Project Components

The project objective is proposed to be achieved through a combination of infrastructure modernization and institutional strengthening efforts both for irrigated agriculture as well as overall water resources management. The specific components of the project include:

5.4.1 Component A: Irrigation Systems Modernization in a Sub-basin Framework (Base Cost US$ 282.83 Million)

This component seeks to improve bulk water delivery to irrigation systems through modernization of irrigation systems and service delivery in schemes in about 63 selected project sub-basins (see Map 2 at the end of this document). Activities will be carried out under two sub-components:

5.4.1.1 Sub-Component A1. Tank Systems Modernization (Base Cost US$ 241.28 million)

This sub-component will focus on reviving traditional water bodies (tanks) that are an integral part of most irrigation systems networks in the state. Special effort will be made to consider tanks in a multi-disciplinary, holistic framework to yield sustainable benefits to the farmers of such systems.

5.4.1.2 Sub-Component A2: Other Irrigation Systems Modernization (Base Cost US$ 41.55 million)

This sub-component will focus on the few sub-basins where tanks are not part of the larger canal-irrigated systems. These irrigation systems will also be modernized in a shared-vision sub-basin perspective.

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The activities in both sub-components will be customized by the line agencies in a coordinated manner for each sub-basin depending on the analysis and stakeholder inputs related to problems and opportunities. The resulting sub-basin plans will underpin demand-driven project investments under this Component.

Activities that will be financed by the project include civil works, equipment, consultancies, training, and incremental operational costs associated with modern designs, modernization of control structures such as anicuts (diversion weirs) associated supply channels, cross-masonry structures, desisting of tanks where required based on previous hydrological performance, strengthening and up gradation of the tank bunds (embankments), flow measurement arrangements at each branch canal, distributaries and minor off take (including real-time data acquisition and canal automation systems in selected systems), distribution system up gradation (including selected lining, off take construction), standardization of canal banks and canal bank roads, and repairs, renovation and modernization of sluices and surplus arrangements. The work will be carried out primarily by the Water Resources Organization with the involvement of the Water Users Associations (WUA). These activities are expected to improve the capacity of the WRO to modernize the manner in which irrigation systems have been designed, rehabilitated, operated and maintained in the past. In particular, these changes would include increased stakeholder participation, increased coordination with other agencies in formulating interventions, use of a sub-basin as a basis to design interventions, use of modern information and analytical systems, moving from routine rehabilitation to substantial modernization through use of modern technical and management techniques.

5.4.2 Component B. Agricultural Intensification and Diversification (Base Cost US$ 166.23 million)

This component seeks to build on the improved bulk water delivery of the previous component to increase the productivity of agriculture-related activities through improved agricultural intensification and diversification in about 63 selected sub-basins.

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5.4.2.1 Sub-Component B1. Tank Systems (Base Cost US$ 117.18 million).

This sub-component will focus on intensification and diversification of tank- dependent ayacuts.

5.4.2.2 Sub-Component B2: Other Systems (Base Cost US$ 47.05 million).

This sub-component will focus on the intensification and diversification of the larger canal-irrigated systems.

Investments and associated activities under both sub-components will be determined through a participatory sub-basin planning process, which will include relevant stakeholders. The activities supported under this component will be designed in a customized manner for each sub-basin to support the implementations of the sub-basin development plans to improve benefits to farmers, farm laborers, landless, fishermen and livestock owners.

Activities to be financed by this component include support for training, goods, civil works, and incremental operating expenses associated with improved larger-scale farm-based demonstrations (intensification, diversification, sustainable agricultural practices, water conservation through farm ponds and drip/sprinkler systems, etc), awareness-building/training/extension programs (e.g. on higher-value cropping systems, IPM/IPNM/organic farming, on-farm development), promoting the use of improved tools and farm equipment, agro-processing and value-chain improvement support, market infrastructure, information kiosks, market information systems, modern fisheries production systems, and improving livestock health, milk yields, and fodder production.

These activities will be implemented by the Government of Tamil Nadu’s Agriculture Department, Agricultural Engineering Department, Horticulture Department, Agricultural Marketing Department, and the Tamil Nadu Agricultural University (all of which report to the Secretary, Agriculture) supported by Water User Associations. In addition, the Animal Husbandry Department and Fisheries Department (which report to the Secretary, Animal Husbandry and Fisheries) will implement the livestock and fishery activities proposed. The activities are aimed to set a new paradigm for irrigated agriculture activities in the state through improved

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coordination and convergence among the project implementing agencies, focusing activities on a sub-basin framework, targeting extension activities to water user associations, substantially scaling-up use of modern techniques (e.g. micro-irrigation system, farm ponds, SRI for rice, IPM/IPNM, organic cultivation, improved tools, etc.), special focus on market-led interventions, targeted support for agro- processing, improving access to credit, and modernizing associated fishery and livestock systems. Many of these activities are routinely carried out by the implementing agencies; however, this project will help significantly up-scale and better coordinate these activities to improve overall agricultural system productivity to improve farmer incomes.

5.4.3 Component C. Institutional Modernization for Irrigated Agriculture (Base Cost US$ 52.69 Million)

This component seeks to improve the institutional capacity for modern, efficient, and accountable irrigation service delivery. The scope of this activity is state-wide.

Under this component funds (for civil works, training, consultancies, goods/equipment, and incremental operating expenses) will be provided to assist Go TN to improve training and sourcing of additional skills relevant to modern irrigation systems management, facilitate systematic change management efforts to modernize the functioning of the WRO, building upon good practice experiences in India and abroad, streamline institutional setup at the WRO, finance memberships in relevant professional associations, improved computerization and office infrastructure, development of an appropriate irrigation knowledge base (including topographic and asset inventory surveys), information systems, analytical capacity, conductivity, and processes to deliver efficient environmentally and socially sustainable and cost-effective irrigation services to farmers viz., water users associations, and other public-private partnerships. Funds will be provided to assist in the formation and capacity building of about 2500 water users associations and Cluster WUAs (about 10 WUAs clustered on a hydraulic basis to serve as a focus for extension and information technology efforts) in the 63 sub-basins under the project. Irrigation Research Fund (IRF) with a corpus of about US$ 3 million (to be

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revised during project mid-term based on implementation progress) will beset up and used to foster research in irrigation development and management.

These activities will be implemented through the WRO and the WUAs. The activities are expected to substantially scale-up the institutional capacity at the WRO to design, monitor, maintain and modernize their assets in an environmentally and socially sustainable manner using appropriate state-of –the art techniques, and to more effectively interact with much stronger WUAs.

5.4.4 Component D: Water Resources Management (Base Cost US$ 5.00 million)

The objective of this component is to improve the institutional arrangements and capacity for sustainable water resources management in the State. This will include the creation of a State Water Resources Management Agency (SWaRMA), amalgamating the existing Institute of Water Studies and the State Surface and Ground Water Data Centre.

This component will finance expert consultants, incremental operating expenses, civil works, training and equipment required to provide additional multi- sectoral expertise (especially economics, environmental and social aspects, basin analysis and modeling, GIS and remote sensing, planning future water uses, stakeholder communications, etc). This will be facilitated by activities to enhance analytical and stakeholder involvement In addition, the frame work for sustainable water resources management will be strengthened through creation of SWaRMA, and other Basin/Sub-basin Boards (building on the experience of two existing ones for the Palar and Thambiraparani basins). Targeted studies will be financed through enhanced support for the existing Water Resources Research Fund. The Coolum sub-basin. Will be a special focus to support studies, analysis, stakeholder forums, and demonstrative investments to address the multi-faceted problems in the basin.

These activities are to be implemented by the SWaRMA (and its predecessor institutions till this is formed), the WRO, and Basin Boards. These investments should make Tamil Nadu one of the best examples of operationalising modern Sustainable Water Resources Planning and Management concepts `in a basin framework in India.

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5.4.5 Component E. Project Management Support (Base Cost US$ 8.32 million)

This component will support the management and coordination efforts related to this project.

In particular, this will support key consultancies (such as for the project Monitoring and Evaluation, internal audit capacity building, specialized multi- disciplinary contract staff), and the necessary civil works (to house the Multi- Disciplinary Project Unit to be combined with the WRO_, and goods (including computer hardware, software, connectivity, video/audio conferencing, project library, vehicle purchase and hire, etc), and operating costs to facilitate inter-agency coordination, project monitoring adaptive project management, and effective reporting.

This component will be implemented by the Multi-Disciplinary Project Unit (MDPU). It is expected that the project activities would help MDPU improve its challenging institutional coordination function, remain on top of the status of project activities, and undertake corrective measures as required.