Minutes of the Seventh Meeting of Nepal-India Joint Committee on Water Resources (JCWR) held on January 2013 in Kathmandu, Nepal

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Minutes of the Seventh Meeting of Nepal-India Joint Committee on Water Resources (JCWR) held on 24-25 January 2013 in Kathmandu, Nepal The seventh meeting of the Nepal-India Joint Committee on Water Resources (JCWR) was held in Kathmandu on 24-25 January 2013. The Nepalese delegation was led by Mr. Hari Ram Koirala, Secretary, Ministry of Energy, Government of Nepal and the Indian delegation was led by Mr. D V Singh, Secretary, Ministry of Water Resources, Government of India. The lists of the Nepalese and Indian delegates are in Annex-I and An n e x -II respectively. 1.0 While welcoming the delegation of India, the Leader of the Nepalese delegation expressed that geographical proximity and age-old cultural immediacy between Nepal and India can be utilized to the advantage of furtherance of cooperation in water and power sectors. He highlighted the need of power trade agreement between the two countries in order to create an investment friendly environment with predictable liberlised market for electricity export in India. He expressed satisfaction for the initiation of pending drilling works in Sapta Kosi High Dam Project, implementation of flood protection works on Lalbakeya, Bagmati and Kamala Rivers and hoped that similar works would continue in some more rivers that have been causing flood havoc in the bordering areas. 2.0 In reply to the welcoming remarks, the Indian Team Leader thanked the Nepalese Team Leader and the Government of Nepal for the warm welcome and hospitality, and the initiatives taken to organize the seventh JCWR meeting. He expressed the willingness of the Government of India to cooperate in producing hydropower, the cleanest form of energy. He further stated that the process of concluding power purchase agreements with the independent power producers need to be speeded up, which again is linked with the construction of cross border transmission lines. The Indian team leader also expressed his happiness on the concrete developments in the area of flood control and on the resumption of drilling works in Sapta Kosi Dam site. 3.0 After detailed deliberations on agenda which is placed at Annex-III, the following decisions were made: 3.1 Implementation of Mahakali Treaty 3.1.1 Pancheshwar Multipurpose Project JCWR reiterated the need of field works in Rupaligad Dam and Powerhouse sites, which are pending for last couple of years. JCWR directed the concerned agencies on both sides to expedite the works identified in the 6th JCWR meeting. It was brought to the notice of JCWR by the Indian side that concurrence on the Terms of Reference (TOR) of Pancheshwar Development Authority (PDA) from the Government of India needs some more time, because the Ministry of Finance of India has a suggestion on Clause 17 of the TOR related to exemption of taxes and duties on various equipment and materials. It was decided in the meeting that the Indian side would send a revised draft Clause 17 of TOR for the review by the Government of Nepal. 1

3.1.2 Sill level of the Head Regulator for Nepal at Tanakpur Barrage As the 4th meeting of JSTC, which is supposed to be held prior to the 7 th meeting of JCWR and finalize the sill level, could not be organized in time, the JCWR has again directed that the next meeting of JSTC would review the technical details of the new sill level of 244.25m of Head Regulator at Tanakpur for Nepal Canal and finalize it. 3.1.3 Tanakpur-Mahendranagar Link Road It was brought to the notice of JCWR by the Indian side that the necessary approval for forest clearance from the concerned agency in India would take some more time, as about one kilometer length of the link road passes through forest area in Uttrakhand, India. It was decided to direct the consultant (RITES Ltd.), assigned for the preparation of DPR to complete the DPR for the remaining parts and the works on the Nepalese side be implemented, while obtaining clearance for the said one kilometer length in the Indian side is processed. 3.1.4 Release of irrigation water for Chandani Dodhara Area JCWR reviewed the progress of joint survey works and took note with satisfaction that basic field data has been collected. It was decided that the Nepalese side would prepare the DPR by June 2013 and send it to the Indian side for review. 4.0 Sapta Kosi High Dam Multipurpose Project including Sun Kosi Storage cum Diversion Scheme JCWR noted with satisfaction that the pending drilling works at Sapta Kosi High Dam site has resumed. JCWR directed JTE that the revised work schedule approved by JTE in the 13 th meeting be adhered to strictly and monitored its implementation regularly. 5.0 Issues related to Kosi and Gandak Projects 5.1 Kosi project The Nepalese side brought an issue of compensation of private lands, which had been lost on account of the Kosi Project. Of such lands, 1516 bighas were eroded during 1961-1964; 3948 bighas (verified as against 4400 bighas claimed earlier) were eroded during 1965-1968; and additional 2226 bighas were jointly verified by the officers from both sides. The rates of compensation for the lands have also been determined. The Nepalese side also stated that the issue needs to be resolved with priority, because 1st meeting of JMCWR, through its joint press statement, has directed JCWR to look into the matter and smooth implementation of field investigation works in the Sapta Kosi High Dam Project has a direct bearing on the resolution of the issue of compensation in the Kosi Project. It was decided that the report would be first taken up by JCKGP, because the taskforce was constituted by JCKGP. The Nepalese side extended thanks to the Government of India for taking up the responsibility of maintenance of 15 kilometer long eastern Kosi Embankment, upstream of Chakraghatti, as directed by the 1st meeting of JMCWR. 2

The Nepalese side requested the Indian side for the speedy restoration of Birpur powerhouse, which was damaged due to breach of Kosi afflux bund and not in operation since the event in 2008. As a result, Nepal is deprived of getting 50 percent of the electricity generated from the powerhouse at mutually agreed rate under the provision of Kosi agreement on account of the damage. The Indian side stated that the restoration work was in progress and it was also a matter of priority for India as much as it was for Nepal. The Indian side stated that projects authorities are facing problems due to multilevel local taxation, restrictions in movement of man, machine & materials and works in Kosi Tappu area. Flood works are normally getting delayed and flood fighting works were hampered due to these limitation. The Indian side requested that multi-levy system should be abolished. Flood works in Kosi Tappu area should be exempted from any clearance. Forest officials, local administration and Army officials may kindly be directed to cooperate in works related to Kosi project. The Nepalese side stated that local joint committee is effectively working and if any problem occurred, Government of Nepal would coordinate to resolve the problems. Regarding the local levy, it was informed that under the provisions of Local Self Governance Act, local taxes are binding but provisions for these taxes can be made in schedule of rates similar to provisions in Nepal. 5.2 Gandak Project The Nepalese side brought to the notice of JCWR that congestion of cross drainage in Western Main Canal (WMC) has been causing severe problems of inundation of a large tract of land all along the canal and crop damages. The detailed assessment of the damage has already been sent to the Embassy of India on 23 August 2012. As the problem of crop damage has resurfaced, the Nepalese side stated that the matter would be taken up in the next meeting of JCKGP. The Nepalese side also recalled that a directive to look into the matter was provided by the 1st meeting of JMCWR and requested the Indian side to take necessary actions for the compensation. The Indian side stated that the issue was dropped in the 3rd meeting of JCKGP, and hence this matter should be treated as closed. JCWR reviewed the progress of Nepal Benefit Scheme, which is meant to carry out the restoration of lost irrigation potential and roads over the canal embankments with cross drainage works to remove congestion in cross drainage works in WMC, etc. The Nepalese side expressed its concern regarding delay and quality of the works under the scheme. The Indian side stated that due to encroachments, security problems and delays in granting permission of movement of machine & materials, and short working season caused by opening of canals had delayed the project and it would be completed by June 2013. JCW R directed that a joint team comprising two technical officers from both sides should make a field visit in order to assess the work progress and quality, and recommend necessary actions accordingly. The Nepalese side brought to the notice of JCWR that the river protection works on the right bank, downstream of the Gandak barrage have been severely damaged, on account of which there was a situation of emergency in the monsoon season of 2012, and requested to expeditiously restore the eroded protection works; strengthen the damaged works; and carry out any additional works that is necessary 3

before the next monsoon. The Indian side informed JCWR that the site was visited by GHLSC and necessary recommendations have already been made for the execution. The Indian side requested the status update on construction of 11 kv dedicated line for reliable power supply to the headworks of Gandak project. The Nepalese side handed over NEA's Cost Estimate for the dedicated line to the Indian side. 6.0 Review of activities of various bilateral Committees JCWR noted with satisfaction that Joint Team of Experts (JTE) met three times; and Kosi High Level Committee (KHLC) met twice; Gandak High Level Standing Committee (GHLSC), Power Exchange Committee (PEC) and Joint Committee on Inundation and Flood Management (JCFIM) met once; however, Joint Standing Technical Committee (JSTC) and Joint Committee on Kosi and Gandak Projects (JCKGP) could not meet even once since the 6th meeting of JCWR. It was decided that the meetings of bilateral committees should be held regularly. 7.0 West Rapti Multipurpose (Naumure) Project JCWR decided that the concerns and comments of the Nepalese side on the Prefeasibility Study Report of the West Rapti Multipurpose Project, which was prepared in accordance with the decision of 6th meeting of JCWR, by CWC, be brought to the next meeting of JSTC and discussed for necessary actions. 8.0 Embankment on Mechi River JCWR took note with satisfaction that joint survey for flood control works covering both banks of the border river had been completed and design works were in progress on both sides based on the common survey data. 9.0 Joint Ministerial Level Commission on Water Resources (JMCWR) JCWR extended thanks to the Honourable Ministers of both the countries for the meaningful and effective directives that were received as a joint press statement at the end of first meeting of JMCWR, to resolve various issues and to further bilateral cooperation in water and power sectors. JCWR further welcomed the idea of convening 2nd JMCWR meeting later this year in Nepal. 10.0 Flood forecasting activities on rivers flowing from Nepal to India It was brought to the notice of JCWR that the taskforce, which was constituted by the 3rd meeting of JSTC, comprising concerned officers from both sides in order to determine appropriate equipment, locations of equipment installation and the mode of data transfer on real time basis for the purpose of flood forecasting had prepared a draft report. JCWR directed JSTC to review the report and take necessary actions to finalize it. 4

11.0 Power Supply 11.1 Construction of New Interconnection Facilities It was brought to the notice of JCWR by the Indian side that the Government of India had already appointed WAPCOS as a consultant to prepare DPRs of the proposed mid-term augmentation of interconnection facilities, namely- Kusaha Kataiya 132 kv new line (approximately 15 km), Raxaul Parwanipur 132 kv new line (approximately 17 km) and installation of another 50 MVA, 220/132 kv transformer at Tanakpur. The Indian side also informed that the tenders for the procurement of works would be floated by March 2013 and the entire project was expected to be completed in six months after the mobilization. 11.2 Interconnection and Cross border Power Trading The Nepalese side brought to the notice of JCWR that despite sincere effort from both sides, the implementation of first 400 kv Dhalkebar-Mujaffarpur Cross Border Transmission Line, which was meant to develop and operate in commercial mode is taking longer time; and also that the capacity of line has already been exhausted even before its implementation. The Nepalese side also proposed, for these reasons, to initiate the works for the second cross border line connecting Gorakhpur of India and a suitable location near Bardaghat of Nepal for the development and operation under Government to Government cooperation. JCWR decided that the Nepalese side would prepare a concept paper along with the available technical details and send it to the Indian side for the review. On the draft 'MOU on Cross-Border Interconnection for Electric Power Trade, which was sent to the Government of India for review and concurrence, it was brought to the notice of JCWR by the Indian side that the process would take little more time in spite of continuous follow up, because the proposed MOU is a new idea to the concerned agencies of Government of India. 11.3 Energy Banking The Nepalese side proposed a concept of energy banking to be implemented in order to address seasonal disparities in demand and supply of electricity in the two countries at direct utility level or through traders. JCWR directed that the Nepalese side would prepare a concept paper along with the technical details and send it to the Indian side for review. 12.0 Implementation of jointly prepared comprehensive strategy for flood management and control 12.1 Review of Works on Lalbakeya, Bagmati and Kamala Rivers The Nepalese side appreciated the river training works on Lalbakeya, Bagmati and Kamala rivers of Nepal under the grant assistance of India. 5

12.2 Taking up of Additional Works (West Rapti, Khando, Balan, Lakhandehi, Jhim and Rato Rivers) The Nepalese side informed JCWR that the DPRs had been finalized by incorporating the comments from GFCC for West Rapti, Khando, Balan and Lakhandehi Rivers. JCW R directed that the finalized DPRs be handed over to the Indian side for further actions. 13.0 Any other Business Nothing was discussed under this agenda item. The meeting was conducted in a cordial atmosphere. The next meeting of JCWR will be conducted in June 2013 in India. Signed on 25 January 2013 at Kathmandu... (Hari Ram Koirala) Secretary Ministry of Energy Government of Nepal.. (Dhruv Vijai Singh) Secretary Ministry of Water Resources Government of India 6

List of Delegates Nepal Annex-I 1. Mr. Hari Ram Koirala, Secretary, Ministry of Energy Team Leader 2. Mr. Sriranjan Lacoul, Joint Secretary, Ministry of Energy Member 3. Mr. Sunil Bahadur Malla, Joint Secretary, Ministry of Energy 4. Mr. Moti Bahadur Kunwar, Joint Secretary, Ministry of Energy 5. Dr. Ravi Sharma Aryal, Joint Secretary, Ministry of Energy 6. Dr. Sanjay Sharma, Joint Secretary, Water and Energy Commission Secretariat 7. Dr. Niranjan Man Sing Basnyat, Joint Secretary, Ministry of Foreign Affairs 8. Mr. Kamal Prasad Regmi, Joint Secretary, Ministry of Irrigation 9. Mr. Anup Kumar Upadhyay, Director General, Department of Electricity Development 10. Mr. Khom Raj Dahal, Director General, Department of Irrigation 11. Mr. Prakash Paudel, Director General, Dept. of Water Induced Disaster Prevention 12. Mr. Mahajan Yadav, Deputy Director General, Dept. of Water Induced Disaster Prevention 13. Mr. Sudesh Kumar Malla, Deputy Director General, Department of Electricity Development 14. Mr. Shiv Kumar Sharma, Deputy Director General, Department of Irrigation 15. Mr. Keshab Dhoj Adhikari, Project Manager, Pancheswar Multipurpose Project 16. Mr. Kali Prasad Pokharel, Under Secretary, Ministry of Foreign Affairs 17. Mr. Gautam Rajkarnikar, Deputy Director General, Department of Hydrology and Meteorology 18. Mr. Gopal Basnet, Project Manager, Sapta Koshi High Dam Multipurpose Project 19. Mr. Rameshwar Yadav, Managing Director, Nepal Electricity Authority 20. Mr. Shyam Kishor Yadav, 7

Senior Divisional Engineer, Ministry of Energy 21. Mr. Dinesh Kumar Ghimire, Superintending Engineer, Department of Electricity Development 22. Mr. Manik Lal Shrestha, Regional Director, Department of Irrigation 23. Mr. Madhav Belbase, Regional Director, Department of Irrigation 24. Mr. Pravin Raj Aryal, Senior Divisional Engineer, Ministry of Energy 25. Mr. Kamal Ram Joshi, Senior Divisional Engineer, Water and Energy Commission Secretariat 26. Mr. Subarn Lal Shrestha, Senior Divisional Engineer, Department of Electricity Development 27. Mr. Sagar Raj Goutam, Senior Divisional Engineer, Department of Electricity Development 28. Mr. Raju Maharjan, Senior Divisional Engineer, Ministry of Energy 29. Mr. Chaturbhuj Jnawali, Under Secretary (Account), Ministry of Energy 30. Mr. Dal Bahadur Adhikari, Under Secretary, Ministry of Law and Justice 31. Mr. Rajeswar Man Sulpya, General Manager, Nepal Electricity Authority 32. Mr. Sher Singh Bhat, Director, Nepal Electricity Authority 33. Mr. Surendra Rajbhandari, Director, Nepal Electricity Authority 34. Mr. Jayandra Shrestha, Director, Nepal Electricity Authority 35. Mr. Raju Acharya, Senior Divisional Engineer, Ministry of Irrigation 36. Mr. Hareram Shrestha, Senior Divisional Engineer, Department of Irrigation 37. Mr. Rabi Nath Babu Shrestha, Senior Divisional Engineer, Dept. of Water Induced Disaster Prevention Invitee 8

List of Delegates India 1. Mr. Dhruv Vijai Singh, Secretary (WR) 2. Mr. Rajesh Kumar, Chairman, Central Water Commission 3. Mr. Bibhas Kumar, Chairman, GFCC 4. Mr. Jaideep Mazumdar, DCM, Embassy of India, Kathmandu 5. Mr. N.K. Mathur, Commissioner (Ganga), MOWR 6. Mr. S.K. Negi, Principal Secretary (WRD), Government of Bihar 7. Mr. Ajay Patel, GM, UJVNL, Government of Uttarkhand 8. Mr. A.S. Walvekar, ED (Geotech & PID), NHPC 9. Mr. Sameer Kumar Jha, SJC, MOWR 10. Ms. Anju Ranjan, First Secretary (Commerce), Embassy of India 11. Mr. Md. Sohail, Under Secretary, Government of Bihar 12. Mr. Arun Kumar Sinha, Liason Officer Kathmandu, WRD, Bihar Annex-II Team Leader Member 9

Annex-III Adopted Agenda Points for 7 th Meeting of Nepal-India Joint Committee on Water Resources (JCWR) on 24-25 January, 2013 at Kathmandu 1.0 Implementation of Mahakali Treaty 1.1 Pancheshwar Multipurpose Project. 1.2 Sill level of the Head Regulator for Nepal at Tanakpur Barrage. 1.3 Tanakpur-Mahendranagar Link Road. 1.4 Release of irrigation water for Chandani Dodhara Area. 2.0 Sapta Koshi High Dam Multipurpose Project including Sun Koshi Storage cum Diversion Scheme review of progress of work 3.0 Issues related to Koshi and Gandak Projects. 3.1 Koshi Project 3.2 Gandak Project 4.0 Review of activities of various bilateral Committees 5.0 West Rapti Multipurpose (Naumure) Project 6.0 Embankment on Mechi River. 7.0 Joint Ministerial Level Commission on Water Resources (JMCWR) 8.0 Flood forecasting activities on rivers flowing from Nepal to India. 9.0 Power Supply 9.1 Construction of New Inter Connection Facilities 9.2 Interconnection and cross border power Trading 9.3 Energy Banking 10.0 Implementation of jointly prepared comprehensive strategy for flood management and control 10.1 Review of works on Lalbakaiya, Bagmati and Kamala Rivers. 10.2 Taking up additional works (West Rapti, Khando, Balan, Lakhandehi, Jhim and Rato Rivers) 11.0 Any Other Business 10