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dam-l ADB Reply to Sekong-Se San letter
20 November 1997
Ms. Aviva Imhof
International Rivers Network
1847 Berkeley Way
Berkeley CA 94703
USA
Dear Ms. Imhof,
We refer to your letter of 29 October 1997 and our interim reply of 10
November 1997 regarding the Bank-financed Sekong-Se San and Nam Theun River
Basins Hydropower Development Study.
Before addressing the specific issues however, let us briefly describe the
rationale for undertaking this study. As you may be aware, hydropower
development in the greater Mekong subregion is attracting much interest
from the private sector. A number of projects are already under
construction utilizing private sector funds. The regional governments are
promoting further private sector participation. However, the governments
are aware that such development could be suboptimal with respect to
technical and economic criteria and that environmental and socioeconomic
concerns are not properly addressed in a comprehensive manner. For example,
environmental and socioeconomic costs are not always included in project
cost estimates. The Governments of Cambodia, Lao PDR, and Viet Nam
therefore requested the Bank to assist them in formulating a development
plan for three river basins, taking into account the environmental and
socioeconomic impacts. The plan is intended to guide the decision makers in
the GMS countries in optimally developing their water resources.
Indicatively six projects were mentioned in the TOR simply as a guide to
the consultants' scope of work. About 23 hydropower projects have been
identified by the government of Lao PDR for development using private
sector funds. A few more have been added in Cambodia and Viet Nam. Out of
this total, we expect a few would be suitable as priority projects.
However, there is no absolute minimum number of projects that the
consultants should identify. We wish to emphasize that the projects to be
identified will only be for further studies, and by no means for immediate
implementation. Any deficiencies noted during the current study will be
addressed during the subsequent studies.
You have raised questions regarding the lack of adequate hydrological data
and baseline data. While more hydrological data is certainly desirable, it
is a generally accepted practice in hydrological studies to extrapolate and
synthesize data. On the socio-environmental aspects, the consultants are
collecting further data, supplemented by other ongoing studies, (e.g. SIDA-
financed Upper Se San Basin Masterplan study). The TOR were recently
revised to carry out further ethnological studies. Since the ongoing study
is to develop an indicative development plan, we believe that the level of
accuracy obtainable at this stage still serves the purpose.
As you would have noted in the TOR of the study, three major workshops were
envisaged to discuss the inception report, interim report and the draft
final report. The first workshop which discussed the inception report was
mostly concerned with technical matters and on how the consultants were
going to proceed further. For the second and third workshops, we are most
happy to invite concerned groups, particularly people who could be directly
affected by hydropower development. Local and international NGOs are also
most welcome to participate. We have also scheduled three more workshops to
be undertaken in each country. These workshops will be conducted in the
local language and affected groups will be invited. As mentioned earlier,
the present study is more of a conceptual-type which would lead to further
investigations of identified projects. You can therefore be assured that
there will still be many opportunities for further public consultations
before any of the identified projects is taken up for physical
implementation.
In a study of this nature, involving three countries and numerous
cross-cutting issues, it is not always possible to predetermine the exact
course of the study. We note that most of your observations are based on
the consultants' working papers. These working papers were meant for
identifying the issues and to formulate further action to address them
during the study. Indeed, these papers have been useful in modifying the
scope of the study, adjusting the inputs from various experts, and in
identifying and obtaining supplementary information, either through further
study or from various regional agencies. For example, after the release of
the Inception Report, the consultants have been able to obtain the required
system expansion plans in Thailand and Viet Nam reflecting the latest
economic conditions. We also wish to assure you that any deficiencies in
available information, as noted in the consultant's working papers, will be
fully addressed in subsequent studies.
We wish to inform you that the second workshop to discuss the interim
report will be held in Vientiane, Lao PDR towards mid February 1998. Let us
re-emphasize that you are not only welcome to join us at this workshop but
encouraged to do so, given our common interest in the successful
implementation of this study. Finally, we took note of your use of the
internet to publicize the exchange of letters between your organization and
the Bank. In the same spirit of openness, we would appreciate if this
letter is also given the same publicity by posting in your Website.
We would appreciate if any future correspondence could be addressed to Mr.
Robert H. Salamon, Chief Information Officer of the Bank.
Sincerely,
J.E. ROCKETT
Manager
Energy Division West