Lesotho Highlands Water Project Phase 1B: Implementation Completion and Results Reporting Stakeholder Workshops
December 31, 2006, marked the closure of the $45 million loan from the World Bank towards Phase 1B of the Lesotho Highlands Water Project. The US$1.13 billion project saw the completion of the Mohale Dam, the Matsoku weir and the water transfer tunnel from Mohale to Katse in 2003, as well as the introduction of important, on-going environmental and social programs. The implementation of Phase 1B has helped to consolidate the physical and managerial capacity needed for Lesotho to transform water, its principal natural resource, into export revenues.
Export revenues from the transfer of water to South Africa have contributed M835.30 million in cumulative royalties to Lesotho along with an additional M1.28 billion through SACU and tax revenues. Phase 1B generated more than 9,000 jobs, equivalent to over 20,000 person-years of employment worth more than M623 million in wage earnings for the people of Lesotho. Basotho companies have implemented consultant and construction contracts worth more than M300 million.
The project has bought numerous development opportunities to the Highland communities through infrastructure programs that have improved access and reduced travel times. More than 2500 VIP latrines have been constructed in 126 villages in the highlands around Mohale, along with water supply systems. The resettlement of 321 households affected by the project has been implemented within a comprehensive resettlement framework. This has provided cash compensation, training opportunities and agricultural and development programs that have seen an increase in average household incomes. More than M13 million has been paid in lump sum compensation to individual households and M3.2 million in communal compensation payments to communities within the Highlands. Within this framework the project is establishing a platform for the further empowerment of the Highland communities.
Sustainable development throughout the Highlands is being supported though a comprehensive integrated catchment management program. This program is aimed at improving the sustainability of the Highland’s rich natural heritage. Specific programs are helping to protect the endangered Maluti minnow and the spiral aloe. Based on comprehensive studies undertaken as part of the project, appropriate flows for rivers downstream of the Mohale Dam, have been secured to maintain natural resources important to ecosystem health, local communities and their livelihoods or to provide the basis for compensation where resources are reduced.
To mark the closing of the loan, the World Bank Group, in collaboration with the Lesotho Highlands Development Authority, is conducting an intensive evaluation of Phase 1B of the Lesotho Highlands Water Project. This learning exercise reflects on the implementation experience from Phase 1B to capture those positive lessons learned and identify areas to improve the quality and effectiveness of World Bank lending and enhance the Borrower’s ability to design, implement and operate projects of a similar nature.
As a part of this process, the World Bank Group and the Lesotho Highlands Development Authority are holding two national workshops. One will be held in Maseru on February 8th and the other in Johannesburg on February 13th. These workshops will bring together a range of stakeholders to discuss the lessons, experiences, costs and benefits of the project. The specific workshop objectives are to: 1. Share information regarding the design, development, implementation, operation and impact of Phase 1B of the LHWP; 2. Review and discuss stakeholder viewpoints and concerns in these contexts; 3. Describe and discuss the lessons that have been learned by various stakeholder groups throughout Phase 1B, including lessons for financial management; 4. Review and discuss assessment, evaluation and reporting around Phase 1B; 5. Propose measures to improve and sustain the above.
For additional information please contact Mr. Motlatsi Nkhasi of the Lesotho Highlands Development Authority (Public Relations Unit) - Email: nkhasim@lhda.org.ls
In conclusion LHDA assures the media fraternity and other interested parties of its availability and willingness to address public concerns as and when so required. The LHDA public relations unit is the gateway for such concerns.
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