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dam-l Letter to WBank on LHWP/LS
The following is a joint letter by IRN and EDF on recent compensation
problems with the Lesotho Highlands Water Project. It follows up on a
petition by affected people on these issues (see previous posting).
November 5, 1998
Mr. Jean-Louis Sarbib
Vice President
Africa Region
The World Bank
1818 H St., NW
Washington, D.C. 20433
Re: Lesotho Highlands Water Project
Dear Mr. Sarbib,
We are writing to you about two issues regarding the Lesotho Highlands
Water Project (LHWP). The first is an urgent matter related to the
compensation of project-affected people which requires immediate World Bank
action. The second is to request that the World Bank undertake a thorough
analysis of the development strategy it pursued through support of the
LHWP, the project's sustainable development impacts on the ground and its
possible role in leading to the recent tragic events in the country. We
consider an in-depth and independent analysis to be an indispensable input
into any deliberations about future phases of the LHWP.
(1) Project-Affected People
It has come to our attention that communities affected by Katse Dam have
recently written the project authorities (LHDA) and the World Bank because
they have not yet received compensation due them for loss of communal
lands. The situation is apparently dire: cattle are dying because fodder
deliveries have stopped, and the petitioners have asked that either fodder
or cash compensation be given them immediately. We urge you to use your
authority to press for a quick resolution to this situation.
It is clear that the communal assets compensation program is not working
for affected communities, and is even contributing to local hostility
toward the project. We understand that people are confused as to why they
are no longer receiving fodder, and also do not understand how to access
the compensation money that is supposed to replace it. Local NGOs inform us
that communities are expected to submit village development plans to
receive these compensation funds, but that some villages submitted plans
months ago and have not yet received a response from LHDA. There is
reportedly confusion at LHDA as well, and the program seems to be stuck in
a bureaucratic mire. Field staff are said to be reluctant to meet with
communities about communal assets because they sense rising hostility to
the new plan.
Given its tarnished image and inability to deliver, we believe the communal
assets compensation program should undergo a thorough assessment by
independent monitors, and with input from affected people. In the interim,
a generous and prompt method of compensating these villagers should be
devised.
We would like to add that this troubled program reinforces our belief that
land-for-land compensation programs for projects such as this one are the
most effective way to restore people's livelihoods after undergoing the
trauma of resettlement or the loss of productive assets. Cash compensation
programs such as this one have failed nearly everywhere they have been
tried, and it appears that the LHWP's attempts to solve social disruption
with cash payments will just add to that record.
The lack of a timely response to affected people by LHDA and the World Bank
on this recent issue may indicate that the full monitoring and evaluation
of compensation and livelihood restoration activities is not being
implemented as planned. It is critical that this problem be thoroughly
examined.
The fact that the more high profile social aspects of the project are
undergoing considerable problems leads us to be concerned about the
presently less prominent environmental aspects, which are nonetheless key
to both the sustainability of local livelihoods and to the project itself.
We are particularly concerned about progress on the erosion and watershed
management plan, the systematic monitoring of the implementation of the
Environmental Action Plan and work being undertaken on the Instream Flow
Requirements Study.
2) The LHWP and Sustainable Development
World Bank support has been critical in catalysing funding of about $3.6
billion for Phases 1A and 1B of the LHWP. Construction-related activities
have led to impressive statistics about the country's GDP growth. The
government is pressing for the building of project phases 2-4 because it
rightfully fears a sharp drop in government revenues the moment
construction activities cease.
But what have been the project's concrete results in reducing poverty,
promoting sustainable development and protecting a fragile and unique
environment in the Lesotho Highlands?
In addition to what appears to be a growing and long-term impoverishment of
the directly affected Highlands people, it is doubtful that there will be
sustainable economic benefits in the temporary construction-related jobs.
Construction activities have been faced with considerable labor unrest
given the low pay and harsh working conditions of the Basotho work force.
In 1996, numerous workers were shot dead and many others sought refuge in
churches. To our knowledge, the Bank's request that an independent and open
inquiry into the killings be carried out was never fully complied with --at
least, the information was never made public if action was taken.
The lack of democratic reforms and deteriorating social well-being lie at
the heart of Lesotho's current situation, which was further aggravated by
the invasion and occupation by South African military forces. Not
surprisingly, given the import of the LHWP to South Africa and the growing
anti-South African sentiment in Lesotho, protection of the dam sites was a
top military priority.
A thorough analysis of the social, environmental, political and even
geo-political ramifications of the LHWP is likely to provide valuable
insights into what constitutes concrete praxis of sustainable development
and what does not.
We thank you for your attention to the urgent matter of compensation and
would very much appreciate a quick reply on your part.
Sincerely,
Korinna Horta
EDF
1875 Connecticut Ave., Suite 1016
Washington, D.C. 20009
Tel. 202 387 3500 Fax 202 234 6049
email: Korinna_Horta@edf.org
Lori Pottinger
International Rivers Network
1847 Berkeley Way
Berkeley, CA 94703
Tel. 510 848-1155 Fax 510 848-1008
email: lori@irn.org
cc: Moea Ramokoatsi (HCSAC)
Mawinnie Kanetsi (TRC- NGO Cluster Chairperson)
Melanie Marlett (U.S. Executive Director's Office)
Michael Colby (U.S. Treasury Department)
Willie Croucamp (DWAF-RSA)
Thayer Scudder (Environmental Expert Panel)
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Lori Pottinger, Director, Southern Africa Program,
and Editor, World Rivers Review
International Rivers Network
1847 Berkeley Way, Berkeley, California 94703, USA
Tel. (510) 848 1155 Fax (510) 848 1008
http://www.irn.org
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