Report No. 1446-KE FILE COPYKenya: Bura Irrigation Settlement ProjectAppraisal ReportMay 24, 1977

Eastern Africa RegionAgricultural Credit and Livestock Division

FOR OFFICIAL USE ONLY

Document of the World Bank

This document has a restricted distribution and may be used by recipientsonly in the performance of their official duties. Its contents may nototherwise be disclosed without World Bank authorization.

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CURRENCY EQUIVALENTS /1

SDR 1.00 = Kenya Shillings (Ksh) 9.66SDR 1.00 = US$1.20US$1.00 = Kenya Shillings (Ksh) 8.35Ksh 1.00 = US$0.12

GOVERNMENT AND PROJECT FISCAL YEAR

July 1 - June 30

WEIGHTS AND MEASURES

I meter (m) 3= 39.37 in

1 cebic meter (m )3 = 35.31 cubic feetI m per second (m /sec) 35.31 cu4ic feet per second (cusec)1 hectare (ha) 10,000 m - 2.47 acres1 kilometer (km) 2 0.62 miles1 sq kilometer (km ) 0.39 sq miles = 100 haI liter (1) 0.26 US gallons1 kilogram (kg) = 2.204 pounds (lb)1,000 kg = I metric ton = 2,204 lb (0.98 long tons)

/1 As the Kenya Shilling is officially valued at a fixed rate of 9.66 KSh tothe SDR, the U.S. Dollar/Kenya Shilling exchange rate is subject to change.Conversions in this report were made at US$1.00 to KSh 8.35 which is closeto the short-term average exchange rate.

FOR OFFICIAL USE ONLY

CONVERSION FACTORS

Ginning out-turn of seed cotton

- 38% lint61% seed1% scarto

Shelled groundnuts - 65% nuts in shell

ABBREVIATIONS

AFC - Agricultural Finance CorporationBPCO - Bura Project Coordinator's OfficeCDC - Commonwealth Development CorporationCLSMB - Cotton Lint and Seed Marketing BoardEDF - European Development FundMOA - Ministry of AgricultureMPB - Maize and Produce BoardNIB - National Irrigation BoardNYS - National Youth ServicePPR - Project Planning ReportTRDA - Tana River Development AuthorityUSDA - United States Government, Department of Agriculture

This document has a restricted distribution and may be used by recipients only in the performanc*of their official duties. Its contents may not otherwise be disclosed without World Bank authorizatior .

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

TABLE OF CONTENTS

Page No.

SUMMARY AND CONCLUSIONS ............................. i-iii

I. INTRODUCTION ........................................ 1

II. BACKGROUND .......................................... 2

A. General ........ ......................... 2

B. Rural Sector ...... ........................ 2

C. Settlement and Irrigation Schemesin Kenya ..................................... 6

D. Hola Scheme Results ..... ..................... 7

E. Rural Development Strategy ..................... 8

III. THE PROJECT AREA .................................... 8

IV. THE PROJECT ......................................... 11

A. General ............................... 11

B. Detailed Features ...... ........................ 12

C. Cost Estimates ...... ........................... 26

D. Financing ....... ............................... 28

E. Procurement .................. 28

V. ORGANIZATION AND MANAGEMENT ......................... 32

VI. PRODUCTION, MARKET PROSPECTS, PRICES,TENANTS' INCOME AND GOVERNMENT REVENUES .... ...... 39

VII. ECONOMIC BENEFITS AND JUSTIFICATION ................. 41

VIII. RECOMMENDATIONS ..................................... 43

ANNEXES

1. National Irrigation Board

* Appendix 1: The Irrigation Act, 1966

* Appendix 2: The Trust Land (Irrigation Areas) Rules

* Appendix 3: The Irrigation Act (National Irrigation Schemes)

Regulations, 1977

2. Agriculture

Table 1: Bura Meteorological DataTable 2: Summary of Yields 1975 Hola Crop Trials

ANNEXES - (Cont'd

3. Project Works

Chart, World Bank 16059; Standard Field Layout

4. Itemized Cost Summaries of Project Works, Buildings,Equipment and Vehicles

Table 1: Itemized Cost Summary of Project WorksTable 2: Itemized Cost Summary of Buildings and Village

InfrastructureTable 3: Itemized Cost Summary of Plant, Machinery, Equipment

and VehiclesTable 4: Itemized Cost Summary of Ginnery arid Electrical Supply

5. Public Health, Education, Institutions and Services

6. Tenant Selection, Settlement and Housing

Table 1: Allocations of Tenants by ProvinceChart, World Bank 17461: Program of Tenant Selection and InductionChart, World Bank 17462: Outline of Settlement of a Typical Village

7. Water Quality, Demand and Supply

Table 1: Crop Calendar and Water RequirementsTable 2: Tana River Monthly Average Flows at GarissaTable 3: Tana River Regulated Dry Season Discharges at

GarissaTable 4: Tana River Minimum Monthly Mean Discharges at

Nanigi and Garsen Once in Five YearsTable 5: Tana River Minimum Monthly Mean Discharges at

Nanigi and Garsen Once in Ten Years

8. Cropping Patterns, Production and Farm Revenues

9. Forest Conservation and Afforestation

Appendix 1: Preservation of Indigenous Forests

10. Wildlife, Fisheries and Ecology

11. The Cotton Industry and the Cotton Lint and Seed Marketing Board

* Appendix 1: Schedule 6 of Development Credit Agreement for Kenya:Integrated Agricultural Development Project;Credit No. 650-KE

12. Feasibility Studies for Stage II Irrigation Project on the LowerTana River

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ANNEXES - (Cont'd)

13. Project Costs

Table 1: Summary of Project CostsTable 2: Cost of Settlers' Dwellings, Village Infrastructure,

Education and Social Services BuildingsTable 3: Administration BuildingsTable 4: National Irrigation Board Building CostsTable 5: Health Care Delivery: Capital CostsTable 6: Health Care Delivery: Operating CostsTable 7: Vehicles and Equipment: Capital CostsTable 8: Vehicles and Equipment: Operating CostsTable 9: NIB Staff SalariesTable 10: Salaries for Administration Services, Education

and Social ServicesTable 11: Cost of Farm InputsTable 12: Consultancy ServicesTable 13: Agricultural Management Services

14. Financing Plan

15. National Youth Service

Appendix 1: List of Equipment Allocated to Works

16. Estimated Schedule of Disbursement

17. Consultancy Services

18. Project Organization and Management

Chart, World Bank 17463: Organization for ConstructionChart, World Bank 17464: Organization for Operation

19. Farm Budget

Table 1: Tenant's Income from a 1.25 ha Holding at Full DevelopmentTable 2: Labor Requirements for a 1.25 ha Tenancy

20. Cost Recovery

21. Monitoring and Evaluation

22. Government Cash Flow

23. NIB Cash Flow

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ANNEXES - (Cont'd)

24. Economic Rate of Return

Table 1: Project Rate of Return CalculationTable 2: Economic Value of Project ProductionTable 3: Economic Prices

CHART

World Bank 17274 - Implementation Schedule

MAPS

World Bank 12225R - Location and CommunicationsWorld Bank 12226R1 - The Project Area

* These Appendices are available in the Project File

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

SUMMARY AND CONCLUSIONS

i. Kenya is a relatively poor country with a per capita income ofUS$220. Land is her main resource. However, good agricultural land comprisesless than 20% of the total land area. Population pressures are mounting andit is expected that within the next twenty years the average small scalefarmer will have to eke a living out of I ha of land instead of the 2 ha hecultivates today. The Kenya Government is pursuing a two-pronged approach indealing with this problem. It is attempting to raise productivity levels ofexisting land under cultivation while at the same time bringing additionalland into productive use. Irrigation is an important tool in achievingthis objective.

ii. The proposed Project, which would be the first step in an expectedeventual large scale development in the area, would provide for the construc-tion of an irrigation system and the settlement on smallholdings of about5,150 presently landless families (36,000 persons) selected from all parts ofKenya. A net area of about 6,700 ha would be brought into production forcotton and food crops, thus providing employment possibilities, expandedproduction and improved foreign exchange earnings in one of the least de-veloped parts of the country. Physical and social infrastructure would beprovided to support the settler and satellite population, expected to reach atotal of 65,000 by 1985.

iii. The Project would include the establishment of an agriculturalresearch station, the training of Kenyan staff to manage the Project andfuture irrigation projects and the preparation of a Stage II feasibilitystudy; these activities would contribute to future development and strengthenKenya's capacity to undertake it.

iv. Water would be diverted by a diversion weir in the Tana Riverinto a 46 km supply canal from which an irrigation distribution system woulddeliver it to the farms. Construction, which would take five years, wouldinclude: the weir and river protection works, the supply canal, a 19 kmmain canal, the irrigation distribution and drainage, land clearing andlevelling, roads, staff housing and offices, a town and 23 villages withpublic health, education, social and administrative facilities for a totalpopulation of 65,000, and crop processing and marketing facilities. Provisionwould be included for the protection of an existing riverine forest along theTana River and the establishment of afforestation plantations for buildingpoles and firewood, the protection of wildlife, the strengthening of agri-cultural extension services to the population of the area surrounding theirrigated area and the provision of consultancy services for project imple-mentation and training and of agricultural management services. Projectimplementation would be the responsibility of the National Irrigation Board

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(NIB), assisted and strengthened by consultants and by an experienced man-agement firm or organization, expected to be the Commonwealth DevelopmentCorporation, which would manage the Project's agricultural production phase onbehalf of the NIB for a period of at least six years. The NIB would purchaseequipment and vehicles and provide mechanized cultivation, pest control andall other services and agricultural inputs needed, as well as granting sea-sonal credit to its tenants. Tenancies, of 1.30 ha including 0.05 ha ofgardens at village sites, would not be mortgageable and tenants would under-take to follow a cropping pattern (cotton, groundnuts, maize and cowpeas) laiddown by the NIB, and to sell their produce to the NIB.

v. Total Project costs, including taxes and duties (US$9.2 million)and excluding interest on the Bank and CDC loans during construction (US$6.7million), are estimated at US$91.7 million, the foreign exchange componentof which is about US$49 million or 54%. The proposed Bank loan of US$34million and IDA credit of US$6 million would finance 48% of Project cost netof taxes. An additional US$37.8 million of external financing is being ar-ranged from: the European Development Fund US$12 million; the NetherlandsUS$8.8 million; the United Kingdom US$8.5 million; and the CommonwealthDevelopment Corporation (UK) US$8.5 million. The balance of US$20.6 millionwould be financed by the Government of Kenya.

vi. For the Bank/IDA-financed portion, procurement through internationalcompetitive bidding would be about US$35 million including contingencies.It would include civil works for the major irrigation structures, the ex-cavation of the supply canal and part of the main canal, land levelling, theginnery and buildings. The NYS would enter into arrangements with the NYS (adepartment of the Ministry of Labor) for the construction of canals, landclearing and minor irrigation works (total value about US$6.5 million includ-ing contingencies) provided such arrangements were acceptable to the Bank/IDA.Contracts for traditional building materials for settlers' houses (US$2 mil-lion) would be awarded after competitive bidding advertised locally and inaccordance with normal Government procurement procedures.

vii. Engineering and agricultural consultants would have responsibilityfor detailed Project planning, design, the preparation of tender documents andevaluation of tenders for construction and supply, the provision of technicaland coordination assistance to NIB and NYS and the preparation of the Stage IIfeasibility study.

viii. The cost of inputs and services supplied by the NIB's managementagency would be charged to tenants' individual accounts. The Government wouldlevy a "land and water charge" equivalent to not less than Ksh 2,800 per ha in1977 constant terms. This would represent a payment of Ksh 3,640 per farmer,or 32% of his net income, before Project charges and including the value ofsubsistence crops consumed, at full development. Net farm income in 1977constant terms, excluding the value of subsistence crops consumed, would beabout Ksh 5,220.

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ix. The Project would produce cotton lint for export and groundnuts,maize, cowpeas and vegetables for domestic and subsistence use. Annualnet foreign exchange earnings would reach US$8 million (in 1977 prices)by Year 20. The economic rate of return would be about 13%. If futurestages of development were constructed utilizing parts of the Project worksand the costs of such works were prorated between the Project and the futuredevelopment, the economic rate of return of the Project would be about 14.5%.

x. Irrigation and settlement of this tract of semi-desert would entailmany ecological changes. In particular irrigation would encourage the spreadof the vectors of two serious endemic diseases, malaria and schistosomiasis.There would be possibilities of conflict in the interaction between theProject and a large wildlife population and the riverine forest along theTana River would be at risk from cutters of firewood. The Project wouldinclude a comprehensive public health program and provision would be madeto mitigate the adverse impact of the Project on the wildlife, to preservethe riverine forest and to establish plantations to meet timber and fuelwoodneeds.

xi. The Project is suitable for a Bank loan of US$34 million and anIDA credit of US$6 million. The Republic of Kenya would be the borrower.

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

I. INTRODUCTION

1.01 The Government of Kenya has requested assistance from the Bankand other agencies to finance an irrigation and settlement project in theLower Tana River Basin, an undeveloped and sparsely populated region inthe east of the country. The project's primary objective would be to open upnew areas for production and to raise income and standards of living of some36,000 presently landless people (5,150 families) by developing a net area ofabout 6,700 hectares for irrigated cropping of cotton and food crops.

1.02 The proposed Project was prepared under Dutch bilateral tech-nical assistance by consultants for the Government of Kenya; this prepara-tion was supplemented by additional studies undertaken in 1976 by the con-sultants and by Government agencies. The project proposal is based ondetailed studies commenced in 1972 and reviewed during a series of Bankpreparation missions. Soils studies were reviewed by Mr. J.K. Coulter(initially Consultant, later Bank staff member) in two visits to Kenya during1974 and a third in 1976. The wildlife aspects were reviewed in the field byMr. L.H. Blankenship (Consultant) in July/August 1975. A project covering alarger area (14,000 ha) was submitted to the Bank in October- 1975, and apprai-sed in November 1975 by a mission consisting of Messrs. E.M. Sicely, F-M.Patorni and Y. Pret (Bank), and Miss M. Burns, Mrs. M. Elmendorf and Mr. D.G.Gardiner (Consultants). Dr. R. Kool of the Government of the Netherlandsaccompanied the mission part-time as an observer. The Project was reappraisedat its reduced size in October/November 1976 by a mission consisting ofMessrs. Sicely and Pret, after a report by the consultants (October 1976) hadshown that the soils of the Project area were less suitable than they hadoriginally reported. Miss J. Maguire and Messrs D.B. Argyle, F. Golladay andR.F. McMahon participated with the mission members in the preparation of thereport. Discussions on financing the project were held with the Kenya Govern-ment and co-financing agencies in Europe and/or Kenya in July and November1967 and March 1977. The Project Planning Report (PPR) for the Project (para4.48) was reviewed in draft with the consultants in England in April 1977.

1.03 Nineteen World Bank Loans and 12 IDA Credits, totaling nearlyUS$181 million have been approved so far to assist in the financing of 15projects in Kenya's agriculture sector. These include projects concernedwith livestock development, afforestation, tea development, settlement,smallholder credit, rehabilitation of group farms, integrated agriculturaldevelopment and sugar cane production. Implementation of these projects hasgenerally been satisfactory, except in livestock projects where it has beenslow.

II. BACKGROUND

A. General

2.01 Lying astride the equdtor on the eastern coast of Africa, Kenya,with a total area of 583,000 km , is a country of striking topographical andclimatic variety. Conditions range from a limited Afro-Alpine zone in thecenter south to the tropical coastal strip, and from near desert in the northto high rainfall forest in the southwestern highlands.

2.02 The population, now estimated at 13 million, is growing at a rateof about 3.3% per year. About 90% of the population lives in rural areas andis dependent on agriculture for its livelihood. There are, however, extremevariations in population densities, which range from several hundred persons2per km in some districts in Nyanza and Western province to 7 persons per kmin Narok District.

2.03 GDP growth has been averaging 6.3% annually in real terms between1964 and 1973 but has slowed down in recent years following accelerated worldinflation including oil price increases. Per capita income is currently aboutUS$220. The country's economy has been based mainly on agriculture (nowrepresenting about 30% of GDP) but manufacturing has grown rapidly and nowaccounts for about 12% of GDP. Tourism is an important foreign exchange earner.The Government's Action Program adopted in early 1975 aims at restructuring theeconomy by decreasing import dependency and promoting production for exports.The agricultural sector is to play an important role in this process.

2.04 Average rural income per capita is well below urban earnings,probably less than US$70, and moreover rural incomes show wide divergenciesamong themselves according to farm size and location. These income disparitiesaccount in part for rural-urban migration (urban centers are growing at about7% per year) as well as migration between rural areas.

B. Rural Sector

2.05 The agricultural sector is of great importance to the economy andis now contributing about 30% of GDP. The overall rate of growth in thesector between 1964 and 1973 was about 4.3% in real terms (and 6% in themonetary segment), a little above population growth. Agriculture accountsfor about 70% of total exports; the latter increased from Ksh 2,020 million toKsh 4,540 million in the period 1965-1975. The main export crops are coffeeand tea followed by sisal, pyrethrum, dairy products, meat, cotton, wool, nutsand animal feed. Subsistence cultivation accounts for over half of total

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agricultural production, the major subsistence foodcrops being maize, bananas,sorghum, millet and pulses.

2.06 About 18% of Kenya's total land area of 58 million ha is of highor medium potential for crops or livestock including the highlands and thecoastal belt. A further 10% is suitable for subsistence dry-land farming andcattle ranching, while the rest is suitable only for extensive production oflivestock for both commercial and subsistence needs. Of 160,000 ha identifiedas potentially suitable for new large scale irrigation development in Kenya,115,000 ha are located in the Tana River Basin and 35,000 ha in the LakeVictoria Basin. The Tana River Basin has been the subject of comprehensivestudies by the Tana River Development Authority (TRDA), established in 1972.Its hydro-electric potential is being developed through a number of schemesfinanced by the Bank and other external financing agencies.

2.07 The Government's ability to promote an improvement in farmer per-formance over the already good past record will largely determine Kenya'ssuccess in adjusting to the more stringent balance of payments situationin future years. It will be necessary in particular for the agriculturalsector to increase domestic food production, to make a major contribution toimport substitution, both directly and through resource-based industry, toopen up new export opportunities for raw materials and processed products andto play a larger role in absorbing labor and maintaining incomes and consump-tion. The Government is undertaking several actions to provide support tofarmers; more public investment is being channelled into agriculture, theMinistry of Agriculture's planning capacity has been strengthened and pricesare being kept under regular review to ensure that they provide adequateincentives to farmers.

2.08 Irrigation schemes have been developed in the past but untilrecently the Government's efforts to develop agriculture have been mainlydirected towards promoting rainfed agriculture (both for export crops andfood crops), with increasing attention to the needs of small farmers. Inorder to improve foreign currency earnings, provide settlement and employ-ment opportunities for the increasing number of rural population who findthemselves landless and without means of subsistence, and increase productionand incomes in the Lower Tana region, the Government has now decided todevelop the country's irrigation potential in a systematic fashion. Thisproject is a first step towards expected future large scale irrigationdevelopment in the Lower Tana River Basin.

The Cotton Subsector

2.09 Cotton was introduced into Kenya at the beginning of the century,but its commercial development has been relatively unsuccessful, mainlybecause producer prices have not been attractive to the farmer relative tocompetitive crops such as maize and beans. With the exception of one irrigated850 ha project in the Lower Tana basin, the Hola Pilot Irrigation Scheme, the

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crop is all rainfed. Total installed ginning capacity is about 38,000 tonsof seed cot-. -er year corresponding to 68,000 bales of cotton lint, andoutput was aboat 30,000 bales of cotton lint in 1972-74.

2.10 The domestic textile industry used to import lower grade cottonlint from Uganda and Tanzania while higher grade Kenya cotton lint was expor-ted. However, supplies from these sources are declining and the Kenya textileindustry is expanding. Hence, the Kenyan industry is becoming more dependenton other sources of supply, mainly of short-staple cottons.

2.11 The present market for vegetable oils in Kenya is about 32,000 tonsper annum, of which 22,000 tons are imported and 10,000 tons are domesticallyproduced and processed. Oilseed processing capacity in Kenya is about 75,000tons, well above present consumption. Present sources of locally producedvegetable oil are coconuts, groundnuts and sunflowers, while vegetable oils,oilseeds and animal fats and oils together form the country's main foodimport category for which import substitution appears feasible.

The Maize Subsector

2.12 The Kenyan national diet is based primarily on cereals, dominatedby maize. It is estimated that about 2 million tons of maize are producedannually. The national average yield may now well exceed 2 metric tonsper ha thanks to a rapid spread of hybrid maize. In terms of area plantedand total value, maize is Kenya's most important crop. About 90% of thetotal maize crop is grown by small-scale farmers who market any excessavailable after meeting subsistence needs. The balance is grown by commer-cial large-scale farmers who sell the bulk of their production to the Maizeand Produce Board (MPB).

Institutions

2.13 Government services to agriculture are delivered through fourministries and 15 statutory boards. The Ministry of Agriculture (MOA) hasthe responsibility for agricultural development.

2.14 The National Irrigation Board (NIB) is a semi-autonomous bodyresponsible for planning, construction, settling and managing nationalirrigation schemes. It is answerable to the Minister of Agriculture. Atpresent it operates five schemes, the largest of which, the Mwea scheme,covers about 5,500 ha. The NIB is described in Annex 1.

2.15 The Tana River Development Authority is responsible for carryingout and coordinating studies for development projects utilizing the re-sources of the Tana River Basin (including power generation, irrigation,wildlife and land) and for monitoring design, execution and performanceof planned projects.

2.16 The Cotton Lint and Seed Marketing Board (CLSMB) is a statutorycorporation with wide-ranging powers for regulating and servicing the cottonindustry in Kenya including: purchase and sale of cotton, lint and seed;

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fixing of prices; prescription of cotton seed and ginnery standards; licensingand inspection of cotton stores, markets and factories; financing ownershipand operation of ginneries, etc.

2.17 The Maize and Produce Board (MPB), a parastatal marketing agency,is the sole legal purchaser of maize sold across district boundaries. The MPBalso buys other crops (especially pulses and oilseeds) either as an agent forprocessors or for direct export.

2.18 The National Youth Service (NYS) is a government agency under theMinistry of Labour which provides training for young citizen volunteers in avariety of manual skills. It has been employed as a construction agency onBank-financed road projects.

2.19 Credit: Institutions providing agricultural credit include theAgricultural Finance Corporation (AFC) which provides credit to both largeand small commercially oriented farmers, and the Cooperative Bank whichchannels credit through cooperatives to mainly medium and small farmers. Onirrigation schemes for which the NIB is responsible, short-term financialrequirements are met by the NIB and repaid by farmers after the harvest. Theprivate banking sector also provides credit to farmers for agriculturalpurposes as well as loans to cooperatives for farmers to build houses.

Research and Extension Services

2.20 The research effort is dispersed among a large number of organiza-tions. Crop research is largely on a commodity basis. Emphasis has beenmainly on maize, wheat, coffee, tea and pyrethrum, but sugar and cottonhave received some attention. Field trials on irrigated crops have beencarried out by the NIB on the Hola Pilot Irrigation Scheme since 1966.The Ministry of Agriculture has a large extension service for agriculturebut its effectiveness is variable. On irrigation schemes the NIB operatesits own extension services.

2.21 Training of Staff and Farmers is provided by a large network ofcolleges and training institutions. Senior agricultural staff have usuallybeen trained to university degree level, intermediate level staff are trainedat the Egerton and Embu agricultural colleges, while junior staff obtaintheir training either at Embu or at Farmer Training Centers.

2.22 Supply of Fertilizers, Pesticides, and Seeds has been undertakenin the past mainly by private firms and organizations, the largest singledistributor being the Kenya Farmers Association (KFA) through a nationalnetwork of branches and stockists. While practically all artificial fertili-zers have to be imported, the Kenya Seed Company (KSC), a commercial organiza-tion, undertakes the multiplication of maize, sunflower and pasture seed.I1OA seed inspection services certify that seed offered for sale meets legallyprescribed purity and germination standards. Planting materials for tea,coffee and pyrethrum are supplied by the respective development agenciesthrough nurseries located in the main production areas. Cotton seed is

supplied by the Cotton Lint and Seed Marketing Board through the ginnerynetwork. The NIB coordinates the supply of inputs to farmers on its irri-gation schemes.

2.23 Marketing of smallholder produce has traditionally been under-taken by traders, stockists and cooperatives. Some specific crops aremarketed through statutory monopolies, i.e. the Cotton Lint and SeedMarketing Board and the Maize and Produce Board (paras 2.16 and 2.17).

C. Settlement and Irrigation Schemes in Kenya

2.24 Rural and urban unemployment, and the continued slow rate ofemployment generation in the two sectors have led the Government of Kenyato a search for land suitable for settlement.

2.25 During the past decade major investments have been made in landsettlement schemes. The most important of these was the Million-Acre Settle-ment Program which involved settling about 35,000 families on 470,000 hectaresof land. A much smaller but similar scheme was the Harambee SettlementProgram which entailed settling more than 400 families on about 6,500 hectaresof land. Another major program has been the Haraka Settlement Program throughwhich about 14,000 families have been settled on 105,000 hectares of land.Another scheme involved settling 2,000 families at 01 Kalou where 86 large-scale farms covering a total of 56,000 hectares were taken over.

2.26 With the exception of a few cooperatively-run largescale ranchesincluded in the Million-Acre Program and the 01 Kalou Scheme, all of theabove schemes have been based on settlement of families on individual small-scale farms. Beginning in 1971, a new settlement program - the ShirikaProgram - was started which involved the takeover of expatriate-owned large-scale farms. These were not sub-divided into small plots, but instead eachfarmer was allocated a small plot of about one hectare for food productionwhile the greater part of the farm was run as a large scale unit under amanager appointed by the Department of Settlement.

2.27 The development and success of these settlement schemes havebeen limited by a number of constraints, the major ones being lack ofseasonal credit to farmers, insufficient extension services, poor roads,inadequate water supplies, poor health and social facilities and in generalinefficient management.

2.28 Irrigation schemes coupled with settlement programs have soughtto achieve the dual purpose of bringing land into more productive use andproviding settlement for landless persons.

2.29 At present there are 5 major irrigation schemes in Kenya, underthe National Irrigation Board: Mwea in Kirinyanga District (rice; 5,500 ha),Ahero in Central Nyanza (rice; 1,500 ha), Hola in Tana River (cotton, maizeand groundnuts; 850 ha),

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Bunyala in Busia and Siaya Districts (rice; 340 ha) and Perkerra in Baringo

(onions and chillies; 260 ha). Mwea, Perkerra and Hola were initiated in the

later years of the colonial regime, employing Mau Mau detainees as laborers.Ahero and Bunyala were started later as pilot projects. A feature common to

all these schemes, resulting from Government policy, is the small size ofindividual holdings (about 1.6 ha).

2.30 Only Mwea, the largest scheme, is financially self-supporting.However, the Hola Scheme has been successful in terms of agricultural resultsand tenants' incomes have increased significantly over the past few years.Hola is not yet financially viable, being too small to cover high over-head costs including pumped water for irrigation. The other schemes have

suffered from diseases on rice (Bunyala, Ahero) or adverse market conditions(Perkerra) and until now have been unsuccessful.

D. Hola Scheme Results

2.31 The Hola Pilot Irrigation Scheme (850 ha) is located some20 km south of the Bura project area on soils generally similar to thoseof Bura. Tenants' holdings are 1.2 to 1.6 ha, growing cotton as a maincrop alternated with maize and groundnuts during the off-season.

2.32 Part of the scheme (about 600 ha) has been in production since1956. In 1972, the scheme was enlarged to 850 ha. During its first 8 yearsof operation, the scheme had little success. In 1964, however, consultants(ILACO, the Netherlands) were employed under a UNDP-financed project tocarry out research into agronomic and water management techniques. In 1966ILACO's services were retained for Hola under a Kenyan-Dutch technical assis-tance agreement, under which the firm also provided assistance to the NationalIrrigation Board in project management and staff training. The arrangement hascontinued from 1966 until the present time. As a result of this technical andmanagement assistance, cotton yields increased from an average of 1,200 kg ofseed cotton per ha in 1966 to the present level of about 2,800 kg/ha, of which98% have been graded AR (top grade) during the past 4 years.

2.33 Average farm incomes, excluding the value of subsistence crops,have risen from US$130 in 1966 to about US$620 in 1975. Farm incomes, how-ever, have varied greatly in relation to the farmers' management skill andapplication.

2.34 Maize is also a successful crop on the scheme, grown during theoff-season on about 400 ha. Best yields are over 3,500 kg/ha. There isagain a large difference in yields between farms, because many farmersappear to look only for subsistence requirements and are satisfied withlow yields.

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2.35 Grol:ndnuts are grown during the off-season on less than one-tenth of ti, ssheme area. Yields average 1,500 kg/ha of unshelled nuts,with best yields above 2,800 kg.

2.36 The Hola Experimental Station has carried out variety trialson cotton, maize, cowpeas, groundnuts and sugarcane. It also studies soilproductivity in relation to fertilizer application, soil structure andlong-term rotation trials.

E. Rural Development Strategy

2.37 Government's development objectives for agriculture are to(a) increase both the output and productivity of export commodities soas to increase foreign exchange earnings and maintain their competitiveposition in export markets; (b) diversify output to spread the risks ofprice fluctuations; (c) increase production of food crops to meet growingdemand resulting from population growth; and (d) develop physical and socialinfrastructure in regional programs for both cash and food crops, raiseincomes and living standards in the poorer parts of the country and reduceincome disparities and population-land imbalance among regions.

2.38 To attain these objectives, Government strategy consists of (a)implementing programs centering on the smallholder sector; (b) helpingand integrating parastatals, cooperatives and private entrepreneurs tocontribute more to smallholder development; (c) taking measures to reducethe population-land imbalance and the associated under-use of land andlabor; (d) stressing subsistence crop production; (e) executing large-scalediversification projects and (f) developing the country's irrigation potential.

III. THE PROJECT AREA

General

3.01 The Project area (Maps IBRD 12225R and 12226R1) is situated justsouth of the equator in the Lower Tana Basin. It lies on the west bank of theTana River and falls within the administrative area of the Tana River Districtin Kenya's Coast Region.

3.02 Access is by means of a road running from Garissa (75 km north of thearea) to Garsen (150 km south of the area). A 370 km long all weather roadconnects Garissa with Nairobi and similarly Garsen is served by an all weatherroad via Malindi to Mombasa (230 km). The road Garissa-Garsen is frequentlyimpassable to motor vehicles during the rainy seasons. The nearest railheadis at Mombasa.

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Climate

3.03 Rainfall is low (about 400 mm) and erratic, with large variationsfrom place to place and year to year. It falls mainly in two rainy seasons,March-May and October-December, the latter season being slightly the wetter.Temperatures are high year-round with little seasonal variation. Meanmaximum temperatures do not fall much below 32 C in any month (Annex 2) andaverage minimum monthly temperatures are above 20 0C. Winds are rather strongduring most of the year.

Topography and Soils

3.04 The area lies on an old alluvial terrace of the Tana River whichflows in a north-south direction across a vast plain stretching from thefoothills of Mt. Kenya to the Indian Ocean. The plain, with a regular west-east slope towards the river in the project area, is cut by a few majordepressions formed by seasonally-flowing tributaries to the river. The landsurface is generally even except near these watercourses.

3.05 The soils (Annex 2) of the old alluvial terrace are of two maintypes - sandy clay loam (or sandy loam) and heavy cracking clays. They occurin a complex, scattered pattern. In the area selected for development about50% of the soils are Class I, about 20% are Class II, about 10% Class IIIand the remainder (20%) are Class IV. The Class II and Class III soils havesaline-alkali subsoils but it has been shown at the Hola Pilot IrrigationScheme that they sustain irrigated production satisfactorily. Investiga-tions show that salts are being leached adequately and there is no build-upof salinity in the root zone. Sodium levels have also decreased under irri-gation and it has been concluded that soil amendments will not be required.The Class IV soils, which have a shallow topsoil, have been included in theproject area in order to gain practical management experience with them beforedeciding whether to extend the Project on to large areas of similar soils in asecond phase of development.

The Tana River

3.06 The Tana River is the only year-round source of irrigation waterin the area. Between Garissa and Garsen it meanders through a flood plainabout 3 km wide at a gentle gradient of about 1:2,200. The river is subjectto sudden peak flows accompanied by heavy sediment loads from rainfall run-off, followed by flow recessions during which it is fed mainly by groundwaterseepage. Its low season flows depend at present primarily on releases forhydro-electric generation routed through a series of reservoirs (Kamburu,Gtaru, Kindaruma) in its middle reaches. Regulation will be improved whenthe Upper Tana Reservoir is completed (1981). The reservoir will also permitfurther irrigation development to take place on the Lower Tana River, suppliedfrom stored water in the low-flow season.

Population

3.07 The population density in the Project area is about 1 person per sq.km. The main tribes are the Orma (nomadic pastoralists) and the Pokomo/Malekote

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(cultivators of the riverine margins). The Orma frequent the area mainlyduring and after the rainy seasons, living in temporary huts. The Pokomo/Malekote live in permanent villages along the Tana River. The total popula-tion of the Tana River District is about 60,000 people, of whom about 35,000are Pokomo/ Malekote, 19,000 are Orma and 6,000 are from other tribes.

Public Health

3.08 The Project area population shows a high prevalence of vector-borneand parasitic diseases. Infection rates by schistosomiasis are high (over70% in the 5-9 years age group); malaria is endemic with high parasite andenlarged spleen rates (36% and 30% respectively) in riverine villages, andlower parasite rates in scrubland villages (16%) as well as in the Hola PilotIrrigation Scheme villages (14%) where a voluntary prophylaxis scheme has beenoperating for some years.

3.09 There is a District Hospital at Hola (50 beds and active outpatientdepartment at present, but about to be enlarged to 150 beds under Dutchbilateral assistance) and several dispensaries in the Project area. Mostof the latter are staffed by visits from Hola hospital and only two haveresident dispensers.

Land Tenure

3.10 All land in the Project area is state-owned. The titles to landare vested in two different authorities: (a) the Tana River County Council,on behalf of the local population, which is entrusted with the administrationof "Trust Land", comprising the riverine zone on both sides of the Tana Riverand the northern two-thirds of the Project area; and (b) the District Commis-sioner, on behalf of the Ministry of Lands and Settlement, who administersthe "State Land" of the District, i.e. all the lands outside the Trust Landzone for which no title deeds have been established. No titles to land inor adjacent to the project area have been registered to date. The Projectlands are at present used by the Orma, who traditionally graze their cattlethere.

Agricultural Production

3.11 Under the semi-arid conditions prevailing in the area, the onlyagricultural production is derived from cattle grazing, the annual netproduction value of which amounts to about US$2,000 from the total area(10,000 ha) within which the 6,700 ha irrigable area lies.

Ecology

3.12 The ecosystem of the Project area is characterized mainly by theTana River; its riverine forest; a sparse open bushland away from the river;the nomadic and riverine population; and considerable numbers of wildlife,including elephants and other large mammals.

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IV. THE PROJECT

A. General

4.01 The Project would over a 5-1/2-year period develop about 6,700 netirrigated ha on the West Bank of the Lower Tana River and settle on small-holdings about 5,150 landless poor families selected from all parts of Kenya.Physical and social infrastructure would be provided to support the settlerand satellite population, expected to reach a total of 65,000 by 1985. Thefarms would contribute to Kenya's foreign exchange earnings as well as produc-ing food crops for subsistence. The Project would have a special developmentsignificance because it would develop, through technical assistance and

training, Kenyan capacity to manage future major irrigation projects projectedfor implementation within the next ten years, in particular an expected largedevelopment on the East Bank of the Lower Tana River. The Project would include:

(a) the construction of a diversion structure on the Tana River,a temporary pumping station, a 46 km supply canal, a 19 kmmain canal, secondary, tertiary and quaternary irrigationcanals and a surface drainage system;

(b) the improvement of main roads and the construction ofinternal Project roads;

(c) land clearing and levelling;

(d) the construction of scheme buildings and satellite facilitiesincluding an electrical generating station and distributionsystem;

(e) the construction of towns and villages for about 5,150 familiestogether with educational, social and administrative facilitiesfor an estimated total population of 65,000;

(f) provision for agricultural inputs and marketing facilitiesfor crops (cotton, groundnuts, maize, cowpeas), and for acotton ginning factory;

(g) the selection and settlement of about 5,150 families on holdingsof 1.30 ha each (1.25 ha farm holding, plus 0.05 ha irrigatedgarden);

(h) public health facilities and operations;

(i) the protection of existing riverine forest alongthe Tana River and the establishment of afforestationplantations for building poles and firewood;

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(j) the protection of wildlife in the area;

(k) the strengthening of agricultural extension services tothe existing population of the area engaged in riverinecultivation and nomadic pastoralism;

(1) the establishment of an agricultural research station;

(m) the provision of consultancy services for Project planning,strengthening and coordination of existing institutions,Project implementation and staff training;

(n) the provision of agricultural management services; and

(o) the preparation of feasibility studies for a possible futureirrigation project on the East Bank of the Lower Tana River.

The Project would be implemented by the National Irrigation Board (NIB),assisted and strengthened by project consultants and by an experienced agri-cultural management firm or organization, expected to be the CommonwealthDevelopment Corporation.

B. Detailed Features

4.02 The Project works are described in full detail in Annex 3. A sum-mary of their main features is given below:

Irrigation System

4.03 The Project (see Map IBRD 12226R) would irrigate an undeveloped areaof 6,700 ha net by long-furrow irrigation. The water would be divertedby gravity from the Lower Tana River by means of a diversion structurelocated north of Nanigi. The structure would be sited and designed alsoto supply a possible future canal on the east bank of the river to serve afuture Lower Tana East Bank Irrigation Development. A future expansion of thepresent Project, on about 6,000 additional hectares of adjacent soils cur-rently classified as Class IV, would also be contemplated after experience hadbeen obtained on the management and productivity of similar soils to beirrigated under the Project (see Annex 2). In order to permit this expansionto be undertaken with the minimum of disruption of water supplies to theProject, the diversion structure and the structures on the Supply and Maincanals would be constructed initially to the ultimate capacity required toserve the expanded project area. However, the canals would be excavatedinitially only to a size sufficient to supply 6,700 ha.

4.04 Field irrigation would take place only during daylight hours.However, the intake on the Tana River and the major irrigation canals (primaryand secondary canal systems) would operate on a continuous 24-hour basis.Night-storage reservoirs would feed the minor (tertiary) canals which wouldoperate only during the day.

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4.05 The diversion structure would consist of an 80 m long concrete fixedcrest spillway equipped with 3 sluice gates. It would incorporate a bridgeand an Xndersluice to flush sediments. The spilling capacity would be3,500 m /sec. The structure would be built in the dry, the river to be divertedthrough it on completion. The intake structure would have eight openingscontrollable by stop logs. Four of these would be available for futureirrigation on the east bank (Stage II), with the water being conveyed throughtwo tunnels in the spillway body. The design of this structure and itsassociated river works (para 4.06) is under review by new project consultants(para 4.46). The possibility of modifications being made to the designs hasbeen provided for in the cost estimates (para 4.59).

4.06 Flood dikes adjoining the concrete spillway would be constructedacross the flood plain on both sides of the river and a third dike wouldprotect the first 5 km of the Supply Canal. The flood dike on the east bankwould incluie a 1,300 m long, masonry-lined overflow section capable of pass-ing 2,450 m /sec. The total flood discharge capacity (overflow and concretespillway) would amount to 3,500 m /sSc which corresponds to an estimated 1,000year flood. A sand trap of 40,000 m capacity for sediment deposits wouldbe located at the head of the Supply Canal; it would be cleaned mechanicallyby continuous dredging.

4.07 In order to provide an irrigation supply in years 3 and 4 beforethe diverion structure and other 5iver works would be completed, a temporarypumpingiinstallation of four 1.0 m /sec pumps would be constructed to deliverwater in6o.tfhe Supply Canal near the site of the diversion structure.

4.0q The 46 km long Supply Canal would carry a maximum discharge of8 m /sec to the north-western corner of the area to be irrigated. Crossingsat lagas 1/ would be by inverted siphon or culvert. The canal cross sectionand slope have been selected to avoid erosion but to transport the finer siltparticles which would pass the sand trap. The maximum water level in thecanal would be slightly below the land surface to avoid theft of water.Escape structures would protect the canal against the consequences of faultyoperation and other emergencies.

4.09 The Main Canal would be 19 km long. Offtake regulators along itwould feed each branch canal with measured flow. Night-storage reservoirswould be located adjacent to the branch canals at the head of block feeders;these in turn would supply up to 10 unit feeders, each providing supply to24 tenants' holdings. Field irrigation would be by siphon tubes serving285 m furrows; 50 furrows spaced 0.90 m would constitute a tenant's holding(1.25 ha).

4.10 The topography is suitable for furrow irrigation down slopes rang-ing from 0.5 to 1.5 m per km. A tenant's holding would be irrigated inabout 5 hours, repeated in 12-day cycles. Pre-planting water applicationwould require about 8 hours.

1/ Seasonal watercourses.

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Drainage System

4.11 The drainage system for the scheme would be designed for the dis-charge of excess surface water comprising rainfall runoff, operationallosses and waste of irrigation water. The design criterion for drainagecapacity is the discharge within a 24-hour period of the maximum 24-hourrainfall runoff occurring once in 2 years.

4.12 Excess water in the canal system would be discharged into thedrainage system through escape structures and spillways planned at inter-vals along the Supply and Main Canals and at the tail ends of the branchcanals and block feeders. Wherever possible, the existing lagas have beenplanned as main drains. These lagas usually also drain a considerable areaof land west of the main canal, and water from the irrigated area east ofthe main canal would add only slightly to the peak discharges. All maindrains would discharge into the flood plain of the Tana River, where theywould link up with one of the natural drainage outlets.

4.13 From the scarce data available, it has been concluded that ground-water occurs in the project area only at great depths. The subsoil stratahave a very low permeability and therefore deep percolation and groundwaterrecharge are expected to be small. Natural subsurface flows towards thenearby Tana River are likely to cope adequately with the recharge resultingfrom irrigation. Nevertheless, the possibility of a future rise of thegroundwater level would be kept in mind and continuous systematic observationscarried out. The NIB would undertake continuous observations in accordancewith a program to be agreed with the Bank/IDA. It is unlikely that theconstruction of a deep drainage system would be required. However, if itshould become necessary, it is not expected that the cost of such works wouldinfluence the present economics significantly because they would not be neededuntil after a long period of irrigation (10-30 years).

On-Farm Development Works

4.14 Bush clearing would be done by bulldozers; manual clearing wasconsidered, but it would be more expensive and too slow. To the extentpossible, felled timber would be saved for fuelwood. Provision has been madein the cost estimates for precision land levelling over 20% of the area forthe introduction of long furrow irrigation. This is an acceptable estimatepending the completion of detailed topographical surveys. Any land levellingundertaken on the shallow soils would have to be done with care to avoidreducing the depth of top soil to an unacceptable extent by excessive cutting.Surveys for land levelling would therefore by done by the Project consultantswith this contraint in view, and land levelling operations would be carriedout by experienced contractors under strict engineering supervisionexercised by the Project consultants. Land smoothing to correct local irreg-ularities of slope would normally follow the natural slope in the direc-tion of the furrows.

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Wildlife Conservation Works

4.15 Eleven drinking pools for wildlife would be built along the Supplyand Main Canals, from which they would be supplied through buried pipes. The

canal designs provide for inverted siphons to carry the canal across all majornatural cross-drainage lines. These will provide an opportunity for wildlifeto cross the Supply Canal along the beds of the lagas. Additional wildlifecrossings of the Supply Canal would be required and it is proposed to provideinitially three fords through the canal for this purpose. Allowance has beenmade in the estimates for a further four ford crossings which may be builtafter the canal has been constructed, if additional sites of high challengeare noted.

Road System

4.16 Improvements would be made to the Garissa-Garsen trunk road (MapIBRD 12225R) and an access road to the Nanigi diversion site and internalProject roads would be constructed. The 224 km long Garissa-Garsen road,non-surfaced and poorly maintained, which connects the Project area withMombasa and Nairobi, becomes impassable for up to several weeks during therainy season. Improvement of 188 km and realignment of 36 km around the areato be irrigated would be required in order to ensure year-round access duringthe project period as well as for eventual agricultural production.

4.17 The cement industry has recently intensified its mining of gypsumin the Nanigi area for transport in heavy trucks to factories in Mombasa andNairobi. Heavy traffic loads would cause rapid deterioration of the road,possibly to the point of paralyzing the Project, unless the road reconstruc-tion is done to appropriate standards and it is properly maintained. Itwas agreed at negotiations that maintenance would be adequate and that theGovernment would make sufficient budgetary provision for this purpose.

4.18 The main roads along the branch canals would form the principaltransport axis within a section, with all block roads connecting to them.They would run in an east-west direction, and connect with the Garissa-Garsen trunk road outside the area to be irrigated. This road providesthe main north-south connection between the sections. The main roads wouldhave a width of 6 m, of which 4.5 m would be surfaced. 1/ All the other blockroads as well as all the unit roads and inspection roads would be 4.5 m wideand non-surfaced.

Sites and Services for Towns and Villages

4.19 Population centers would include a principal town (in which theProject headquarters would be located), and 23 villages of which 4 would be

1/ Surfacing materials (murram, sand or possibly a sand/clay/lime mix)would vary in relation to soil conditions and the local availabilityof materials.

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market centers. They would be provided with roads, potable water supplies andsewage dis:-_-J facilities. Electric power supplies would be available in thetown by locai generation. Sites would be located sufficiently distant fromirrigation canals and major drains to provide a deterrent to the use ofirrigation and drainage water for domestic purposes and bathing. This, to-gether with the provision of communal clothes-washing facilities and re-creational ponds, would limit the exposure of the population to water-bornediseases (para 4.26). The towns and villages would be planned, designed andconstructed to standards acceptable to the Bank and IDA.

Buildings

4.20 Buildings (Annex 4) would fall into two categories - those to beconstructed by contractors and those to be constructed by tenants guided andassisted by NIB. Buildings in the first category would include offices,workshops, storage warehouses, secondary schools, health centers, dispen-saries, and houses for NIB staff and other Government employees. Those inthe second category (see paras 4.22 and 4.23) would include primary schools,social halls and houses for school teachers. The designs for buildings havebeen prepared initially by NIB and the Government departments with responsi-bilities in this field. The designs are being reviewed by the Project con-sultants in relation to the particular environmental and health considera-tions applicable to the Project area and with a view to optimal cost savingsin construction.

Administrative Services

4.21 The towns and villages of the Project area would include localgovernment offices, police stations and post offices together with staffhouses.

Education and Community Development (Annex 5)

4.22 Primary schools and teachers' houses in rural areas in Kenya arenormally built by "harambee". 1/ The Ministry of Education neither financesnor constructs them. In the case of the Project, where new communities wouldbe made up of strangers coming from all parts of Kenya without financial re-sources, it would be difficult for harambee to function in the normal manner,unless aided by technical and financial assistance. The Government has there-fore decided that though these buildings would be constructed by the tenants,NIB would supply building materials and technical supervision. The same wouldapply to social halls which would provide centers for community activities

1/ Cooperative community effort.

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during the early years after settlement and until such time as the communi-

ties provide more extensive facilities from their own resources. A secondary

school would be constructed under conventional contracting procedures.

Tenants' Houses

4.23 Tenants would build their own houses under NIB supervision (Annex

6), using materials procured by Project funds. NIB would recover the cost of

materials from the tenants over 15 years without interest.

Public Health Aspects

4.24 Stringently-applied intensive public health measures would be needed

in the Project area because:

(a) non-immune tenant families and construction workers

coming from other parts of Kenya (para. 4.29) would be

at high risk from vector-borne and parasitic diseases

endemic in the area;

(b) the immigrant population could bring with them serious

diseases new to the area (intestinal schistosomiasis

and yellow fever); and

(c) unless adequate control measures were applied, theintroduction of irrigation would aggravate water-

borne diseases.

4.25 A British Medical Research Council team assisting the Kenya Ministry

of Health, which has undertaken epidemiological studies in the Project area,

has reported that in the absence of control measures a high mortality and

morbidity may be expected from seasonal outbreaks of malaria amongst a non-

immune population. The team has advised the Government that, quite apart

from humanitarian aspects, unless adequate surveillance and control measures

are instituted from the outset of population immigration to the area, such

mortality and morbidity could occur on such a scale as to lead to desertion of

tenants and considerable difficulties for the Project. The requirement for the

Public Health program would arise with the arrival of the first construction

workers and would be intensified with the subsequent immigration of tenants

and their families.

4.26 The public health requirements (Annex 5) would include, as a minimum,

the following public health measures:

(a) comprehensive health screening of settler candidates

and their families as part of the process of settler

selection;

(b) the establishment of a disease surveillance unit;

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(c) disease-specific control programs for malaria, schistoso-miasis and other vector-borne communicable diseases; and

(d) a cost-effective health care delivery system particularlydesigned to serve a re-settled, largely non-immune, popu-lation of diverse ethnic origin.

4.27 The Government has agreed to establish by February 1, 1978 and main-tain a public health and disease control program acceptable to the Bank and IDA.

Land Tenure

4.28 In accordance with the Irrigation Act of 1966 (Annex 1, Appendix1) the Minister of Agriculture will acquire the rights to most of the landsin the Project area and vest them in the National Irrigation Board. Itwould be a condition of loan/credit effectiveness that the Minister hadgazetted the Irrigation Area to include: the Nanigi diversion structure siteand the area to be inundated upstream of it together with its riverine margins,the Supply Canal, the area to be irrigated and the forest areas. Tenants Iouldbe allotted plots of 1.25 ha each (and garden areas near villages of 500 mper family) by the NIB, under its standard terms of tenancy (Annex 1, Appendix2). Persons having rights, to land or access to the river, taken over by theNIB would receive adequate compensation.

Settlement Program

4.29 About 5,150 farmer families selected from all parts of Kenya would besettled (Annex 6) in three and a half years, starting in FY1979 (year 2). About750 families of Project and Government staff and 2,500 families of artisans andtraders are also expected to settle in the Project area by 1985, bringing thetotal Project population, together with other satellite population, to about65,000. Family heads would arrive throughout the year, except in the rainyseasons; they would be joined about ten weeks after their arrival by the remain-ing members of their families. The rate of settlement would be as follows:

Fiscal Year 79/80 80/81 81/82 82/83

Tenants settlingduring the year 1,125 1,800 1,800 425

Tenants settled,cumulative 1,125 2,925 4,725 5,150

No. of towns andvillages (cumulative) 6 14 22 24

Net area developed(cumulative)(ha) /1 875 2,910 5,535 6,700

/1 Including gardens which, at 500 m per family, would total 550 haby 1983.

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Cropping

4.30 The tenants' 1.25 ha holdings would be planted to cotton every year.In the off-season for cotton, maize and cowpeas would be planted as a mixedcrop on 0.6 ha; cropping intensity would thus be 148% from the first year on-wards. From the fourth year of cultivation onwards, by which time yields ofa smaller area of maize and cowpeas would provide adequately for the family'ssubsistence requirements, groundnuts would also be included in the croppingpattern to improve cash returns. The area planted to maize and cowpeas wouldbe reduced as the groundnut area increased. By the eighth year of cultivationthe cropping pattern would stabilize at 1.25 ha cotton, 0.4 ha maize andcowpeas and 0.2 ha groundnuts. The cropping calendar is shown in Annex7, Table 1 and details of the buildup of acreages are given in Annex 8.

Agricultural Systems and Services (Annex 2)

4.31 All agricultural land would be cleared and levelled before settle-ment. "Long-furrow" irrigation would be employed, using siphon tubes todeliver water from "unit feeders" (field ditches) into furrows 285 m long.The system, which facilitates mechanization and increases the efficiencyof both irrigation and drainage, has been applied successfully in the HolaPilot Irrigation Scheme.

4.32 In accordance with its established practice (which is satisfactory)on other schemes, the NIB would provide a full range of mechanized cultivationsas well as aerial crop spraying, credit, advisory services and crop processingand storage facilities. Farm inputs (mainly fertilizers and seeds) wouldalso be provided. The cost of all these inputs (and the cost of the opera-tion and maintenance of the irrigation system) would be repaid by the farmerafter harvest.

4.33 Seed cotton would be delivered from the field by the tenants tocollection centers, from which it would be taken to the ginning factory bytractors and trailers. Saw gins would be employed, instead of the roller-ginsused elsewhere in Kenya at present.

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4.34 It has been Government policy in recent years to encourage coopera-tive ownership of ginneries. However, coming from lowly rural backgrounds andwithout previous experience of industrial enterprises, the tenants could notbe expected to be able to participate effectively in the ownership and manage-ment of the Project's ginnery for many years. The NIB would therefore own andoperate it and would not delegate its ownership or operation to a farmers'cooperative before 1987.

Extension Services

4.35 Extension services, provided by the NIB in accordance with theirexperience at the Hola Pilot Irrigation Scheme, would be intensive in thefirst years after settlement while the tenants are learning to farm underirrigation (1979/80: 1 Field Assistant per 48 farmers). As the tenantsgain experience, the extension input would be diluted until in 1985/86 itwould stabilize at an average of 1 Field Assistant per 96 farmers. In addi-tion to the extension staff, pest control assistants would assist the tenantsin identifying and controlling insect pests and diseases.

Forest Conservation and Afforestation (Annex 9)

4.36 The ribbon of riverine forest along the Tana River, which containsa large number of prime native hardwoods, represents a significant ecologicalresource not only for the stabilization of the river banks and as a habitatfor wildlife but also eventually for recreational purposes for the populationof the Project area. The Government has agreed under the Second ForestryProject (Loan 1132-KE and Credit 656-KE) to gazette certain areas in Kenya asprotected reserves following studies to be undertaken. Three blocks of theriverine forest on both sides of the river between Garissa and Hola (Map WorldBank 12226R1), including the riverine margins of the land that would beinundated behind the Nanigi diversion structure, would be so gazetted andcomplete protection would be assured through an adequate staff of forestguards to be stationed at agreed locations.

4.37 The requirements of the population of the Project area for fueland building poles would consume annually at full development the equivalentof the yield of about 4,000 ha of managed fast growing forest. The Govern-ment has made a study to determine how these requirements should best be met.Alternatives under consideration included the use of fossil fuels, the impor-tation of fuel wood or charcoal into the Project area from other parts ofKenya, or the establishment of plantations in the Project area or elsewhereto serve Project needs directly. The preferred alternative is the establish-ment, at a total cost of US$5.4 million, of plantations in the Project area,partially irrigated by utilizing spare capacity of the canal system in off-peak seasons.

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Wildlife Conservation

4.38 Conservation measures would be adopted to mitigate the adverse

effects of the Project upon the abundant wildlife (Annex 10). They would

include the provision of canal crossings and drinking ponds (para 4.15).

In addition, active efforts would be made to dissuade the larger and more

destructive animals from entering the irrigated area. The Government would

establish by July 1, 1979 a system of game patrols within the Project area

in accordance with staffing and equipment scales and schedules to be agreed

between the Government and the Bank/IDA.

Training

4.39 The Project would provide for: postgraduate, diploma and practical

training overseas and elsewhere in Africa (especially in the Sudan and

Swaziland); training to be undertaken by the Project consultants in their

home offices and elsewhere abroad where they have project works; and study

tours. In-service training would also be undertaken by the consultants and

the management agency(para 5.04) for NIB staff members seconded to them for

staff duties. It is assumed that about half of the staff trained would even-

tually find employment in future stages of irrigation development. The

training would thus yield benefits not only to the Project but to future

irrigation development generally. A training program would be designed by

December 31, 1978 and established after agreement with the Bank/IDA.

Marketing

4.40 All cotton lint is marketed in Kenya by the Cotton Lint and Seed

Marketing Board (CLSMB) (Annex 11). CLSMB and its operations have recently

been the subject of study by the Bank/IDA and the Government has given under-

takings to the Bank under the Integrated Agricultural Development Project

(Loan 1303T-KE and Credit 650-KE) to strengthen it and improve the cotton

industry (Schedule 6 of Credit Agreement 650-KE; see Annex 11, Appendix 1).

4.41 The Bank/IDA has reviewed the progress being made in the implementa-

tion of these undertakings. The CLSMB has agreed that by December 31, 1977 it

will:

(a) introduce a system of sales of lint and seed by public

auction satisfactory to the Bank/IDA;

(b) employ, after consultation with the Bank/IDA, a marketing

officer and a lint classifier, both of whom should possess

qualifications and experience satisfactory to the Bank/IDA;

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(c) submit to the Bank/IDA for approval its proposedstandard contracts for sales of cotton lint andseed; and

(d) prepare and submit to the Bank/IDA for approvala detailed program for:

(i) providing security of adequate returns to cottonfarmers, including a guaranteed minimum price to bepublished not later than January 1 of every year,and implementing a system for returning to NIB fordistribution to tenants any profits of CLSMB from cottonlint and seed sales in excess of certain levels;

(ii) adopting adequate accounting procedures for CLSMB,including a system of controls and accounts toensure that proper payments are promptly made toNIB for deliveries of cotton lint and seed to CLSMB;and

(iii) introducing an improved cotton lint grading system,including adequate provision for grading cottonlint produced under irrigation.

4.42 While the Government has recently increased the price of seed cottonto a level (Annex 8) sufficient to provide farmers with adequate productionincentive, the Government would continue to give farmers guaranteed minimumprices for seed cotton and by 1980 would introduce a system of premium pricestaking into account the higher grades of cotton and varieties produced underirrigation. Such prices would be published annually not later than January 1of every year.

4.43 Maize, groundnuts and cowpeas would be grown mainly for local con-sumption and therefore it is expected that no special marketing arrangementswould be needed. The NIB would keep the local market situation for thesecrops under review and the Maize and Produce Board would make any necessaryarrangements for purchasing them upon request of the NIB.

Agricultural Research

4.44 Up to the present time all agricultural research for the LowerTana area has been undertaken at the Hola Pilot Irrigation Scheme (Annex 2).The soils at Hola, however, do not include all of the soil types identifiedin the Bura Project area. In particular, Hola has no Class I soils, whichare expected to be significant in permitting higher levels of yield to beattained in the Bura Project than at Hola, as well as the possibility ofcrop diversification. To enable future research to be undertaken under fullyrepresentative conditions, assurances would be sought at negotiations that theNIB would by July 1, 1981 establish and operate, as its principal agricultural

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research facility in the Lower Tana area, a new research station in the Proj-ect area at a location to be selected to include if possible all the majorsoil types occurring in the Project area.

Stage II Feasibility Studies

4.45 An area of about 60,000 ha of soils suitable for irrigation has beenidentified on the left bank of the Tana River east of the Project area as aresult of a preliminary reconnaissance soil study made by the Netherlands-financed Kenya Soil Survey Project (Ministry of Agriculture). It is expectedthat, after the completion of the Upper Tana Reservoir, an area of about25,000 ha net could be irrigated by east-bank diversion at the Project'sdiversion structure (para 4.03). To provide information required for finaldesign of the Nanigi diversion structure, which would serve the east bankdevelopment as well as the Bura Project, a preliminary feasibility study forthis area (Annex 12) would be completed by the Government, with the assistanceof consultants, by October 31, 1978. The study would be updated later to fullfeasibility standard before investment decisions were considered for a StageII development.

Status of Engineering

4.46 The design of the irrigation system and internal roads was doneby ILACO (the Netherlands) to feasibility standard, as part of a feasibilitystudy (June 1975) financed under Dutch bilateral assistance, for the 14,000 haproject then under consideration. Prior to appraisal ILACO also largelycompleted final designs for the river works (comprising a diversion weir,intake structure and flood dikes), and the supply canal for the 14,000 haproject, together with part of the irrigation and drainage network. Howeversubsequent to appraisal ILACO undertook further topographic and soil studiesrequested by the Bank. These studies showed that the proposed project areaincluded a large proportion of shallow soils (Annex 2) which the Government,with the Bank's agreement, decided to exclude from the present Project area,except for representative sample areas to be included for purposes of researchand management experience. The smaller Project area required that the designof the river works and supply canal be amended (Annex 3) and that the irriga-tion and drainage systems be redesigned. This work has been done by ILACO,together with tender documents and specifications. The work is being reviewedby the newly-appointed Project consultants (Sir M. MacDonald and Partners andassociated firms-UK and Kenya) to whom NIB would assign responsibility forsupervision of construction of Project works after the loan and credit aresigned.

4.47 The final design of the Garissa-Garsen main road is being doneby consultants to the Roads Department, Ministry of Works (DHV ConsultingEngineers; the Netherlands), who completed reconnaissance and feasibilitystudies in December 1975. The design of buildings, towns and villages andtheir infrastructure including water supply systems is at the stage of re-view by the consultants with the various Ministries and agencies.

4.48 A comprehensive planning study is being undertaken by the Project con-sultants (Annex 17) to review and coordinate the planning and design of Projectcomponents not being covered by ILACO (para 4.46) and provide any necessary addi-tional engineering and planning input to reinforce the work of the Government

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agencies. The results of the study will be reported in a Project PlanningReport (C"1?D. due to be completed in June 1977.

4.49 The original design work for the river works included subsoilinvestigations and hydraulic model investigations for a weir at Nanigi; andinvestigations, including a mathematical model, of the effects on the TanaRiver of the construction of the weir. The studies of the weir and riverwere done by the Delft Hydraulic Laboratory (the Netherlands). However thenew project consultants have identified a possible need for design changesin the weir. Physical contingencies of 20% have therefore been included forthe river works to cover possible cost increases and the construction programfor the river works allows ample time before the start of construction for adetailed review and redesign if necessary.

Water Quality (Annex 7)

4.50 The quality of the Tana River water for irrigation is excellent(USDA Salinity Laboratory class CISI); it has low salinity and low sodiumcontent even at lowest flows. The river carries a sediment load, mainlysilt, in amounts varying from 200 ppm in the dry season to 8,000 ppm ormore during floods.

Water Demand (Annex 7)

4.51 The average monthly open-water evaporation fluctuates very littlearound a mean value close to 7 mm per day. Crop water requirements, usingthe Penman method modified for East Africa by McCulloch, consist of theconsumptive use and a pre-planting application of 150 mm. No need of waterfor leaching is anticipated because of the high quality of the irrigationwater and adequate soil permeability to maintain salt balance. An end-of-season depletion allowance of 50 mm was deducted from the demand as wellas effective rainfall, which is minimal. An overall Project irrigationefficiency of 60%, including conveyance losses, was assumed to determinethe net irrigation demand.

4.52 The Project diversion requirement (Annex 7, Table 1) consists ofnet irrigation demand for the proposed cropping pattern (6,700 net includingtenants' gardens), domestic water supply for 65,000 persons and wild gameand livestock requirements in 20 drinking pools.3 The peak monthly diversionrequirement would occur in May and amount to 8 m /sec which is the designcapacity for the Supply Canal.

Water Availability (Annex 7)

4.53 The discharges of the Tana at Garissa have been measured since1933. Reliable recoSds over 31 years (see Annex 7, Table 2) indicatea mean flow of 164 m /sec for that period, low flow seasons in February-March and September-October and floods from April through June as wellas in November and December.

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4.54 The low season flows available for the Project at the diversionsite depend primarily on the releases from the Kamburu reservoir locatedin the upper reaches of the Tana River and operated by the East AfricanPower and Lighting Compiny Ltd, which plans to release minimum flowsof not less than 42.5 m /sec in the future. The discharges at the Nanigidiversion site have been calculated on the basis of discharges at Garissapartially regulated by releases from Kamburu and of water abstractions andwater losses in the riverbed downstream of Garissa. The calculated monthlyaverages for available regulated discharges, Project diversion requirementand residual flow in the riverbed at the Nanigi diversion site and at Garsenare shown in Annex 7, Tables 4 and 5. Government is constructing a multi-purpose project, the Upper Tana Reservoir, to provide seasonal regulationfor the generation of hydro-electric power, water supply and irrigation.

4.55 The Government has guaranteed dry-season flows downstream of theBura diversion site equal to the natural flow in the river without regula-tion. Water allocations from the Tana, as from Kenya's other water resources,are the responsibility of the Water Apportionment Board, an agency under theMinister of Water Development. The Board issues licenses authorizing abstrac-tions and has the power to attach conditions to licenses specifying suchmatters as the seasons during which abstractions may be made. However theMinistry is not equipped to ensure, through field supervision, that theBoard's conditions are observed and consequently there is not at presentan adequate control of the abstractions.

4.56 Assurances were obtained from Government at negotiations that ade-quate minimum flows would be guaranteed in the Tana River not only for theBura Project but also for downstream water requirements and that effectivecontrol of water abstractions from the Tana River and its tributaries wouldbe exercized by water bailiffs of the Ministry of Water Development. Inaddition it would be a condition of loan/credit effectiveness that the down-stream water requirements had been defined quantitatively by categories ofuse.

Implementation Schedule

4.57 The implementation schedule for the Project is presented in Chart,World Bank 17274. Project consultants were appointed in December 1976 underterms of reference limited initially mainly to the preparation of the PPR.Immediately after Board approval of the loan and credit their agreementwould be revised to include the engineering, procurement, contract super-vision and technical assistance services required for Project implementa-tion. Improvement of the Garissa-Garsen main road to provide all-weatheraccess to the project area commenced in 1976 and would be completed infifteen months. Construction of the access road to the Nanigi diversion siteby the National Youth Service (para 4.64) would be commenced at the end of1978. The construction periods for the main river and irrigation works

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would each be about two and one half years, the first works commencing inJanuary 1978. The secondary works comprising the main canal, irrigationand drainage network, minor structures and on-farm development works wouldbe commenced in July 1978 and be completed in two and one half years, instep with the settlement program (para 4.29). The ginnery would be completedin two years and Project buildings in three years, with some advance require-ments constructed beforehand in less than one year. Tenants' houses, primaryschools and social halls would be constructed over three years. Procurementaction for equipment and materials would commence in 1977 and continue throughfour and a half years.

C. Cost Estimates

4.58 Total Project costs, including taxes and duties (US$9.2 million)and excluding interest on the Bank and CDC loans during construction (US$6.7million), are estimated at US$91.7 million, the foreign exchange component ofwhich is about US$49 million or about 54%.

4.59 All estimates are based on January 1977 prices. Depending on thestatus of investigations and preparation of the various components, physicalcontingencies of 10% to 20% have been included. For those components forwhich design is under review (river works, settlers' dwellings and afforesta-tion - US$12.8 million, 20% of base cost), 20% has been allowed; for com-ponents for which site contingencies or designs are not finalized (irrigationworks, wildlife conservation works, road and airfields, buildings and vehiclesfor public health and for the ginnery - US$19.5 million, 30% of base cost),15% has been allowed. For the remaining items, the components of which havebeen defined and price estimates obtained from suppliers (US$32.4 million; 50%of base cost), 10% has been allowed. Costs due to expected price increasesamount to 21% of the total Project cost; inflation was assumed at the ratesshown in the January 1977 Bank guidelines:

Annual Inflation Rate (%)1977-1979 1980-1985

Civil Works 9 8Equipment and services 7.5 7

4.60 Details of the Project costs are presented in Annex 13 and aresummarized below:

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Foreign Base

Local Foreign Total Local Foreign Total Exchange Cost

- Ksh million --- US$ million (%) (%)

Irrigation Works 74.6 91.1 165.7 8.9 10.9 19.8 55 29

Wildlife ConservationWorks 0.7 0.8 1.5 0.1 0.1 0.2 55 1

Roads and Airfields 7.6 7.6 15.2 0.9 0.9 1.8 50 3

Buildings & VillageInfrastructure 87.6 43.2 130.8 10.5 5.2 15.7 33 22

Public Health 2.9 3.1 6.0 0.3 0.4 0.7 52 2

Afforestation 21.4 5.4 26.8 2.6 0.6 3.2 20 8

Plant, Machinery,Vehicles and Equipment 5.4 24.8 30.2 0.6 3.0 3.6 82 5

Ginnery 7.3 33.3 40.6 0.9 4.0 4.9 82 6

Operation and Maintenance- NIB 22.5 23.4 45.9 2.7 2.8 5.5 51 9

- Other 6.5 1.2 7.7 0.8 0.1 0.9 15 1

Incremental Farm Inputs 1.5 13.3 14.8 0.2 1.6 1.8 90 3

Training - 4.3 4.3 - 0.5 0.5 100 1

Consultancy Services 6.3 28.7 35.0 0.8 3.4 4.2 82 6

Agricultural Management 6.0 8.9 14.9 0.7 1.1 1.8 60 3

Total Base Cost 250.3 289.1 539.4 30.0 34.6 64.6 54 100

Physical Contingencies 34.0 39.8 73.8 4.0 4.8 8.8

Price Contingencies 70.1 82.3 152.4 8.4 9.9 18.3

Total Project Cost 354.4 411.2 765.6 42.4 49.3 91.7 54

Interest DuringConstruction - 55.9 55.9 - 6.7 6.7 100

Total 354.4 467.1 821.5 42.4 56.0 98.4 57

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D. Financing

4.61 The proposed Bank loan of US$34.0 million and IDA credit of US$6.0million would finance 48% of Project cost net of taxes. The loan and creditwould meet 54% of expenditures in foreign exchange and 46% in local costs.The other co-financing agencies are contributing from 11% to 55% of theirshare to the local costs of the Project. The loan and credit would be madeto the Government who would pass on the proceeds to the NIB on a grant basis.An additional US$37.8 million of external financing is being arranged, asshown in the following table, to provide a total of US$77.8 million fromforeign sources:

US$ million

Bank 34.0IDA 6.0Bank/IDA 40.0European Development Fund (EDF) 12.0Netherlands 8.8United Kingdom (ODM) 8.5Commonwealth Development Corporation (CDC) 8.5

The balance of US$20.6 million would be financed by the Government of Kenya.

4.62 The Bank/IDA and EDF would jointly finance irrigation works andwildlife conservation works and all buildings. In addition, the Bank/IDAwould finance afforestation, the ginnery with auxiliary facilities,feasibility studies, training, and most of the operation and maintenanceexpenditures. The Netherlands would finance on a parallel basis the roadsand airfields, village infrastructure and some machinery, with procurementconfined to the Netherlands, and/or certain developing countries. The UK'ssupport would be on a parallel basis, financing consultancy services, vehiclesand equipment including health equipment. CDC would finance on-farm develop-ment work, incremental farm inputs and agricultural management. The terms offinancing by the cofinancing agencies would be as follows:

Interest Grace RepaymentPeriod Period

EDF equivalent to 90% grantHolland 3.75% 8 yrs 30 yrsUK grantCDC 6 - 8.5% 5 yrs 15 - 20 yrs.

E. Procurement

4.63 For the Bank/IDA-financed portion, procurement through internationalcompetitive bidding would be about US$35 million including contingencies.

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It would include civil works for the major irrigation structures, the ex-cavation of the supply canal and part of the main canal, land levelling, theginnery and auxiliary facilities, and all buildings except tenants' andteachers' housing, primary schools and social halls. The contract for theginnery would be a turnkey contract. Contracts for traditional buildingmaterials for settlers' houses (US$2 million) would be awarded after competi-tive bidding advertised locally and in accordance with normal Governmentprocurement procedures. Contracts for the purchase of goods would be bulkedas far as possible and orders for goods of US$100,000 or more would be pro-cured through international competitive bidding, in accordance with Bank Groupguidelines. In the evaluation of bids, local manufacturers would be allowed apreference of 15% or the existing rate of duty, whichever is lower. Ordersfor less than $100,000, and contracts for fuels and lubricants would beprocured in accordance with existing Government procedures, which are satis-factory. Civil works (other than for the construction of tenants' andteachers' housing, primary schools, social halls, roads, land clearing andminor irrigation works, or contracts costing less than US$200,000) would becarried out by contractors selected following international competitivebidding in accordance with Bank Group guidelines. In the evaluation of bidsfor civil works, prequalified local contractors would have a 7-1/2% preferencemargin. Civil works with contracts or items costing less than US$200,000would be done by contractors selected in accordance with Government proce-dures. The construction of tenants' and teachers' housing, primary schoolsand social halls would be done by the NIB under force account. The NIB wouldenter into arrangements with the NYS (a department of the Ministry of Labour)for the construction of roads, land clearing, canal excavation and minorirrigation works (total value about US$6.5 million including contingencies),provided such arrangements were acceptable to the Bank Group. Draft tenderdocuments for all contracts expected to cost in excess of US$300,000 would besubmitted to the Bank Group for approval before invitations are issued, andbid analysis for comment, before contracts are awarded. For project com-ponents financed on a parallel basis by the other cofinancing organizations,procurement would be in accordance with their guidelines.

4.64 The NYS (Annex 15) would employ about 200 persons in the executionof its contract works. The Service exists to provide training for unskilledyouths and to relieve the unemployment problem mainly through earthmovingconstruction works. It has been employed previously as a construction agencyon road works financed by the Bank and IDA (Third and Fourth Highway Projects,Loan 639-KE and Credit 279-KE) where, after some initial administrative andorganizational difficulties had been overcome with the assistance of theproject consultants, performance was satisfactory. The cost of the works,inclusive of the cost of technical assistance services provided by consultants,was about 15% lower than the likely cost if the work had been done by a con-tractor. With some supplementation of equipment, spare parts and supervisorystaff, NYS would be capable of undertaking the works proposed to be entrustedto it, provided that it were closely supervised and provided with technicaland management assistance, where necessary, by consultants.

4.65 The works which would be entrusted to the NYS would be criticalto the timely implementation of the project. In order to minimize the risk

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that NYS would not be able to fulfill its obligations in a timely manner,the Government has agreed that:

(a) an arrangement would be made between NYS and NIB defining,specifying and scheduling the works and incorporating anundertaking by NYS to complete them in accordance withspecification and schedule;

(b) the Government would intervene to provide additional re-sources to NYS in the event that NIB reported that NYS wasfalling significantly behind schedule;

(c) NYS would maintain adequate stocks of spare parts for allof its construction equipment and vehicles employed on theProject works.

4.66 Primary schools, social centers, teachers' houses and tenants'houses would be constructed by the NIB, employing tenants to providelabor for this purpose. Work needing the services of skilled artisanswould be carried out by force account by NIB's project management.

4.67 The afforestation program would be carried out by force account bythe Forest Department.

Disbursements

4.68 The proceeds of the loan/credit would be disbursed to cover:

(a) 65% of the total costs of irrigation works;

(b) 60% of the total costs of buildings;

(c) 60% of the cost of afforestation;

(d) 80% of the total costs of NIB operation and maintenancecosts;

(e) 80% of the total costs of the ginnery and auxiliaryfacilities; and

(f) 100% of foreign expenditures and 80% of local expendituresfor studies and staff training.

Disbursements would be against contracts, invoices and statements of expendi-ture by the NIB. Expenditures under the latter category are likely to amountto about US$23 million of which US$16 million would be eligible for reimburse-ment by the Bank/IDA. Disbursement for force account work by NIB, NYS and theForest Department and operation and maintenance expenditures by N4IB would bemade against statements of expenditure, the documentation for which is notsubmitted for review but is retained by the Government and made available forinspection by the Bank/IDA during the course of Project supervision missions.

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The Credit and the Loan would be disbursed over a period of five years, theIDA Credit being disbursed before the Bank Loan. The disbursement schedule isshown in Annex 16.

Environmental Effects

4.69 The Project would profoundly modify the ecology of the area. Thoughthe transformation of the semi-arid open bush country through the introductionof irrigation would permit a large population to obtain a livelihood, thiswould be done only at a certain unavoidable cost to wildlife, fish and flora.The Project would include provisions to mitigate these deleterious effects, aswell as those on man, as far as it is reasonably possible to foresee them.The design of the irrigation system would provide canal crossings for wildlifeto obtain access to the Tana River should they so desire. Conservation ofwildlife would also be assisted by intensifying patrolling by game guardsincluding anti-poaching patrols.

4.70 It is not expected that fish migration in the Tana River wouldbe adversely affected by the Nanigi diversion structure. Adequate minimumflows of the River Tana for downstream uses would be assured. The existingriverine forests would be protected and alternative sources of supply of fuelwould be provided for the population.

4.71 The health of the human population would be provided for by in-tensive health care measures to combat the serious diseases endemic in thearea, including malaria and schistosomiasis. Health requirements have beentaken fully into account in the design of houses, villages and towns.The irrigation and drainage systems would incorporate engineering featuresdesigned to reduce the incidence of schistosomiasis. The health servicesand the provision of potable water supplies would lead to improved livingconditions for the present population of the area.

4.72 Chemical pesticides employed for the protection of crops would in-clude DDT, carbaryl and dimethoate, the use of which is widely establishedthroughout Africa. They have been used for many years at the Hola PilotIrrigation Scheme where, since people are constantly reminded of the toxiceffect of pesticides on humans and domestic animals, no adverse effectshave been reported. As at Hola, the NIB would keep the use of pesticidesunder tight control, applying them mainly by aerial spraying carried outby experienced specialized contractors. However there would be a somewhatgreater risk to animals and birds than at Hola, because of the greater totalquantity of DDT that would be used over the larger area of the Bura Project.

Accounts and Audit

4.73 Although NIB produces audited financial statements regularly,accounting practices at existing schemes are in some cases unsatisfactory.It is expected that this situation would be remedied with the reinforce-ment of NIB management to be undertaken under the project. For the Proj-ect itself assurances would be obtained during loan/credit negotiationsthat NIB would adopt accounting practices satisfactory to the Bank/IDA and

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maintain separate accounts for the Project. The NIB accounts are presentlyaudited by independent auditors (Gill and Johnson, Nairobi). Assuranceswould be obtained during negotiations that NIB would continue to employindependent auditors acceptable to the Bank and send the audited accounts,together with the auditors' report, to the Bank within six months of theend of NIB's fiscal year.

4.74 Force account works would be carried out by the Forest Departmentand also by NYS under an arrangement with NIB; funds would be provided by NIBto these agencies in the form of an Authority to Incur Expenditure, andthe agencies would administer and utilize such funds in accordance with normalGovernment practice. The project accounts of the Forest Department and NYSwould be audited by auditors acceptable to the Bank/IDA and such auditedaccounts, together with the auditors' reports, would be sent to the Bank/IDAwithin six months of the end of the fiscal year.

V. ORGANIZATION AND MANAGEMENT

5.01 The National Irrigation Board (NIB) would have overall responsi-bility for carrying out the Project. It would execute most of the works,act as coordinator of the implementation activities of other agencies, dis-burse all construction funds and finally undertake the settlement and agri-cultural development. The Board includes representatives of the Treasury,the Ministries of Economic Planning and Development, Agriculture (Depart-ments of Agriculture and Water Development) and the Water Resources Authority.Other Government Ministries which would be responsible for components of theProject would include the Office of the President and the Ministries ofEducation, Health, Information, Local Government, Natural Resources, Tourismand Wildlife, Works, Lands and Settlements, Housing and Social Services andCooperative Development. The Tana River Development Authority, responsiblefor the overall planning and monitoring of the use of the resources of theTana River basin, would be closely associated with the NIB in detailedProject planning.

5.02 In order to ensure coordination between the various Ministriesand agencies, a Bura Project Coordinator's Office (BPCO) would be estab-lished within the NIB (Annex 18). The BPCO would be assisted by the Projectconsultants (para. 5.05) and by a Bura Project Steering Committee which,chaired by the General Manager of the NIB, would consist of the ProjectCoordinator and senior officers of the participating agencies. In view ofthe large number of agencies involved, an Executive Committee, chaired by theProject Coordinator and consisting of not more than six members elected bythe Steering Committee, would act for the Steering Committee. The ProjectCoordinator would be a senior NIB official. The appointment of a qualifiedand experienced Government officer in consultation with the Bank and IDAas Project Coordinator would be a condition of loan/credit effectiveness.

5.03 Annual Work Programs. Annual programs, to be prepared by theProject Coordinator assisted by the Project consultants, would detail the

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activities and works to be implemented. Assurances would be obtained at

negotiations that these annual work programs - supported by maps, detaileddescriptions and cost estimates of the physical works to be executed - wouldbe sent to the Bank/IDA for review and comment by March 31 of each year.

The National Irrigation Board

5.04 The National Irrigation Board, established under the IrrigationAct of 1966, has all powers necessary for the execution of the Project. How-

ever, since its experience and implementation capacity are limited (Annex 1),it would have to be strengthened to undertake the Project. This strengtheningwould consist of:

(a) the appointment of additional staff, including theProject Coordinator, to be responsible during theconstruction phase for the coordination of Projectplanning and implementation;

(b) the employment of consultants to complete the design ofthe Project, supervise its construction and assist theProject Coordinator in coordinating its implementation; and

(c) the employment by December 31, 1978, under terms andconditions of employment acceptable to the Bank/IDA, of anexperienced agricultural management firm or organizationacceptable to the Bank/IDA, expected to be the CommonwealthDevelopment Corporation (CDC), to manage the agriculturalproduction phase for a period of not less than six years.Management by an experienced agency acting for NIB would beessential because:

(i) no irrigation settlement project of the size andcomplexity of the Bura Project has been implementedpreviously in Kenya and personnel possessing thenecessary expertise to fill senior management posi-tions are therefore not available to NIB;

(ii) the agricultural conditions are unusually demanding; and

(iii) the environmental problems, including health, wouldrequire particularly skilled management attention.

However, all expatriate staff would have clearly defined responsibilitiesfor training Kenyan staff in the course of Project implementation. By theend of the training period Kenyan staff would be qualified to assume respon-sibility for the management of future major irrigation development projects.

Consultancy Services (Annexes 12 and 17)

5.05 Consultants (ILACO-the Netherlands), already serving the NIB and

financed under Netherlands technical assistance, will complete the final

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design of the Project and the preparation of contract documents for theirrigation works under an existing agreement. The NIB appointed in December1976 a consortium of consulting firms (Sir M. MacDonald and Partners - UK;Hunting Technical Services, Ltd.- UK; and East African Engineering Consul-tants (Kenya) - Kenya) to provide consultancy services for the preparationof the Project Planning Report (PPR) and the review of project designs andtender documents prepared by ILACO. These consultants and the terms andconditions of their employment are acceptable to the Bank/IDA. It would be acondition of loan/credit effectiveness that the consultants' consortiumhad been employed, under terms and conditions acceptable to the Bank andIDA, to prepare final designs and tender documents, evaluate tenders, super-vise construction and supply and provide assistance to the NIB for projectcoordination and to the NYS for construction works (para 4.70). Consultantssatisfactory to the Bank/IDA would also be employed, under terms and con-ditions satisfactory to the Bank/IDA, to undertake feasibility studies forTana River East Bank development.

Organization of Agricultural Production

5.06 The organization for the management of the agricultural productionphase of the Project is described in Annex 18. The NIB would purchase inputsrequired by farmers, especially fertilizers, pesticides and spraying services.It would purchase farmers' crops and deliver cotton lint to Mombasa; storageand marketing, however, would be undertaken by the CLSMB.

Roads Component

5.07 The Ministry of Works would maintain the Garissa-Garsen highway.

Public Health and Disease Control Program

5.08 The Ministry of Health would be responsible for the integratedhealth program (Annex 5).

Forest Conservation and Afforestation (Annex 9)

5.09 The Forest Department of the Ministry of Natural Resources wouldbe responsible for defining the areas to be declared forest areas reserve andfor establishing an effective system of protection. It would also establishand maintain the afforested area to be utilized for building poles and fuel.

Wildlife Protection (Annex 10)

5.10 The Wildlife Conservation and Management Service of the Ministry ofWildlife and Tourism would be responsible for the conservation of the wildliferesources of the Project area. It would be strengthened and expanded toundertake the additional responsibility for game surveillance and anti-poaching patrolling necessary under the Project.

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Agricultural Extension Services

5.11 Agricultural extension within the irrigation settlement area wouldbe provided by the NIB. The farmers cultivating the riverine margins and thenomadic pastoralists would be provided with extension services by strengthen-ing and expanding the existing organization of the Ministry of Agriculture inthe Tana River District (Annex 5).

Agricultural Research

5.12 The Scientific Research Division of the Ministry of Agriculturehas general responsibility for research on crops and livestock production inKenya. The Dutch Government has agreed to support by technical assistancethe expansion of the NIB's current program of adaptive production-orientedresearch on crop production under irrigation at Hola and elsewhere. Ithas also proposed that the responsibility of the NIB for research into theestablishment of irrigation schemes (Irrigation Act of 1966) should be expan-ded to include research required for their implementation and operation.This proposal is based on the proposition that this research should be anintegral part of NIB's work, given that no irrigation research is done atpresent by the Ministry of Agriculture and also that in any case the specialsoil and other agronomic conditions of the Bura and other NIB irrigationschemes call for adaptive research to be very closely coordinated with farmmanagement aspects. The Bank and IDA support this view and accordinglyobtained assurances at loan/credit negotiations that the agronomic and watermanagement research required for the implementation and operation of NIBirrigation schemes would be carried out by the NIB.

5.13 The NIB intends to expand its existing agricultural experimentalwork at the Hola Pilot Irrigation Scheme and elsewhere in Kenya to includeresearch on land and water management and farm management. The Dutch Gov-ernment has agreed to provide technical assistance for this purpose, sup-plying six resident experts for a period of five years, supplemented byshort-term visits by visiting experts. Three of the resident staff willbe stationed at Hola/Bura to undertake a program of work oriented particu-larly towards the problems of land and water management.

5.14 To provide for the intensified research needed on crop production,particularly on cotton, groundnuts and maize (Annex 2), a senior researchofficer, a cotton research officer and a pest and disease research officerwould be included in the Project's agricultural management team (para. 5.04).

Selection and Settlement of Tenants

5.15 NIB, in collaboration with the Ministry of Lands and Settlement,would establish guidelines acceptable to the Bank/IDA for the selection oftenants (Annex 6) under which NIB would have primary responsibility for thefinal selection of settlers. The Government would employ an experiencedsociologist acceptable to the Bank/IDA to undertake a study of the problemsinvolved in the resettlement of peoples of widely diverse backgrounds, and

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the problem of possible misallocation of family income by the head of thefamily (Ancaex 6). The Government would consult with the Bank/IDA on thefindings of the study before taking any final policy decisions on thesematters. However, agreement was reached that part of the farm proceedswould be paid directly to the wife to cover basic needs such as feedingand clothing the family.

5.16 It is expected that, while priority would be given to local inhabi-tants, tenants would be drawn from all the regions of Kenya; each region'sallocations would be based on criteria such as population density, employmentopportunities in the area, local land use potential, and the adaptability ofthe local population to agricultural activities. Settlement Committees wouldbe established in each District; under the guidance of a Settlement Officer tobe recruited for NIB, these Committees would carry out the actual selection ofthe tenants from volunteer candidates nominated by clan elders or other localauthorities. The basic requirements would be that the candidates should be:heads of household aged 25-45 years; physically fit to do farm work; unem-ployed or underemployed; able to provide four adult equivalents of labor;and experienced in rural agriculture.

5.17 The process of migration of tenant families would be phased over a3-1/2-year period (para 4.29); the final details as to the exact timing of theoperation and the regional mix of tenants to be included in each group wouldbe prepared by NIB. Transport of the tenants would be planned by the Settle-ment Committees in cooperation with the NIB and the NYS, and the NYS wouldfurnish the transportation.

5.18 On arrival in the Project area, the heads of families (who wouldprecede their dependents by about 10 weeks) would be interviewed, medicallyexamined, and given temporary accommodations in housing previously con-structed by NIB. They would then be organized into working groups which,under the direction of the Project management, would be put to work on theconstruction of houses, communal facilities or other designated tasks. Dur-ing this period, they would also be instructed in cultivation techniques andotherwise prepared to assume the responsibilities required of them in thefirst cropping season.

Relationships between the National Irrigation Board and its Tenants (Annex 1)

5.19 The relationship between the NIB and its tenants involves a blendof persuasion, discipline and legally-enforced sanctions. The legal basisof management-tenant relationships are the Trust Land (Irrigation Areas)Rules of the Trust Land Ordinance 1963 (Annex 1, Appendix 2) and the Irri-gation (National Irrigation Schemes) Regulations of the Irrigation Act, 1966(Annex 1, Appendix 3). These Regulations and Rules set out the rights andobligations of both management and tenant and provide safeguards againstarbitrary action by the management. For existing NIB irrigation schemesthe main provisions are:

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(a) the tenant occupies his holding under an annual licenceissued by the NIB which is automatically renewed fromyear to year. It may not be mortgaged or assigned;

(b) the tenant is under an obligation to maintain his holdingand its irrigation and drainage system in good conditionand to observe rules of good crop and livestock husbandry;

(c) the management may market the produce of the tenant anddeduct from the proceeds of the sale any charges due tothe management for services rendered to the tenant, includ-ing a fixed charge for water; and

(d) the management is empowered to take disciplinary actionagainst tenants who fail to carry out their obligations.

5.20 The disciplinary action open to the Board is, in the last resort,termination of the licence. In practice this discipline is mitigated bythe issue of warnings to tenants (progressing from verbal to written andculminating in final written warnings) as a first step; after consultationwith a tenants' committee, this is followed if necessary by prosecution inthe courts and finally (and rarely) by termination of the licence.

5.21 The overall system of management is successful, as evidenced bya low rate of eviction of tenants and waiting lists of applicants for theschemes. However for the Project the Government has agreed to an initialperiod of tenancy of not less than fifteen years, to improve tenants' confi-dence that a long-term tenure can be expected. Other components of the sys-tem would remain unchanged for the Project at present but the Government hasalso agreed to review the Regulations and Rules by January 1, 1980 to takeaccount of their effect on existing irrigation schemes and also of the ex-tension of the initial tenancy period to 15 years.

Operation and Maintenance

5.22 NIB would be responsible for operation and maintenance of allProject works, though NYS would maintain the Project road system for thefirst two years after the completion of its construction. NIB's maintenanceDivision under a senior civil engineer would include three units: irrigationworks maintenance; road maintenance and buildings maintenance respectively.Maintenance equipment (Annex 4, Table 3) would be supplied under the Project.This equipment would be maintained in NIB's central Project workshops.

5.23 The maintenance unit for roads would take care of the 22 km-longaccess road to the Nanigi diversion structure site and internal roads. TheRoads Department of the Ministry of Works would be responsible for maintain-ing the 224 km Garissa-Garsen highway.

5.24 The operation and maintenance costs for the irrigation works androads (Annex 13) have been determined on the basis of hourly equipment ratesupdated to January 1977, assuming that on average equipment would work about

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520 hours per year, representing 40% of a normal 1,300-hours yearly workingtime. It was assumed, however, that the cutter dredgers would clean the sandtrap and the canal system continuously except for one month of overhaul peryear. The annual maintenance costs for buildings have been estimated at2% of capital costs. The cost of operation and maintenance of agriculturalequipment would be recovered from tenants as part of the unit costs of fieldoperations debited directly to their accounts. Notwithstanding the costrecovery which would be made by NIB from tenants, the Government would makesufficient funds available at all times to operate and maintain all facilitiesin accordance with sound engineering and agricultural practices.

Recovery of Costs

5.25 Farmers in NIB irrigation schemes other than Ahero and Bunyala paywater charges of about Ksh. 500 per ha and average income after water chargesis about Ksh 4,000/5,000 per family. In the Ahero and Bunyala schemes, thewater charge is about Ksh 1,500. The recovery of water charges in boththese schemes is limited by the farmers' ability to pay, subject to themaintenance of incentives to produce.

5.26 For the Bura Project, the level of land and water charges wouldsimilarly be limited by farmers' ability to pay. With a land and watercharge at full development of about Ksh 2,800 per ha in 1977 prices (32% ofnet income, before Project charges and including the value of subsistencecrops consumed) net farm cash income in 1977 prices would be about Ksh 5,220(Annex 19). A charge at this level, together with cash surpluses generatedfrom Government operations through the difference between the sale price oflint and cash payments for seed cotton to farmers, would permit the recoveryof: (i) 100% of net project investment cost 1/ over a period of 16 years(without interest); and (ii) 100% of the NIB's operation and maintenancecosts after year 10. In order to measure the subsidy element, investments andoperating costs chargeable to the project as well as revenues from land andwater charges and Government margin on cotton sales were discounted at 10%over 50 years. The calculations (Annex 20) show that the present value of thenecessary Government subsidy to farmers at the proposed level of recovery ofland and water charges would amount to about US$18 million or about 20% of netcosts. Land and water charges should increase to reflect inflation inorder, together with an increased margin on cotton sales, to keep the Govern-ment subsidy at about 20%.

1/ 100% of the capital cost of irrigation works, wildlife conservationworks, settlers' dwellings, NIB buildings, vehicles, equipment andconsultancy services for implementation and agricultural management;70% of capital cost of roads, village infrastructure, education, socialand public health services, 100% of NIB's operation and maintenancecosts, and of public health and other services operation and maintenancecosts, excluding the afforestation component.

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5.27 The Government would levy a land and water charge of not less thanKsh 2,800 per ha of irrigable land in 1977 prices, subject to annual adjust-ment based on estimated net returns to tenants. Charges would also be leviedon non-farmers (including commercial enterprises) to recover part of the costsof constructing the towns and villages. The Government would periodicallyreview the charges with the Bank and IDA.

Monitoring and Evaluation

5.28 The requirements for the monitoring and evaluation of the Projectand the means by which these requirements would be met are given in Annex 21.

VI. PRODUCTION, MARKET PROSPECTS, PRICES, SETTLERS' INCOMEAND GOVERNMENT REVENUES

Yields and Output

6.01 Settlers are expected to develop their crop yields (Annex 8) asfollows:

Yield (kg/ha)Year 1 Year 4 Year 6 Year 9

Seed Cotton 2,500 2,800 3,000 3,000

Maize 2,000 3,100 3,700 3,700

Cowpeas 500 800 1,000 1,000

Groundnuts (unshelled) - 1,400 1,800 2,000

Yield estimates are based on the results of the Hola Scheme and are well belowpotential yields for the Project area (Annex 2). At full development, thetotal annual production of the Project would be about 19,300 tons of seedcotton, 1,340 tons of shelled groundnuts, 7,600 tons of maize, 2,100 tonsof cowpeas and 1,800 tons of garden crops (Annex 24).

Market Prospects and Prices

6.02 Cotton. The Project's annual cotton lint production target of about7,100 tons of lint represents less than 0.01 percent of world trade. Thequality of cotton anticipated from the Project would be readily acceptable inthe international market, and this cotton should be faced with favorablemarket conditions. In constant January 1977 US dollar terms, the c.i.f. NorthEurope price of cotton of similar quality (Mexican SM 1-1/16 inch quality) isforecast by the Bank for 1979 onwards at 70 cents per pound (Annex 24,Table 4).

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6.03 Processed cotton lint would be sold to the Cotton Lint and SeedMarketing Board (CLSMB), which markets all cotton lint in Kenya (Annex 11).

Other Crops

6.04 The incremental production of maize, groundnuts and cowpeas wouldbe very small in relation to Kenya's total output of these crops, and most ofit would be locally consumed. Consequently, Project production would havean insignificant impact on the markets.

6.06 At present, these crops are marketed through the Maize and ProduceBoard (MPB). It is vested with monopoly powers for marketing these commodities,in the sense that all movements exceeding 2 bags (180 kg) of maize acrossdistrict boundaries or exceeding 10 bags (900 kg) within district boundariesmust be marketed through an agent of MPB. It is expected that at full produc-tion the typical farmer would sell locally (Annex 8) about 260 kg of maize,100 kg of cowpeas and 140 kg of groundnuts. No special arrangements areexpected therefore to be necessary for the marketing of these commodities.The official farmgate prices were in March 1977 Ksh 890/ton for maize, Ksh1,250 for cowpeas, and Ksh 2,220 for groundnuts.

Settlers' Income

6.07 A typical farm budget at full development is given in Annex 19,Table 1. The farm labor requirements would be supplied entirely by thetenants' family, without employing hired labor (Annex 19, Table 2). Net cashrevenue after private consumption, payment of water charges and repayment forhousing would be about Ksh 5,220 (US$625) per year. Total income includingconsumption would be about Ksh 7,000 (US$840). This is equal to a percapita income of US$120 which compares with an average national per capitaincome of US$220 and with an average rural per capita income of US$70.

Government Revenues (Annex 22)

6.08 At full development, major Government sources of funds would derivefrom the margin on sale of lint (about US$2.2 million per year in 1977 prices),charges on non-farmers (para 5.28), small transfers from NIB surplus incomeand general taxes and duties on goods and services. Government's net cashflow (Annex 22) including debt service would have an average deficit of aboutUS$2 million per year in constant 1977 prices from full development untilmajor loan repayments are completed in about 15 years. It would then becomepositive and when all debts are repaid in year 50 Government would have anannual surplus of about US$1.5 million equivalent (in 1977 prices). Annualnet foreign exchange earnings would reach about US$4 million equivalent inyear 6 and about US$8 million equivalent (both amounts in 1977 prices)when major loan repayments are completed.

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NIB Revenues (Annex 23)

6.09 NIB sources of funds would derive from Government grants during theproject implementation period for the construction of the project and smallsubsidies for 6 years thereafter, and from land and water charges and farmers'repayments for dwellings. These funds would be used for the construction andoperation of the project components under NIB's responsibility. At fulldevelopment, NIB would derive a surplus of about Ksh 1.4 million per annum(in 1977 prices), which would be transferred to Government.

VII. ECONOMIC BENEFITS AND JUSTIFICATION

7.01 The Project is an important element in Kenya's agricultural devel-opment strategy. It is an essential first step towards utilizing the fullland and water resources of the Lower Tana River Basin for the ultimate ben-efit of landless peasants to be drawn from all parts of Kenya. The experi-ence gained in the Project is expected to be utilized within the next decadeor so in further irrigated development in the Basin leading to the eventualsettlement of up to a further 50,000 ha, providing a livelihood for up to halfa million people.

7.02 Direct benefits from the Project would result from the value ofthe cotton and food crops produced on the irrigated farmland, formerly asemi-arid desert. This would increase the per capita incomes of the 36,000members of tenant families, currently landless, to about double the averageper capita income level for rural areas. Employment would also be providedfor about 750 Project and Government staff and about 2,500 families ofworkers, traders and others who are expected to settle in the Project areato provide retail and other services. In all the Project would support some65,000 people. The total investment cost per farm family is high ($18,000)as it includes the cost of providing not only the productive but also thesocial infrastructure, such as schools, public health facilities and communitycenters, necessary to enable tenants, management staff and future immigrantsto live and work in what was formerly a very remote undeveloped and poten-tially unhealthy area. The cost of the irrigation infrastructure on a perhectare basis (about US$3,500, in 1977 prices) is about average. When oneremoves from total Project costs those expenditures on social infrastructureand recurrent items that would have occurred anyway, albeit in another partof the country, the cost per tenant family goes down to about US$8,400.Applicable project costs are lowered further when consideration is givento the fact that a certain portion of the cost of the river works may beconsidered as part of a future project to develop the land on the other sideof the river.

7.03 The economic rate of return (ERR) would be about 13% (Annex 24).Included in this analysis were all expenditures for infrastructure, operationand maintenance costs directly related to the irrigation scheme, and partof expenditures for village construction, administrative services, socialservices and public health. The marginal value product of farm labor was es-timated at US$50 per year per family. Foreign exchange was shadow-priced ata value of Ksh 11.0/US$1.0 (compared with the current rate of Ksh 8.35/US$1.0)

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and salaries were costed at actual wage prices. The only benefits included in

the calculation were those from the projected agricultural production and

afforestation. Prices of cotton and groundnuts were based on Kenya's export

prices, and cowpeas and garden crops were valued at market prices.

7.04 In the event that expected future development utilized part of

the Project works (as has been planned) and that costs of such works were

prorated between the Project and the future development in relation to their

respective areas (Annex 24, Case II), with other assumptions remaining the

same, the ERR of the Project would be about 14.5%.

7.05 The ERR was tested against variations in costs and benefits. An

increase in overall costs of 10% or a 10% reduction of future crop prices or

yields or a delay of one year in the realization of benefits without accom-

panying delay in project costs, would reduce the ERR by 1.5 percentage points.

7.06 Indirect benefits of the Project would include increasing the

level of agricultural technology in Kenya and training Kenyan staff to

undertake the management of future large scale irrigation schemes. A fea-

sibility study would permit the Government to make detailed plans for full

development of the potential of the Lower Tana River Basin.

7.07 Risks. The main risks associated with the Project are managerial

in nature, and arise out of its complexity, the way in which the various

project components relate to one another, and the sensitivity of the whole

fabric to the failure of one of its parts, resulting from incorrect or untimely

implementation. These risks have been minimized by early attention to coor-

dinated planning of the input of all Government agencies concerned in project

implementation (detailed in a Project Planning Report) and by the timely ap-

pointment of experienced consultants for the supervision of project construc-

tion and of a management agency for the initial agricultural production

phase. Another risk, the development of potentially harmful health problems,

would be dealt with by the provisions made for public health and disease

control. A third risk, the building up of disruptive social tensions ensuing

from the juxtaposition of people from many different tribes attempting to

adapt to an unfamiliar environment, would be mitigated by the employment of

sociologists to advise on the settlement aspects.

VIII. RECOMMENDATIONS

8.01 The following would be conditions of loan/credit effectiveness:

(a) that the Minister of Agriculture had gazetted an Irrigation Area

to include the Nanigi diversion structure site, the area to be

inundated upstream of it together with its riverine margins,

the Supply Canal, the area to be irrigated and the forest areas

(para 4.28);

(b) that the Government had defined quantitatively by categoriesof use the water requirements downstream of the Nanigi diver-

sion structure (para 4.56);

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(c) that the NIB had appointed an adequately qualified and experiencedGovernment officer as Project Coordinator (para 5.02); and

(d) that the NIB had employed Project consultants, on terms and condi-tions acceptable to the Bank/IDA, to prepare designs and contractdocuments, undertake procurement, evaluate tenders, superviseconstruction and supply, provide assistance to the NIB for proj-ect coordination and provide technical assistance to the NYS (para5.05).

8.02 Assurances were obtained from the Government at loan/credit negotia-tions that:

(a) the NIB would undertake continuous systematic observations ofthe groundwater level in the Project area in accordance with aprogram to be agreed with the Bank/IDA (para 4.13);

(b) the Government would maintain the Garissa-Garsen road adequatelyand would make sufficient budgetary provision for this purpose(para 4.17);

(c) the towns and villages would be planned, designed and con-structed to standards acceptable to the Bank/IDA (para 4.19);

(d) the Government would establish by February 1, 1978 and maintaina public health and disease control program acceptable to theBank/IDA (para 4.27);

(e) persons having rights, to land or access to the river, takenover by the NIB would receive adequate compensation (para4.28);

(f) the NIB would own and operate the ginnery and would not delegateits ownership or operation to a farmers' cooperative before1987 (para 4.34);

(g) the Government would gazette, as protected reserves, threeblocks of the riverine forest between Garissa and Hola andassure them complete protection through an adequate staff offorest guards to be stationed at agreed locations (para 4.36);

(h) the Government would establish, by July 1, 1979, an agreed systemof game patrols within the Project area (para 4.38);

Ci) an agreed staff training program would be designed by December 31,1978 and established after agreement with the Bank/IDA (para.4.39);

(j) the CLSMB had by December 31, 1977:

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(i) introduced a system of sales of lint and seed by publicauction satisfactory to the Bank/IDA;

(ii) employed, after consultation with the Bank/IDA, a mar-keting officer and a lint classifier, both of whom shouldpossess qualifications and experience satisfactory to theBank/IDA;

(iii) submitted to the Bank/IDA for its proposed standard con-tracts for sales of cotton lint and seed; and

(iv) prepared and submitted to the Bank/IDA for approval adetailed program for:

- providing security of adequate returns to cotton

farmers, including a guaranteed minimum price tobe published no.t later than January 1 of every year,and implementing a system for returning to NIB fordistribution to tenants any profits of CLSMB fromcotton lint and seed sales in excess of certainlevels;

- adopting adequate accounting procedures for CLSMB,including a system of controls and accounts toensure that proper payments are promptly made toNIB for deliveries of cotton lint and seed toCLSMB; and

- introducing an improved cotton lint grading system,including adequate provision for grading cottonlint produced under irrigation (para 4.41);

(k) the Government would continue to give farmers guaranteed mini-mum seed cotton prices and publish them annually not later thanJanuary 1 of each year and by January 1, 1980 would introduce asystem of premium prices taking into account the higher grades ofcotton and varieties produced under irrigation (para 4.42);

(1) the NIB would keep the local market situation for maize, ground-nuts and cowpeas under review and the MPB would make any necessaryarrangements for purchasing them upon request from the NIB (para4.43);

(m) the NIB would establish, by July 1, 1981, a new agricultural re-search station located on representative soils in the project areaand operate it as its principal research station in the lower Tanaarea (para 4.44);

(n) the Government would guarantee adequate minimum flows in the TanaRiver for the Project as well as for downstream water requirementsand effective control of water abstractions from the riverand its tributaries would be exercised by water bailiffs of theMinistry of Water Development (para 4.56);

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(o) an arrangement would be entered into between the NIB and the NYSdefining, specifying and scheduling the works to be constructedby the NYS and incorporating an undertaking by the NYS to completethem in accordance with specification and schedule (para 4.65);

(p) the Government would intervene to provide additional resourcesto the NYS in the event that the NIB reported that the NYS wasfalling significantly behind schedule in its work (para 4.65);

(q) the NYS would maintain adequate stocks of spare parts forall of its construction equipment and vehicles employed onthe Project works (para 4.65);

(r) the NIB would adopt accounting practices satisfactory tothe Bank/IDA and maintain separate accounts for the Project(para 4.73);

(s) the NIB would continue to employ independent auditorsacceptable to the Bank/IDA and send the audited accounts,together with the auditors' report, to the Bank withinsix months of the end of the NIB's fiscal year (para 4.73);

(t) the NYS project accounts would be audited by auditorsacceptable to the Bank/IDA and the audited accounts,together with the auditors' report, would be sent tothe Bank/IDA within six months of the end of NYSfiscal year (para 4.74);

(u) not later than March 31 in each year the NIB would sendannual work programs for the coming fiscal year to theBank/IDA for review and comment (para 5.03);

(v) the NIB would employ by December 31, 1978 an experiencedagricultural management firm or organization acceptableto the Bank/IDA, under terms and conditions acceptable tothe Bank/IDA, to manage the agricultural production phaseof the Project for a period of not less than six years(para 5.04);

(w) the NIB would employ consultants satisfactory to theBank/IDA, under terms and conditions of employment satis-factory to the Bank/IDA, to undertake by October 31, 1978feasibility studies for Tana River east bank development(para 5.05);

(x) the agronomic and water management research required for theimplementation and operation of the NIB's irrigation schemeswould be carried out by the NIB (para 5.12);

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(y) the Government would employ an experienced sociologist accept-able to the Bank/IDA to undertake a study of settlement prob-lems, and would consult with the Bank/IDA on the findings ofthe study before taking any final policy decisions on thesematters (para 5.15);

(z) the NIB would pay a portion of the farm proceeds directly tothe wife of the family to cover basic needs such as food andclothing (para 5.15); and

(aa) the Government would levy a land and water charge at fulldevelopment of not less than Ksh 2,800 per ha of irrigableland, subject to annual adjustment based on estimated netreturns to tenants, and would also levy charges on non-farmers(including commercial enterprises) to recover part of the costsof constructing the towns and villages, and would periodicallyreview the charges with the Bank and IDA (para 5.28).

8.03 Subject to the above assurances and conditions, the proposed Projectwould be suitable for an IDA credit of US$6 million on standard IDA terms anda Bank loan of US$34 million for 20 years including 4-1/2 years' grace at thecurrent Bank interest rate.

ANNEX 1Page 1

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

The National Irrigation Board

A. Background

1. The earliest planned approach to irrigated crop production by

African farmers in Kenya was initiated in 1941 during World War II, as

the British sought new ways to satisfy a rapidly expanding demand for

food production. A "Dried Vegetable Project" was established in Embu Dis-

trict in order to provide dehydrated vegetables for the British East Afri-

can campaign. By contemporary standards the project was quite successful.

At its peak, some 13,500 registered growers were producing about 2,000 tons

of dehydrated vegetables per annum on some 4,000 acres under irrigation.

The output was valued at some Ksh 1.4 million annually, and some Ksh 1.0

million representing wages paid to African laborers was also generated as

a direct benefit to the local economy. Unfortunately, after the war, a

combination of declining post-war market prospects and opposition from both

nearby expatriate settlers and dissident clan and tribal factions led to

the almost complete dissolution of the scheme. The experience gained was

not a total loss, however, as the project provided valuable information for

the later development of the successful Mwea scheme (para 10).

2. In mid-1953, shortly after the Mau Mau Emergency began in Kenya,

the African Land Development Board (ALDEV) decided to proceed with the es-

tablishment of a major irrigation scheme at Mwea (then part of Embu District).

The plan called for gradually bringing up to 5,000 acre under irrigated rice

production over an extended period. The primary objective of the scheme

was admittedly to provide a source of employment for the Mau Mau detainees,

but the scheme was also designed to allow large-scale expatriate farmers to

expand their crop areas. Two other small irrigation projects were also de-

veloped with detainee labor during the MIau Mau Emergency; these were the

Yatta Scheme (begun in 1952) and the Hola Scheme (begun in 1954) - both of

which are still underway. The Yatta project draws water from the Thika

River by way of a 60 km canal, and has at this time some 75 ha under both

subsistence and horticultural crops. The Hola Scheme pumps water directly

from the Tana River, and presently has some 850 ha under irrigated cotton

production.

3. A bit later ALDEV also initiated other irrigated developments in-

cluding the Perkerra Scheme (in Rift Valley Province) and the Ishiara

Irrigation Scheme together with several grazing schemes with livestock

watering components. With the exception of the Mwea project (which was

completed in 1973 after a total of 5,700 ha had been brought under irri-

gated crop production), these ALDEV projects met with little success.

ANNEX IPage 2

The schemes were for the most part severely undercapitalized and given verylittle managerial support, dooming them to almost certain failure.

4. With the development of these various irrigation acitvities, itbecame evident that a national irrigation authority was needed to overseethe various operations and to set general standards and operating proce-dures. The first official irrigation agency - The Joint Irrigation Com-mittee - was therefore established in 1954 under the Chairmanship of theDirector of Agriculture. Responsibilities for the various functions ad-ministered by the Committee were divided amongst three government depart-ments. The Department of Agriculture had financial responsibility and day-to-day control of agricultural activities; the Department of Public Worksfulfilled the functions of consultants, design engineers and contractors;and the Provincial Administration dealt with all matters affecting laborand settlement. These departments had different objectives and, althoughthe period between 1954 and the early 1960s was one of rapid expansionof irrigation, the Committee generally proved ineffective, mainly becauseof the bureaucratic antagonisms which developed as the three departmentssought to maintain their individual control over the new irrigation schemes.By the end of the emergency the Committee ceased to operate and responsibilityfor irrigation passed to the Chief Agriculturalist in the Department ofAgriculture. A period of consolidation now ensued, during which the Ministryof Agriculture concentrated upon improving agricultural production in theschemes rather than expansion.

B. Trust Land (Irrigation Areas) Rules, 1962 and Irrigation(National Irrigation Schemes) Regulations, 1977

5. In 1962 Government enacted the Trust Land (Irrigation Areas) Rules(see Appendix 2) setting out the rights and obligations of both managementand tenants on national irrigation schemes. In March 1977 regulations underthe Irrigation Act, 1966 were adopted. The regulations, known as the Irriga-tion (National Irrigation Schemes) Regulations (see Appendix 3), are similarin all respects to the Trust Land Rules. The rules (regulations) are designedto ensure that tenants live up to obligations necessarily imposed by them bythe nature of an irrigation scheme and at the same time to protect tenantsfrom arbitrary action by project management. The rules (regulations) requirethat (a) the tenant devote full time to his agricultural enterprise; (b)holdings be cultivated in accordance with the crop rotations established bythe project management; (c) the tenant properly maintain all irrigationstructures within his holdings; and (d) the tenant practice good animal hus-bandry and soil conservation methods as instructed by the project management.

6. The rules allow management to take disciplinary action againsttenants who fail to comply with the above obligations. The penalties fornon-compliance include fines and eviction, although these more severemeasures have in practice been sparingly utilized 1/. Generally tenants

1/ The rate of eviction on irrigation schemes averaged less than 1%per annum for the ten year period 1961-1971.

ANNEX 1Page 3

are given a verbal warning followed up, if necessary, by written notifica-tion of the breach of obligation. On the whole experience shows that therules have been a reasonably effective tool in the management of the na-tional irrigation projects.

C. Establishment of the National Irrigation Board

7. The control of the irrigation schemes by the Department of Agri-culture was an improvement on attempts at control by the three departmentsbut was still found to be unsatisfactory. The Department of Agriculturewas organized mainly to provide advisory services to the farming community,to carry out agricultural research and to collect and evaluate agriculturalstatistics. By 1966 it had become clear that it was not suitable as a man-aging agency for commercially-oriented enterprises.

8. The Government therefore enacted in March 1966 the Irrigation Actof 1966 (Appendix 1) to provide for the "development, control, and improve-ment" of irrigation schemes in Kenya. The National Irrigation Board (NIB)was created under the act to exercise responsibility for the planning, con-struction, settlement and management of national irrigation schemes. TheNIB was established as a semi-autonomous body responsible to the Ministerof Agriculture. The membership of the Board includes:

(a) A Chairman appointed by the Minister of Agriculture;

(b) The Director of Agriculture;

(c) A representative for each Province in which a nationalirrigation scheme exists, appointed by the Ministerof Agriculture;

(d) The Director of Water Development;

(e) The Chairman of the Water Resource Authority;

(f) The Permanent Secretary for Economic Planning andDevelopment;

(g) The Permanent Secretary to the Treasury; and

(h) Not more than three additional members appointedby the Minister of Agriculture possessingqualifications of benefit to the Board.

ANNEX 1Page 4

These members appoint a General Manager who is responsible for the execu-tion of Board policy and for control and management of day-to-day business.The Board appoints an advisory committee to oversee the operation of eachof the national irrigation schemes under its control; these committees areparticularly charged with ensuring that specific agricultural, settlementand other policies established by the Board are strictly enforced by thescheme managers (these include standards of good husbandry, pest and di-sease control; regulation of water use charges; issuance and revocation oflicenses and leases for settlers; procedures for the harvesting, storage,processing, marketing and sale of produce grown on the schemes).

D. NIB Operations and Management

9. At the beginning of its administration the Board assumed respon-sibility for three on-going irrigation schemes, the Mwea, Hola and Per-kerra Schemes, totalling 3,350 hectares of irrigated crops. By 1970 theBoard had taken over responsibility for two additional schemes - Ahero andBunyala - bringing the total area under its administration to some 7,200hectares of irrigated crops. By 1974 this area had expanded to 8,500 hec-tares. Likewise, the gross value of crops produced had risen from KE 435,000in 1966 to KE 1,300,000 in 1974. Rice is by far the major crop now beingproduced, and the gross value of its production on all schemes in 1974 wasover KE 1,000,000. The number of plot holders (settlers) increased from 2,163in 1966 to 4,600 in 1974. The above statistics, while illustrating thegrowth of the NIB's operations, do, however, somewhat obscure the varietyof problems and varying degrees of success which have been encountered onthe individual schemes. These are therefore discussed individually belowin somewhat greater detail in order to highlight their most important fea-ures.

10. The Mwea Scheme (para 3) with a total cropped area of some 5,700ha and some 3,000 families (1974) is by far the largest and the only finan-cially self-supporting of the various schemes. The crop area is almostentirely devoted to rice production, with the exception of limited areasset aside for subsistence and horticultural crops. The administration andmanagement of this scheme has been successful in maintaining cropping stan-dards and in dealing with the growing variety of problems which have arisenas the area has expanded. This can be seen in the increasing average in-come obtained by the settlers on the scheme; the average net annual incomefrom cash crops sold to NIB, excluding subsistence production, increased fromKsh 2,854 in 1960 to Ksh 6,190 in 1974 (the latter may be compared withfigures of Ksh 2,450 and Ksh 1,380 achieved at Ahero and Bunyala respectivelyin the same year).

ANNEX 1Page 5

11. The Hola Pilot Irrigation Scheme is also considered a successfulproject. This is demonstrated in the yields achieved for cotton, the majorcash crop, which reached 2,700 kg/ha in 1973, including 98% graded AR (topgrade). Unfortunately the small size of the project (850 hectares) haslimited its ability to carry the overhead costs involved, and consequentlythe project is not financially viable. The scheme has grown in size andproductivity from 275 settlers producing 822 metric tons of cotton in 1965 to582 settlers producing 2,288 metric tons in 1974/75. The average net incomeof the tenants, excluding the value of subsistence production, was Ksh 5,196in 1974/75.

12. The Perkerra Irrigation Scheme has shown extremely poor resultsalmost from its inception. The project has had consistently low returnsfrom onion production, its major crop, and the tenants have reacted accor-dingly with a high percentage of desertions. During 1966-1975 the tenantpopulation decreased from 400 to 346. NIB's attempts to diversify thecropping pattern have, however, met with strong settler resistance because ofthe prices of onions in some years; tenants seem to prefer to gamble thepossibility of high returns against the unpredictable yields caused byperiodic water shortages, fungal attacks, and poor bulb formation caused byhot, dry conditions. Recently NIB has had some success in encouraging theproduction of chillies as a second cash crop; yields have been excellent, withnet cash returns to the tenants increasing up to 75% over the previous cropyear.

13. The Ahero Pilot Scheme was established in 1968 to provide guide-lines for the development of the irrigation potential of the Kano Plains.The scheme has encountered serious technical and agronomic problems. Themajor crop, rice, has suffered disastrous setbacks due to disease, hail-storm damage, water shortages and pump breakdowns; as a result settler in-comes have remained low. There are presently about 500 growers cultiva-ting 800 hectares of paddy.

14. The Bunyala Irrigation Scheme is facing many of the same prob-lems affecting Ahero. Paddy blast disease and hail damage have been themost serious problems, causing extreme variations in yields; these haveranged from a high of 5,000 kg/ha in 1969 and 1970 to a low of 1,400 kg/hain 1974. Morale among the producers has been seriously affected, and thishas resulted in widespread neglect of holdings and many desertions. Mostdisturbing of these developments has been low yields of recent crops, evenwithout blast disease or hail. This poor performance has been attributedto settler inattention to weeding and other field practices.

E. NIB's Performance

15. NIB's overall performance since its inception has been unevenin quality, with the success of the Mwea scheme offset by the real diffi-cultires which the Board has experienced with most of the other schemes.

ANNEX 1Page 6

On balance, NIB's problems can be attributed to certain key deficiencieswhich must certainly be remedied before any improvements in its perfor-mance can be expected; these deficiencies range from management problems(including the absence of the technical expertise necessary to cope withagronomic questions), to a lack of appropriate crop and land and water re-search studies. Foremost among these factors, however, the lack of anadequate management capacity remains the most crucial problem facing theBoard; it is this one constraint which more than any other has impededthe sustained development and expansion of the national irrigation schemesfor which NIB is responsible. The management problems which plague theBoard are themselves infinitely varied. They include:

(a) the small size of the existing organization and theslow rate of staff recruitment;

(b) frequent changes in management at all levels;

(c) a heavy and unjustifiable reliance on expatriate expertsprovided under bilateral technical assistance programs,which has in turn led to a high rate of staff turn-over,long delays in filling vacancies, etc.;

(d) failure to train Kenyan staff employed on the existingschemes to fill higher level technical positions (inspite of the long history of irrigation development inKenya, there are as yet no Kenyan irrigation engineers,agricultural engineers or senior agriculturalists withcotton experience, nor are there many managers trainedon existing schemes who might be available for futuredevelopments);

(e) severe inadequacy in the maintenance and repair of agri-cultural equipment used on the schemes (while the NIB'srecord in this field at Mwea appears on the whole to havebeen satisfactory, the experience at Hola has been muchless reassuring. For example, of thirteen tractors atHola no more than three were operational during the No-vember 1975 visit of the appraisal mission - a stateof affairs which had been observed and commented uponby the Bank's wild-life conservation consultant inAugust 1975 but had not been remedied, in spite of themaize planting season having occurred in the interval);and

(f) a reluctance on the part of NIB in the past to coordinatethe planning and administration of its activities withthose of other ministries and provincial administrations,thus depriving the Board of useful inputs from a widerange of sources and causing unnecessary delays in theimplementation of its program.

ANNEX 1Page 7

In addition to the management problems, several other inadequacies aredeserving of mention. One key failure which has hampered the successfuldevelopment of the irrigation schemes has been NIB's inability to buildup an adequate staff of agronomic experts experienced in the special prob-lems of irrigated crop production; this, combined with the absence of awell designed and effective research program, has contributed to the gen-erally poor overall performance achieved to date on the majority of theschemes.

16. NIB's performance to date and the management and technical prob-lems which hamper its operation raise serious questions as to whether theBoard has the capacity without external assistance to undertake responsi-bility for another irrigation scheme - particularly one on the scale of theproposed Bura Project. Not only would the new scheme create in the shortperiod of six years a developed area about as large again as the combinedtotal area of its existing schemes, but it would raise a whole myriad ofproblems which have not been previously encountered on any significant scale.The latter would include: difficult soils, and a high cropping intensity witha heavy agricultural equipment input (Annex 2); environmental, health andeducational problems (Annex 5); a diverse settler population (Annex 6); theneed for an afforestation program (Annex 9); wildlife conservation (Annex10); an accommodation with pastoralists now living in the area, etc. It isunlikely that at this stage NIB would prove capable of undertaking a ventureof such complexity. It is therefore proposed that an acceptable experiencedmanagement firm or organization, expected to be the Commonwealth DevelopmentCorporation (CDC), should manage the settlement and agricultural productioncomponent of the Project as a managing agent for NIB, until such time as NIBwould have built up sufficient technical and managerial capability to assumeproject management responsibility for itself. It is envisaged that themanagement team would be required for a period of at least six years; anyshorter period than this would not be adequate to institute a systematic andproperly planned management system for the irrigation complex, to settle thenew farmers and train them in irrigated farming and to train NIB staff tooperate the Project. The management team should also train NIB staff forthe much greater future expansion of irrigation expected to become possibleunder the program of Tana River development associated with the Upper TanaReservoir expected to be completed in 1981.

ANNEX 1Appendices 1-3

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

The following Appendices:

Appendix I - The Irrigation Act, 1966

Appendix 2 - The Trust Land (Irrigation Areas) Rules

Appendix 3 - The Irrigation Act (National IrrigationSchemes) Regulations, 1977

are available in the Project File.

ANNEX 2

Page 1

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Agriculture

Present Agriculture in the Project Area

1. The area which would be irrigated under the Project is too dry for

rainfed crop production. The only cultivation is along the margin of theTana River where members of the Pokomo and Malekote tribes cultivate maizeand vegetables for subsistence on the flood plain in small seasonal patchesnear their riverine villages. Away from the river the area is virtuallyuninhabited except during and immediately after the rainy season when nomadicOrma pastoralists roam through it to graze their cattle. As the vegetationand waterholes dry up they move to the Tana River and elsewhere to find waterand more abundant grazing.

2. It is estimated that under rainfed conditions one livestock unitcan be raised on 25 ha. Thus, a total of 400 livestock units could be keptin the area of 10,000 ha within which the 6,700 ha irrigable area lies. Withan off-take of 10%, or 40 livestock units a year, and an estimated net pro-duction value per unit of K.Sh. 350, the total production value amounts toK.Sh. 14,000 (US$2,000) a year. This value could be expected to rise by about1% per year in the Project period as a result of better breeds and improvedcare of the animals.

A. Resource Base

3. The Bura Project area has a favorable climate for perennial agri-culture, an adequate supply of high quality water available from the TanaRiver, and sufficient land of adequate quality for development under irriga-tion. The existing rural population can readily be supplemented as necessaryby immigrants from other parts of the country seeking an improved standard ofliving. Health problems will arise, however, particularly associated with theirrigation development, and these will have to be given special attention.They will be particularly severe for the non-immune immigrant population en-countering the diseases of the tropical lowlands (especially malaria andschistosomiasis) for the first time.

4. Climate. Meteorological data have been collected from the Projectarea for relatively few years - only 17 years' total rainfall records forBura in a broken sequence and only an 10-year period (1967-1976) of recordwhen Bura, Hola and Tana meteorological stations have operated simultaneously.Rainfall is low (averaging about 400 mm) and very erratic, with large varia-tions from place to place, between the same months in different years andbetween annual totals. It falls mainly in two rainy seasons, March-May andOctober-December.

ANNEX 2Page 2

5. ratures are high throughout the year with little seasonalvariation. The hottest months are February and March (average max. tempera-tures 35 C) and the coolest June, July and August (average max. temperatures32 C). Minimum temperatures do not normally go below 20 C throughout theyear. Temperatures are not a limiting factor for crop growth in the area atany time of year.

6. Solar radiation is high from December to March and rather lower fromJune to August. The lowest values are within the range at which crop growthmight theoretically be reduced but no such reduction has been experiencedeither in experiments or at the Hola Pilot Irrigation Scheme.

7. Relative humidity varies between 60% and 70% throughout most of theyear, with diurnal variation from about 75% at 9 a.m. to about 50% at 3 p.m..Winds are a normal feature in the area with fairly high daily averages recorded(110-215 km). The direction of the prevailing wind is southerly from May toDecember when the winds are strongest, mostly northerly and easterly inDecember and January and veering towards southerly from February through April.Wind erosion can be expected if large areas of land are left exposed withoutground cover for long periods after being cleared and levelled. Experience atHola has shown, however, that wind erosion is not a problem after the firstcrops are established. Table 1 gives general meteorological data for the Buraarea.

Soils

8. Soil Surveys. A soil survey was done in the mid 1960s by consult-ants (Acres - ILACO) on over 240,000 ha including the Bura Project area. Thissurvey has been termed "semi-detailed" but it should more properly have beencalled a "low-intensity" or "reconnaissance" survey since soil profile exami-nations were made at one per square mile and the boundaries of the soils wereplotted on a print-lay-down at 1:25,000, subsequently reduced to 1:50,000.Soil boundaries were plotted on the aerial photographs by extrapolation fromthe vegetation patterns and a fairly detailed examination of the vegetationassociation was made in the field as a basis for the subsequent mapping.

9. In addition to the 1:50,000 map of the entire area, a 1:10,000 mapwas made of the proposed research and training area south of Laga Hiraman.This map was made by intensifying the observations within the lines but noadditional lines were examined. Some 5-7 profile examinations were made permile in lines one mile apart, thus giving a very skewed sampling pattern. Intheir 1972-73 feasibility study of the Bura area, ILACO made further soilstudies in this area, but these were confined to sampling and analyzing themarginal soils and no additional mapping was done.

ANNEX 2Page 3

10. In 1968 ILACO did a detailed soil survey (1:10,000) of the Galole(later renamed Hola) Pilot Project (500 ha). The soils were classified asA, A/B, B and C and these can be correlated with the units used in the Acres/ILACO report.

11. Following a review of these surveys by the Bank, ILACO carriedout additional survey work in 1974/75. At that time a project of 14,000 hawas foreseen. To provide more detailed information on the proposed first4,000 ha to be developed north of Laga Hiraman, the sampling for the originalsurvey was intensified by augering at 333 m intervals on lines 333 m apart toachieve a density of one observation per 11 ha. Within the remaining 10,000ha of the 14,000 ha proposed Project area, sample strips were surveyed in thesame detail as in the area north of L. Hiraman to check the accuracy of thesoil boundaries shown on the 1:50,000 map. These sample strips showed thatinaccuracies existed in the 1:50,000 map and the Government therefore theninstructed ILACO to undertake during 1976 a semi-detailed survey of the grossarea south of L. Hiraman using lines 500 m apart and sampling 200 m apart inthe lines, to achieve an observation density of one per 10 ha, with mapping ata scale of 1:5,000. This survey showed that a much higher proportion ofshallow soils existed in the area than had originally been reported. Theconsultants nevertheless recommended, on the basis of a comparison with theshallow soils of the Hola Pilot Irrigation Scheme, that the Project areashould not be reduced for this reason. However, the Government decided, onIDA's recommendation, that the information available on the long-term pro-ductivity of the shallow soils was insufficient at present to justify includ-ing large areas of them in the Project (see para 18) and the Project area wasaccordingly reduced to 6,700 ha.

12. Soil Classification and Soil Suitability for Irrigation. The systemused to classify the soils (Soil Taxonomy of the US Department of Agriculture)employs the degree of horizon development and physical and chemical character-istics of the soil profile as the bases of classification. Twelve soil unitswere distinguished in the classification but some difficulties were encoun-tered over sodium and salinity levels within the units.

13. Geomorphologically the area can be divided into old alluvium or oldterrace areas and the young alluvium of the Tana river flood plain. Thelatter is something of a misnomer as much of this plain is not usually floodedby the Tana river itself since it consists of a series of back swamps behindthe levee system, which are flooded during heavy storms by run-off from thelagas.

14. The major soils on the old alluvium are the aridisols (natrargids,halorthids and camborthids) and the vertisols (grumusterts and grumaquerts);entisols (hapludents) are the major soils on the young alluvium. Thenatrargids have a sodic sub-soil with a columnar structure, hard when dry,capped by a bleached indurated layer; this is overlain by sand to variousdepths. Soils in which the sandy top soil has been eroded have been termedmazic and those with sand, typic.

15. The classification and suitability ratings established by the con-sultants are:

ANNEX 2Page 4

SOIL CLASSIFICATION

Soils of the old alluvial terrace

PR Typic PsammustentNl, N2 Typic Natrargid (Ni: > 20" over capped natric horizon)

(N2: < 20" over capped natric horizon)

N3 Mazic NatrargidN4 Vertic NatrargidC Typic CamborthidS Typic HalorthidGU Natric GrumustertGA Natric Grumaquert

Soils of the flood-plain

PL Typic HapludentUS Vertic Hapludent (stream bed deposits)U " " (river basin soils)P Entisols

SOIL SUITABILITY CLASSIFICATION

Soil UnitsClass 1 (highly suitable) C" 2 (suitable) S, NI

3 (fairly suitable) GU, GA, U, N4" 4 (marginally suitable) N2, N3" 5 (non-irrigable) PR, PL, US, P

16. The Irrigation Suitability Classification of the United StatesBureau of Reclamation would classify the soils:

Soil Units

Class I (highly suitable) C" 3 (marginally suitable) S" 4 (suitable for limited GU, GA, N4

cropping)" 5 (tentatively non-arable) Ni, N2" 6 (non-arable) PR, N3, U, US, P and PL

17. In upgrading soil units S, GU and GA and N4 from the USBR classes,the consultants' suitability classification has taken into account experiencegained at the Hola Pilot Irrigation Scheme. In particular, the consultantsbelieve that the GU, N4 and S soils can be included in the layout of an irri-gation scheme aiming at immediate high level production of cotton, providedthat the non-saline, non-alkali top soil (A-horizon plus a portion of theB-horizon) has a thickness of 20 cm or more. The deeper sub-units (GUI, N41and SI) fall within this category. The consultants also consider that GU and

ANNEX 2Page 5

N4 soils with a non-saline, non-alkali A-horizon of 15-20 cm thickness(classified as GU2 and N42 respectively) meet this requirement. Similarly,they believe that S soils meet the requirement if the non-saline, non-alkaliA-horizon is over 15 cm thick.

18. The consultants' conclusions appear to be adequately justified inthe case of the GA soils and the deeper sub-units of the GU, N4 and S soils(i.e. the GUl, N41 and SI soils). However, the validity of their proposal isnot so apparent in the case of the more shallow sub-units of these soils.While the deeper sub-units have been irrigated at Hola since 1958 and havegiven consistently high yields of cotton for the past ten years, the moreshallow sub-units were not developed at Hola until 1973 and furthermore, thesoil survey of the area where they occur was not done until after they hadbeen developed and brought under irrigated cultivation. The characteristicsof these soils, including the original depth of the non-saline, non-alkalitop soil, can only be inferred by extrapolation from the surrounding non-irrigated areas. Two questions remain unanswered: (a) whether the shallowsoils can sustain production under irrigation throughout the life of the pro-ject; and (b) whether they are truly representative of the shallow soils inthe Bura area, since their characteristics may have been altered by the irri-gation and cultivation, e.g. land levelling during the course of developmentmay have reduced the original thickness of the A-horizon. Although thesesoils have yielded about as well as the deeper sub-units of the same classi-fication for three successive seasons, the Government agreed with the apprai-sal mission and subsequent soil survey review missions that further exper-ience should be gained before a major irrigation development is based uponthem. It was decided, therefore, that the shallow soils should not be in-cluded in the project area at present except in order to provide the Govern-ment with further experience on which to determine productivity and costs ofdevelopment and management. It was recognized that such shallow soils arecharacteristic of large parts of the Tana River area, however, and substan-tial future development of irrigation will probably depend on the utiliza-tion of at least some of them. Thus, it was concluded that the first phaseProject should include a significant area of each of the three types of shal-low soils (GU2, N42 and S2) for further investigations.

19. Soil Salinity and Sodium Content. A recurring theme in the variousreports on soil surveys in the Lower Tana area has been salinity and highsodium levels and low subsoil permeability. The ability of the soil tosustain production under irrigation without deterioration by increase ofsalinity or sodium levels has therefore been a matter of special concern.Following the Bank's 1974 review of the soil studies conducted up to thatdate, ILACO carried out a special investigation comparing the soils in theirrigated area at Hola with similar non-irrigated soils outside the area todetermine whether any increase of salinity and sodium saturation has occurredunder irrigation. The results showed that salts are being leached satisfac-torily under irrigation and there is no build-up of salinity in the root zone.In respect of alkali, the consultants found also a decrease in ESP valuesunder irrigation, indicating that leaching of salts has not been accompanied

ANNEX 2Page 6

by an increase in sodium levels. On the basis of the investigations com-pleted up to December 1975, the indications are that sustained productivitywill be possible without the use of soil amendments. Nevertheless, shouldit be found necessary to apply soil amendments to correct sodium levels,there are abundant sources of gypsum available at minimum cost in the LagaThula area, immediately to the north of the Project area.

Crops at the Hola Pilot Irrigation Scheme

20. The behavior of crops under farming conditions provides an invalu-able check on the conclusions of soil surveys in arriving at a judgement ondevelopment potential under conditions such as those in the Bura area. Itis fortunate that the Hola Scheme has been under irrigation since 1953, pro-viding 23 years of experience on which to base such a judgement. Its soilsare representative of the Class 2 and 3 irrigable soils of the Bura Projectarea and include also the shallow S soils mentioned above (para 17).

21. The experience with cotton at Hola gives the best guide to croppotential under the local conditions. There was not much production ofcotton at Hola until 1956. By 1964 yields had reached only about 1,000kg/ha seed cotton and at this yield level the future of the Scheme was indoubt. Tenants were abandoning their farms because their returns were too low.Pests, weeds and poor water management were the major problems. In March1964 a team of consultants (ILACO) supplied initially under UNDP technicalassistance, commenced work. Within a few years they showed that by ridgingto provide proper field water management, sowing at the right time, good pestcontrol and good weed control, yields exceeding 3,000 kg/ha could be obtained.The application of these principles throughout the Scheme since 1966 hasmaintained high levels of yields for farmers.

22. The factors contributing most to this improvement in yields are:

(a) Proper cultivation techniques. The soil studiesemphasized that the shallow top soils could be utilizedbest by growing crops on well-maintained ridges 40 cmhigh. Where ridges are made badly or allowed todeteriorate, cotton grows poorly and suffers from water-logging.

(b) Timeliness of cultivation and planting. This dependsupon efficient management of the tractor fleet andcultivation equipment; work scheduling and timelymaintenance and repairs are the most important elementsfor successful equipment operation.

(c) The ability of cotton to tolerate high levels of salinityand alkalinity. The literature suggests that cotton willtolerate ECe levels of 10 without yield reduction andlevels of 12 to 14 with only 25% yield reduction. Cottonis also tolerant of alkalinity; ESP levels up to 40 donot appear to affect the plant.

ANNEX 2Page 7

(d) Good water control. By using ridges and good irrigationtechniques the top soil is prevented from waterlogging.This can be a serious problem in these soils; yellowingof the cotton sometimes occurs a few days after irriga-tion.

(e) Good weed control. Once the cotton is well establishedon a ridge and growing quickly, weeds are much easierto control.

(f) Pest control by spraying, allied to a scouting servicefor detecting pest build up. Nine sprays are currentlyused. During the rains only aerial spraying is feasi-ble as ground equipment cannot be used on the soddensoil.

The proper and timely combination of all these good cultural practicesdepends, of course, on detailed supervision by skilled management. Thisis the key to high production on these soils. Experience at Hola has shownthat intensive staffing by a well trained management cadre is necessary evenafter a number of years of operation of the scheme.

Extrapolation of Crop Yields from Hola Pilot IrrigationScheme to Bura Project

23. The Hola Pilot Irrigation scheme is sufficiently large (850 ha;585 settler families) and sufficiently similar to the Bura Project for itscrop yields to be extrapolated to the new Project. Normally, if such extra-polation were being considered from a small old-established pilot schemeto a large new Project, judicious reductions in crop yields would have tobe assumed to take account of such factors as the higher intensity of man-agement usually available in a pilot scheme, the probability that settlersfor a pilot scheme may have been subject to a more careful process of selec-tion than would apply in a larger project, etc. These considerations are notvalid for the relationship between crop yields at Hola and those assumed forthe Bura Project. In fact, if yield assumptions were to be weighted, it wouldbe logical that they should be weighted in favor of higher yields for the newproject rather than in the reverse direction. The reasons for this include:

(a) the Hola scheme suffers from constantly recurring short-ages of irrigation water. This is due mainly to break-downs of pumps because of inadequate operation and main-tenance of the pumping station;

(b) farm equipment maintenance at Hola is poor, resultingfrequently in late planting of crops;

(c) land levelling has not been done adequately at Hola; and

ANNEX 2Page 8

(d) Hola's field staff generally have an inadequatebasic education to absorb specialized training.This arises from the historic circumstances ofthe original establishment of the scheme and thelack, until recent years, of secondary schools inthe area.

These constraints should not occur in the Bura Project. The gravity-flowirrigation water supply would not suffer from mechanical breakdowns ofpumps, land-levelling would be done effectively, the quality of farm equip-ment maintenance would be improved, and the field staff, having initiallybeen selected from candidates with an adequate basic education, would re-ceive specialized training in farming practices. Another important fac-tor very favorable to Bura in the comparison with Hola is the occurrenceof a high proportion of Class I soils at Bura (see para 24). The Hola schemeis located on predominantly Class 2 and Class 3 soils; Class 1 soils are notfound there. All these factors have been taken into account by the appraisalmission in making its judgement of future yield expectations at Bura.

Soil Classes Included in the Project

24. The irrigation layout has been planned to include all of the ClassI and Class 2 soils occurring in the area, together with sufficient areas ofthe three shallow soil types classified as Class 4 to allow experience ofcrop production to be gained on them in preparation for a possible futureexpansion of the irrigation system. Small areas of Class 3 soils wouldalso be incorporated, where they can easily be commanded by the canal sys-tem at little extra cost. The breakdown of the total area (6,700 ha net)by soil suitability classes is as follows:

Soil Type Class I Class 2 Class 3 Class 4 % of Total-------------------ha net------------------

C 3,265 48

S1 1,330 20

GUI 185 3

N41 590 9

S2 640 10

GU2 550 8

N42 240 2

Project Total: 3,265 1,330 775 1,330 100

ANNEX 2Page 9

B. Agricultural Development

Land Allocation and Cropping

25. About 6,440 ha would be divided into tenancies of 1.2@ ha each.In addition, about 260 ha would be cultivated as gardens (500 m per tenant)located close to the villages. The annual cropping pattern on the tenanciesat full development would be cotton (1.25 ha), groundnuts (0.2 ha) and maizeinterplanted with cowpeas (0.4 ha). Cropping intensity at full developmentwould be 148%.

Mechanization

26. Among the mechanized operations provided by the NIB would be thecultivation of all land (including ploughing, harvesting, land levellingand planing), ridging, spraying (mainly by aircraft), lifting (of groundnuts)and transport of inputs and crops.

Crop Varieties 1/

27. The cotton variety which has been grown at the Hola Pilot IrrigationScheme for many years is UKA 59/240, an African Upland variety. It has,however, been consistently out-yielded in variety trials there by a number ofother varieties, especially American Upland and Delta pine varieties. Theseother varieties give a longer and stronger (although coarser) fibre than UKA59/240, with a higher maturity ratio and a considerably larger boll. UKA59/240 is resistant to bacterial blight ("black-arm") disease, however, andthis has been considered a sufficient advantage (though little is known of theincidence of black-arm in the lower Tana) to justify its use in spite of itslower yield. Furthermore the Cotton Lint and Seed Marketing Board has nothitherto considered that the production at the Hola Scheme (850 ha) has beenof sufficient volume to justify a change of variety with attendant risk ofseed becoming mixed at the ginnery. This argument would not apply to the BuraProject, which not only would have its own ginning factory but would also havea sufficiently high volume of production to justify special considerationbeing given to its needs. Since UKA 59/240 has a ginning out-turn of only32%, compared with the 38% out-turn of possible alternative varieties, thechange to an improved variety would also be accompanied by a significantincrease in lint production. One of the improved varieties already tested intrials at Hola would therefore be selected for the Bura Project.

1/ See Table 2 of this Annex.

ANNEX 2Page 10

28. T!S: varieties of groundnuts which have yielded best in varietytrials at Hola have a long maturity period (125 days) which makes integra-tion into the cropping system difficult. For this reason anticipated yieldshave been based upon the performance of such short-season varieties (116days) as Natal Common and Red Valencia, rather than the higher-yieldingShulamit. As with cotton, there is an undeveloped potential for higher yieldwhich illustrates the need for further investigation through variety trialsand plant breeding for the local conditions.

29. Conditions in the Bura Project area are well below optimum for highmaize yields, Maize is rated as one of the field crops most sensitive tosalinity, and it is also sensitive to alkalinity. It has been included in thecropping pattern because, at least initially, farmers will wish to grow theirown subsistence crops in preference to purchasing them. The variety "CoastComposite" would be grown initially in the Project, having been shown atHola to have a 30% yield advantage over the Local White variety in trialsover several years.

30. Cowpeas would be interplanted with maize. Crop trials at Hola(Table 2) have shown that interplanting increases the cash value of the totalreturn from the two crops over that attainable from the crops grown singly.Cowpeas have also been shown to be a more productive crop than beans orother pulses. A locally-available variety of cowpeas has been used to date.Variety trials should be undertaken in future. New varieties from theInternational Institute of Tropical Agriculture have better pest resistancethan varieties in common use.

Fertilizers

31. Nitrogen in the form of either urea or sulphate of ammonia wouldbe applied to all crops. The choice between urea and sulphate of ammoniaat any given time would depend on the ruling price per unit of nitrogen(N). For cotton, the initial application would be 60 kg N per ha, risingto 80 kg by the tenth year. For maize and cowpeas grown together, the appli-cation would be 50 kg N per ha, rising to 100 kg by the tenth year. Groundnutsrequire fertilizer nitrogen only in the initial period of growth to give rapidestablishment of the plant to counter weed competition; thereafter the plantroot system would be sufficiently developed so that the symbiotic bacteriawhich fix nitrogen on them would meet the plants' nitrogen requirements. Theprovision made for nitrogen fertilizer for groundnuts would therefore be only10 kg N. No provision is made for applying phosphate, though it would berequired eventually (possibly not for a long time for cotton, but earlier forother crops, e.g., maize). Potash would not be required.

Crop Protection

32. Adequate pest control has not been a problem on the cotton crop atHola, despite the variety of pests encountered. They include American boll-worm (Heliothis armigera) spiny bollworm (Earias spp), pink bollworm(Pectinophora gossypiella), stainers (Dysdercus spp) and red spider mites

ANNEX ?Page 11

(Tetranychus spp). Crop scouting is carried out by trained "scouts" togive early warning of pest build-up; spraying is normally by aircraft. Eightto ten sprays are currently used.

33. Pest incidence on groundnuts and cowpeas has been low at Hola.However, groundnuts are subject to yellowing and Cercospora leaf spot, whichaffect yields. Further investigations are needed to establish the cause ofthe yellowing. Maize is subject to stem borers and cob borers, for whichearly identification and treatment by insecticides are mandatory.

34. In the Bura Project provision for pest control would be made bythe Project management through scouting and pest control by aircraft spray-ing (for cotton), as well as by knapsack spraying and dusting for crops otherthan cotton and for local outbreaks in cotton. Field extension workers wouldadvise tenants on pest and disease control in their gardens and food crops.

Weed Control

35. Weed control, essential to high yields, requires continuous atten-tion under the local conditions. Timing and frequency of weeding have beeninvestigated at Hola and a program of control activities has been established.Further trials with herbicides would be needed, especially to improve control.of nut grass (Cyperus spp). Project management would keep close surveillanceon the efficiency with which tenants carried out weed control and would havethe right to have weeding done by hired labor at the expense of the tenant inthe event that he failed to maintain clean crops.

Potential and Projected Yields of Crops

36. With knowledge of the soils, climate and productivity of comparableirrigated areas, the potential yields of crops can be estimated with someprecision. However, the realization of potential yields depends upon a numberof factors, most of which are beyond the control of the farmers, such as ade-quate incentives, a complete and efficient infrastructure, timely land prepara-tion, effective dissemination of technological information, an efficient sur-face drainage system, and optimum operation of the irrigation system.

37. In practice, the various requirements for attaining high levelsof production cannot be effectively separated. For example, along withadequate and timely water supplies sufficient necessary fertilizers arerequired. Fertilizer applications, however, would be relatively ineffectivewithout adequate water supplies as well as improved seed varieties which canrespond to fertilizer efficiently. The compound benefits of these threeprimary inputs, in turn, rely heavily on modern protective measures for thecontrol of plant diseases, and insect and weed infestations that inevitablyaccompany bountiful crop production. In addition, vigorous educational andextension efforts will be required to assist the farmers in keeping abreastof technological advances, and credit will be needed to facilitate some aspectsof the development program.

38. The following table gives the estimated potential and anticipatedaverage yields for the Project area:

ANNEX 2Page 12

Potential and Anticipated Average Crop Yields 1/

Cotton Groundnuts Maize Cowpeas(m ton/ha) (unshelled m ton/ha) (m ton/ha) (m ton/ha)

Potential 5.5 4.5 5.0 1.5

Anticipated

Year

1980/81 - - 2.00 0.501981/82 2.50 - 2.17 0.531982/83 2.54 - 2.28 0.561983/84 2.56 - 2.53 0.621984/85 2.63 1.40 2.86 0.721985/86 2.73 1.47 3.16 0.821986/87 2.83 1.54 3.43 0.911987/88 2.91 1.68 3.63 0.981988/89 2.98 1.83 3.70 1.001989/90 3.00 1.92 3.70 1.001990/91 3.00 1.98 3.70 1.00

and thereafter 3.00 2.00 3.70 1.00

The Importance of Skilled Project Management in Attaining Projected Yields

39. The Project area presents a number of inherent problems for agri-cultural production which can only be overcome by a high degree of skill inProject management. The soils would require careful management in cultivation,land levelling, the control of water applications and monitoring for salinityand alkalinity. Crop varieties would need to be continuously screened forselection for improved yields. Weed control and pest and disease control wouldrequire constant attention; and the complex of crop production and processingwould depend upon the efficient scheduling, operation and maintenance ofthe Project's fleet of tractors and cultivation equipment and of the ginnery.The projected yields given above are based on the assumption that skilledmanagement would be available throughout the Project's life.

Agricultural Research

40. Agricultural research on irrigation and drainage in Kenya has beenminimal in the past. Any research that has been carried out has been done onan ad-hoc basis with inadequate continuity. At present it lags far behindthe national need.

1/ Project average yields, taking the phasing of settlement into account.For development of yields on an individual tenant's holding, seeAnnex 8," Cropping Pattern, Production and Farm Revenues from Pro-duction."

ANNEX 2Page 13

41. The Government intends to remedy this situation and has agreedwith the Government of the Netherlands on a technical assistance program forstrengthening irrigation and drainage research. The program includes: theestablishment of an Irrigation and Drainage Research Unit in the ScientificResearch Division of the Ministry of Agriculture; support for NIB research(particularly on problems of land and water management) at the Hola PilotIrrigation Scheme, the Bura Project, and the NIB's Kano Plains pilot schemeat Ahero; and assistance to the Ministry of Agriculture for the planning anddesign of small irrigation projects and to the University of Nairobi (Facultyof Agriculture) in irrigation teaching and research.

42. The program agreed for Bura is that one senior research officerwould supervise land and water management research at Bura/Hola and Ahero,and that one land and water management specialist, one agronomist and onejunior research worker would be stationed at Bura to conduct research andtraining, particularly on problems of land and water management and farmmanagement. Visiting experts from the Netherlands would also conduct spe-cial studies of limited duration or provide advisory services as necessary.

43. It is expected that the Dutch technical assistance program willresult in adequate attention being paid both to national research and train-ing requirements for irrigation and drainage and to the provision of adequatetechnical assistance for land and water management research for the Bura Proj-ect.

44. Research into agronomic factors, including the selection of cropvarieties adapted to the local conditions, has been undertaken at Hola in thepast under a Dutch technical assistance project - Hola Pilot Demonstration andTraining Project 1966-73 - a reduced version of which is continuing currently.The research program successfully identified the major constraints which hadbeen holding down crop yields up to that time and its findings have beenincorporated into the agricultural program for the Bura Project.

45. The research has demonstrated that the Bura Project has the poten-tial to produce much higher crop yields than those which have been projectedin the benefit analysis. Since the economic analysis of the Project issensitive to yield levels, it would be desirable that every effort should bemade to attain these higher yields. This will require not only the provisionof skilled Project management as mentioned above, but also the continuance andintensification of research on agronomic factors. The most important factorsfor investigation (apart from those concerning soil and water managementmentioned above) appear to be choice of variety, especially for cotton,groundnuts and maize; weed control and pest and disease control.

46. With cotton assuming an importance under the Project which it hasnever had before in Kenya, it will be necessary for an intensive study tobe made of all aspects of the crop. This would require the services of spe-cialized agronomic staff not at present available in Kenya and not plannedto be provided under the Netherlands technical assistance project. It is

ANNEX 2Page 14

intended that they would be provided under the Project. For assistance withpest control problems, the NIB should, if possible, enlist the services ofthe International Centre for Insect Physiology and Ecology (ICIPE) which isin Nairobi.

47. Up to the present time all agricultural research for the Lower Tanaarea has been undertaken at the Hola Scheme. The soils at Hola, however, donot include all of the soil types identified in the Bura Project area. Inparticular, Hola has no Class 1 soils, which are expected to be particularlysignificant in permitting higher levels of yields to be attained for the cropsselected for the Bura Project as well as crop diversification in due course.To enable future research to be undertaken under fully representative condi-tions, a new research station should be established on a location in the BuraProject area selected to include if possible all the soils of the Bura Project.

Monitoring and Evaluation

48. The Irrigation Act of 1966 (see Annex 1) requires the National Irriga-tion Board to keep detailed records of all transactions. An individual accountwould therefore be maintained for each tenant under the Bura Project. The Actalso requires the Board to submit an annual progress report to the Minister ofAgriculture, together with the report of its auditor and its annual balancesheet. There would thus be adequate collection of financial data.

49. In order to provide adequate assurance that the soils of the Projectwere being managed in a manner consistent with the maintenance of a sustainedproductive life over the life of the Project, their salinity and alkalinitystatus would need to be monitored regularly. This work could be undertaken bythe Ministry of Agriculture's Kenya Soil Survey, which has a long associationwith the soil survey work carried out by the consultants in the Bura and Holaareas. If further investigations of the present depth of the watertableindicate the feasibility of doing so, the National Irrigation Board wouldmaintain records of the depth to the watertable measured in observation wellsto be installed at several locations throughout the Project area.

Future Irrigation Development on the Lower Tana River

50. Reconnaissance soil surveys on the East Bank of the Lower Tana Riverhave given indications of suitable topography and soils for the irrigationof up to 70,000 ha there. A Feasibility Study for the development of thisarea would be undertaken under the Bura Project by the Government and theProject consultants. The agricultural production experience gained at theBura Project would be directly applicable to the expected future develop-ment; in particular its agricultural research and agricultural managementcomponents would have a significance going far beyond the present Project.

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Meteorological Data for the Bura Area

…_… -- - - - - - - - - - -- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -_ _ _ _ _ __-_-_ _ _ _ _

Temperature (°C) Dew- Solar Wind speed Rainfall (mm) Number ofMonth ------------------------ point radia2ion (miles/day) ---_-____________ rainy days

max. min. mean (0C) (cal/cm /day) Hola Bura… - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - _ - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -

January 34.7 22.4 28.6 23.0 544 80 28.5 16.2 2.5

February 35.5 22.8 29.2 23.6 568 80 16.0 5.0 2

March 35.0 23.6 29.3 24.4 586 94 41.5 53.5 4.5

April 33.5 23.6 28.6 24.1 520 109 71.3 93.8 7

MIay 32.8 22.8 27.8 23.1 496 128 38.3 21.6 4.5

June 32.3 21.7 27.0 22.8 471 131 26.3 11.9 4

iuly 31.9 20.9 26.4 22.2 459 132 20.6 6.8 4

August 32.0 20.6 26.3 22.1 474 136 12.4 4.3 2.5

September 32.7 20.5 26.6 22.9 504 136 40.2 7.7 3

Octcber 33.6 21.8 27.7 23.7 524 126 32.0 28.0 3.5

November 33.5 22.7 28.1 24.1 532 83 90.3 101.6 8.5

December 34.2 22.6 28.4 23.8 550 74 55.2 65.7 7

Average or(total) 33.5 22.2 27.8 23.3 519 109 (472.6) (415.8) 4-5

Period(years) 8 8 8 8 8 5 11 14 14

-_-_ _-_ _-_ _-_ _-_ _-_ _ __-_ _-_ _-_ _-_ _-_ _-_ _ __-_ _-_ _-_ _-_ _-_ _-_ _ __-_ _-_ _-_ _-_ _-_ _-_ _ __-_ _-_ _-_ _-_ _-_ _ __-_ _-_ _-_ _-_ _-_- - -_ - - - - - - - - - - - - - - - - - - - _- _ _- _ _- _ _-_- -_- -_3

ANNEX 2Table 2Page 1

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Summary of Yields - 1975 Crop Trials at Hola Experiment Station

1. Cotton

Varieties Seed Cotton Ginning Lintkg/ha % kg/ha

Capa Acala 5,140 38.3 1,969CA(70)43 5,173 37.5 1,940Acala 1517-D 5,082 35.7 1,814Acala 3080 4,804 38.1 1,830Deltapine 16 5,427 38.9 2,111Deltapine 45-A 4,962 40.4 2,005Stoneville 7-A 5,116 39.9 2,041UKA59/240 5,011 32.1 1,609

2. Maize - / Cowpeas

Yield Maize, Maize Maizeno inter- interplanted interplantedplanting with cowpeas with green gram

Maize Cowpeas Maize green gram

Average)Yield ) 4,974 4,097 579 4,291 219(kg/ha))

Crop )value/ha) 3,979 3,278 + 1,737 3,433 + 657(Ksh )2/

Total )crop ) 3,979 5,015 4,090value )(Ksh )

1/ Variety: Coast Composite

2/ 1 kg maize = Ksh 0.801 kg cowpeas = Ksh 3.-1 kg green gram = Ksh 3.-

ANNEX 2Table 2Page 2

3. Groundnuts (1974) 1/

Variety Yield Maturity(kg/ha, unshelled) (Days)

Shulamit 4,000 125Makulu Red 3,560 125Mani Pintar 3,260 125Kakamega 781 3,060 125Kakamega 778 2,420 125Natal Common 2,390 116Red Valencia 2,050 116South Nyanza 3,330 125

1/ 1975 results not available at date of preparation of table.

ANNEX 3Page 1

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Project Works

A. General

1. The Project (Map, IBRD 12226R1) would irrigate an undeveloped areaof 6,700 ha net by long-furrow irrigation. The water would be diverted bygravity from the Lower Tana River by means of a diversion and intake struc-ture located 9 km north of Nanigi village. This solution was compared byILACO with the alternative of a pumping station which would shorten theconveyance distance of the water by 23 km, thus reducing the capital invest-ment cost; the pumping alternative was economically less favorable becauseof higher annual costs due mainly to high costs of operation and maintenance.Also, the diversion structure as designed for the Bura Project would be ableto feed a possible future canal on the east bank of the river that would servea Tana Stage II irrigation development.

2. The comparison between pumping and gravity division is being reviewedand updated by the new Project consultants (MMP), but in view of increases inthe cost of fuel since ILACO's study was made (1973) it is expected that MMP'sconclusions will confirm those of ILACO. Before documents for a constructioncontract are finalized MMP would also review ILACO's designs of the river di-version works taking into account the requirements both of the present Projectand those of the proposed Stage II development on the East Bank of the riverfor which they would be undertaking feasibility studies. The cost estimatesfor the river works included in the Project have been prepared on the basis ofthe ILACO preliminary design drawings but, to allow for the cost of possiblemodifications, physical contingencies of 20% have been included. The descrip-tion of the river diversion works which follows (Section B) is based uponILACO's designs.

3. The irrigation system has been designed for field irrigation onlyduring the 12 hours of daylight. However, the intake on the Tana River andthe major irrigation canals (primary and secondary canal systems) wouldoperate on a continuous 24-hour basis. Night-storage reservoirs would feedthe minor canals which would operate only during the day.

4. The drainage system for the scheme has been designed for thedischarge of excess surface water consisting of rainfall run off, operationallosses and waste of irrigation water. The discharges originating from rain-fall would exceed by far those resulting from excess irrigation water.

5. The design criterion for drainage capacity is the discharge withina 24-hour period of the maximum 24-hour run off occurring once in 2 years.

6. Excess water in the canal system would be discharged into thedrainage system through escape structures and spillways planned at intervalsalong the main canal and at the tail ends of the branch canals and blick

ANNEX 3Page 2

feeders. Wherever possible, the existing lagas 1/ have been planned as maindrains. These lagas usually also drain a considerable area of land west ofthe main canal, and water from the irrigated area east of the main canalwould add only slightly to the peak discharges. All main drains would dis-charge into the flood plain of the Tana River, where they would link up withone of the natural drainage outlets.

7. The canals for the irrigation and drainage system are listed in thefollowing table:

Approx. Gross Design CapacityTotal Area Per GrossLength Served ha Caacity(km) (ha) (1/sec) (m /sec)

Primary SystemSupply Canal 46 7,300 1.1 8.0Main Canal 19 5,500 1.1 6.0

declining to 1,600 declining to 1.8Main drains 48 /1 1.2-0.3

Secondary SystemBranch canals 36 1,420 to 3,270 1.0 0.9 to 2.8

Tertiary System /2 /2Block feeder 60 /2 158 2.0 0.9Block drains 60 - 158 -2 4.0 1.3

Quaternary System /2 /2Unit feeders 280 /2 16 /2 2.7 0.15Unit drains 280 - 16 - 4.0 0.15

/1 within the Project area./2 minimum derived from standard field layout.

8. Although the information available on groundwater is scanty, nogroundwater problems are expected to develop in the Bura Project becauseof the great depth at which groundwater occurs at present (para 88).

9. Protective measures would be taken for the conservation of wild-life through the implementation of Project works (paras 89-93).

B. Diversion Works

10. A3diversion structure would ensure that the Project water require-ment of 8 m /sec (see Annex 7) passes the intake at all times during periods

1/ Lagas are natural watercourses which carry water only during the rainyseason.

ANNEX 3Page 3

of low flow in the Tana River. The diversion works to be located on the TanaRiver about 9 km upstream of Nanigi, (see Map, IBRD 12226R1) would comprise:

(a) a concrete spillway, 80 m long and approx. 4 m highwith a crest level at elevation 111.50 m;

(b) an intake structure with flushing facilities and anundersluice;

(c) adjacent flood dikes through the flood plain with acrest level at elevation 116 m, which includes anoverflow section of 1,300 m with a crest level atelevation 113 m situated in the flood plain on theleft bank;

(d) a concrete bridge, 2.5 m wide, resting on 2 piers,which would enable inspection vehicles to cross thespillway section;

(e) a sandtrap of about 40,000 m3 sediment capacity located at thehead of the supply canal, just downstream of the intake.

Diversion Weir

11. The location of the diversion weir was determined on the basisof the highest field level to be commanded, the canal gradient and the slopeof the river. Cost comparisons were made for the weir height in relation tothe canal length and for various combinations of weir height and canal slope.The following additional considerations contributed to the final selection ofthe diversion site:

(a) A relatively stable river section was selected, whichwould save costs for future river training works.

(b) The intake is located at the downstream end of an out-side bend in the river course in order to reduce theentry of sediments in the canal system to a minimum.

(c) The site chosen would permit the weir to be constructedin the dry in a planned cutoff through which the riverwould be diverted when the weir is completed. The radiusof the cutoff has been chosen in conformity with exist-ing river bends that are more or less stable.

12. The spillway capacity has been bassd on an estimated thousand-year frequency of flood discharge of 3,500 m /sec. The crest level of thespillway would be approximately 4 m above the present riverbed level. Thespillway width (length of the crest) has been fixed at 80 m.

ANNEX 3Page 4

13. A reinforced, post-tensioned concrete bridge of minimum dimen-sions would be constructed on top of the spillway, 2.5 m wide and suitablefor a 5-ton axle load. This bridge would allow direct access to the leftbank for inspection and repairs thus avoiding an 80 km detour over the nextriver crossing at Garissa.

14. In view of the high tailwater levels, either a concrete spillwayor a gated structure would produce very high backwater levels and excessiveflooding in the upstream reaches. Therefore, an additional overflow sectionhas been provided to pass the major portion of large floods. It would belocated on the left bank at elevation 113 m and would be 1,300 m long. Sincethe level of the upstream river-bank is 113 m, this overflow section wouldbecome operational when the river discharge exceeds 360 m /sec, which it isestimated ill occur on averaSe once every year. Of the design peak dischargiof 3,500 m /sec, some 2,450 m /sec would pass the overflow sector and 1,050 m Isec the concrete spillway.

15. The length of the overflow section could be considerably reduced ifa gated spillway were to be constructed. However, the cost of the overflowsection is much lower than the additional costs for the gates. Moreover, therisk that these gates would not be opened in time, either owing to neglector mechanical failure, should be avoided since a failure in timely operationof the gates would result in overtopping and certain destruction of the earthembankments.

16. A discharge of 750 m3/sec was taken for the design of the spillwaycrest shape (Creager profile) and for the stilling basin dimensions. Athigher discharges the flow would become submerged and less critical due tohigher water levels downstream. The design of the downstream apron (energydissipator) assumes erosion of the riverbed by 3.5 m during the first periodof operation. In subsequent years the riverbed would rise again to the pres-ent level and higher.

17. To reduce the seepage flow underneath the weir and the upliftpressure on the downstream apron, the weir would also be provided with anapron upstream of the spillway. Two rows of sheet-piling would furtherincrease the length of the seepage way.

18. Soil mechanics investigations of the foundation conditions forthe diversion weir and surroundings were made by means of 9 borings (10 to20 m deep) and 17 cone-penetration tests or soundings. Samples were takengenerally at 1 m intervals and analysed both in ILACO's laboratories andthose of the Ministry of Public Works. The laboratory tests includedpermeability, consolidation, triaxial and shear tests as well as sieveanalyses.

ANNEX 3Page 5

19. Generally speaking, the subsoil consists of a brown, clayey toplaxer 4 to 5 r thick, overlying sand layers of widely varying compactionand density. Under these sandy layers a very dense formation of lowpermeability was found consisting of cemented sand at both sides of theriver and in the river itself.

20. The foundation conditions for diversion weir and intake are good.Both would be founded on a hard, cemented sand layer with a low permeability,at some 3 m below the riverbed. Steel sheet piles would be driven along thefront of the spillway apron and of the upstream face of the spillway downto elevations 102.50 m and 100.50 m, respectively.

21. The concrete spillway and intake structure would be constructedin the dry at a distance of approximately 200 m from the river. Upon com-pletion of the structure a river cutoff woule be excavated and the river flowdiverted. The section of the river cutoff upstream of the spillway wouldhave a width of 82.5 m and a length of 450 m. Excavation would be to a levelof 108.0 m. The river cutoff downstream of the spillway would have a widthof 82.5 m at the botton and a length of 400 m. Excavation would be to107.5 m, i.e. the present average level of the riverbed. The slopes of theriver banks in the cutoff would be 1 : 2 and would be partly protected by drystone pitching.

22. A hydraulic model of the concrete diversion weir was constructedand tested in the Delft Hydraulic Laboratory (Netherlands). The shape andthe alignment of the weir as well as the length and type of bank protectionsdownstream of the weir were tested. The model was initially built accordingto a preliminary design prepared by ILACO (consultants); the final design ofthe weir is being adapted in accordance with the recommendations resultingfrom the model test.

23. A mathematical model was used to simulate the non-steady sedimentmovement in the riverbed and to determine the changes in the riverbed levelswhich would occur, both upstream and downstream of the structure, during thelifetime of the proposed weir. This investigation was carried out by theDe Voorst Laboratory of the Delft Hydraulic Laboratory. According to thismathematical study, during the first year after construction, the riverbedwould be eroded 4 to 5 m immediately downstream of the weir due to the block-ing of sediment by the 4 m high weir. During the following 50 or more yearsthe downstream bed might rise again by several meters. The final bed levelrise upstream of the weir would be about 2 m which would be reached about 5years after construction. At the Garissa bridge site the sedimentationprocess would take place more slowly; after 50 years only about 2/3 of thefinal value would be reached.

Intake Structure

24. The intake structure would be constructed with a hydraulic capacitycorresponding to the diversion requirements of a Project area ultimatelyexpanded to about 12,000 ha. Its design would also permit diversion to afuture east bank project. The structure would consist of the followingelements:

ANNEX 3Page 6

(a) an undersluice at the entrance to the intake;

(b) for irrigation: eight intake openings each with awidth of 1.90 m; and

(c) for flushing: one spearwall and three gates, eachconsisting of two leaves.

25. Four of the intake openings would serve the West bank area. Theother four intake openings would be used in future for irrigation on theEast bank. Two tunnels through the concrete spillway would convey the wateracross the river. For the time being, the exit of the tunnels on the eastbank would be blocked with masonry. The four intake openings on the westbank would be controllable by means of two sets of stop logs.

26. The sill of the intake openings would be located 0.30 m above thefloor of the flushing openings. The gates, with two spindles each, wouldbe operated mechanically from a platform that would also serve as a bridgeacross the intake structure.

27. The river transports a relatively large amount of sediment, manyparticles being smaller than 2 mm. The larger particles are transported inthe lower layers of the flow. In order to reduce maintenance costs for thecanal system, special provision would be made to reduce the entrance ofsediments. The design provides for an undersluice that would remove thelower layers before reaching the intake; it would operate uninterruptedly,except in periods of extremely low discharges. The most efficient modeof operation for various river discharges would have to be determined bymeans of sediment transport measurements during the years following theconstruction.

28. In addition to the undersluice, three sluice gates would be pro-vided to flush sediment deposits in front of the intake opening, particularlyafter periods of high river flow. During flushing the intake openings wouldremain closed. A long training wall would ensure effective flushing in frontof the intake openings. Each sluice gate would consist of two leaves. Theupper leaf would be opened only for flushing, at which time the undersluicewould be closed. The lower leaf would regulate the flow in the undersluice.During high river discharges the upper leaf would remain closed so as notto disturb the flow pattern in the river. The hoisting installation wouldserve both gate leaves.

Dikes

29. The dikes adjoining the concrete spillway would have a crest levelof 116 m and a length of 4.3 km. The spillway would raise flood levels up-stream. In order to prevent frequent flooding of the flood plain includingthe main stream to gradually bypass the weir, a protected overflow section

ANNEX 3Page 7

with a length of 1,300 m has been planned in the dike on the left bank.The flood protection dikes would be constructed of the silty clay foundon the flood plain, which is fairly impermeable. A toe filter would beprovided along the downstream end of the dikes on the East bank, as onlya small difference in head of water will occur there. The crest width of7 m would allow inspection vehicles to pass. The slopes of the dikesadjacent to the river would be I : 3 upstream and 1 : 2 downstream. Forthe dike through the flood plain, slopes of I : 2 have been planned.The funnel-shaped transition section, adjacent to the spillway, would beprotected by means of dry stone pitching from erosion by the high flowvelocity along the upstream face of the dike. All other slopes would beplanted with grass.

30. Subsoil investigations, made by means of shallow auger holesalong the dike alignment proposed across the eastern flood plain, revealedabout 3 m thick sandy and silty clay layers overlying clayey and silty sand.In case of complete saturation of the subsoil considerable settlement couldbe expected which would have to be provided for in the final design of thedike and its overflow section.

31. Upon completion of the river works and excavation of the cutoffthe river would be closed upstream of the dam axis. Closure would be facil-itated by the sand bank in the river at that location. The permeable sandlayers in the riverbed would be replaced by a clay core to prevent pipingin the dike section crossing the present riverbed.

Sand Trap

32. A sand trap at the head of the Supply Canal would be essential toavoid rapid silting of the canal network. Unfortunately, sediment depositscould not be flushed automatically and continuously back into the riverbecause insufficient head is available between the canal water level andthe average river level.

33. The design of the sand trap has therefore been based on mechanicalclearance of the deposited sediments by dredging. It is estimated that onedredger, working the year round, would suffice for this purpose.

34. The dredger, floating in the sand trap, would operate continuously,pumping the sediments through a pipeline back into the river downstreamof the diversion weir. For a brief initial period, sediments might be dis-charged onto the flood plain, but storage capacity there would soon be ex-hausted, so that sediments would have to be pumped through a fixed pipelinedirectly into the river which would transport them to its lower reaches.It would be important that the dredging operations should proceed withoutinterruption. Maintenance facilities would have to include a wide rangeof spare parts in stock.

ANNEX 3Page 8

35. The sediment content of the river flow (bed load and suspendedload) varies considerably with the magnitude of the flow and with the sea-son. The river discharges, particularly at the beginning of the rainyseason, contain large quantities of solids. Due to the effect of the under-sluice in front of the designed intake, however, approximately 85% of thebed load would bypass the intake, so that only 15% would enter the supplycanal. It has also been estimated that roughly 50% of the suspended loadwould enter the sand trap, of which 50% (the particles larger than 20 u indiameter) would settle in the trap and the remainder (the "fines" smallerthan 20 u) would be kept in suspension and enter the irrigation canal system.

36. The amounts of sediment expected to be trapped were estimatedon the basis of

(a) average monthly river discharges;

(b) corresponding bed loads and suspended loads; and

(c) intake flow requirements.

The minimum seliment storage capacity required has been deter3ined to beabout 40,000 m corresponding to a Supply Canal Capacity (8 m /sec) satis-fying the requirements of the Project area.

C. Irrigation Distribution System

Temporary Pumping Station

37. A temporary pumping station would be constructed to provide firstwater delivery earlier than could be provided by diversion at the weir. Firstwater3delivery by the pumping sSation would be scheduled for January 1980 at1.2 m /sec, increasing to 4.0 m /sec by January 1981. The pumping stationwould be sited close to the Nanigi weir site, pumping from the river intothe supply canal. "Flood-lifter" type diesel-driven pumps are proposed (24inch diameter, 1 m3/sec each, static head 4 meters, 4 in no. pumps), twoinstalled for January 1980 and a further two for January 1981.

Supply Canal

38. The 46 km long Supply Canal would run in a north-south directionstarting roughly at the 112 m contour at the downstream end of the sand trapand ending at the first branch canal offtake.

39. The design capacity of the Supply Canal excavation would be 8 m /sto meet the diversion requirements of the Project for 6,700 net hectares.However, the structures along the Supply Canal would be designed and con-structed for a canal capacity corresponding to an ultimate expansion of theProject area to about 12,000 ha.

ANNEX 3Page 9

40. A flood dike would be necessary along the first 5 km of the canalto protect it against high water levels in the Tana River. The Supply Canalwould cross four main lagas (Lagas Tula, Walesa, Gelmathi and Bilbil) throughinverted siphons. That at Laga Tula would be protected against faulty opera-tion at the canal intake by a spillway designed to release excess water.In addition, four minor lagas would cross under the canal through culverts.Run-off water from the higher land west of the Supply Canal would be inter-cepted by a collector drain running along the entire right bank of the canal.

41. The design of the Supply Canal has been based on the followingcriteria and considerations:

(a) the flow velocity should be such that no erosion occurs;

(b) the flow energy should be such that sediment particles which havepassed the sand trap would be kept in suspension as much as possi-ble. In periods of low water demand, however, siltation is unavoid-able, especially in front of the check structures;

(c) a Manning-Strickler roughness coefficient K = 40; and

(d) the cross-section of the canal should suit construction with heavyequipment.

42. The design water level in the canal has been kept slightly belowthe land surface, so as to eliminate the risk of local tribesmen breachingthe embankments to flood the adjacent grazing areas, as occasionallyhappens at the Hola Scheme. A berm of 1.5 m would be left between theexcavated profile and the embankments to facilitate clearing of the canalbanks by manual labour. For maintenance, the dredger used for cleaningthe night-storage reservoirs (para 61) would be employed.

43. A soil investigation was conducted along the canal axis at 1.5 kmintervals by auger borings 2.5_X deep. Except for a few sections with a

permeability coefficient of 10 cm/sec (approximately 0.1 m/24 hours),subsoil conditions along the greater part of the alignment were found tobe-Satisfactory, with permeability coefficients mostly of the order of10 cm/sec (approx. 0.01 m/24 hours) or lower. Sealing by silt carriedby the water would further reduce seepage losses, once the canal had beenin operation for some years. In order to cover the possibility of encoun-tering sandy subsoil (for example at laga crossings), the cost of lining2 km of canal with clay has been included in the cost estimate. Depositsof gypsum are being worked near Nanigi for cement production and the con-sultants have examined the possibility of encountering gypsum on the lineof the canals. They do not expect to encounter gypsum in any quantity suf-ficient to give cause for concern regarding the stability of the works oradditional costs of construction.

44. At many locations, the main canal would cut into saline/alkalisubsoils. These soils are liable to dispersal upon wetting, but experienceat Hola indicates that this does not lead to excessive caving-in of theside slopes of canals.

45. The material excavated from the canal is generally suitable forthe construction of embankments. It may be necessary to discard the surfacelayers in some locations.

ANNEX 3Page 10

Main Canal

46. The Main Canal would be 19 km long, starting from the first branchcanal offtafe and would run in a generally north-south direction. Its capa-city (6.0 m /sec after the first offtake) would decrease progressively asdistribution is made to branch canals.

47. The design capacity of the Main Canal excavation, mentionedabove, meets the requirements of the Project for 6,700 net hectares. How-ever, the structures along the Main Canal would be designed and constructedfor a conveyance capacity corresponding to an ultimate expansion of the Pro-ject to about 12,000 ha.

48. The Main Canal would cross an important laga (Laga Hiraman) throughan inverted siphon. An escape structure with gates has been planned just up-stream of the siphon. This structure would allow the Main Canal to be oper-ated at full supply level during the first few years of operation when only alimited area would be irrigated; rapid silting would occur if the canal wereoperated according to irrigation demand during this period. The openings in theescape structure would act as an emergency spillway. In case of faulty opera-tion or blockage of the siphon, water would escape over the top of the gates.

49. A collector drain along the whole length of the canal would inter-cept surface run off from the west.

50. The general design criteria and the considerations regarding soilsinvestigations mentioned above for the Supply Canal apply to the Main Canalas well.

51. Offtake structures in the Main Canal would feed each branch canal.Two would be free offtakes where it is necessary to raise the water level inthe main canal. The other offtakes would be of the check-and-division type.The upstream water level at these structures would be regulated by stop logs.A locking system would be used to prevent the unauthorized removal of stoplogs.

52. At all the offtake structures the flow entering the branch canalwould be regulated by means of Romijn gates. This type of gate enables thesimultaneous regulation and measurement of the flow with the aid of one staffgauge which measures the water level in the Main Canal. Most of the offtakestructures would have separate gates to serve the blocks adjacent to theMain Canal.

53. To provide direct access to the Garissa-Garsen trunk road, mostof the above offtake structures would incli-r-- a bridge across the Main Canal.

Branch Canals and Night-Storage Reservoirs

54. Water would be distributed in measured quantities from the MainCanal to six brinch canals which would have a capacity ranging from 0.9m /sec to 2.8 m /sec.

55. The natural slope of the land in the direction of the branch canalsvaries from 1 to 3 m per km so that drop structures would be needed to main-tain non-erosive flow velocities. Water levels would be kept below ground

ANNEX 3Page 11

level wherever possible in order to reduce seepage losses and to discouragethe theft of water. For the design of the canals a Manning-Strickler coeffi-cient K = 40, a side slope of 1 : 1.5 and a freeboard of 0.40 m have beenused.

56. The end-division structure on each branch canal would containa spillway to allow excess water to be released without causing damage.This spillway would come into operation as soon as the offtake gates on thebranch canal were closed without the main canal offtake being simultaneouslyadjusted.

57. The branch canal offtake structures which distribute the water tothe block feeders would be of the check-and-division type. The check wouldconsist of stop logs, whereas the offtake flow would be regulated by Romijngates. The location of these offtake structures has been chosen to permitquantities of excavation and fill for the night-storage reservoirs to moreor less balance.

58. Night-storage reservoirs would be located adjacent to the branchcanals at the head of the block feeders, just upstream of the branch canalofftake structures. The embankments of the branch canal would also serve as adike for the reservoirs. These dikes would have a 1 : 1.5 side slope and acrest width of 3 m. The storage capacity of these reservoirs would be equalto the night supply for a block (gross ha x 1.0 1/sec per ha x 12 hours x3,600 sec/hours).

59. The reservoirs would have a minimum depth of dead storage of 0.50 m,an effective storage height of 0.75 m and a freeboard of 0.40 m. The inlet/outlet structure would be located close to the branch canal offtake structure.It would consist of a flat, wooden gate to regulate the water flow. Stop lograbbets for maintenance purposes would be included in the design. The gatewould remain closed during the night. During the day, when irrigation wouldcontinue, the gate would regulate the flow into the block feeder both from thereservoir and from the branch canal. In the course of the day, the gate wouldhave to be opened further from time to time as the water level in the reser-voir fell.

60. The width of the reservoirs has been set at 50 m to limit lossof land.

61. During maintenance work on the night-storage reservoirs, theblock feeder may be supplied directly by the branch canal so as not tointerrupt irrigation. By planning maintenance during periods of low waterdemand, the temporary closure of the reservoirs and the consequent loss ofnight-time water should pose no problems. It has been estimated that the0.50 m of dead storage would be filled with sediments in 3 years, requir-ing an annual clearance of some 40,000 m for the entire Scheme. Forsediment clearance from the night-storage reservoirs a small amphihiouscutter dredger would be used. At a capacity of approximately 50 m /hourone dredger, used 1,600 hours per year, would be able to do the work andstill be available for maintenance activities on the Main Canal (para 41)and as a standby for the dredging of the sand trap (para 33).

ANNEX 3Page 12

Block Feeders

62. Block feeders may supply up to ten unit feeders simultaneously(maximum 330 ha gross). Under-normal operational conditions each of theunit feeders would receive a standard supply of 75 I/sec. During the firstirrigation after planting this might increase to 150 I/sec (para 76).Division boxes along the block feeder would supply unit feeders with water.In view of the large number of division boxes required, the openings wouldbe made in prefabricated sections, each panel containing one opening 0.50 mwide. Simple attached gates would be used, allowing the opening to be eithercompletely open or completely closed.

63. The block feeders would be aligned at an angle to the contours toachieve a ground slope of 0.8 m per km. This slope would suffice to compen-sate for the head losses at division boxes - which occur at intervals of300 m - and to allow a water level slope of 0.2 m per km.

64. The design of the block feeders has been based on a roughnessfactor K = 35, side slopes of 1 : 1 and a freeboard of 30 cm.65. The crest of the upslope embankment would be 1.0 m wide, whereasthe embankment on the downslope side, which serves as a road, would havea width of 4.5 m. In cases where this road provided access to a village,the width of the embankment would be increased to 6.0 m, 4.5 m of whichwould be surfaced road. At the end of each block feeder a spillway sectionhas been planned, allowing the discharge of excess water into the adjacentdrain. This spillway would prevent the embankments from overflowing incase the offtakes to the unit feeders were closed prior to the adjustmentof the gates in the branch canal offtake structure.

Unit Feeders

66. The unit feeders would be supplied by the block feeders througha culvert under the block road. The flow in the unit feeder would beblocked by portable checks and then siphoned to the furrows. At the endof its length the unit feeders would connect with the block drain.

67. The unit feeders would follow the natural east-west slope of theland, a slope which varies between 1 and 3 m per km. The water level wouldbe maintained at 0.20 m above the adjacent ground level. For the designa roughness factor K = 30 has been used. The profile would be triangular,to permit construction by ditcher.

68. Under normal operation, at a supply of 75 I/sec, the freeboardwould measure 0.20 m. At a supply of 150 I/sec, the freeboard would bereduced to 0.10 m.

69. The dike crest on the downhill side, over which water is siphoned,is 0.60 m wide. On the opposite embankment a 4.5 wide non-surfaced fieldroad would be laid.

ANNEX 3Page 13

Field Irrigation

70. The field layout has been planned for irrigation during 12 daylighthours using 285 m long furrows. The 1.25 ha net holding of a farmer wouldmeasure 45 m x 285 m and would comprise 50 furrows spaced 0.90 m apart.Twenty-four of these holdings would be grouped in a unit of 300 m x 1,100 m33 ha gross (approximately 30.5 ha net).

71. The topographical characteristics of the Project area are suitablefor furrow irrigation. It has been shown at Hola that the right range forthe slope of furrows is between 0.5 and 1.5 m per km. This can generallybe attained with a minimum of earthmoving by adjusting the layout to takeadvantage of natural slopes.

72. The moisture storage capacity of the soils in the Project areavaries between 75 mm and 100 mm (15 to 20% volume storage between fieldcapacity and wilting point) with a 0.50 m rooting zone. An average storagecapacity of 84 mm would cover a 14-day peak demand period (peak net irriga-tion requirement is 6 mm/24 hours in May; see Annex 7, Table 1). Assuminga field irrigation efficiency of 87.5%, a gross application depth sf 95 mmwould be required which corresponds to a volume of water of 24.4 m perfurrow; it would be applied in about 5 hours with a furrow stream of1.35 1/sec.

73. The conditions described in the previous paragraph reflect averageconditions and would not be of general application to the whole Project area.However, the calculated water application obtained above conforms to theexperience obtained at the Hola Scheme, where 250 m to 300 m long furrows areirrigated successfully under very similar conditions of topography and soils.Actually, in experiments at Hola gross applications of 76 mm were appliedat 18-day intervals; field irrigation efficiency is reported to have been 90%to 95%.

74. Under average conditions on the Bura Project, two holdings would beirrigated per day in 10 hours out of 12 hours available, permitting a 20%allowance for cases which are not average and would need a longer applicationtime. At the average rate of 2 holdings per day, the 24 holdings comprisedin a unit would be irrigated in 12 days, leaving 2 days of the 14-day irriga-tion cycle as an additional reserve of 16% of the time; the total built-inallowance for cases different from average or for delays would therefore beabout 40%.

75. The water would reach each holding through the "unit feeder", thesmallest irrigation canal in the system. As shown in Chart, World Bank16059, the unit feeder would be located along the narrow, higher end of therectangular holding. For irrigation of the field, the water would first bebacked up in the unit feeder by a portable check gate to provide a constanthead. The water would then be siphoned to the furrow by means of a flexiblesiphon tube (2.5 m long, inner diameter 1.5 inch) delivering a furrow stream

ANNEX 3Page 14

of 1.35 1/sec when operating under 0.20 m head. Two sets of 50 siphon tubesand two portable check gates would be made available per unit, one set to beused by the farmer irrigating his holding and the other set to be shifted froma completed holding to the plot next in line.

76. Zones of shallow soils would require water in more frequent appli-cations each of shorter duration, because of the reduced storage capacityavailable. For instance, a root zone only 0.30 m deep would require about52 mm application depth, each application lasting about 3 hours on an irri-gation cycle of 8 days. Applications on these soils would be achieved withthe same unit feeder capacity and with the same number of siphons, namely:

50 siphons x 1.35 1/sec = 67.5 1/secexcess capacity 7.5 1/sec

Minimum capacity neededfor unit feeder 75.0 1/sec

77. A special case is the first irrigition of any crop; it would requirea water application of 150 mm or about 30 m per furrow, according to experi-ence obtained at Hola. With a furrow stream of 1.35 1/sec, some 8 hours wouldbe required per irrigation run or 24 days to complete the pre-planting irriga-tion of the whole unit. This long period of time would make it more difficultto prepare the whole Project area in time for planting each crop and/or requiremore equipment. For this reason, a unit feeder design capacity of 150 1/secwas selected in order to feed 100 siphons at a time and complete pre-plantingirrigation of a unit in 12 days.

D. Drainage System

Surface Drainage

78. The drainage system would have to evacuate surface water originatingfrom:

(a) rainfall run-off from the cultivated Project area;

(b) rainfall run-off from higher land situated west ofthe Supply and Main Canals (cross-drainage);

(c) unavoidable operational losses;

(d) wasteful irrigation practices.

By far the major flows to be drained would be those cross-drained from outsidethe Project area through the beds of lagas. The catchment areas of ihe mainlagas va5y from a few hundred square kilometers (Laga Bilbll; 338 km ) to3,666 km in the case of Laga Tula and even more (5,631 km ) for Laga Hiraman.

ANNEX 3Page 15

The peak discharge per km expected once evlry 25 years varies with the sizeof the catchmeni area, from 20 1/sec per km for the largest watersheds to80 1/sec per km for Laga Bilbil, according to estimates made by the Ministryof Water Development. This agency has also calculated that floods with aprobability of once in 100 years would have discharges 50% higher than thoseof 25-year frequency floods.

79. Since the values indicated above are calculated and insufficienttime would be available before Project implementation to confirm them byactual flow measurements, adequate safety margins would have to be allowedat final design stage for the selection of design floods in lagas.

80. The structures for the laga crossings would be generally overpassesover the canal, or alternatively the irrigation canal would cross the lagaunderground by means of an inverted siphon. Only small lagas would cross thecanal in culverts. The cross drainage structures were mentioned above underthe headings Supply Canal and Main Canal; an additional reference to them isincluded under the heading Wildlife Conservation Works (paras 90-94).

81. At places where the inspection road along the Main Canal crossesthe lagas, "Irish bridges" would be constructed, i.e. surfaced road sectionsslightly above the bed level, which would be submerged periodically duringthe rainy season.

82. The discharge in the interceptor drain running along the rightbank of the canal would cross the supply and main canals at regular intervals.Where possible, the laga crossings would be used for this purpose. In othercases, drainage culverts passing underneath the canal would be built and con-nected with a main drain of the scheme. A total of five such drainage cul-verts has been planned.

83. Surface drainage requirements resulting from rainfall exceed byfar those resulting from excess irrigation water. Capacities have been deter-mined, therefore, on the basis of excess rainfall discharge requirements. Thecapacity would be large enough to discharge within a 24-hour period the maxi-mum 24-hour runoff occurring once in 2 years. The corresponding drainagefactor has been determined as follows:

- design rainfall 52 mm- storage (assuming previous

rainfall or irrigation) 17 mm- to be discharged in 24 hours 35 mm- drainage factor 4 1/sec/ha

84. This drainage factor also suffices for the discharge of the maximumrainfall occurring once in 3 years during longer periods. With the plannedfreeboard of 0.20 m, drains should also have a sufficient capacity to dis-charge at full bank level the rainfall occurring once in 5 years.

85. At the lower end of each farmer's holding excess water would beintercepted by the unit drain. These drains would be constructed as shallow

ANNEX 3Page 16

(0.50 m) grassed waterways with gentle side slopes (1 : 3) in order to permitthe passage of field equipment.

86. Unit drains would discharge into block drains. The latter wouldrun parallel to the block feeders at an average slope of 0.8 mm per km. Sideslopes would be 1 : 1.5 and the roughness factor has been fixed at K = 30.Maximum shear velocity should not exceed 0.09 m/sec. A freeboard 3of 0.15 mhas been designed for block drains with a capacity of up to 0.5 m /sec.Larger drains would have a freeboard of 0.20 m. The dimensions of blockdrains would vary, depending on the number of unit drains they collect;minimum depth and bottom width would be 0.50 m.

87. Block drains would discharge into main drains; the latter wouldrun in a west-east direction with the slope of the land towards the river.

88. Main drains run at a 1-2% slope and develop erosive streamvelocities at peak discharges. Since the prevention of erosion is expensiveand requires many check structures, the drains have been made extra wide toreduce the shear velocity and to allow for the occurrence of some gullyingbetween the embankments.

Groundwater

89. From the scarce data available it can be concluded that groundwaterin the project area occurs only at great depth. The groundwater table wasnever reached by the 20-30 m borings near Korokora during the 1967 survey.Saline groundwater was reportedly found at a depth of 45-60 m in someexploration borings at widely dispersed locations. It may safely be assumedthat groundwater does not occur above Tana River waterlevels, i.e. at depthsof 15-30 m or deeper under the project area, and that the water tableprobably occurs at much greater depth. Although no quantitative predictionscan be made about a possible future rise of the groundwater table due todeep percolation from the irrigated fields and seepage from canals, theavailable data warrant the conclusion that the soils and subsoils in thearea have a low permeability. Therefore the over-all groundwater rechargerate resulting from irrigation should be low. In spite of the above consi-derations, which are rather encouraging with respect to the future ground-water table level, no risks should be taken. The groundwater levels shouldbe systematically observed from the start so that control measures can beintroduced if and when needed. The question of the possible rise of thegroundwater table is a very important one in the long term, and should betreated with care. In the short term, however, it is considered to be ofless importance. In the eventuality that the groundwater would tend to reacha critical level, a deep drainage system could be introduced. The longitu-dinal form of the project area parallel to the river, and the prevailinggradient toward the river, would make the construction of such a systemrelatively inexpensive. Since the system either would not be necessary atall or would be required only after a long period of irrigation (10-30 years)the cost of siwh works would not significantly influence the present econo-mics of the proj;ect.

ANNEX 3Page 17

E. Wildlife Conservation Works

90. Among the measures that would be taken to attempt to mitigatethe impact of Project implementation on wildlife, two would require theconstruction of civil works. These are the construction of drinking poolsalong the Supply and Main Canals and the provision of crossings for gameover the Supply Canal.

91. The drinking pools would serve game that would find their customaryaccess routes to the river blocked by the irrigated fields of the Projectand/or major canals. Some of them might also provide for livestock water-ing. The pools would be located at least 300 m west of the canals at dis-tances of about 4 km apa5t. They would be shallow (about 1.5 m deep) withan area of about 2,000 m and be fed from the Supply or Main Canal throughburied pipes.

92. The canal designs provide for inverted siphons to carry the canalacross all major natural cross-drainage lines. These will provide an oppor-tunity for wildlife to cross the supply canal along the beds of the lagas.

93. Additional wildlife crossings of the Supply Canal would be requiredand it is proposed that fords through the canal be provided for this purpose.These fords or drifts would have reduced side slopes, and a surfaced canalbottom to prevent animals becoming "bogged."

94. Initially, three fords would be provided at locations to be deter-mined at the time of construction of the canal following discussions withWildlife Service personnel and the Tana River Development Authority. Allow-ance has been made in the estimates for a further four ford crossings whichmay be built after the canal has been constructed, if additional sites ofhigh challenge are noted.

F. On-Farm Development Works

95. This work involves bush clearing, land leveling and the constructionof unit feeders, unit drains and unit roads.

96. The bush consists mostly of shallow rooted trees and shrub whichcan be cleared easily by means of a bulldozer. To the extent possible felledtimber would be saved for fuelwood.

97. Land leveling would not involve much large-scale earth movement,since most of the slopes are already of a fairly even and continuous gradeover a 300 m length of run and therefore suitable for long-furrow irrigation.Soil conditions permitting, local corrections of unfavorable slopes may beconsidered, however, so as to arrive at a more efficient field layout. In

ANNEX 3Page 18

the cost estimate this possibility has been covered by providing for earthmoving at the rate of 1,000 m /ha for 20% of the area.

98. In addition, the entire area would have to be corrected for smallirregularities in the natural slope by smoothing with land planes.

99. Unit feeders, unit drains and unit roads run parallel to each other.Spoil from the unit drain would be used as fill for the unit feeder. Thesesmallest canals would be constructed by a ditcher.

G. Roads

100. The implementation of the Bura Irrigation Scheme would go hand inhand with or be preceded by the construction of a road system. The mainelements of this system would consist of:

(a) Trunk Road Garissa - Garsen km

Improvements 188Realignment 36

(b) Access Road to the Nanigi Weir Site 22

(c) Internal Project Roads 1/

Along unit feeders 280Along block feeders 100Main roads on both

sides of branch canals 30Inspection road along Supply

Canal and Main Canal 65Inspection trails on top of

dikes 5

101. The Garissa-Garsen road (224 km) provides access to the Projectarea respectively from Nairobi in the north and Mombasa in the south. Atpresent, this road is a poorly maintained, non-surfaced road, which duringthe rainy season becomes impassable for lorries for periods of up to severalweeks. The Ministry of Works is studying the need to upgrade this road toall-weather status, but even in the most favorable case, improvements couldnot be expected to start before 1978 at the earliest. As the constructionof the Bura Irrigation Scheme is expected to start in 1977, it has beenplanned that, pending the provision of a better road by the Ministry of Works,minimum improvements would be carried out to the Garissa-Garsen road asnecessary to ensure year-round access to the Project area during the periodof construction and initial operation.

1/ In general internal roads would be unsurfaced except for the mainroads, mostly leading to villages.

ANNEX 3Page 19

102. The cement industry, with factories in Nairobi and Mombasa, isconsidering intensifying existing gypsum mining in the Nanigi area andtransporting the product to both factories in heavy trucks; obviously, thiswould require the reconstruction of the road to standards capable of carryingthe loads. If the road were not maintained adequately, the implementationof the Project could be paralyzed. An assurance has therefore been obtainedfrom the Government that the road would be maintained in accordance withsound engineering practices and that adequate budgetary provision would bemade for this purpose.

103. The present Garissa-Garsen road runs partly through the area to beirrigated. This section (36 km long) would be realigned to the west of theMain Canal.

104. The main roads along the branch canals form the principal trans-port axis within a section, with all block roads connecting to them. Theyrun in an east-west direction, and connect with the Garissa-Garsen trunkroad outside the area to be irrigated. This trunk road provides the mainnorth-south connection between the sections. To provide for North-Southcommunication between the sections within the irrigated area, mainly forinspection, servicing and for traffic between villages, bridges have beenplanned across the tail ends of all branch canals and main drains.

105. The main roads and the block roads leading to villages have a widthof 6 m, of which 4.5 m would be surfaced. 1/ All the other block roads, aswell as all the unit roads and inspection roads, are 4.5 m wide and non-surfaced.

H. Infrastructure

106. Adequate water supplies must be made available for the settlers andsatellite population. Proper sanitation arrangements are also required, andan electricity supply is required to supply the ginnery and other installationsat the headquarters town.

107. Water Supplies. In the villages it is proposed to provide communalfacilities for each group of twelve tenants' houses. These facilities wouldcomprise two showers, one for men and one for women, and two taps with aclothes washing slab. In the headquarters town individual connections wouldbe provided to all houses.

108. Three alternative water treatment and distribution systems wereconsidered as follows:

1/ Surfacing materials (murram, sand, or possibly a sand/clay/lime mix)would vary in relation to soil conditions and the local availabilityof materials.

ANNEX 3Page 20

(i) a central treatment works at the headquarters townserved by an intake from the main canal, with agravity distribution system to all the villages;

(ii) an individual treatment works at each village servedoff a secondary or tertiary irrigation canal with alocal distribution system; and

(iii) an intermediate solution between the above twoalternatives, providing separate treatment worksfor groups of four or five villages, togetherwith a more extensive distribution system thanin (ii) above.

109. A comparison of the total construction costs showed alternative(i) to be marginally preferable, and because of its lower operating costsand greater security of supply, this alternative would be adopted.

110. The system comprises a central treatment works served by an intakefrom the main canal. Cross regulation would be provided on the main canal toensure an adequate reserve of water in the canal when sections of it areclosed for maintenance. After full treatment, including sedimentation,filtration and chemical dosing, the water is pumped into a main storage tanklocated at a sufficiently high level to permit gravity distribution, takingadvantage of the general fall of the ground towards the river. 48 hours'water storage would be provided in the tower and storage tanks to preventany risk of schistosomiasis infection in case of breakdown of chlorination.

111. The distribution network would be constructed in PVC pipe tominimize head losses. The mains would be located in the road verges along-side the canals, and intermediate water towers and standpipes would be providedwhere necessary within the system to balance out peak demands.

112. Sewage Disposal. Sanitation in the villages would be provided byindividual pit latrines for each settler dwelling. In the headquarterstown, with its larger population, smaller plots and relatively intense dev-elopment, a full waterborne sewage system would be provided with centralizedtreatment facilities provided outside the development area. As ground fallsare limited, it is proposed to install a pumping station to convey sewagefrom the town to the treatment works.

113. The treatment works would consist of a series of three simpleearthwork waste stabilization ponds. The ponds would be open to the sunand air, treatment being primarily by the release of oxygen to the wastewaters by algal photosynthesis. The high air temperatures and high solarradiation at Bura provide ideal plant operating conditions, and this is there-fore the most economical and effective treatment method in the circumstances.The works would be located east of the town adjacent to the branch drain

ANNEX 3Page 21

which would facilitate initial filling of the ponds and the provision of a

gravity outfall for treated effluent to the branch drain. This location

would also ensure no odor nuisance to the residential area. Treated effluent

standards would be as follows:

5 day B.O.D. - 20 mg/liter

Suspended solids - 30 mg/liter

Coliform bacteria notto exceed - 5,000 organisms/100 mg/liter

114. Electricity Supply. Electrical power generation would be by means

of diesel powered units. The main electrical load would be the ginnery

operation, but power would be supplied to offices, workshops, houses and other

buildings in the headquarters town, together with street and security lighting

and water and sewage pumps. There would be no power supply to the villages.

115. The exact composition of the generating system would be decided at

detailed design stage, but it is anticipated that the total installed capacity

would be about 2,000 KVA using 3 x 500 KVA and 2 x 250 KVA generators.

The generating plant would be located adjacent to the ginnery to minimizethe costs of the distribution system.

116. Distribution would be at 11 KV within the township via step-up

transformers at the plant as the distances for distribution are up to 2 km.Pole-mounted substations would be located at load centers to provide finaldistribution at 415/240 volts. General distribution would be overhead

with the final connections to residential properties by underground cable.

May 13, 1977

KENYABURA IRRIGATION SETTLEMENT PROJECT

STANDARD FIELD LAYOUT

AVERAGE 1300 M

UNIT FEEDER FARMER'S HOLDING\X\\, UNIT FEEDER - \

0~~~~~~~~~~~~~~~~~~~~~~~~~~

UNIT DRAIN \ 50 FURROWS (45 M) \

ROADS

World Bank-16059

Xrn, >

ANNEX 4Table 1

KENYA

BUgA IRRIGATION SETTLEMENT FEOJECT

CaPital Cost S. rv of Irrixation Works

Unit Local Foreign Total Local Foign Total % Foreign

Unit Ossotitv Coot - -- Ksh '000 ---------- -us$'000-------- - Echange

1. Rivr Works

Escavotion ao3

417,000 25 4,691 5,734 10,425 562 686 1,248WeIr Fo. dation (IheP sam) 1,534 1,876 3,410 184 224 408

Sheet Piling i3

3,900 350 614 751 1,365 73 90 163

Concrete (Spilliay) i3

9353 1,670 7,029 8,591 15,620 842 1,029 1,871

Concrete Stroctoros a3

2,833 2,100 2,677 3,273 5,950 320 392 712

Gates and Stoplogs (IUDP son) 337 413 750 40 50 90

Efoerbank Protection a2

42,800 160 3,082 3,766 6,848 369 451 820

Teporary Bridge, etc (lpap s) 630 770 1,400 75 93 168

Clearing JuPgle ha 40 12,500 225 275 500 27 33 60

E.cavatian is3

25,300 25 281 348 633 34 42 76

E-cavation and Fill m3

198,300 30 2,677 3,272 5,949 321 391 712

Over-flT Protection i3 20,150 225 2,040 2,494 4,534 244 299 543

Cr000 Cooer to Dykes ha 8 59,500 214 262 476 25 32 57

Flood Protectien at Canoes (lamP oem) 247 303 550 29 37 66

CampS ond Offices (IUDP son) 590 710 1,300 71 85 156

Slb-Total 26,872 32,838 59,710 3,216 3,934 7,150 55

II. Te-p-rarY P-iPing Station

Civil Works (icop scm) 504 1 546 1,050 60 66 126

Supply sod Delivery of Plast (IUDP son) - 1,982 1,982 - 237 236

Tr-n pert and Erection of Plant (lamp Sam) 670 978 1,648 80 .117 197

Slb-Total 1.174 3,506 4,680 140 420 560 75

Ill. Slppy Canal

Clearing Jungl hi 300 2,450 331 404 735 40 48 88

E.cavatien and Fill 3

1,281,380 22 12,685 15,505 28,190 1,519 1,857 3,376

Clay Lining a3

28,000 45 567 693 1,260 68 853 151

Saed Trap Strectures i3 274 1,188 135 166 301 16 20 36

Ceocrete Strectures 3

1,815 2,100 1,715 2,096 3,811 205 251 456

CStel-ork, Gates. tc. tonne 6.5 15,000 42 55 97 5 7 12stone Pitmhig a

31,850 480 400 488 888 48 58 106

E Pitcting i3

65.600 21 620 758 1,378 74 ,.1 .i.

Sob-Total 16,495 20,165 36,660 1,975 2,415 4.390 S5

IV. Main Canal Eirthlorks

Cle-ring h5 113 2,450 125 152 277 15 18 33

Efcevation nod Fill m 35,200 22 3A496 4 274 7 77n 41± 512 931

Sub-Total 3,621 4,426 8,047 434 530 964 55

V. Main CGne1 Structures

focavoties t3

20,400 21 193 235 428 23 28 51Coscrtre o

31,125 2,100 1,063 1,300 2,363 127 156 283

Gater, Steelvork (lamp see) 55 70 125 7 S 15

Stoe Pitching sO 1.346 480 291 355 646 35 42 77

lob-Totel 1,602 1,960 3,562 192 234 426 55

VI. Ir-iation Net-ork

E-cavatior and Fill i3

1,270,080 17 9,715 11,875 21,590 1,164 1,422 2,586

Encavation a 19,000 15 128 137 285 15 19 54

Ceocre to m3

1,620 2,100 1,531 1,871 3,402 183 224 407

Stone Pitching i3

3,750 400 675 825 1,500 81 99 180

Gatra and Strplofs No. 82 4,500 166 203 369 20 24 44

Mlscellaneous (mIVP son) 41 51 92 5 6 11

Fern Ditchee and Drains, Access XK. 280 9.500 1.197 1.463 2,660 143 175 318

Spb-Total 13,454 16,444 29,898 1,611 1,969 3,580 5S

VI. O.-Farm LDvelopPert

Land Cleoring ha 7,300 1,068 3,508 4,288 7,796 420 514 934

Laod Levelling ha 7.300 2.100 6.898 8.432 15.330 826 1 Rlh 1 825

Sob-Total 10,406 12,720 23,126 1,246 1,524 2,770 55

VIII. Wildlife Conservation

Drinkifg Polas No. 11 19,700 98 119 212 12 14 26

Ctnal Creasing No. 3 160,000 216 264 480 26 31 57

Other Works (lamp sVm) 3b 44B 815 4l 514 97

Slb-Total 681 831 1,512 01 99 100 55

IX. Roads and Airfields

Garise-Gfarsen Road (lamp Sam) 4,578 4,578 9,156 550 550 1,100

Nanigi A-ces Rood (lamP son) 420 420 840 50 50 100

Maint-nance (lsp son) 1,134 1,134 2,268 135 135 270

Projoct foods (Ilap son) 1,050 1,050 2,100 125 125 250

Ainftoldo (lPDP ann) 420 420 840 50 50 100

GSb-Tot.l 7,602 7,602 15,204 910 910 1,820 50

Base Cont 81,907 100,492 182,399 9,805 12,035 21,840 55

May 11, 1977

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Capital Cost Susmmary of Buildings. Utilities and Infrastructure

Unit Local Foreign Total Local Foreign Total E ForeignUnit Quantity Cost -- Ksh'000 --- ---------- USS$O00- ---------- Exchange

I. SETTLERS' DWELLINGS No. 5,150 4,000 16,480 4,120 20,600 1,972 493 2,465 20

II. OFFICES AND WORKSHOPS

N.I.B. - - - 2,528 1,084 3,612 302 130 432Administration 535 230 765 64 28 92

Sub-Total 3,063 1,314 4,377 366 158 524 30

III. SPECIALIZED BUILDINGS

Multi-purpose Halls No. 24 42,000 655 353 1,008 78 42 120Police Station No. 1 800,000 520 280 800 62 34 96Police Posts No. 3 250,000 487 263 750 58 32 90Post Offices - - - 416 224 640 50 26 76Postal Agency - Telepnone - - - 65 35 100 8 4 12Health Center & Sub-Centers - - 50 670 1.920 150 80 230

Sub-Total 3,393 1,825 5,218 406 218 624 35

IV. SCHOOLS

Secondary - Boarding No. 1 2,000,000 1,200 800 2,000 144 96 240 4040

Primary No. 25 140,000 2,800 700 3,500 336 84 420 20

Sub-Total 4,000 1,500 5,500 480 180 660 33

V HOUSING

Principal Staff No. 10 310,000 2,170 930 3,100 260 111 371Senior Staff No. 44 180,000 5,544 2,376 7,920 664 284 948Junior Staff No. 362 63,000 15,960 6,840 22,800 1,911 819 2,730Other Staff No. 370 25,000 9,975 4,275 14,250 1,195 511 1,706N.I.B. Guest House No. 1 750.000 525 225 750 63 27 90

Sub-Total 34,174 14,646 48,820 4,093 1,752 5,845 30

VI. SEWERAGE SYSTEM

Mains and Pumping Stations 4,914 3,276 8,196 589 393 982 40Sewerage Treatment Plant 286 1,604 1,884 34 192 226 85

Sub-Total 5,200 4,880 10,080 623 585 1,208 48

VII. WATER SUPPLY 15,700 11,370 27,070 1,880 1,362 3,242

VIII. ELECTRICITY SUPPLY 1,400 5,600 7,000 160 670 830

IX. WAITCLEOUS WU= 2,220 950 3,170 266 114 380

TOTAL BASE COST 85.630 46A205 131.835 10246 77

May 11, 1977 Hll

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Itecoi.ed Coot Suomary of Plant. Machinery. Equipment and Vehicles 1/

Unit Local Foreign Total Local Foreign Total % ForeignNo. Cost --- sh'O0 ------------- ------------- US$'000------------- Exchange

I. FARM MACHINEZRY

Tractors (65 to 75 HP) 72 89 641 5,767 6,408 77 691 768Ploughs 32 11.5 37 331 368 5 39 44Harrous 17 13 22 199 221 3 23 26Land - Planes 6 43 26 232 258 3 28 31Ridgera 19 6 11 103 114 1 13 14Digger-Shakers 7 17 12 107 119 1 13 14Trailers 26 20 52 468 520 6 56 62Mobile Workshops 1 179 18 161 179 2 19 31Mobile Lubricatios Units 2 153 31 275 306 4 33 37Spare Parts and Special Tools (luip sum) 170 1,528 1,698 20 183 203

1.020 9.171 10.191 122 1.098 1.220Sub-Total

9O

II. HEAVY MAINTENANCE EQUIPMENT

Dragline 2 1,000 300 1,700 2,000 36 204 240Crawler-Excavator 1 590 90 500 590 11 60 71Cutter-Dredgers 2 1,050 160 890 1,050 19 107 126Bulldoeer-D6 1 770 115 655 770 14 78 92Coopactor/Vfbrator 1 228 34 194 228 4 23 27Loader-Excavator I 306 46 260 306 5 32 37Front-End Loader 1 532 80 452 532 7 57 64Graders 2 640 190 1,090 1,280 23 130 153Tipper Wagons 4 180 108 612 720 13 73 86Tractor 1 100 15 85 100 2 10 12Mobile Crane 1 789 118 671 789 14 80 94Lw Leader 1 584 87 497 584 10 60 70Land-RSvers 2 100 30 170 200 3 21 24Utilities 2 80 24 136 160 3 16 19Tanker-1200 Gallons 1 206 31 175 206 4 21 25Tanker-Trailers - 500 Gallons 2 35 10 60 70 1 7 8Water Pups 2 5 1 9 10 - 1 1Mobile Workshop 1 200 30 170 200 3 21 24Mobile Lebrication Unit 1 70 10 60 70 1 7 8Miscellaneome Enuip-ent (Snap o) 45 255 300 5 31 36Ditcher 1 120 18 102 120 2 12 14Ports and Tools (lu=p anI) 335 1,745 2,080 40 209 249

Sub-Total 1.877 10,488 12.365 220 1.260 1.480 85

III. VEHICEES

Vehicles, Nairobi Office 2 57 46 68 114 6 8 14 60Four-Wheel Drive Vehicles 30 85 1,020 1,530 2,550 122 183 305 60Pick-Up Trucks 114 43 120 482 602 14 58 72 60Lerriea 8 116 186 742 928 22 89 111 80Motorcycles 56 6 134 202 336 16 24 40 60Bicycles 211 1 63 148 211 7 18 25 70Spare Parts and Special Tools (lamp one) 284 664 948 34 79 113 70

Sub-Total 1.853 3.836 5.689 221 459 680 A3

IV. MISCELL4ANEOUS EQUIPMENT

Telecomuxicatione (lamp sum) 193 451 644 23 54 77Hydrological and Meteorological Equip.(lump sun) 193 451 644 23 54 77Workshop Machinery and Tools (loop s.o) 193 451 644 23 53 76 70

Sub-Total 579 1.353 1.932 69 161 230

TOTAL BASE COST 30,177 3.610 82

1/ Provisional, subject to modification after receipt of Project Planning Report.

May 11, 1977

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Itemized Cost Summary of Ginnery 1/

Unit Local Foreign Total Local Foreign Total 'I. ForeignUnit Quantity Cost ----=------Ksh'000 ----------- -----------US$'000----------- Exchange

GINNERY

Machinery and Electrical Equipment (lump sum) - 7,990 7,990 - 957 957

Delivery to Site (lump sum) 50 500 550 6 60 66

Erection (lump sum) 418 1,336 1,754 50 160 210

Buildings (lump sum) 4,560 18,235 22,795 546 2,184 2, 730

Other Works (lump sum) 2,146 5,177 7,323 257 620 877

Sub-Total 7,174 33,238 40.412 859 3,981 4.840 82

1/ Provisional, subject to modification after receipt of Project Planning Report.

M 1 X

May 11, 1977

ANNEX 5Page 1

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Public Health, Education, Institutions and Services

I. PUBLIC HEALTH

Background

1. The area to be developed under the Project lies along the TanaRiver and is composed of arid scrub land. Only the oxbow lakes along theriver banks and areas which are flooded seasonally by the river are nowcultivated. The Hola Pilot Irrigation Scheme, about twenty miles southof the project area, has been farmed for about twenty years. It provides ademonstration of Bura Project's probable ecological effects. The HolaScheme is heavily infested by urinary schistosomiasis, with large snailpopulations in the canal network. There is seasonal transmission of malaria,apparently reflecting intensive seasonal use of insecticides on cotton cropsand consequent partial control of the mosquito vector. Other tropical diseasesare present but not at alarming levels. Irrigation of the 6,700 hectaresunder the Project will substantially increase the magnitude of the snailhabitat and of mosquito breeding areas.

2. The Project area is now populated by the Pokomo/Malekote who areriverine cultivators and the Orma who are nomadic pastoralists. Abouta thousand people now reside in the area. Health services are provided bya District hospital at Hola which has 50 beds and an outpatient department;there are two dispensaries in the area with resident dispensers and "ad-ditional dispensaries" which are staffed periodically by workers from Holahospital. Schistosomiasis infection rates are estimated to exceed 70 percentin the age group 5 - 9 years; malaria infection rates are estimated to beabout 33 percent.

3. Almost nothing is known at present about the specific characteristicsof the future settlers. It is Government policy that they shall be selectednationally with preference points being granted to residents of-the District.Other selection criteria include the requirements that heads of householdsbe (a) male, aged 25-45, (b) unemployed or underemployed, (c) landless, (d)experienced in farming, and (e) able to supply four adult-equivalent workersfrom the household. The successful households are to be settled in villagespopulated by diverse tribal groups in the hope that this will reduce thepotential for emergence of tribal factionalis'. within the Project. Thesepolicies on recruitment and settlement of households are expected to resultin a broad sampling of nomads and settled riverine cultivators populatingthe new villages along with immigrants from other areas of Kenya. This in

ANNEX 5Page 2

turn poses the problem that persons who have not acquired natural immunity tospecific diseases are likely to reside near those who are heavily infected;unsophisticated sanitation habits and a lack of understanding of the healthproblems arising from the use of canal water for domestic purposes are thenlikely to compound problems of disease transmission. In particular, thenomads and riverine tribes are expected to have been infected with urinaryschistosomiasis and malaria but to have little tuberculosis or intestinalschistosomiasis. On the other hand the immigrants, especially those fromhighland areas of the country, are anticipated to be more heavily infectedby intestinal schistosomiasis and tuberculosis and to have little or noimmunity to malaria. During the period of land development nutritional stresswill be a persistent threat, increasing the potential seriousness of infec-tious diseases.

4. The selection criteria also ensure that the population will beyoung and that birth rates will be fairly high. Thus the diseases of child-hood and problems of maternal health will be particularly prominent. Villagi-zation and poor sanitation are also likely to compound these health problemsby facilitating transmission. The nomadic population is believed to berelatively free of fecally transmitted disease because of its continuousmigration and consequently interrupted contact with sources of contamination;however these people are particularly prone not to use sanitary facilities.The very hot, arid climate is likely to encourage bathing in the irrigationcanals with the result that schistosomiasis will be a grave hazard especiallyto children. Thus, a program of maternal and child health, health educationand the provision of village bathing and laundry facilities as an alternativeto the use of the irrigation canals for these purposes would appear importantif serious outbreaks of childhood diseases are to be avoided. The highpotential fertility of the settlers also argues for establishment of familyplanning services as rapidly as possible.

National Health Policies

5. The Kenyan model of rural health care is based upon modules whichprovide services to groups of about 100,000 persons. A district medicalofficer directs public health activities for the group from the districthospital where inpatient and outpatient services are also provided. Below thelevel of the hospital are four or five health centers and subcenters forsmaller groups of about 20,000 each which provide care to persons referred bylocal dispensaries. The health centers supervise environmental health activi-ties and promote health education and family planning. The center is distin-guished from the subcenter by its greater responsibilities in administrationof public health activities, and by its responsibility for operation of mobileconsultation services. The lowest level in the system is the local dispensarywhich serves groups of about 10,000.

6. The health care system is fully centralized administratively underthe jurisdiction of the Ministry of Health in Nairobi. Services are financedfrom national funds. The idealized pyramidal system has not been fullyimplemented but is being actively developed in rural areas.

ANNEX 5Page 3

Health Strategy under the Project

7. The health hazards of the Bura Project are particularly formidablefirstly because of the problem of nonimmune immigrants, secondly becauseof unusual nutritional and psychosocial stress initially, thirdly becauseof the youthfulness of the population and fourthly because of the hospitableenvironment created by the irrigation scheme for waterborne and water-relateddiseases. These extraordinary hazards represent genuine threats to theviability of the scheme and must be addressed if risks of collapse are tobe contained.

8. The health component has been conceived in phases which correspondto the major crises posed by the project. The first phase is concerned withavoiding fatal onslaughts on construction workers and new settlers who arenot immune to local diseases. It focuses primarily on malaria and urinaryschistosomiasis. It is planned that disease vectors and human reservoirs ofinfection for malaria and urinary schistosomiasis would be minimized throughapplication of insecticides and molluscicides, and by administering chemo-therapeutic drugs to current residents of the area. A program of food dis-tribution 1/ would complement the disease control activities. The programwould compensate heads of households for work performed in developing farmsand project infrastructure by credit advances of food and also of cash,which would be used to purchase other food stuffs from local merchants atcontrolled prices. It is intended to limit the initial arrivals to headsof households, with remaining members being brought in only as farms becomeproductive; there is a danger that efforts to control settlement could beonly partially successful and that the food distribution scheme might as aresult be overwhelmed.

9. The second phase would be directed towards minimizing the intro-duction of diseases by new settlers. Tuberculosis, intestinal schistosomiasisand contagious diseases of childhood are the most serious potential problems,though intestinal parasites wouldi also be likely to be serious among somegroups. Settlers would be screened for common diseases at the time of arr'valand immunizations would be administered wh re possible. Chemoprophylaxis orchemosuppression would be administered for malaria and perhaps urinary sc'Ais-tosomiasis. A program of disease surveillance is proposed, to monitor possibleoutbreaks of disease and to permit rapid response by the health care systemi.

10. The third phase would be devoted to development of a basic healthservice for the Project area. It would provide preventive, promotive andcurative care but would emphasize maternal and childhealth services andtreatment of trauma. The scheme would be modeled after the national strategyand would include two or three health centers, six dispensaries and twenty-four village-level surveillance workers. The village level units are inno-vative and are justified by the need to monitor infectious disease outbreaksbut also would be expected to offer first aid and health education, and to

1/ It is expected that the UN World Food Program would assist with theprovision of this food.

ANNEX 5Page 4

supervise sanitateion. The village surveillance workers would be recruitedfrom the villages and like other nonprofessional staff would be trained at thehealth centers for their role.

11. In addition to the services noted above, the Project would bedesigned to minimize contact with sources of infection. Villages would besited away from canals, bathing and clothes-washing facilities would beprovided, water supplies would be assured and latrines would be provided. Theacceptability of these efforts is uncertain and education is likely to benecessary for some time to adapt traditional behaviours. Sanitary watersupplies are clearly the highest priority since organic contamination ofsurface water is certain and the problem of disease transmission consequentlysevere. A centralized water treatment plant with piped distribution tovillages appear to be the least costly alternative in this area.

Health Care Proposals

12. Appropriate health facilities are dependent upon a knowledge ofthe type and magnitude of health problems. The proposed Project would causesubstantial alterations in existing disease patterns and could result in theintroduction to the Project area of exotic diseases. The health care pro-posals summarized below have therefore been based upon the results of studiesof the existing situation and of the probable impact of the expected eco-logical and environmental changes.

13. Health care facilities would be provided by a Health Center at thetown headquarters, three Health Subcenters located at "market center" villages,and Village Health Units in all other villages. The Health Center wouldprovide curative and preventative facilities and maternity and acute admissionbeds. It would also serve as a base for surveillance and control services,and teaching facilities.

14. The Village Health Units would be accommodated in a section of thecommunity center in each village and would be staffed by village healthworkers, providing initially limited curative and preventative services.The innovative nature of the rule of such workers would require carefultraining and supervision.

15. Two fifths of the Project population are expected to be childrenunder ten years of age, and the health care facilities would have to beparticularly directed towards maternity, child health and nutritionalservices.

16. The development of specific disease control programs would beconsidered an integral part of the developing health service rather than as anisolated service operating independently. Disease control programs, especiallyin the absence of national programs, would aim at reducing the morbidity fromdisease and increasing case detection and treatment rather than attemptingeradication.

ANNEX 5Page 5

17. The extent of the development proposals and the complexity of theexpected ecological changes strongly indicate that the normal level of healthservices applicable to other parts of Kenya should be augmented for theProject by the introduction of surveillance and control programs, so thatchanging patterns of disease can be identified and appropriate controlprograms instituted.

18. The future health care services for the Bura Project populationwould be greatly simplified by introducing surveillance and control programson the existing Hola Irrigation Scheme and neighboring communities, inadvance of the development of the Bura Project. In addition to reducingdisease prevalence in the area, this would permit the development of appro-priate techniques and provide training for future staff of the Bura Project.The Government would undertake this pre-development program as soon as theBura Project is approved.

19. Project designs and construction would take full account of thehealth implications of the development. Particular emphasis is placedupon village planning and design. The villages would be as far as possiblefrom irrigation facilities, untreated irrigation water would not enter thevillage and snail-free bathing areas would be available for children. Theprovision of treated water supplies as close to the individual homesteads aseconomically feasible would ensure a major improvement in health. Finally,good management of the Project would reduce the potential for mosquitoand snail breeding.

20. Health screening of tenants and their families would be carriedout on arrival in the Project area rather than in their place of origin.This would not only avoid the tenants considering health screening as anobstacle to their selection, which might result in evasion and corruption,but would also demonstrate to them that health care on the Project is amajor consideration. Health screening on arrival in the Project area wouldalso provide the necessary basic information upon which to establish thehealth care service.

21. Health care services to the labor force of the construction workswould, where possible, be provided by the developing Project facilities.Mobile services would be required for the labor force, but other labor con-structing the diversion structure would use the Health Center, which wouldbe constructed by late 1978.

22. The development program would also take account of the healthcare facilities needed for people outside the Project area. These wouldinclude the informal sector population and the remaining groups of theriverine Pokomo and nomadic Orma, who might be adversely effected by thedevelopment program unless adequate precautions are taken.

ANNEX 5Page 6

Project Costs

23. The costs of the health component inclusive of recurrent costsfrom 1977-78 through 1981-82 are estimated to be approximately Ksh 8,200,000(US$990,000). About Ksh 2,740,000 would be spent on structures and vehiclesand the remaining Ksh 5,460,000 on salaries, supplies and maintenance.

24. A substantial proportion of outlays for salaries and operationsare assignable to predevelopment and development phases of project implementa-tion. These activities are intended to minimize the initial threats of communi-cable disease until immunity can be acquired and nutritional and psycho-socialstress are controlled. It is estimated that approximately 70% of thesecategories of expenditure or about Ksh 3,500,000 should be regarded as invest-ments in the development of the scheme.

25. Upon full development of the area, health care and related activitiesare expected to cost approximately Ksh 1,590,000 annually or about Ksh 27 percapita a year. About 40 persons would be employed by the system and an addi-tional 20 would serve as village surveillance workers on a part-time basis. Inaddition Hola hospital would function as the administrative, inpatient andreferral facility for the area; it is being upgraded at present underNetherlands bilateral assistance.

26. It is estimated that the cost of a water supply system served by acentral treatment works would be about Ksh 27,000,000. This is based on anarrangement providing two showers and two taps with a washing area for eachgroup of twelve houses in the villages, and allowing for a per capita con-sumption of about 80 liters/day. Introduction of latrines may be difficultbecause of cultural practices of some of the tribes. The Hola Pilot Irrigationscheme has successfully introduced pit privies but they have been responsiblefor increased breeding of mosquitoes. It is proposed to construct latrinepits using mechanical augers and provide cover slabs. These latrines wouldbe installed in advance of reconstruction of settler houses at the villages.The cost of this work has been included in the estimate of Ksh 3,000,000provided for minor village works. The specifics of a waste disposal schememust await more information on settlers and settlements.

Administrative Arrangements

27. It is proposed that a committee would be formed in the Ministryof Health to take ultimate responsibility both for this Project developmentand other local development programs, in close cooperation with the NationalIrrigation Board and the Tana River Development Authority. The health serviceswould be administered locally by an experienced public health officer and asenior clinical officer who would liaise closely with the Project managementand the local administration through the proposed Bura Development Council.

ANNEX 5Page 7

II. EDUCATION

Government Policy

28. The long term objective of the Government's education policy is

free and compulsory primary education. At the same time the necessity to

balance the content of education at different levels against the demands

which different sectors in the economy will make for particular skills has

been perceived. To this end it is intended that the secondary classes at

the top end (Forms V and VI) will be rationalized and the numbers of Form

IIIs, to which entry will be by competitive examination, will be increased.

In addition there will be increased emphasis on applied vocational subjects

such as agriculture, home science and business studies in secondary educa-

tion.

29. The whole field of education is being reviewed at present by a spe-

cially appointed committee. Their report has not yet been released but it is

expected to call attention to vocational training, village polytechnics and

education extension programs. To accommodate children who are unsuccessfulin the examination for entrance to secondary school and to accommodate them

up to the age of 16 the desirability of extending the primary range by twofurther grades is being considered. Thus grades 8 and 9 would be specifi-

cally orientated toward the acquisition of vocational skills. This devel-

opment would have a very important implication for the Bura Project.

Special Project Considerations

30. The selection criteria of the Project are likely to result in a

higher than normal proportion of school age children with a preponderancein the younger age groups of primary school age and a relative scarcity ofsecondary school age children.

31. Construction of the primary schools under the 'Harambee' system,

together with the fact that the Government has remitted all primary schoolfees for the Tana River District, are likely to result in high usage rates

of the facilities provided.

Primary School Requirements

32. The primary school requirements have been calculated on the basisof village population projected to 1983 as shown below:

ANNEX 5Page 8

EstimatedType of Town/ Initial Projected Children of Primary Number

Village Population Population (1983) School Age (1983) of Classes /

HeadquartersTown 1000 4500 1100 25

Market CentreVillage 1942 2200 733 15

Local CentreVillage 1846 2074 691 14

Sub-local CentreVillage 1750 1967 656 13

/1 Assuming 20 percent absenteeism and 40 children per classroom.

33. The building and staffing requirements based on this data are asfollows:

(a) In each of the 23 villages a double stream schoolcomprising 14 classrooms (40 children) would bebuilt under the 'Harambee' system. At each schoolthe staff would comprise a Headmaster, DeputyHeadmaster and 13 teachers mainly in P2 and P3grades. The total staff requirements at fulldevelopment (1983) are given below.

(b) The headquarters town would require two doublestream primary schools, with similar staffing tothose in villages. Total staff requirements aregiven below:

Villages Headquarters Town Total

Headmasters 23 2 25

Deputy Headmasters 23 2 25

Teachers P1 23 2 25

Teachers P2 and P3 276 24 280

Clerical 23 2 25

ANNEX 5Page 9

(c) The secondary schooling requirements of the Proj-

ect would be catered for by one triple stream board-

ing/day establishment with full facilities for Forms

I to 6, located in the headquarters town. It would

accommodate about 600 students and would be built

by a contractor in the second year of the implemen-

tation program, to be ready for pupils in 1981/82.

The staffing of this school would be as follows:

Headmaster and Deputy Headmaster

14 Teachers (graduate and Grade Si)

6 Supporting Subordinate/Junior Staff

III. ADMINISTRATIVE SERVICES

34. The Project would be unique in Kenya in its size and its need for

a wide range of Government services. It would nevertheless remain an entity

within a larger administrative unit and would therefore be integrated with

the national development strategy, as well as the local administrative frame-

work. This requirement would be achieved through the development of the

services described below.

35. District Administration. A skilled and experienced administrator

would be needed to ensure coordination between the services provided by

the various Government departments. The Project would be treated as a sub-

district administered, under the District Commissioner, by a senior District

Officer with one Administrative Assistant.

36. Local Administration. It is of paramount importance that the pro-

cesses of community development and tenant guidance in matters such as health,

education and co-operatives are catered for. In each village a structured

community would be developed with representation on a Village Committee.

These committees would fall under the hierarchy of Chiefs at the Market

Center Villages, (who would answer to the District Officer), and Sub-chiefs at

each Local Center Village.

37. Police. One Police Station would be established in the headquar-

ters town, fully equipped with vehicles and radio communication, and inde-

pendent of the Hola police station. It would have authority over the whole

Project area and adjacent riverine areas and gazetted forests up to Nanigi

diversion structure. This is justified given the size and importance of the

Project.

38. Prisons. No specific provision has been made under the Project

for prisons in the area, but the Government would give consideration to es-

tablishing prison facilities which might provide useful assistance in pro-

viding labor for such programs as forestry and research.

ANNEX 5Page 10

39. Local Councils. A Divisional Council would be established underthe Ministry of Local Government and under the chairmanship of the DistrictOfficer (Bura). It would have its own Executive Officer and would be re-sponsible for directing the development of local services such as markets,beer halls, nursery schools, abbatoirs, refuse collection, and cemeteries,as well as local licensing and inspection. The headquarters town would bethe focus of these activities.

IV. TECHNICAL AND SPECIALIST SERVICES

Agricultural Extension

40. The Ministry of Agriculture has stationed a District AgriculturalOfficer and a Livestock Officer at Hola together with various assistantstaff. They deal with crop and vegetable development, minor irrigationschemes, cattle ranching schemes, poultry and home economics among thePokomo and Orma people, particularly those who have settled in the vicinityof Hola. It is proposed that Bura should have its own agricultural officewhich would be concerned with crop production outside the Project area andlivestock extension both on and off the Project area. The staff requiredto carry out this work would be built up over four years and would ulti-mately inc.ude an Agricultural Officer, a Livestock Officer, two AssistantAgricultural Officers and sixteen Agricultural Assistants. The senior staffwould be stationed in the headquarters town center with offices in the dis-trict administration's office block.

Ministry of Labour

41. The Project will involve large numbers of skilled and unskilledworkers in addition to the Government staff during construction and opera-tional phases. To deal with the usual labor disputes, breaches of laborregulations, social security payments and workmen's compensation mattersthe Government is planning to set up a Labour Office at Garissa to servethe Tana River District. If this is developed there would be no need tohave an office at Bura as well, provided the necessary staff are postedto Garissa before the Project construction begins early in 1978.

Post Office and Telecommunications

42. The East African Posts and Telecommunications Corporation isresponsible for postal and telephone services throughout the country. Thefollowing services are proposed for Bura in accordance with criteria laiddown by the Physical Planning Department of the Ministry of Lands and Settle-ment:

ANNEX 5Page 11

(a) A post office and telephone exchange at 'minimumdevelopment' level in the main town. This wouldprovide all the normal basic services to the NIBan" Government offices. The building and equip-ment required would cost between Ksh 500,000 andKsh 600,000 and would be staffed by a postal super-intendent and four postal officers and two telephoneassistants.

(b) At the market centers local post offices wouldbe built using prefabricated units each costingKsh 50,000. The staff required for these officeswould include one senior post officer, two postofficers and two telephone assistants.

(c) Local centers and sub-local centers would be servedby postal agencies which would be set up under anagreement with a trader or businessman in the vil-lage.

Cooperative Development

43. The Kenya Government attaches a high priority to the developmentof cooperatives in the country. The possibilities in this field are demon-strated by the success of the Mwea rice milling activities which have a con-siderable cooperative content. At Bura the tenants' participation and in-volvement in the Project would be encouraged through similar cooperativeactivities covering collection and processing of the seed cotton crop.In due course further developments in savings, credit and marketing ofother crops may be feasible.

44. The lines along which cooperative activities would be encouragedto develop, and the support this would require, are, as follows:

(a) The establishment of ajBura Cooperative Society,which would have branches in each Project village,to handle the marketing of cotton. Operations per-formed by the society would include collection,weighing, storing, grading, packing, recordingand transportation to the ginnery.

(b) Possible additional activities which might be'developed once the basic marketing operationis successfully established include: savingsand credit, fuelwood exploitation and supply anddistribution of agricultural inputs.

(c) The Government staff required to support thecooperative movement on the Project would in-clude an experienced Cooperative Officer and

ANNEX 5Page 12

six Cooperative Assistants. in addition thesociety would employ a full time manager in itsheadquarters and clerks in each village branch.The more junior staff would require training andguidance in cooperative management.

V. SOCIAL SERVICES

45. The successful induction, orientation and continued assimilationof tenants into fully integrated and balanced communities would be a majorchallenge to those concerned with the Project. The problems of developingstable new communities would be exacerbated by the cultural diversity ofthe people, the preponderance of relatively young, inexperienced heads offamilies and a deficiency of 'elders.' NIB would have primary responsibilityfor this aspect of the Project but would be assisted in the work by the Min-istry of Housing and Social Services. The staff and services to be providedby the Ministry of Housing and Social Services would be the following:

(a) a Senior Community Development Officer who wouldbe stationed in the headquarters town and assistedby five Assistant Community Development Officersand 23 Community Development Assistants stationedin each village. The staff would be required instep with the settlement program for tenants andwould therefore build up as the program proceeds;

(b) village community services such as baby creches,day-care centers and village polytechnics wouldbe established in the town and in all villages.These would have a very important role to playin establishing facilities to deal with pre-school child care and provide training for pri-mary school leavers;

(c) adult literacy programs, women's clubs, youthactivities, sports and environmental clubs wouldalso be fostered by the Community Development staffto ensure that a continuous process of communitybuilding is established; and

(d) multi-purpose community centers would be built ineach village to provide facilities for villagecooperatives, a community hall and meeting place,health sub-clinic, sub-chiefs' offices and thecreches and day-care group.

May 15, 1977

ANNEX 6Page 1

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Tenant Selection, Settlement and Housing

A. Introduction

1. The National Irrigation Board (NIB) plans to undertake settlementof farmers on the Bura Irrigation Settlement Project beginning in early 1980,with an eventual 5,150 families being progressively settled over three andone-half years (1979/80-1982/83). As the area is now only sparsely occupiedby various local tribes (para 4), the settlement effort will involve therecruitment of potential farmers from each of the Kenyan regions, with certainpreferences being extended to those from the local area. The recruitment ofthese farmers will necessarily involve a massive planning and organiza-tional effort in order to ensure both that the selection of settlers iscarried out in an impartial and rational manner, and that the settlementprocess itself is implemented as smoothly as possible. Although the settle-ment program would be developed and implemented in the main by NIB, coopera-tion of the Ministry of Lands and Settlement, the Ministry of Local Govern-ment, the local administration and the local community leaders (who would takepart in the selection of the prospective farmers) would be essential to itsultimate success. For this reason, it is clear that all concerned must havefrom the beginning a complete understanding of the nature of the program, andthe means to be utilized in its implementation.

Local Rights in the Project Area

2. Legal Status of the Land. It is important to note that althoughthe Bura Project area is almost completely uninhabited, the land does notlie waste and is not completely free from customary land use rights (para4). According to current law, the titles to lands inside the Project areaand its immediate surroundings are generally vested in two different author-ities: the County Council on behalf of the local population, and the Dis-trict Commissioner (DC) on behalf of the Commissioner of Lands (Ministryof Lands and Settlement). The County Council is entrusted with the admin-istration of the "Trust Land" in its jurisdiction, which here comprisesland on both sides of the Tana River. The DC administers the "State land" ofthe District, i.e. all the lands outside the Trust land zone for which notitle-deeds have been established. No titles to land in or adjacent to theProject area have been registered to date.

ANNEX 6Page 2

3. The Irrigation Act (1966) gives the Minister of Agriculturepower to designate any area of Kenya for the establishment of a nationalirrigation scheme. This designation is published in the Government Gazette.In respect of land other than Trust Land the Minister will subsequentlyacquire the rights, titles or interests and vest them in the National Irriga-tion Board. In the case of Trust Land forming part of a national irrigationscheme the Minister has power to take such land on lease on behalf of the NIBon terms to be negotiated with the County Council concerned; about two-thirdsof the Bura Project would be located on Trust Land along the Tana River (theNanigi diversion structure would be located on Trust Land). As the State landon which the Project would be situated is free from any title-deeds, onlyminor delays are to be expected after the Project area has been designated fora national irrigation scheme and before the land can be vested in the NIB.The process of extinction of rights in the State land area by payment ofcompensation is expected to take four months (Ministry of Lands and Settlementestimate). Therefore at negotiations the date of Loan/Credit effectivenesswas set four months after signature to permit the gazetting to be finalizedbefore effectiveness.

4. Local Rights and Interests. The native population of the TanaRiver Valley and the surrounding dry scrubland considers the land to betheir common heritage. The Trust Land area along the Tana River is thetraditional homeland of the Pokomo/Malekote and other riverine tribes.These people have been agriculturalists from time immemorial. Their vil-lages (situated along the riverbanks) are relatively permanent settle-ments. They have the traditional right to clear and to cultivate anyportion of land in the river valley that the extended family can suc-cessfully handle. No cultivation rights outside the river valley zoneare claimed by the riverine tribes, traditional cultivation being en-tirely dependent upon natural flooding of the Tana River. The dry scrub-lands outside the zone of riverine areas are traditionally claimed by Ormanomadic pastoralists. They roam vast areas of land in search of the scarcefood for their herds of cattle, sheep and goats. They regularly penetratethe river valley zone in order to water their herds. In doing so, however,they usually try to keep away from the gardens of the riverine people soas not to evoke conflicts. Scrubland and riverine tribes are reported tohave been living in harmony for many years; they regularly barter goodswhile the Orma sometimes graze small livestock herds of the riverine peopleor take along the odd head of riverine cattle in their nomadic rambles.

5. The riverine and the Orma tribes look to the County Council andthe DC respectively for the protection of their traditional rights to land(and water) and/or the fruits thereof. As the Bura Project area is situatedalmost exclusively in the dry scrublands, it will be particularly importantto ensure that the Orma people are protected from any unnecessary prejudice

ANNEX 6Page 3

to their existing rights and interests. However, as this area will even-tually be devoted to intensive (irrigated) agricultural development, andas the present use of the land for grazing of cattle is incompatible withsuch, the Orma people will have to withdraw from the Project area. Theland which would be required by the Bura Project totals some 10,000 ha -a relatively small area when compared with the total grazing area avail-able to the Orma; it is considered that the remaining area would be morethan sufficient for the present livestock population maintained by thesepeople. It is expected that the Orma will put forward some claims forcompensation for the loss of their land, but these claims will or shouldnot be based on any actual deprivation of development possibilities.

6. A second, and more serious encroachment on the freedom of move-ment of the Orma nomads arises from the fact that the future Project willbar their passage from the scrubland to the Tana River over a distance ofabout 30 km. In this respect Orma pastoralists will certainly look uponthe Project as an obstacle causing them inconvenience. To meet this prob-lem, it would be proposed under the Project that a number of watering poolsbe constructed near the western boundary of the Project area which would bepermanently fed by inlets from the main irrigation canal. These pools wouldprovide the most viable means of safeguarding the present right of the Ormasto free access to certain permanent water sources. Finally, there is a pos-sibility that some conflict between the needs of the Orma and the require-ments of the wildlife in the Project area may arise.

7. The fact that the free supply of water to the Orma pastoralistsand their herds can be considered an adequate off-set for the disadvan-tages resulting from the Project does not mean, of course, that the localpeople have no further role to play or that they will subsequently notclaim prior enjoyment of possible advantages of the Project. As men-tioned before, both the Orma and the riverine tribes consider the areato be their common heritage, the use of which they consider should pri-marily be reserved for them. According to the local population, peoplefrom other areas should be allowed to make use of the available resourcesof the area only after the needs of the local people have been met. Thequestion of how or how far the "rights" of the local people should be re-cognized is a delicate one which will require gradual accommodations overthe settlement period. It appears from investigations made in the fieldthat considerable friction might be expected, particularly on the part ofthe Pokomo and Malekote tribes, if numerous non-local applicants for holdingsin the Project area were given access to the resources before eligible localapplicants had been offered this opportunity. The selection criteria agreedat negotiations (Schedule 4 of the Development Credit Agreement) are expectedto minimize this friction to the maximum extent possible.

8. A number of the Orma pastoralists interviewed in the area expressedinterest in participating in the Project. It is therefore expected that Ormawould be included in the selected settlers. Moreover, the location of theProject in "Orma land" and its production of crop residues suitable forutilization as cattle feed offer opportunities to improve the standard of

ANNEX 6Page 4

their livestock keeping; thus, important secondary Project benefits couldflow to even those Orma who do not wish to participate in the Project. Thestudy of possible improvements in livestock production around the Project areawill be considered in the Project Planning Report. The subject deservesfurther attention both due to the opportunities offered by the Project and thefuture need of the Project population for fresh milk and meat.

B. Selection of Tenants

9. While priority would be given to local inhabitants, tenants forthe Bura Irrigation Scheme would be drawn from all the regions of Kenyausing specific criteria to determine the numbers to be selected from eacharea. These criteria include:

(a) population for each area as of 1981;

(b) population density corrected for relativeland area potential;

(c) opportunities for alternative employmentin the area;

(d) adaptability of local population to agri-cultural activities in the Bura Projectarea;

(e) preference for inhabitants of the Tana Rivercatchment area (as the irrigation scheme wouldin due course reduce the water available forirrigation uses in the catchment area, a pref-erence would be granted to people from thisarea).

10. Special attention would be given to the allocation for tenantsfrom the local area. Preliminary indications are that (based on expecteddemographic trends), some 1,900 local applications can be expected in thefirst year, with an additional 1,600 persons expected to apply over thedevelopment period. It should be noted here that the present NIB estimates(Table 1) allow for a total of only 1,290 persons from the entire CoastProvince - a number which may be quite inadequate if the interest in theother Districts of the region is anything like that estimated for the TanaRiver District. Likewise it should be noted that the Coast Province and theEastern Province contain an extremely high percentage of persons living on lowpotential land. This factor would tend to stimulate an even greater local

ANNEX 6Page 5

interest in participating in the Project than might otherwise be expected. Inview of the large numbers of local people expected to apply, the allocationfor Coast Province agreed at negotiations was considerably higher than wouldhave been the case if the allocation had been determined simply on the basisof the usual criteria detailed above.

11. Allocations by Provinces have already been agreed (Table 1). NIB,in collaboration with the Ministries of Agriculture and of Lands and Settle-ment, would also establish a mechanism whereby the actual candidates forsettlement would be identified on the local (district) level. In orderto safeguard NIB's ultimate responsibility for the success of the Project,assurances would be obtained at negotiations that NIB would be the agencywith primary responsibility for the final selection of tenants. It isenvisaged that the entire tenant selection process would be under the overalldirection of a Settlement Officer. This officer would head the SettlementSection to be established in the Project Coordinator's Office of the NIB, andwould coordinate the entire selection campaign throughout the country. Hewould, in particular, be responsible for the activities of the "DistrictSettlement Committees" which would be established in each district, TheseCommittees would make the actual selection of the tenants to be proposed fromtheir area, based on names put forward to them by clan elders, tribal chiefsor other local authorities. The Committee would be composed of;

(a) District Commissioner (Chairman);

(b) District Agricultural Officer;

(c) District Community Development Officer;

(d) Chairman/Clerk of the County Council;

(e) a representative of the Ministry ofHealth; and

(f) two community members not in the CivilService.

The duties of the Settlement Committee would include:

(a) liaising with the Settlement Officer on matters relatingto the selection and settlement of prospective tenants;

(b) informing the local people as to the nature of the BuraProject;

(c) preliminary selection of tenants using criteriaestablished by the NIB; and

(d) communicating with selected tenants and informing themwhen they are required for briefing or migration.

ANNEX 6Page 6

12. NIB would establish the criteria to be used by the SettlementCommittees at least two years in advance of the approximate date onwhich the first farmers could be settled on the Bura Scheme.The basic criteria would be that candidates should be:

(a) heads of households, age 25-45 years;

(b) of good character;

(c) physically fit;

(d) landless, unemployed or underemployed, or earninga return far below the average for the area;

(e) able to provide, within the family, four adultequivalents of labor;

(f) experienced in farming and with an aptitude forirrigated farming; and

(g) persons who had not demonstrated any social habitswhich might adversely affect their ability to carry outtheir proposed responsibilities.

13. NIB would also formulate a publicity program to be carried outin each of the Districts from which candidates are to be attracted. Theprogram would utilize brochures and radio coverage to inform the local peo-ple as to:

(a) the objectives of the Bura Scheme;

(b) the location and climate of the Project area;

(c) the settlement rules and the land tenure system;

(d) crops to be grown;

(e) expected incomes and fees and charges;

(f) housing and basic services in the Project area.

Candidates who are interested in participating in the Scheme would thenfile an application for the scheme with their clan elder, the chief of

ANNEX 6Page 7

their location or some other formal or official local authority (eitheracting on their own initiative or on suggestions of these authorities). Thenames would be subsequently forwarded to the DC of the applicants' district,who would reler them to the Selection Committee. The Committee would inter-view each candidate, and would at that time request that he fill out a basicquestionnaire regarding his age, employment history, character references,family size, special skills, medical status, identity card number, etc.The names of those chosen would then be forwarded to the Settlement Officerwho would review each candidate's suitability for inclusion in the program.Should any candidate prove physically or otherwise unsuitable, the SettlementOfficer would have the right to refuse him; in practice, this should not bea problem if the various committees function properly.

C. Migration of Settlers to the Bura Project Area

14. The migration to the Project area of up to 4,000 tenants and theirfamilies from outside the Tana River District (and to a lesser extent migra-tion of tenants from within the District) would require a well balanced planof operation and a very efficient organization, as the distances to be trav-elled will range up to 500 - 1,000 km. The overall migration program wouldbe headed by a Migration Officer assigned to the NIB Bura Project Coordina-tor's office.

15. Prior to the actual migration, the Selection Officer within eachdistrict would brief the selected tenants in groups on both what to expectwhen they arrive in the Bura Project area, and what preparations they wouldneed to make before their departure. He would specifically alert each headof family as to the date on which he should be prepared to depart and wherehe should present himself to pick up transport. The prospective tenantswould be expected to pay a non-refundable commitment fee of Ksh 20, whichwould partly meet their transport costs; this deposit is not expected toimpose a burden beyond the means of these tenants, and it would help to givethem a sense of commitment to the scheme and help reduce absenteeism duringthe actual migration.

16. The actual transport of tenants would be arranged by the DistrictSettlement Committees, under the overall guidance of the Migration Officerwho would inform the Committees of the dates on which specific numbers wereexpected to be in the Project area. The actual phasing of the migrationoperation over a 3-1/2 year period would depend on a multitude of factors, someof which would be closely tied to sociological considerations. These fac-tors would include:

(a) The phasing of Project construction. Accord-ing to the Project Implementation Schedule(see Chart, World Bank 17274), the first 800 haof the area would be ready for cultivation by themiddle of 1979, and the remaining 5,900 ha would be

ANNEX 6Page 8

gradually brought into use over the following three years.Thus, according to the present schedule, some 800 familieswould be settled in 1979/80; 1,880 in 1980/81 and 2,470 1/in 1981/82. The phasing of tenant selection, irrigation andsettlement is shown in Chart, World Bank 17461.

(b) The building of village accommodations. This considerationwould not be as important in determining the pattern ofmigration, as many of the village facilities (homes, etc.)would be constructed with the assistance of the actualtenants who would use them. However, certain temporaryaccommodations (food storage, sanitation, medical facilities,etc.) would have to be available at the receiving area whenthe new tenants arrived. An outline of the development ofa typical village is shown in Chart, World Bank 17462.

(c) The need for proper preparation of the settlers. In orderto ensure that the tenants were adequately prepared toplay their part in the proper functioning of the scheme, itwould be essential to arrange that they arrived in the areawell in advance of their first cropping season so they couldreceive training in crop cultivation. If this were notdone, lack of acclimatization and poor preparation wouldinevitably lead to a poor start for the Project.

(d) Organizational requirements. Two organizational requirementswould affect the migration process. First, in order tominimize confusion and reduce delays, the transport oftenants should, as far as possible, be spread throughout theyear. Secondly, heads of families should be transferred tothe Project area in advance of their dependents so that theycan familiarize themselves with the obligations they wouldbe agreeing to assume, and so that they could begin construc-tion of housing. These two considerations dictate thatfamily heads should be transported to the Bura area inMay-August of each year, while the remaining members oftheir families would follow in September-December ofthe same year.

1/ A small number of these would actually be settled in the early part of1982/83.

ANNEX 6Page 9

(e) Tribal composition of migrant groups. It isobvious that by concentrating large numbers ofindividuals from various parts of the country in anarea that is relatively isolated from their homes,and putting them in a situation in which they haveto live and work closely together with localpeople under conditions which both physicallyand socially differ widely from those to whichthey are accustomed, some social tension mayarise. In this situation, it is most probabletherefore that, in an effort to create a sense ofsecurity for themselves, the tenants would attemptto form alliances with others of the same tribalbackground. This is a highly understandablephenomenon and one to be expected; however, everycare must be taken to ensure that these rela-tionships do not solidify into strict socialgroupings, and that the petty problems of everydayliving do not intensify into inter-tribal controver-sies. The distribution of the settler populationthroughout the irrigation scheme will have acrucial effect on the resolution of these problems.However, no final decision has as yet been madeon the means of dealing with this problem.For example, it is unclear as yet whether thetenant population should be mixed as much aspossible per village and per irrigation unit inorder to minimize the incidence of a strong tribalorientation in social groupings. Likewise, it isnot yet certain as to whether local and non-localtenants should be mixed over the irrigation area.Finally, it must be decided whether any one groupof settlers arriving in the area on a given dayshould be from a single area or whether it shouldbe composed of people from different tribal back-grounds. Another problem, well recognized in othersettlement schemes in Africa, to which attentionshould be given is the means by which possiblemisallocation of family income by the head of thefamily, to the detriment of the nutritional well-being of the other members of the family, may beminimized. Some study of the problems involved inthese various approaches would be necessary beforeany final decisions can be made. Therefore,Government agreed at loan/credit negotiationsto employ an experienced sociologist acceptable toBank/IDA to undertake such a study, and thatGovernment would consult with the Bank/IDA on thefindings of the study before any final policydecisions were taken on these matters.

ANNEX 6Page 10

17. Once the factors affecting the migration of the settlers had beenevaluated, a comprehensive transportation schedule would be drawn up by theSettlement Officer. He would ultimately decide how many tenants from eachspecific district would be required in each year of the Project (a provi-sional or trial schedule prepared by the NIB is available in Table 2). Hewould then arrange with the District Settlement Committees for the estab-lishment of pick-up centers in each district. The tenants would be toldto report to these centers on a designated day at which time they would bemoved by truck to the Project area. These trucks would be furnished by theNational Youth Service (Annex 15), which would be given overall responsibil-ity for the entire transport program. Also, in order to accommodate thosesettlers coming from relatively great distances, transit facilities wouldbe constructed on the outskirts of Nairobi in the Ruaraka area. This campwould be quite small, with only a shed and canteen, but would allow reason-able accommodations for a one-night stay. A similar camp would also beestablished between Thika and Garissa.

D. Reception of Tenants

18. On arrival at Bura the truck driver would hand over to the Settle-ment Officer a delivery sheet containing the names of the people carried.The sheet would be in triplicate, with one copy each for the SettlementOfficer, the NIB and the Settlement Committee in the district from whichthe person came.

19. The tenants (here reference is to the male heads of families whowould precede their families by about 10 weeks) would be given temporaryaccommodations in previously constructed houses (para 22), with six mento each house. On the succeeding day the tenants would be interviewed by theSettlement Officer and the Scheme Manager in order to verify their identity.The Irrigation Regulations and Rules would be read to each group, and the rolewhich they would be expected to play in the Scheme would be explained. Eachman would then be required to sign an acceptance of these rules, after whichhe would be issued a tenant identity card.

20. The Scheme Management would provide for the storage of suffi-cient quantities of food 1/ for sale to the tenants until such a time asthey have harvested their first subsistence crop. Thus, on the basis ofthe preliminary migration schedule, sufficient food would be required tofeed heads of families over 5-8 months, while families would have to befed over a period of 1-4 months. Assuming that each head of family would

1/ It is expected that the World Food Program (WFP) would assist withthe provision of these foodgrains.

ANNEX 6Page 11

require 20 kg of maize flour per month and that the entire family (himselfincluded) would require 100 kg per month, the estimated maize flour re-quirements would be:

1979/80 1980/81 1981/82 1982/83

Maize Flour (tons) 300 500 750 750

It is not yet decided whether the maize would be delivered to Bura as maizegrain for milling at Bura or as maize flour. In either case storage facil-ities for at least 200 tons of maize grain or flour would be required. Toavoid waste or black-market sales, the maize would be rationed on a weeklybasis. In addition, meat, beans and other items would be available forsale at controlled prices from privately operated butchers' and othershops.

21. From the first day onward, the heads of families would be or-ganized into working groups. These groups would, under the direction ofthe scheme staff, be put to work on the construction of houses, communalfacilities, or any other tasks which the management would specify. Forthis work the tenants would be paid a subsistence allowance (a minimumof Ksh 5/day) which would allow them to buy food and other essentials.

E. Housing

22. Type of Housing. Tenant housing on the Bura Scheme would be con-structed by the settlers according to standards established by the ProjectManagement. These houses would be designed with the following points inmind:

(a) sufficient room would be required to accom-modate the tenant and his family;

(b) the house would have to be capable of ex-tension; and

(c) the total cost of the structure would haveto be low so as to avoid putting a heavyburden on the tenant for loan repayment.

The basic intention would be to build improved traditional houses. Threeprototype structures have been put up on the Hola Scheme in order to testeach type for its suitability for local conditions. Indications are atthis time that the final choice will be between two of these types; thatis, the selected model would be either:

ANNEX 6Page 12

(a) a house whose walls are made of mangrovepoles plus a mud fill with a corrugatediron sheet roof; or

(b) a house built of sundried mud brick wallswith a corrugated iron sheet roof.

If sufficient mangrove poles can be found, the first alternative would bepreferable, otherwise the second type would be used. Doors, windows androof trusses would be standard items and would be made by designated car-penters and nailmen (para 23) during periods of low activity; while doorsand windows would be produced centrally, roof trusses would be assembledin the villages.

23. Construction of Housing. Prior to the arrival of the firstsettlers, the NIB would have built houses for temporary accommodationof the incoming groups. The tenants would live 6 to a house, with the sixforming a basic working unit. These working units would be responsible forthe construction of houses for all 6 members. One man in each group wouldbe designated as a nailman, and one out of every 5 units would be desig-nated as a carpenter. The construction time for each unit would be allo-cated as follows:

No. of Men Days Activity

6 1.25 digging holes and placingpoles for one house

4 2.00 placing and nailing parallelfitos

4 1.50 placing and nailing rooftrusses

4 1.50 placing and nailing sheets

6 2.50 mud preparation and filling

24 8.75

The total man-days required for one house would be 43.5 Thus, the groupwould complete one house every 7 days; the houses for all 6 members ofthe group would be completed in 44 days.

24. Construction Staff Requirements. The total number of staff re-quired to build houses for all tenants would be:

ANNEX 6Page 13

Maximum MonthlyYear Housing Units Nailinen Carpenters Supervisors

1979/80 100 100 20 41980/81 300 300 60 81981/82 300 300 60 81982/83 100 70 15 4

25. Cost of Tenant Housing. The expected cost per house would beroughly as follows:

Ksh

Material 3,582

Water charges 50

Labor

42.5 man-days @ Ksh 6/day 255

7 nai'Lmen's days @ Ksh 10/day 70

1.4 carpenters' days @ Ksh 20/day 28

0.5 supervisors' days @ Ksh 30/day 15

368 368

4,000

The total cost of 5,150 houses would thus be Ksh 20,600,000.

May 15, 1977

ANNEX 6Table 1

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Allocation of Tenants by Province

Total Z of TotalProvince Allocation Allocation

Central Province 700 14

Coast Province* 1,290 25

Eastern Province 1,290 25

North EasternProvince 130 3

Nyanza Province 700 14

Rift ValleyProvince 240 5

Western Province 700 14

TOTAL 5,150 100

* Approximately 75% of the allocation of Coast Province is expectedto come from Tana River District.

KENYABURA IRRIGATION SETTLEMEN.T PROJECT

Tenant Selection, Migration and Settlement

Calendar Year 1977 1978 1979 | 1980 1981 1982

HQ Settlement and Information Staff Secondment am _ _ m I u m_ m m l _ * ml

Study for Selection and Settlement Procedures

Finalize Selection Procedures

Mobilize District Selection Committees andPublicize Project

Process Applications and Complete Selection

Prepare Final Migration and Settlement Program

640 2025 _40 0 5150Tenants migrate to Project __ 2925 4 7 2

Families settle at Project 2690 30900(No. of dependants) 2 - _ - --

5380 13440 26880Guided Harambee construction(tenant housing, primary schools andvillage halls) _ _ _ _ _ - _ _

No. of villages settled 3 6 10 15 19 23

World Bank-17461

KENYABURA IRRIGATION SETTLEMENT PROJECT

Typical Outline Development of a Village

WEEK 5 10 15 20 25 30

Advance village housing*

NIB extension staff arrive

Stockpile housing materials

Complete water supply

Tenants travel to project area

Tenants inducted at village site

Tenants construct houses

Tenants construct schools, etc.

Tenants' families travel to village .

NIB extension/tenant training input

Settlement Officer input _ .

Social services input/family induction W Bn-76

*Housing for NIB staff and tenants World Bank-i17462

ANNEX 7Page 1

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Water Quality, Demand and Availability

A. Water Quality

1. The quality of the Tana River water is excellent for irrigation(USDA Salinity Laboratory class CMSl). Measurements taken near Bura andHola reveal that in these lower reaches the river carries water of lowsalinity and low sodium content even during the low flow season. Electricalconductivity ranges from 0.1 to 0.3 mmhos/cm (on average about 130 ppm salt)and the sodium absorption rate (SAR) is 0.4 to 0.7. The residual sodiumcarbonate value is 0.4 m.e./liter and the boron content 0.07 ppm or less.The iron content is negligible.

2. The Tana River carries a sediment load consisting mainly of silt,the amount of which varies with the discharge. During the low flow seasonthe silt content of the water may e around 200 ppm (or 200 milligrams perliter); a river discharge of 100 m /sec would contain about 1,500 ppm whilein higher discharges of some 500 m3/sec around 8,000 ppm have been observed.The sediment transport of the river indicates that erosion takes place inthe upper parts of the river basin.

B. Water Demand

3. Crop water requirements (Table 1) have been calculated on thebasis of scanty climatic data available from the Hola meteorological stationsituated about 20 km south of the Project area. These data were confirmed byobservations made at the Bura meteorological station located about 5 km eastof the Project area.

4. In the absence of direct measurements of evaporation from pans, open-water evaporation (Eo) was calculated by the Penman method, as modified forEast Africa by McCulloch. Since the duration of sunshine was not measured atHola, the relation between actual and potential maximum number of sunshine hours(factor n/N in the Penman formula) was assumed to be equal to the relationbetween actual and potential maximum solar radiation. The following monthlyopen-water evaporation calculated over eight years of data available from Holawas used to determine crop water requirements:

ANNEX 7Page 2

Open-water evaporation EoMonth in mm (calculated)

January 218February 201March 232April 198May 197

June 176July 176August 181September 185October 204November 194December 208

Total 2,370

Monthly average 198

Daily average 6.5

5. The following crop factors have been adopted for the consumptiveuse of the different crops by months of growth.

Growth months Cotton Groundnuts Maize Cowpeas

1st 0.40 0.40 0.40 0.502nd 0.70 0.70 0.80 0.953rd 0.90 0.95 1.00 0.904th 1.00 0.90 0.80 -5th 0.90 - - -

6th 0.70 - - -

6. The crop factors shown in Table 1 are adjusted for the staggeredplanting and harvesting schedule indicated in the bar graph at the top ofthe same table.

7. The crop water requirement takes into consideration the consumptiveuse, a pre-planting requirement of 150 mm, and an end-of-season depletionallowance of 50 mm. Water requirements for leaching are expected to bemoderate as a result of the good quality of the Tana River water and on thebasis of the experience at the Hola Scheme. Furthermore, any water applica-tion for the purpose of leaching will not have to coincide with the peak ofirrigation water demand. Hence, no allowance was made for it.

8. The contribution of rainfall to crop needs has been estimated ata low rate corresponding to rainfall occurring once in 5 years because ofthe erratic character of precipitation in the area. There is no effectiverainfall in May, the month of maximum demand which determines design capa-bilities of water conveyance.

ANNEX 7Page 3

9. The net irrigation requirement is the crop water requirement minusthe effective rainfall. The overall Project irrigation efficiency has beenestimated at 60%, which includes conveyance losses. Therefore,intake requirement = Det irrigation requirement.

0.6

10. The details of the calculation of water requirements are given inTable 1. On the basis of the intake requirements per crop and the croppingintensities, the total intake requirement for irrigation of the proposedcropping pattern has been determined. Finally the water demand for a totalarea c-f 550 ha of settlers' gardens, for domestic water supply and for wild-life and livestock were added; they include conveyance losses (10%) and con-tingencies.

11. Domestic water requirements were estimated for a future populationof 60,000 inhabitants on the basis of a demand of 50 1/day per capita, whichis equivalent to a continuous flow of 35 1/sec.

12. Wildlife and livestock may ultimately need about 20 drinking poolsfed from the supply and main canals. However, the water demand will be verysmall. Assuming that the animals expected to be present in and around theProject area (11,000 elephants, 4,000 other game) in addition to possibly8,000 head of livestock would consume 10 to 40 liters per day each; Ind takinginto account the evaporation from about 29 drinking pools of 2,000 m surfaceeach, the total need would be about 840 m /day, or 10 I/sec continuous flow.

13. The peak of the total monthly di ersion requirement for the BuraProject occurs in May and amounts to 8.0 m /sec, not including the HolaPilot Irrigation Scheme requirements.

C. Water Availability

14. The Tana River and most of its tributaries have their origin onthe eastern and2southern slopes of Mount Kenya and in the Aberdares. Theupper 10,000 km of the catchment area have an annual precipitation rangingfrom 750 mm to 2,500 mm, while the rainfall in the middle and most of thelower catchment area decreases to about 400 mm per year. Although gaugingat stations on the Tana River started in the 1930s, the records of only afew of them are suitable for the purpose of determining the water availabJlityfor the Bura Project. The pertinent stations are listed below.

ANNEX 7Page 4

Distance along river Recorder andfrom proposed diversion Staff gauge staff gauge

Number Name (Location) weir at Nanigi reading reading

4 ED 3 Kamburu (power 480 km upstream From 1947 From 1951station)

4 G I Garissa 80 km upstream From 1933 From 19644 G 6 Korakora /1 40 km upstream From 1964 From 19654 G Nanigi /1 0.3 km upstream From 1973 -4 G 4 Hola (Galole) 120 km downstream From 1949 1964-19684 G 2 Garsen From 1946 1965-1967

/1 Only water level data are available.

15. The hydrological characteristics of major importance for the Projectare:

(a) minimum monthly flows available at Nanigi diversion site;

(b) maximum flows expected at the same site and correspondingwater levels;

(c) sediment transport of the river at Nanigi;

(d) future behaviour of the riverbed after the constructionof the diversion weir and the abstraction of water forthe Project.

Minimum Flows

16. The reliability of flow statistics (collected data and ratingcurves) has been studied by the TRDA and the Water Department of the Ministryof Water Development. The records were revised and where needed recalculatedor discarded. The stations used to determine water availability for theProject and the observation periods considered usable for this purpose, are:

Kamburu: 1947 - 1972

Garissa: 1944 - 1974

Hola (Galole): 1949 - 1955

17. Table 2 lists the monthly and annual averages for the above-men-tioned period of reliable data for the Tana River flow recorded at Garissa.

ANNEX 7Page 5

18. In the upper reaches of the Tana River, the East African Powerand Lighting Company Ltd. (EAPLC) is operating the hydro-power plant ofKamburu in a way that does not significantly influence peak flows due tothe relatively small storage volume of the reservoir. However, the mini-mum discharges at Nanigi are to a large extent controlled by the releases fromKamburu. The third and last generating set has been 3installed at Kamburu;the EAPLC plans to release a minimum flow of 42.5 m /sec during the monthswith inflows to the reservoir smaller than this value. These released flowswill be maintained in the following months until the Kamburu reservoir is fullagain. After that, the flows released from Kamburu will practically be equalto the inflow to the reservoir.

19. The regulated flows that would pass Garissa under the above 1972operating rule, calculated for the periods 1947 - 1972, are given in Table 3.Monthly frequency distribution graphs were prepared from which the lowestflows for each month occurring once' every 5 years and once every 10 years weredetermined. From these two calculated sets of monthly low flows (given inTables 4 and 5) the expected water losses were deducted to obtain the avail-able discharges at Nanigi.

20. The water losses mentioned above consist of the following components:

(a) Domestic, public and industrial waterabstractions between Kamburu and GrandFalls, according to previous studiesby ILACO (1971 and 1973) and more recent 3information from Government 0.4 m /sec

(b) Domestic, public and industrial abstrac-tions between Grand Falls and Nanigi, 3estimated 0.1 m /sec

Total domestic, public and 3industrial water abstractions 0.5 m /sec

(c) Losses by infiltration and evaporationbetween Garissa and Nanigi variable

21. The losses between Garissa and Nanigi as well as between Nanigiand Garsen have been analysed 1/ as far as this is analytically possiblein the absence of flow records at Nanigi and with records from Hola and

1/ Estimation of variation in flow in the Lower Tana downstream fromGarissa; TRDA, July 17, 1975.

ANNEX 7Page 6

Garsen of too short duration and accuracy. The results indicate that thelosses of water between Garissa and Hola are greater than those betweenHola and Garsen, in terms of percentage of flows as well as per km of streambed, as shown in the following table (in rounded figures).

Flow at Losses from Garissa Remaining Losses from Hola RemainingGarissa to Hola (197 km) flow at Hola to Garsen (166 km) flow at Garsen

mi /sec m /sec % 1/sec/km m /sec m /sec % 1/sec/km m /sec %

50 8 16 41 42 3 7 18 39 78100 11 11 56 89 5 6 30 84 84150 15 10 76 135 7 5 42 128 85200 18 9 92 182 10 5 60 172 86

22. The losses between Garissa and Nanigi shown in Tables 4 and 5 weretaken to be one third of those occurring between Garissa and Hola, propor-tionally to the corresponding distances along the riverbed.

23. The lowest flows for each month at Garissa and Nanigi, the Project'sdiversion requirement (from Table 1), and the estimated flows remaining in theriver-bed immediately downstream of Nanigi and at Garsen are given in Table 4for a recurrence of once in 5 years, and in Table 5 for a recurrence of oncein 10 years. The results show that the planned abstraction at Nanigi wouldleave the following minimum flows available at Garsen:

38.5 m3/sec once in 5 years (month of March)

34.9 m 3/sec once in 10 years (month of March)

24. Government is preparing the multi-purpose project of the Tana UpperReservoir which would dam the Tana River upstream of the Kamburu reservoirand provide hydroelectric power, water supply and water for irrigation withseasonal flow regulation. The Government's present policy is to guaranteedry-season flows in the Tana River downstream of the Bura diversion structure,after abstraction of the Bura Project diversion requirement, that would beequal to the '"natural" flow in the river without regulation.

25. From the above considerations, it appears that Government should:

(a) define quantitatively the present and future needs ofwater downstream of Nanigi for

(i) population,(ii) livestock,(iii) game,(iv) fish,(v) riverine forest, and(vi) development projects;

ANNEX 7Page 7

(b) define and quantify the concept of "natural" flowmentioned above;

(c) guarantee minimum flows for the Bura Project and forthe regions downstream of it to be obtained by opera-tion of existing and future storage reservoirs locatedupstream of the Bura Project;

(d) take immediate steps to enforce efficiently the controlof water apportionment from the Tana River according toexisting agreements with IDA; and

(e) install immediately close to the Nanigi diversion structuresite a hydrological observation and stream-gauging stationequipped to determine dry season flows, flood discharges,transport of suspended sediment and bed loads by theriver and losses of water between Nanigi and Garseh.The installation of this station should be proceeded withimmediately. It would not be acceptable that it be post-poned until the diversion structure is built.

Maximum Flows

26. The occurrence of maximum flows was studied on the basis thatexisting upstream reservoirs would not produce a reduction of peak flowsand that the increase of flood flows between Garissa and Nanigi is negligible.

27. The maximum daily mean discharges of 20 years (1944 to 1972) wereused to determine3the flood frequency. However, the largest observed flood(1961) of 2,418 m /sec corresponds to the actual absolute maximum on the obser-vation day. The data listed below were plotted and fit a linear type Gumbeldistribution curve.

ANNEX 7Page 8

Annual maximum daily discharges at Garissa (m3 /sec)

Year Discharge Year Discharge

1944 549 1959 4961945 360 1960 8281946 683 1961 2,4181947 1,209 1962 7191948 447 1963 1,1391949 251 1964 1,0601950 765 1965 5341951 1,195 1966 1,0261952 479 1967 1,3891953 467 1968 1,7231954 660 1969 4611955 360 1970 8281956 1,281 1971 6711957 864 1972 8751958 943

The probabilities of occurrence of maximum daily mean flows, within a 68%reliability range, are as follows:

once in 20 years 1,850 m 3/sec

once in 100 years 2,530 m /sec (extrapolated)

once in 1,000 years 3,500 m /sec (extrapolated)

Water Levels

28. The water level elevations for low flows at the Nanigi diversion structuresite are based on a provisional rating curve, which is acceptable. The water levelsfor high discharges had to be calculated on the basis of flood marks on treesand information from local people for 3the two largest floods on record, cor-respondi5g to the years 1961 (2,418 m /sec, once in 80 years) and 1968(1,723 m /sec, once in 15 years).

Sediment Load

29. The estimated sediment load in the Tana River at Nanigi, consistingof suspended sediment and bed load, is presented in Annex 3, paras 34-39, inthe context of the proposed sand trap. This estimate, prepared for thefeasibility study (June 1975), has been reviewed in December 1975 by the TRDA,who confirmed its order of magnitude.

ANNEX 7

KENYA T.bl,, 1

BURA IRRIGATION SETTLEMENT PROJECT

C,.p Cal-nde and Waton Rq.igsrntt

U-, FI,b-aa' Ma...n Ap,i M., j-o July August Septmbe O-.bt Nreme ,ebe aur

El-t H.-as

COTTON m m mmG ROUNDN UTS

MAIZE

COWAPE S

O-a W-i, E- ...... ,, Eo ri 201 232 198 193 120 1811 185 204(821

14- - - ~~~GRlbNDlUTS-C-op F cO-n0.40 0.55 0.40 0.95 0.95 000Fl 0.70 0.40 0. 65 0 90 U 90 0 90

land Ub- 10 000 too too ioo 100 00 75 100 100 000 25

Con--rpb,r- IIenr 40 128 1561 1817 167 141 63 06 133 174 187 49

pr- Plssbbng Itlgbbtt10 50 - o 00 10

D.pIII,tan All. scrna _ - ' '25 i.. -- ~-12Ct-p Wor R qrrln-reot.n 140 170 156 187 167 11 IO16 13 14149 37

Effeobirn Rainball ___ -~~ ~ ~~~~ ~~ ~~~~ ~~14 -25 -- - - j -_ -29 -21

SeE IgybOaniO OnqSietilb a 140 144 133 187 167 116 I531 156 133 145 126 37

Intake OrI_gablonOqsrnn a 233 273 222 31 2 2751 193 63 I83 60 221 242 213 6

C-oWning Onlnn- ty 1000 ( Q.253h1./fse-) -

ha nc. 00 10 0.566 1.16 .1.07 0.72 0.231 0231 5.3 .02 0.93 09' 0 23

II- - 06001 0100IZE 1U8DEPL.ANTED

I . 0010~~~~~~I COIPPEAS

Crop FucorI 0.40 0.-,0 0.92 0.90 0.

Land USe- 71 100 100 100 2S

Consumptive Use oar 56 143 F'4 1~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~5614 1444,4

ISO 100

DepletIon 01All c oeI-- __ i.-

Crop WI,er Rquire-ten no0 156 143 104 ~ 149

O'f_ecIlv 'Iofl _a __29 L

eC101 ganiRon I ...roeeo ro I-so 15-6 143 -1511

Intake Irrlgublon Opqslrenrnst ear I~~~~~~~~~~~~~~~~~3 260 2 55P 31' 15~~~8 26

CeoppUro Ointnnsity ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~.A321 ~0.4 ha/fsm)_

h. ntI031 1.00 0.'9 1.00 I 4.00 0 04

P-op-sd Cooopu-g______ -

P.tI,O InCe-ityI

000 1400IQ an 233 273 2 2 TI? 27o 193 63

Spo-d-trl 167 11 Il IT 35 39 34 15

'Salo- and C-Up- s 224'x 127 03 76 63 50 3

rent sos ~~~~ ~~~~ ~ ~ ~ ~ ~~232 23 22 1 71 193 3 U 93 11 122 102 13

Tal-Itke Terglgui- Req-ienneo oP4700 ha net ns 6.45 6.03 5.74 7.80 7.18 4 03 2.52 2.41 2.78 3.15 2.55 0.32

Cr0.100ig0ti- Rnq.i--sn foe

26k, h2. 31 T-n-r Car/en n 0.13 0.13 6 13 0.13 0.16 3 10 0.24 0.26 0.26 0.18 0.13 0.13

Ps--o sO 50) I/rye 5 .04 0.54 0.04 0.04 0.04 0 04 0 54 0.04 0 04 0.04 0.04 0.04

Wildlife Reqsli-,nts (Dri.kino'O15 -'.0 .01I 0. 01i -001 0 01 0, 0 1 0 01 0.01 0.01 0.01 5 01 5 01

23t21 Di-iRtlo R,,qsi--net .1 3/s 6.2 7.0 5.9 0.0 7.4 5.1 2.9 2.7 3.1 3.4 2.7 0.5

01 Not i-ol.d-g RoI. 21100 Irrigatjoo Sohern enquj-neto.

J..-ay 4. 1920

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Tana River - Monthly Average Flows Recorded at Garissal!/(m3/sec)

YEAR Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov. Dec. YEAR

1944 60 40 26 80 109 49 42 42 44 79 159 217 791945 49 20 16 37 103 130 72 84 91 62 176 109 801946 85 56 92 66 178 89 50 63 83 130 406 149 1211947 76 38 45 397 994 392 147 96 78 72 132 178 2201948 101 53 32 97 229 128 86 74 58 60 212 243 1141949 64 39 78 108 103 82 52 53 47 43 68 83 681950 58 36 40 346 351 216 122 118 131 83 120 114 1451951 235 128 69 941 481 385 154 124 94 110 580 635 3281952 71 38 38 90 306 151 92 80 66 85 135 124 1061953 101 63 43 55 209 113 71 62 56 92 237 189 1081954 91 72 48 151 484 308 148 118 88 77 139 195 1601955 159 119 78 98 171 123 75 34 75 100 136 135 1131956 159 115 78 224 593 223 126 96 77 67 270 161 1831957 91 67 63 161 559 244 137 99 79 81 251 268 1761958 130 126 100 145 665 305 172 89 73 66 100 159 1781959 89 93 55 90 264 159 82 75 79 63 109 135 1081960 67 55 103 210 230 105 73 60 56 138 270 117 1241961 63 50 42 169 276 95 80 97 123 523 1814 645 3311962 116 84 87 216 527 227 137 105 105 123 139 137 1671963 341 162 147 349 794 413 176 124 78 67 306 566 2941964 193 99 68 593 494 238 122 123 84 118 126 399 2211965 99 73 106 125 247 123 76 64 46 65 324 182 1281966 84 58 53 427 405 187 122 79 78 77 416 141 1771967 178 121 359 165 707 302 184 148 137 198 608 377 2901968 236 146 205 732 690 416 227 162 100 112 569 925 3771969 50 62 53 172 301 135 81 60 51 59 143 122 1071970 48 37 28 454 422 233 122 87 77 51 110 74 1451971 76 78 50 209 427 191 111 87 70 36 149 127 1341972 232 102 58 47 173 199 102 63 52 170 733 282 1841973 48 40 35 135 181 170 88 74 59 68 157 80 941974 67 48 35 312 214 120 216 126 95 100 214 94 137 * m

Average 117 70 76 256 372 205 115 92 78 89 260 235 164

1/ Original Recordings.

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Tana River - Regulated Discharges (mn/sec) at Garissa Resulting

from Proposed Minimum Dry Season Release

of 42.5 Cumecs at Kamburul/

Year Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov. Dec. Year

1947 - - 91.8 397 994 392 147 95.6 77.5 72.4 132 178 -1948 86.2 59.0 62.7 60.2 218 128 85.9 74.3 58.3 59.7 212 243 1121949 101 70.5 55.3 69.4 101 81.8 63.8 63.8 64.4 59.0 71.8 75.8 731950 73.2 60.2 83.6 299 351 216 122 118 131 83.3 120 114 1481951 73.6 55.3 52.3 894 481 385 154 124 93.8 110 580 635 3031952 235 127 76.5 82.9 306 151 91.8 79.5 66.4 84.8 135 124 1301953 81.0 *;60.2 59.4 58.3 164 113 73.6 63.1 62.5 81.4 237 189 1041954 103 78.7 66.1 110 484 308 148 118 88.3 76.5 138 195 1601955 96.0 79.1 65.0 88.7 150 123 75.0 836 74.8 99.7 136 135 1001956 159 118 78.4 224 593 223 126 96.3 77.2 66.8 270 161 1831957 92.6 70.5 72.1 146 559 244 137 99.3 78.7 81.0 251 268 1751958 130 125 99.7 145 665 305 172 89.2 73.3 66.1 100 159 1771959 88.9 101 66.5 70.2 264 159 81.8 74.7 79.1 62.7 109 135 1081960 73.6 68.4 107 188 230 105 73.2 68.0 64.0 128 263 117 1241961 76.9 69.6 62.4 150 248 95.3 79.5 97.1 123 523 1814 645 3321962 387 184 136 216 526 227 137 105 105 123 139 137 2021963 116 82.8 87.0 349 751 413 176 124 77.9 67.2 306 566 2601964 340 161 147 593 494 234 122 123 84.1 118 126 40C 2451965 193 97.9 68.0 125 247 123 76.2 64.2 52.5 58.2 324 182 1341966 99.3 72.1 106 427 405 187 122 78.8 77.9 76.9 416 141 1841967 84.4 69.2 66.1 140 707 302 184 148 137 193 608 377 2511968 178 120 359 732 690 416 227 162 100 112 569 925 3821969 236 145 205 172 301 135 80.6 60.5 50.9 58.6 143 122 1421970 68.3 61.9 53.4 454 422 233 122 86.6 76.8 50.8 114 73.6 1511971 57.9 57.4 53.4 162 427 191 ill 86.6 70.2 35.8 149 127 1271972 75.8 77.0 55.6 53.6 160 199 102 63.1 - - - - -

Average wX1948-71 135 91 95 248 408 212 118 95 82 103 305 260 179 Li

1/ After adjustments were made to the origiral recordin_s of Table 2.

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Tana River - Minimum Monthly Mean Discharges Available at Nanigi and Garsen

once in 5 years Nm3 / sec)

Water Abstrac- Estimated Remaining EstimatedRegulated low tion from Losses Between Available Total Diversion Flow Down- Losses Between RemainingFlow at Garissa Kamburu to Garissa and Flow at Requirement for stream of Nanigi weir and Flow at(once in 5 vears) Nanigi weir Nanigi weir Nanigi weir Bura Project/! Neaigi weir Garsen Garsen /

January 76.o 0.5 3.2 72.3 0.5 71.8 10.6 71.2

February 64.0 0.5 3-0 60.5 6.2 54.3 8.9 45.4

March 57.0 0.5 2.8 53.7 7.0 46.7 8.2 38.5

April 79.0 0.5 3.2 75.3 5.9 69.4 10.3 59.1

May 220.9 0.5 6.4 213.1 8.0 205.1 22.8 182.3

June 130.0 0.5 4.4 125.1 7.4 117.7 14.8 102.9

July 79.0 0.5 3.2 75.3 5.1 70.2 10.6 59.6

August 69.0 0.5 3.0 65.5 2.9 62.6 9.8 52.8

September 63.0 0.5 2.9 59.6 2.7 56.9 9.1 47.8

October 60.0 0.5 2.9 56.6 3.1 53.5 8.9 44.6

November 122.0 0.5 4.2 117.3 3.4 113.9 14.4 99.5

December 123.0 0.5 4.2 118.3 2.7 115.6 14.6 101.0

1/ Not including Hola Pilot Irrigation Scheme requirements.

2/ Ignoring abstractions for Hola.

January 4, 1977

KENYA

BURA IlRIGATION SETTLEMNT PROJECT

TAna River - Minimum Monthly Mean DischarRes Available at Nanigi and Garsen

once in 10 years (m3/sec)

Water Abstrac- Estimated Remaining EstimatedRegulated Low tion from Losses Between Available Total Diversion Flow Down- Losses Between Remaining

Flow at Garissa Kamburu to Garissa and Flow at Requirement for stream of Nanigi weir and Flow at

(once in 5 yeara) Nanigi weir Nanigi weir Nanigi weir Bura Proiect 1/ Nanigi weir Garsen Garsen 2/

January 68.0 0.5 3.0 64.5 0.5 64.0 9.8 54.2

February 57.0 0.5 2.8 53.7 6.2 47.5 8.3 39.2

March 53,0 0.5 2.7 49.8 7.0 42.8 7.9 34.9

April 62.0 0.5 2.9 58.6 5.9 52.7 8.8 43.9

May 158.0 0.5 5.0 152.5 8.0 144.5 17.3 127.2

June 105.0 05 3.8 100.7 7.4 93.3 12.6 80.7

July 72.0 0.5 3.1 68.4 5.1 63.3 9.8 53.5

August 63.0 0.5 2.9 59.6 2.9 56.7 9.2 47.5

September 56.0 0.5 2.8 52.7 2.7 50.0 8.5 41.5

October 54.0 0.5 2.8 50.7 3.1 47l.6 8.3 39.3

November 108.0 0.5 3.9 103.6 3.4 100.2 13.1 87.1 0k

December 112.0 0.5 4.0 107.5 2.7 104.8 13.6 91.2 v !

1/ Not including Hola Pilot Irrigation Scheme requirements.

2/ Ignoring abstractions for Hola.

January 4, 1977

ANMNX 8

RENYA

BURA rRRIGATION SETLElMENT PROJECT

Croppins Pattern. Production and Farm Revenue

1/YEARS 1 2 3 4 5 6 7 8 9

COTTON

Area Planted (ha) 1.25 1.25 1.25 1.25 1.25 1.25 1.25 1.25 1.25Yield (ton/ha) 2.5 2.6 2.7 2.8 2.9 3.0 3.0 3.0 3.0Production (ton) 3.13 3.25 3.38 3.5 3.62 3.75 3.75 3.75 3.75

Selling Price (Ksh/ton) 2/ 3,200 3,200 3,200 3,200 3,200 3,200 3,200 3,200 3,200Revenue (Ksh) 10,016 10,400 10,816 11,200 11,584 12,000 12,000 12,000 12,000

MAIZE

Area planted (ha) 3/ 0.60 0.60 0.60 0.50 0.50 0.45 0.45 0.40 0.40Yield (ton/ha) 2.0 2.5 2.8 3.1 3.4 3.7 3.7 3.7 3.7Production (ton) 1.20 1.50 1.68 1.55 1.70 1.67 1.67 1.48 1.98Production Consumed (ton) 1.20 1.22 1.22 1.22 1.22 1.22 1.22 1.22 1.22Production Sold (ton) - 0.28 0.46 0.33 0.48 0.45 0.45 0.26 0.26

Selling Price (Kah/ton) 4/ 890 890 890 890 890 890 890 890 890Revenue (Kah) - 249 409 294 427 400 400 231 231

COWPEAS

Area Planted (ha) 3/ 0.60 0.60 0.60 0.50 0.50 0.45 0.45 0.40 0.40Yield (ton/ha) 0.5 0.6 0.7 0.8 0.9 1.0 1.0 1.0 1.0Production (ton) 0.3 0.4 0.4 0.4 0,4 0.4 0.4 0.4 0.4Production Consumed (ton) 0.3 0.3 0.3 0.3 0.3 0.3 0.3 0.3 0.3Production Sold - 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1

Selling Price (Ksh/ton) 4/ 1,250 1,250 1,250 1,250 1,250 1,250 1,250 1,250 1,250Revenue (Koh) - 125 125 125 125 125 125 125 125

GROUNDNUTS

Area Planted (ha) - - - 0.10 0.10 0.15 0.15 0.20 0.20Yield (ton/ha, Unshelled) - - - 1.4 1.6 1.8 1.9 2.0 2.0Production (ton, Shelled) 5/ - - - .09 0.10 0.18 0.19 0.26 0.26Production Consumed (ton) - - - 0.07 0.08 0.12 0.12 0.12 0.12Production Sold (ton) - - - 0.02 0.02 0.06 0.07 0.14 0.14

Selling Price (Kah/ton) 4/ - - - 2,220 2,220 2,220 2,220 2,220 2,220Revenue (Ksh) - - - 44 44 133 155 311 311

GARDEN CROPS

Production (kg) 350 350 350 350 350 350 350 350 350Production Conaumed (kg) 175 175 175 175 115 175 175 175 175Revenue (Koh) 6/ 350 350 350 350 350 350 350 350 350

OTAL CASH REVENUE FROM CROPS (Ksh) 10366 11,124 11,700 12,013 12,530 13,008 13,030 13,017 13,017

Market Value of ProductionConsused 7/ 1,790 1,810 1,810 1,810 1,810 1,810 1,810 1,810 1,810

1/ Tenant is assumed to plant a maize/cowpeas crop immediately after he is established on his holding, and a first cotton cropin February. Full production ia reached in year 9.

2/ Seed cotton.3/ Maize and cowpeas are planted in association.4/ Prices used are Maize Board prices, February 1977.5/ Shelling percentage 65%.6/ 175 kg at Kah 2 per kg.7/ Maize and Cowpeas (Ksh 1,460 from year 2) and Garden Crops (175 kg at Kah 2 per kg).

May 19, 1977

ANNEX 9Page 1

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Forest Conservation and Afforestation

1. Four major topics have been studied in the course of Project plan-ning for the forestry component:

(a) conservation of natural vegetation, particularlyriverine forest;

(b) the demand for and the supply of timber andfuelwood;

(c) forest extension and amenity requirementsin the proposed settlement villages;

(d) research.

Areas Recommended for Gazettement for Conservation

2. Studies of existing natural vegetation both from inspection on theground and from maps specifically prepared from 1975 aerial photography indi-cate that much of the riverine forest area has already been heavily exploitedor settled. The gazettement of natural forest reserves in Kenya is a compli-cated procedure which also involves the resettlement of, and compensation paidto, the population within any proposed reserve blocks. Gazettement of theentire stretch of riverine forest from Garissa to Garsen is therefore consi-dered to be neither feasible nor necessary. Instead, three specific blockshave been selected for gazettement, based upon the present extent of actualriverine forest area, population density within the proposed block, andthe future pressure the area is likely to experience from the proposedProject.

3. These areas are cited in order of priority (see Map IBRD 12226R1):

(a) the Bura block, of approximately 70 squarekilometers of riverine forest to the eastof the Bura Project, and encompassingboth banks of the river;

(b) the Nanigi block, of approximately 85 squarekilometers of riverine forest surroundingthe river diversion structure site; and

ANNEX 9Page 2

(c) the Milalulu block, of approximately 90 squarekilometers of dense-medium Comiphera scrub,to the north of Hola Pilot Irrigation scheme.

Provision of Timber and Fuelwood

4. The demand of the Project population for timber and fuelwood hasbeen projected over a 20-year period on the basis of population estimates,per capita consumption and an assumed rate of substitution of fossilfuels for wood. A comparison of this demand with estimated supplies forthe natural vegetation has shown that unless the riverine forests are clear-felled, a policy which is not recommended, there will be a serious shortage offuelwood amounting to 45 thousand cubic meters of solid volume per annum bythe 1990's.

5. Four alternative sources of supply have been considered:

(a) dry land plantations near Garsen;

(b) partially irrigated plantations adjacentto the Project area;

(c) natural forests such as Witu and Boni tothe south-west of the Project area;

(d) fossil fuels such as kerosene.

Accepting that the riverine forests should be protected, the least costmethod of meeting the Project's demands appears to be to establish fuelwoodplantations, partially irrigated by utilizing the spare capacity of thecanal system which would be available for most of the year.

6. A plantation program has been prepared to meet the projecteddemand to the year 2000 based upon demand estimates, a rotation periodof 7 years and a conservative mean annual increment of 15 cubic metersper hectare per annum. The program is subject to modification followingrecommended species trials to establish optimum growth rates, but, in itspresent form, indicates that a net area of 3,900 hectares will be required forafforestation, giving a gross area of 4,500 hectares after allowing for roads,firebreaks, etc. Adjacent to and immediately to the east of the Project areathere are approximately 6,000 hectares above the Tana floodplain available forthe proposed afforestation program. If more than 25 percent of this areawere rejected after further investigations on the grounds of topography andsoil characteristics, the adjacent fringe of the floodplain could be utilized.A financial analysis of the proposed program indicates that the net returns tothe Project are likely to be relatively high, because the irrigation waterwould be surplus to agricultural needs and would thus be available at onlymarginal cost. The cost of pumping water in the first few years of theProject would not significantly affect the net returns.

ANNEX 9Page 3

7. Shade and amenity trees for the town and villages are consideredto be essential for the well being of the Project population. Experiencehas indicated that while part of the tree planting could be undertaken bythe tenants themselves as a community development undertaking, an organizedprogram of tree planting in public places would be desirable. The ForestDepartment, which has its own extension service, could undertake part ofthis program and it is recommended that the school in each village beinvolved in the remainder, possibly with the aid of the Wild Life Clubs ofKenya, an active conservation-oriented organization which could be given anannual grant by NIB to promote amenity tree planting. A number of species andmethods of watering have been proposed.

8. Research proposals are primarily related to carrying out statistic-ally replicated trials on 24 different species to establish those which willgive optimum growth rates under the proposed partial irrigation regime.Because these trials should be carried out as soon as possible, preliminarydiscussions have been held with the research team funded by the Governmentof the Netherlands and located at Bura. The team has indicated that inprinciple they would be willing to supervise the forestry trials providednecessary funds were made available.

9. Capital and recurrent costs have been estimated at constant 1977prices for the forestry development proposals as a whole for a 13-year period(1977/78 - 1989/90). In total a sum of about 41.5 million Kenya Shillingsis required. Of this about Ksh 32.5 million is required for the afforestationprogram; about Ksh 4.6 million for the forest reserves; about Ksh 2 millionfor an amenity program and about 2.4 million for the research program.Revenue from the plantations would not commence until the first clear fellingin 1988; thereafter both capital and recurrent costs could be met from currentrevenue.

May 15, 1977

ANNEX 9APPENDIX 1Page 1

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Preservation of Indigenous Forests -

1. Until recently vast land areas within the tropics have been cov-ered by forests. In the past few years much of this area has graduallybeen taken over by agriculture, as the fertile soils and the favorableclimate make the land ideal for cultivation. The tropical forests havealso been devastated by uncontrolled logging which has opened previouslyimpenetrable areas to unrestricted use by charcoal producers, pastoralistsand small farmers. These activities have disturbed the natural soil regime,and the result has often been leaching and pan formation, destruction oforganic matter, loss of plant nutrients and general soil erosion. Theestablishment of forest plantations to replace the indigenous forest coverhas received little support, with the result that today only marginal areasare still available for planting, and even in these areas there is constantpressure from agriculturalists and livestock owners.

2. Only recently has attention been drawn to the necessity of pre-serving at least representative samples of the various forest types.These forests demonstrate an unparalleled richness and diversity of life,and their preservation is essential not only as a learning tool for science,but also because they represent an important tool in the conservation ofvaluable land resources and a source of both present and future economicwealth. The destruction of these indigenous tropical forests is an irre-versible act whose ultimate environmental consequences are not alwaysfully appreciated. If the case for preservation is to be made in a cohe-sive and rational manner, however, some means must be found for evaluatingthe various conflicting interests and for establishing a scale of priori-ties. Once this has been done, an overall land use plan can be drawn up;this will not only help to minimize the adverse ecological effects of un-controlled forest development, but should also help to reduce the presentundesirable conflict of interest between foresters and agriculturalists.

1/ This appendix was prepared by Messrs. P. Brinck and P. H. Enckell,ecology consultants who participated in the IBRD Appraisal Missionfor the Kenya Second Forestry Plantation Project (Loan 1132-KE andCredit 656-KE) in September/October 1974.

ANNEX 9APPENDIX IPage 2

3. It has become evident that the only way to retain biological di-versity and to preserve the full richness and complexity of these indige-nous forests is to preserve an entire forest ecosystem. Early conserva-tionists made considerable efforts to preserve rare (endemic) species,irrespective of any concern for the status of the environment in whichthe species existed. This approach should be avoided, as it often leadsto isolation or extinction of the species in a small part of an incompleteecosystem. The survival of a rare species can be ensured only by preservingcomplete and viable parts of the ecosystem. Given present experience, it isevident that some form of legal protection is necessary if an ecosystem isto be allowed to remain undisturbed. The main instrument to be employedis the creation of a forest area under the administration of the ForestryDepartment. However, some method must be available to the administratorsso that they can make intelligent choices between different forms of com-peting land uses. Each proposal for the protection of a particular forestarea must be evaluated with extreme care, so that ultimately the most effec-tive sample of various forest types is preserved for future generations.The criteria outlined below are set forth as an indication of the varietyof factors which should be considered in making the necessary choices.

1/Conservation of Land Resources

(a) Soil status: organic contents,nutrients, texture.

(b) Erosion preventive features.

(c) Water catchment and influence on watermovement.

(d) Climatic influence: humidity, airfiltering capacity.

1/ It has been argued that carefully managed forest plantations andfarm crops can achieve these aims as well as natural vegetation.Given defined cultivation methods, short term experiments seem tosupport this opinion. Long term observations of prevailing condi-tions in most tropical countries seem to show that traditional formsof land use (i.e. the shamba system) are not sufficient to conservesoil and water resources. More research is needed on the importanceof tropical forests for water catchment, soil conservation and localclimate.

ANNEX 9APPENDIX 1Page 3

11Present Economic Value

(e) Exploitation of single tree species.

(f) Extraction of wood for fuel, housing,fencing, and carving.

(g) Habitats for game birds and mammals.

(h) Tourist attraction, because of scenicand recreational value and a rich anddiverse plant and animal life.

Future Economic Potential

(i) Development of uses for currently eco-nomically non-merchantable species oftrees and plants.

(j) Development of uses of active naturalchemical compounds present in largenumbers in forest plants and animals.

(k) Gene pools, retaining the range of varia-tion within the species, and forming thebasis for future search for attractivecharacters in useful species.

(1) Development of uses of ecological mechanismswhich stabilize inter-relations between speciesand (i) form the basis for future biologicalcontrol in the tropics and subtropics, and(ii) make control possible of the great var-iations in numbers of individuals occurringin exploited or otherwise perturbed ecosys-tems 2/

1/ Only (f) and (h) are of considerable importance. In practice, tourismincreases at a fast rate in countries where attractive forests can beopened for tourists by the provision of adequate facilities.

2/ It has been argued that chemists will produce needed substances in thelaboratory and that geneticists will use gene pools available in plan-tations and arboreta. This idea does not take into account the recentgreat development and success of natural products chemistry, nor thefact that plantations/arboreta contain only part of the genetic varia-tion of a small number of species.

ANNEX 9APPENDIX 1Page 4

Present and Future Scientific Value

(m) Differentiation in structure and func-tion of species and their adaptation tothe complex environment. This is thebasis of biological evolution.

(n) Optimum utilization of energy and soilresources. This is a characteristic ofhumid tropical forests in contrast toman-made ecosystems. The possibility ofstudying natural ways of increasing pro-ductivity.

(o) Biologically generated substances whichpass information and release reactionsamong individuals and species.

(p) Life forms analysis (autecology) of species.

(q) Degree of endemicity (species/genera restrictedto the area in question).

(r) Degree of diversity (complexity of plant andanimal communities).

4. Local Utilization of Indigenous Forests. All over Africa localpopulation groups meet their need of wood for fuel, housing, and fencingfrom indigenous forests and plantations. This consumption is considerable.For Tunisia, it has been shown that the daily ration of fuelwood is about2 kg per person (10-20 kg per family); and 80-150 kg are used per family forhousing purposes each year. The figures are similar in Kenya. This meansan out-take of 26,000 tons each day for fuelwood alone in Kenya (9.6 mil-lion tons each year). Housing material contributes about 6-7% of thisfigure. It has been calculated (FAOSWE/TF 28, 1970) that by the year2,000 total consumption will have doubled, while the plantation programis expected to yield only 1.25 million tons per year at that time. Thesefigures thus indicate that the pressure on indigenous forests will increaseconsiderably.

5. There are several different ways of neutralizing the impact ofthis trend. In Kenya one successful method used by the Forest Departmenthas been to surround forests in exposed locations with a protective zoneof plantations; this scheme should be extended. The Forest Extension Ser-vice serves the same purpose by stimulating local tree planting throughrural afforestation and County Council forestry schemes.

ANNEX 9APPENDIX 1Page 5

6. The Need for Documentary Studies of Indigenous Forests. The de-velopment of indigenous forests often results in widespread changes in theflora and fauna, the effects of which are often little known and poorlyunderstood. Under similar circumstances, certain countries have found itadvisable to provide funds for documentary studies of the various ecosys-tems. In Kenya the possibilities for such a study are particularly favor-able owing to the capability of the National Museum and its staff. It isrecommended that studies of this kind be undertaken under the auspices ofthe Museum.

ANNEX 10Page 1

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Wildlife, Fisheries and Ecology

I. WILDLIFE

1. Although animal densities tend to be low, the Tana River Districtis an important area for wildlife in Kenya. The Project can be expectedto affect some 1,500 square kilometers of wildlife habitat. The loss ofthe actual area to be irrigated will not have such serious consequencesfor wildlife as the restriction of access to the riverine forest, thegood grazing of the floodplain and the river itself. The proposed supplycanal which will bring water from the diversion structure near Nanigito the Project area is of particular importance in this respect, andprovision will have to be made to enable animals to cross this canal.

2. The revised designs for the supply canal provide for invertedsiphons to carry the canal across natural cross-drainage lines, and thesemay be used by animals to cross the canal alignment. Additional crossingsmay be necessary: preferably these should also be inverted siphons, but ifthese are too expensive, fords or drifts might be built within the canal.It is proposed that initially three such additional structures may be built,their locations being determined at the time of construction of the canalfollowing discussions with Wildlife Management Service personnel and the TanaRiver Development Authority. Allowance has been made in the estimates for afurther four ford crossings which may be built after the canal has beenconstructed if there are additional sites of high challenge.

3. Eleven drinking pools would be provided along the west side of thesupply canal, preferably some 250 meters from it: these would help reducethe number of animals wishing to cross the canal. The construction ofextensive fences to reduce wildlife damage to the supply canal cannot bejustified either on the grounds of effectiveness or expense. Experienceat Hola has shown that after a time game animals become accustomed to thecanal and cause little damage. The proposed siting of the settlement villagesaround the perimeter of the irrigated area is well suited to reducing thechallenge of wildlife to the cultivated area. The main canal to the west andthe drainage channels to the north and south of the irrigated area would alsodo much to reduce damage by wildlife. Fencing of the irrigated area isconsidered to be of questionable value and trenching too expensive. It isproposed that trials should be started in 1978, at Hola, in conjunctionwith the forestry species trials, using vegetative barriers of Opuntiaficus-indica and Euphorbia grandicornis. These may well prove a cheapmethod of excluding wildlife from the irrigated area.

ANNEX 10Page 2

4. In 1980 twelve game scouts and one Junior Warden would berequired to limit poaching, control wildlife within the irrigated areaand deal with any game animals which may be trapped in the canal.

5. The development of the east bank of the Tana River (the expectedStage II of the Project for which feasibility studies are provided for underthe Project) would be detrimental to the endemic Hunter's Antelope. Theproposed irrigated area on the east bank of the river is a center of con-centration for this animal and adequate safeguards must be provided if thisarea is to be developed.

II. FISHERIES

6. Although there is little commercial fishing in the vicinity ofBura, fishing is an important activity, and most of the riverine peoplefish to supplement their diet. Commercial fishing is undertaken downstreamof Bura, but a ban on the use of nets introduced in mid-1975 has resulted inmuch reduced official recorded landings.

7. The Project's diversion structure will not hinder the migration offish going upstream to spawn, because this migration occurs during theflood period. The possible reduction of peak flood levels downstream ofBura may affect fishing because the main source of fish, the riverinelakes, may receive less river water.

8. There is a considerable potential for fish farming near Bura andthe development of this activity would provide a valuable protein supplementto the Project population's diet. Because of the possible problems ofpesticide residues, any fish farming should be located north of the irrigatedarea. It is proposed that fish farming trials be established in 1981 toinvestigate the potential production from fish tanks and from fish cagessuspended in the supply canal.

III. ECOLOGY

9. To determine the effects of the Project on aquatic and ter-restial ecological systems it is proposed that a number of studies becarried out. These would commence before the Project is commissionedso that base-line data can be obtained against which subsequent datacan be compared. The studies include:

(a) wildlife;

(b) forestry;

ANNEX 10Page 3

(c) fisheries;

(d) pesticide residues;

(e) soils;

(f) groundwater;

(g) health and nutrition;

Details of these proposed studies are set out in Annex 21, Monitoring andEvaluation.

May 15, 1977

ANNEX 11Page 1

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

The Cotton Industry and the Cotton Lint and SeedMarketing Board (CLSMB)

Background

1. Despite its small size in relation to the total Kenyan economy,the cotton industry is important because in the lowlands (including mostof Coast and Nyanza Provinces, and part of Central, Eastern and WesternProvinces) cotton is the longest established traditonal cash crop. Cottonis also becoming increasingly important to the local textile industry. Withfive existing major cotton mills and two under construction, the Kenyan in-dustry will have a total capacity of 56 million sq.m. when in full operation.This would still be below domestic consumption, estimated at 70-80 millionsq.m.

2. Cotton was introduced into Kenya in 1906 by a private companyassisted by the British Cotton Growers Association, but its commercialdevelopment was so unsuccessful as compared with cotton development inneighboring Uganda that two of the first three ginneries (in Asembo Bayand Malakisi) were dismantled and moved to Uganda. Later with Governmentand private ginning company encouragement, cotton growing was adopted bysmallholders, and lint output increased from about 17,000 bales in 1963/64 to about 30,000 bales in 1972/73 planted over about 76,000 hectares.Ginnery ownership and management, however, remained in private (largelyexpatriate) hands. In recent years it has become established Governmentpolicy that, in order that farmers should reap the maximum return from thecotton industry, ginneries may be bought out by farmers' cooperativesexcept for a few in special areas (e.g. irrigation schemes) which it hasbeen agreed would remain under private or statutory board ownership. InSeptember 1975, there were 11 ginneries in Kenya, of which 3 were ownedby farmers' cooperatives, 5 by private individuals and companies, and 3by the Cotton Lint and Seed Marketing Board (CLSMB).

3. Cotton production in Kenya in 1975 was still at 1972-73 levels.Of the 30,000 bales which Kenya grows, about 25,000 are of good qualitylonger staple AR variety and 5,000 bales are of the shorter staple BRtype. Since BR cotton is preferred by the local industry, Kenya hastraditonally sold about 24,000 bales of AR cotton for export andimported about 75,000 bales of BR cotton for its domestic needs fromTanzania and Uganda. Because of the decline in Uganda's cotton produc-tion and Tanzania having committed itself for cotton exports elsewhereand increasing its own consumption, Kenyan mills are actively searchingfor new long-term sources of supply.

ANNEX 11Page 2

4. CLSMB is a statutory corporation established in 1955 under theCotton Lint and Seed Marketing Act. 1/ It has wide-ranging powers forregulating and servicing the cotton industry in Kenya including, forexample: power to buy and sell raw cotton, lint, and seed; prescriptionof cotton seed and ginnery standards; licensing and inspection of cottonstores, marketing, ginneries and factories; treatment of cotton diseases;financing ownership and operation of ginneries; financial, technical andother assistance of cotton growers, growers' cooperatives or ginners;and fixing of prices (with ministerial approval) for seed cotton, cottonlint, and cotton seed.

5. There have been persistent complaints over the years about theway the Board carried out its functions. The reasons for the complaintshave been, among others: absence of a strong, independent and well informedexecutive capacity; lack of continuity in management; inadequate agricultural,financial, costing, credit, pricing and marketing policies; and constructionof new ginneries despite a stagnant raw cotton output which left ginneriesoperating well below capacity. These complaints led to the appointment ofseveral committees of inquiry, including the Cotton Workiig Party of 1971,and the 11-man Reorganization Committee which reported in June 1974. Theseinquiries have, between them, recommended improvements regarding everyaspect of the Board's activities. Although most of the recommendationswere accepted by the Government, many of them were never implemented. Thusin August 1975, the Government appointed yet another Committee of Inquiryto investigate allegations of mismanagement in the Board. As a result ofthe recommendations of this Committee the General Manager and his fourmost senior staff were dismissed early in 1976 and new management broughtin.

6. In addition to the appointment of new management, a number ofother measures have been taken or are about to be taken. Some of thesemeasures arise from recommendations made by the Bank/IDA in the course ofappraising the Integrated Agricultural Development (IADP) Project (Loan No.1303T-KE and Credit No. 650-KE) in 1975 and certain of them are the subject ofconditions to the Bank/IDA's lending for that Project (Appendix 1). They arediscussed below:

Composition of the Board

7. The composition of the Board is prescribed in Section 3(a) of theCotton Lint and Seed Marketing Act. Representatives of the growers werein the past appointed by the Minister of Agriculture after consultation withthe Central Agricultural Board. They are now to be elected from among thegrowers in the main cotton growing areas. Section 3(2)(a) of the Actspecifies that representatives should be designated also from the cottonindustry. They are now to be chosen both from among local spinnersand from exporters, thus helping the Board to acquire a knowledge ofthe competitive market interest of various groups.

1/ The Act became effective in Nyanza and Coast Provinces on July 1,1955, and in other parts of Kenya somewhat later.

ANNEX 11Page 3

Functions of the Board

8. Marketing of Lint and Seed. It has been agreed that the primaryresponsibility for the marketing of lint and seed should rest with the ChiefExecutive of the Board and that the Board should employ a marketing officerwith appropriate qualifications to assist him. In order to help the officersmake judgements as to the quantities of lint to be sold, the time of sale andthe price reserves to be set, the Board should subscribe to a daily adviceservice which would provide up-to-date information on the prices of equivalentgrowths in the main cotton export markets. It was agreed at negotiations forthe IADP project (Appendix 1) that it should be a condition of effectivenessof that project that the CLSMB should employ a marketing officer 1/, a financialcontroller and a chief accountant with qualifications and experience satisfactoryto the Association. The status of these appointments was reviewed at negotia-tions for the Bura Project. The Board has filled satisfactorily the posts offinancial controller and chief accountant, but has had difficulty in finding asuitable marketing officer. However, it is negotiating at present for theposition to be filled under French bilateral assistance and expects to proposea candidate for the Association's approval shortly. The Government and theAssociation therefore agreed at negotiations for the Burea Project that theappointment of the marketing officer should be made by December 31, 1977.

9. It was also agreed at negotiations for the IADP project (Appendix1) that the CLSMB will sell all lint and seed by public auction and willpublish the results of such sales promptly after each auction. There will beno restrictions applied to the sale, ownership, use or export of cotton orseed produced in Kenya which have as their purpose, or their probable effect(a) discrimination between (i) purchasers who intend to export from Kenyathe cotton lint or seed purchased, and (ii) purchasers who do not so intend,or (b) restriction on the export of cotton lint or seed. All sales of cottonlint or seed will be made pursuant to standard contracts acceptable to theAssociation and contracts will be concluded only with purchasers who haveopened irrevocable letters of credit in favor of CLSMB for at least theamount of the purchase price. The Government would submit its proposedstandard contract to the Association. The present situation in regard tothese undertakings was also reviewed at negotiations for the Bura Project.The Board has introduced a system of sales by auction which has resulted ingreatly improved sales prices. It has not yet instituted the formal publi-cation of the results of the sales but intends to do so shortly. It is in theprocess of preparing its proposed standard contract for submission to theAssociation. It was therefore agreed at the Bura Project negotiations thatthese actions should be taken by December 31, 1977.

10. The Chief Executive would benefit greatly by the recruitment ofa qualified lint classifier whose main function would be to establish andmaintain the FA (first grade) standard box for each zone against which AR(first quality) lint sales are made, as well as the UG (undergrade) boxused to determine the extent to which any sample which is the subject ofa quality claim falls below the FA standard. This lint classifier would

1/ It was agreed subsequently, however, that the appointment of a mar-keting officer should not be a condition of effectiveness. InsteadMarch 31, 1977 was established as a deadline date for the appointment.

ANNEX 11Page 4

be the Board's main spokesman in discussions with claimants with regardto quality defects (prior to resort to arbitration). The classifier shouldalso study the possibility of establishing premium grades for the variouszones, which could then be the subject of separate sales against a premiumstandard. Tfls would be of particular importance for the Bura Project whosecotton lint is expected to be of premium quality as compared with lint grownunder rainfall conditions. It was agreed at negotiations for the IADP project(Appendix 1) that the CLSMB would employ a lint classifier not later thanDecember 31, 1976 but this has not been done. As in the case of the marketingofficer (para 8) the CLSMB has had difficulty in filling this position, butexpects it to be filled under French technical assistance. It was thereforeagreed at negotiations for the Bura Project that the appointment should bemade by December 31, 1977.

11. Ginnery Inspection and Training of Gin Fitters. The Board shouldemploy two qualified mechanics trained in gin fitting and maintenance. Thesemechanics would be responsible for the inspection of ginnery operations andthe correction of faults; they would also provide on-the-job training forlocal fitters and mechanics employed by the ginneries. These staff shouldthen establish a formal inspection and training routine. Prior to theopening of the ginning season in each zone, the inspectors would selecta central ginnery and invite all local mechanics and fitters from theginneries in that zone to attend a training course in gin fitting andmaintenance; the group would then prepare and set up all the equipment inthe ginnery under the guidance of the inspector. For maximum impact andin order to ensure continuity of standards, this course should be offeredannually in each zone. During the actual ginning season, the inspectorsshould ideally visit each ginnery at least once a month to check for faultysetting and maintenance of the openers, gins, rollers and presses. Anyfaulty equipment could then be stopped and repaired under the inspector'ssupervision. The inspectors would also be responsible for running testsof the ginning outturn percentage (GOP), and for reporting the results tothe Board. These tests should be carried out at least twice per seasonat each ginnery. Finally, the inspectors would be charged with ensuringthat no BR (second quality) cotton is ginned before AR (first quality) cotton;if this procedure is not followed much time can be lost in making the neces-sary adjustments to the rollers and knives ruined by the BR cotton. It wasagreed at negotiations for the IADP project that the CLSMB would employ twoginnery mechanics not later than December 31, 1976 and this has been done.

12. Improved Seed. One of the most important responsibilities of theBoard is the treatment and distribution of new seed for planting. Particularattention should be paid to this area if yield increases are desired. TheBoard is expecting to obtain experienced staff, also under French technicalassistance, to institute a seed multiplication and distribution system.

Board Financial Controls and Accounting Procedures

13. Financial Controls. At present the Board's overhead costs areconsuming about 5% of its gross receipts from the sale of lint and cotton.As cotton yields are increased and Board operations streamlined, thispercentage would be significantly reduced, thus freeing funds for other

ANNEX 11Page 5

and possibly new operations. Specifically, the Board is consideringthe establishment of a price assistance fund for growers to help protectthe farmer against sudden down-turns in prices, and on occasion it mightbe possible for it to pay a short crop bonus when circumstances beyondthe farmers' control have reduced the level of production. Assumingproduction can be increased in the next several years, and if world pricescontinue to gradually advance in accordance with IBRD forecasts, it ispossible that a fund as large as Ksh 4.0 million could be built up overa period of 4 to 5 years. In addition, it was agreed at negotiations forthe IADP project (Appendix 1) that the CLSMB would provide security ofadequate returns to cotton farmers, including a guaranteed minimum pricepublished annually before planting, and would adopt a system under whichthe profits of CLSMB (above a certain level) from the sale of cotton lintand seed would be returned to cotton farmers. The detailed plans and pro-posed program for the introduction of these reforms are to be submittedto the Bank for its approval by December 31, 1977. Assurances wereobtained at negotiations for the Bura Project that the guaranteed minimumprices would be published annually not later than January 1 of each year, thatsuch prices would be set at levels adequate to maintain incentives to farmersto grow cotton and that by 1980, based on prices realized at auction, theCLSMB would introduce a system of premium prices taking into account highergrades of cotton and varieties produced under irrigation.

13. Accounting Procedures. The Board has recruited a Chief Accountant,along with an appropriate staff of accountants, invoice clerks and book-keepers. The Chief Accountant will, in addition to preparing the annualaccounts and financial statements, devise a system of controls to ensurethat proper payments are made for the actual quantities received (i.e.seed cotton by the ginneries, lint by the buyers, and seed by the oil mills).The Gross Outturn Percentage (GOP) tests made by the Inspectors would providea useful guide as to the volume of lint and seed which should be producedby each ginnery from the seed cotton received and paid for by the Board.Also, efforts should be made to ensure prompt payments at all levels tohelp keep costs to a minimum.

Ownership of Ginneries

1]4. In order to ensure that the farmers reap the maximum return fromthe cotton industry, Government policy now encourages cooperative societiesto acquire and manage most privately owned ginneries. However, coming fromlowly rural backgrounds and without previous experience of industrial enter-prises, the tenants in the Bura Project could not be expected to be able toparticipate effectively in the ownership and management of the Project'sginnery for many years. The Government has therefore agreed that the NIB wouldown and operate the ginnery and would not delegate its ownership or operationto a farmers' cooperative before 1987 or such earlier date as the Bank/IDAaccept.

ANNEX 11Page 6

Prices to Growers

15. Prices tu growers have increased substantially over the pastcouple of years. In January 1975, the prices for AR cotton were raisedfrom Ksh 1.40 to Ksh 2.00 and those for BR from Ksh 0.70 to Ksh 1.00. InJanuary 1976, the AR and BR prices were further increased to Ksh 2.50 andKsh 1.25, respectively; in February 1977 they were increased again to Ksh3.20 and Ksh 1.50, respectively. These substantial increases should providethe Kenyan growers with sufficient incentive to intensify production.

Lint Price Formula

16. The Board, in line with a Government request, has begun a studyof possible new formulas by which ginneries could be paid for ginningservices. At the present time, the Board is utilizing a revised versionof the old formula applied in neighboring Uganda, under which a ginnerreceives a standard first payment for his services plus a second variablepayment determined by his submission of returns of opening and closingstocks of consumable stores and actual costing of the variables involved.Thus, every ginnery would appear to be operating on a cost plus basis,regardless of throughput and with no real check on variable costs. Thereis now considerable support, both within the Board and in Government, forthe abandonment of the old formula and the adoption of a fixed ginningprice. This desire for simplicity is understandable, but it is also truethat unless the reimbursements are based at least in part on costs, thereis a risk of over or underpayment with the latter posing a real threat tothe viability of marginal enterprises. The choice then appears to bebetween a different price level to every ginnery based on capital employedin buildings and equipment, variable costs and throughput (i.e. fixed andvariable costs plus a fixed margin of profit) or a uniform price to allginners giving differing profit or loss levels and thus an incentive tooperate to maximum economic efficiencies.

17. Thus various alternatives should be considered by the Boardbefore making any final decision on this point. Initially, the problemcan be simplified by separating the buying from the ginning function,thus reducing the level of variable costs. The cooperative societiesand the unions might be given exclusive collection or buying rightsfor seed cotton, and be paid themselves directly by the Board on thebasis of weight notes signed jointly by the society or the union repre-sentative and the ginnery representative. This procedure is alreadybeing followed in several areas, and would be relatively simple to insti-tute for Bura. This change would then leave the separate question ofremuneration for the ginning and baling operations. Two differentapproaches in this regard might be considered by the Board. One solu-tion would be to divide the ginneries into classes; cost analyses of both

ANNEX 11Page 7

the fixed and variable (staff) overheads could then be made and lump sumfirst payments fixed for each class. Other variable costs (e.g. costsof fuel, oil, grease, hessian, twine, baling hoops, studs, etc.) couldbe determined by reference to the main suppliers as of a fixed date inadvance of the opening of the ginning season; these costs plus an agreedprofit could then be remitted to the ginners as a second payment ondelivery of the cotton bales. A second method would be that, assumingthat all ginneries are owned by the cooperative societies or unions,the Board could sell the bales and seed and after a deduction of anagreed percentage to cover the costs of marketing and mangement incurredby the Board, pass the proceeds back to the ginneries. Once the ginnerycosts of transport, ginning and buying were deducted, the remainder wouldbe available for distribution to the members of the cooperatives. Itwas agreed at negotiations for the IADP project (Appendix 1) that theprecise formula to be adopted would be submitted to the Bank for itsapproval by July 1, 1977.

Terms and Conditions of Sale of Lint and Seed

18. Sales. The Board has recently instituted sales by public auction.Previously, lint and seed were sold separately by private treaty afterinvitation to exporters, spinners and oil millers, and the results ofthe sales were not published. A public auction assures all participantsthat the sales are being carried out in a regular and impartial manner.The standard sales contract is also being revised in order to expeditethe proceedings, and will provide for the need for ensuring prompt paymentby the buyer and that no party shall be permitted to bid or tender for seedor cotton lint unless an adequate irrevocable credit has been establishedin the name of the CLSMB prior to the sale. Such a contract should alsodefine clearly the period within which quality claims would be entertained,and should establish the arbitration procedure to be adopted in the eventof disputes.

19. Transport. Some economies would be achieved by the Board if alllint and seed were sold on an ex-ginnery basis with transport paid by thebuyer. Sales of lint would best be made in 200-bale lots and shouldpreferably be made before ginning. In this way the buyer could have anagent at the ginnery to watch the ginning of his purchases and to checkdelivery weights (no weight claims would be admitted thereafter). Thisprocedure would help to ensure accuracy of weighing and recording, andwould allow the Board to pay the ginneries only for the exact weightrecorded, thus reducing the chance of over-payments. Owing to the in-accessibility of the area, seed cotton from Bura should be sold on anf.o.b. Mombasa basis.

20. Quality and Price Controls. All sales of AR lint cotton arepresumed to be made against a standard FA (first grade) standard box(para 10), which is renewed annually to ensure against quality erosion.Consideration might be given to the establishment of at least one other

ANNEX 11Page 8

box representing the UG (undergrade); the differential in cents per poundto be paid for each could be agreed annually by the Board's classifiers.This procedure could help greatly in the arbitration of quality claimsby providing a more exact standard of comparison. Recently the KenyaGovernment has put a limit on the price at which cotton seed oil may besold, thus depressing the price tendered by the oil millers for thecotton seed offered by the Board. With no control on the latter price,and without detailed knowledge of the standard processing costs, thereis clearly no well-defined policy allocating the benefits of cotton seedbetween the grower, the Board, the oil millers, and the consumers of theoil. This matter is to be considered in conjunction with the financialand accounting plans to be submitted to the Bank by December 31, 1977(Appendix 1).

Requirements of the Kenya Spinning and Weaving Industry

21. Until open public auctions were instituted, the volume of cottonlint allocated for sale to local spinners and for export had been determinedby the, Board, with the supplementary requirements of the domestic textileindustry being met by the purchase of BR lint from Uganda and Tanzania.Kenya's AR staple cotton, 1-1/16" and better, is of a higher quality thanrequired for much of the local textile production and thus, other thingsbeing equal, it is more economical to export the Kenya AR lint and importlower grade and shorter staple cotton from Pakistan, India and other countriesto supplement the supply of East African BR cotton. By offering all lintcotton in public auction to both cotton exporters and local spinners, marketforces are thus left to decide how much AR cotton should be exported orretained for local consumption, and the price offered to the CLSMB and theproducers (through guaranteed minimum prices and bonuses) should equate theexport parity price.

ANNEX 11

Appendix 1

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Schedule 6 of Development Credit Agreement for Kenya:Integrated Agricultural Development Project; Credit No. 650-KE

This Appendix is available in the Project File.

ANNEX 12Page 1

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Feasibility Studies of Stage IIIrrigation Project on the Lower Tana River

1. Agricultural development on the east bank of the lower Tana Riverwill be possible in future, after flow regulation has been provided in theupper reaches of the basin (mainly by means of the on-going Upper TanaReservoir). Water will be the limiting factor to irrigation projects, andthis will depend on releases from the Upper Tana Reservoir and existingreservoirs during the dry season. The reservoirs will have to be operated insuch a manner as to satisfy the demands of irrigation, power production anddomestic and industrial water supply.

2. Preliminary reconnaissance soil surveys have identified an areaof more than 60,000 ha of soils on the East Bank as likely to be suitablefor irrigation. The Tana River Development Authority has confirmed thelikely availability of sufficient water, after the construction of the UpperTana Reservoir, to irrigate up to about 25,000 ha. It has therefore beendecided to undertake pre-investment feasibility studies, financed underthe Bura Project, for the development of a Stage II irrigation project onthe East Bank of about 25,000 ha.

3. It is unlikely that financing decisions for this possible StageII development would be taken before the early 1980s. Since the conclusionsof a full feasibility study conducted Immediately would not be likely toremain valid so far ahead, consideration has been given to postponing thestudy until towards the end of the implementation of the Bura IrrigationSettlement Project, by which time also the experience of the Bura Projectwould be available to provide guidance for east Bank development. However, itwould be necessary to establish the feasibility of East Bank development inorder to finalize the location and design of the Bura diversion structure,which is intended to provide gravity diversion for both West Bank and EastBank development. For this a feasibility study will have to be completedby October 1977 to permit its findings to be taken into account in the finaldesign of the structure.

4. In the light of the above considerations it has been decided toundertake the feasibility studies in two phases. Phase I, which is thesubject of the following terms of reference, would be a preliminary feasibi-lity study concentrating mainly on technical feasibility, with agriculturalproduction, economic, social and financial inputs extrapolated from the BuraProject's Project Planning Report. The Phase II study, for which terms ofreference would be agreed between the Government of Kenya and the Bank/IDA ata later stage, would update the findings of the Phase I study in relation toactual experience on the Bura Project and updated costs and benefits and itsfindings would be presented as a full feasibility study.

ANNEX 12Page 2

5. The area of the East Bank Project is at a distant location, present-ing serious access difficulties. Some of the aspects of the East Bank Projectwill be similar to those prevailing in the Bura Irrigation Settlement Project(agriculture, settlement, buildings and infrastructure, organization andmanagement requirements, etc); it is therefore advisable to take full accountof experience that can be gained in the Bura Project. Initially, for thePhase I study, the findings of the Bura Project Planning Report on suchaspects would be accepted as being adequately applicable to the East Bank areafor the purposes of establishing preliminary feasibility.

6. The soils studies necessary for the feasibility study would beconducted as part of the Phase I study. They would be undertaken either bythe Government with a liaison input from consultants or alternatively entirelyby consultants. If done by Government, the capacity of the Ministry ofAgriculture's Kenya Soil Survey Project would have to be supplemented urgentlyby additional experienced staff. It is understood that the Government hasapproached the Netherlands Government to provide this staff as an extensionof their existing technical assistance under the Kenya Soil Survey Project.A decision on this aspect would have to be taken as soon as possible topermit the responsibility for the execution of the work to be defined and itstiming agreed upon.

7. The Phase I feasibility study would cover the following subjects:

(a) Semi-detailed soil survey and land capability classification

A soil survey would be undertaken for the areas under con-sideration for development, with soil maps on a scale 1:20,000,covering about 40,000 - 50,000 ha. An appropriate density ofobservations would be attained on a grid with cut lines formingrectangles of 200 m by 500 m, with one observation at eachintersection of cut-lines. Soil observations would be carriedout by augers or pits to a depth of 2 m. Not less than 5% ofthese observations sited throughout the project area would beextended by augering to.a depth of 3 m in order to furnishinformation on the lower substrata. A sufficient number of thetotal observations would be sampled throughout the majorhorizons to classify the soils by their suitability for irri-gation. The following analytical data would be obtained inmobile field laboratories:

pH of a saturation extract;

Conductivity of a saturation extract;

ANNEX 12Page 3

exchangeable sodium percentage; and

permeability of disturbed (air-dry, 2 mm) samples.

The survey reports following the investigations wouldinclude the usual details of climatology, geomorphology,pedology, vegetation, land use, etc. The semi-detailedsoil survey reports and land capability classificationwould contain, in addition to the above-mentioned generalrequirements, the following:

(i) a description of the procedure of the soil survey;

(ii) a description of the method of aerial photo-inter-pretation;

(iii) tables with analytical data from the profile pitsand borings for each site;

(iv) a location map of all profile pits and borings;

(v) a study of the requirements for land levellingbased on detailed topographical surveys of asufficient number of sample areas to give signi-ficant results applicable to the area as a whole.In the event that non-saline, non-akaline topsoilsare encountered overlying saline and/or alkaline sub-soils at shallow depth, the feasibility of carryingout effective land levelling without exposing thesubsoil in subsequent cultivations will be demon-strated by such sample studies prior to includingthe soils in an "irrigable" class in the classi-fication system.

(vi) if requested by the Government, a taxonomic soilclassification map, in multi colors to a scale of1:20,000 or some other suitable scale to be agreedwith the Government, showing the boundaries of theirrigable areas;

(vii) a land capability classification map, in multicolors, for irrigated cultivation. The soil wouldbe classified according to U.S. Bureau of Reclama-tion standards, adjusted where necessary to fitKenyan experience. Land classes Nos. 1, 2, 3, 4and 6 would be delineated at 1:20,000 scale showingthe boundaries of the irrigable areas; and

ANNEX 12Page 4

(viii) a review of the capacity of the soils to supportand maintain production over the life of the pro-posed project under irrigation at the intensityproposed under the project, paying attention tofield drainage requirements.

(b) Proposed agriculture - including forestry and animal husbandry

The findings of the Bura Project Planning Report in respect of thefollowing would be taken into account in the study, mainly by extrapolationfrom the Bura Project:

(i) a review of possible crops and an estimate cf yields;

(ii) alternative cropping patterns, cropping intensities,rotations, and planting dates;

(iii) mechanisation of agricultural operations, includingestimation of requirements of tractors and farmequipment month by month throughout the year;

(iv) costs of marketing, processing, etc.;

(v) cash yields, returns per hectare, farm holding sizes,labor requirements, mechanization and working capitaletc.;

(vi investigation of the role and significance of animalhusbandry in the development of the project area,paying particular attention to the utilization ofcrop residues by livestock. The potential for feed-lot fattening of range-reared animals would alsobe reported upon;

(vii) an assessment of the project's needs for forestconservation and afforestation, with proposals formeeting them in a timely manner; and

(viii) an overall assessment of the probable status ofagriculture following the development of the projectwith information on cropping patterns, areas, yields,water requirements, markets for increased production,probable farm prices, development period, expectedgross value of production, expected farm productioncosts and net value of production.

ANNEX 12Page 5

(c) Enginee-ing investigations

(i) hipping of the irrigable project area at a scaleof 1:10,000 with contour lines every 0.25 m.

(ii) Preliminary site surveys and foundation investiga-tions, where necessary, for major irrigation workssuch as canals and structures; and constructionmaterials investigations.

(iii) Layout plans of main and branch canalisation anddrainage. Cost estimates for project canalisationand drainage system and estimates for controlstructures and unit: costs for construction. Minorcanalisation and drainage layouts and estimateswould be based on typical areas and/or deducedfrom costs of construction in the Bura Project.Particular attention would be paid to detailedestimates of the extent and cost of land levellingif any, required for the field irrigation systemrecommended for adoption in the project.

(iv) The preparation of outline designs, where required,and cost estimates including annual recurringcharges for the project works, namely:

Irrigation works

Irrigation canals and major drainsDistribution and drainage system, roadsEquipment and vehicles for operation andmaintenance of irrigation works

(v) Review of water availability for irrigation anddetermination of overall water demand in the projectfor irrigation and other uses.

(vi) Collation and review of existing information ongroundwater levels, groundwater availability andquality. A decision would have to be made whetherthere is adequate justification for continuing thesearch for non-saline groundwater.

(vii) The system of operational control of water releasesfrom the reservoirs which should be adopted to ensureadequate water availability for the project.

(viii) For the following components, the conclusions of theBura Project Planning Report would be extrapolated tothe East Bank study:

ANNEX 12Page 6

Buildings and utilities

Buildings for project administrationincluding offices, workshops, projectstaff housing, water supply and tele-communications

Physical and social planning of villagesand towns

Infrastructure including roads,water supply and electrical dis-tribution

Buildings for public administra-tion, community services andcommerce

Substations and transmission lines

Transportation, processing and storage

Agricultural equipment and vehicles

Equipment and vehicles for road main-tenance

Public health, community developmentand education

Agricultural experimental stations andfarms

In addition the estimates would include itemsfor administration and overheads, consultantsand studies, physical contingency and priceescalation.

(d) Wildlife

The consultants would carry out a study of the wild-life in and around the project area. The survey andcollection of factual information would lead to anassessment of future interaction between wildlife andthe project. The study would include observations ofanimal densities, use of habitat, local movements andmigration routes. The objective of the study is toindicate ways to minimize adverse reciprocal effectsbetween the wildlife and the project.

ANNEX 12Page 7

(e) Organization and management

The conclusions of the Bura Project Planning Report wouldbe extrapolated to the East Bank study in respect of thefollowing considerations:

(i) size of holdings;

(ii) management units, block areas, etc;

(iii) alternative systems of agricultural administra-tion, etc;

(iv) research and extension services required;

(v) methods of recovering project costs from the farmersby land and water charges, taxation, etc;

(vi) cost of management services, including capitalcharges and annual recurring costs;

(vii) recommendations for training project staff and farmers;

(viii) organization of local government and provision ofsocial services (including public health and education),town planning, etc.; and

(ix) selection of settlers and provision of settler housing.

(g) Economics of the project

A full economic and financial assessment would be madeof the project including:

(i) cost of the works including a detailed time scheduleof the investments, duration and year to year expenditure;

(ii) a split of the investments item by item and from yearto year over local and foreign currency components;

(iii) estimates of the gross annual yield and annual agri-cultural cost incurred by the farmer including costsof spraying, ploughing, etc., including farm budgetsdemonstrating the farmer's capacity to repay projectcosts without losing his incentive to produce;

ANNEX 12Page 8

(iv) an estimate of the net benefit of the irrigatedagriculture compared with the estimated net benefitfrom the existing agricultural and livestock production;

(v) an estimate of the annual recurring charges including:irrigation maintenance and operation, agriculturalmanagement and services, including maintenance of roadsand buildings;

(vi) calculation of the economic and financial internalrates of return;

(vii) the net benefits of the project to the Government'srevenue taking into account Government's cost re-covery from water and land charges, taxation, etc.,and its annual recurring charges on the project;

(viii) the net effect of the project on the nationaleconomy, its capital output ratio, etc.; and

(ix) the net benefits of the project to the country'sbalance of payments, increases in exports and/orimport substitutes, increases in imports of rawmaterials, etc.

The Government's investment and recurring costs would be shownseparately as well as the farmers' capital and operating costs.In addition to the internal economic rate of return, a sensitiv-ity analysis would be made, in respect of foreseeable riskswhich might affect the project's economic viability. The Govern-ment's expenditure and receipts associated with the projectwould be shown in a cash flow projection covering the first 15to 20 years of the project.

(h) Additional studies

The consultants would identify in outline any additionalstudies which they may recommend should be completed priorto initiating the implementation of the project, e.g. aproject planning report.

(i) The feasibility report

The feasibility report would record the results of all theinvestigations enumerated above, and would be supported by:

(i) layout plans of the main and major canalisation; and

(ii) outline designs for the major irrigation, drainageand river control structures.

ANNEX 13Table 1

ENYA

BURA IRRIGATION SETTLEMENT PROJECT

8uarvof Pro eat Costs(ten 050oo

Foreign 7%77/78 78/79 79/80 80/81 81/82 Total E.coanse Taxes

I. IRRIGATION WORKS

(a) River Works _ 17,710 35,000 7,000 - 59,110

(5) Temporary Pumps 1,030 3,650 - _ _ 4,680(a) Supply Canal 5,110 22.640 8,910 - - 36,660

(d) Main Canal 4,750 4,750 2,109 - - 11,609(s) Irrigation Network 3,650 11,000 11,000 4,248 - 29,898(f) On-Farm Development WorKs - 11,690 10,225 1,211 - 23,126

Sub-Total I 14,540 71.440 67.244 12.459 - 165.683 55 10

II. WILDLIFE CONSERVATION WORlS - - 1.512 - - 1.512 55 10

ITl. ROADS AND AIRFIElDS

(a) Garisso-Gorseo and Nonigi Access 8,100 1,896 - - - 9,996(b) Mainteosoce of Roads 365 1,048 855 - _ 2,268(c) Surfscirg of Schesia Roads - - 900 900 300 2,100(d) Landing Strips - - 365 475 840

Sob-Total III 8.465 2.944 1.755 1265 775 15.204 50 10

IV. BUILDINGS AND IRFRASTRSCTURES

(e) Settlers' Dwellings - - 4,500 7,200 8,900 20,600(b) Village Infrastr-ctore 2,560 21,500 13,980 5,340 3,940 47,220(c) Education - 1,440 2,260 1,800 5,500(d) Social Services - - 931 612 866 2,409(o) Administration - - 3,634 1,964 2,898 8,496(f) NIB Buildings 10,165 8,240 6,985 8,032 3,455 36,877(g) Public Health 745 2,275 2,110 378 - 5,508(h) Forestry, Wildlife, Misc. Bldg.. 500 1,000 1,000 1,000 635 4,135

Sub-Total IV 13.970 33,015 34.580 26.786 22.494 130.b45 33 10

V. PUBLIC HEALTH

(a) Vehicles - 170 255 - - 425(b) Salaries 162 274 357 357 449 1,599(c) Opre.tion and Maintenance 170 710 751 1,166 1,166 3,963

Sub-Total V 332 1.154 1.363 1.523 1.615 5.987 52 IO

VI. AFFOERSTATION

(C) Capitol Costs 570 500 4,610 8,840 7,820 22,340(b) Maintenance 270 820 820 1,360 1,210 4,480

Sub-Total VI 840 1.320 5.430 10.200 9,030 26.820 20 5

VII. VEHICLES AND EOUIPM8NT

(a) Vehicles 756 784 1,514 1,500 1,135 5,689(b) Farm Machinery - - 3,800 3,623 1,365 10.191(c) Heavy Machinery end Equipment 2,546 4,422 4,172 1,200 - 12,340(d) Miscellaneous Eqoipment - - 1,932 - - 1,992

Sub-Total VII 3.302 6.609 11.418 6 232 2,500 30.152 82 11

VIII. GINRERY 7.308 16.094 17,180 - - 40.582 82 11

IX. OPERATION AND MAINTENANCE - NI7.

(a) Salariss 1,096 2,201 6,133 8,142 8,142 25,714(b) Vehicles 72 201 453 763 1,045 2,534(c) Farm-Machinery - 262 1,216 2,468 3,308 7,354(d) Heavy Maintenance Equipaent - 420 756 2,520 2,520 6,216(e) Miscellaneous Equipment - - 168 252 252 672(f) Utilities 252 252 924 924 1,176 3,528

Sob-Total IX 1.420 3,336 9.650 15,069 16.443 45_918 51 17

X. OPERATION AND MAINTENANCE - OTNER 420 420 1.589 2.268 2.947 7.644 15 9

XI. INCREWNTAL FARM INPLTS - 3.240 5.184 6.408 14.832 90 -

XII. CONSULTANCY SERVICES

(a) Preliminary Planning and Design 2,710 - - - - 2,710(b) Project Coordination, Frocurement,

Constructian,supply 6,600 5,700 5,700 5,690 4,600 28,290C) Stage II Feasibility Study 2,000 2,000 - - - 4,000

Sub-Total XII 11.310 7,700 5.700 5.690 4,600 35.00 82 5

XIII. AGRICULTURAL MANAGEMENT 234 1.720 3.160 4.915 4.915 14.944 60 5

XIV. TRAINING _ - 756 924 2.604 4.284 100 _

TOTAL BASE COST 62,141 145.752 164.577 92.606 74,331 539.407 54 10

Physical Contingencies 1/ 7,515 20,625 23,130 12,525 10,020 73,815Price Cootingencies 2/ 5,430 29 225 46,175 38 410 33,150 152.390

TOTAL. PROJECT COST 75.086 1935602 735 .88' 143.541 1 765612 34 10

1/ 2072 o river works, settlers' dwellings and afforestation, 157. on irrigation work., wildlife conservation works, roads andairfields, public health buildingo and vehiclas and ginnery; and 1l/ on other costs.

2/ 1977-79: 97. p.a. for civil works, 7.5b for equipment and services; 1980-85: 87 for civil works, 7b for eqoipseet endservices.

May 17, 1977

ANNEX 13Table 2

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Costs of Settlers' Dwellings, Village Infrgstructure, Educationand Social Services Buildings

(Kah' 000)

Unit Foreign v

Cost 77/78 78/79 79/80 80/81 81/82 Total Exchange Taxes

I. SETTLERS' DWELLINGS

Dwelling Units 1/ No. - - - 1,125 1,800 2,225 5,150Cost 4 - - 4,500 7,200 8.900 20,600 20 10

II. VILLAGE INFRASTRUCTURE

Water Supplies Cost 2,000 15,000 3,000 4,000 - 3,070 27,070 60 10

Drainage and Roads Cost - 5,500 5,980 900 870 13,250 50 20

Electricity Supply Cost 560 1,000 5,000 440 - 7,000 58 11

Sub-Total 2,560 21,500 13,980 5,340 3,940 47,320

III. EDUCATION

Primary Schools, double stream 2/ No. - - - 6 9 10 -Cost 140 - - 840 1,260 1,400 3,500 20 10

Secondary School 3/ No. 1 - - - - -Cost 2,000 - - 600 1,000 400 2,000 40 20

Sub-Total 1,440 2,260 1.800 5,500 24 10

IV. SOCIAL SERVICES

Social Halls No. - - - 6 8 9 23Cost 42 - 252 336 378 966

Main Office No. - - - 1 - - 1Cost 160 - - 160 - - 160

House - Social Dev. Officer No. - - - 1 - - 1Cost 180 - - 180 - - 180

Houses, Asst. Social Dev.Officer No. - - - 3 2 1 6

Cost 63 - - 189 126 63 378Houses - Social Dev. Assts. No. - - - 3 6 14 23

Cost 25 - - 75 150 350 575Houses - Clerks No. - - - 2 - 2 4

Cost 25 - - 50 - 50 100Houses - Subordinates No. - - 1 - 1 2

Cost 25 - - 25 - 25 50

Sub-Total - - 931 612 866 2 ,409 40 10

T O T A L 2 560 21,500 5 15,412 15.S06 75.829 36 10

1/ Includes cost of materials and labor.2/ Includes administrative block, 14 classrooms, school buildings, 3 sanitation units 1 headmaster's house. 14 teachers'

houses, 1 clerks' house, school equipment and furniture.3/ Includes school building, headmaster and teachers' houses and equipment, and boarding accommodation.

May 13, 1977

ANNEX 13Table 3

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Cost of Administration Buildings(Ksh'000)

Unit Foreign ZCost 78/79 79/80 80/81 81/82 Total Exchange Taxes

I. DIVISION ADMINISTRATION 1/

Administrative Buildings No. - - 1 - - 1Cost 365 - 365 - - 365

House - Division Officer No. - - 1 - - 1Cost (310) 310 _ 310

Houses - Assistant Officers No. - - 1 - 1Cost (180) - - 180 - 180

Houses - Other Staff No. - 11 1 2 14Cost (63) - 693 63 126 882

II. LOCAL ADMINISTRATION 2/

Administrative Buildings No. - - 1 1 1 4Cost 100 100 100 200 400

Staff Houses 3/ No. - - 4 5 1I 20Cost (35) - 140 175 385 700

III. POLICE

Police Station 1/ No. - - - - 1 1Cost (800) - - - 800 800

House - Inspector No. - - 1 - - 1Cost (310) - 310 - - 310

Houses - Other Staff No. - - 12 11 7 30Cost (63) - 756 693 441 1,890

Police Posts 2/ No. - _ - 2 1 3Cost (250) - - 500 250 750

Houses - Police Post Staff No. - 5 1 2 8Cost (63) - 315 63 126 504

IV. POST OFFICE AND TELEPHONE

Post Office Building 1/ No. - 1 - - 1Cost (400) - 400 - - 400

Postal Agency - Telephone 2/ No. - - - 1 3 4Cost (50) - - 50 150 200

Housing No. - - 7 4 12 23Cost (35) - 245 140 420 805

Total Costs 3_634 1,964 2,898:496 30 10

1/ Corresponds to an administrative service area of 90,000 inhabitants.2/ Corresponds to an administrative service area of 30,000 inhabitants.3/ One chief, six assistants per post.

May 13. 1977

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

National Irrigation Boord Buildings Costs(Ksh '000)

Unit Foreign %

Cost 77/78 78/79 79/80 80/81 81/82 Total Exchange Ta xes

1. STAFF HOUS ING

Principal Staff No 1 2 1 - - 4Cost 310 620 310 - 1,240

Senior Staff No - 14 12 5 4 - 35Cost 180 2,520 2,160 900 720 - 6,300

Junior Staff No - 20 30 50 80 35 215Cost 63 1,260 1,890 3,150 5,040 2,205 13,545

Other Staff No - 45 51 62 68 44 270Cost 25 1,125 1,275 1,550 1,700 1,100 6,750

Sub-total 1 5,215 5,945 5,910 7,460 3.305 27,835 30 10

II. ADMINISTRATIVE AND TECHNICAL CENTERS

Village Units I/ No - - 1 5 7 10 235/ Cost (15) 15 75 105 150 345

Workshop and Buildings No - - - - - - 1Cost 600 1,200 1,000 467 - 3,267

Sub-total II 600 1,215 1,075 572 150 3,612 30 10

III. ADVANCE HOUSING: CONSULTANTS AND RESEARCH

Houses No 6 20 6 - - - 26Cost 180 3,600 1,080 - 4,680

NIB Guest House 6/ No - I - - - 1Cost 750 750 - - - - -50

Sub-total III 4,350 1,080 - - _ 5,430 30 10

TOTAL 10,165 8_240 6,985 8,032 3,455 36,877 30 10

1/ Agricultural Economist, Project Accountant, Senior Accountant, Accountant, Assistant Irrigation Enginner, Assistant Agricultural Manager, Assistant SectionManagers, Assistant Civil Engineer - Maintenance, Assistant Workshop Engineer, Supply Officer, Assistant Stores Supervisor, Pests and Disease Control Officer,Personnel Officer, Senior Settlement Officer, Settlement Officers, Welfare Officer, Agricultural Research Officers, Assistant Ginnery Manager, AssistantMechanical Electrical Engineer, Assitant Cotton Classifier.

2/ Head Cashier, Cashiers, Asoistant Accountants, Assistant Mechanical Supervisor, Irrigation Officers, Draftsmen, Vermine Control Officer,Building Foremen, Community Development Officer, Clerks.

3/ Field Assistants, Pest Control Assistants, Water Guards, Vermin Control Guards, Artisans, Mechanics, Drivers, Fitters.

4/ Village units provide for night storage of tractors working in the vicinity of the village, lubricants and fuel. They include a fenced area and ahouse for a Fadman.

5/ Does not include workshop equipment.

6/ To provide accomodation for up 12 field staff and visitors.

May 13, 1977

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

~~~~~~~~~~~~~~~~~~~~~~~~Health Care Delivery Capital Costs

(Ksh'000)

Unit x Foreign X

Cost 77/78 78/79 79/80 80/81 Total Exchange TaxesI. BUILDINGS

Health Sub-Centers No - - 3 - 3

Cost 195 - - 385 585

Health Centers No - 1 - - 1

Cost 1,350 - 1,350 - - 1,350

Senior Houses No 1 2 1 - 4Cost 180 180 360 iso - 720

Junior Houses No 5 5 20 6 36Cost 63 315 315 1,260 378 2,268

Equipment Lumpsum 250 250 85 - 585

Sub-Total 745 2,275 2,110 378 5,508 40 10

II. VEHICLES

Four Wheel Drive No - 2 3 - 5

Cost 85 - 170 255 - 425 60 35

Sub-Total - 170 255 - 425 60 35

TOTAL 745 2,445 378 5,933 41 11

Note: Village health units are incorporated in school buildings or multi-purpose halls as appropriate.

I -LA U.

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Health Care Delivery - Operating Costs 1/(Ksh'000)

Unit Foreign %Cost 77/78 78/79 79/80 80/81 81/82 Total Exchang _ Taxes

I. SALARIES

Public Health Officer Cost 25 25 25 25 25 25 125Clinical Officers No - 1 1 1 1 3 -

Cost 25 25 25 25 25 75 175Community Nurses No - - 3 4 4 4

Cost 13 - 39 52 52 78 221Health Assistants No - 2 4 4 4

Cost 10 - 20 40 40 40 140Family Planning Officers No. - - -1 2 2 2

Cost 10 - 10 20 20 20 70Laboratory Technicians No - 5 5 5 5 5

Cost 10 50 50 50 50 50 250Statistical Clerk No. - 1 1 2 2 5 -

Cost 7.5 7.5 7.5 15 15 37.5 82Village Health Water No - 6 6 10 10 20 -

Cost 2.5 15 15 25 25 50 130Driver No. - 2 2 5 5 5

Cost 7.5 15 15 37.5 37.5 37.5 142Unskilled Labor No. - 6 17 17 17 9 -

Cost 4 24 68 68 68 36 264

Sub-Total I 162 274 357 357 449 1,599 _ 8

II. OPERATING AND MAINTENANCE

Buildings Maintenance 2/ - - - 21 46 46 113

Pre-Development Costs - 170 290 125 125 - 710

Drugs and Supplies 3/ - - 40 85 100 100 325

Molluscicides 4/ - - 170 250 625 750 1,805

Malaria Control - - 170 170 170 170 680

Vehicle Operation - - 40 100 100 100 340

Sub-Total II 170 710 751 1,166 1,166 3,963 90 10

T 0 T A L 332 984 1,108 1,523 1.615 5,562 52 10

1/ For a community of about 60,000 at full development.2/ 2% of construction cost per year.3/ For nealth centers, sub-centers and dispensaries.4/ Calculated on the basis of Ksh 68,000 per 5,000 people, annually.

May 13, 1977

KBNYA ANNEX 13Table 7

D1JA IRRIGATION SETTLEMENT PROJECT

Vehicle and Equipset:' Capital Costs(Nsh. DOG0)

Unit

VEHICLES Cost 77-78 78-79 79-80 80-81 81-82 Total

Nairbi Office No 1 - - - 1 2

Cost 57 57 - - - 57 114

4 wheel Drive Vehicles No 3 4 9 9 5 30

Cost 85 255 340 765 765 425 2550

Pick-ups No 2 2 3 3 4 14

Cost 43 86 86 129 129 172 602

Lorries No 2 2 2 1 1 8

Cost 116 232 232 232 116 116 928

Motorcycles No - - 15 22 19 56

Cost 6 - - 90 132 114 336

Bicycles No - - 46 106 59 211

Cost 1 - - 46 106 59 211

Spares 126 126 252 252 192 948

Sub-total 756 784 1514 1500 1135 5689

FARM MACNINERY

Tructors 70 HP No - 5 13 13 5 36

Cost 85 - 425 1,105 1,105 425 3,060

Traotors 0 P No - 5 13 13 5 36

Cost 93 - 465 1,209 1,209 465 3,348

Ploughs 3 furrow No - 3 6 6 1 16

Cost 10 - 30 60 60 10 160

Ploughs 4 furrow No - 3 6 6 1 16

Cost 13 - 39 78 78 13 208

Narrows No - 4 6 6 1 17

Cost 13 - 52 78 78 13 221

Lad Planes No - 1 1 2 1 6

Cost 43 - 43 43 86 43 258

Ridgers No - 3 8 6 2 19

Cost 6 - 18 48 36 12 114

Digger Shakers No - 1 2 2 2 7

Cost 17 - 17 34 34 34 119

Trailers No - 4 9 9 4 26

Cost 20 - 80 180 180 80 520

Mobile Workshop No - - 1 - - 1

Cost 179 - - 179 - - 179

Mobile Lubrication Unit No - - 1 1 - 2

Cost 153 - - 153 153 - 306

Spares and Tools - 234 633 604 227 1,698

Sub-Total - 1,403 3_800 3,623 1,365 10,191

HEAVY MAINTENANCE EQUIPMENT

Oragline No. - (1) (1) - (2)

Tost 1,000 - 1,000 1,000 - 2,000

Crawler-Excavator No. - (1) - - - (1)

Cost 590 - 590 - - - 590

Cutter-Dredger No. - - (1) - _ (1)

C.ost 1,050 - - 1,050 - - 1,050

Bulldioer-DC No. - (1) - _ - (1)

Cost 770 - 770 - - - 770

Co-pactor/Vibrator No. - - (1) - _ (1)

Cost 228 - - 228 - - 228

Loader-Excavator No. (1) - - - _ (1)

Cost 306 306 - - - - 306

Froot-End Loader No. - (1) - - _ (1)

Cost 532 - 532 - - - 532

Grader No. (1) - (1) - - (2)

Cost 640 640 - 640 - - 1,280

Tipper-Wagon No. (2) _ (2) - - (2)

Cost 180 360 - 360 - - 720

Tractor No. (1) - - _ - (1)

Cost 100 100 - - - - 100

Mobile Crace No. - (l) - - _ (1)

Cost 789 - 789 - - - 789

Low Loader No. (1) (1) - _ _ (l)

Cost 584 - 584 - - - 584

Land Rover No. - - (2) - - (2)Cost 100 - - 200 - - 200

Utility No. (2) - - - - (2)

Cost 80 160 - - - - 160

Tacker- 1,200 gals. No. (1) - - - _ (2)

Cost 206 206 - - - - 206

Taokis-Trailer 500 gal. No. (2) - - (2)Cost 35 70 - - 70

Water Pomp No. (2) - - - - (2)

Coot 5 10 - - - - 10

Mobile Workohop No. (1) - - - _ (l)

Cost 200 200 - - - - 200

Mobile Lubrication Unit No. (1) - - - - (l)

CooL 70 70 - - - - 70

Mi-cellanoeos Equip=ent (lemp sum) - - 300 - - - 300

Ditcher No. - (1) - - _ (1)

Cost 120 - 120 - - - 120

Pertl and Tools - 424 737 694 200 - 2,055

Sub-Total 2,546 42 4,172 1_200 - 12,340

M_SCELANE9USf EIPMENT

Telecommunications - - - 644 - - 644

Hydroel-ctric/MeteorologicalNetwork - - 644 _ - 644

Workobop Machinery - - - 644 - - 644

Sub-Total - - - 1,932 - - 1,932

T o T A L: - 3,302 6,609 11,418 6,323 2,500 30_152

May 14, 1977

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Vehicles and Equipment: Operating Costs 1/(Ksh'OO0)

Unit 77/78 78/79 79/80 80/81 81/82 82/83Cost Onwards

I. VEHICLES

Nairobi Office 2/ No. (1) (1) (1) (1) (2) (2)Cost 10 5 10 10 10 15 20

4-Wheel Drive Vehicles 3/ No. (3) (7) (16) (25) (30) (30)Cost 20 30 80 230 410 550 600

Pick-Ups 3/ No. (2) (4) (7) (10) (14) (14)Cost 20 20 60 110 170 240 280

Lorries 4/ No. (1) (2) (4) (6) (8) (8)Cost 20 10 30 60 100 140 160

otorcycles 5/ No. (7) (14) (29) (44) (56) (56)Cost 2 7 21 43 73 100 112

Sub-Total I 72 201 453 763 1,045 1,172

II. FARM MACHINERY

Tractors 6/ No. - (12) (44) (72) (80) (80)Cost 40 - 240 1,120 2,320 3,040 3,200

Other Machinery Cost 22 96 148 168 168

Sub-Total 262 1,216 2,468 3.308 3.384

III. HEAVY MAINTENANCE EQUIPMENT

Cutter-Dredger Operation Cost 50 200 200 200

Maintenance of Irrigation Works Cost 286 1,480 1,480 1,480

Maintenance of Roads Cost 420 420 840 840 840

Sub-Total III 420 756 2,520 2,520

IV. MISCELLANFOUS EQUIPMENT 168 252 252 252

V. UTILITIES 252 252 924 924 1.176 1,176

T O T A L 324 1,135 3.516 7 8,504

1/ In May 1977 prices, including taxes and duties.2/ 20,000 km per year per vehicle, Ksh 0.5 per km. H

3/ 20,000 km per year per vehicle, Ksh 1 per km. See also Footnote 2/ of Table 7. a4/ 20,000 km per year per lorry, Ksh 1 per km.5/ 5,000 km per motorcycle, Ksh 0.4 per km. O6/ iractors operate 1,300 hours per year, cost per hour is Ksh 30, including fuel and parts. Operating cost per year rounded to

Kshi 40,000.

May 12, 1977

UKttl 9

883 uuoerit t.O errtemn 83t3CT

Itrretrie. Ge Nri ntrse Crt4t - IIDStP S SrI elrrirr j/

Usit 77/78 78/79 79/S0 80/81 81182C5t ead,

1. B0UA PlOJBCt CPOUII8NATSS t"ICE

Pcojret C-rdip tor CPet 120 120 120 120 120 120Pbtlic ReletIee OMfficer Cp.t 72 72 72 72 72 72Adeircet ptIrigttee letterer Cpet 72 72 72 72 72 72sipply Officer CoPt 48 48 48 44 4U 48treftce CPet 40 40 40 40 40 40

Plericel end Othere (3 "ple y -) CPet 108 108 188 108 108 1t0

S4-Tort1 I 4t 460 460 460

II MIeJISCT rANA tr

AOrtic-lt-rl NPee_et

. AdrietetratteeProjoct Director Crec 114 - 114 114 114 114Ageniot-Irrl Eceeretet Core 96 _ 96 96 96Prtject ACcotat PeCe 72 72 72 72 72Sector Aecoubt Cpt 72 - 36 72 72 72Accctct N.. (1) (13 (2) (2)

Coet 4U 24 48 84 06tred CPrtier Core 42 - - 42 42 42Cehtier o. - - (1) (2) (2)

Cort 36 - 36 72 72Ak.ietet A.ecceteBte No. - (3) (4) (4)

Cort 36 - 108 4 144

Sub-lt-. (1W26 5t 0

Aertrpt Irrig tieP igipara CPet 72 _ 72 72 72Adei.tert Agritclt-rl .. a..r Cort 72 _ 72 72 72 72"oiet-ac Sentire t-,ere N - - (3) (3) (3) (3)

Coet 48 - - 144 144 144Arrirtcet Civil Ergierer (nipt.) Co-t 48 _ 24 40 4 48Ari-te nr erkbep Egi-er Co- 4U 24 40 48 48Aerieteet Ncheictl Superel-e No. - (1) (2) (3) (3)

CPet 36 . 18 72 106 108Srply Offi.rr Port 48 - 24 48 40 48As.ireseptOSter Sep-riore Cest 48 _ 24 48 48 48Adr. P.tr & li.ee Coat. Offt. Port 48 . 24 48 48 48Ptoree Officer Core 48 - 24 48 48 46Irriititier Offierre e. (2) (18) (18) (18)

Cont 36 36 648 648 648creft_err tio - - (1) (1) (Z) (2)

Port 38 - 38 38 76 76Vrr.in CoetreI OfftI r Cr t 468 48 48 48Fi.ld Aristec r.. - - (12) (74) (1041 (2P4)

Cort 8,4 - 101 622 874 874Pe-t Ptncrnl AJir-tarer W. - (5) (20) (301 (30)

CPos 8.4 - 42 168 252 252Wrtar iurdr to. - - - (12) (40) (40)

CPot 8.4 t O 136 336VerSe Poetree irerde tie.t - - - (z) (6) (6)

-Port. 8.4 - - 17 50 50Beildieg r ie _ - - (2) (2) (2)

Cont Si 36- 72 72 72Arcirree Neo - - (6) (15) (3D) (30)

Cort 12 36 196 360 360tirepice O. No ~- (6) (20) (40) (40)

Port 12 - 36 240 480 480

Seb-Tetel itt) 523 2.782 3.880 3.80

Seetlr re d Ielfere9eecer Se-tl_rt Officer Poe 72 72 72 72 72 72SrclIrect Officers O. - (1) (1) (1) (2) (2)

Pore 48 48 48 48 96 96WelIeve Officer Pore 48 48 4U 48 48 40Po.eity Pevelop_nt Ofrierer Or. - (2) (2) (2) (1) (3)

Port 36 72 72 32 10t 1J8

Seb-etel (W) 24 0 240 324 324

Seerertire St.rfCletirel red Other No - (8) (10) (12) (16) (16)

Cort 36 288 360 432 576 576faive-e N. . (6) (25) ()4) (104) (104)

Cort 12 72 300 808 1.248 1.248C-l Leber SO. - (10) (20) (30) (30) (W8)Poet 3.6 36 72 108 106 Joe

Seb-Tetrl (d) 396 i_ 1428 1.932 1.932

0.4-Tete) 11

111. 40172ATCIIt0L 55086389

AkrtielItr-l eree-th Offier Or . - - (1) (2) (2)Poet 72 _ 72 144 144field AM.irec tN. - (7) (14) (14)Port 8.4 - - 59 1i1 118

Cle-icel red Other o - - - (3( (5) (¼)Coet 36 t - 106 180 180

Snb-Totel Ill 239 442 42

IV GIN0ERY

Aeirttit GiPtrry 0r-Wer Cost 72 - 72 72 72AeltectZ t rctteeicrl/Ele rclrle

Eiigiter CPot 48 - 4U 48 8Arietee t CPtter Pleerifier CPet 48 - 4 45 O8Flttrar (4) Port 1 - 48 45 4SClea ter) _d ether (4 wlyeer) Port 30 - - 144 144 1i4Cree.l Lrber (10 ewloyrer) Port 3 6 - 36 36 36

leb-Tetel IV 396 304 396

0 O T A L 1.096 2.201 6.133 8.14) 8 142

1/ Selrrirr i-nledo tee- C l cer. -tc. J ray 1977.7I Reed reircecece -rte ret Ie-re d reter J3r-y 1904/85.

VrY 13. 1977

KENYA

EURA IRRIGATION SETTLEMENT PROJECT

Salaries for Administrative Services, Education and Social Services(Kah' 000)

Component Unit Cost 77/78 7S179 79180 80/81 81/82 Total

District Administration

Division officer No. 1 1 1 1Cost 35 - 35 35 35 35

Assistant Officer No - - 1 2 3 3Cost 25 - 25 50 75 75

Subordinates (Clerks, No. - 2 3 5 5Drivers, etc.) Cost 8 - 16 24 40 40

Local Administration

Chief No. - - 2 3 4 4Cost 14 - - 28 42 56

Assistant No. - 7 16 19Cost 7 - - 49 112 133

Police

Police Inspector No. - - I I 1 1Cost. 25 - 25 25 25 25

Sergeants No. - - 1 3 4 4Cost 9 - 9 27 36 36

Corporated Constables No. - - 3 16 27 27Cost 6 - 18 96 162 162

Clerical No - - 1 1 1 2Cost 7 - 7 7 7 14

Post and Telephones

Postmaster No. - I _ 1 1 1Cost 20 - - 20 20 20

Other Staff No - _ 1 5 9 11Cost 10 - 10 50 90 110

Education

Primary Schools Cost - _ 605 1,080 1.600

Secondary Schools Cost - - - - 125 264

Social Services

Senior Cosnunity Dev. Offr. No. - - 1 1 1 1Cost 32 - 32 32 32 32

Ast. Co= . Dev. Offr. No - - 2 5 5 5Cost 20 - 40 100 100 100

Commn Dev. Assistants No. - - 3 19 19 19Cost 14 - 42 266 266 266

Clerks and Subordinates No. - - 1 3 3 3Cost 7 - 7 21 21 21

Temporary Utilities, SetterTransport etc. Cost - 420 154 154 - -

A T A 420 420 1,589 2,268 2947 7.644

May 13, 1977

ANNEX 13Table 11

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Cost of Farm Inputs - Incremental Costs(Ksh'000)

Costs for a typical farm shown in Annex 19, Table 1 average

Ksh 3,680. However, in the calculation of total costs for the project,

costs of services and transport have been deducted (Ksh 800) because

they have been accounted for in "NIB Operating Costs."

INCREMENTAL COSTS

1979/80 1980/81 1981/82

No. of Farm Units: Annual 1,125 1,800 2,225

Cumulative - 2,925 5,150

Total Cost: (Ksh'000)

Annual 3,240 5,184 6,408

Cumulative - 8,424 14,832

May 13, 1977

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Cost of Consultancy Services(Ksh'000)

% Foreign1977/78 1978/79 1979/80 1980/81 1981/82 Total Exchange

A. Preliminary Planning and Design Services 1/

Project Planning Report 2,400 - - - - 2,400 80Review of Designs and Documents 310 - - - - 310 100

B. Proiect Coordination, Procurement,Supervision of Construction

Project Coordinator's Office 600 600 600 600 600 3,000 80Procurement and Supervision of

Construction 2/ 6,000 5,100 5,100 5,090 4,000 25,290 80

C. Stage II Feasibility Study 3/ 2,000 2,000 - - - 4.000 80

Total 11,310 7.700 5 700 5690 4.600 82

1/ Costs derived from Agreement for Consulting Services, November 1976.2/ Costs derived from Consultants' Proposal dated July 1976, comprising:

Ksh'000

Procurement and engineering services forIrrigation Works, excluding design 2,400

Construction supervision (general) 4,200Supervision fee 2,000Site supervision @ Ksh 18,000 per man-month 11,000Architectural and engineers' services for

buildings and houses 2.200Additional work oi. infrastructure, etc. 3,490

Total 25.290

3/ Costs derived from Consultants' Proposal dated July 1976, less topographicaland soil surveys expected to be undertaken by Covernment with Netherlands xtechnical assistance.

May 12, 1977

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Agricultural Management

1977/78 1978/79 1979/80 1980/81 1981/82 Total

A. Agricultural Management StaffMan-Months)

Project General Manager 6 12 12 12 12

Irrigation Engineer - 6 12 12 12

Agricultural Manager - 12 12 12 12

Civil Engineer, Maintenance - - 6 12 12

Workshop Engineer - 12 12 12

Mechanical Supervisor - - 12 12 12

Project Accountant - 12 12 12 12

Senior Research Officer - - - 12 12

Cotton Research Officer - - 12 12

Pest and Disease Control Officer - - - 12 12

Head Office Support - 2 3 6 6

Total 6 44 81 126 126

B. Cost Estimate (Ksh'000) 234 1,720 3,160 4,915 4,915 14,944

May 12, 1977

ANNEX 14

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Financing Plan(US$'mtl1ion)

Foreign Local IBRD/Excnange Cost Total Holland EDF CDC ODM IDA GOK

1 IRRIGATION WORKS

a. River Worksb. Temporary Pumpsc. Supply Canald. Main Canale. Irrigation Network ) 15.9 13.0 (24.9 8.0 16.0 0.9f. On-Farm Development ) ( 4.0 4.0

2. WILDLIFE CONSERVATION WORKS

3. ROADS AND AIRFIELDS

a. Garissa-Garsen & Nanigi Accessb. Maintenance ) 1.3 1.2 2.5 2.2 0.3c. Surfacingd. Landing Strips

4. BUILDINGS AND INFRASTRUCTURE

a. Infrastructure (Villages, Town Center)) 3.0 4.7 7.7 5.9 1.bb. Educationc. Settlers' Dwellingsd. Social Servicee ) 4.5 8.8 13.3 4.0 8.0 1.3e. Administrationf. NIB Buildingsg. Public Health

5. PUBLIC HEALTH

a. Equipmentb. Salariesc. Operations & Maintenance ) 0.6 0. 1.2 0.1 - 1.1

6. AFFORESTATION

a. Capital Costs ) 1.1 4.3 5.4 3.2 2.2b. Maintenance

7. VEHICLES AND EQUIPMENT

a. Vehiclesb. Farm Machineryc. Heavy Maintenance Equipment ) 3.9 0.9 4.8 0.7 3.4 0.7d. Miscellaneous Equipment

8. GINNERY 5.2 1.3 6.5 5.2 1.3

9. OPERATION AND MAINTENANCE - NIB 4.1 4.0 8.1 6.2 1.9

10. OPERATION AND MAINTENANCE - OTHER 0.2 1.2 1.4 1.4

11. INCREMENTAL FARM INPUTS 2.3 0.3 2.6 2.5 0.1

12. CONSULTANCY SERVICES

a. Project Planning Reportb. Review of Designs and Documents ) 4.1 0.9 5.0 5.0c. Deputy Project Coordinatord. Procurement and Supervision of

Construction

13. STAGE II FEASIBILITY STUDY 0.5 0.1 0.6 0.6

14. AGRICULTURAL MANAGEMENT 1.8 1.1 2.9 2.0 0.9

IS. TRAINING .8 - .8 0.8

lb. INTEREST DURING CONSTRUCTION -NIB CONTROLLED WORKS

a. CDC Loan ) 1.0 _ 1.0b. IBRD/IDA ) .L7 5.7 - - - - - .oL2

56.0 42.4 98.4 8.8 12.0 8.S 8.5 40.0 20.6

May 14, 1977

ANNEX 15Page 1

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

The National Youth Service

A. Background

General

1. The National Youth Service (NYS) is a department of the Ministryof Labour. It was established in 1964 to provide training for young citizenvolunteers, aged between 16 and 30 years, in a disciplined environment whileexecuting useful development projects. By participation in the program,young men and women contribute directly to the development of Kenya's economywhile at the same time enhancing their own opportunities for continued pro-ductive employment in later life.

2. The NYS is controlled by a Directorate based in Nairobi. In thefield, major Units are deployed under the charge of a Commandant, whileSub-Units and Projects are commanded by Senior Training Officers and TrainingOfficers. Below them, each Company (consisting of one hundred servicemenor women) is commanded by a Section Commander or Section Officer. Many ofthe present senior officers began their careers as volunteer servicemenor women, and have risen from the ranks.

3. The NYS is considered to have been successful in achieving itsobjectives. Over the years of its existence, it has enrolled 21,844 youngKenyans (20,172 men and 1,672 women). The only constraint upon recruitmenthas been the finance available - since the enthusiasm of the country's youthis such that there are commonly fifty applicants for every place available.Intakes are drawn proportionately to population from all the Provinces ofKenya, and every member serves in at least three different Provinces whilein the Service. As a result, all members acquire a national outlook and theNYS has a positive effect in building unity and mutual understanding. Itsmorale, despite the fact that the members earn no salaries but receive onlya small volunteer allowance, is reported to have been consistently high.

Training Activities

4. The NYS is designed as a training community, fostering the goodattitudes and habits that are fundamental to success in a career. TheService is so constructed that it must constantly provide training in jobskills, both formally and "on the job", in order to function efficiently.For example, it possesses a fleet of 568 vehicles and pieces of plant,

ANNEX 15Page 2

but it employs only 159 drivers and plant-operators in permanent posts orin positions financed from works funds. Thus continual training must takeplace to fit volunteers to operate the great majority of the machines, andto provide a constant flow of replacements for the trained men and women re-turning home at the end of their period of service. Most formal training isdone at the Vocational Training Unit at Mombasa, where 400 men a year receiveintensive courses in General Engineering (Fitting and Turning), Woodwork,Masonry, Automobile Maintenance, Plumbing and the Electrical trade. Standardsat this Unit are high; its trainees are reported to have consistently achieveda pass-rate of between 75 and 85% in their first attempts at the GovernmentGrade III Trade Tests. After obtaining their Trade Test Certificate, the menare obliged to serve for a further six months, gaining practical experiencein their trades, before they are permitted to leave the Service to take upsalaried work in industry. More advanced levels of vocational training formechanics, fitters, turners and electricians are being created in associationwith the Service's Central Workshops in Nairobi. For girls, formal courses ingarment-making, typing and telephone-operating are provided, in addition toa grounding in domestic science.

5. Training is also carried out on five farms owned by the NYS, total-ling 4,869 hectares. All servicemen and women spend part of their serviceperiod on these farms. Those who show a particular interest in agriculturego on to take a six-months' Farmers' Training Course (by December 1975, 786volunteers had successfully completed this course).

6. In addition to the vocational training described above, centralizededucational facilities have been created at Gilgil so that, in rest periodsbetween postings on farms and projects, the volunteers may further theirformal education in such subjects as M4athematics, English, Swahili, GeneralScience and Civics. Some are given teacher-training, to fit them for eventualemployment with the Teachers' Service Commission.

7. Since its inception, the NYS has placed over 7,000 men and womendirectly from its ranks into salaried employment. That so many jobs havebeen offered to Service is an indication of the confidence that employershave in its standards of discipline and character-training.

Works Undertaken by the NYS

8. Projects so far completed include:

(a) 3,200 hectares of bush clearing for tsetse flycontrol at Yala River and 4,000 hectares at PortVictoria;

(b) airport earthworks at Embakasi;

(c) 56 kilometers of road linking Kiambu and NyandaraDistricts across the Aberdares;

ANNEX 15Page 3

(d) 16 kilometers of road in the Tsavo National Park, and112 kilometers of road to give access to the KindarumaHydro-electric Scheme;

(e) embankments for flood control on the Nzoia River;

(f) roads, dams and fencing in Nairobi National Park;

(g) 55 kilometers of new road between Thika and Kitui;

(h) 100,000 trees planted on the Kinangop;

(i) demarcation for settlment at Gedi and Shimba Hills;

(j) construction of airfields at Namanga, Ferguson's Gulf,Amboseli, Nanyuki, Archer's Post, Samburu and Malika;

(k) 662 kilometers of road to serve settlement schemes westof the Rift Valley;

(1) the construction of demonstration housing at Likoni; and

(m) access roads for the Geothermal Project near Naivasha.

9. The Service's largest and most difficult project, completed ineight years, was the desert highway linking Kenya with Ethiopia (480 kilo-meters). Another large project was 414 kilometers of road in the secondphase of the Settlement Roads Scheme (comprising the Timboroa, Burnt Forest,Turbo, Dundori and Kinangop areas and the Western Kenya complex). The totalvalue of all works undertaken up to December 1975 was about Ksh 23 million(about US$3.2 million).

10. Financing. Of the above works, the Bank Group financed the con-struction of 425 km of tertiary roads in settlement areas under the ThirdHighway Project (Loan 639-KE), and the settlement roads (para 9) under theFourth Highway Project (Credit 276-KE). The total cost of the works under-taken by NYS under this Bank/IDA financing was about US$3.6 million equiv-alent. Financing of the other projects was provided either under bilateralagreements or by appropriations-in-aid from the Ministries and parastatalbodies concerned. Much of the equipment, valued at Ksh 52.6 million(US$7.4 million), was financed by USAID.

11. NYS Performance on Bank/IDA Financed Works. Early Bank super-vision missions (1970/71) reported adversely on NYS performance on theroad construction entrusted to them under Loan 639-KE, drawing attentionto weaknesses in organization and work scheduling. By October 1971 theseweaknesses had been remedied, mainly as a result of close supervision andmanagement assistance provided by the project consultants. Performancefor the remainder of the works was satisfactory. For the works undertaken

ANNEX 15Page 4

under Credit 276-KE, the NYS again encountered initial organization dif-ficulties and delays but recovered quickly with assistance from the projectconsultants and for the remainder of the works produced very satisfactoryand economic results.

Staffing of NYS

12. As at November 1975, the NYS staff consisted of:

Uniformed officers 109Servicemen and servicewomen 3,400Civilian staff 325Expatriate experts and volunteers 38

3,872

All servicemen and servicewomen and a high proportion of the expatriateexperts are volunteers. Uniformed officers and civilian staff are salariedemployees, either engaged on the permanent establishment or paid from fundsallocated to works. The expatriate volunteers are provided by nationalvolunteer agencies.

B. The Proposed NYS Participation in the Project

13. It has been proposed that the NYS would undertake all or part of thefollowing works under the Project (see Annex 3 for details):

(a) the construction of the road system;

(b) the excavation of canal and drain earthworks;

(c) the construction of structures in the irrigationand drainage systems;

(d) on-farm development works;

(e) the transportation of materials; and

(f) the construction of advance requirements ofjunior and settler housing.

The estimated total cost of the works including contingencies would be aboutKsh 75 million (US$9 million). The road works would have to be completedin five years; the irrigation and drainage and on-farm development works wouldin four years. The average annual cost of the road works would be Ksh 3.3million (US$400,000) and that for the irrigation and drainage works andon-farm development works would be Ksh 8.1 million (US$970,000).

ANNEX 15Page 5

NYS Capability as a Construction Agency for the Project

14. Judged by its performance to date on other Bank/IDA-financed proj-ects, the availability of its staff and equipment, and its serious approachto the prob±ems of construction involved, the Bank considers that in principlethe NYS would be a suitable agency to undertake construction of roads,excavation of irrigation and drainage distribution systems and on-farm develop-ment works. However it is necessary to recognize that for the Bura Projectnot only would the scale of the works be much larger than previous NYS under-takings, but the nature of the works as an integral part of a complex develop-ment project would impose obligations on the NYS for completion of the worksin accordance with a strict implementation schedule. These are obligationswhich it has not previously been called upon to assume.

15. In order to minimize the risk that NYS would be unable to ful-fill its obligations in a timely manner, particular attention would needto be paid to:

(a) adequate definition and preliminary planning of theworks and their scheduling;

(b) a formal undertaking by the NYS to execute the worksin accordance with specifications and schedules;

(c) the provision of management assistance to NYS by anexperienced agency;

(d) the provision of adequate professional and technicalstaff within the NYS organizational structure for theworks (para 17);

(e) as additional backup technical assistance, the provisionby an experienced agency of a small number of mechanicalsupervisors experienced in the maintenance and repair ofcontractors' equipment in large undertakings under com-mercial contracting conditions;

(f) the provision of adequate spare parts for equipment; and

(g) obtaining an undertaking from the Government that it wouldintervene to strengthen NYS's implementation capacity inthe event that the NIB reported that NYS was fallingsignificantly behind schedule.

16. NYS staff. In order to undertake the works proposed to be allocatedto it under the Project, NYS has recruited a number of additional qualifiedexpatriate staff, and has obtained a commitment for others to be providedunder bilateral technical assistance.

ANNEX 15Page 6

17. NYS Equipment Status. NYS possesses sufficient equipment (seeAppendix 1) with adequate remaining life to undertake the Project road worksand bush clearing without supplementation by additional equipment. For thecanal works, drains, and on-farm development works other than bush clearing itis about to award contracts to procure additional equipment financed underbilateral aid from the Federal Republic of Germany. Assurances were obtainedfrom Government at negotiations that the NYS would maintain an adequate stockof spare parts for all of its construction equipment and vehicles employed onProject works.

18. Review of NYS Construction Capacity. Before a decision is made asto the extent of the work suitable to be performed by NYS under the Project,NYS and NIB, assisted by the project consultants, would undertake a jointreview of NYS construction capacity, in relation to productivity, staffing andequipment requirements for the various categories of work. Any allocation ofworks to the NYS would then be made in accordance with these findings, takinginto account also any arrangements NYS may undertake to make to strengthen itscapacity. In this regard NYS has indicated its willingness to employ consultantsas necessary to improve its management.

19. Decision on the Extent of NYS Participation. It was agreed atnegotiations that the final arrangements for NYS participation in the construc-tion of the Project works would be subject to the approval of the Bank/IDA.In particular it was agreed that the work to be performed by NYS would beperformed in accordance with specifications, charges and an implementationschedule all of which should be satisfactory to the Bank/IDA. In addition itwas agreed that in the event that NIB reported to the Government that NYS werefalling significantly behind the agreed schedule for implementation, theGovernment would provide to NYS any additional funds, facilities, services andother resources necessary in order to meet the agreed schedule.

ANNEX 15APPENDIX 1

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

National Youth Service

List of Equipment allocated to Works 1/

Diesel truck, 7 ton cargo 50Diesel truck, 7 ton 5 cu. yd tipper 44Bus 38 seater 14Pick-up Land Rover 38Station wagon staff car 30Farm tractor 8Bulldozer Caterpillar D-8 8Bulldozer Caterpillar D-7 IBulldozer Caterpillar D-6 5Bulldozer Caterpillar D-4 IMotor scraper Caterpillar 621 8Motor grader Model 140 10Front-end loader 920 and 977 8Transporter truck/tractor 10Low-bed trailer 35 ton capacity 3Low-bed trailer 20 ton capacity 3Recovery vehicle and mobile crane 5Vibro-compactor Hyster C200 B 5Motor roller 6Water trailer 400-600 17Water semi-trailer 5,000 gallons 12Mobile workshop 4Mobile lubrication unit 6Mobile diesel generating set 15 kw 10Fuel water tanker 1,200-1,500 gal on chassis 15

1/ as at December 1975

ANNEX 16

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Estimated Schedule of Disbursements(US$'million)

Bank/IDA Fiscal Year Cumulative Disbursements at End of Quarter

and Quarter Bank IDA

1977/78

September 30, 1977 - 0.5December 31, 1977 - 1.8March 31, 1978 - 3.5June 30, 1978 - 5.2

1978/79September 30, 1978 1.6 6.0December 31, 1978 4.0 6.0March 31, 1979 6.5 6.0June 30, 1979 9.3 6.0

1979/80September 30, 1979 12.1 6.0December 31, 1979 14.9 6.0March 31, 1980 18.0 6.0June 30, 1980 21.1 6.0

1980/81September 30, 1980 23.1 6.0December 31, 1980 24.8 6.0March 31, 1981 26.5 6.0June 30, 1981 28.5 6.0

1981/82September 30, 1981 30.0 6.0December 31, 1981 31.5 6.0March 31, 1982 33.0 6.0June 31, 1982 34.0 6.0

May 13, 1977

ANNEX 17

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Consultancy Services

1. The National Irrigation Board (NIB) is currently (May 1977)employing, to assist it in the preparation of the Project, one firm of

consultants and one consortium of consultancy firms. The firms, and their

respective responsibilities, are:

(a) ILACO

ILACO (The Netherlands) which, financed mainly under

Netherlands bilateral assistance, has been carrying outinvestigations and studies for the development of the TanaRiver Basin for many years and was responsible for the pre-

paration of the Bura Project feasibility study (June 1975),is currently completing an assignment to undertake topo-graphic and soils studies and prepare detailed designs for

the irrigation and drainage layout, together with tenderdocuments for irrigation works to be tendered for interna-tional competitive bidding (ICB) and specifications forirrigation works to be undertaken by the National YouthService (NYS); and

(b) Sir M. MacDonald and Partners and Associated Firms

A consortium of firms, comprising Sir M. MacDonaldand Partners - UK, Eunting Technical Services Ltd. - UK and

East African Engineering Consultants (Kenya) - Kenya, hasbeen employed by NIB since December 1976 to prepare theProject Planning Report (PPR), review the design and tenderdocuments for ICB and the design and contract documents forNYS work (see (a) above) and assist NIB with financing nego-tiations as and when required. The consortium is referredto hereinafter as the Project Consultants.

2. NIB has undertaken, in its agreement with the Project Consultants,to employ them also to undertake the following additional services for theProject, on terms and conditions to be agreed, in the event that NIB decidesto proceed with the implementation of the Project within two years of thesubmission of the PPR:

ANNEX 17Page 2

(a) the engineering and procurement services for theProject including, where necessary, preparation ofdesigns and documents, evaluation of tenders andsupervision of construction or supply for:

(i) irrigation works;(ii) road works within the Project area; and(iii) vehicles and equipment.

(b) the whole or part of the engineering, architectural andplanning -:ervices for Project buildings and villageinfrastructure including water supplies, as follows:

(i) review (and if necessary modification) of designsor preparation of designs;

(ii) preparation of tender documents for local or ICBcontracts; and

(iii) supervision of construction.

3. The additional work specified in paragraph 2 above would not besufficient to meet all the Project's needs for consultancy services. Itwould therefore be necessary to ensure that the Project Consultants wouldbe retained to undertaken further responsibilities. These are:

(a) the preparation of manuals on the operation and maintenanceof the Project facilities;

(b) the provision of assistance to the NIB for project coordina-tion and to the NYS for construction works; and

(c) the preparation of feasibility studies for Tana River EastBank development (Annex 12).

4. It would be a condition of loan/credit effectiveness that theProject Consultants had been employed, under terms and conditions acceptableto the Bank and IDA, to provide the services specified in paragraphs 2 and 3(a) and (b) above. In respect of para 3(c) above, it was agreed at negotiationsthat NIB would employ consultants acceptable to the Bank/IDA to carry out apreliminary feasibility study, under terms and conditions of employmentsatisfactory to the Bank/IDA, on or before October 31, 1978.

ANNEX 18Page I

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Project Organization and Management

1. The development of the Project can be considered in two distinctphases, the contruction phase and the agricultural production phase.

2 ~ Construction: During the construction phase (Chart, World Bank17463), the Bura Project Coordinator's Office (BPCO) to be established inNairobi would undertake the planning, coordination and implementation of theProject. The responsibilities of the BPCO would include:

(a) planning and coordination of the inputs requiredfor engineering works, agriculture, housing andsettlement, education, welfare, security, healthand nutrition and ensuring that they are providedin a timely manner to meet the needs of the Project;

(b) procurement whether by international competitivebidding, local competitive bidding or forceaccount (NYS, Forestry Dept. and NIB), of all thefacilities required such as engineering works,on-farm works, housing and buildings for NIBand other Ministries and organizations, andvehicles and equipment;

(c) planning and coordinating the supply of farm Inputssuch as seeds, fertilizer and chemicals;

(d) planning, arranging and coordinating trainingprograms;

(e) planning and arranging for settlement of tenantsand coordinating settlement with construction;

(f) planning and taking steps to ensure the harmoniousintegration of the indigenous population of theProject area with the Project;

(g) coordination of the various research projects andbase line surveys necessary for monitoring andevaluation;

ANNEX 18Page 2

(h) monitoring and evaluation of farm production economics,and advising on farmers' repayment capacity and theoptimum method of levying water and land charges;

(i) arranging for such studies and reports as may benecessary on such items as agricultural machineryrequirements, crop processing and marketing develop-ments, soil changes and ground water movement, etc;

(J) procurement of services required to undertake tasksnot detailed elsewhere or special undertakings notdetailed in the development program;

(k) planning and financial control of the funds requiredfor the Project, including detailed estimates, annualbudgets and cash flow statements, disbursement pro-cedures under Bank/IDA and other loan and creditagreements;

(1) monitoring progress of development and preparationof reports according to the reporting procedures ofGovernment, Bank/IDA and other co-financiers;

(m) supervising the preparation of feasibility studiesfor irrigated development on the east bank of thelower Tana River.

3. A Project Coordinator would be in charge of the BPCO and would havea deputy experienced in the integrated development of irrigated agriculturalprojects. Other staff would be appointed on a full time basis to carry outthe above duties; they would be supported as necessary by the part-timeassistance of specialists.

4. In order to ensure coordination between the various Ministriesand agencies, a Bura Project Steering Committee would be formed, comprisingsenior officers from the participating agencies; the Committee would bechaired by the General Manager, NIB. In view of the large number of agenciesinvolved, the Steering Committee would have an Executive Committee, consistingof not more than six members elected by the Steering Committee, to act for theSteering Committee in day-to-day matters.

5. Agricultural Production: The second phase of the development -agricultural production (Chart, World Bank 17464) - would be undertaken onbehalf of NIB by a firm or organization specializing in the management ofagricultural projects. This organization, expected to be the CommonwealthDevelopment Corporation, would undertake corporate management of the agricul-tural production phase. It would provide a Project Manager and essentialsupporting staff under terms and conditions of employment acceptable to theBank/IDA. Additional supporting staff would be seconded to the organizationby NIB.

ANNEX 18Page 3

6. The Project Manager would be responsible for the followingactivities:

(a) Agricultural production: Supervision of all croppingand irrigation activities, tenants husbandry practices,management of mechanization services, pest anddisease control, agricultural research and soil monitor-ing;

(b) Engineering: Operation and maintenance of the irrigationand drainage system, building maintenance, maintenanceand repair of agricultural machinery and heavy plant;

(c) Accounting and Administration: Procurement of suppliesand control of stores and preparation of tenants' andProject accounts; personnel and staff administration,statistics and office administration, training of staffand tenants, tenant relations (post settlement); and

(d) Settlement: Tenant reception, feeding and induction,orientation, initial organization of villages(communities), establishing contact with local ad-ministration, and social services.

7. Bura Development Council: A Bura Development Council constitutedunder the District Commissioner (DC) would be established to provide liaisonbetween the various Government agencies involved in the implementation ofthe Project. The members of this council would be the DC, the Bura ProjectManager, the Community Development Officer, and the District Officer (BuraProject) who would act as Secretary. Sub-committees would be establishedunder the Development Council to deal with such matters as education, welfaresecurity, health and nutrition and resources (forestry, etc.)

8. Duties of Project Manager: The Project Manager would be appointedat an early stage in the Project's implementation. He would reside initiallyin Nairobi, so as to allow him to participate in the functions of the BPCO.During this period he would:

(a) advise on site requirements and programs for buildings,farm machinery and other facilities concerned withagricultural production;

(b) determine final staff requirements and select andappoint suitable staff according to a phasedprogram;

(c) prepare programs and make arrangements for trainingof management staff whether in Kenya or outsideKenya prior to their employment for work on theProject;

ANNEX 18Page 4

(d) prepare procurement schedules for farm inputs andarrange for their delivery to site; and

(e) prepare programs and arrange for the recruitmentand training of field assistants, tractor driversand workshop personnel.

The Project Manager would arrange for the early establishment of the BuraProject Manager's office at the Project Headquarters. It is envisagedthat this office might be in temporary buildings until the permanent structurehas been constructed. Initially the office would be under the control of theDeputy Project Manager, who would be resident on site during the constructionphase.

9. Duties of Deputy Project Manager: The Deputy Project Managerwould be responsible to the Project Manager in Nairobi and would under-take the following duties and responsibilities:

(a) liaise with the DC and other local officials of theGovernment ministries and agencies;

(b) ensure that the BPCO's requirements are being meton site in accordance with advice, advanced planning,information and instructions from the BPCO;

(c) participate in settlement procedures, and arrangementsfor the provision of health, education and welfarefacilities;

(d) liaise with the Chief Resident Engineer in charge ofconstruction and provide a bridge between constructionand local administration and services;

(e) organize agricultural training programs for settlers;and

(f) arrange for the handing over of buildings andfacilities to local officials appointed to dealwith health, education, welfare, security, etc.

May 15, 1977

KENYABURA IRRIGATION SETTLEMENT PROJECT

ORGANIZATION FOR CONSTRUCTION

MINISTRIES

NATIONAL IRRIGATIONBOARD *......

l ~~~~~~~~STE ER INGNAIROBI GENERAL COMMITTEEHEADQUARTERS MANAGER Executive Committee

I ~~DEPUTYGENERAL MANAGER

BURA PROJECT CO-ORDINATORS NIBHEADQUARTERSOFFICE TECHNICAL AND ADMINISTRATIVE A

DIV ISIONSAPROJECT Project Co-ordinatorAREA Deputy Co-ordinator

Bura Project Manager*

CHIEF RESIDENT BURA PROJECT TANA DISTRICTENGINEER MANAGEMENT ADMINISTRATION

Supervision of SettlementConstruction Training

Co-ordination with otherGovernment services

World Bank-17463* BURA Project Manager transfers to project area before settlement commences.

KENYABURA IRRIGATION SETTLEMENT PROJECT

ORGANIZATION FOR OPERATION

NATIONAL IRRIGATION BOARD * MINISTRIES: DISTRICT ORGANIZATIONHEADQUARTERS l lll l

HEADQUARTERSNAIROBI

TECHNICAL ADMINISTRATIVE & DISTRICTDIVISIONS/SECTIONS ACCOUNTING SECTIONS COMMISSIONER

..... S.. ..... a .. .........

( GINNERY | _ BURA PROJECT MANAGEMENTProject Manager

.......................... Deputy Project Manager Standing Committees:Education, Welfare,Security, Health &Nutrition and

SETTLEMENT* | Resources

PROJECTAREA

Accounting & AgriculturalAdministration Management Engineering

Accounts, Stores, Crop Production & Irrigation &Personnel, Training, Protection, Mechanization, Water Supply,Office Services Research and Extension Plant & Workshops,Office Services Buildings

Temporary - during tenant "settlement" phase only.

World Bank-17464

ANNeX 19KCENYA Table 1

BURA MRRIGATION SETTLMNIT PROJECT

F?rm !udsets It(lah) 2/

YERAS - 2 4 5 10

A. COTTON

Gross Revenue 10,015 10,400 10,815 11,200 11,585 12,000

Production Costs:

Mechanical Cultivation 3/ 365 365 365 365 365 365Fertilizer 4/ 590 605 625 645 665 780Seed 5/ 35 35 35 35 35 35Aerial Spraying,Rerbicides,Insecticides 1,700 1,700 1,700 1,700 1,700 1,700Collection 155 155 160 170 175 180

Total Production Cost 2,845 2,860 2,885 2,915 2,940 3,060

Net Revenue from Cotton 7,170 7,540 7,930 8,285 8,645 8.940

B. GROUONrUTS

Gross Revenue - - - 200 220 580Less: Private Consumption - - - 155 180 270

Gross Revenue after Private Consumption - - - 45 40 310

Production Costs

Fertilizer 6/ - - - 8 8 16

Seed - - - 20 20 40

Harvesting 7/ - - - 9 9 18

Total Production Cost 37 37 74

Net Revenue after Private Consumption - - _ 8 3 236

C. MAIZE/COWPRAS (in Association)

Gross Revenue

Maize 1,070 1,335 1,495 1,380 1,515 1,320Cowpeas 375 500 500 500 500 500

Sub-Total 1,375 1,835 1,995 1,880 2,015 1,820

Less: Private Consunption of Maize 1,070 1,090 1,090 1,090 1,010 1,090Private Consumption of Cowpeas 375 375 375 375 375

Gross Revenue after Private Consumption - 370 530 415 550 355

Production Costs

Fertilizer 8/ 235 260 280 255 275 315Herbicides and Insecticides 91 155 155 155 130 120 105Seed 10/ 50 50 50 40 40 35Cultivation Charge 11/ 120 120 120 100 90 80

Total Production Cost 560 585 605 525 525 53512j

Net Revenue after Private Consumption (560) (215) (75) (110) (25) (180)

D. 0AR01N AREA 13/

Sales 350 350 350 350 350 350Private Consumption 350 350 350 350 350 350

e. MISCELLANEOUS COSTS (tools, bags,repairs) 280 280 280 280 280 280

F. OPERATING CASH INCOME 6,680 7,395 7,925 8.253 8.693 9,066

G. MISCELLANEOUS CHARGES

Land and Water Charges 2,080 2,080 2,080 2,600 2,600 3,640Rouse Repaymenta 14/ - 205 190 175 165 110Interest on seasonal advance 15/ 90 100 100 100 100 100

Sub-Total 2,170 3,85 2,370 2,875 2,865

H. NET INCOME (after Private Consumption) 4,510 5,010 5,555 5,378 5,828 _.216

I. NET INCOME, including value of PrivateConsumption 6,300 6,820 7,365 7,188 7,638 7,026

1/ Revenues from production are extracted from Annex 8.2/ In January 1977 constant prices.3/ Kish 290 per ha.4/ An inoum Sulf. (21%) requirements increase from 286 kg/ha in year 1 to 380 kg/ha in year 10 and thereafter. Cost of Amen-

nium Sulf. Ktsh.1640/ton including handling and transportation.5/ Ksh 25 per ha.6/ 48 kg/ha of ammonium s-1f.7/ Narvesting Cost: Ksh 10/ha8/ Ammonium Sulf. (21%) requirements increase from 240 kg/ha in year 1 ts 480 kg/ha in year 10 and thereafter.9/ t;sh 260/ha for herbicides and insecticides.1O/ IKsh to /ha for meize and cospeas seed.11/ Cultivation charges Ksh 100 per ha12/ Food requirements during the first year are met by the World Food Program.13/ Garden production 350 kg per year valued at Ish 2/kg.14/ fsh 3600 repaid in 15 years starting in year 2, i.e. Bsh 240 in current terms. Amounts show in the table are discounted at 8Z

to value annual paysents in constant terms.15/ Interest on farm costs at 11% per seaum.

ANNEX 19Table 2

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Labor Requirement per 1.25 ha Tenancy

Requirement per Decile Man-MonthFirst Second Third Equivalent 1/… --------- …(man-days)-----------------

January 9 10 6 2

February 5 3 4 1

March 6 8 7 1

April 10 8 6 2

May 9 8 8 1

June 11 17 18 2

July 2/ 28 28 27 4

August 2/ 24 20 16 3

September 7 5 7 1

October 10 10 10 2

November 7 6 6 1

December 5 4 9 2

Total man-months: 22

1/ It is assumed that family labor would work no more than 8 days inany ten-day period.

2/ The peak requirement occurs at cotton harvest (3,750 kg seed cottonto be harvested in 60 days; i.e., 62.5 kg per day, equivalent to theoutput of 3 pickers @ 21 kg per day).

ANNEX 20

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Cost Recovery a/

Income to TotalRent and Cost Recovery Indices Beneficiaries Project

Ksh Ksh million

1. Gross value of farm production at farmgate ex-sales taxes./ 13,900

2. Less production (cash) costs 4,1493. Equals net cash income /1 - 27 9,7514. Less - depreciation 4005. - imputed value of family labor (Ksh/day) 1,7196. - imputed value of management services b/ 6957. - allowance for risk/uncertainty c/ 1,3908. - general taxes -9. Equals rent/surplus 5,547

10. Rent as a percentage of net cash income /9 . 37 5711. Volumetric water charges d/ 3,64012. Benefit taxes13. Total direct charges/taxes /11 f 12,7 3,640 465 V14. Rent recovery index /13 . 9/ c/ 66 -15. Public sector outlays_(capital f 0 & M) e/ - 852 e/16. Cost recovery index /13 . 15/ c/ - 5517. Farmers' net income per capita, in year 10,

at full development 74518. Estimated national per capita income, same

project year 1,850

a/ Items 1 through 16 are incremental, discounted values at constant year-prices, or ratiosderived from them.

b/ 5% of gross production.c/ 10% of gross production.S/ Based on Ksh 2,800/hae/ Total project costs, including capital and operating and maintenance; discounted at 10%/annum

(see Annex 22).f/ Taxes and duties, land and water charges, margin on cotton exports and farmers repayment

for dwellings, discounted at 10%.i/ Includes the value of private consumption.

May 19, 1977

ANNEX 21Page 1

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Monitoring and Evaluation

Objectives

1. The problems of monitoring and evaluation are increased both inquantity and complexity by the wide range of activities and the numberof organizations involved in the Project.

2. In broad terms the objectives of the monitoring and evaluationprogram would be as follows:

(a) To assess the technical and physical achievementsof the development program and thereafter theprogress of activities involved in its continuedoperation and maintenance.

(b) To carry out regular evaluation of financialand economic performance during the lifeof the Project.

(c) To assess the extent to which an integratedcommunity is created at Bura and to evaluatethe sociological aspects of the program aswell as its impact on the rural economy of thesurrounding area.

3. To achieve the above objectives effectively, the monitoring andevaluation program should include not only base-line studies, to establishthe present situation in the area, but also an interpretation of actualdevelopment problems and patterns in terms of future action and adjustmentsrequired to the development program.

Areas to be Covered by Monitoring

4. Details of the areas to be covered and actual requirements are tobe given in the Project Planning Report. The following is a brief summaryof the main areas involved and their requirements:

(a) Soils. Physical and chemical changes as well as productivityof all the main soil types particularly the S2 and G2 classes:the requirements would be covered by a sampling procedureinvolving two percent of all tenant holdings.

ANNEX 21Page 2

(b) Forestry. Changes in the riverine ecosystems and theextent of the riverine forests; the afforestationprogram requires recording and assessment of growthsurvival rates, water use data, costs analysesand felling data.

(c) Wildlife and Ecology. Both terrestial and aquaticecological systems must be considered and willrequire pre-development base-line studies; game numbers,concentration and migration patterns; ecto-parasite andother invertebrate population as well as the occurrenceof rodent pests; fish populations including theirecology and migration in the Tana river before and afterthe weir is built; vegetation composition and regenera-tion and associated fauna in the riverine and other areasand the occurrence of pesticide and chemical residuesin drainage waters, vegetation and fauna of the Projectarea.

(d) Settlers. The process of settlement, and the sociology ofsettler life and communities will require studies over aperiod of at least 5 years. Allied to these aspects arequestions of population growth and the impact of the Projecton the surrounding rural economy and its associated communities.

(e) Irrigation and Drainage System. Water quantity, qualityand silt loads should be recorded for the main supplysystem and branch canals; similarly quantitative recordsof the drainage system including regular measurementsof groundwater levels throughout the Project area arerequired. Continuous evaluation would be undertakenof irrigation practices related to agriculturalproduction at the field level.

(f) Agricultural Production. In conjunction with the soilsmonitoring work and assessment of crop production, objectivestudies and records covering crop husbandry practices,mechanization and pest control services, and the use of inputsand outputs from the scheme as a whole are essential.

(g) Training. The number of people and types of traininggiven under the Project training programs should beconsidered in relation to their performance in thedevelopment of the Project.

(h) Health. Data on disease endemicity in the Project com-munities would be collected by village health staffsupplemented by specific epidemiological surveys of

ANNEX 21Page 3

important diseases and other aspects such as nutrition,births and deaths. Similarly, surveillance of diseasevectors and animal reservoirs will be required in theProject area.

(i) Economic and Financial Aspects. At the farm level, incomesand resource use would be assessed and linked to broaderstudies of the overall economic performance of the Projectand returns to the resources employed. The financial aspectsstudied would cover both the utilization and flow of fundson the Project and the impact of its development on theNIB's financial situation and status.

Data Collection, Documentation and Reporting Systems

5. The assembly of the required data and statistics would requirespecific action by the organizations involved in the Project, including thefollowing:

(a) reporting on a regular basis: daily, weekly, monthlyand annually according to the nature of the activity.As far as possible these reports would follow a standardpresentation of information to facilitate assessmentof progress, summarization, and further evaluation;

(b) the development of an integrated management informationsystem covering all activities involved in the Projectimplementation and operation. The aim would be coverall aspects of Project formulation, planning, budgeting,current management information and information storage.It would incorporate a standardized framework for allProject formulation and documentation following onfrom the PPR; and

(c) preparation of regular financial statements and analysesfor each fiscal year and at intervals within the year bythe NIB, NYS, Forestry Department, Wildlife Department,Ministry of Health, Ministry of Works and any otherorganizations or Ministries responsible for expenditureof funds under the Project. The format and detail of thestatements and the analyses required would be determinedby the Project Coordinator and his staff in consultationwith the organization involved.

Organization Requirement

6. Effective monitoring and evaluation of the Project would requirecareful formulation of procedures for reporting and documentation andresponsibility for interpretation of assembled information. Responsibility

ANNEX 21Page 4

for this should lie with the NIB, with the BPCO being given the job ofsetting up the necessary framework and coordinating its operation.

7. 'Fe staff required to carry out the work involved would includeengineering, agricultural and sociology disciplines, with one individualbeing assigned overall responsibility under the Bura Project Coordinator.

8. Considerable liaison and coordination with the Ministries andorganizations involved would be necessary and close working arrangementswould be established with the Project Management at Bura. It is alsoenvisaged that organizations such as University of Nairobi would be closelyinvolved in the monitoring and evaluation program, particularly with regardto the interpretation of data collected.

Specific Studies Required

9. A number of specific studies would be needed to establish baseline data against which later measurements would be compared or for use incontinuing studies of various aspects of the Project. The more importantwould be as follows:

(a) Kenya Soil Survey (Ministry of Agriculture): soilsanalysis and monitoring of changes.

(b) Research Division of the Wildlife Conservation andManagement Service and the Kenya Rangeland EcologicalMonitoring Unit: wildlife and livestock counts andmonitoring of vegetation changes.

(c) University of Nairobi: sociological studies andsurveys of the rural economy of Tana RiverDistrict.

(d) Ministry of Health: health surveys and evaluationof data collected via health centers as well assurveillance of the village health programgenerally and conditions in the surrounding area.

(e) National Agricultural Laboratories: pesticideresidue monitoring.

(f) National Environment Secretariat: biology andecology of the section of the Tana River affectedby the Project.

May 15, 1977

KENYA

3'JRA IRRIGATION SETTLEMENT PROJECT

Governtent Cash Flos 1/(Ksh'mfillion)

77/78 78/79 79/80 80/81 81/82 82/83 83/84 84/85 85/86 86/87 87/88 88/89 89/90 90/91 91/92 92/93 93/94 94/95 26/27 sadThereafter

SOURCES OF PUNDS

A. Internal Sourcea

Taxes and Duties 7.5 19.6 23.4 14.4 11.8 6.7 6.7 6.7 6.7 6.7 6.7 6.7 6.7 6.7 6.7 6.7 6.7 6.7 6.7

Transfer from NIB - - 2.9 9.1 18.4 - . - - - 2.8 2.7 2.6 2.5 2.3 2.1 2.1 2.1

Margin on Cotton Exports 2/ - - - 1.4 8.3 17.9 24.4 25.3 26.2 27.1 27.6 27.6 27.6 27.6 27.6 27.6 27.6 27.6 27.6

Other Sources 3/ - - - 0.3 0.9 1.5 1.5 11.5 1.5 1.5 1.5 1.5 1.5 1.5 1.5 1.5 1.5 1.5 1.5

Sub-Total 7.5 19.6 26.3 25.2 39.4 26.1 32.6 33.5 34.4 35.3 35.8 38.6 38.5 38.4 38.3 38.1 37.9 37.9 37.9

B. External Financing

IDA 4/ 43.4 6.7 - - - - - - - - - - - - - - -

Bank 5/ - 77.7 98.5 61.8 45.9

Holland 6/ 14.1 28.1 18.7 7.7 5.0

EDY 7/ 9.5 37.2 35.9 11.8 5.7 - - - - - - - - - - - _ _

CDC 8/ 0.3 18.8 22.9 14.5 14.5 - - - - - - - - - - - - - _

ODM 9/ 16.6 15.6 17.8 12.9 8.0 - - - - - - - _ _ _ _ _ _ _

Sub-Total 83.9 184.1 193.8 108.7 79.1 -

TOTAL SOURCES OP FUNDS 91.4 203.7 220.1 133 9 118.5 26.1 32.6 33.5 34.4 35.3 35.8 38.6 38.5 38.4 38.3 38.1 37.9 37.9 37.9

APPLICATION OF FUNDS

A. Project Costs

Funds Transferred to NIB 61.4 168.1 199.6 113.7 93.2 7.9 6.6 4.8 2.8 1.0 1.0 - - - - -

Funds to other Agencies 10/ 0.8 1.7 7.8 12.2 16.0 16.0 16.0 16.0 16.0 16.0 16.0 16.0 16.0 16.0 16.0 16.0 16.0 16.0 16.0

Total Project Costs 62.2 169.8 207.4 125.9 109.2 23.9 22.6 20.8 18.8 17.0 17.0 16.0 16.0 16.0 16.0 16.0 16.0 16.0 16.0

B. Debt Service

(a) IDA: Principal 4/ - - - - - - - - - 0.5 0.5 0.S 0.5 0.5 0.5 0.5 0.5 -

Service Charge - 0.3 0.4 0.4 0 4 0 4 0 4 0.4 0.4 0.4 0.4 0.4 0.4 0.4 0.4 0.4 0.3 0.3 -

(b) Bank: Principal 5/ - - - - 9.2 18.3 18.3 18.3 18.3 18.3 18.3 18.3 18.3 18.3 18.3 18.3 18.3 18.3

Interest - - 6.4 14.4 19.5 22.5 21.0 19.5 18.0 16.5 15.0 13.5 12.0 10.5 9.0 7.5 6.0 4.5 -

(c) Other Agencies - 0.5 3.1 5.7 7.1 13.2 12.8 12.4 15.2 14.7 16.7 16.2 15.6 15.2 14.7 14.2 13.7 13.2 -

Total Debt Service - 0.8 9.9 20.5 36.2 54.4 52.5 50.6 51.9 49.9 50.9 48.9 46.8 44.9 42.9 40.9 38.8 36.8 -

TOTAL APPLICATION OF FUNDS 62.2 170.6 217.3 146.4 145.4 78.3 75.1 71.4 707 66. 64.9 628 60.9 58. 9 54.8 52.8 16.0

Net Cash Flow 29.2 33.1 2.8 (12,5) (26.9) (52.2) (42.5) (37.9) (36.3) (31.6) (32.1) (26.3) (24.3) (22.5) (20.6) (18.8) (16.9) (14.9) 21.9

Cusaslative Cash Flow 29.2 62.3 55.1 42.6 15.7 (36.5) (79.0) (116.9) (153.2) (184.8) (216.9) (243.2) (267.5) (290.0) (310.6) (329.4) (346.3) (361.2) -

1/ In current prices until 1981/82, in 81/82 constant prices thereafter.

2/ Ksh 950 per ton of seed cotton (ex-ginnery price of lint Ksh 11,048/ton; paid to farmers, Ksh 3.2 kg of seed cotton. i.e. lKCh 8.420/ton of lint equivalent. CLSM8 costs KIh 120/ton) -

ginning outturn 381K.3/ Fees to non-farming population for attribution of town sites for dwellings and miscellaneous revenues. Total estimated at an average of Ksh 400 per family for 2,500 families.

4/ 0.752. service charge on capital outstanding, 10 years grace; repayment of capital 1%. per year during the first 10 years, 37. during next 30 years.

5/ 4-1/2 years grace, principal repaid over 15-1/2 years thereafter, interest rate 8.27% p.a.

6/ 8 years grace, principal repaid over 22 years thereafter, interest rate 3.757. p.a.

7/ 10 years grace, principal repaid over 40 years thereafter, no service charge.

8/ S years grace, principal repaid over 15 years thereafter, interest rate 87. pa.M

9/l Grant,

10/ Public Health and Other services.

May 19, 1977

KENYA

BURA IRRIGATION SETTLENENT PROJECT

NIB Cash Flow 1/(Ksh'million)

77/78 78/79 79/80 80/81 81/82 82/83 83/84 84/85 85/86 86/87 87/88 88/89 93/94 andthereafter

SOURCES OF FUNDS

A. Project Revenues

(a) Land and Water Charges 2/ - - 1.4 4.7 8.8 11.1 11.9 13.2 14.6 15.9 17.3 18.6 18.6

(b) House Repayments 3/ - - - 0.1 0.4 0.7 0.8 0.7 0.7 0.6 0.6 0.5 -

(c) Farmers' Payments for Culti-vation Services 4/ - - - 1.S 2.8 3.4 3.4 3.4 3.4 3.4 3.4 3.4 3.4

(d) Sundry Revenues 5/ - - 0.5 0.4 0.4 0.4 0.4 0.4 0.4 0.4 0.4 0.4 0.4

Total Project Revenues - - 2.3 6.7 12.4 15.6 16.5 17.7 19.1 20.3 20.3 22.9 22.4

B. Funds from Government 6/ 61.4 144.2 158.4 83.6 63.4 5.4 4.5 3.3 1.9 0.7 0.7 -

TOTAL SOURCES OF FUNDS 61.4 144.2 160.7 90.3 75.8 21.0 21.0 21.0 21.0 21.0 21.0 22.9 22.4

APPLICATION OF FUNDS

(a) Capital Costs 59.7 140.0 147.9 67.2 45.7 - _- - - - -

(b) Recurrent Costs 7/ 1.7 4.2 10.5 16.4 17.6 21.0 21.0 21.0 21.0 21.0 21.0 21.0 21.0

(c) Transfer to Government - - 2.3 6.7 12.5 - - - - - - 1.9 1.4

TOTAL P1.4 144.2 160.7 90.3 5 21.0 21.0 21.0 21.0 21.0 21.0 22.4

1/ In constant 1977 prices (this cash flow does not include any debt service).

2/ Ksh 2,800/ha at full development, in 1977 prices. See Annex 19, Table 1.

3/ Ksh 240 per year per farmer, in current terms, repaid in 15 years starting year 2; amounts shown are discounted at 87 p.a. to value

repayments in constant terms.4/ Cultivation charges as shown at Annex 19, Table 1 (about Ksh 660 per farmer at full development).

5/ Electricty and water charges to non-farming population (assumedequal to the operating costs of facilities).

6/ Capital and recurrent cost during investment period for all items shown at Annex 13, Table 1, except "Public Health" and"Operation

and Maintenance - Other", and "Farm Inputs", and occasional subsidies from 82/83 to 87/88.

7/ Including replaevents.

May 16, 1977

ANNEX 24Page I

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Economic Evaluation

Rates of Return

1. The basic assumptions used in the internal economic rate of returnanalysis were:

(a) The economic life of the Project was assumed to be 50years - the expected life of the main capital investments.

(b) Price contingencies, taxes and duties were excluded from thecost estimates.

(c) Physical contingencies (about 13% of base cost) were in-cluded in the cost estimates.

(d) Foreign exchange has been shadow-priced at a value ofKsh 11.0/US$1.0 (compared with the current rate ofKsh 8.35/US$1.0) and salaries have been costed at actualwage prices.

(e) Costs were based on January, 1977 prices and include:

(i) 100% of the costs of irrigation and wildlife con-servation works, roads and airfields, buildings forthe NIB, and vehicles and equipment;

(ii) 75% of the costs of village infrastructure, of settlers'dwellings, of the public health component, of thecosts of administrative services and socialservices buildings, and of education.

(iii) 100% of the operating costs of NIB, farm inputs, andconsultancy services excluding the Stage II FeasibilityStudy; and

(iv) 25% of other operation and maintenance costs.

(v) the marginal value product of farm labor, whichwas estimated at US$50 per year per family.

ANNEX 24Page 2

It will be observed that in (ii) and (iv) above only certain percentagesof the cost of some items have been considered appropriate for inclusion.This has been done on the basis that the excluded portions of the costswould have been incurred irrespective of the Project.

(f) The only benefits attributed to the Project were those from theprojected agricultural production and afforestation. Yieldsand output were estimated on the basis of yields alreadyachieved on the Hola Scheme. Groundnuts, cotton and maizewere valued at export prices, and cowpeas and garden cropswere valued at market prices. Benefits generated by theeconomic activity of the large number (up to 30,000) ofpersons other than settlers who are expected to be attractedto the Project area (traders, artisans, etc.) are notquantifiable and were not included.

2. Rates of return have been calculated for the following cases:

Case I: Base ROR. Project area 6,700 ha. The whole cost ofriver works, supply canal and main canal has been in-cluded, representing the situation that would exist inthe event that further experience and studies showedthat further development in the Lower Tana area wasnot feasible either by an extension of the Project to12,000 ha in the Bura area or by development on the EastBank. Other assumptions as listed in para 2.

ROR = 13%

Table 1 gives details of the computation. (If the cur-rent foreign exchange rate of US$1.0 = Ksh. 8.35 wereused instead of the shadow rate (para 2), the ROR wouldbe about 11.5%).

Case II: Same as Case I, but the costs of the river works, thesupply canal and the main canal have been proratedaccording to the areas they are designed to command.Hence only 13% of the cost of river works has beenincluded, since the Project area is 6,700 ha (18%) ofa possible total net area of about 37,000 ha commandedby the river works on the east and west banks. Similarlythe structures for the supply and main canals could com-mand 12,000 ha and therefore only 56% of their cost isincluded.

ROR = 14.5%

If the foreign exchange rate of US$1.0 = Ksh 8.35 were used,the ROR would be 12.5%.

ANNEX 24Page 3

Sensitivity Analysis

3. A sensitivity analysis has been made for Case I only.

(a) An increase of overall project costs of 10% would reducethe ROR by 1.5 percentage points from 13% to 11.5%.

(b) An increase of overall project costs of 20% would reducethe ROR by 3 percentage points from 13% to 10%.

(c) A decrease in benefits (due to lower yields and/or lowerprices) of 10% with costs at their original value, woulddecrease the ROR by 1.5 percentage points from 13% to11.5%.

(d) A decrease in benefits of 20%, with costs at their originalvalue, would decrease the ROR by 3.5 percentage pointsfrom 13% to 9.5%.

(e) A delay of one year in the realization of benefits, withoutaccompanying delay in project costs, would reduce the ROR by1.5 percentage points from 13% to 11.5%.

A separate analysis of the effect of independent variations of individualcost items has not been made; this effect would be small, because individualcost items represent small fractions of the total project cost.

May 18, 1977

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Project Rate of Return Calculation(Ksh'million)

1 2 3 4 5 6 7 8 9 10 11 12-50

I. PROJECT COSTS

1. Irrigation Works 15.3 75.2 70.8 13.1 - - - - - - - -

2. Roads, Airfields, WildlifeConstruction Works 8.8 3.0 3.4 1.3 0.8 - - - - - - -

3. Buildings and Infrastructures 13.5 27.8 28.6 22.9 18.3 - - - - - - -4. Public Health 0.1 0.3 0.4 0.4 0.4 0.4 0.4 0.4 0.4 0.4 0.4 0.45. Vehicles, Equipment, Electrical Supply 3.4 6.8 11.8 6.5 2.6 - - - - - - -

6. Operation and Maintenance, NIB 1.4 3.3 1.7 15.1 16.4 20.0 20.0 20.0 20.0 20.0 20.0 20.07. Operation and Maintenance, Other 0.1 0.1 0.4 0.6 0.7 0.7 0.7 0.7 0.7 0.7 0.7 0.78. Farm Inputs - - 2.3 7.5 14.4 17.5 17.7 17.8 18.0 18.2 18.4 18.69. Consultants, Management, Training 11.8 8.0 6.0 6.0 4.8 - - - - - - -

10. Family Labor - - 0.3 1.5 2.2 2.2 2.2 2.2 2.2 2.2 2.2 2.211. Afforestation 1.0 1.5 6.2 11.6 10.3 2.4 2.4 2.7 3.0 3.6 4.0 2.2

Total Costs. F.E. not shadow rated 55.4 126.0 131.9 86.5 70.9 43.2 43.4 43.8 44,3 45.1 45.7 44.1

Total Costs, F.E. shadow rated 64.8 147.4 154.4 101.4 83.3 50.8 51.1 51.5 52.1 53.1 53.8 51.9

II. PROJECT BENEFITS 1/

1. Crop Production - - 1.3 11.5 43.3 86.4 115.0 119.6 124.2 128.2 130.5 130.72. Forestry Production - - - - - - - - - 9.6 10.3 13.0

Total Benefits, F.E. Shadow Rated - - 1.3 11.5 43.3 86.4 115.0 119.6 124.2 137.8 140.8 143.7

Total Benefits. F.E. Not Shadow Rated - _ 1.0 8.6 32.5 64.8 86.3 89.7 93.2 105.8 108.2 111.0

1/ To take account of the lag between planting of cotton, which occurs in one fiscal year, and its harvesting, which occurs in the following fiscal year,the benefit stream corresponding to the benefits from cotton has been moved forward by six months in the calculation of the rate of return.

May 18, 1977

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Economic Value of Project Crop Production(Ksh'000)

CROP YEAR 1 2 3 4 5 6 7 8 9 10 11 andThereafter

I. COTTON

Area Cropped (ha) - 437 2,262 4,782 6,440 6,440 6,440 6,440 6,440 6,440 6,440Average Yield (ton/ha) 1/ - 2.50 2.52 2.58 2.64 2.74 2.84 2.93 2.98 3.0 3.0Seed Cotton Production (ton) - 1,092 5,703 12,319 16,996 17,640 18,284 18,844 19,208 19,320 19,320

Value of Production (Ksh'O00) 2/ - 6,420 33,530 72,440 99,940 103,720 107,510 111,040 112,940 112,600 113,600

TI. MAIZE/COWPEAS 3/

Area Cropped (ha) 403 1,344 2,554 3,023 2,866 2,631 2,464 2,328 2,204 2,104 2,059Average Maize Yield (ton/ha) 2.0 2.15 2.31 2.57 2.90 3.20 3.47 3.64 3.70 3.70 3.70Average Cowpeas Yield (toll/ha) 0.50 0.53 0.57 0.64 0.73 0.83 0.92 0.98 1.00 1.00 1.00

Maize Production (ton) 810 2,890 5.900 7,770 8,300 8,410 8,550 8,480 &-,150 7,780 7.620Value of Maize Production (Ksh'000) 4/ 710 2,560 5,220 6,880 7,350 7,440 7,560 7,500 7,530 6,890 6,800

Cowpeas Production (ton) 200 710 1,450 1,920 2,100 2,190 2,270 2,280 2,200 2,100 2,060Value of Cowpeas Production (Ksh'000) 5/ 340 1,210 2,470 3,270 3,570 3,720 3,860 3,880 3,750 3,580 3,500

III. GROUNDNUTS

Area Cropped (ha) - - -67 224 459 626 762 886 986 1,031Average Yield (ton/ha - unshelled) - - - 1.40 1.46 1.55 1.69 1.84 1.94 1.99 2.00Groundnut Production (ton - shelled) 6/ - - - 61 212 463 689 913 1,115 1,273 1,340

Value of Production (Ksh'000) L/ - - - 145 505 1,105 1,645 2,180 2,660 3,035 3,195

IV. GARDEN CROPS 8/

Area (ha) 17 90 150 260 260 260 260 260 260 260 260Value of Production (Ksh'000) 240 1,260 2,100 3,640 3,640 3,640 3,640 3,640 3,640 3,640 3,640

TOTAL ECONOMIC VALUE (Ksh'000) 1,290 11,450 43,320 86,375 115,005 119,625 124,215 128,240 130,520 130,745 130,735

l/ Settlera' arrival is phased over time, and settlers do not have the same yields in the same year. See Annex 8 "Cropping Pattern, Production and FarmRevenues"for development of yields on a typical holding.2/ Economic price of seed cotton Ksh 5,880 per ton (Table 3)._/ Cowpeas are planted in association with maize.4/ Economic price of maize - Ksh 885 per ton (Table 3).5/ Economic price of cowpeas - Ksh 1.700 per ton (local market price).6/ Shelled nuts are 65% of unshelled nuts in weight.7/ Economic price of groundnuts - Ksh 2,385 per ton (Table 3).8/ 500 m

2per farmer. Economic value is based on a yield of about 350 kg of product per farmer and a value of Ksh 2 per kg - x

NOTE: Year 1 corresponds to fiscal year 1979/80. I')

May 13, 1977

±--Ir 44

Table 3

KENYA

BURA IRRIGATION SETTLEMENT PROJECT

Commodities Prices

Economic FinancialPrices 3/ Prices 6/

Cotton

Lint, Mexican SM - 1/16" c.i.f. Northern Europe 1/ 70 #/lb. 70 /lb.Lint, Mexican SM - 1/16 c.i.f. Northern Europe 2/ 1,543 $/ton 1,543 $/ton

Less: Insurance and freight Mombasa - N. Europe 163 $/ton 163 $/ton

Mombasa price 1,380 $/ton 1,380 $/ton

Lint, f.o.b. Mombasa 3/ 15,180 Ksh/ton 11,523 Ksh/ton

Less: Transportation from Bura 475 Ksh/ton 475 Ksh/ton

Ex-ginnery price 14,705 Ksh/ton 11,048 Ksh/ton

Seed, local market ex-ginnery 900 Ksh/ton 900 Ksh/ton

Seed cotton value based on:

Lint 38% (90% AR and 10% BR grade) 4/ 5,590 Ksb'-n 4,200 Ksh/ton

Seed 61% 550 Ksh/ton 550 Ksh/ton

6,140 Ksh/ton 4,750 Ksh/ton

Ginning cost 5/ 262 Ksh/ton 224 Ksh/ton

Net value seed cotton 5,878 Ksh/ton 4,526 Kah/ton

Groundnuts (Decorticated)

C.i.f. Northern Europe 1/ 460 $/ton 460 $/ton

Less: Insurance and freight to Mombasa 200 $/ton 200 $/ton

F.o.b. Mombasa 260 $/ton 260 $/ton

Groundnuts, f.o.b. Mombasa 3/ 2,860 Ksh/ton 2,170 Ksh/ton

Less: Transportation to Bura 475 Ksh/ton 475 Ksh/ton

Farm gate price 2,385 Ksh/ton 1,695 Ksh/ton

Maize

F.o.b. Mombasa 1,360 Ksh/ton 1,360 Ksh/ton

Less: Transportation from Bura 475 Ksh/ton 475 Ksh/ton

Farm gate price 885 Ksh/ton 885 Ksh/ton

1/ Commodity Prices Forecasts Memorandum dated November 23, 1976 shows 53 i/lb for cottonlint and 348 $/ton for groundnuts in 1974 prices for 1985. These prices are inflatedby 32% to reflect 1977 'rices.

2/ 1.0 m. tons = 2,204 lbs.3/ Converted using shadow exchange rate US$1.0 = Ksh 11.0.4/ BR graee is valued at 50% of AR grade.57 Ginning Cost estimated on basis of ginnery costs in Annex 4 (Table 4) as follows:

Economic FinancialPrice Price

Operating Costs (per bale oflint; 1 bale weights 182 kg)182 kg) Ksh 129 Ksh 110

Cost per kg of lint Ksh 0.60 Ksh 0.71

6/ Converted using actual exchange rate US$1.0 - Ksh 8.35.

May 18, 1977

KENYABURA IRRIGATION SETTLEMENT PROJECT

IMPLEMENTATION SCHEDULE

1977 1978 1979 1980 1981 L 1982 1983

J ii DiJ JJ DJJ J DiJ JJ DJ D[J JIJ DiJ Ji

FY 1977 FYl1978 FY 1979 - FY 19B0 F 1981F 1982 FY 1983 FY 1984

77 I/) /I""7TARGETS/77 '4 7777 $//7' /14 "s7Land prepared (ready for plowing) - net ha-------------------------131----364-----------$---- Z

Tenants migrated to project -----------. -- A---25P$ - -------------------------- --I " 1 2E 29725)$"/7/7 /~~~~~~~~~~~~~~~~~=114/

ROADS /7 " /- //7 FIRTWTRlL 7$Garsen - Garissa ----------------------------------------------- - DELIVER7I77UPL' 777/

Access to Nanigi weir site - ------ - -- ------- --- - ---- -- ---- -------- ' ----- 'Maintenance--- -- -- -- -- -- -- -- ---- --- -- -- -- -- -- -- -- -- -- --- -- -- -- -- -7-- -- -- 7/z

Surfacing of internal Project roads (1 70 km) ------------.------------------------------- ~s 7 7/

RIVER WORKS /7A15) $ 7 "17 ) ~Diversion Structure, temporary dikes, ricer cutoff, closure, bridge, river bank protection - - - - - ---- 7------ $ 7< /J 5$$/7

DIKES AND OVERFLOW 777 7 " /"'/'Z"i Z4 p/ 7 7 /$

Compacted embankments, masonry overflow protection, dissipator22 - 1 t // 7 77 /77

CANAL EXCAVATION 77 7~/7 7' Supply Canal including sand trap & part irrigation and drainage network (for 1800 ha ara - 4' t¶o 7h)-7 7 /7/

Temporary pump station 7) '" 77) 7 7,7

Irrigation and drainage network ------------------------ /----$--/--------------

STRUCTURES $$ 1 ~ ~ $)4 "' " Supply Canal---- --- -- --- -- --- -- -- --- -- --- -- ----- --- -- -- --- -"--- -- -/--- --- - -/Main Canal-/. - C. XA/-/7 '> 'I rrigation and drai nage network, major structures & part minor structures for 1 800 ha-'--------......)..'.." -7------initial development area. /1 /7 / / 7 7 // >$ ///

Irrigation and drainage network, minor structures-----/A--------------------7 /- /-7-- '/-- .... ;.ON-FARM DEVELOPMENT WORKS 77/4A $$ /1""7 / 1 7)••5

Bush clearing, unit-feeders, -drains and -roads -----------------------------------------Land leveling--------- ------ r------------ ---------------- -------- -------- --- /7

Gubid ed art acibe tesonstrcton:d eat'hue,piary schools ,sdleris alte- afS/] ' '5)

/7/7 '', /7/7~~~~~~4 /I. / '/ .0 I 770/pubidealt faaciites, cosrctond eary tschoolses,7pimar/schols,/ocia4ser/ces/aciliies/.........7/./. /

PROCUREMENT OF EQUIPMENT AND MATERIALS/7/ /4 7$ /4 "$)in 4

)$ Agricultural and 0. & M. equipment, vehicles, building materials, chemicals for public health, etc ...-.. m..... ' /7//7 7 /7

TANA LEFT BANK FEASIBILITY STUDY-A../..............................77........... ..

LEGEND

/7777 Rainy season IEIIEImIEEEI Mobilization ICn B contracts mmmi m Guided Hlarambee construct'

eooooon0 Prequalification m mm construction procured under National Youth Service MW SSSA Consultants

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KENYA '// I S T A

BURA IRRIGATION SETTLEMENT PROJECT '/,1. N LA PIOETPROJECT FEATURES. EXISTNG FEATURES. RUST LAND A

National Irrigation -

Scheme Boundary State Land / Trust Land BoundoryRoads auth Brioge MAL/SEDIA 10 (SARSEN,~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~O AREN

Irrigated Area Roads with Bridge /TRUST /NDI& MOM,ASA

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Road Realignment -13- Contours in Meters

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