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PROJECT IMPLEMETATION PLAN
Meghalaya Community Led Landscape Management Project
(CLLMP)
With assistance from the World Bank
Planning Department
Government of Meghalaya
The World Bank
New Delhi
October 2017hp
Hewlett-Packard
[Pick the date]
TABLE OF CONTENTS
CONTACT DETAILS ......................................................................................................................... ii ABBREVIATIONS AND ACRONYMS ........................................................................................... iii 1. STRATEGIC CONTEXT FOR THE PROJECT......................................................................... 1
1.1. Country Economic Context ...................................................................................................... 1 1.2. Meghalaya Economic Context ................................................................................................. 2 1.3. Natural Resource Context ........................................................................................................ 2
1.4. Climate Change Vulnerability Context .................................................................................... 3 1.5. Institutional Context - Administrative Set-up and Traditional Institutions.............................. 6 1.6. Community Contest - Ownership and Management of Natural Resources .............................. 8
1.6.1. Land ................................................................................................................................... 8
1.6.2 Forests ................................................................................................................................. 8 1.6.3 Water ................................................................................................................................... 9
1.7. Developmental Context – Synergy of CLLMP with other programmes ................................ 10 2. Project Framework ..................................................................................................................... 14
2.1. Proposed Developmental Goal of the CLLM-Project ............................................................ 14 2.2. Higher level objectives ........................................................................................................... 14 2.3. Project Period ......................................................................................................................... 14
2.4. Project Area ............................................................................................................................ 14
2.5. Target Village Selection Criteria and Process (Milestones) under the Project ...................... 17 2.6. Project benefits. ...................................................................................................................... 18
3. Project Components ................................................................................................................... 19
3.1 Project cycle ........................................................................................................................... 19 3.2 Project Components ............................................................................................................... 20
3.2.1. Component 1: Strengthening Knowledge and Capacity for NRM ................................. 20 3.2.1.1. Component 1A: Promotion of traditional knowledge, grass-root innovations and
communication .................................................................................................................................... 21
3.2.1.2 Component 1B: Training and Capacity Building .................................................................... 21
3.2.1.3 Component 1C: Promotion of CLLMP Principles through Catalytic Fund ............................ 22
3.2.1.4 Component 1D: Research and Development ........................................................................... 22
3.2.1.5 Component 1E: Monitoring learning and reporting ................................................................ 22
3.2.1.6 Costing of Component 1 .......................................................................................................... 23
3.2.2 Component2: Community-led Landscape Planning and Implementation ...................... 26 3.2.2.1 Sub-Component 2A: Preparation of CNRM Plans .................................................................. 26
3.2.2.2 Sub Component 2B(i) CNRM Plan Implementation ............................................................... 27
3.2.2.3 Sub Component 2B(ii) CNRM Implementation Support ........................................................ 28
3.2.2.4 Costing of Component 2 ......................................................................................................... 30
3.2.2.5 Steps in CNRM plan approval and release of funds for investments ..................................... 32
3.2.3 Component 3: Project Management and Governance – Institutional Structure ................ 33 3.2.3.1 State Level ............................................................................................................................... 33
3.2.3.2 District & Block Level ............................................................................................................ 34
3.2.3.3 Village level ............................................................................................................................. 35
3.2.3.4 Costing of Component 3 .......................................................................................................... 37
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3.2.4 Summary of CLLM – Project Costing (INR) ................................................................... 38
3.2.5 Summary of CLLM-Project Costing (USD) ..................................................................... 39 4. Financial and Procurement Management ................................................................................... 40
4.1 Financial Management ........................................................................................................... 40 4.1.1 Main assumptions ............................................................................................................ 40 4.1.2 Project Component Financing and Financial Management ............................................. 40
4.1.3 Financial Management ..................................................................................................... 40 4.2 Procurement Management...................................................................................................... 46 4.2 Financial and Technical Safeguards and Reporting ................................................................. 50 5.1 Economic analysis .................................................................................................................. 51
FIGURES
Figure 1 Climate change glimpses ....................................................................................................... 4 Figure 2 Administrative Map of Meghalaya ........................................................................................ 7
Figure 3 Synergy of CLLMP with IBDLP......................................................................................... 12 Figure 4 Area in high priority zone .................................................................................................... 15
Figure 5 Area in very high priority zone............................................................................................ 16 Figure 6 Project Components ............................................................................................................. 20
Figure 7 Organogram State Project Management Unit ...................................................................... 34 Figure 8 Organogram of District Project Management Unit ............................................................. 35
Figure 9 Organogram of Block Project Management Unit ................................................................ 35
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CONTACT DETAILS
Mr. S M Sahai, IFS
Project Director - CLLMP (Additional Principal Chief Conservator of Forests)
Meghalaya Basin Development Authority
Government of Meghalaya
Upper Nongrim Hills, Cooperative Society Complex
Behind Bethany Hospital
Shillong
Email: [email protected]
Mobile: 9436999107
iii
ABBREVIATIONS AND ACRONYMS
ACA Additional Central Assistance
ADC Autonomous District Council
BADP Boarder Area Development Programme
BUS Business as Usual Scenario
BRGF Backward Grant Fund
BPL Below Poverty Line
BSA Benefit Sharing Agreements
CAMPA Compensatory Afforestation Fund Management and Planning Authority
CAT Catchment Area Treatment
CBO Community Based Organisation
CC Climate Change
CCA Climate Change Adaptation
CDD Community Driven Development
CEM Chief Executive Member
CLLMP Community Led Land Scape Management Project/ Programme
CSS Centrally Sponsored Scheme
CNRMP Community Natural Resource Management Plan
C&RD Community and Rural Development Department, Govt. of Meghalaya
DBDU District Basin Development Units
EKH East Khasi Hills
EGH East Garo Hills
EJH East Jaintia Hills District
FD Forest Department
GHADC Garo Hills Autonomous District Council
GIM Green India Mission, one of the eight missions of the NAPCC
GIS Geographic Information System
GoM Government of Meghalaya
GoI Government of India
Govt. Government
IBDLP Integrated Basin Development and Livelihood Programme
IGA Income Generating Activities
IVCS Integrated Village Cooperative Society
JFM Joint Forest Management
JHADC Jaintia Hills Autonomous District Council
JWMC Joint Watershed Management Committee
KHADC Khasi Hills Autonomous District Council
MBDA Meghalaya Basin Development Authority
MBMA Meghalaya Basin Management Agency
MDC Members of District Councils
MGNREGS Mahatma Gandhi National Rural Employment Guarantee Scheme
MIE Meghalaya Institute of Entrepreneurship
MIG Meghalaya Institute of Governance
MINR Meghalaya Institute of Natural Resources
MoDoNER Ministry of Development of North Eastern Region
MoEFCC Ministry of Environment Forest and Climate Change
MoRD Ministry of Rural Development, Government of India
MSRLS Meghalaya State Rural Livelihood Society
iv
NABARD National Bank for Agriculture and Rural Development
NAP National Afforestation Programme
NAPCC National Action Plan on Climate Change
NEHU North Eastern Hill University
NERCORMP The North Eastern Region Community Resource Management Project
NGO Non-governmental Organisation
NMSHE National Mission on Sustaining Himalayan Eco-systems
NREGA National Rural Employment Guarantee Act
NRLM National Rural Livelihood Mission
NRM Natural Resource Management
NTFP Non Timber Forest Products
PD Project Director
PDO Project Development Objective
PES Payment for Environmental Services
PIA Project Implementing Agency
PMU Project Management Unit
PRA Participatory Rural Appraisal
RB Ri-Bhoi District
RFR Recognition of Forest Rights
RKVY Rastriya KrishiVikasYojana
Rs. Indian Rupees
SAPCC State Action Plan on Climate Change of HP
SHG Self Help Group
SGH South Garo Hills District
SPMU State Project Management Unit
SMR Small Multipurpose Reservoirs
SWGH South West Garo Hills District
SWKH South West Khasi Hills
S&WCD Department of Soil and Water Conservation
UPNRM Umbrella Programme for Natural Resource Management
WGH West Garo Hills District
WJH West Jaintia Hills District
WKH West Khasi Hills District
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1. STRATEGIC CONTEXT FOR THE PROJECT
1.1.Country Economic Context
India (macro-economic condition): India‟s economic growth this fiscal (2016-17) is expected
to be 6.5%1 and the projected economic growth for 2017-18 is between 6.75% and 7.5% .
International Monetary Fund (IMF) has projected rate of 6.6% in 2016-17 and 7.2% in 2017-
18. The farm sector is expected to grow at 4.1% this fiscal, up from 1.2% last year and
Industrial Sector growth rate is expected to be 5.2% this fiscal, from 7.4% of last fiscal. India
introduced structural reform of uniform system of Goods and Services Taxes from July 2017
and it demonetized higher denomination note in November 2016 which is expected to affect
growth rate by 0.25-0.5%, but will have long-term benefits. As of January 15, 2017,
aggregate sowing of the two major Rabi crops; Wheat and Pulses exceeded last year‟s
planting by 7.1% and 10.7%, respectively. GDP growth expected to be in the 6¾ to 7½%
range in FY2018. India is expected to remain one of the fastest growing economies in the
world.
The Central government is committed to achieve its fiscal deficit target of 3.5% of GDP
2017. The current account deficit declined to about 0.3% of GDP in the first half of FY2017.
Foreign exchange reserves are at comfortable levels, having risen from around US$350
billion at end-January 2016 to US$360 billion at end-December 2016. The trade deficit
declined by 23.5% in April-December 2016 compared to corresponding period in previous
year. Government debt to GDP in 2016 was 68.5%, down from 69.1% in 2015.
India‟s growth continues to be impressive but sustainability depends on judicious
management of the country‟s natural resources. The country still faces development
challenges with the largest number of poor in the world. Primary sector (agriculture, fishing
and forestry) contributes only 13.9 percent to the GDP but for a large share of population it is
the principal source of livelihood. About 29 percent of The most significant process of
degradation is water erosion (loss of soil cover mainly due to rainfall and surface runoff
water) at 10.98%, followed by vegetation degradation (mainly as deforestation) at 8.91% and
wind erosion (denotes the spread of sand by various processes) at 5.55%.The most significant
process of degradation is water erosion (loss of soil cover mainly due to rainfall and surface
runoff water) at 10.98%, followed by vegetation degradation (mainly as deforestation) at
8.91% and wind erosion (denotes the spread of sand by various processes) at 5.55%.nearly
India‟s land is undergoing degradation mainly due to soil erosion and loss of vegetation and
topsoil. Addressing such land degradation is essential to raise agricultural productivity and
incomes. Groundwater, which is the source for nearly 80 percent of the water for irrigation
and drinking in rural areas, is overexploited, and is already unsustainable in about 30 percent
of the blocks.
1Economic survey of the Government of India
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1.2.Meghalaya Economic Context
Meghalaya is located in the Northeast of India. The state shares its border on the north and
east with Assam and on the south and west with Bangladesh. Between 2004-05 and 2015-16,
Gross State Domestic Product (GSDP) expanded at a compound annual growth rate (CAGR)
of 9.74 per cent to US$ 4.17 billion whereas the Net State Domestic Product (NSDP)
expanded at a CAGR of 9.17 per cent to US$ 3.41 billion. At a CAGR of 16.13 per cent, the
secondary sector was the fastest growing among the three sectors during 2004-05 to 2015-16.
Growth has been driven by construction, electricity, gas & water supply. Location and
economic parameter are given in Annex 2.
1.3.Natural Resource Context
Agriculture: Agriculture is the main source of income of the people of Meghalaya that
employs 70% of the population in the State and contributes 22% to the State GDP.US$ 54.66
million was proposed for the improvement of the agriculture sector of the state under the 12th
Five Year Plan (2012-2017). Net sown area in the State is 218892 ha. Shifting cultivation
is a prominent traditional agricultural land use associated with the social framework of the
tribal communities in Meghalaya specially is Garo Hills. Agriculture is heavily dependent on
monsoon. Much of the area available for crop is dedicated to paddy which is dependent on
rainfall. Other food grain crops grown in the State are wheat, maize, other cereals, pulses
(cowpea, pea, lentil, arhar, black gram, rajma etc.), oilseeds (castor, sesame, rapeseed,
soyabean, sunflower. Garo hills are the food basket of the State.
Horticulture: The geo-climatic conditions of Meghalaya offer an excellent scope for
growing of different types of horticultural crops including fruits, vegetables, spices,
plantation crops, medicinal and aromatic plants of high economic values. Important fruit
crops of Meghalaya are Pineapple, Citrus, and Banana. Meghalaya is also known for its high
quality vegetables as the agro-climatic conditions favour cultivation of vegetables though out
the year. Many varieties of spices are grown in Meghalaya viz., turmeric, ginger etc.
World‟s best quality turmeric is grown in Meghalaya. Other spices are black pepper, bay
leaf. All above mentioned economic activities are dependent on natural resources. However
the natural resources are under extreme state of degradation which underlines the importance
of landscape approach with community participation for sustainable management of these
resources.
Forests: It is often quoted that the state - with about 77 per cent of its total geographical area
under forest cover - is a forest-surplus region, but the
quality of the forest has deteriorated, and dense forests
with canopy closure of 40 per cent or more have been
degraded into open forests or scrublands. With the change
climatic conditions native broadleaved species are
disappearing and various exotic invasive (pines) species,
that do not support much of biodiversity, are encroaching
on the patches so created. Substantial forest area (88.15%)
is under the unclassed category, and is owned by private
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individuals, clans, village councils, district councils and other traditional community
institutions.
Forest fires: A large area of forests and grasslands in the state is destroyed by fire every year.
Forest fire create heavy smog that is harmful to human and animal life. Forest fires most
certainly destroy the understory vegetation and in many cases also standing full-size trees.
Trees damaged from forest fires are more susceptible to bark beetle attacks, especially in
adverse weather conditions. The destruction of vegetative cover leads to surface runoff and
soil erosion especially in the steeper topography. Run off also carries suspended soil
particles, dissolved inorganic nutrients, and other materials into adjacent streams and lakes
adversely affecting water quality and destroying fish habitats.
Resource degradation: Heavy biotic pressure, shifting cultivation, mining and other
anthropogenic activities have lead to fragmentation, destruction and degradation of forests
and irreversible changes in landscapes. There forest lands are deficient in nutrients and have
poor regeneration carrying capacity. Many species have become extinct due to fragmentation
and degradation of habitats. Deforestation also resulted into loss of soil cover and siltation of
fish habitats, decrease in primary productivity of natural and agro-ecosystems, loss of habitats
and disappearance of native species, invasion of exotic weeds etc. Deforestation and the
resultant loss of soil especially in the hill areas are leading to increased siltation of rivers and
streams. The deep pools that are the favoured habitats of many species are rapidly becoming
shallow and choked with silt, leading to a decline in habitat. At the same time, swamps,
marshes, and other wetlands are increasingly being reclaimed for urban and agricultural
expansion.
Loss of bio-diversity: Forests have faced extreme loss of biodiversity in last decade. Many
of the endemic species have become extinct or are endangered. Major causes of loss of bio-
diversity are deforestation, habitat destruction, fragmentation of natural forests into isolated
patches due to mining, shifting cultivation, encroachment, forest fires, illegal extraction of
forest production and other anthropogenic pressures and land use changes. The depletion rate
of forest cover accelerated since 1985. This has reduced species richness, reduced population
size of endemic species and increased number of threatened species
1.4.Climate Change Vulnerability Context
Climate change vulnerability: Climate of Meghalaya is dependent on the south-west
monsoons2 which bring torrential rains and flash floods in many part of the State specially in
the low altitude areas bordering Assam and Bangladesh which cause heavy damage to the
crops. In the case of Meghalaya, the 5 districts are moderate to highly vulnerable. These
districts include: West Khasi Hills, South Garo Hills, Ri- Bhoi, East Garo Hills and West
Garo Hills. The moderate to low vulnerability districts are East Khasi Hills and Jaintia Hills.
None of the districts scores “very low” on the current overall vulnerability scale.
2http://megplanning.gov.in/MSDR/agriculture_allied_sectors.pdf
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Meghalaya with spots of wettest place on the earth faces extreme scarcity of water in
winter season. Most parts of the State face 5-10% probability of moderate and severe
drought intensity and floods. According to a study done by Indian Institute of Science most
of the districts in Meghalaya are expected to receive much less monsoon precipitation during
the short term period but the water yield in short term is expected to increase by 10-40%.
This may be attributed to the increase in intensity of rainfall events and the reduction in the
number of these rain events. Thus in the short term water yield may increase but the water
scarcity may also increase due to increased rainfall intensity and runoff. Increase in evapo-
transpiration under both short and long term scenarios is projected for majority of the
districts, even up to about 50%.
Impact of climate change: Extreme precipitation events (heavy rainstorm, cloud burst)
cause widespread landslides and soil erosion. The response of hydrologic systems, erosion
processes and sedimentation in the river basins could alter significantly due to climate
change. Occurrenceofextremelyintensecloudburstsofunprecedentedintensityinthe western
Meghalaya hills in 2004 produced devastating flash floods causing hundreds of deaths.
Floods in the northern part of West Garo Hills adjoining Assam cause tremendous loss to
crops, infrastructure, economy, livelihoods and lives of the people. About 815,000 ha in
Meghalaya gets affected due to flooding, which might increase in the next few decades in-
terms of intensity, frequency, erosion potential, environmental damage, social disruption and
economic costs. Some of the glimpses of impact of climate change are given below:
Figure 1 Climate change glimpses
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Impact of CC on springs: 79% of population living in villages depends on springs as main
source of water for household and irrigation purposes. Climate change has resulted into
reduction in water discharge or drying of 54% of 6000+ springs in Meghalaya. Impaired
springs have caused widespread water stress in the rural landscape, adversely affecting
agriculture, livestock and other allied livelihood activities of the people and causing hardship
and drudgery. Despite heavy rainfall, many areas are water-stressed due to increase in
demand-supply gap leading to a surge in the use of ground water. Further, ground water data
shows that the depletion rate between pre and post
monsoon period is about 40 to 80% depending on the
landscape. Besides the combined effect of
anthropogenic activities and climate change reduced
the “sponge action” of the land and consequently
limited percolation of the rainwater. Thus hydrological
imbalance is experienced in some of the watersheds,
besides the issues of soil erosion, siltation, soil and
water pollution. It has been estimated that less than10-
15%
oftherainwaterisabletopercolatedownthroughdeforested
slopestorechargethesprings while rest flows down causing floods and landslides.
Impact of CC on agriculture/ horticulture and animal husbandry: The State is deficit in
food production. Rain fed agriculture is highly vulnerable to climate variability and changes
as frequent drought and flood conditions adversely affecting livelihoods, water supply and
food production. The sector is constrained by high rainfall variability, weather shift and
projection of water stress during the cropping season resulting in decline of grain yield. Low
net ground water availability, traditional subsistence based agriculture practices, shifting
(jhum) cultivations, lack of irrigational facility along with large number of small and
marginal land holding makes the agriculture of Meghalaya vulnerable to climate change.
Animal husbandry sector also faces scarcity of feed, fodder and water for animals
especially during draughts. Climate change has led to problems in feeding and reproductive
management of animals and higher incidence of parasitic infections in animals is reported.
There is steep decline in grasslands due to water stress which has resulted into increased
biotic pressure in forest areas. Non availability of sufficient nutrition for cattle leads to
malnutrition and vitamin deficiency related diseases in cattle.
Addressing above concerns though the project: The project aims at reversing this rate of
deforestation and loss of soil fertility through afforestation, natural regeneration, soil and
water conservation measures, soil productivity enhancement measures and introduction of
climate resilient agriculture. These measures are expected to improve resilience of natural
resource dependent communities and reduce their vulnerability to climate change.
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1.5.Institutional Context - Administrative Set-up and Traditional Institutions
The people of Meghalaya have their own traditional socio-political system where self-
governing institution follow their own customary laws, traditions and practices to govern
their land, forests and water resources without any constitutional powers. Their decisions are
respected by the people.
Non-
trad
itio
onal
inst
ituti
on
Government of Meghalaya
Legislature – MLA and council of ministers
Executive Adminstration- District administration (11 districts) and block admonistration
(45 blocks)
Khasi Hill Autonomous District
Council
Jaintia Hills Autonomous
District Council
Garo Hills
Autonomous District
Council
Tra
dit
ional
inst
ituti
ons
3 tier structure 3 tier structure 1 tier structure
The administrative arrangement of the Government consist of revenue districts, Autonomous
District Councils and traditional institutions. The State is divided into 11 revenue districts3
recently carved out of original 7 districts, 45 CD blocks and 6026 villages.
Khasi State (Hima)
Siyem
Dorbar Shnong (Village Council)
Rangbah Shnong
Dorbar Shnonmg
Rangbah Shnong
Dorbar Reid (Council of group
of villages)Bakhrawas/ Lyngdoh//
Basan/ Myntri
Jaintia State (Ka Ri ki Khadar Doloi)
Raja
Chanong (Village)
Waheh Chnong (Headman)
Chanong (Village)Rangbah Shnong
Elaka (Region)
Doloi / Basan
Village level joint assembly of elders
King Nokma
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Figure 2 Administrative Map of Meghalaya
The legislative, executive and judicial functions and local administration of the State are
vested in three elected Autonomous District Councils set up under the provisions of the Sixth
Schedule to the Constitution of India viz.,
The Khasi Hills Autonomous District Council:- East Khasi Hills, West Khasi
Hills, South West Khasi Hills and Ri- Bhoi Districts fall under their jurisdiction. Its
headquarters is at Shillong.
The Garo Hills Autonomous District Council:- North Garo Hills, East Garo Hills,
West Garo Hills, South West Garo Hills and South Garo Hills Districts fall under their
jurisdiction. Its headquarters is at Tura.
The Jaintia Hills Autonomous District Council:- East Jaintia Hills and West
Jaintia Hills District fall under their jurisdiction. Its headquarters is at Jowai.
The District Councils are constituted by Members representing District Council
Constituencies. These Members of District Councils (MDC) are elected by adult franchise.
The leader of the party which gets maximum representation in the District Council is
appointed by the Governor of Meghalaya as the Chief Executive Member (C.E.M.). On the
advice of the C.E.M., some members are appointed by the Governor as Executive Members
who along with the C.E.M. constitute the Executive Committee of the District Council and
exercise their executive powers. The ADCs have executive as well as judiciary powers in
relation to land disputes and social conflicts including regulation of the traditional
institutions, namely, Syiem, Hima and village headman etc.. Details discussion on ADC is
given later discourse non-traditional institutions.
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1.6. Community Contest - Ownership and Management of Natural Resources
1.6.1. Land
The pattern of land ownership plays an important role in land use and agricultural
development and planning as the basic concept of land ownership and tenure deals with the
interrelated network of rights, duties, privileges, immunities and capacity to have and hold
land for certain uses by individuals and groups within a society. Meghalaya is chiefly a
matrilineal society where the system of inheritance is through the female member of the
household.
Garo Hills: In the Garo Hills, land is subject to the ordinary laws of inheritance, and really
belongs to the wife of the nokma or traditional village chief or headman of a Garo village. All
the inhabitants of a village are entitled to cultivate whatever land they require, and may
cultivate wherever they choose within the traditional village boundary. Village boundaries are
recognised traditionally but without records.
Jaintia Hills: Land in the Jaintia Hills is basically classified into two types, namely, Hali
land and High land. The Hali lands are the permanently cultivated land terraced wet rice land
and were of two kinds: the difference being in the method of irrigation; one where water was
brought from the streams and the other which depended on rainfall for water. The Hali lands
comprise of the Raj land (property of king), Service land (land granted for use only for
providing services to raja), Village Puja land, Private land (can be transferred, mortgaged and
sold or otherwise, at the will of the owners) and Patta land (District Council land given on
lease to individuals). The High lands, on the other hand, are all lands not under hali or
permanent terraced cultivation. High lands were divided into two: private lands held like hali
private lands and unclaimed lands or government wastelands. The high lands, being in private
possession, can be bought, sold, mortgaged and inherited at the will of the owners.
Khasi Hills: In the Khasi Hills, landed property is classified under two main heads --– Ri
Raid (community/ clan land for use of people) and Ri Kynti (private heritable and
transferable land).
1.6.2Forests
Forest ownership: The forest in Meghalaya is managed by the State Forest Department, the
Autonomous District Councils and by the community. Less than 5% of the forest land is
controlled by the State Forest Department. The rest are under the direct or indirect control of
the Khasi Hills, Jaintia Hills and Garo Hills Autonomous District Councils‟ or the
communities. About 88 per cent of the forests are under the control of the communities.
Most of the forest lands are also under the direct control of private individuals. There are
three kinds of forests under the jurisdiction of the District Councils:
Unclassed state forests, which are under the direct control of district councils;
Clan/community forests and
Private forests.
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The control of the District Councils on the second and third categories of forests is limited
only to the collection of royalty on the timber exported by the owners; outside their own area
of trade. There are also types of lands which are declared as forest lands according to the
United Khasi - Jaintia Hills Autonomous District (Management and Control of Forest) Act,
1958. They include the following:
Protected forest: are forests declared protected by the District Council for the growth
of trees for the benefit of local inhabitants.
Green blocks: These forests belong to an individual family or clan or joint clans and
grow on Raid lands and are protected for aesthetic beauty and water supply of the
urban areas.
Reserve forests: are forests declared so by the executive committees of the District
Councils. In these forests human settlement and felling of trees or cutting of
branches are prohibited. Such forests are under the control of the State Forest
Department.
Unclassed forests: are mostly private forests over which local self-government has
some control. They are mostly on the hill slopes and are used by local inhabitants for
jhum cultivation. They are „unclassed‟ simply because these forests, before the
commencement of the Constitution of India, they are under the direction and control
of the government. They also include any other forests not classified in any of the
above.
Majority of the forests are both owned and managed by the people or communities; the
exception being that under the Sixth Schedule, they are under the regulatory authority of the
District Councils. Various types of community owned forests are: Sacred Forests (Law
Kyntang), Village Supply Forests (Law Shnong), Village Restricted Forest (Law Adong),
Law Raid (forests belonging to a group of villages), Private Forests - Law Ri-Sumar (private
forest on community land), and Law Ri-Kynti (private forest on private land), Cemetery
Forests (Law Lum Jingtep), Champe (managed by Nokma in Garo hills), Wa. Grin are
bamboo reserves managed by Nokma, Clan Forests (Law Kur).
Management of community owned forests: Communities with their traditional knowledge
have been managing forests in Meghalaya with their cultural and economic activities
designed to ensure their sustainable management and utilisation. Traditional institutions have
played a critical role in sustainable management of forests. However, with breaking up and
weakening of traditional institutions and recent threat of climate change this knowledge is
getting sidelined. So there is need to not just strengthen the traditional institutions but also
support traditional knowledge with scientific knowledge and management practices to create
new avenues for bio-diversity conservation, enhanced ecosystem services, forest productivity
and adaptation to climate change.
1.6.3 Water
Custodianship of water: There is a dichotomy between amount of rain and availability of
water in the state of Meghalaya. The state receives between 2,000 mm-12,000 mm of rain for
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6-8 months, leaving the dry months with lots of water scarcity problems. The river system of
Meghalaya comprises mainly of rivers draining to the Brahmaputra basin in the north and the
Meghna Basin in the South. There is no defined custodian of water resources in the state. It
does not have any specific law defining ownership and rights over water resources. Rights are
derived from customary beliefs and practices which in turn are supported by several
legislations. Rights over water in rivers and lakes are exercised by the community/clans and
individuals according to the customary laws and beliefs, a bit of which derives its genesis
from the land tenure system. This freedom to use land in any manner they deem suitable has
affected the lakes and rivers.
State and ADC ownership: The Constitution of India provides that the natural resources are
property of the nation and that the property rights in all rivers, streams, other natural
watercourses and canals vest with the state. However, Meghalaya is a Sixth Scheduled state
and the autonomous district councils have some power to legislate on water for agricultural
purposes. It can also make laws with respect to the use of any canal or watercourse for
agriculture4.
Community management: Under customary law in the state no specific water related
institutions exists. Rather, water related matters have always been considered part of the
associated land use interests and are generally handled through the village Dorbar.
Traditionally, the user of land had the use of water on that land. Streams, rivers, etc. under
customary law are considered to be common property. Spring and streams are the principal
source of water in south Meghalaya. Villagers pay ample regard to these water sources. They
use this water for drinking and make efforts to keep them clean and unpolluted. As such, they
do not permit their cattle at the places from which they collect drinking water; do not allow
anyone to throw garbage in its source. In villages where government supplies water are
inadequate or absent, water from these community forests play an important role in their
daily requirements. Ponds and wells are made at most water sources where in some villages
a signboard is put up having cautionary notes on how to use the water. Some community
forests act as a source for government water supply.
1.7. Developmental Context – Synergy of CLLMP with other programmes
The State has substantial experience in implementing Sate and Centrally Sponsored
Programmes. It has currently implementing IFAD funded Megha-LAMP project in 18
blocks. Details of various development programme implemented by the Government of
Meghalaya in last two decades are summarized in Annex 4.
As discussed in section 1.3 and 1.4 Meghalaya‟s population is heavily dependent on natural
resources (forest, land water) for their sustenance which are under various stages of
degradation. While most of the springs in Meghalaya have either dried or experienced
decrease in discharge, there are high incidence of forest fragmentation, loss of bio-diversity,
flash floods, reduction in productivity in agriculture, horticulture and livestock sectors
4The Indian Law Institute – Legal Issues in the management of water with special reference to the
state of Meghalaya.
11 | P a g e
threatening livelihood, food and water security of the people of Meghalaya. Impending
threats of degradation of natural resources due to climate change or anthropogenic activities
clearly underlines a community based integrated approach to tackle the problems in a
sustainable manner as most of the natural resources are owned by communities (refer section
1.6). Taking a serious note on the status of natural resources, Government of Meghalaya
launched its Integrated Basin Development Programme (IBDLP) as its flagship programme
in 2012.
Integrated basin Development and Livelihood Programme (IBDLP) is a citizen-centric and
demand driven programme that emphasizes on self-reliance and entrepreneurship based on
development of social, intellectual (skills) and natural capital through community
participation as the pathway to its vision for sustainable eco-systems development. It is
systematic approach for inclusive growth through universal access, universal opportunity and
universal coverage centred around good governance, convergence, institutional
strengthening, capacity building, knowledge management, communications and financial
inclusion. Innovation, optimisation and sustainability run across all aspects of IBDLP.
Thus the programme ensures “universality to partners” catalysing people‟s aspirations to
participate through fair and transparent policies rather than through a “targeted beneficiary
approach” which may lead to exclusion or marginalisation. This flagship programme has two
major investment areas:
i) Natural resource management through landscape approach (CLLM –Programme);
ii) Livelihood and market access through agri-value chain promotion and
development of market infrastructure (Megha-LAM Progamme).
Thus IBDPL as a programme has two sub-programmes viz. CLLM-Programme to cater to
needs of community based NRM through land scape approach; and Megha-LAM Programme
to address issues of livelihood and market access. Each of these programmes are supported
and partially financed by the IFAD (on-going Megha-LAM Project) and the World Bank
(proposed CLLM-Project).
Megha-LAMP (Programme) has three major components viz.
1. NRM based livelihood and food and water security
2. Livelihood support through i) enterprise development ii) integrated production and
marketing clusters iii) livestock development iv) marketing infrastructure and market
roads v) rural finance and
3. Knowledge Services for information on core areas of NRM and livelihood
development including technology testing and action research; communication and
information dissemination to stakeholders on NRM and livelihood.
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Figure 3 Synergy of CLLMP with IBDLP
CLLM-Programme, on the other hand, aims at strengthening communities and traditional
institution to manage their natural resources such as soil, springs and other water sources,
forest and biodiversity, agriculture and horticulture through landscape approach. This
program is designed to strengthen community participation in planning and implementation
of landscape based activities; improved project management skills and building knowledge
and capacity etc.
Village based integrated planning and governance is common feature of both CLLM-
Programme and Megha-LAMP.
In order to catalyse, design, evolve and standardise State-wide investment policies and
practices two smaller projects one for each sub-programme were designed. CLLM-Project,
financed by the World Bank, is expected to serve into universal CLLM-Programme while
Megha-LAMP (Project) serve universal Megha-LAM Programme thus providing universal
access and opportunity to the people of Meghalaya. Both the programmes and their respective
projects complement and supplement each other.
Programme CLLM-Programme Megha-LAM Programme
Coverage Across the State (universal) Across the State (universal)
Project for
demonstrating
and evolving
programme
principles
CLLM Project financed by World
Bank (proposed)
Megha-LAM Project financed
by IFAD (on-going)
Programme
supported by
respective
project-specific
activities in
limited
Preparation and implementation of
village based Community NRM
Plans with landscape approach in 400
villages
Preparation and implementation
of livelihood plans (IVDPs) in
1350 villages for
1. NRM based livelihood and
food and water security
2. Livelihood support through
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geographies i) enterprise development
ii) integrated production and
marketing clusters
iii) livestock development
Project activities
with universal
coverage
supported by
respective
projects
1. Strengthening capacity building of
communities, traditional
institutions and other stakeholders
for landscape management
2. Knowledge management and
communication services for
landscape management
iv) marketing infrastructure and
market roads
v) rural finance
3. Knowledge Services for
livelihood
Source of finance
for replication of
project
investment
activities in
geographies
beyond project
areas
State and Centrally Sponsored
Schemes mainly NRM component of
MGNREGS
National Infrastructure
Development Assistance
(NIDA) and RIDF from
NABARD for market access and
infrastructure / roads
State and Centrally sponsored
schemes
Thus both Megha-LAM Project and CLLM-Project feed into and are later expected to merge
with wider Megha-LAM Programme and CLLM-Programme under IBDLP. Universal
coverage, equal access and equal opportunities for development for the people of Meghalaya
is quintessence of IBDLP irrespective of the source of funds. IFAD and World Bank funding
have been introduced to bring in best practices that can be replicated beyond the geographies
covered under these projects.
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2. Project Framework
2.1.Proposed Developmental Goal of the CLLM-Project
To strengthen community-led natural resources management with landscape approach in the
State of Meghalaya.
2.2.Higher level objectives
Sustainable Management of natural resource for economic growth: to manage and
conserve the natural resources, especially forests, soil and water sources, in a manner that
support accelerated economic growth and well-being of every community in Meghalaya
Institutional development: institutionalize and demonstrate a model for government
support to community-led management of natural resources that could be replicated in
other parts of India where communities have the legal rights over the resources.
Promotion of Country Partnership Strategy of WB and GoI : The proposed operation
under the project is also consistent with the World Bank India Country Partnership
Strategy (CPS) for 2013-17 which focuses on Transformation and Inclusion by
supporting community-led interventions to restore and sustainably manage forests, land
and water resources and biodiversity, on which 80 percent of the population depends, and
by enhancing the involvement of the World Bank in a low-income state of India which is
committed to reforms.
Alignment with SCD: The proposed project is also aligned with India‟s emerging
Systematic Country Diagnostic (SCD) which stresses the importance of a resource-
efficient and inclusive growth path. Meghalaya is in the North-East, a financially
excluded region in the country with lower per capita income than the national average,
low HDI and a large population of scheduled tribes. In addition to supporting
community-led natural resource management in the state, the proposed project will have a
positive impact in terms of improving the availability and reliability of water sources for
drinking and economic purposes through various interventions in soil and water
conservation. Furthermore, the proposed project is well aligned with the WBG Forest
Action Plan and its focus area of Sustainable Forestry. In particular, it will contribute to
the goals of the Climate Action Plan by optimizing the potential of natural forests to
provide monetary and non-monetary benefits, participatory management and
rehabilitation of degraded lands.
2.3.Project Period
Project will be implemented over a period of five years.
2.4.Project Area
As discussed earlier, natural resources viz., forests, bio-diversity, water sources and soils in
Meghalaya are in high state of degradation due to anthropogenic and climatic factors.
Therefore, it is logical to include area for treatment that have acute water shortage, high
degradation of forests and soils with high incidence of poverty of resource dependent
communities. In 2012 the North East Space Application Centre (NESAC) conducted
watershed based vulnerability analysis of all 35 watershed and 179 sub watersheds of
Meghalaya and classified landscapes as (i) most critical (very high priority), (ii) moderately
15 | P a g e
critical (high priority), and (iii) low priority areas based on vegetation index, slope and soil
brightness index.
Very high
vulnerable to
soil erosion
High vulnerable to
soil erosion
Moderately
vulnerable to soil
erosion
Low or very
low priority
watersheds
Area in sq. km 1427.31 8891.86 10993
No. of sub-
watersheds
30 29 77 43
Figure 4 Area in high priority zone
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Figure 5 Area in very high priority zone
However, The NESAC classification of critical landscapes is over 5 years old and it is possible that
number of villages under critical and very critical category may have increased over the years.
Therefore, ground truthing of such villages will have to be undertaken before such villages are taken
up for intervention under Component 2 of CLLM-Project.
Since the WB assistance is limited, the Government of Meghalaya will utilize it to establish and
demonstrate best practices for planning and implementation of landscape management approach
through actual investments in land, water, soil and forests development activities in few villages so
that those practices can be replicated in the entire State as part of CLLM-Programme. It would be
reasonable to take up landscape management activities in around 400 villages. Keeping in view the
principle of providing equal opportunity to all villages through self-selection process, all villages that
are finally identified as falling under critical and very critical landscapes will have equal opportunity
to submit their Expression of Interest for participating under CLLM-Project. First 400 villages that
demonstrate their preparedness to implement CLLM-Project through achieving set milestones will
receive investment funds for CNRM plan preparation and implementation under the project. All
remaining villages in the State will receive financial assistance from GoM from State and Centrally
sponsored schemes under CLLM-Programme for implementing CNRM plans as and when they are
able to achieve set milestones for receiving that assistance.
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2.5.Target Village Selection Criteria and Process (Milestones) under the Project
Step 1 Sensitisation and Awareness Generation: All villages will be sensitized on IBDLP
and CLLMP approaches and further screening requirement/ milestones for CLLM-
Programme by block level officials /demonstrators. These officials will organise series of
village level meetings, where all households in a village will participate, to discuss issue of
natural resource degradation that affect them and how they can jointly manage them. In these
meetings, CLLM-Programme and its community operational manual along with a draft
citizens charter will also be introduced to the villagers. Theecitizens charter would be a joint
undertaking by the community to conserve and sustainably manage their natural resources.
Villages will ne guided and encouraged to constitute their village NRM Committee and its
executive committee and open their bank account as per the Community Operations Manual.
Basic eligibility criteria under CLLM-Project: While all villages will be eligible to
participate in the CLLM-Programme of the Government of Meghalaya, the World Bank
assistance will be used for planning and implementation of Community NRM Plans
(Component 2 of the Project) in limited villages (400 Nos.) in critical and very critical
landscapes only. The Government of Meghalaya will use GIS tools and ground truthing to
villages that have high incidence of poverty amongst resource dependent communities, acute
water shortage and high degradation of forests and soil resources.
Step 2: Submission of Expression of Interest: The villages (or cluster of villages) will
submit their expression of interest at block unit, for inclusion under the project/programme
through an agreed template (draft template will be provided in the Community Operations
Manual).
Step 3: Screening of Expression of Interest
The expression of interest by each village (or cluster of villages) will be screened at block
level using the following major and optional criteria:
Major criteria
One female (head of the family) and one male Member of each household sign Citizens
Green Charter
Bank account for Village CNRM committee is opened.
Availability of undisputed land for CLLMP
Percentage performance under various State and Centrally sponsored schemes,
particularly MGNREs (this will be an “ranking criteria” to shortlist villages if there are
more number of applicants)
Optional criteria
Village NRM committee is established and Executive Committee for project planning
and implementation is appointed
Land dispute, if any, is resolved or excluded from prospective development
Traditional knowledge holders on NRM are identified
Community nursery is established
6-8 youth are selected for undergoing training on various aspects of land-scape
management (GIS and geospatial tools, CNRM plan preparation, accounting and book
keeping, social and environmental safeguards, social audit, community mobilisation etc.)
18 | P a g e
Note: Representation for regional balance (village will be selected in proportion to the
number of villages in critical landscape in each of Garo, Khasi and Jaintia regions)
First set (400) of villages that submit their valid expression of interest for inclusion under
CLLM-Project after having satisfied above criteria will receive financial and technical
assistance for project planning and implementation once their EoI is accepted as per the
guidelines developed for the same.
On evaluation of EoI the District Screening Committee and District Project Management Unit
will decide source of finance for any village (WB assistance / other sources under CLLM-
Programme). All those villages who submit their valid expression of interest and which are
not covered under CLLM-Project will be covered under CLLM-Programme in a phased
manner. This design will not only ensure competition for willing and active participation
amongst villages to be covered under the project/programme but will also ensure timely and
adequate absorption of project/programme funds.
2.6.Project benefits.
1. The project will ensure increased availability of water, biological resource and soil
productivity which will impact the around 55500 ha. of land in 400 villages under
different activities as summarised below
Particulars Benefitted
area (ha.)
Remarks
Agriculture land –Kharif 8278 20-30% increase in crop production
Agriculture land – Rabi 5466 20-30% increase in crop production
Horticulture 4830 10% of better culturable wasteland used for
horticulture
Agro-forestry 5217 30% of culturable wasteland used for agro-
forestry
Forestry 12585 50% of highly degraded forest area
developed as dense forests through
reforestation and natural regeneration
Soil and water
conservation measures
22632 Mainly in culturable wastelands and
degraded forest areas. Only area not treated
under any of the previous schemes will be
undertaken for development
Mining affected area
treatment
600 Rough estimate
Treated area under the
project
31510
Average area per village 78.78
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3. Project Components
3.1 Project cycle
The project and programme will be implemented in the following sequence
Step Activity Responsibility Component
1 Establishment of SPMU, DPMUs, BPMUs MBMA CLLM-Programme
and Project
1 Identification of critical and very critical
landscapes
SPMU CLLM-Project
2 Sensitisation and awareness on IBDP and
CLLMP
Discussion of NRM Issues and draft Green
Citizens‟ Charter and Community Operations
Manual with the villages
DPMU and
BPMU
CLLM-Programme
and Project
3 Formation of Village NRM Committees and
Executive Committees
Opening of bank account
Identification of youth for training and capacity
building
Village CLLM-Programme
and Project
4 Submission of Expression of Interest for
participation in CLLM-Project/ Programme
Village NRM
– Executive
Committee
CLLM-Programme
and Project
5 Screening on EoIs from villages By DPMU and
recommendati
on made to
SPMU
CLLM-Programme
and Project
6 Training and capacity building, awareness,
critical consultancies, research and development,
and knowledge management
SPMU with
DPMU
Comp-1
7 Release of funds for plan preparation for villages
who have under gone training
DPMU Comp-2
8 Procurement of services of village service
providers (trained under component 1)
Requisition for expert assistance from block
level and district level experts
Plan preparation
Village NRM
Committee
Comp-2
9 Submission of plan Village
Committee to
DPMU
through
BPMU
Comp-2
10 Review and approval of plan DPMU Comp-2
11 Plan approval and signing of MoU between
DPMU and village committee
DPMU Comp-2
12 Implementation training SPMU and
DPMU
Comp-2
13 Release of funds for plan implements in tranches SPMU to
Village NRM
Comp-2
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Committee
14 Procurement of labour and material
Requisition for expert assistance from block
level and district level experts
Village NRM
Committee
Comp-2
15 Plan implementation Village NTM
Committee
Comp-2
3.2 Project Components
Figure 6 Project Components
In order to achieve project goal and higher level objectives the project has been designed to
have three components viz
1. Strengthening knowledge and capacity of stakeholders
2. Planning and implementation of Community Natural Resource Plans
3. Project Management
3.2.1. Component 1: Strengthening Knowledge and Capacity for NRM This component will be implemented in the entire State through World Bank Assistance.
Continuous development, assimilation, analysis and dissemination of knowledge and skills
related to landscape management is important for project implementation. This component
has following sub-components:
1. Promotion of traditional knowledge, grass-root innovations and communication
2. Strengthencommunities through training and capacity building
3. Promotion of landscape management principles through Catalytic Funds
4. Research and development
5. Monitoring, learning and reporting
GIS and Geo-spatial
application(Component 1)
Strengthening
Knowledge and
Capacity for NRM -
Knowledge
Centres and
Communication
(Component 1A)
PMU Technical
and Management
Support
(Component 3)
Monitoring and
Evaluation
(Component 1)
Training and Capacity
building of Stakeholders
(Component 1B)
Preparation of Community
NRM Plans (Component 2)
Plan implementation
(Component 2)
21 | P a g e
3.2.1.1. Component 1A: Promotion of traditional knowledge, grass-root innovations and
communication
i) Participatory documentation and exchange of traditional knowledge: This will
involve:
Community consultation will be held by MBMA/ MBDA at the State level
and Regional level through seminars and workshops. It may include
identification of opportunities for promoting unique NRM practices (e.g.
Living Root Bridges, bamboo-based drip irrigation etc.) in Meghalaya;
learning from IVDPs and resource maps developed through PRA under
other projects and community driven initiatives; review of existing
institutions for their potential contribution to landscape management and in
development of plans for convergence of various schemes and resource at
the disposal of these institutions.
Development of KM strategy
Development of e-platform for dynamic sharing of landscape related
knowledge with the community under IBDLP and development of
knowledge networks.
Development of website for CLEM-Programme
ii) Promoting grassroots innovation:
Expression of interest will be invited from individual, village institutions,
community representatives and State / national level institutions /
organisation for innovations in sustainable natural resource management
and their products and services. Most potential innovative ideas will be
provided further grants to seek IPR, popularise and if possible
commercialise their innovation. The grant will cover cost of applied
research, testing, application and replication
iii) The project will also assist in preparation of strategy paper and action plan for
development of future centre of excellence in knowledge management, innovation
and communications.
3.2.1.2Component 1B: Training and Capacity Building
i) MBMA will closely work with Meghalaya Institute of Natural Resource
Management, Institute of Governance, Department of Science and Technology,
State Institute of Rural Development (SIRD), Forest Training Institute (FTI –
Tura) and Conservation Training Institute of the Soil and Water Conservation
Department (CTI) to impart training to various stakeholder of the project. If
required other State and National training institutes can also be roped in.
ii) A consulting agency will be involved to validate training need assessment of
various stakeholders done during initial consultation at the time of project
preparation. Following training needs were identified during initial consultation
with various stakeholder:
Sensitisation and introduction to the log Frame of the project,
Development of NRM plans including PRA tools, resource mapping,
vulnerability analysis, integrated village development planning, climate
change and its impact, water security planning and management, land
conservation and management planning, forest management planning,
project governance and conflict resolution, spring-shed development,
restoration of mined areas, soil productivity enhancement, fire protection
and disaster risk management, knowledge management tools, village level
maintenance of books of accounts,
22 | P a g e
Project governance and conflict resolution
Use of GIS and geospatial technology in planning
Training on implementation on environmental and social safeguards in
project,
Soft skills and leadership development program for youth and women on
institutional dev. (communication and personality) development,
community ownership and collective action, motivation and positive attitude
for achieving goals, development of civic sense in youth etc.
iii) Development of training infrastructure: In order to optimise on training
infrastructure at block level Bharat Nirman Rajiv Gandhi Seva Kendra
(BNRGSK) or existing Enterprise Facilitation Centres will be equipped with
training infrastructure
iv) Publication and training material: Various project related publications, videos,
radio programmes, case studies, information kits etc in English and local
languages will be financed under the project. Preparation of training material
for technical and soft skills required for project implementation will also be
undertaken. The Community Implementation Manual will be developed.
v) National and international exposure visits for stakeholders will be conducted
3.2.1.3 Component 1C: Promotion of CLLMP Principles through Catalytic Fund
Village not covered under the CLLM-Project for investment under Component 2 will be
supported by the State Government under CLLM-Programme. A catalytic fund will be
established to fill any gaps that are required for adoption of CLLMP principles in non-project
villages. This could include improvement of designs, systems, procedures in various
activities related to sustainable management of natural resources, adoption of social and
environmental framework, procurement and financial management, monitoring and
evaluation or acquisition of special equipment so support CLLMP principals and approach or
any other activity as deemed fit by the State Project Management Unit.
3.2.1.4 Component 1D: Research and Development
Following activities will be financed under this sub-component
Institutional development study for IBDLP
Baseline survey/study for the project
Drivers of deforestation and natural resource degradation
Rehabilitation of population displaced due of mines
Further research, as required, on gaps in community conservation practices and
knowledge as identified during community consultation workshop
3.2.1.5 Component 1E: Monitoring learning and reporting
A State-wide MIS based performance tracking system is an important management tool that
will be used to track implementation progress and other aspects of the IBDLP including
CLLM-Project at select intervals. MIS structure, indicators and information flow will be
designed along with defining the information requirement from institutions/stakeholders.
MBMA will design and establish MIS infrastructure for CLLMP that can be scaled up to cater
to other requirements of IBDLP. It has also been suggested that since multiple other state
government and central government schemes are being digitalized, provisions be made for
linkages between this MIS platform and such other platforms for the sake of data
rationalization and information sharing. This MIS system will also help villagers, traditional
leaders, farmers, Government officials, project team members, facilitating NGOs to
understand their roles and responsibilities to manage their natural resources more efficiently.
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3.2.1.6 Costing of Component 1
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3.2.2 Component2: Community-led Landscape Planning and Implementation
3.2.2.1 Sub-Component 2A: Preparation of CNRM Plans
Community Operations Manual provides detailed guidance on preparation of landscape plans.
Communities, with the help of project facilitating teams (subject matter specialists) at block
level and village level service providers will prepare plans which will allow communities to
(i) optimize synergies between programs and funding streams; (ii) plan holistically rather than
be program/ scheme-driven to meet targets; and, (iii) take a leadership role for the
management of natural resources under their stewardship.
Plan preparation in a village will be preceded by community mobilization; formation of
Village NRM Committee and selection of an executive committee within the village to
coordinate and manage the process on behalf of the village; submission of expression of
interest by the village for participating in CLLM Project/ Programme; training and capacity
building of village service providers and members of the executive committee. The process
will be further enhanced with communities receiving support in the use of latest geo-spatial
tools for planning and monitoring. During development of these plans communities will
identify the leading causes of degradation of natural resources in their area and agree on
actions to address those and capitalize on new opportunities and on trade-offs.
Following principles will be adhered to during planning process under CLLM-Project and
Programme.
1. Best management practices: Best management practices will be adopted right from the
planning state itself. These will related to informed and consented decisions making by
the stakeholders; prior removal of bottlenecks, respect for shared natural resources;
equitable access to natural resource; sustainability of investment with provision for future
maintenance of assets beyond the project period; constructive channelizing power of
youth; dignity of labour and shared responsibility; self-reliance through training and
capacity building, knowledge management and optimal use of technology.
2. Project facilitationat village and block levels: CNRM Plans will be developed with the
help of project facilitating teams (subject matter demonstrators) at block level; technical
experts nominated from the district offices; and village service providers5 at the village
level. Each village can use services of village-based youth who have been trained in
various aspects of CNRM planning and implementations such as forests management,
water & soil conservation, maintenance of accounts, environmental safeguards and social
safeguards and gender etc. Project villages will also have a GIS community assistant for
data compilation and management.
These service providers will be trained by SIRD, Forest Training Institute, Conservation
Training Institute of Soil and Water Conservation Department, MINRM, MIG and
Knowledge Services Division of MBDA etc. on various aspects of CNRM plan
preparation and implementation.
It is envisages that shorts term technical experts on various aspects of plan preparation
and implementation can also be engaged from the market. The DC office will prepare a
panel of experts on calling the expression of interest and engage on an average 300
5Also called as green volunteers under IBDLP
27 | P a g e
person days / per year of ST experts at the block level to assist the block facilitation
teams in project planning, execution and supervision.
3. Application of environmental and social safe-guards: For EMF there are 3 levels of
screening (i) eligibility screening, (ii) regulatory requirements screening and (iii)
Screening/Identification of environmental impacts based on which the community will
identify any risks, impacts or permits needed, and adopt the appropriate mitigation
measures and cost them so the C NRM plan is compliant with the provisions of the
EMF.CLLM-Programme will adopt and follow the procedures in the project social and
environmental management framework and will ensure that following list of activities are
avoided with CLLMP funding:
Activities that are in violation of existing laws and policies GoI, GoM.
Purchase of land;
Construction of dam (existing or new) of 10 m height or more.
Use banned pesticides, agrochemicals in WHO classes IA, IB and II.
Activities that would adversely affect religious or cultural sites and historical assets.
No individual to be excluded to participate in the proposed interventions based on any
criteria (social, economic, gender, land ownership etc.);
Activities that lead to alteration, conversion, deforestation or degradation of natural
forests or natural habitats.
Activities on lands under dispute
Financing of elections or election campaigns
4. Components of village CNRM plans: Community Operations Manual (COM) of the
project will outline processes of community consultation and development of CNRM
Plans. COM will specifically define “bottom-up” participatory planning processes viz.,
Participatory Rural Appraisal (PRA) and Participatory Rural Investment Planning (PRIP)
3.2.2.2 Sub Component 2B(i) CNRM Plan Implementation
Plan preparation and implementation in each village will take 4 years i.e. 1 year for plan
preparation and 2 years for plan implementation and 1 year for consolidation. 60% of the
investment cost will be incurred in the 1st year of implementation and 40% in the 2nd
year of
implementation. Tentative phasing of different set of villages for Plan Preparation (PP),
Plan Implementation (PI) and Plan Consolidation (PC) will be as under.
Months 1-6 7-12 13-18
19-24 25-30 31-36 37-42 43-48 49-54 55-60
Villages
100 PP PI PC
150 PP PI PC
150 PP PI PC
Actual implementation of plans will be in a phased manner, agreed through an MoU between
the Village NRM Committee and respective District Project Management Units.
Communities will first implement agreed first phase activities in their plan and graduate to
the next phase of financing if implementation meets agreed criteria. This approach is meant
to incentivize performance based access to funds by the communities. Criteria for assessing
successful implementation will be agreed in the MoU itself. Actual interventions needed
will be decided by the community in their respective CNRM Plans will relate to Soil and
water conservation measures; soil health improvement and productivity
28 | P a g e
enhancement measures; spring-shed development and water management plans; nursery and
agro forestry and community forestry; optimisation of shifting cultivation; rehabilitation of
areas affected by mining etc.
Average Village cost for Component 2B(i) (Rs. in Lakh)
3.2.2.3 Sub Component 2B(ii) CNRM Implementation Support
1. Implementation of Social and Environmental framework: Implementation of
social and environmental management framework including setting up of grievance
redressal mechanism, training and consultation of social and environmental issues e,
external evaluation of status of implementation etc.
2. Use of GIS and geospatial technology: It provides a platform where all data/
information products relating to development, governance, project design, planning,
monitoring etc. can be tagged with geospatial identifiers and represented in
Geographic Information Systems. This will also include development and
maintenance of community level outreach network through establishment of village
level kiosks and building capacity of different stakeholder to use the technology and
its infrastructure.
3. Monitoring and Evaluation: Monitoring and Evaluation (M&E) is a very important
aspect of any project to ensure smooth and efficient implementation through tracking
and documentation of results, processes and experiences. Monitoring is checking
progress against plans. The data acquired through monitoring is used for evaluation.
M&E will consist of in-house monitoring, external evaluation and reporting:
In-house output and outcome monitoring: This will ensure that the targets and
milestones set are achieved in the stipulated timeline. Various types of monitoring
systems will be adopted:
Progress monitoring visits by project staff and desk monitoring: This will be
undertaken on a regular basis to ascertain achievement of physical targets for
project activities and outputs as set out in Annual Work Plans and Budgets and
provide course corrections. This activity will be undertaken by the SPMU team
and will be based on reports generated and MIS.
Self-monitoring by community institutions: Given the focus on sustainability of
community institutions, the need for applying a mechanism for continuous
(concurrent) tracking of organizational growth and performance of these
community institutions is emphasised. Therefore, it is proposed to design and
implement a Participatory Monitoring and Evaluation (PME) framework in the
inception phase to delineate approaches and pathways towards development of a
Spring development 1.75
1
Composting 1
Other components of NRM Plan 17.8
External experts hired by village CNRM Committee 2.5
Green Service Providers from village 11.52
35.57Total
Nursery
29 | P a g e
community-based contextual, evolutionary/adaptive M&E system for the Project.
The framework can be developed by the M&E team. The PME could be
implemented by village institutions and uploaded in the project MIS using tablets/
mobiles. A simplified mobile based technology feedback system can be used at
community level to capture and feed data into the Management Information
System of the PMU. PMU will also establish a too-free number for reporting of
concurrent monitoring by the community and for grievance management.
Financial and Procurement Monitoring: A Financial and Procurement
Monitoring and Supervision system shall be installed. For that purpose, a
“Financial Monitoring Guideline” and Procurement Manual outlining
procurement procedures under the projectshall be prepared during the inception
phase of the project. The expenditures will be audited by in-house concurrent
auditor annually with regard to the correctness of the procedures, amounts and
documents by a professional Auditing Company and the audit reports shall be sent
to World Bank.
External evaluation: Based on reports from various studies, monitoring mechanisms
and MIS, half yearly and annual progress reports will be compiled and submitted for
review. Any issues of concern/red flags and suggestions for course correction will be
included in these reports.
Mid-term Assessment Study – this would be undertaken mid way through the
project to ascertain the progress achieved and any mid-course corrections which
need to be introduced. It would include indicators to measure progress towards log
frame goals and objectives.
End-Term Assessment Study – this will be undertaken at the end of the project
period (around the time of project completion) and will assess the achievement of
the project during the tenure.
Reporting: MBMA shall report to the WB semi-annually on the progress of the
project (progress report), including on the fulfilment of implementation agreements
and on all developments of all other important general conditions. The content and
form of report shall be determined by the WB and agreed in the Separate Agreement.
In addition, MBMA shall report on all circumstances that might jeopardise the
achievement of the overall objective, the project purpose and the results. The first
report of the state of affairs shall be submitted within three months after launch of the
project. Subsequent reports must be submitted to the WB not later than 6 weeks after
the end of the period under review. At the time of physical completion of the Project,
MBMA shall submit a final report on the measures carried out
30 | P a g e
3.2.2.4 Costing of Component 2
Average Village cost for Component 2B(i)
2A.(i) CNRM PLAN PREPARATION Rs. Lakh
Unit Lakh/Unit Year 1 Year 2 Year 3 Year 4 Year 5 Total
100 150 150 400.00
a) Plan preparation cost @ Rs.30000 per plan (Rs. Lakh) 0.3 30.00 45.00 45.00 120.00 Grant
b) Sensitisation of CNRM Committees (1 day) 1015 Trg norm 7.08 7.08 14.16 Grant
c) 5 Day Training of selected CNRM Committees (7 members) 400 Trg norm 46.38 69.56 69.56 185.50 Grant
83.45 121.64 114.56 0.00 0.00 319.66
2B(i) CNRM IMPLEMENTATION
35.57
100 150 150 400
100 150 150 400
a) 1st Cost of plan implementation @ 60% of outlay 2134.20 3201.30 3201.30 8536.80 Grant
b) 2nd year of plan implementation @ 40% of outlay 1422.80 2134.20 2134.20 5691.20 Grant
c) Cluster development fund (common investment between villages) 500.00 750.00 750.00 2000.00 Grant
d) Social Audit 400 0.045 18.00 18.90 19.85 20.84 21.88 99.46 Grant
Sub 18.00 2153.10 5143.95 6106.34 2906.08 16327.46
No. of villages
Treatment cost per village (Rs. Lakh)
Ist year of plan implementation (No. of villages)
2nd year of plan implementation (No. of villages
Particulars
Sub Total
Spring development 1.75
1
Composting 1
Other components of NRM Plan 17.8
External experts hired by village CNRM Committee 2.5
Green Service Providers from village 11.52
35.57Total
Nursery
31 | P a g e
2B(ii) CNRM IMPLEMENTATION SUPPORT
a) Implemenation of E&SMF LS 65.00 68.25 71.66 75.25 79.01 359.17 CS
b) GIS and Geo Spatial Equipment 737.24 737.24 Goods
c) GIS and Geo Spatial Consultancy 178.80 187.74 197.13 206.98 217.33 987.98 CS
d) GIS operating expenses 12.00 12.60 13.23 13.89 14.59 66.31 IOS
e) Project Equipment (Software and hardware) 1099.20 1099.20 Goods
f) Monitoring and Evaluation 20.00 21.00 77.18 23.15 85.09 226.41 CS
2112.24 289.59 359.19 319.27 396.01 3476.30
2213.69 2564.33 5617.70 6425.61 3302.09 20123.43
844.89 115.84 143.68 127.71 158.40 1390.52
0.61 73.21 174.89 207.62 98.81 555.13
1368.18 2375.29 5299.13 6090.29 3044.88 18177.77
20123.43
GoM Contribution 2A(i) 0.00% 0.00 0.00 0.00 0.00 0.00 0.00
2B(i) 0.00% 0.00 0.00 0.00 0.00 0.00 0.00
2B(ii) 40.00% 844.89 115.84 143.68 127.71 158.40 1390.52
Community contribution 2A(i) 0.00% 0.00 0.00 0.00 0.00 0.00 0.00
2B(i) 3.40% 0.61 73.21 174.89 207.62 98.81 555.13
2B(ii) 0.00% 0.00 0.00 0.00 0.00 0.00 0.00
World Bank 2A(i) 100.00% 83.45 121.64 114.56 0.00 0.00 319.66
2B(i) 96.60% 17.39 2079.89 4969.05 5898.72 2807.27 15772.33
2B(ii) 60.00% 1267.34 173.75 215.52 191.56 237.61 2085.78
Total 2213.69 2564.33 5617.70 6425.61 3302.09 20123.43
Grand Total
GoM Contribution
Community Contribution
World Bank contribution
Details in Annex
Sub total
Details in Annex
Details in Annex
Details in Annex
Details in Annex
32 | P a g e
3.2.2.5 Steps in CNRM plan approval and release of funds for investments
Village level
(i) Each Village CNRM Committee shall prepare its CNRM Plan with the assistance of
the cluster facilitation staff / technical staff at the block level and also by using
expertise of the traditional knowledge holder.
(ii) Village CNRM Plans will have annual plans and 6 monthly milestones for release of
funds.
(iii) Village CNRM plans will be endorsed by the head of traditional institutions at the
village level (headman) and sent to BPMU for onward submission to DPMU
Block level
(i) BPMU will conduct a quality assessment of the Village CNRM Plan.
(ii) BPMU will prepare a consolidated statement of all village CNRM plans received by it
(iii) BPMU can suggest/ make qualitative improvements in the plans in consultation with
the VPMU Executive Committee before sending it to DPMU
(iv) BPMU will also prepare their block –sub plans
(v) Consolidated block plan will be sent by BPMU to respective DPMU along with
village CNRM plans and recommendations thereon.
District level
(i) DPMU will constitute a committee to review, appraise and approve village CNRM
plans. The village plans, if not found to be in order, can be returned by DPMU to
VPMU for improvement and amendments.
(ii) The DPMU will prepare the District Plans which will be aggregation of a) All village
CNRM plans b) Block sub-plans c) and District sub-plan.
33 | P a g e
State level
3.2.2 The SPMU will prepare State annual Plans with aggregation of the district plans and
state sub-plan.
(iii) The Sate CLLMP Plans will be approved by the State Project Steering Committee
based on the recommendation of the Project Operations and Finance sub-committees.
B. Fund flow for plans
Based on the approved yearly plans of each village, DPMU will provide annual budget
and six monthly funds to each VPMU.
Based on the approved yearly plans of each BPMU, the DPMU will provide annual
budget and yearly funds to DPMU.
Based on the approved annual plan of each DPMU, the SPMU will provide budget and
annual funds for DPMU sub-plans, BPMU sub-plans and Village CNRM plans.
DPMU will release project funds directly to VPMU on six monthly basis for project
operations (Component 2) based on their annual plan and six monthly progress report or
completion report whichever is earlier.
C. Revision of plan by VPMU
If required, each VPMU can review and revise their CNRM plan whenever required and
get the revised plan approved by the DPMU. DPMU can consider such plans on merit
depending on budget availability, technical feasibility, financial viability, economic and
environmental relevance and social acceptability.
These revised plans will further get incorporated in the plans of BPMU, DPMU and
SPMU.
3.2.3 Component 3: Project Management and Governance – Institutional Structure
The implementation arrangements of the project will constitute of the governance and
management structure of the project from state to the village level. The implementation
arrangements will also cover the details regarding financial management, disbursement and
procurement.
3.2.3.1 State Level
The overall management and coordination will be the responsibility of the Meghalaya Basin
Management Agency (MBMA), an existing Section 8 Company under Companies Act, 2013
floated by Government of Meghalaya to undertake EAPs. The CLLM-project will be
controlled and supervised by the Board of Directors of MBMA. The Board of Directors
comprises of the Chief Secretary of GoM (Chairman), CEO – MBMA, Retd IAS, Dy CEO –
MBMA, Principal Secretary Finance. The Board of Directors of MBMA meet on a quarterly
basis to approve and review the work plans and budget. It accesses the physical and financial
progress of the project and provides corrective measures. Further, it will review and
recommend policy measures to the GoM to ensure sustainability of the project/programme.
Moreover, it will assess and facilitate convergence across different line departments and
stakeholders at the state level.
State Project Management Unit (SPMU): As already mentioned, Meghalaya Basin
Management Agency (MBMA) is the nodal agency for management and implementation of
the project activities. The day-to-day executive control of the Project is with the State Project
34 | P a g e
Director, who heads the State Project Management Unit (SPMU). The core personnel of the
SPMU are 2 Additional Project Directors for Garo Hills and Jaintia/Khasi Hills; 5 Deputy
Project Directors for activities related to Soil, Water, Forest, Community and Rural
Development and Administration. DPD Administration will also responsible for Finance and
Procurement; and 5 Managers (Environment Management, Social Safeguard and
Management, Monitoring and Evaluation, Knowledge Management, Training and Capacity
Building, Administration). Each of these managers will be supported by subordinate staff as
given in the figure below:
Figure 7Organogram State Project Management Unit
The staff depicted in blue colour will be hired from the market and remaining staff will be
deputed from various line departments of the Government of Meghalaya. The SPMU will
undertake overall planning and implementation of the project. It will be responsible for
reviewing and finalizing fund flow mechanisms, procurement management, reporting and
monitoring, policy advocacy and awareness generation. It will prepare guidelines and
technical manual for programme activities, including the community operational manual.
Moreover, it will provide infrastructural and institutional support to district, block and village
level units.
3.2.3.2 District & Block Level
The project operations at the district level will be governed by the District Project Steering
Committee, headed by the Deputy Commissioner (Chairperson). The members will be the
Officers from the Line Departments in the Districts as well as the Blocks, DPM (Operations)
and DPM (Admin) will be the Member Secretary, there will be two independent members
who will be invited by the Chairman as per the need. The Committee will convene quarterly
meetings to guide, supervise and monitor the progress of the project. In addition, the
committee will review and approve CNRM Plans submitted by block units.
District Project Management Unit (DPMU):
Day-to-day operation and administration of the project will be carried out by two District
Project Managers viz., DPM (operations) and DPM (administration). DPM (operations) will
35 | P a g e
be supported by a Manager and DPM (administration) will be supported by an Assistant
Manager. The DPMU will draw upon technical government officers from respective line
departments (Soil and Water, Forest, C&RD) Additional staff will be hired for Environment,
Social and Knowledge Management, Procurement, Finance and M&E. In addition to district
level planning and coordination, DPMU will also conduct training needs assessment and
facilitate training and capacity building activities at the district, block and village level
through resource institutions.
Figure 8 Organogram of District Project Management Unit
Block Project Management Unit (BPMU): At the block level, the existing Enterprise
Facilitation Centre (EFC) and government officers will support Village Natural Resource
Management Committee (VNRMC) to plan and implement CNRM plans. The government
officials will be from the Department of Soil and Water Conservation, Water Resource
Department, Forest Department and C&RD Department etc. The Block Development Officer
will be overall responsible for the project at this level.
Figure 9 Organogram of Block Project Management Unit
3.2.3.3 Village level
Since the project is community-driven, village is considered the primary unit of planning and
implementation of CLLM-Project. VNRMC will comprise of one male and one female
member of each house hold. They will appoint an executive committee to undertake day-
today operation and this executive committee members may be elected from Self Help
Groups, Women Groups, Youth etc.. One person from the line department will be available
District GIS
Coordinator
DPM -Admin (1) DPM -Operations (1)
Asst. Mgr. (1) Manager - Operations (1)
Prog. Associate - Proc & Fin (1) Asst Mgr. - Soil (1)
Asst Manager -M&E (1) Asst Mgr. - Water (1)
Asst Mgr. - Forests (1)
Asst Mgr. - C&RD (1)
Asst Mgr. - Environ (1)
.
DPM - District Project Manager Asst Mgr. - Social (1)
KM - Knowledge Management
C&RD- Community and Rural Development Asst. Mgr. - KM (1)
Dis
tric
t P
roje
ct S
teer
ing
Co
mm
itte
e
Deputy Comissioner
36 | P a g e
from the Block to facilitate the activities. The number of members in Executive Committee
will be 5-7 persons. The VNRMC will be overall responsible for preparation and
implementation of plans and management of project fund, procurement and supervising, etc.
37 | P a g e
3.2.3.4 Costing of Component 3
Details in Annex 1
World Bank 60.0%
Government of Meghalaya 40%
Year 1 Year 2 Year 3 Year 4 Year 5 Total
3A Human Resource
a) State Project Management Unit 253.80 266.49 279.81 293.81 308.50 1402.41
b) District Project Management Unit 256.20 269.01 282.46 296.58 311.41 1415.67
Total cost of human resource 510.00 535.50 562.28 590.39 619.91 2818.07
3B Administrative expenses
a) State Project Management Unit 76.09 79.89 83.89 88.08 92.48 420.43
b) District Project Management Unit 184.153 193.36 203.028 213.18 223.839 1017.56
c) Block Project Management Unit 120 126 132.3 138.915 145.861 663.08
Total of administrative expenses 380.24 399.25 419.21 440.18 462.18 2101.07
890.24 934.75 981.49 1030.56 1082.09 4919.14
534.14 560.85 588.89 618.34 649.26 2951.48
356.10 373.90 392.60 412.23 432.84 1967.66
TOTAL OF COMPONENT 3
Particulars
World Bank Contribution
Government of Meghalaya
38 | P a g e
3.2.4 Summary of CLLM – Project Costing (INR) (Note: Contribution of GoM under Component 1 and 2 = 38.5%)
39 | P a g e
3.2.5 Summary of CLLM-Project Costing (USD)
40 | P a g e
4. Financial and Procurement Management
4.1 Financial Management
4.1.1 Main assumptions a. Project life : The project life is 5 years, starting from fiscal 2017-18 and it is expected to
be completed by fiscal 2022-23.
b. Physical and price contingencies : As all project interventions are on a project mode,
no specific physical contingencies have been applied. Price contingencies will be applied
on various items and activities once the same is finalized.
c. Inflation rate: As per the data from Ministry of Statistics and Programme
Implementation (MOSPI), India, the inflation rate as on September 2016, inflation rate is
5%.
d. Exchange rates : The initial exchange rate for the analysis has been set at Indian Rupees
(INR) 65 to one USD, the rate prevailing at the time of plan preparation (October 2017).
Exchange rates during implementation phase and the foreign exchange rates forecasts for
the Project costs estimates, and conversions from current INR values into USD are to be
calculated using current exchange rate (INR/USD). Both foreign and local inflation rates
are compounded at mid-year.
4.1.2 Project Component Financing and Financial Management Project will have three components viz.,
1. Strengthening knowledge and capacity of communities for improved NRM
2. Planning and investments
2A Landscape Planning for Sustainable Natural Resource Management
2B Investment in NRM activities
3. Project Management
The proposed financiers for the CLLM-Project are the World Bank, the Government of Meghalaya,
and community. The World Bank will finance about USD 48 million about 80% of total project costs,
the government counterpart funding will be about USD 10.68million, and the community contribution
will be USD 1.32 million, mostly in the form of labour. The Government of Meghalaya will commit
USD 12 Million (USD 16.68 Million GoM contribution and USD 1.32 Million Community
contribution) as counterpart funding through convergence and State‟s resources under the CLLM-
Project
GoM will attempt to leverage funds from various central and state sponsored schemes for
CLLM-Programme to achieve the programme outlay of USD 200 million (including World
Bank finance) by replicating lessons learnt and following systems / procedure and good
practices under CLLM-Project. It is clarified that financial outlay of CLLM-Programme
(excluding CLLM-Project) is beyond the scope of commitment for counterpart funding made
by the GoM under CLLM-Project.
4.1.3 Financial Management
1. The project will be implemented by Meghalaya Basin Management Agency
(MBMA), a section 8 „not-for-profit Company‟6 incorporated in the Indian Companies Act
6 Incorporated in 2012
41 | P a g e
2013 to develop integrated basin development plans and take measures for their
implementation in GoM. The institution functions through formal Board of Directors headed
by Chairman at the rank of Chief Secretary GoM and supported by Directors (Senior
Bureaucrats of GoM). MBMA is presently implementing a donor funded program of IFAD.
2. Under the administration of Project Director, a State level Project Management Unit
(SPMU) and District level Project Management Unit (DPMU) has been established in
MBMA. The SPMU will have the overall responsibility of maintaining the financial
management system of the project and ensuring that these functions are carried out in
accordance with the project‟s legal agreements. These activities will include (a) adequate
annual budgetary provision and effective utilization; (b) sufficient and timely flow of funds
for project activities, including for community-led program; (c) maintenance of adequate and
competent financial management staff; (d) appropriate accounting of project expenditures; (e)
oversight on project funds spent by Village NRM Council (VPMU) per MoU/Performance
Agreement; (f) control over assets created under the project; (g) preparation and timely
submission of interim financial reports; and (h) timely submission of audit reports and project
financial statements to the World Bank. The following arrangements will govern the Project‟s
financial management:
Budget and Counterpart financing: The World Bank funds (not exceeding 80% of project
cost) will be provided to GoI under IBRD loan terms and it will be released by Government
of India (GoI) to Government of Meghalaya (GoM) as per agreed financing norms between
Centre and the State (i.e. 90% as Grant and 10% as Loan). The GoM will provide 100%
funding (Central and State share) for the Project in the yearly State budget at the beginning of
each financial year based on the budget estimates (AWP) provided by MBMA. It is proposed
that a revolving advance is received from the Funding Agency. This means that first an
advance is given by the funding agency and as it is utilised on submission of the claims to
CAAA the advance amount is restored back. In both the above cases, after submission of the
claim to CAAA, the amount is credited by the Funding Agency to the Designated Account
maintained by GOI. GOI on receipt of the said amount transfers the same to State
Government which in turn transfers the same under Sanction Order to the agency
implementing it. In the sanction order the source and purpose of funds is mentioned. State
share for the entire year will be transferred at the beginning of the year as per the provisions
made in the State Budget book.
The budget utilization will be monitored by finance department of GoM and any additional
demand for the budget during the financial year will be met through a provision by way of
supplementary demand in the month of September. GoM has opened a separate budget head
for the project in the State budget and a budget provision has been made to finance project
activities of FY 2017-18.
3. Fund Flow (GoM to MBMA): MBMA will open a separate bank account for the project.
MBMA will receive sanction order from GoM after the annual budget is approved by GoM to
draw funds from the budget into the project bank account. The payments will be made by
MBMA for the following key project activities: (i) Release of grant funds to Village CNRM
Committee under component 2 of the project as per terms and conditions stipulated in the
MoU/Performance Agreement between MBMA and participating Village CNRM
Committees; and (ii) Goods, Consulting, Non-Consulting, Training and program management
costs under component 1 and 3 of the project. The interest earned by MBMA shall be
managed as per norms of GoM.
42 | P a g e
4. Fund Flow and financial monitoring for Community led activities: The DPMU and
participating Village CNRM Committees will open a separate bank account to receive funds
under the project. Annual Work Plan (AWP) will be prepared by Village CNRM Committee
with the support of DPMU which will be approved by a District Committee headed by the
Deputy Commissioner of the District.. The Block Project Managements (BPMU), District
Project Management Units (DPMU) and SPMU will also prepare their supplementary
budgets for managing, supporting and supervision CLLMP which will be approved by the
immediate higher level. The funds will be transferred from MBMA bank account into the
bank account of DPMU which in turn will transfer the funds to participating Village CNRM
Committees and BPMUs. The withdrawal of funds will be made by Village CNRM
Committee for the activities specified in the MoU/Performance agreement. There would be a
proper segregation of duties on the financial management functions relating to procurement,
payment and accounting among the elected members of Village CNRM Committee. Village
CNRM Committee will maintain cash book/register and supporting documents for the
payment made from the bank account. Such financial records will be kept for subsequent
audit and verification. VPMU will submit utilization certificate within one month from end of
each half year ending September 30 and March 31 to DPMU which will be endorsed by
Deputy Commissioner and subsequently be forwarded to MBMA. The monitoring on end use
of funds and compliance with the terms and conditions of the MoU/ Performance Agreement
will continue to be undertaken by MBMA with the support of DPMU on an ongoing basis. A
community implementation manual is being developed which will govern the operating
procedures on use and monitoring of grant funds.
5. Finance staff and training: The finance wing of MBMA is presently headed by OSD
finance and supported by accounting professionals specifically recruited by MBMA for IFAD
project. It has been agreed with MBMA that requisite finance staff will be hired at SPMU
and DPMU to manage accounting and financial reporting functions of the Project. Provision
for staff costs have been made in the Project budget. Sufficient training will be provided to
the finance staff on financial management, World Bank disbursement policies and procedures
and use of client connection website.
6. Accounting: MBMA has beenmaintaining books of accounts in a computerized
accounting system since April 2016 and it has a financial management manual to guide the
staff on accounting and internal control principles. The accounting system will be used for
the project and chart of accounts will be appropriately developed to classify project
expenditures based on project components/major activities.
7. Financial reporting: The reporting framework for the Project will consist of an Interim
Financial Report (IFR). The format of IFR is attached to the Disbursement Letter. It will
provide information on the sources and uses of funds according to disbursement categories
and project components (component 1, 2 and 3). The IFR will be prepared by MBMA from
its underlying accounting records, ledger accounts and expenditure statements generated from
the accounting system. The IFR will be submitted by MBMA to World Bank through
Controller of Aid, Accounts and Audit (CAAA) within 45 days from the end of each calendar
semester. To maintain cash flow of the project, MBMA is allowed to submit out of turn IFRs
as and when substantial expenditures are incurred under the project. The IFR will form the
basis of disbursement from World Bank to GoI and GoM.
43 | P a g e
8. Expenditure Eligible for Disbursement
Component Eligible Expenditure Conditions for Eligibility of World Bank Disbursement
Component 2 of the
Project
Funds to VPMU will be released in two
tranches. MBMA will release funds to
DPMU which in turn will transfer the
funds to VPMUs for community led
activities. The funds transferred by
DPMU to VPMUs will be reported in
the IFR as eligible expenditure.
Monitoring the end use of funds and
compliance with the terms and
conditions of the MoU/ Performance
Agreement will be undertaken by
MBMA with the support of DPMU on an
ongoing basis.
First Tranche: MoU/Performance Agreement defining terms and
conditions of community led activities will be signed between MBMA and
each participating VPMU to govern the use of funds. The project activities
undertaken shall be distinct, identifiable and results are measurable.
Subsequent Tranche: It will be paid upon fulfilment of conditions and
payment schedule specified in the MoU/Performance Agreement verified
by MBMA with the support of DPMU.
FM aspects to be considered:
(i) DPMU and VPMU will open separate bank account to receive
funds under the project.
(ii) Annual Work Plan (AWP) will be prepared by VPMU with the
support of DPMU which will be approved by Deputy
Commissioner of the District and subsequently by MBMA.
DPMU and Deputy Commissioner at the Districts will ensure
that activities included in the AWP do not include any activities
that is presently financed or will be financed during the project
period from any other Centre and State level scheme.
(iii) MBMA will transfer the funds directly from its bank account
into the bank account of DPMU which in turn will transfer the
funds into the Bank account of VPMU.
(iv) Proper segregation of duties (i.e. procurement, payment and
accounting) among the elected members of VPMU.
(v) Payment will be made by VPMU only for the activities specified
44 | P a g e
Component Eligible Expenditure Conditions for Eligibility of World Bank Disbursement
in AWP.
(vi) VPMU will maintain cash book/register and supporting
documents to record financial transactions. Such records will be
kept for audit and verification.
(vii) Utilization certificate on the use of funds will be submitted by
VPMU to DPMU every six months which will be forwarded to
MBMA.
(viii) MBMA will record names of DPMUs in its accounting system
under respective account codes pre-defined for the Project.
(ix) MBMA will maintain disbursement records for each
disbursement made to VPMU through DPMU and UCs received
from VPMU.
(x) MBMA will provide a complete list of DPMU and VPMU
which have availed Grants under the project in the IFR.
Component
1 and 3 of
the Project
Expenditure incurred and paid on
activities relating to procurement
of Goods, Training, and
Consulting/Non-Consulting and
program management costs.
Expenditure should be duly approved as per MBMA delegation of
authority, evidenced by supporting documentation, be incurred for
the Project, and should be recorded in the Accounting System under
account codes pre-defined for the Project. The expenses should not
have been claimed from any other sources.
45 | P a g e
9. Internal Audit. MBMA will hire full time audit officers in SPMU to carry out internal
audit of the Project. Adequate provision for the staff costs has been made in the Project
budget. The internal audit will focus mainly on (i) quality of maintenance of financial records
at VPMUs; (ii) payment, financial reporting and procurement functions at VPMUs; and, (iii)
disbursement and reconciliation functions at SPMU, DPMU and VPMUs for the community
led activities. The selection of VPMUs will be carried in such a manner that all VPMUs are
covered for internal audit during the lifetime of the project. The audit reports along with the
corrective actions taken by the project to address control weaknesses will be shared with the
World Bank.
10. External audit. The statutory audit of MBMA as per the India Companies Act is
presently conducted by an external audit firm appointed by the Comptroller and Auditor
General of India (CAG). To obtain fiduciary assurance for this project, it has been agreed
with MBMA that entity audit will also cover project transactions and a separate schedule
reporting financial activities of the project will be provided along with entity audit report and
financial statements. The entity audit report will be shared with the World Bank within nine
months from the end of each fiscal year.
Implementing
Agency
Audit Report Auditor Due Date
MBMA Entity Audit report
(providing financial
information on use of
project funds as a
separate schedule).
Private
Auditor
December 31
of each year
11. Retroactive financing: Payments made by MBMA during the one-year period prior to
the signing of legal agreements for contracts awarded following World Bank procurement
procedures will be eligible for retroactive financing. The limit for retroactive financing is
USD……. million. The MBMA will submit a separate interim financial report to claim such
expenditures.
12. Public disclosure. Annual audit reports and project financial statements will be disclosed
by MBMA on its official website.
13. Supervision plan: The financial management risk of the Project is ‘Substantial’, given
the innovative nature of project design, providing Grants to communities for implementation
of activities and the fact this is the first World Bank-financed project to be directly
implemented by the state government. The assessments indicate that MBMA require
extensive support on Bank‟s financial management and disbursement processes/procedures.
To support project implementation, essential FM capacity is provided through preparation of
community operations manual, training/capacity building to VPMU and by contracting
professionals for project accounting and internal audit. A computerized accounting system
will be used by MBMA for project accounting and timely submission of financial reports.
The oversight arrangements of internal and external audits will provide reasonable assurance
on use of project funds. During the first year of project implementation, the Bank will
undertake semi-annual implementation support missions, including field visits to ensure that
agreed financial management arrangements are understood and appropriately followed by
MBMA. As implementation progresses; financial and audit reports will be reviewed. The
financial management arrangements proposed under this Project are considered to be
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adequate to account for and report on project expenditures, and satisfy the fiduciary
requirements of OP/BP 10.00.
14. Designated Account: Government of Meghalaya will maintain a Designated Account for
CLLMP. The MoF, GoI is responsible for foreign exchange risks and repayment of the
principal and interest on the loan to World Bank.
4.2 Procurement Management
a. General Procurement Objectives and Procedures
The objectives of procurement under the Project are to procure the
material/goods/services/works of the specified quality, at the most competitive prices
achieving value for money, in a fair, just and transparent manner; ensuring transparency, fair
and equitable treatment of bidders and consultants, promoting competition and enhancing
efficiency and economy in the procurement process; and ensuring highest standards of
transparency, accountability and probity in the public procurement process and enhancing
public confidence in public procurement.
Procurement for the Meghalaya CLLM-Project will be carried out in accordance with the
Bank‟s Procurement Regulations for Borrowers for Goods, Works, Non-Consulting and
Consulting Services dated July 1, 2016 and applicable to Investment Project Financing [IPF]
here in after referred to as „Regulations‟, and the provisions stipulated in the Legal
Agreements. The project will be subject to the Bank‟s Anticorruption Guidelines, dated July
1, 2016. The project will use the Bank‟s online tool STEP [Systematic Tracking of
Exchanges in Procurement] for procurement planning and implementation.
b. Specific Procurement Objectives
To achieve the PDO together with Value for Money [VfM], Transparency and Integrity
Ensuring timely and efficient availability of material/goods/works/non-consulting
services and consultants, and training, in line with the Procurement Plan [or the updated
Procurement Plan] within budget and on time, and in compliance with the Procurement
Regulation for IPF Borrowers of the World Bank
Effective contract management
Effective and efficient handling of procurement-related complaints
Disclosure of procurement information
c. Procurement Responsibility The project will be implemented by MBMA. The project envisages both centralized and
decentralized procurement which will primarily be carried out at 3 levels, namely, the State
[SPMU/MBMA] level, District [DPMU]level and Communityor Village [VNRMC] level;
and will cover procurement of goods, need based consultancy services for studies and
technical services, non-consulting services and minor civil works to be implemented in a
demand-driven manner by the communities.No procurement will be carried out at Block
level. Procurement for block offices will be undertaken by their respective districts.Materials
and labour,and village level service providers who will prepare CNRM plans will be procured
by the community organisations -VNRMC[Traditional Institutions/Executive Committee of
Village Council]in line with their approved CNRMP and following community procurement
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procedures as outlined in the Community Operations Manual [COM] applicable to the
project.
The Procurement Cell will be housed within the SPMU of the MBMA, and will be headed by
the DeputyProject Director [Administration] reporting to two Additional Project Directors,
one each for East [Khasi and Jaintia Hills] and West [Garo Hills], who in turn will report to
the Project Director, SPMU.The Procurement Cell will comprise of a Manager [Procurement]
hired from the market and with prior experience in Bank‟s procurement proceduresand a
Multi-tasking Assistant. It will be responsible for day-to-day procurement functions
[procurement planning and monitoring, coordination with decentralized procuring entities at
various levels and with technical cells, reporting and coordinating with the Bank, responsible
for implementation of procurement risk mitigation plan, procurement capacity building under
the Project, etc.]. The Deputy Project Director [Administration] will be responsible for
providing guidance and direction to the Procurement Cell and ensuring that all procurement
under the project is carried out as per agreed procedures applicable to the project.
d. Procurement Capacity The staff in MBMA identified to handle procurement under the project have received training
in procurement procedures in Bank financed projects, and in using STEP. Additionally, the
project is supported by a Manager [Procurement]who is well versedin Bank procurement
procedures.MBMA, with Bank support as needed, will ensure that all staff handling
procurement at all levels are adequately trained in Bank procurement procedures. Contract
management training will also be provided by MBMA with Bank support, upon project
implementation.
e. Procurement Manual Procurement Manual of CLLMP will be prepared. It is intended to guide all entities
involved in procurement and community institutions to understand the procedures to be
followed for procurement under the Project. In addition, a separate and simplified
procurement chapter of the Community Operations Manual would also be prepared for
effective and efficient procurement at the community level, in line with the principles of
community procurement. Value thresholds for community will be mentioned in the CLLMP
Procurement Manual.
f. Community Operations Manual The Procurement Section of the Community Operations Manual prepared by MBMA and
updated from time to time will describe the roles and responsibilities, and procurement
arrangements under the CLLM-Project, and serve as a guide and tool for procurement
functionaries for procurement implementation and contract management under the Project.
g. E-procurement using Portal hosted by NIC
Use of e-Procurement using the NIC Portal will be appropriately introduced in line with GO
FEG.25/2014 dated February 7, 2014 issued by the Finance Department of the Government
of Meghalaya, to bring in greater transparency in the procurement process, as and when the
project and field staff receives training and become comfortable with the system.
h. Procurement Complaint Handling Mechanism
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A procurement complaint handling mechanism to address any procurement related
complaints received by the project, will be developed and implemented by the SPMU
[MBMA] to the satisfaction of the Bank. Upon receipt of complaints, immediate action
would be initiated to acknowledge the complaint and to redress it within a reasonable
timeframe. All complaints will be addressed at levels higher than the level at which the
procurement process was undertaken or the decision was taken. Any complaint received will
also be forwarded to the Bank for information, and the Bank would be kept informed after the
complaint is redressed.
i. Procurement Limits, Thresholds and Review Arrangements
The project is to be implemented by MBMA, districts, block and village level authorities.
However, no procurement will be carried out at Block level. Procurement for block offices
will be undertaken by their respective districts.The procurement thresholds and review
arrangements will be followed as below:
Procurement Approaches and Methods Thresholds [US$ equivalent]
Open International [Goods, IT and non-
consulting services]
>3 Million
Open National [Goods, IT and Non-consulting
Services]
> 100,000 and up to 3 Million
National Request For Quotation [Goods/Works] Up to 100,000
Open International [Works] > 40 Million
Open National [Works] > 100,000 and up to 40 Million
Direct Selection No threshold.
For Goods/Works/Non Consulting
Services : As per paragraphs 6.8-6.10 of
Regulation.
For Consultants: As per paragraphs 7.13-
7.15 of Regulation.
Framework Agreement For Goods/Works/Non Consulting
Services : As per paragraphs 6.57-6.59 of
Regulation.
For Consultants : As per paragraph 7.33
of Regulation.
Shortlist of National Consultants Up to 800,000
All major procurement which is not covered under shopping [RFQ] method will be
centralized at SPMU [MBMA] level and follow the prior and post review arrangement of the
Bank as mentioned in below table. The Districts will be procuring the routine goods and
equipment within the value thresholds up-to INR 32.50 Lakhs [about USD 50,000 at 1USD =
65 INR] at their level, and any procurement above this threshold and below the Bank‟s prior
review threshold will be prior reviewed by MBMA at state level.
Review Arrangements by the Bank
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Procurement Category Review Thresholds [US$ equivalent]
Works Above US $10 million
Goods and Non-Consulting Services: Above US $2 million
Consultancy services [Firms] Above US $1 million
Consultancy Services [Individual Consultants] Above US $0.3 million
All other contracts which are not covered under prior review by the Bank will be subject to
post review during implementation support missions and/or special post review missions,
including missions by consultants hired by the Bank.Even in post review cases, the inputs of
Bank on Technical Specifications/TORs will be obtained by the Project.
Review Arrangements by MBMA SPMU will establish internal prior review thresholds that will be reflected in the Procurement
Manual for the Project and the Procurement chapter of the Community Operations Manual
prepared by MBMA. Additionally, the terms of reference for internal auditors [Individual
Consultants] hired by the SPMU for conducting the financial audit will include adequate
requirement to cover review of compliance of agreed procurement procedures during project
implementation. The TOR for procurement audit by MBMA will be cleared by the Bank.
j. Record Keeping
All records pertaining to award of tenders/selection of consultants, including tender
notification/advertisement, register pertaining to sale and receipt of bids, bid/proposal
opening minutes, bid/technical and financial evaluation reports and all correspondence
pertaining to bid evaluation, communication sent to/with the Bank in the process, bid
securities, and approval of invitation/evaluation of bids/proposals would be maintained and
kept for post review by the Project.
k. Disclosure of Procurement Plan The project will use the Bank‟s online procurement planning, tracking and monitoring tool,
Systematic Tracking of Exchanges in Procurement. The Procurement Plan and it‟s updates,
as approvedby the Bank in STEP will be disclosed on the Bank‟s external website, the project
website and shared with District and sub-district level implementing agencies.
l. Disclosure of Procurement Information
The following documents shall be disclosed on the Project website: [i] procurement
plan and updates, [ii] Specific Procurement Notice for procurement of goods, non-
consulting services and works for opencompetitive procurement [iii] Request for
Expressions of Interest for selection/hiring of consulting services, [iv]list of contracts
awarded, [v] shortlist of consultants.
For all prior review procurement, following details shall be sent to the Bank through
STEP for publishing in the UNDB and World Bank external website: [i] Procurement
Notices for procurement of goods, non-consulting services and works using
international/nationalopen market approach [ii] request for Expressions of Interest for
consulting services (iii)contract award details of all procurement of goods and works
using international/nationalopen competitive procurement, [iv] contract award details of
all consultancy services and [v] list of contracts/purchase orders placed following
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Direct Selection or CQS procedures on a quarterly basis. In addition, implementing
agency will also publish on its website any information required under the provisions of
“suomotu” disclosure as specified by India‟s Right to Information Act.
4.2 Financial and Technical Safeguards and Reporting
The financial and procurement aspect of the Project will be included in the following
technical, fiduciary and safeguards documents:-
1) Determination of fund flow system to various communities involved in the project
2) Depending on the sub-components, plan of action for movement of funds and
procurement of goods
3) Procurement plan involving community participation and community procurement
4) Financial Manual on the practical recording of the transactions of the project
5) Form and format of annual and quarterly work plan, budget and procurement plans
6) Introduction of computerized system of accounting and reporting
7) Procurement Manuals for procurement transactions, Community Operations Manual
and others for various community participation.
The safeguard contained in above documents will be adhered to ensure efficient financial and
procurement and risk management.
Evaluation of the documents and actual work done at specified time intervals, milestones and
recasting will be followed to implement and achieve the above. The Evaluation and
monitoring will be done jointly with the M&E Team. Supervision of the activities undertaken
in terms of financial progress made or to be done has to be done both through accounting
software and internal control measures like real time reporting.
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5.1 Economic analysis Data and prices: For the economic analysis, economic prices have been calculated using
standard conversion factors for exported agricultural commodities and imported inputs in
order to correct distortions due to taxation, public subsidies and other market imperfections.
For non-exported / imported traded commodities local prices have been taken. The
economic cost of labour has been assumed to be equal to minimum wage rate approved by
the Government of Meghalaya at Rs. 189 for unskilled labour at which the labour is also
available for all government sponsored schemes which accounts for opportunity cost of
unemployment.
As most of the commodities produced in Meghalaya are consumed within the country
average national prices for last five years have been taken to overcome any distortion due to
subsidies available to NE states. For calculation of ENPV the discount rate of 6% as
recommended by the World Bank7 is used which is also average rate of growth of GDP in
India.
Economic cost. Beneficiaries‟ contributions are considered and any grant for landscape
based activities such as forestry, agriculture, water management are deducted. The non-
recurring investment cost in the project is 82.62% of the investment cost in component 1 and
2 i.e. USD 49.57 Million. Non-recurring investment in horticulture and forestry to be made
by the beneficiary from their own sources will be USD 1.32 Million. Recurrent investment in
on component 3 of the project will be USD 7.57 million. The phasing of the project cost is
assumed according to the COSTAB, between year one and five.
Economic benefits: The economic benefits including in the project economic analysis are:
(i) economic benefits related to improving crop productivity by 10%. (ii) Improved cropping
intensity by 120% due to improved water regime against the current state average of 105.1%
and national average of 135% cropping intensity. The horticulture productivity is also
estimate to increase by 10%. This is captured by the incremental net benefits of crop models
calculated in the financial analysis but valued at economic cost. (iii) Economic benefits from
conversion of 15% open forests in villages with 10% crown density to 40% crown density;
and (iv) economic benefits related to conversion of 20% of culturalable wasteland in villages
into agro-forestry and 10% culturable wasteland into horticulture with improved package of
agronomic practices. For estimating benefits from forestry very conservative approach is
adopted with incremental bio-mass of 6 MT/ha/year where as studies conducted by North
Eastern Hill University have estimated production of 260 MT over a period of 10 years in Sal
forests i.e. average productivity of 26 MT/ ha/year.
Economic benefits stemming from project’s GHG mitigation and carbon sequestration
potential: The GHG emission mitigation potential and carbon sequestration potential for a
range of project activities was calculated as 6611853tonnes of tCO2e. with the tool Ex-Ante
Carbon-balance Tool (EX-ACT) The resulting net carbon balance is 6,176,942 tonnes of
tCO2e over 20 years, implying that the project constitutes a sizeable carbon sink, in particular
as a consequence of introducing agro-forestry and forest plantations on currently degraded
land. A recent World Bank guideline suggests to value carbon emission in the economic
analysis at a shadow price of carbon, or social cost of carbon (SCC), which presents the
marginal damage cost of carbon emission. This value will be used for sensitivity analysis.
7 Technical Note on Discounting Costs and Benefits in Economic Analysis of World Bank Projects (World Bank, 2015)
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For the base scenario a conservative approach is used, considering that not all these avoided
damages accrue as benefit to the country, and a social value reflecting an approximate market
value of US$5 per tCO2e emission is used.8 The annual value of the net carbon balanced will
be valued from year 3 onwards.
Economic benefits stemming from soil and water conservation measures: To reduce soil
erosion and conservation of in-situ water various measures are proposed. Meghalaya is
prone to very heavy intensity rains. Mausengram and Cherapunji get highest rainfall in the
world. Heavy rainfall results in high soil erosion, leaching of nutrients and loss of agriculture
productivity. Measure for soil and water conservation will help in avoiding such economic
and environmental losses.
Time period: The economic analysis was conducted over a 10-year period reflecting the full
lifetime of most of the costs and benefits. Only the benefits stemming from forestry
production could occur over a longer period of time since forest trees can remain productive
up to 50.
Results and sensitivity analysis
Results: Based on the above assumptions, the economic analysis of the project yield an
Economic NPV (ENPV) of benefits of US$29.47 million and an Economic Internal Rate of
Return of 26.42percent. The results may be underestimates as several potential project
benefits have not been quantified. These relate in particular to environmental benefits related
to conservation, maintained biodiversity, ecological functions and related values of
maintained forest resources and improved watershed management, increased on-site
productivity due to improved soil conditions, decreased variability and vulnerability due to
adverse weather events in agricultural production, increased availability and production of
forest and agro-forestry products, increased food security and nutrition benefits and reduced
maintenance cost and restoration cost due to reduced sedimentation of manmade water
bodies.
Sensitivity analysis (Table below) demonstrates that the results are robust against changes to
key variables.
Change in
project cost
Change in project
benefit
ENPV @ 6%
discounting (UDS.
Million
EIRR
(USD
Million)
0 0 29.47 26.42%
+5% 0 24.69 21.53%
+10% 0 22.16 19.32%
+5% -5% 20.08 19.10%
+10% -10% 14.37 14.69%
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