. at community level. Each VC comprised of 20 farmers representing their villages A VC then elected a president and a secretary from amongst its members. VCs were to hold their meetings on a regular basis with all the members required to be present. Minutes of the meetings were issued and maintained in VC record. Additionally, the VC members were encouraged to hold these meetings in their homes on rotational basis. This would take the burden off the president of the VC to hold every meeting at his home. Each of the VC member was to work in close coordination with the village farmers and assist in increasing the VC coverage by visiting other farmers and guiding them about modern irrigation system and good practices. At the upper level (UC level), the JUC is formed with the aim to highlight issues related to irrigation and agriculture to district administration in their bi-monthly meetings under the patronage of the senior most civil officer in the division, i.e. the commissioner D.I.Khan. It is the apex body of farmers at UC level and the committee is led by a president and general secretary. The JUC has a general and an executive body. The general body is made up of one elected member from each VCs at village level. Members of general body then elect an executive body consisting of president, general sectary, finance sectary, press secretary and 3 other 7 members thus making a total of seven members. Commissioner D.I.Khan will be responsible for election and selection of executive body members of JUC. The process will be done once every two years. 2.4 Provision of Services to Farmers in Accountable Manner Government of KP has the responsibility to provide farmers of the command area various services related to agricultural development. The challenges faced by the government line department i.e. agriculture, irrigation and other related institution is to find effective ways for sustainable and accountable system to increase crop production in the command area. Devising such an accountable system and methods will be the function of the JUC and SRC. Agriculture is the backbone of the KP economic and the main source of livelihood for more than 75% of the population that lives in rural areas. To improve the level of services the government of KP provided the LoS to RIPORT to implement the GZAP thus showing its interest in the welfare of the rural community. The following government line departments provide services to communities and strengthening their functioning will improve the income levels of the farming communities in the command area: 1. Agriculture Engineering Department 2. Soil Conservation Department 3. Irrigation Department 4. Forest Department 5. Agricultural Extension Department 6. Agriculture Statistics Department 7. On-Farm Water Management Department 8. Livestock and Dairy Development Department 9. Agriculture Research Institute (ARI) D.I.Khan 10. Arid Zone Research Institute (AZRI) D.I.Khan 11. A Field Station for Water Resources Research Institute 8 CHAPTER 3 3 REVIEW OF IRRIGATION WATER GOVERNANCE MODELS 3.1 Importance of Irrigation Water Governance A foremost requirement of any good water governance system will be the equitable supply of irrigation water to the farmers and the efficient operation of the water delivery system that leads to increase in agricultural productivity and betterment of socioeconomic condition of rural communities. Water Governance according to The Global Water Partnership6 defines it as “the range of political, social, economic and administrative systems that are in place to develop and manage water resources, and the delivery of water services, at different levels of society”. It may be noted that water governance is concerned with how decisions are made in terms, by whom, and under what conditions?7 Irrigation water governance thus is crucial for world food production and poverty reduction the world over this can be realized from the fact that, during 1980s, about 40 percent of all increase in food production in developing countries was attributed to expansion of capacity in irrigation system. Moreover, in the last fifty years, the land under irrigated agriculture has increased threefold8. Despite its vital importance, water in the agriculture sector is being treated as a free good, both in its application and pricing, that encourages its wasteful use and therefore causing a huge loss that reduces total food production. Pakistani irrigation system including in Khyber Pakhtunkhwa has been suffering from inadequate operation and maintenance due to low funding, inequity in water distribution due to feudal and the system of patronage as well as poor participation by farmers. This situation threatens the operation of the irrigation system and forces it to operate below the optimal level9. The effective and efficient management of irrigation needs a high degree of collaboration among farmers and the state. The effective management of irrigation water becomes necessary as the use of other agricultural inputs such as fertilizer, high yield-varieties, insecticides and pesticides depend on it. 3.1.1 Some Suggestions to Deal with Water Scarcity The design of the Gomal Zam project faced the following difficult choices; Under the previous prevalent spate irrigation system, water sharing was institutionalized under a record of right. Thus conversion to an assured system of year round supply of water through irrigation meant provision of water in proportion to previous shares. Yet how was this if the designed availability of water was meant to encompass 191,000 acres out of the possible ‘rights holding area of 271,159 acres? The design of the project also tried to obviate future tension of claimants who had a higher water usage by providing varied irrigation intensities; although this measure 6 ROGERS, P. 2003. Moench et al. 2003. 8 Fairchild and Nobe, 1986. 9 Wade, 1982. 7 9 may have solved one set of problems, yet it created another set of problems by as farmers are used to having similar intensities in the design. In this connection the following irrigation intensities are prevalent: o 37,025 acres will have 120% intensity of irrigation o 30,000 acres will have 100% intensity of irrigation o 164,114 acres will have 60% intensity of irrigation Since water will be at a premium it is necessary to ensure that the small amount is made to go a long way and the best way to make that happen is through: By establishing a strong stake holder’s consultative process By organizing the farmers and their education about water conservation Appropriate agri practices highlighted in the Research Report designed and published for this project Laser land leveling Keeping the canal and water supply channels in clean condition to prevent seepage & wastage Introduction of more efficient water irrigation practices like drip irrigation, ponding of rain water etc Using appropriate seed that can sustain higher temperature and drought conditions Adequate crop storage facilities and availability of marketing information etc To enable the above suggestions the PC 1 of the project must provide adequate funds for such measures to be undertaken immediately. Clearly farmers’ participation is crucial in command area decision making related to; 10 System Management, System Organization, Creating financial sustainability System Development10. Cernea, 1985. 10 One of the most ignored and underrated aspect of irrigation practices in the past was an absence of consultative mechanisms for water users. Participatory decision making in the field of irrigated agriculture is thus relatively a newer phenomenon and is considered to be a good mechanism for handling irrigation issues of the farmers Experts are agreed that to improve efficiency and productivity of agriculture and irrigation, the role of water users at watercourse level and the whole canal is crucial for optimum management of scarce irrigation water11. It has been noted that agricultural productivity is generally lower than its potential.12 There are multiple causes for such an outcome. The most important being the lack of space provided to farmers in participatory decision making and in the management of the water delivery system and in the day to day decisions for the adoption of new technology. Encouragement of empowered participatory mechanisms will lead to higher productivity. 3.2 Concept of Irrigation Water Governance The Global Water Partnership defines water governance as “the range of political, social, economic and administrative systems that are in place to develop and manage water resources, and the delivery of water services, at different levels of society”. 13 Irrigation Water Governance is not a new subject and goes back many centuries. The seminal work done in this field by the famous German sociologist Karl Wittfogel found that the Middle East and Asiatic empires of the past became wealthy and great civilizational powers due to good water governance.14 The UNDP recommends that water governance should entail; i. The formulation, establishment and implementation of water policies, legislation and institutions. ii. Clarification of the roles of government, civil society and the private sector and their responsibilities regarding ownership, management and administration of water resources and services. Recognizing the various types of issues confronting the farmers in the command area it is essential that community approach to the establishment of sound water governance based on the following mandatory principles should be adopted: i. The heart of the community based approach is based upon consultation and for that purpose the formation of water users associations that are transparent, inclusive, equitable, coherent and integrative is strongly recommended ii. State organizations must be open to stakeholder led system performance evaluation and system operation must be accountable, open, transparent and responsive to local needs. 11 Uphoff, 1985 and Kalshoven, 1989. Bandaragoda and Memon, 1997. 13 ROGERS, P. (2003). 14 Karl Wittfogel, The Hydraulic Civilizations, Chicago, 1956 12 11 3.3 Irrigation Water Governance Models Globally, irrigation water governance is based on the principles elaborated above but adjusted for local circumstances. However the adoption of the core principles elaborated above assures greater control to the farmers. Given below are examples how good water governance is practiced in some countries: 3.3.1 Andhra Pradesh, India While analyzing irrigation governance challenges in Andhra Pradesh, India Sanjay15 states that governance is about institutions that provide opportunity and sustainability of irrigation water delivery, including financial sustainability, transparency of procedures and equity of access to irrigation water by all right holders. The ever increasing demand for irrigation water in the state would turn water into a scarce commodity in the future. Thus, with limited water resources available governance and water management related approaches will need to be effectively and equitably adopted to address demands of economic growth and development. The following are the lessons in irrigation governance reflected in this case: The need to have trained and skilled water managers who have a consultative approach to problem resolution and system sustainability handled through consultations, Sanjay further states that change and reform are continuous and needs regular revisiting to review structural requirements, challenges, issues and policy related actions to achieve the goals. A good water governance approach is to work towards self-governance, which would be participatory in nature, consensual in orientation, accountable, transparent, responsive, effective and efficient, equitable and inclusive and upholds the rule of law. To achieve above stated goals, the government of Andhra Pradesh created an organizational structure with four tiers: 15 o The Andhra Pradesh Water Regulatory Commission at the state level as an apex body. o A restructured Irrigation Department o A powerful Farmer Organization. The Andhra Pradesh Water Regulatory Commission is constituted to have a holistic view of state water resources, regulation, performance, convergence and coordination among various water sector related departments. The broad functions of the Water Management Committee include water sector overview, setting guidelines for efficient water use in various sectors and related services, promoting research and analysis in water resource management for future policy formulations and reforms, fixing rates for various water uses, monitoring water quality and water pollution and harmonizing the existing policies. The Chief Secretary chairs this Committee that also includes other Secretaries of various water user departments. Sanjay Gupta (2012) 12 The Water Regulatory Commission also lays down performance standards of service delivery by various service providers, both government and private. The Commission has jurisdiction over the entire water sector and services like irrigation, drinking water, industrial water, handling threats to water pollution etc. It consists of a Chair Person and three experts from the field of Irrigation Engineering, Ground Water, Agriculture/Economics and Finance/Revenue. The Commission assists the state government in implementing policies and provides required oversight and guidelines. The Water Management Regulatory Commission may also request expert advice from time to time. The Commission also provides technical support to the Water Management Committee. The following are some of the kinds of tasks that it performs: The Re-organization of Irrigation Department to shift its working from design, construction and repair to developing management plans that include: o agriculture practices strategy for each plantation season, o revenue generation for system sustainability, o livelihood support approach, o networking with other state agencies and utilizing the various water bodies to obtain the desired results. Thus its major task is to bring about institutional restructuring, including reform of departments to deliver a holistic result. It is for this reason that Andhra Pradesh is a pioneer in enacting statutory provisions for de-centralizing irrigation management by transferring responsibilities and building capacities of farmers’ organizations. The Andhra Pradesh Farmers Management of Irrigation System Act, 1997 provides for a three-tier farmer organization: Water User Association, Distributary Committee Project Committee for major irrigation projects, two tiers for medium scale irrigation projects with o Water User Association o Project Committee It has a single tier for minor irrigation projects i.e. only Water User Associations. The government has completed elections of 10800 Water User Associations, 323 Distributary Committees, 23 Major and 60 Medium Project Committees and has thus formalized the stipulations of a decade old legislation. The empowerment of farmer organizations to assume the responsibility as enacted in the Act is a key requirement of the decentralized management of the irrigation infrastructure and sustainability. To begin its reform process the following path was adopted: 13 The first task was to undertake a mapping of the capacities of various stakeholders both the primary and secondary stakeholders who would be central for building the new structure. Circle level training centers were established providing a platform for the WUAs in each circle for capacity enhancement and for exchange of views among fellow WUA members. Detailed modules for the WUAs, DCs and engineering staff were prepared and implemented, covering various requirements as identified in the needs assessment, which also included exposure visits to other projects within or outside the state. A general awareness campaign on water management and services to be delivered by the farmers’ organizations was arranged as part of the strategy for transparency. The goal of the capacity building was to achieve efficient water management, including transparent and accountable water management. The Act envisaged the constitution of four sub-committees of farmers for discharge of the responsibilities assigned to Water User Associations. These sub-committees distributed responsibilities to avoid centralization of power in the hands of a few farmers. The capacity building program targeted these sub committees for capacity building. The sub committees were works committee, water management committee, M&E committee, financial management committee, management and territorial committee. All these committees are composed from the general body of the farmers. The reformed system is supported both by the state and district governments. Constitution of Farmer Field School approach is adopted so that farmers’ capacity building is done through learning. Linkages of the farmers’ organizations with the agricultural university has been created to formalize the lab-to-land concept. 3.3.2 Latin American and Caribbean (LAC) countries Akhmouch16 in an OECD report examined the governance of water policy in Latin American and Caribbean (LAC) countries. He found that the governance of water, mostly in LAC countries is fragmented and that greater efforts to co-ordinate water with other policy areas are crucial to maximize poverty reduction related benefits. He emphasized the need to design integrated water policies that are implemented through effective water governance mechanisms that are context-specific, flexible and beneficial to the poor. In LAC water outcomes are decided mostly by others than water managers. Farmers respond to price signals for water, energy, output prices and subsidies they receive from government. Besides, agriculture is the largest consumer of water as well as a major source of water pollution. Support for agricultural production and subsidies for inputs continue to misalign incentives to farmers and aggravate overuse and pollution of water. 3.3.3 Comparison of Water Policies in Developed & Developing Countries A study by the International Commission on Irrigation and Drainage17 reveals that prior to 1960, a traditional method of local management of water resources for different uses was 16 17 Akhmouch, A. (2012). Suresh A. Kulkarni, and Avinash C Tyagi 14 prevalent in many countries around the world. The developed countries such as France, the Netherlands, Germany, Spain and Portugal started using local management models through social cooperative processes in overall water governance. The ‘Water Boards’ of the Netherlands, is one such example of well-established organizations of participatory management of water resources. In developing countries such as Iran, India, Sri Lanka and Indonesia that did not have stable governance during the Medieval period, the local communities came together to develop local water resources and irrigation systems to ensure water availability for agriculture. Many of these systems were the outcome of cooperation between clusters of villages, sometimes supported by the local rulers. One of the most successful government efforts to promote user participation in irrigation management is in the Philippines. There more than 5600 communal irrigation schemes cover almost half of the irrigated land. They conduct O&M and operate on a self-financing basis with technical assistance from a network of Irrigation Community Organizers. 3.3.4 Indonesia In Indonesia, the government sought to turnover small - scale irrigation systems to WUAs, when under-financing of O&M began to threaten system sustainability. The WUAs were given legal rights and technical assistance to take management responsibilities. Success of the program is said to be due to early inclusion of farmers in design and creation of the WUAs. 3.3.5 China In China, after the demise of People's Communes in 1983, government investment in irrigation dropped to a small fraction of its previous level and many experienced staff left. So far-reaching reforms were introduced in 1985 that allowed provincial and county governments to create Irrigation Districts which could set their own water charges according to O&M costs, though provincial governments placed a ceiling on fees that could be charged. By 1988 it became illegal for the central or provincial governments to subsidize irrigation O&M. To bridge the financial gap, Irrigation Districts were encouraged to take up diversified sideline enterprises, and in many cases they earned enough from their side activities (such as pump and bicycle workshops, equipment rentals, even petrol pumps and hotels), that they provide cheap water to the farmer members. Productivity has thus increased considerably.18 3.3.6 Turkey In Turkey irrigation management reform was implemented after 1991 to reduce government expenditure and to bring down the high rate of inflation. The general approach was to create a downward link between the irrigation agency (a division of the PWD) and local governments—which contrasted with the community development method followed in many Asian countries. Large parts of irrigation systems now are transferred to Irrigation Associations/ Groups. These Groups are organized by village or municipal heads, or through existing cooperatives. In 1993 the Accelerated Irrigation Transfer Program began 18 Johnson III et al. 1996. 15 in 4 large pilot commands, facilitated by a national policy to promote privatization as an aspect of democratization. The Irrigation Associations earn 92% of their income from irrigation fees19. Because decisions on these reforms were taken high in government and with sufficient political will, Turkey is making more rapid progress in this process. 3.3.7 Mexico In Mexico, during 1989 income from water paid for only 15% of O&M costs and the government had a severe debt crisis. So the President issued a decree to transfer O&M responsibilities to farmer managed Irrigation Districts, expecting to increase both users' contribution and investment, and efficiency of water use. This was done quickly and systematically; WUOs of about 1000 farmers covering an average of 10,000 ha each having their General Assembly, were grouped into Water Districts of about 10,000 members. Farmers in some areas refused to pay higher irrigation fees, but such problems were overcome by a large training program. A legal framework laid out the rights and obligations of WUOs. The government agency remained responsible for the head works, monitors the system, and provides support services to the WUOs. The main elements of this success story are political will, administrative determination, a legal framework, and good communication and training of farmers. 3.3.8 The Netherlands In case of the Netherlands20, the local and regional water management is largely decentralized. Water boards play a key role in this as a decentralized functional government authority. They can focus fully on water governance, which is thereby made immune to political whims. The Dutch water boards keep pace with developments in society. Although organizational structures, financial charges and the legislative framework are adjusted and updated continuously, the basic elements and principles remain intact. These are: The existence of a democratic structure that allows for the input from and involvement of stakeholders; linking payment to input makes it possible to balance money against means at the local level (no taxation without representation). Integration into public law and administration as a guarantee of `good governance' and the protection of cross-boundary interests. Financial independence and reliability guaranteed by the existence of the water board's own decentralized taxation area. Having such a local taxation area is also of great significance for obtaining long term loans for large investments. For a long time the unique water governance structure in the Netherlands has been taken for granted. In the recent national debate about climate change and its consequences there has been a renewed interest in the institutional role of the water boards. There are many types of approaches in the method of water governance that are influenced by history, customs and usage but it has been found that decentralization of water management is definitely the right answer to the problem of management of irrigation waters. 19 20 Cagil, 1996; Svendson and Nott 1997. Rafael, L and Poos, D (2004). 16 3.4 Pakistan’s Experience Pakistan after reviewing the international experience has modelled its approach by adopting the institutional framework of Area Water Boards under the PIDA (Provincial Irrigation and Drainage) Act passed in July 1997 and similar Acts passed by the Provinces. The canal systems built in Pakistan by the British going back a century and a half, were managed by an engineering bureaucracy which evolved into the PWD and later into Irrigation Departments, with a highly centralized technocrat mode of management. Functioning of the irrigation system was under the Canal and Drainage Act 1873 and rules made under it till the enactment of PIDA Act 1997. The water rate/abiana was collected under Land Revenue Act 1967. Under Canal and Drainage Act 1873, the infrastructure relating to canals including distributaries and minors as well as operation and maintenance of the system was entrusted to engineering wing whereas the special Revenue staff was responsible for fixing water rates (abiana) and its collection was placed under the Irrigation Department. After independence, Pakistan invested heavily in new irrigation systems while keeping the technocrat system of management unchanged, and the investment resulted in vast production increase, which supported quadrupling of population in 50 years. But pressures are now building for reforms in irrigation management in line with those going on in most countries. The needs of the sector in Pakistan are multiple: to rapidly increase production to feed a higher population, to reduce costs to government, to deal with maintenance of the irrigation infrastructure The present irrigation management system is no longer able to deal with problems such as: Waterlogging and salinity, Poor drainage, Deferred maintenance, Inability to mitigate farmers’ complaints about water distribution inequity. It is important to note that about 70% of irrigation O&M funds are spent on establishment costs. There is minimal stake-holder consultation, and a lack of transparency leading to abundant complaints of patronage in water distribution that is lowering efficiency and productivity 17 3.4.1 Designing an Appropriate Water Governance System for Gomal Zam Project The following are the lessons learnt in projects and experiences in D.I Khan and Pakistan that will be of relevance for adopting the best practices to develop a system of water governance for the Gomal Zam Project. 21 In the Swat Valley and other parts of Khyber Pakhtunkhwa there are many community based civil canals that have for centuries been essential to subsistence. The techniques and financing of communal managed systems are well documented; in Khyber Pakhtunkhwa these canals are usually managed by the village tanzeems (councils), which have clear water rights, rules, and sanctions of ancient usage. The region has a tradition of collective effort while constructing Karezes whose costs are prohibitively high for individuals; thus they were constructed collectively; since their maintenance is also expensive, that too is undertaken collectively. The former habit of rural societies for collective effort has suffered negatively when the larger farmers began to install tubewells, leaving the poorer small farmers to maintain the canals. This caused two consequences: o Tubewells lowered the water table as experienced in various parts of Pakistan including D.I Khan. o An unintended consequence of tubewell development was that since the traditional rural leaders became autonomous in the availability of water for agriculture the canals were normally left for the community to manage. The community was thus left to fend for itself in the absence of the traditional leaders. o Thus over a period of time, the influential farmers, who happened to be the local leaders, separated from the communal copse of people. This led to loss of leadership for the people; fragmentation of the community; inability to organize water associations as the state agents had subtracted themselves. A further impact of tubewell was even more lethal. When the traditional leadership did not prevail in matters related to water distribution, their space were occupied by new power structure that led to a further fragmentation of the community and at times became adversorial to the state. o Pakistan's canal irrigation system is based on what is called ‘warabandi’. It is a rotational method for equitable distribution of available water in an irrigation system by turns fixed according to a predetermined schedule specifying the day, time and duration of supply to each irrigator in proportion to the size of his landholding in the outlet command.21 It is practiced at the tertiary (watercourse) level where water distribution is based on a rotational system of growers getting water in their turn. Singh 1981and Malhotra 1982. 18 o The warabandi is a continuous rotation of water in which one complete cycle of rotation lasts seven days (or in some instances, ten and a half days), and each farmer in the watercourse receives water during one turn in this cycle for an already fixed length of time. A certain time allowance is also given to farmers who need to be compensated for conveyance time, but no compensation is specifically made for seepage losses along the watercourse22. o The warabandi which has been decided by the farmers solely upon mutual agreement, without formal involvement of any government agency, is known as ‘Kacha’ (unregulated), whereas, the warabandi decided after field investigation and public inquiry by the Irrigation Department, where it is disputed and is the result of adjudication is known as ‘pacca warabandi’. Officially warabandi turns are not sold or traded but unofficially the poor and impoverished peasant farmer with very small holding are known to sell their rights to richer farmers. o During the decade of 1960 the government laid emphasis on streamlining agriculture to increase production. One innovative and sound policy adopted as law was to permit the consolidation of land holdings. It led to rationalization of land ownership by creating blocks that could be more amenable to mechanization and land levelling and accessible to the farmer. Since holdings are often meagre in the Gomal Zam CCA there is a need for the revival of land consolidation law. Pakistan in 1996 adopted the Provincial Irrigation and Drainage Authorities Act (PIDAs) to organize irrigation. In the former NWFP it was adopted in July 1997 by Act called NorthWest Frontier Province Irrigation and Drainage Act, 1997 (Act V of 1997) passed by the provincial assembly. The act created Area Water Boards that were to be the apex formation for ushering this change that would have led to privatization of irrigation, develop a water market and would have created greater sustainability for canal irrigation. However, the technical experts that man irrigation net-works have not owned this reform and it thus remains weak and ineffective. It is another example of poor implementation capacities in the KP province where many reforms have been initiated but are not implemented. However, the basics of the system has been tried while implementing On-Farm Water Management (OFWM) project. It is described below: 3.4.1.1 Watercourse Association—1s Tier About 26,000 Water Users Associations (WUAs) were formed under OFWM and have been effective till partial lining of the watercourses and sometimes till installing ‘pakka nakkas’ and for land leveling, but have seldom been active beyond two years. They were formed with a narrow mandate, without input of sociological expertise, without training of farmers in institutional affairs, and without authority to deal with water supply 22 Bandaragoda and Rehman, 1995. 19 or collection of water charges. It apparently seems as if the technical bureaucracy wanted them not to succeed! OFWM Project Phase-IV built on experience of earlier projects laid a solid institutional foundation for farmers’ managed irrigation system. In Khyber Pakhtunkhwa the experience on the two distributary organizations started in OFWM III and continued under OECF funding, and the Swiss-funded project in Mardan, could be partly adopted. 3.4.1.2 Federation of WAs—2nd Tier The Federation of WAs covers a minor canal or a part of a large distributary, each distributary having 20 to 40 watercourses, but some are larger. Up to about 15 watercourses on a portion of canal are considered to be minors. The Federation may also be comprised of separate watercourses taking off directly from the canals, or may include a minor and one or more separate watercourses, or may include several separate small irrigation systems in barani or hill areas. The institutional structure should deal with the complexity as the physical system. In many cases there will be no need for a Federation as 2nd tiers may suffice. The Federation is not an association of individual members but has officially recognized WAs as their members, and therefore its founding document would be a Memorandum of Organization. The General Body would be comprised of two (or three) delegates of the member WAs (i.e. Chairman and Water Manager, though this may vary according to the decisions of the WUOs). The Federation will be registered as a second tier WUO under OFWM. A Federation will normally be established for a structure in the canal system where water flow can be measured; its Water Manager measures and records the water received, and the distribution to each mogha. The Federation's responsibility would be only O&M of its part of the canal, including the moghas, and so would concentrate its attention on the functioning and efficiency of the canal/channel and structures under its control and their maintenance. Its office-holders would be trained by the Project to do this. 3.4.1.3 Farmers' Organization (FO)—3rd Tier An FO covers an ordinary distributary or part of a larger canal. On average, it will have an irrigated area of 4000 to 8000 ha and a distributary length of about 60,000 ft (8 km) with 60 or more moghas. The General Body would consist of two (or three) representatives deputed by each member Federation (or if there are no Federations, one or two elected from each WA— the Bylaws in each case need to specify the composition). A provision recommended to keep it democratic is that any individual member of a WA who wishes may attend General Body meetings and vote in his own right. The FO will have an official agreement with the irrigation agency (or Area Water Board). The FO is a regulated local public service body functioning like a utility having the right to operate government-owned facilities in the interest of the users. The govt. participates by providing support services to a new FO for two years, but by the end of that time the Managing Committee of the FO should employ its own professional staff to manage the system. The staff needed are: 20 o Manager (Water Management Specialist, who may be an engineer) o Accountant o Survey/Patwari o Machine operator (part-time) o Helper o Temporary Helpers An important factor considered in sustainability of FOs is the equitable distribution of water. There is no denying the fact that in our irrigation system, whether it is a distributary, minor or small dam water channel, inequitable water distribution is normal and a bane for the success of any collective system as inequity destroys trust.23 3.5 Khyber Pakhtunkhwa Experience As mentioned above under Section 3.4 of the Canal and Drainage Act 1873, functioning of the irrigation system is governed by the rules made under it till enactment of PIDA Act 1997 in the province. The water charges/abiana was collected under Land Revenue Act 1967. Under Canal and Drainage Act 1873, the infrastructure related activities of canals including distributaries and minors as well as operation and maintenance of the system was entrusted to engineering wing of irrigation department whereas the special Revenue staff is responsible for distribution system (water rights), assessment of water rates (abiana) and collection of water charges of the Irrigation Department. The provincial Government enacted new legislation in 1997 under the name of PIDA Act 1997 as detailed below. 3.5.1 Provincial Irrigation and Drainage Authority In order to regulate water governance on the pattern of area water boards the Government of Khyber Pakhtunkhwa in 1997 passed a legislation known as The North-West Frontier Province Irrigation and Drainage Authority Act, 1997. The core objectives of the Act were; a) Replacing the existing administrative set-up and procedure with more responsive, efficient and transparent arrangements in order to achieve economical and effective operation and maintenance of irrigation, drainage and flood control system (in the Province); b) Ensuring equitable and assured distribution of irrigation water (and providing effective drainage and flood control to the affected lands); c) Making the irrigation and drainage net-work sustainable on a long term basis and introduction of beneficiaries in the operation and management thereof; and 23 Cheema and Bandaragoda 1997. 21 d) Improving the efficiency of utilization of water resources and minimizing the drainable surplus. In order to achieve above objectives, The Act envisaged to transform the Provincial Irrigation Department into an autonomous authority and to establish Area Water Boards and Farmers Organizations that would develop and manage the irrigation, drainage and flood control infrastructure in the Province. Procedure for fixation of rates for supply of water were based on the following principles: 1) The Authority shall normally supply irrigation water to different areas on equitable and reasonably assured basis. 2) The rates at which the Authority shall supply water shall be fixed so as to provide for meeting the operation and maintenance cost of the system within a period of 7 to 10 years; provided that before proposing any enhancement in the existing rates and/or agreeing to the same, the Authority/AWB(s) concerned shall use their best endeavors to reduce the quantum of the proposed enhancement of rates through adoption of the following measures: (i) reducing costs; (ii) improving assessment and collection of Water Rate and Drainage Cess; (iii) recovery of arrears; (iv) recovery of cost of providing drainage to non-farming beneficiaries; and (v) disinvestment of fresh water tube wells in SCARP areas. 3) The components of O&M to be recovered from the beneficiaries in the form of abiana/drainage cess shall be the full O&M cost of irrigation canals and secondary drains. 4) The Q&M cost of flood protection and public sector fresh ground water (FGW) tube wells will be excluded from abiana. A nominal proportion (by 5 to 10 per cent) of the Q&M cost of saline ground water (SGW) tubewells and/or main drain may, however, be borne by the beneficiaries, should such a need be felt by the Authority at some later stage. 3.5.2 Area Water Boards The Act envisaged the establishment of various Area Water Boards (A.W.Bs.) in the Province together with defined territorial jurisdiction which will preferably be based on canal commands; provided that an AWB shall initially be formed only as a pilot for certain selected canal command area to be replicated later around all major canal commands in the Province, should the result of the pilot A.W.B be satisfactory. An A.W.B. has been assigned to perform following functions. 22 a) formulate and implement policies with a view to achieve and continuously improve effective, economical and efficient utilization of irrigation water at its disposal and to ensure that within a period not exceeding 7 to 10 years from the date of its constitution, it becomes fully operational as a self-supporting and financially selfsustaining entity; b) operate and maintain the irrigation, drainage and flood control infrastructure located within its territorial jurisdiction, but such operation and maintenance shall not extend to civil canals and private ‘kathajar’; c) adopt and implement policies aimed at promoting formation, growth and development of F.Os including pilot projects for F.Os. and faithful monitoring of the results thereof; and d) perform any other functions assigned by the Authority 3.5.3 Farmers’ Organizations (FOs) The PIDA Act states that; 1) the Authority and A.W.B shall, within one year of its establishment, devise and implement pilot programmes, policies and take steps thereunder to ensure that F.Os are formed at the minor/distributary level in a phased and orderly manner in accordance with the relevant bye-laws and regulations framed by the Authority under section 31. 2) The Authority and A.W.B concerned shall enable the F.Os. formed under subsection (1) to become financially self-sustaining and self-sufficient for the effective performance of their functions prescribed under this Act, within a maximum period of seven (7) to ten (10) years from the respective dates of their formation; provided that F.Os established by Agriculture Department, N.G.Os., community organizations and other sponsoring entities, shall be deemed to F.Os within the meaning of this Act. 3.5.3.1 Bye-Laws and Regulations for F.Os. The Authority shall, within said period as may be reasonable, but in no case exceeding six months from the date of coming into force of this Act, publish/cause to be published byelaws/regulations relevant to the formation of the F.Os in the Province. 3.5.3.2 Functions and powers of F.Os. A farmer Organization (F.O.) shall: 1) Operate, manage and improve the irrigations and drainage infrastructure, comprising of minors, distributaries and drains together with any structures thereon located with the area relevant to the F.O. concerned, other than civil canals and private kathajat; 2) obtain irrigation water from the Authority or A.W.B concerned at the head of the minor or the distributary and to supply the same to the members and other water users, if any; 3) receive the drainage effluent from their water users and to convey the same through field/collector drains to the designated nodal points of the drainage system; 23 4) collect the agreed water charges/other dues, if any, from its water users and to pay the agreed consideration for supply of irrigation water and conveyance and/or disposal of drainage effluent to the Authority or A.W.B. concerned; 5) engage, hire or employ consultants, advisors and employees as may be deemed necessary or be otherwise reasonably required for the due and effective performance of various powers and functions on such terms and conditions as may be prescribed including terms and conditions relevant to the conclusion or premature determination of such engagement etc. of any consultant, advisor or employee, as the case may be; and 6) undertake any other enabling function not inconsistent with functions and powers given under the act and that may be vested in the F.Os. under bye-laws and regulations framed by the Authority under section 31. 3.5.4 Swat Canal System The Swat Canal System is headed by a Superintendent Engineer, controlling four irrigation divisions. Each division is administered by Executive Engineer, supported by technical engineering and special revenue staff. Upon enactment of PIDA Act 1997, the Provincial Government planned to establish four Area Water Boards in the province. Thus far only one Area Water Board for Swat Canal irrigation system was created. On all of the distributaries/minors under the system, FOs were formed/registered under the PIDA Act 1997. These FOs were supported under National Drainage Program and OFWM Project, both World Bank assisted projects. These reforms were aimed for promotion of farmers’ participation and ensure adequate recovery of operation and maintenance costs from the users that would make the system sustainable. However, after completion of the above mentioned two projects, financial and technical support to FOs was minimized therefore FOs could not sustain their activities as was envisaged. Clearly there appears to be a lack of willingness to shift to a community supported system as envisaged under the design of PIDA 1997. 3.5.5 Functioning of Swat Canal Area Water Board After the enactment of PIDA Act 1997, the upper Swat Canal was selected for Irrigation Management Transfer (IMT) and creation of Swat Canal Area Water Board (SCAWB). In order to assess the impact of the IMT, one of the canals under SCAWB namely Maira branch canal was chosen. Maira branch receives irrigation supplies from the Pehur High Level Canal (PHLC) at confluence point of RD 242+ 000. The PHLC provides supply to Maira Branch with gross water allocation of 0.645 BCM from Tarbela reservoir. The canal is designed and constructed with a capacity of 28.30 m3/s (1000 cusecs). The data from six minors/distributories i.e. Yaqubi, Gumbad-II, Qasim-II, Toru, Choki and Pirsabak reflects that the farmers’ organizations (FOs) were established in 2003 on different distributaries and minors at Maira Branch canal under Swat Canal Area Water Board (SCAWB). The farmers responses and field investigations, suggested that as a result of irrigation management transfer (IMT) to FOs, cropping intensities has increased by 25 percent 24 compared to pre IMT24. However, this increases was still 20 percent less than the projected cropping intensity for the post IMT era. The increases were mainly observed in areas under wheat, sugarcane, vegetables and fodder. There was a significant increase in yield of maize (40 percent), sugarcane (55 percent) and wheat (43 percent). The increase in yield was attributed to increase in water supply due to modernization of the irrigation systems and farmers’ management coupled with improved agriculture services. One of the reason for establishing the IMT was the fact that revenue-expenditure gap of the irrigation system in Pakistan has been consistently increasing at a relatively high rate over time25 due to inflation and corruption.26 It was envisaged that after introduction of IMT, the revenue-expenditure gap would reduce. Under the IMT arrangement, FOs collect the assessed water charges/Abiana from the irrigators and retain 40% of the recovered amount for operation and maintenance of the irrigation system, while 60 percent is paid to the Swat Canal Area Water Board (SCAWB). The data reveals that prior to IMT to FOs, the recovery of assessed water charges was better. Before IMT, the recovery from different minors was in the range of 61.8 % from Toru to 76 % from Pirsabak. The post IMT situation based on 4 years data i.e. from 2004-05 to 2007, shows that recovery remained in the range of 35 % from Yaqubi to 54 % from Choki. It was also found that farmers’ input in canal operation was minimal due to physical improvements that resulted in increased water availability. The foregoing illustration suggests that there was a mix outcome of IMT at Maira Branch canal under Swat Canal Area Water Board. It improved the water availability resulting in increase in cropping intensity and crops yield but on the other hand much needed improvement in recovery of assessed water charges could not be achieved. The main reasons for poor functioning of FOs particularly less abiana recovery were attributed to an absence of systematic capacity building of the FOs and their empowerment. The financial and technical support needed for initial period of 4 to 5 years was never up to the mark and it it diminished with passage of time. 3.5.6 Chashma Right Bank Canal (CRBC) System CRBC lies on the west bank of the Indus River between Chashma and Taunsa barrages. The supply of irrigation water is from the right bank of Chashma barrage via Chashma right bank canal ( CRBC); the length of the canal is about 260 kms and it has a CCA of about 570,000 acres in D.I. Khan District of Khyber Pukhtunkhwa province and Taunsa Tehsil in District D.G. Khan of Punjab province. The following is the current position regarding the implementation of PIDA 1997 in this project: The CRBC irrigation system has so far not been converted into Area Water Board system and is governed under the Canal and Drainage Act 1873, and rules made under it. The water charges/abiana is collected under Land Revenue Act 1967. Under Canal and Drainage Act 1873, the infrastructure related activities of canals including 24 Javaid Akhtar Tariq (2010) Bhatti (1995) 26 Wade (1982). 25 25 distributaries and minors as well as operation and maintenance of the system is carried out by the engineering wing of the Irrigation Department, whereas the special Revenue staff of the Irrigation Department is responsible for distribution system (water rights), assessment of water rates (abiana) and collection of water charges. 3.5.7 Functioning of Chashma Right Bank Canal (CRBC) System Prior to construction of CRBC, the area was mainly rainfed and Rod-Kohi based with a meagre cropping intensity of about 28 %. Although the PIDA Act 1997 was enacted throughout the province but many of the canal commands were not brought under Area Water Boards. Similarly Chashma Right Bank Canal (CRBC) has not been converted into Area Water Board system and is governed by the Canal and Drainage Act 1873 and rules made under it. The water charges/abiana is collected under Land Revenue Act 1967. Under Canal and Drainage Act 1873, the infrastructure related activities of canals including distributaries and minors as well as operation and maintenance of the system has been carried out by the engineering wing whereas the special Revenue staff of the Irrigation Department has been engaged in assessment of water rates (abiana) and collection of water charges. Although the CRBC has contributed a lot in terms of increase in cropping intensity and increase in crops yield but data on recovery of abiana for the year 2011-12 and 2012-13 reflects a discouraging picture. During the year 2011-12, against the assessed target of Rs.159.5 million only 36.4 million were collected which comes to less than 23 %. Similarly in the year 2012-13, assessment was Rs.176.9 million whereas recovery was only Rs.37.3 million which is just 21 %27. The poor recovery directly affects the O&M of the canal system. Therefore, measures are needed to improve the abiana recovery. The viable option would be to introduce the concept of Area Water Board so that farmers themselves are involved in decision making and O&M activities. However, the system requires to be fully supported financially and technically till begins to operate effectively. 27 Data collected from Irrigation department D.I.Khan. 26 CHAPTER 4 4 GOVERNANCE MODEL FOR IRRIGATED AGRICULTURE IN COMMAND AREA OF GOMAL ZAM CANAL SYSTEM 4.1 Background The foregoing review of international best practices and the course adopted in Pakistan and KP province for the management of irrigation projects has highlighted the self-evident of basing irrigation delivery systems upon stake-holders participation. It not only leads to creation of an effective system of irrigation and water management practices but by incorporating community participation in cost recovery leads to the creation of a sustainable delivery system for the farmers. Evidence from around the world clearly points to the need of creating formal irrigation related structures that are founded on the principles of farmer and community participation. Thus the proposed Irrigation Governance Model for Gomal Zam redefines government’s role that is likely to increase water use efficiency, sustainable irrigation water supply, assured system operation & maintenance and lead to increase in agricultural productivity and raise the trust level between the community and the state.28 The farmers operating under the command area of the Gomal Zam Dam canal system are used to work in the Rod Kohi system of irrigation. Under this system, there is uncertainty about water availability at critical stages of crop growth. Therefore, the agricultural activities mostly revolved around subsistence farming whose basic goal is to avoid risk at very low level of investment. However, with the availability assured irrigation water around the year, there would be a drastic change in agricultural operations and farmers are expected to invest to reap benefit that is available if they shifted to a form of commercial agriculture. As reported in various studies, under a traditional irrigation management system, only 30 to 40 percent of diverted water is available for crops29. Therefore, it would be imperative to device a water governance model that would optimally utilize each drop of water available in the canal system. The community based water management method involves a wide number of institutional issues, in the categories of organization, legislation and financing. These issues are also closely interlinked and are best dealt with under the Water Boards method as proven by local and international experience. It is also noted that the water boards are actually decentralized functional authorities for best use of water resources. The basic rudiments of the water board method of organization accepts democratic management structures through the WUAs, financial freedom and incorporation of the system into state law and administration. 28 Another study is needed to evaluate the consequences of the policy of tube-wells that both act as a barrier to community mobilization and fragmentation of the power patterns in society. 29 Kahlown and Kemper 2004. 27 PIDA Act 1997 introduces participatory irrigation approach in Pakistan and the provinces. This model relies on shifting of decision making to the stakeholders from the irrigation and agriculture departments to the farmers. The role of farmers increases in this approach and they need capacity building support through outreach and formation of farmer schools. Under the participatory irrigation management, the canal commands are to be managed by Area Water Boards (AWBs) controlled by farmers’ organizations (FOs) and Government representatives. The aim of such a process is to ensure sustainability of irrigated agriculture, reduce financial burden on government, pass responsibility of operation and maintenance to users, increase water use efficiency, and generally to improve sustainability of the project. Participation is the core concept and thus it is important to develop the capacity and capabilities of farmers’ organizations for a successful transition. 4.2 Proposed Governance Model for Irrigated Agriculture under Gomal Zam Canal System Irrigation management includes all those aspects that are beyond the design and construction facilities. The irrigation management activities cover the functioning of the main canal system down to the delivery of water to the farm level. The middle tiers of the system represent the most difficult challenges of coordination for the engineers, technical staff and farmers. Thus management is the crucial aspect of maintaining an effective and efficient irrigation system. As users participation under the Area Water Board has been globally recognized as being the best irrigation management method, therefore the same governance model is proposed for the Gomal Zam Dam CCA with certain modification suited to local environment. 4.2.1 Gomal Zam Dam Canal Water Board It is proposed that the Provincial Government may establish a Gomal Zam Dam Canal (GZDC) Water Board with the territorial jurisdiction of canal command area in those parts of D.I Khan and Tank districts falling under the CCA. The Directors of the Board may be nominated keeping in view the PIDA Act and experience of the already functioning Area Water Boards. The Directors may elect their Chairman in the first meeting. The tenure of the directors, scheduling of meetings and conducting business of the Board should be in line with the PIDA Act of 1997. The representatives of the Farmers’ Organizations would be the main stakeholders of the Board. The function of the Board will be as proposed hereunder: a) formulate and implement policies with a view to achieve and continuously improve effective, economical and efficient utilization of irrigation water made available in the canals and to ensure that within a period not exceeding 10 to 12 years from the date of its constitution, Water Board will be operative as a self-supporting and financially self-sustaining entity; b) Within one year of its establishment, the Board will devise and implement pilot programs, policies and take steps thereunder to ensure that F.Os are formed at the minor/distributary level in a phased and orderly manner in accordance with the relevant bye-laws and regulations framed under pilot project at Swat canal (as a model) with necessary modifications, if needed. 28 c) The Board will operate and maintain the irrigation, drainage and flood control infrastructure located within the project jurisdiction; d) It will adopt and implement policies aimed at promoting formation, growth and development of Farmers’ Organizations (F.Os) and monitoring its results; and e) It will perform any other functions assigned to it by PIDA or the Government; f) The Water Board would publish its Annual Report, by March of each succeeding year that will be a report on the conduct of its affairs for the year including audited financial statement for the year ended and the development plan for the next year. These will need to be approved by the Board by resolution. 4.2.2 Formation of Farmers’ Organizations Farmers’ Organizations (FOs) will be formed at each distributary/minor level on the canal system. The FOs would work under by-laws and regulations adapted from already formed FOs in other parts of the province with modifications where needed. It would be the responsibility of the PIDA and GZDC Water Board to support and build the capacity of the FOs in all spheres of their functioning to make them financially self-sustaining for the effective performance of their functions prescribed under the law within a period of 3-5 years to be extended where required. The representatives of the Water Users Associations (WUAs) would be the main stakeholders of the FOs in their respective territorial jurisdiction. The FOs would have following functions; a) Operate, manage and improve the irrigation and drainage infrastructure, comprising of minors, distributaries and drains together with any structures thereon located within the jurisdiction of the FO concerned b) Obtain share of irrigation water from the Water Board at the head of the minor or the distributary and to supply the same to its members; c) In case of drainage it will receive the drainage effluent from water users and will ensure its conveyance to the field/collector drains. d) Collect the agreed water charges/other dues, if any, from its users and to pay the agreed sum for supply of irrigation water and conveyance and/or disposal of drainage effluent to the Water Board: e) Engage, hire or employ staff and consultants, advisors as may be deemed necessary for the effective performance of various functions on such terms and conditions as may be prescribed including terms and conditions relevant f) Exercise any other power and function not inconsistent with its role as an F.Os under the law. g) The FOs, would be required to submit in January of each year a report on the conduct of its affairs for the year including audited financial statement and its proposed work plan for the succeeding year to the Water Board. 29 4.2.3 Water Users Associations The Water Users Associations (WUAs) would be the building block for the agriculture system in the command area of the Gomal Zam Dam Canal. The WUAs would be formed at each watercourse level. Distribution of water from a watercourse is effected through a time-schedule or "warabandi", under which each farm gets water for a specified period once a week. The time-share is proportionate to the farm area owned by a farmer under the command of the water-course. The WUA is thus the most important entity in the system to ensure equitable, effective and efficient utilization of irrigation water at farm level. It would be the responsibility of the PIDA and GZDC Water Board/FOs to support and build the capacity of the WUAs in all spheres of their functioning so that they become financially selfsustaining and for the effective performance of their functions prescribed under the By-laws and regulations. 4.3 Modification in existing laws required for better delivery of services The enactment of PIDA Act 1997 was a step towards replacing the century old Irrigation and Drainage Act 1873. The PIDA Act aimed at empowerment of farmers for managing their irrigation system for delivery of irrigation water, collection of water charges, conflict resolution and O&M of the system. Unfortunately, the new system could not be internalized mainly due to inadequate cooperation at various levels and a lack of monitoring of the decisions as well as under funding of the transition. It is therefore, proposed that Gomal Zam Canal irrigation system being new may be run under the PIDA Act 1997. 4.4 Indicators proposed for sustainable development of command area The following indicators are proposed to judge the sustainable running of the system and development of command area. i. Effective functioning of Gomal Zam Canal Water Board. ii. Effective functioning of farmers’ organizations and water users associations. iii. Social acceptance and financial viability of the system i.e. collection of abiana/water charges as per assessment. iv. Equitable and effective use of irrigation water. v. Adequate operation and maintenance of the system under FOs/WUAs. vi. Regular meetings of the FOs and WUAs. vii. Capacity building of the farmers in water management and agricultural production and marketing. viii. Conflict resolution at local level and avoidance of litigation. ix. Increase in agricultural productivity and rural incomes that reflects improved social welfare and equity in rural communities. x. Effective communication amongst various tiers and within communities. xi. Creation of effective upward and downward linkages. 30 4.5 Canal System Operation and maintenance Main Canal The main canal operation and maintenance would be the responsibility of Water Board. Distributary/Minors The operation and maintenance of the distributaries and minors would be the responsibility of the Farmers’ Organizations. Watercourses The operation and maintenance of the watercourses would be the responsibility of the Water Users Associations. ‘Warabandi’ (Water Turn) The formulation of ‘warabandi’ i.e. water turn of the farmers and it’s care would be the responsibility of the special revenue staff of the irrigation department. 4.6 Recent Changes in Gomal Zam Project Increase Project Risks PC 1 titled ‘’Gomal Zam Dam Command Area Development Project (GZDCADP)’’ USAID funded that was discussed in the CDWP on 7-10-2013, and was deferred with following observations; The project cost should be reduced from Rs. 4300 million to Rs. 3000 million (USAID share Rs. 2200 million and KP government share Rs. 800 million). The project period be brought down from 5 years to 2 years. Chairman ECNEC after hearing the concern of KP government on the above two decisions, directed the Planning Commission to place the project before ECNEC after considering/accommodating the concern of the KP government. It is foreseen that withdrawal of funds from project activities meant for assisting CCA development will harm the project and not assists in solving the problem of the farmers. The decisions of the Planning Commission would adversely affect the following major components of the project; Rough land leveling/precision land leveling 1. From Focus Group Discussions (FGD), Village Committee (VC) meetings, Joint Union Council (JUC) Committee meetings, and exposure visits of the beneficiaries of the project area to Chashma Right Bank Canal (CRBC) command area, it was noted that the farmers of the CRBC as well as Gomal Zam command area attribute great importance to precision land leveling of their fields. They consider it as a key input for the success of irrigated agriculture. Since the command area of Gomal Zam Dam project is brought under regulated canal irrigation system, therefore proper layout and precise land leveling is condition precedent to successful irrigated agriculture. 2. In this project area, precision land leveling is very important because of shortage of water in the system and as such the area proposed per unit of water in this canal is 31 much greater than other canals in the province. Therefore, the application efficiency needs to be enhanced to the maximum possible extent and there is no room for wastage of a single drop of water. In absence of land leveling the cultivable command area in the project would take a long time (more than 10 years) to bring it under irrigation. In CRBC, the unsuccessful farmers have also mentioned that irrigated agriculture cannot be developed without precise land leveling. 3. The land leveling cost of Rs. 978 million for 191,000 acres which is Rs. 5120 p/acre is on very low side because in studies carried out by the agriculture department (from 1975 to date), the average earth moment per acre is about 250 cubic meter in the canal irrigated areas. A tractor can move 15 cubic meter per hour with rear mounted scrapper. With the existing hire rate of tractor of Rs. 1000 per hour the cost per acre comes to Rs. 16666, whereas the PC-1 is proposing Rs. 5120 which is one third of the minimum cost. Reduction in Social Mobilization and Training Component 1. Since the project area is commanded by the Rod Kohi irrigation system and as such the farmers are unaware of the techniques required for irrigation in regulated canal irrigated system. Similarly, they have very little know how about the crops grown in irrigated areas. In view of the above situation and findings collected from the FGDs and meetings with the VCs/JUC, it is clear that the farmers need to be organized on water course, distributaries and canal level so that the water is used efficiently and high value/low delta crops are grown from the expected limited supply of water to provide better incomes. 2. The farmers need continuous support from the government departments in the form of training in disciplines like; operation and maintenance of the irrigation system, water distribution, Abiyana collection, crops husbandry, planting high value crops, fruits and vegetables as well as introduction of dairy farming. Furthermore, the farming community needs much more support both in technical and financial terms as compared with other regions due to their poverty and poor knowledge of good agricultural practices. Clearly the downward revision of the project is not in its interest and will prove very harmful to the investments already made. 32 CHAPTER 5 5 RECOMMENDATIONS The proposed Irrigation Water Governance Model is based on redefined government role and establishment of a self-sustaining efficient irrigation and drainage system by adopting decentralized irrigation management and enhancing farmers’ participation through farmers’ organizations through water users associations at watercourse level, farmers’ organizations at the secondary irrigation system level (distributary/minor) and area water board at canal level. Successful implementation / adoption of this proposal by the government will result in increased agricultural productivity, generation of commercial activities in the area that will ultimately result in poverty reduction and betterment of socio-economic conditions of the rural community in the command area. To achieve the above outcome in a successful manner the following recommendations are proposed; 1. Before going into implementation phase of the proposed model government should show its commitment to implement the governance model. 2. Secondly, the Irrigation Department should own the new system of governance. 3. If the new governance model is to succeed the government departments should fully support the capacity building of the users water associations. 4. As the irrigation water is scarce in the system as compared to other canal systems in the province, therefore, agriculture department should provide full support in farm planning, designing and irrigation water scheduling to the beneficiaries of the system. 5. The farmers should also be encouraged through training and exposure visits for adoption of low delta crops bringing a good market return. 6. All sister departments of agriculture must cooperate to ensure availability of modern farm production technology, farm implements/equipment on rental basis, quality seed and quality fertilizers and insecticides/pesticides. Public/Private partnerships be created so that the private sector can provide services at a cost 7. With increased potential of fodder crops, farmers should be trained for feedlot fattening and milk farms. 8. Farmers should be trained in production of high value crops, value addition and linking with potential markets. 9. Improvement of infrastructure, provision of market information system and arrangements with local level markets be facilitated so that produce of the farmers is purchased/disposed of quickly particularly in case of perishable commodities. 33 10. Office bearers of water users association, farmers’ organizations and area water board should be elected through transparent election negating the influence of big farmers. 11. Tail end farmers should be given more representation in all affairs being more vulnerable to water shortage. 12. Farmers organizations should be recognized bodies for collaboration by different public sector entities. 13. PIDA Act 1997 and rules and regulations made thereunder should be provided to all organizations and trainings may be arranged to make them fully functional and sustainable. 34 ANNEXURE NWFP Irrigation and Drainage Authority Act 1997 ACT V OF 1997 NORTH-WEST FRONTIER PROVINCE IRRIGATION AND DRAINAGE AUTHORITY ACT, 1977 An Act to provide for adopting a strategy for streamlining the irrigation and drainage system in the Province of the North-West Frontier. [Gazette of N.-W.F.P Extraordinary, 17th July, 1997] No.PA/NWFP/Legis/97/14903, dated 17-7-1997.—The North-West Frontier Province Irrigation and Drainage Authority Bill , 1997, having been passed by the Provincial Assembly of the North-West Frontier Province on the 8th July, 1997 and assented to by the Governor of the North-West Frontier Province on the 12th July, 1997 is hereby published as an Act of the Provincial Legislature of North-West Frontier Province. Preamble Whereas it is expedient to adopt a strategy for streamlining the irrigation and drainage system in the Province of the North-West Frontier with a view to — (a) Replacing the existing administrative set-up and procedure with more responsive, efficient and transparent arrangements in order to achieve economical and effective operation and maintenance of irrigation, drainage and flood control system (in the Province); (b) Ensuring equitable and assured distribution of irrigation water (and providing effective drainage and flood control to the affected lands); (c) Making the irrigation and drainage net-work sustainable on a long term basis and introducing of beneficiaries in the operation and management thereof; and (d) Improving the efficiency of utilisation of water resources and minimising the drainable surplus. And whereas for achieving the objectives aforesaid, it is further expedient to transform the Provincial Irrigation Department into an autonomous authority and to establish Area Water Boards and Farmers Organisations towards development and management of the irrigation, drainage and flood control infrastructures in the Province. It is hereby enacted as followr:- 35 CHAPTER-1 PRELIMINARY 1. Short title, extent and commencement.— a) This Act may be called the North-West Frontier Province Irrigation and Drainage Authority Act, 1997. b) It extends to the whole of the North-West Frontier Province. c) It shall come into force at once. 2. Definitions.— In this Act, unless there is anything repugnant in the subject or context.— a) “AWB’ means an Area Water Board established under section 26; b) “Authority” means the North-West Frontier Province Irrigation and Drainage Authority established under section 3; c) “Canal” means a canal as defined in the Canal and Drainage Act, 1873; d) “Drain” means a natural drain, surface or sub-surface drainage network provided for the evacuation of the surplus sub-soil and surface water from the land under the command of canal system; e) “drainage cess” means drainage fees to be charged from users/consumers/other beneficiaries using a drain for the conveyance and/or disposal of effluent; f) “F.O.” means Farmers’ Organization formed under section 30; g) “Government” means the Government of the Province of North-West Frontier; h) “Local Body” means any District Council, Municipal Corporation, Municipal committee, Town Committee, Union Council or any other Local Committee constituted under any law for the time being in force; i) “prescribed” means prescribed by rules made under this Act; j) “Province” means the Province of the North West Frontier; k) “Rules” or “Regulations” means rules or regulations made or framed under this Act; l) “section” means a section of this Act; m) “WAPDA” means the Pakistan Water and Power Development Authority; n) “Water” means any water, standing or flowing on surface or sub-surface within the territory of the Province except such water in the inter-provincial reservoirs and/or rivers and canals within the Province as is allocated to any other Province or Provinces under the Water Apportionment Accord (1991); o) “Water rate” means the charge for which the authority agrees to supply water to an A.W.B or any other water user or an A.W.B to an F.O or to any other water user or an 36 F.O. to its members, as the case may be. CHAPTER-II CONSTITUTION OF THE AUTHORITY 3. Constitution of the Authority.— a) There shall be established an Authority to be known as the North-West Frontier Province Irrigation and Drainage Authority. b) The Authority shall be a body corporate, with powers to acquire, hold and dispose of property, having perpetual succession and a common seal and shall by the said name, sue and be sued. c) The headquarters of the Authority shall be at Peshawar. 4. Appointment and terms of office of Chairman and Members of the Authority.— a) The Authority shall comprise of a Chairman and seven members to be appointed by Government and notified in the Official Gazette. The composition of the Authority shall be as under :I. Any person appointed by Government Chairman II. Additional Chief Secretary to Government Planning, Environment and Development Department. Member. III. The Secretary to government, Finance Department Member IV. The Secretary to Government, Irrigation Department Member. V. Member, Board of Revenue, Revenue Department Member. VI. The Secretary to Government, Agriculture Department Member VII. A representative of the Farmers ’ Organization appointed by Government Member. VIII. Managing Director of the Authority Secretary Member-cum- b) The Authority shall be responsible for the overall management and control of the c) affairs and, for that purpose may, from time to time, delegate such of its powers and functions to any of its members or any employee of the Authority as may be deemed appropriate in the interest of proper and effective conduct of the business of the Authority. d) The Authority shall meet at least once in every three months. The Chairman shall, at the written request of not less than three members, convene special meeting of the Authority, after giving not less than seven days prior notice of such meeting, within a period not exceeding 15 days from the receipt of such requisition. The meetings, other than special meeting shall be convened such notice and in such manner as may be prescribed. 37 e) The quorum for a meeting of the Authority shall be four members. In the case of any financial matter being considered by the Authority, one of the four members shall be the Finance Secretary of Government. f) Subject to section 6, the term of office of the members of the Authority other than the ex officio members shall be 4 years. g) Any member of the authority, other than the ex officio members, upon the expiry of the term of his office shall be eligible for reappointment for the similar term or for a shorter term as may be determined by the Government. h) Any member of the Authority, other than an ex officio member, may, at any time, resign, provided that his resignation shall not take effect until accepted by Government. 5. Remuneration of the non-official members of the Authority.— A non-official member of the authority shall receive, for every meeting actually attended, such allowances as may be prescribed by the authority. No other salary, payment or compensation shall be paid to the Chairman and the members of the Authority for attending the meetings and/or doing any work as Chairman or as member of the Authority. 6. Removal of Members of the Authority.— Government may, by Notification, remove a non-official member or the Managing Director from the membership of the Authority if he— (a) (b) is or becomes incapable of discharging his responsibilities under this Act, or has been declared insolvent by a Court of competent jurisdiction; or (c) has been declared to be disqualified for employment, or has been dismissed from the service of Government, or has been convicted of an offence involving moral turpitude; or (d) has knowingly acquired or has continued to hold, without permission, in writing, of Government, directly or indirectly or through partner, any share or interest in any contract or employment with or on behalf of the Authority or in any land or property which, to his knowledge, is likely to benefit or has benefited as a result of the operation of the Authority: Provided that removal under clauses (a) and (d) above shall not have effect without giving him an opportunity of showing cause: Provide further that, if the Managing Director is removed from the membership of the Authority, he shall also cease to hold office of the Managing Director. 7. The Board of Management.— 38 (a) Subject to the overall control and guidance of the Authority, the day to day management of its affairs shall be carried out by a Board of Management (BOM) comprising of the Managing Director and assisted by three General Managers, one of whom shall be General Manager, Finance. (b) The Managing Director and the General Managers shall be appointed by Government in the prescribed manner on the recommendation of the Authority. (c) The Managing Director shall be the Chief Executive to run the day to day affairs and business of the Authority. (d) Government may, on the recommendation of the Authority, change the membership of the B.O.M., or remove any member, including the Managing Director, from the Board of Management on the grounds specified in Clause (a) to (d) of section 6. (e) The Managing Director or a General Manager may, at any time, resign, provided that his resignation shall not take effect until accepted by Government. CHAPTER-III POWERS AND DUTIES OF THE AUTHORITY 8. Powers and duties of the Authority. — The Authority shall have the following powers and duties: (a) General.— (1) Subject to the provisions of the Indus Water Treaty (1960) and the Water Apportionment Accord (1991), to receive irrigation supplies at the barrages and/or headworks falling within the Province and/or from the interprovincial/link canals and deliver the same in agreed quantities in the various A.W.Bs. in the Province at the relevant canal headworks. The Authority shall also receive drainage effluent at designated points and convey the same to the inter-provincial outfall drains. (2) To exercise all the powers under the Canal and Drainage Act 1997 and the relevant Manuals, Rules and Instructions otherwise vesting to Government and not inconsistent with or in derogation of any provision contained in this Act and/or any Rules and Regulations made thereunder. (3) To fix the rates in consultation with Government to which it will supply irrigation water at its disposal to its various A.W.Bs./other entities including the water users mentioned in clause (n) of section 2 as also to drainage cess payable by the users/consumers/other beneficiaries for the conveyance/disposal of the effluent through the relevant drains. (4) The Authority may levy appropriate surcharge for late payments and recover arrears from defaulters as arrears of land revenue, provided that in case Government declares a remission, waiver, 39 re-scheduling or suspension of payment of any of the dues of the authority, the same shall be at the cost of Government and Government shall simultaneously notify how the Authority shall be compensated for the loss thereby caused to the Authority and/or any other entity established under this Act. (b) Policy and Regulation.— (1) To formulate and implement policies in the water resources sector with a view to continuously improving and achieving effective, economical and efficient utilization, preservation and improvement of such water resources for the development of irrigated agriculture on a sustainable basis. (2) To formulate and implement policies/guidelines and procedures for the proper and efficient exercise of powers available under this Act by the various authorities and/or their officers/employees and to prescribe training requirements and programmes necessary for the purposes of this Act. (3) To conduct any enquiries and hear any complaints and adjudicate on any dispute and/or differences of opinion between the Authority and different entities established under this Act and/or any individual and/or the said entity in accordance with the principles of natural justice relevant thereto and to faithfully and punctually implement such decisions as per the letter and spirit thereof. (4) To prescribe and adhere to the procedures for the filling of documentation regarding water allocation in the Province and all concessions, licences and leases granted by any entity under this Act and to ensure availability thereof to the general public for inspection and taking of copies thereof. (5) To establish criteria and procedure for granting, modifying, reassigning, renewing, suspending or revoking any concessions, licences and subleases granted by the Authority to any other entity or person and/or for the management of the infrastructure in the event of suspension or revocation of a concession, licence or sublease. (c) Operation.— (1) To operate and maintain the irrigation, drainage, storage reservoirs and flood control infrastructure in the Province including hill torrent control and development works for irrigation of adjoining lands including watershed management practices in catchment areas, but not including civil canals and private kathajat. (2) To plan, design, construct and/or improve the irrigation, drainage, storage, reservoirs and flood control system with a view to ensure optimal utilization of the water resources of the Province on an equitable and efficient basis, in consultation with the Planning, Environmental and Development Department of Government. 40 (3) To maintain all relevant/necessary records, registers and data banks as may be relevant and/or necessary for the effective performance of any or all of its above-referred powers and duties. (4) To issue such directions and take such steps as may reasonably be necessary for the prevention of encroachment and unauthorized constructions along or on the properties of the Authority. (5) To prescribe rates, fees and other charges to be payable in respect of various types of services which the Authority may be required to render or provide under this Act. (6) To operate and maintain the equipment, machinery and stores of the Authority effectively, efficiently and in a business like manner. (7) To undertake anti-erosion operations including conservation of forests and reforestation and with a view to achieve this purpose; to restrict or prohibit by general or special order the clearing or breaking up of land in the catchment areas of any rivers, hill torrents and/or other streams. (d) Finance and Administration.— (1) To undertake any work, incur any expenditure, procure machinery, plant and stores required for use by the Authority and to negotiate, execute and adopt/ratify all such contracts as may be considered necessary or expedient. (2) To acquire by purchase, lease, exchange or otherwise and dispose off by sale, exchange or otherwise, any land, property or machinery/equipment or any other interest in or regarding any land or property. (3) To direct that any work required to be carried out by a person in connection with training of rivers, hill torrents and/or any other streams or undertaking of anti-erosion measures including conservation of forests and reforestation, but left undone shall, after reasonable notice to such person and due consideration of any objections raised by him in this regard, be undertaken by the authority and determine the cost to be borne by such person, or after notice and due enquiry by any other person who may be held by the authority to be liable for the same. (4) To utilize the Authority Fund to meet the cost and expenses incurred on account of and in connection with the due performance of the various functions of the Authority under this Act including the payment of salaries and other remunerations to the management and employees of the Authority. (5) To formulate, implement and continuously review/improve the policies and procedures relevant to the management of finances and maintenance of the accounts of the Authority as well as for the inventory and assets valuation and disposal and for the recruitment, promotion, retirement and termination of the services of the 41 employees of the Authority. (6) To formulate financial policies aimed at ensuring that the finances of the Authority are managed in a consistent, conservative and diligent manner as to protect its assets including provision for their maintenance and periodic replacement as necessary, to preserve its capital and reserves, and to provide prompt servicing of its debts and obligations. Its financial policies must be based on principles of sustainability. (7) To prepare for the approval of the authority, the Annual Budget Statement indicating the revenues and sources thereof and the details of revenue and capital expenditure. (e) Transition.— (1) To formulate, adopt and implement policies aimed at promoting formation, growth and development of pilot A.W.Bs./F.Os. and compilation/faithful monitoring of the results thereof as per requirements prescribed under this Act and to ensure orderly and systematic induction thereof into the operations of the Authority. (2) To prepare/cause to be prepared and regularly update/cause to be updated Staffing and Operational and Financial Plan(s) which will generally deal with and reflect the following aspects: (i) composition of the Authority and Board of Management; (ii) functions and responsibilities of the Authority and B.O.M. (iii) vision and strateg y; (iv) organizational structure including job descriptions for key positions and gradings; (v) human resource strategy, staffing plans and compensation policies; (vi) measures for reducing costs and improving efficiency of the operations of the Authority. (vii) Cost sharing/recovery arrangements including measures to improve collection of water rates/drainage cess; (viii) financial arrangements; (ix) schemes/programmes for the improvement of irrigation,, drainage, flood control and hill torrents in the Province; (x) operations management including water allocation, operation and maintenance and effluent disposal; (xi) programmes for establishment of A.W.Bs. and F.Os. (xii) detailed financial plans/projections clearly outlining the capital budget, operating statement (revenue and expenditure 42 statement), balance sheets and a funds flow statement showing sources and utilization of funds; (xiii) transparency and accountability arrangements; (xiv) performance and monitoring standards; (xv) co-ordination with the Finance and Planning, Environmental and Development Department to ensure that the provincial irrigation assets are properly maintained and Authority’s development programmes are in conformity with Provincial planning priorities. (3) To prepare and implement policies with a view to ensuring that the staffing levels within the Authority and other entities under this Act conform with the corresponding levels indicated in the staffing, operational and financial plans prepared/updated under subsection (2) above through enforcement of freeze on hiring of new employees, non-replacement of employees retiring upon attainment of age of superannuation, reassignment of any surplus employees, wherever possible, and by introducing policies offering financial and other benefits for employees voluntarily opting for early retirement and to take all steps and exercise all powers reasonably required to be taken/exercised in this regard. (4) To formulate and implement policies with view to ensuring that the Authority and other entities under this Act become fully operative as self-supporting and financially self-sustaining entities as regards operation and maintenance (hereinafter referred to as (‘O&M’) cost of irrigation and drainages as specified in section 22 within a period of seven (7) to ten (10) years. (f) Research and development.— (1) To formulate, implement and regularly update polices, studies and research programmes in order to solve/eliminate and prevent waterlogging and salinity, and to develop irrigated agriculture in the Province, in collaboration with the Planning, Environmental and Development Department. (2) To conduct studies in order to regularly analyse and evaluate the impact of the operations and policies of the Authority on the ecology and the environment within the Province and to establish the various available options for the minimization of the adverse impact of such operations and policies, if any, and to adopt the optimal options(s) for further action, in coordination with the Provincial Environmental Protection Agency. (3) To coordinate/regulate the measures being undertaken/required to be undertaken in the Province for recording/gauging surface waters, monitoring of pound water table and quality of water and the compilation of data relevant hereto and in this regard to establish and regularly maintain pr op er lia ison wit h sim i lar wor k being under t ak en in ot her Provinces/agencies. 43 (4) To cause studies, surveys, experiments, technical investigations and research to be conducted in connection with or regarding the functions and duties of the Authority and/or of any other entity under this Act. (5) To publish/cause to be published the various policies, details data and information relevant to the affairs of the Authority on regular basis and to ensure reasonable access of the public to the same. 9. Contractual Services.— (1) The Authority may, under a written agreement as to the terms and conditions including the extent and manner of payment for the same, undertake execution of any scheme(s) or exercise technical supervision and administrative and financial control over the execution of any scheme(s) framed or sponsored by any other agency. (2) Notwithstanding anything to the contrary contained in this Act, the Authority may with the previous approval of and written agreement as to the terms and conditions including the extent and manner of payment for the same with the Government, provide agreed services for the execution of any scheme(s) framed or sponsored by Government or any agency (under the control of Government) or provide technical supervision and financial and administrative control over the execution of any such scheme(s). 10. Acquisition of land by the Authority.— Acquisition of any land or any interest in land by the Authority for the purposes of under this section, or for any scheme under this Act shall be deemed to be an acquisition for a public purpose within the scope and meaning of the Land Acquisition Act, 1894, provisions whereof shall apply to such acquisition proceedings. Provided that the Authority, prior to approaching Government for any proposed acquisition of land or any interest therein shall, in consultation with the likely affectees if any, prepare resettlement plan which shall be duly approved by the Authority. 11. Right of Entry.— (1) The Managing Director, or any other person authorised by him in writing, may, after prior notice to that effect and with a copy to the respective Deputy Commissioner, enter upon and survey and land, erect pillars for the determination of intended lines of work, make boring and excavations and do all other acts which may be necessary for the preparation and implementation of any scheme under any provisions of this Act; provided that when the affected land does not vest in the Authority, the power conferred by the above subsection shall be exercised in such manner as to cause the least interference with and/or damage to such land and the rights of the owner thereof. (2) When any person enters into or upon any land pursuant to subsection (1), he shall, at the time of such entry or as soon thereafter, as may be practicable but in no case later than 60 days from the date of such entry, full or tender 44 payment for all necessary damage likely to be caused or caused on account of any operations proposed to be carried out or carried out under subsection (1). In case of any dispute, the same shall be referred to the Collector/Deputy Commissioner of the district who shall decide the same with a maximum period of 30 days from the date of such reference. 12. Arrangement with local bodies or other agencies.— (1) As soon as the scheme has been completed by the Authority or at a later date, the Authority may arrange by a written agreement with a Local Body or other agency within whose jurisdiction any particular area covered by the scheme lies, to take over and maintain any of the works comprising such scheme in the said area. (2) Government shall have the power to direct the Authority to hand over any scheme(s) completed by the latter to any agency of Government or any Local Body or take over such scheme(s) completed by any agency. In any such case, the 45 Authority shall be entitled or liable, as case may be, to the extent of audited expenditure incurred on such scheme(s). 13. Control over Provincial Waster Resources.— Subject to the relevant provisions in the Indus Basin Treaty (1960) and the Water Apportionment Accord (1991), the Authority, with the previous approval of the Provincial Government, shall have control over such river, canals, drains, streams, torrents, springs, reservoirs (except such reservoirs as are under the control of WAPDA) and underground water resources within the Province as may be specified. The conditions under which the Province’s water resources and handed over to the Authority, shall be clearly specified as to terms and conditions. CHAPTER-IV ESTABLISHMENT 14. Appointment of officers, servants etc.— (1) Subject to any other provision of this Act, the Authority may, from time to time, employ such officers and servants, or appoint such experts or consultants as it may consider necessary for the performance of its functions, on such terms and conditions as they may deem fit. (2) Notwithstanding anything contained in subsection (1), any rule made, or orders or instructions issued by the Authority, the Authority may at any time, for reasonable cause, relieve or remove from its service any person after giving him not less 90 days’ notice or pay for the period by which such notice falls short of 90 days. 15. Recruitment and disciplinary powers.— The Authority shall prescribe the procedure for appointment and terms and conditions of service of its officers and servants and shall be competent to take disciplinary action against its officers and servants in the prescribed manner. 16. Immunity of the Authority and its Employees.— (1) The Managing Director, members of B.O.M., officers and servants of the Authority shall, when acting or purporting to act, in pursuance of any of the provisions of this Act, be deemed to be public servants within the meaning of section 21 of the Pakistan Penal Code. (2) No suit, prosecution or other legal proceeding shall lie against the Authority, the Managing Director, Members or officers and servants of the Authority in respect of anything done or intended to be done in good faith under this Act. 17. Delegation of powers to Managing Director etc.— The Authority may, by general or special order, delegate to the Managing Director, a member of the BOM or officer or servant of the Authority any of its powers, duties or functions, under this Act subject to such conditions as it may deem fit to impose. 46 18. Persons serving in the Provincial Irrigation Department.— (1) All employees of the Provincial Irrigation Department, except such employees as may be specified by Government in this behalf, shall, subject to any other provision(s) contained herein, on coming into force of this Act, become the employees of the Authority. (2) Employees under subsection (1) shall serve the Authority on such terms and conditions as amy be prescribed by rules and regulations of the Authority which shall not be less favourable than their existing terms and conditions of service. (3) The Authority shall, through adoption of policies of hiring freeze, assignment, nonreplacement of employees retiring upon attainment of superannuation and providing incentives for early retirement, bring the numbers of its employes in conformity with the corresponding numbers indicated in the relevant staffing operational and financial plans. (4) Government shall contribute to the pension, gratuity and final payment of the provident fund of the employees of the Provincial Irrigation Department who become the employees of the Authority under subsection (1). CHAPTER-V FINANCE 19. Authority Fund.— (1) There shall be a fund to be known as the “Authority fund” vested in the Authority. (2) The Authority Fund shall consist of : (a) all sums received by the Authority in respect of water charges, and proceeds, development cess, drainage cess, etc.; (b) grants made by Government (c) loans obtained from Government; (d) grants made by Local Bodies as required by Government; (e) sale proceeds of bonds or any other debt instruments issued under the authority of Government; (f) loans obtained by the Authority with the special or general sanction of Government; (g) foreign assistance and loans obtained from different foreign agencies with the sanction of, and on such terms and conditions as may be approved by the Federal and Provincial Governments; and (h) all other sums received by the Authority. 47 20. Authority to be deemed to be a Local Authority.— The Authority shall be deemed to be a Local Authority under the Local Authorities Loan Act, 1997 for the purpose of borrowing money under the said Act, and the making an execution of any scheme under this Act shall be deemed to be work which the authority is legally authorized to carry out. 21. Limited Liability.— The liability of Government to the creditors of the Authority shall be limited to the extent of grant made by Government and the loans raised by the Authority with the sanction of Government. 22. Procedure for fixation of rates for supply of water.— (1) The Authority shall normally supply irrigation water to different areas on equitable and reasonably assured basis. (2) The rates at which the Authority shall supply water shall be fixed as to provide for meeting the operation and maintenance cost of the system within a period of 7 to 10 years; provided that before proposing any enhancement in the existing rates and/or agreeing to the same, the Authority/AWB(s) concerned shall use their best endeavours to reduce the quantum of the proposed enhancement of rates through adoption of the following measures: ( i) reducing costs; ( ii) improving assessment and collection of Water Rate and Drainage Cess; ( iii) recover y of arrears; ( iv) recovery of cost of providing drainage to non-farming beneficiaries; and ( v) disinvestment of fresh water tubewells in SCARP areas. (3) The components of O&M to be recovered from the beneficiaries in the form of abiana/drainage cess shall be the full O&M cost of irrigation canals and secondary drains. (4) The Q&M cost of flood protection and public sector fresh ground water (FGW) tubewells will be excluded from abiana. A nominal proportion (by 5 to 10 per cent) of the Q&M cost of saline ground water (SGW) tubewells and/or main drain may, however, be borne by the beneficiaries, should such a seed is felt by the Authority at some later stage. 23. Books of Accounts.— The Authority shall maintain proper books of accounts and records on generally acceptable accounting principles, to explain all its transactions and to give a true and fair view of this state of affairs. The books of accounts relating to a period of not less than ten years immediately proceeding the current year shall be preserved in good order. 24. Annual financial statement.— 48 (1) The Authority shall, not later than six months after the end of each financial year, prepare financial statements including balance sheet as at the end of the financial year, income and expenditure account for the financial year, and a statement of changes in financial position or statement of sources and application of funds for the financial year, and cause these accounts to be audited in the manner specified in section 25. The financial statements shall be approved by the Authority. (2) The balance-sheet shall give a true and fair view of the state of affairs of the Authority as at the end of financial year, and the income and expenditure account shall give a true and fair view of the surplus or deficit of income over expenditure of the Authority for the financial year. (3) Accounting standards of the Pakistan Institute of Chartered Accountants shall be followed in regard to the books of accounts and preparation of the financial statements. (4) Accounting polices shall be sated as part of the financial statements. (5) The Authority shall attach to its financial statements a statement providing information on any material changes and commitments affecting the financial position of the Authority which have occurred between the end of the financial year to which the financial statements were prepared. (6) In the month of February each year, the Authority shall submit to Government for information, projected financial statements for the next year. 25. Audit.— (1) The Authority shall have a double audit system. (2) The financial statements of the Authority shall be audited every year by the Accountant-General of the Province as well as by the commercial auditors who shall be appointed by the Authority. (3) The Auditor shall carry out the audit in accordance with the professional standards of auditing prescribed by the Pakistan Institute of Chartered Accountants, and shall issue a report on the audit. (4) The Authority shall provide a copy of the audit and financial statements together with detailed information and explanation in regard to the observation, reservation, qualification or adverse remarks contained in the auditor’s report to the Government, and shall file a copy with the Accountant General of the North-West Frontier Province within 30 days of the period stipulated for their preparation in section 24. The Authority shall carry out all reasonable directives issued by Government for compliance with the observation, reservation, qualification or adverse remarks in the audit report. CHAPTER-VI AREA WATER BOARDS 26. Establishment of Area Water Boards.— 49 Government shall, as soon as possible, after the coming into force of this Act, notify the establishment of various Area Water Boards (A.W.Bs.) in the Province together with the respective territorial jurisdictions which will preferably be based on the canal commands; provided that an A.W.B. shall initially be formed only as a pilot for certain selected canal command area to be replicated later around all major canal commands in the Province, should the result of the pilot A.W.B. is satisfactory. 27. Constitution of A.W.B.s.— (1) Government shall, simultaneously with the establishment of the A.W.Bs. in the Province under section 26, notify the constitution of the Boards of Directors (the Boards) of such A.W.Bs. Each Board shall comprise of such number of members as may be required on the basis of successful result of the pilot A.W.B. (2) The members of a Board shall in their first meeting elect from amongst themselves a Chairman who shall preside over their meetings during their tenure of office, . In case the said Chairman, for any reason, is unable to attend a meeting of the Board, the members present at such meetings may elect one of the present members as the Chairman for that meeting. (3) The term of office of the members of the Board other than ex office members, if any, shall be 4 years. A member shall on expiry of his term, be eligible for renomination/election for one more similar term. 28. Meeting of the Board.— (1) The Board shall meet at least once in every quarter. However, the Chairman of the Board shall, upon receipt of requisition signed by one-half of the members, convene a meeting of the Board, after giving 7 days’ notice to all the members, within a period not exceeding 15 days from the date of receipt of such requisition. (2) The quorum for a meeting of the Board shall be two-third of the members, a fraction being counted as one. 29. Function of Area Water Boards.— An Area Water Board shall— (a) formulate and implement policies with a view to achieve and continuously improve effective, economical and efficient utilization of irrigation water at its disposal and to ensure that within a period not exceeding 7 to 10 years from the date of its constitution, it becomes fully operative as a self supporting and financially self-sustainig entity; (b) operate and maintain the irrigation, drainage and flood control infrastructure located within its territorial jurisdiction, but such operation and maintenance shall not extend to civil canals and private kathajar; (c) adopt and implement policies aimed at promoting formation, growth and 50 development of F.Os. including pilot projects for F.Os. and faithful monitoring of the results thereof; and (d) perform any other functions assigned by the Authority. CHAPTER-VII FARMERS ORGANIZATION 30. Formation of F.Os.— (1) The Authority and A.W.B. shall, within one year of its establishment, devise and implement pilot programmes, policies and take steps thereunder to ensure that F.Os. are formed at the minor/distributary level in a phased and orderly manner in accordance with the relevant bye-laws and regulations framed by the Authority under section 31. (2) The Authority and A.W.B. concerned shall enable the F.Os. formed under subsection (1) to become financially self-sustaining and self-sufficient for the due and effective performance of their functions prescribed under this Act within a maximum period of seven (7) to ten (10) years from the respective dates of their formation: Provided that F.Os. established by Agriculture Department, N.G.Os., community organizations and other sponsoring entities, shall be deemed to F.Os. within the meaning of this Act. 31. Bye-Laws and Regulations for F.Os.— The Authority shall, within said period as my be reasonable, but in no case exceeding six months from the date of coming into force of this Act, publish/cause to be published byelaws/regulations relevant to the formation of the F.Os. in the Province. 32. Functions and powers of F.Os.— A farmer Organization (F.O.) shall: (a) Operate, manage and improve the irrigations and drainage infrastructure, comprising of minors, distributaries and drains together with any structures thereon located with the area relevant to the F.O. concerned, other than civil canals and private kathajat; (b) obtain irrigation water from the Authority or A.W.B. concerned all the head of the minor or the distributary and to supply the same to the members and other water users, if any; (c) receive the drainage effluent from their water users and to convey the same through field/collector drains to the designated nodal points of the drainage system: 51 (d) collect the agreed water charges/other dues, if any, from its water users and to pay the agreed consideration for supply of irrigation water and conveyance and/or disposal of drainage effluent to the Authority or A.W.B. concerned: (e) engage, hire or employ and consultants, advisors and employees as may be deemed necessary or be otherwise reasonably required for the due and effective performance of various powers and functions on such terms and conditions as may be prescribed including terms and conditions relevant to the conclusion or premature determination of such engagement etc. of any consultant, advisor or employee, as the case may be; and (f) any other power and functions not being inconsistent with a functions and powers given above which may be vested in the F.Os. under the bye-laws and regulations framed by the Authority under section 31. CHAPTER-VIII REPORTS AND STATEMENTS 33. Submission of Yearly Reports and Returns.— (1) The F.Os., A.W.B. and the Authority shall submit to Government, as soon as possible after the end of every financial year but, before the expiry of a period of seven months of such end of the financial year, a report on the conduct of their affairs for the year including audited financial statement for the year in question, (2) Government may reasonably require the submission of the following: (i) any return, statement, estimate, statistics or other information regarding any matter under the control of such entity; or (ii) a report on any such matter; or a copy of any document in the charge of such entity and the entity concerned shall comply with every such requisition. The Authority and A.W.Bs. shall cause to be published their annual reports submitted together with brief particulars of the projects proposed to be undertaken during the next financial year in at least one English/Urd/regional language newspaper. (iii) (3) CHAPTER IX— MISCELLANEOUS 34. Transfer of Rights and Liabilities.— (1) (2) Upon coming into force of this Act all assets and liabilities and all rights and obligations of the Provincial Irrigation Department shall stand transferred to the Authority, on such terms and conditions particularly as regards the use and disposal of said assets, as my be determined by Government. All contracts made by the Provincial Irrigation Department relating to irrigation, drainage, flood control and hill torrents shall be deemed to be contracts made by the 52 Authority. All decisions and/or any other employee or employees of the Authority duly authorized by the Managing Director in this behalf. 35. Indemnity.— (1) Nothing in this Act shall be construed as imposing upon the Authority, either directly or indirectly, any duty enforceable by proceedings before any Court. (2) No suit, prosecution or other legal proceedings shall lie against the Authority, the Managing Director, or any other officer, servant, expert or consultant of the Authority in respect of any damage caused or likely to be caused, or anything done or intended to be done in good faith, under this Act or the regulations made thereunder. 36. Rules and Regulations.— For the purpose of carrying into effect the provisions of this Act, the Authority may, with the approval of Government, frame and notify such rules and regulations as it may consider necessary or expedient. 37. Removal of difficulties.— If any difficulty arises in giving effect to any of the provisions of this Act, Government may make such orders, as inconsistent with the provisions of this Act as may appear to it to be necessary for the purpose of removing the difficulty. 38. Provisions of this Act to override other Laws.— In case of any confusion or inconsistency between any provision(s) of this Act and any other law(s) of provisions of this Act, to the extent of such conflict or inconsistency, as the case may be, shall prevail. 53 REFERENCES 1. Akhmouch, A. (2012), “Water Governance in Latin America and the Caribbean: A MultiLevel Approach”, OECD Regional Development Working Papers, 2012/04, OECD Publishing. 2. Bhatti, M.A. 1995. Water pricing and financial aspect of irrigation-Issues and options. Pakistan Journal of Water Resources. PCRWR. Islamabad, Pakistan. 1(1):67-87 3. Bandaragoda, D. J., Y. Memon. 1997. Moving towards participatory irrigation management. Report No. 26. 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