Mekong River Commission
Annual Report 2006
The Vision for the Mekong River Basin
An economically prosperous, socially just and environmentally sound
Mekong River Basin
The Vision for the Mekong River Commission
A world class, financially secure international river basin organisation
serving the Mekong countries to achieve the basin vision
The Mission of the Mekong River Commisison
To promote and coordinate sustainable management and development
of water and related resources for the countries' mutual benefit and
the people's well-being.
Meeting the needs, Keeping the balance
© Mekong River Commission 2006
Photos: Jim Holmes, Chaleunxay Phommavongsa, Garrison Photography
MRC staff and archives
Design & Layout: Phannavanh Anoulack
For more information contact: mrcs@mrcmekong.org
This report is also available as a free download on the MRC website
www.mrcmekong.org
Mekong River Commission Annual Report 2006
The Mekong Basin
1
The Mekong Programme
The Mekong Programme is a Regional Cooperation Programme for the Sustainable Development of Water and
Related Resources in the Mekong River Basin, which puts into practice the 1995 Agreement on the Cooperation
for the Sustainable Development of the Mekong River Basin. It is a country-owned partnership programme
implemented by Cambodia, Lao PDR, Thailand and Viet Nam, in conjunction with donors, development banks
and the private sector. China and Myanmar are Dialogue Partners.
The Mekong Programme's vision is to make optimum use of the basin's water and related resources to promote
socio-economic development for the benefit of all people in the basin, especially the poorest such as the fishing
communities of the floodplains and farmers in dry regions and in the Delta while maintaining the ecological
balance and contributing to the UN Millennium Development Goals. Using the principles of Integrated Water
Resources Management, the Mekong Programme is seeking to promote balanced and well-coordinated activities
in all water resources sectors, but principally in the areas of irrigation and drought management, hydropower,
navigation, flood management, fisheries, watershed management, environment management and tourism as
specified in Article 1 of the 1995 Agreement.
The Mekong Programme is coordinated and supported by the Mekong River Commission (MRC), a knowledge-
based river basin organisation created in 1995, which provides the institutional framework for this cooperation
and regional integration. MRC supports member countries and investment partners through technical assistance,
integrated development planning, knowledge and expertise that focuses on basinwide needs and employs the
recognised triple bottom line procedure of duly considering, and giving equal weight to, economic growth,
environmental impacts and social and cultural outcomes.
The Mekong Programme works in close relationship and is complementary to regional initiatives such as the
Greater Mekong Sub-region Programme supported by the Asian Development Bank (ADB); the Association of
South East Asian Nations Mekong Basin Development Cooperation Framework and the United Nations Economic
and Social Commission for Asia and the Pacific. It offers a cooperation platform for bilateral development
programmes in the water sector and for regional initiatives such as the Mekong Water Resources Partnership
Programme promoted by the World Bank and the ADB, and the Ayeyawady-Chao Phraya-Mekong Economic
Cooperation Strategy, which involves the MRC's four member countries and Myanmar.
The Mekong Programme also works in partnerships with such organisations as the World Conservation Union, the
United Nations Development Programme and the World Wide Fund for Nature, as well as civil society and
academic institutions.
2
Mekong River Commission Annual Report 2006
Table of Contents
The Mekong River Commission
4
Message from the Chairman of the MRC Council
5
Structure of the Mekong River Commission
6
Organisation of the Mekong River Commission
7
Structure of the MRC Secretariat
8
The MRC Strategic Plan 2006-2010
10
Progress Report 2006
12
Programmes in development
31
2006 corporate highlights
33
BDP2 the plan goes forward
35
IBFM puts triple bottom line assessment into practice
37
Opening up the great Mekong highway
39
Finance and Administration
41
International Cooperation and Communication
42
New funds and pledging
43
Income and expenditure in 2006
44
3
The Mekong
River Commission
The Mekong River Commission (MRC) is a
river basin organisation built on a foundation
of nearly 50 years of knowledge and
experience in the region dating from 1957,
when it began life as the United Nations-
founded Mekong Committee.
On 5 April 1995 the governments of
Cambodia, Lao PDR, Thailand and Viet Nam
signed The Agreement on the Cooperation for
the Sustainable Development of the Mekong
River Basin and agreed on joint management
of their shared water resources and
development of the economic potential of the
river. This agreement formed the Mekong River
Commission.
A dialogue mechanism has been set up with
the two upstream countries, China and
Myanmar. This is a framework of cooperation
under which concrete joint activities are
undertaken. In 2002, the MRC and China
signed an "agreement on the provision of hydrological
The MRC Secretariat provides technical and administrative
information on the Lancang/Mekong River in the flood
support. The Secretariat is based in Vientiane, Lao PDR and
season". Through this agreement, China contributes
employs more than 120 people including engineers,
effectively to MRC's flood forecasting activities.
scientists, administrators and technical experts. The
Secretariat is under the direction of a Chief Executive Officer.
The MRC provides the institutional framework to promote
The Assistant CEO is appointed by the Council and serves a
regional cooperation in order to implement the 1995
one-year term.
agreement. It serves its member states by supporting
decisions and promoting action on sustainable development
National Mekong Committees in each member country
and poverty alleviation as a contribution to the UN
provide a link between the MRC and national governments
Millennium Development Goals. It also acts as a conduit
and coordinate MRC-related activities at the national level
through which the member countries can exchange
through line agencies.
information on formulating and implementing a joint basin
development plan.
The MRC is funded through member country contributions
and international development aid agencies from many
The work of the MRC is governed by the wishes of the four
countries. Formal consultation with the donor community is
member countries and they hold regular consultations to
carried out through an annual Donor Consultative Group
decide strategy and policy.
meeting.
The Council consists of one member from each country at
The MRC's work is carried out through a broad range of
ministerial or cabinet level and meets once a year to make
partnerships and community involvement. The Commission
policy decisions and provide other necessary guidance
coordinates and works directly with the governments of each
concerning the promotion, support, co-operation and co-
member country, their line agencies, the local communities,
ordination of joint activities and programmes in order to
development banks, UN agencies, the private sector and civil
implement the 1995 Agreement.
society.
The Joint Committee consists of one member from each
country at no less than head of government department level
and meets twice a year to approve budgets and strategic
plans. This body functions as a board of management.
4
Mekong River Commission Annual Report 2006
Message from the
Chairman of the MRC Council
On behalf of the Mekong River Commission (MRC), I am pleased to present this MRC Annual Report 2006 to all Member States, donors and
partners. We have made significant progress on our work programme during the past year and I thank the MRC Secretariat, the National
Mekong Committees, our line agencies, our development partners and our donors whose joint efforts helped MRC realise these achievements.
The Year 2006 brought with it some interesting and positive steps forward for the MRC, both in its future direction and its consolidation of its
good relationships with donors and civil society. This was exemplified by the finalisation and approval by Joint Committee, Council and the
Donor Consultative Group of the MRC's Strategic Plan 2006-2010. This Strategic Plan has been driven by the Member States and has been
formulated in a highly participatory way. MRC sought input from donors, stakeholders and civil society and the result was a well constructed
plan which we feel has set a new benchmark for the MRC's future development. Now we look forward to enacting this plan for the benefit of
all our countries and in particular the poorest people. In 2006 we also undertook an internal organisational review to assess the regional
capacity required to implement this strategic orientation.
Last year we saw some endings and some beginnings. While the Basin Development Plan Programme and the Water Utilisation Programme
completed Phase 1 of their programmes. the Council approved the establishment of two new programmes the Drought Management
Programme and the Information and Knowledge Management Programme. Now, thanks to a new funding agreement, the BDP will move onto
Phase 2 (BDP2) whereby our Member States will see some concrete outcomes which will see this planning put into action. The WUP has also
received funding and it will be reformed into a new, more cross cutting programme which will work in conjunction with the Environment
Programme and BDP2.
In mid 2006 the WUP achieved a milestone when Ministers from our four member states came together in Ho Chi Minh City to sign an
important agreement on the Procedures for the Maintenance of Flows on the Mainstream, the fourth of the WUP's procedures to be agreed. It
is expected that the fifth and final Procedure for Water Quality will be signed in 2007.
The Navigation Programme started up full operation in 2006 and is already well advanced with its first major project - the installation of
navigational aids in Cambodia. The Flood Management and Mitigation Programme celebrated its first full year of operation with its own
Regional Flood Management and Mitigation Centre operating at nearly full strength and supplying flood forecasts throughout the 2006 flood
season. The Programme also produced the first of what will now be Annual Mekong Flood Reports.
The Environment Programme completed drafting a framework of the guidelines for transboundary environmental impact assessment and will
be continuing its work on guidance and institutional support. Over the year the EP engaged in various ecological risk assessments and
transboundary impact diagnostic studies. The EP also gathered data on wetland values which will be added to the current wetland maps so
they can be used as a tool for BDP Phase 2.
Meanwhile the Fisheries Programme played a vital role in its work supporting sustainable livelihoods in the all-important fisheries of the
Mekong, through aquaculture programmes and research. The Fisheries Programme also assisted in facilitating the end the annual Mekong
giant catfish hunt and instigating several successful breeding programmes of indigenous and endangered fish species.
Projects under the Agriculture, Irrigation and Forestry Programme continued to seek improvements in water use efficiency, better irrigation and
improved watershed efficiency and pilot projects were established in the basin.
Sharing knowledge and learning lessons from others are both very important to the MRC and in November 2006 MRC hosted the Challenge
Programme's International Forum on Water and Food, an exciting forum held in Lao PDR which brought together more than 250 experts from
nine river basins around the world and delivered key messages from the research world to the development world on how to improve
livelihoods and water productivity in agriculture.
On the international scene MRC took an active role in the 4th World Water Forum in Mexico City, when representatives presented many
papers, participated in the expo and joined in the Asian Pacific Water Forum Ministerial Meeting.
The MRC's relationship with our Dialogue Partners, China and Myanmar, strengthens year by year and we have continued to enjoy close
working ties in 2006, continuing our technical collaboration.
As before the international donor community has maintained its generous support for the work of the MRC. Many donors have renewed or
increased their funding for new projects and in doing so they have demonstrated their faith in the work of the MRC. I should like to take this
opportunity to express, on behalf of the MRC, our warm and sincere gratitude to our donors for their continued support. The Member States
have continued to increase their contributions to the MRC, which is now well placed to implement its Work Programme 2007.
H.E. Dr Cao Duc Phat
Minister of Agriculture and Rural Development
Chairman of Viet Nam National Mekong Committee
Member of the MRC Council for Viet Nam
Chairman of the MRC Council for 2006/2007
5
STRUCTURE OF THE
MEKONG RIVER COMMISSION
Members of the MRC Council
Members at Ministerial and Cabinet level, responsible for policy and decision-m
making
H.E. Mr Lim Kean Hor
H.E. Mr Khamlouat Sidlakone
H.E. Mr Kasem Snidvongs
H.E. Dr Cao Duc Phat
Minister of Water Resources
Minister to the
Minister of Natural Resources
Minister of Agriculture
and Meteorology
Prime Minister's Office
and Environment
and Rural Development
Member of the
Member of the
Member of the
Member of the
MRC Council for Cambodia
MRC Council for Lao PDR
MRC Council for Thailand
MRC Council for Viet Nam
Members of the MRC Joint Committee
Members at Department Head level or higher, responsible for implementing policies and decisions
H.E. Mr Sin Niny
Mr Chanthavong Saignasith
Mr Petipong Pungbun Na Ayudhya
Mr Nguyen Hong Toan
Vice-Chairman of Cambodia
Director-General of Lao National
Permanent Secretary, Ministry of
Secretary-General of Viet Nam
National Mekong Committee
Mekong Committee
Natural Resources and the
National Mekong Committee
Environment
Member of the MRC Joint
Member of the MRC Joint
Member of the
Committee for Cambodia
Committee for Lao PDR
Member of the MRC Joint
MRC Joint Committee for Viet Nam
Committee for Thailand
MRC Secretariat
Responsible for technical and administrative services
Dr Olivier Cogels
Chief Executive Officer
6
Mekong River Commission Annual Report 2006
ORGANISATION OF THE
MEKONG RIVER COMMISSION
Government of
Government of
Government of
Government of
CAMBODIA
LAO PDR
THAILAND
VIET NAM
COUNCIL
Members at Ministerial
and Cabinet level
Donor Consultative
Group
JOINT COMMITTEE
National Mekong
Committees (NMCs)
Donor countries
Members at Head of
and cooperating
Department level
Line Agencies
institutions
or higher
MRC SECRETARIAT
Technical and
administrative arm
Our Dialogue Partners
China
Myanmar
7
Structure of the MRCS
Technical
Coordination Unit
ENVIRONMENT
DIVISION
Environment
Environment
Programme
Programme
Finance and
Finance and
Administration
Administration
Section
Section
International
International
Cooperation and
Cooperation and
Communication
Communication
Section
Section
Human
Human
Integrated
Integrated
Resources
Resources
Capacity
Capacity
Section
Section
Building
Building
Programme
Programme
8
Mekong River Commission Annual Report 2006
CEO
CEO
Office of
OCEO
the CEO
PLANNING
TECHNICAL
OPERATIONS
DIVISION
SUPPORT
DIVISION
DIVISION
Basin
Basin
Information and
Information and
Agriculture
Agriculture
Development
Development
Knowledge
Knowledge
Irrigation and
Irrigation and
Plan
Plan
Management
Management
Forestry
Forestry
Programme
Programme
Programme
Programme
GEF 2
Water Utilisation
Programme
Programme
Flood
Flood
Navigation
Programme
Management
Management
Programme
and Mitigation
and Mitigation
Programme
Programme
Fisheries
Programme
Drought
Drought
Management
Management
Hydropower
Programme
Programme
Programme
Tourism
Programme
9
MRC STRATEGIC PLAN 2006-22010
Setting the scene for the future
After a decade of building a first class river basin
Three broad issues were identified as central to the
organisation, the MRC is now ready to move into a new
development of the Strategic Plan 2006-2010:
phase whereby it will instigate a more comprehensive
application of the 1995 Mekong Cooperation Agreement
1. Tangible results focused on poverty reduction through
through the implementation of the Mekong Programme for
sustainable development.
sustainable development of water and related resources in
the Mekong Basin.
2. Creating ownership and value-added with a broadened
interpretation to include better integration of MRC and
This is the basis of the MRC's new Strategic Plan 2006-2010.
national development plans.
The plan was formulated to support development goals as
articulated in such declarations as the UN's Millennium
3. Adopting an integrated water resource management
Development Goals, the Ministerial Declaration on
approach which is necessary for the MRC to jointly
Managing Water Resources in Southeast Asia, as well as
promote development and conservation to ensure
goals emerging from an extensive consultation process
sustainable cooperation for the utilisation of the
involving member countries, donors and civil society.
Mekong's common resources.
There is a high demand for developing the economic
The most pressing priority for all the Member States is to
potential of the river for food, energy and transport.
achieve higher levels of economic and social development.
Therefore, more investments in irrigation, navigation,
fisheries, flood management and mitigation and hydropower
The role of the MRC in serving the joint interests of its
are bound to occur. It is the role of the MRC, as an
Member States is to promote sustainable development in the
International River Basin Organisation, to ensure that these
Mekong River Basin.
investments will be well-coordinated, sustainable, and of
benefit to the poor.
The primary added value of MRC as an international river
basin organisation is to focus on joint and basin-wide
The key orientations of the new Strategic Plan 2006-2010
developments, including long-term development scenarios,
include the adoption of an Integrated Water Resources
identification of important joint and basin-wide projects and
Management approach with emphasis on basin-wide
programmes, and the analysis of implications (economic,
development plans, fuller integration and cooperation with
social and environmental) of ongoing and proposed
the work of our regional development partners, closer
developments in the basin including the cumulative impacts
cooperation with Dialogue Partners China and Myanmar,
of national developments. In this role, the MRC will work to
and an effective utilisation of MRC's knowledge base and
find long-term solutions to common problems in the region.
expertise to turn the previous years of work and achievements
into action.
With its unique legal mandate, knowledge base and expertise
in the areas of water and related resources development
The overall goal of the MRC is "To Support the Member
together with its effective regional cooperation framework in
States for More Effective Use of the Mekong's Water and
these areas, MRC is particularly well-placed to provide
Related Resources to Alleviate Poverty while Protecting the
guidance and support to sustainable development. In
Environment". This support to the Member States is the core
particular, the MRC will focus its efforts on:
business of the MRC.
Supporting joint and basin-wide projects and
The Strategic Plan's four goals correspond to the four roles of
programmes, initially including the four riparian states of
the MRC with regard to water and related resources:
the LMB, later, hopefully, also the two upper riparian
countries China and Myanmar.
Goal 1: To promote and support coordinated, sustainable,
and pro-poor development.
Transboundary projects, or suites of complementary
projects, between two or three riparian states.
Goal 2: To enhance effective regional cooperation.
National projects, or land and water policies, with
Goal 3: To strengthen basin-wide environmental monitoring
significant or cumulative basin-wide implications.
and impact assessment.
Given this emphasis, the MRC will avoid dispersing its
efforts over a large number of small projects that have no
Goal 4: To strengthen the Integrated Water Resources
significant impacts.
Management capacity and knowledge base of the
MRC bodies, NMCs, Line Agencies, and other
Within this structure, the basin planning function through the
stakeholders.
Basin Development Plan (BDP) will take on a pivotal role in a
10
Mekong River Commission Annual Report 2006
highly integrated and coordinated manner. This planning
Being accepted as a "centre of excellence" for
function will use acquired knowledge from the MRC
information and knowledge backed by excellent analytical
Programmes to build an overall perspective of what the
and management systems pertaining to the water-related
development needs and knowledge gaps are, and that will
and environmental resources of the basin.
eventually set the agenda of the MRC Programmes. The BDP
will further ensure that project programming is done in
Supporting implementation of feasible and justifiable
harmony with the IWRM Strategic Directions.
development projects that reflect the social and
environmental aspirations of the riparian countries, and
The Integrated Basin Flow Management (IBFM) process is
grouping priority projects into a basin-wide Mekong
another important and effective vehicle for implementing
Programme.
IWRM in MRC. IBFM is a set of multi-disciplinary activities
providing information and knowledge to decision makers on
Building awareness and understanding throughout the
economic benefits and environmental and social impacts of
basin of the MRC as a world-class International River
development as related to changes in the flow regime.
Basin Organisation that contributes to poverty alleviation
and sustainable development.
The present general organisational structure of the Secretariat
will be continued. There will be four Divisions reporting to the
The MRC Strategic Plan 2006-2010 will provide the basis
CEO, each headed and managed by a senior riparian officer
for enhancing the MRC's support to the sustainable
(one from each country).
development of water related resources in the Mekong
Basin and thus be a major step forward in contributing to
By the year 2010 the MRC aims to have made major
poverty reduction in its riparian countries.
progress towards:
Being acknowledged as a leading International River
Basin Organisation operating by the best practice
principles of sustainable development and management
of the basin's resources and in organisational processes
and practices.
MRC Strategic Plan 2006-22010
Contributing to the Mil ennium Development Goals
Overal Goal: More Effective Use of the Mekong's Water and Related Resources
to Al eviate Poverty While Protecting the Environment
GOAL 1:
GOAL 2:
GOAL 3:
GOAL 4:
To promote and support
To enhance effective
To strengthen basin-w
wide
To strengthen the
coordinated, sustainable,
regional
environmental monitoring
Integrated Water
and pro-ppoor investment
cooperation
and impact assessment
Resources Management
and pro-ppoor
capacity and knowledge
development
base of the MRC bodies,
NMCs and Line Agencies
and other stakeholders
11
PROGRESS REPORT 2006
Basin Development Plan
The overall programme objective of the BDP was derived
development intervention and investment plan for the Lower
from the 1995 Mekong Agreement and supports the MRC
Mekong Basin to:
vision of "an economically prosperous, socially just and
environmentally sound Mekong River Basin", in line with the
Foster sustainable development
MRC mission "to promote and coordinate sustainable
Respond to the needs of the poor; and
management and development of water and related
Ensure economic growth and development is in
resources for the countries' mutual benefit and the people's
harmony with the environment.
well being".
The BDP covers all major types of water-related activities
Using the principles of Integrated Water Resources
such as irrigation, watershed management, fisheries,
Management the BDP aims to achieve a balance between
hydropower, navigation, flood management and mitigation
socio-economic development and environmental concerns
and domestic and industrial use.
and to create a framework for development based on
technical knowledge as well as public, stakeholder and
BDP Phase 1 started in October 2001 as a three-year
political views. Through the formulation of development
project. In 2003, it was decided to extend Phase 1 until the
scenarios, the BDP is able to provide models for future water
end of June 2005 and then to July 2006. A further no-cost
needs of the Lower Mekong Basin from which strategies and
extension provided a bridging arrangement up to the start up
planning guidelines can be developed to assist the Member
of the second phase, planned for January 2007. Financial
States plan their development in a sustainable way.
support to the BDP Phase 1 formulation and the interim
period is being provided by Denmark, Sweden, Japan,
Over the past five years the BDP has developed a
Switzerland and Australia.
comprehensive IWRM Strategy which will provide a
12
Mekong River Commission Annual Report 2006
In 2006 BDP Phase 1 achieved many final outputs:
Published out puts include the Strategic Directions for IWRM
Establishment of an ongoing basin planning process
in the LMB, together with a portfolio of projects and
programmes to support it (the MRC-BDP Projects Database).
Implementation of functional data systems
The BDP Phase 2 programme objective is to ensure that the
Building of capacity and provision of training
water resources of the Mekong River Basin are managed and
within MRCS, NMCs and national organisations resulting
developed in an integrated, sustainable and equitable
in well qualified staff and relevant institutional capacities
manner for the mutual benefit of all riparians.
available at MRCS and the NMCs
It will develop and maintain a rolling IWRM based Basin
Formulation of sub-area and basin-wide
Development Plan produced in support of sustainable
scenarios and strategies
development in the Mekong River Basin. It will further
develop and effectively utilise the knowledge base and
The setting up of a Projects Database (long-list) and
assessment tools in the MRC and the NMCs and it will build
prioritisation of water-related development projects
capacity at MRC and NMC levels for IWRM planning and for
facilitation/mediation in areas where trade-off management
An agreed shortlist of priority development initiatives, to
is required
be maintained by the JC as a continuous activity
The BDP Phase 1 is funded by the Governments of Australia,
A functional network of more than 200 agencies
Denmark, Japan and Sweden. BDP2 commenced on 6
actively collaborating on basinwide water-related
December 2006 with the signing of a funding agreement
development.
between the MRC and the Government of Denmark. The
MRC is now seeking to cover the difference between the
An agreed "Strategic Directions for IWRM in the Lower
Danish grant and the total budget.
Mekong Basin"
Tools and routines for project identification, initial
documentation, and screening of impacts and
significance, classification and ranking (DSF, Resource
Allocation Models, Social Impact Assessment and
Strategic Environment Assessment, Screening toolkits)
An underlying comprehensive knowledge base and
documentation, readily available to users within and
outside the BDP, MRCS and the NMCs (the Core Library
and the BDP Planning Atlas)
An agreed programme for BDP2, formulated with full
country input. The project document for BDP phase 2 is
also regarded as a main output of BDP Phase 1.
The BDP has established a planning network in the Lower
Mekong Basin built on a range of BDP planning tools and
features. National BDP Units have been established in each
Member State under the National Mekong Committees. In
the near future, the collaboration between the BDP team at
the MRCS, the BDP units in NMCs and other MRC
programmes will be strengthened.
Strong links will be maintained with regional initiatives of
external agencies, such as the Asian Development Bank's
Greater Mekong Subregion programme, UNESCAP, ASEAN
and the South East Asian Technical Advisory Committee of
Global Water Partnership. There will also be scope for
coordination with the upstream riparian countries.
13
The Water
Utilisation Programme
The six-year Water Utilisation Programme aims to improve
The WMT organises and supervises three Working Groups:
water management and ensure mutual beneficial water use
Working Group 1 Basin modelling and knowledge base;
management in the Lower Mekong River Basin while
Working Group 2 Environmental and transboundary
maintaining its ecological balance. In order to accomplish
analysis; and Working Group 3 Procedures formulation.
these objectives, the Water Utilisation Programme has
created an integrated knowledge base, providing data and
The current phase of the WUP was originally scheduled to
decision support, as well as a comprehensive hydrological
end in 2006, but has been extended until 2007 to complete
modelling package. These have served as the basis for the
its work and to develop a successor project funded by the
creation of a set of procedures governing water use. To date
Global Environment Facility through the World Bank.
four of these procedures for water use have been agreed
Formulation of this new programme will be undertaken
upon by the four governments of the Lower Mekong Basin.
through national and regional consultations following advice
of the MRC Joint Committee throughout 2007.
In addition, the implementation of the programme has
improved the institutional capacity of the MRC, the National
In 2006 Council Members from the four Member States
Mekong Committees and national line agencies.
signed off the Procedures for Maintenance of Flows on the
Mainstream (PMFM) on 22 June 2006, in Ho Chi Minh City,
The MRCS is the implementing agency of the WUP. A WUP
Viet Nam. The flow procedures are required under the
Management Team (WMT) leads and coordinates
provisions of the 1995 Mekong Agreement on the
programme implementation. Each NMC has established a
Cooperation for the Sustainable Development of the Mekong
permanent national WUP unit, responsible for coordination
River Basin, which formed the Mekong River Commission.
of national participation and WUP implementation at the
national level.
14
Mekong River Commission Annual Report 2006
The Agreement requires the member states to cooperate in
Cambodia National Mekong Committee and with the
the maintenance of:
support of the modelling team, and due to its success, and
acceptable minimum monthly flows in the dry season,
continued funding available through the WBI, will likely be
acceptable natural reverse flow of the Tonle Sap
continued in 2006/2007.
during the wet season; and
prevention of peak flows greater than occur naturally.
The WUP-FIN team continued the Phase 2 model set-ups,
calibration, validation and application. In addition, a more
The PMFM clarify these provisions of the Mekong Agreement
active participation in the Environment Programme-driven
through further defining objectives, principles and scope of
IBFM Phase 3 activities is being planned.
their application as well as the roles and responsibilities of
the various parties required for their implementation,
The results of the Flow Regime Impacts Workshop (held on 7-
including the MRC Council, the MRC Joint Committee, the
11 November 2005) were synthesised by the Integrated Basin
National Mekong Committees and the MRC Secretariat.
Flow Management Team with IBFM Report No. 8 finalised in
2006. This report represents an important milestone in IBFM
Most notably the Procedures delegate the responsibility to
2 activities. An overview of the conclusions was presented to
prepare Technical Guidelines for their implementation to the
the Members of the Joint Committee during the Preparatory
members of the Joint Committee. These Technical Guidelines
Meeting for the Twenty-Third Meeting (April 2006). WUP
will define in concrete terms the actual flow and level values
proceeded with further national consultations and Technical
and the location of the Mekong mainstream hydrological
Reporting Group meetings including preparation of revised
stations which will be used to monitor these flows and levels.
Technical Guidelines for Implementation of the PMFM, which
Preparation of these guidelines is now underway.
constituted completion of IBFM Phase 2 activities. The
Environment Programme will now move forward with detailed
In 2006 the Decision Support Framework (DSF) modelling
research and stakeholder consultation under IBFM Phase 3.
team actively supported the preparation of the revised
Technical Guidelines for Implementation of the PMFM based
The formulation of the MRC Drought Management
on 1) the newly calibrated models, 2) the proposals to
Programme was started in May and was presented for
simplify and improve the presentation based on
consideration by Council in December 2006, where it was
experiences/understanding of the requirements gained during
approved as a basis to solicit donor funding.
the past year, and 3) the insights gained under its Integrated
Basin Flow Management (IBFM) work.
The WUP supported execution of a GEF2 Scoping Mission by
two international consultants during May 2006 to assess
Drafting of the final set of procedures the Procedures for
whether or not the member countries see a need to move to
Water Quality (PWQ) has also been finalised and it is
a new phase of GEF support as a follow-up to the WUP as it
expected these will be signed in early 2007.
neared completion in 2006. The study concluded that a
second project could be justified, but more discussion was
The DSF developed under the WUP is a powerful suite of
needed on how the project would be designed. The GEF2
modelling tools used to undertake its scenario development
project concept was further developed in consultation with
work. In 2006 new contracts were signed for continued
the World Bank and the Member States, and approved by the
improvements on the DSF. Two DSF maintenance contracts
Council at its meeting in December 2006.
were also approved, thus enabling urgent bug-fixing and
other maintenance activities to be carried out. The Integrated
WUP unit members participated in review and comment on
Quality and Quantity Model maintenance contract is now
the formulation of three regional studies being promoted
also under implementation.
under Mekong Water Resources Partnership Programme by
the World Bank and the Asian Development Bank.
Progress was made in moving forward with the selection and
implementation of national case studies (two from each
The Joint Committee, at its 23rd Meeting in April 2006
NMC) providing an opportunity for the modelling teams in
agreed to include the WUP with the Basin Development Plan
the MRCS and the NMCs to apply the DSF and other models
Programme under the new Planning Division. This re-
to real water resource management issues in the member
organisation was endorsed by the World Bank during the
countries.
May 2006 supervision mission.
A programme of DSF modelling training was developed in
The WUP is a GEF-funded project managed by the World
association with experts from the National Institute for Rural
Bank and implemented by MRC. It is also funded by the
Engineering of Japan and the World Bank Institute (WBI).
Government of Finland.
This programme was executed in May and June directed
mainly at the Lao National Mekong Committee and the
15
Environment Programme
The immediate objective of the Environment Programme is to
research activities it also promotes a better understanding of
ensure that the riparian governments have the capacity to
the environmental and ecological aspects of the Basin.
secure a balance between economic development and
protection of the environment to ensure a healthy Mekong
The programme has five components:
River Basin capable of supporting the natural resource
Environmental Monitoring and Assessment.
diversity and productivity which are central to the livelihoods
Environmental Decision Support.
of the people.
People and Aquatic Ecosystems.
Environmental Knowledge.
The Environment Programme has a two-pronged approach in
Environmental Flows Management.
that it is aiming to assist the Member States in fulfilling the
articles in the 1995 Agreement related to the protection of
In 2006 the Environment Programme continued development
the environment and maintaining the ecological balance of
of a water quality index based on its accumulated water
the basin. It is also supporting the other programmes through
quality monitoring network data. The Quality Assurance and
provision of environmental data and development of tools for
Quality Control (QA/QC) system for the water quality
environmental planning and management.
monitoring network's laboratories' analytical accuracy is fully
operational. As part of its ecological health monitoring work,
Assessment and monitoring of water quality and ecosystem
the Environment Programme completed the second part of
health form an important basis for data provision. The
the three-year rotation covering the flood plains of
programme also aims to improve environmental policy and
Cambodia and the delta region, undertaking a water quality
management through advice to and promotion of
assessment which will be published in 2007. The first part of
cooperation among environmental agencies, directly
the social impact monitoring, was completed 2006, will be
supporting the BDP process.
complemented by field work in 2007.
Through compilation of existing knowledge and facilitation of
The framework of the guidelines for transboundary
16
Mekong River Commission Annual Report 2006
Environmental Impact Assessment (TbEIA) was essentially
2006 was held in January 2007 in Chiang Mai, Thailand.
completed, and work on guidance and institutional support is
The delay was due to clashes with other important meetings
continuing. The Programme undertook transboundary
in late 2006. The meeting heard reports on water quality,
Environmental Risk Assessments (TbERA) for Chiang
ecological health, wetland valuation and Integrated Basin
Rai/Bokeo area (Thailand/Lao PDR) and for Takeo/Chao Doc
Flow Management (IBFM). The proceedings will be ready in
area (Cambodia/Viet Nam). The TbERA focused on water
early 2007.
quality and the results will be finalised in early 2007. Upon
request from the Cambodia National Mekong Committee the
Based on identified knowledge gaps, IBFM work in 2006
EP initiated a transboundary impact diagnostic study for the
focused on improving hydrological modelling, sediment and
Sesan, Sre Pok and Sekong sub-basins in Cambodia, Lao
geomorphology and fisheries studies. The IBFM team also
PDR and Viet Nam. The results from the 2004-2005
initiated development of a database-driven expert tool for
monitoring of the water quality in the Sesan River were
Environmental Flows Assessment in the Mekong River Basin,
presented to government officials, NGOs and local residents
called "The Mekong Method". The IBFM work included
at a workshop held in Rattanakiri, Cambodia. The results
modelling, research and field investigations guided by
showed the water quality was still good, albeit it did not
feedback from stakeholder consultations, which were
measure pathogens or filamentous algae.
undertaken in parallel to the research programme. A set of
easy-to-read and understand booklets and a brochure on the
The EP also took the lead in coordinating awareness raising
IBFM initiative was prepared and will be disseminated in
and capacity development in conflict management and
early 2007.
mitigation, which has now become part of the capacity
building at the MRC Secretariat and which the EP together
The flow assessments possible through the IBFM tools
with other programmes will build on in 2007.
together with development and management plans
developed based on such assessments will ensure that longer
Information on wetland economic values was collated and
term impacts are anticipated and a proper trade-offs analysis
added to the wetland database, which will be linked to the
can be performed contributing to sustainable development
wetlands maps and will be combined with the wetland
under the Mekong cooperation.
valuation as a tool for BDP Phase 2. The vulnerability
assessment continues focussing on spatial aspects of
The Environment Programme is funded by the governments of
dependence on aquatic resources.
Denmark, the Netherlands, Sweden and the United Nations
Development Programme.
Work on the environmental impact of tourism was also
initiated in 2006 under this component.
The Environment Programme Annual Technical Meeting for
17
Flood Management and
Mitigation Programme
The development objective of the MRC Flood Management
Management and Mitigation Centre (RFMMC) is nearly fully
and Mitigation Programme (FMMP) is: "to prevent, minimise
staffed and has completed its overall work plan. A
or mitigate people's suffering and economic losses due to
communication link between the centre and the secretariat
floods, while preserving the environmental benefits of floods".
has been established. The construction of the new
This objective is the key to a balanced approach to Flood
headquarters progressed well and it is expected the centre
Management and Mitigation (FMM) and reinforces the
will move in mid-2007.
region's commitment to "living with floods".
During 2006 the RFMMC reviewed hydro-meteorological,
The heart of the programme is a Regional Flood
topographic, land-use etc data available in MRCS and the
Management and Mitigation Centre, which provides technical
riparian countries and established a GIS database. Short-
and coordination services to the four countries in the Lower
term forecasting (1-5 days) was implemented and improved
Mekong Basin. Forecasts, flood data, technical standards
by increasing the accuracy and lead time and a review of
and training packages are key outputs of the programme.
existing flood forecasting systems in MRCS and member
countries was completed.
The programme has five components:
1. Establishment of a Regional Flood Centre
The RFMMC developed a road map for medium term flood
2. Structural Measures and Flood Proofing
forecasts. Following the recommendations, the medium term
3. Mediation of Transboundary Flood Issues
flood forecasting system is being developed with
4. Flood Emergency Management Strengthening
establishment of an operational monitoring database and by
5. Land Management
strengthening the regional networks and national networks
for real time data collection. The RFMMC also formulated a
After one year of full operation, the Regional Flood
pilot project in the 2T sub-basin in Thailand for flood risk
18
Mekong River Commission Annual Report 2006
mapping and analysis and this project is now under
The FMMP's Component 3 deals with the important topic of
implementation.
mediation of trans-boundary flood issues and in 2006 this
component completed a draft of a concept paper on MRC
The USAID/ Office of Foreign Disaster Assistance-funded
mediation and coordination and a discussion paper
pilot project on provision of Flood Early Warning (FEW) in
concerning MRC's mandate on conflict prevention and
Cambodia for 40 villages entered its fourth year and trained
dispute resolution. It also completed an initial outline of a
238 people on FEW and disaster management, while
framework mechanism for mediation process of
improving local understanding on FEW, dissemination of
transboundary flood issues.
flood forecasts via the Internet, media, NGOs and direct
information to communities.
While the FMMP places an important emphasis on
forecasting and managing floods it is also aware of the
During 2006 the FMMP produced the first Annual Mekong
necessity of learning to live with floods and this is where the
Flood Report and conducted the 4th Annual Mekong Flood
Flood Emergency Management Strengthening component is
Forum. These annual events are becoming increasingly
involved. In 2006 this component prepared and
important as avenues for the dissemination of flood
implemented flood preparedness programmes (FPP) in
information within the basin.
selected provinces and districts; completed institutional role
analysis for FPP capacity at provincial level; developed
Under the Structural Measures and Flood Proofing
provincial and district flood preparedness programmes; and
Component, various essential administrative functions such
identified priority sub-projects with provincial and district
as tendering processes were initiated, a framework for
authorities. In order to raise public awareness of flood
development and implementation of Integrated Flood Risk
preparedness, several activities were organised and province-
Management (IFRM) Guidelines for BDP was completed and
to-province trans-boundary emergency assistance schemes
a pilot project on roads and floods in the flood plain of Viet
were prepared.
Nam and Cambodia is being implemented in conjunction
with the Delft Clusters and the WorldWide Fund for Nature.
Changes in land use can exacerbate floods and in 2006 the
Land Management Component evaluated the MRC's
geospatial data, hydrologic/hydrodynamic models and
related documentation as part of its work to provide more
reliable flood probability information in selected provinces. It
also requested source identification and acquisition of
topographic data on selected areas of Viet Nam; acquired,
processed and incorporated in its geo-database orthophotos,
digital elevation map (DEM) and other data on selected
areas of Cambodia; and conducted organisational analysis
of national partner agencies in Cambodia and Viet Nam.
As part of MRC's continuing commitment to capacity building
in the basin, a number of training courses and workshops on
database management, disaster management, radio network
communicationand satellite rainfall estimation, and planning
and implementation of flood preparedness programmes were
held throughout the region.
The FMMP is funded by the Governments of Denmark,
France, Germany, Japan, the Netherlands and the United
States; as well as the Asian Development Bank and the
European Union.
19
Navigation Programme
The development objective of the Navigation Strategy reflects
to the riparian people, improving water transportation
the content of Article 9 in the 1995 Mekong Agreement, and
during floods, increasing river-based employment.
aims to: "promote freedom of navigation and increase the
international trade opportunities for the MRC member
The NAP started its full implementation in 2006.
countries' mutual benefit, and to assist in coordination and
A total of five components have been identified and will be
cooperation in developing effective and safe waterborne
implemented within a timeframe of five years.
transport in a sustainable and protective manner for the
Socioeconomic Analysis and Regional
waterway".
Transport Planning.
Legal Framework for Cross-border Navigation.
The MRC Navigation Programme (NAP) has the following
Traffic Safety and Environmental Sustainability.
immediate objectives:
Information, Promotion and Coordination.
Legal Objective: Establish an appropriate legal
Institutional Development.
foundation and navigation regime for International
Mekong Navigation, and ensure its implementation and
During 2006 the Navigation Programme Office was
sustainability
established. The NAP also established the Navigation
Trade, Transport and Safety Objective (Physical and
Advisory Body (NAB), a high-level body responsible for
Non-Physical): Reduction of non-physical and physical
stimulating a more detailed input of the Member States which
barriers, integrating navigation in the regional transport
will free the MRC Joint Committee from dealing with
network and reduction of navigation-related accidents.
technical issues. The NAB held its first meeting in October
Environmental Objective: To promote the concept of
2006 in Phnom Penh, Cambodia.
"clean" river transportation, focusing on strategic
prevention of environmental damage from waterway
As part of Component 1 of the MRC Navigation Programme,
infrastructures/works or from shipping or port accidents
but implemented through indirect bilateral cooperation
rather than remedying or combating the impacts.
between Belgium and Cambodia, the "Design of the Master
Social Objective: Distributing benefits from navigation
Plan for Waterborne Transport on the Mekong River System in
20
Mekong River Commission Annual Report 2006
Cambodia" was completed in November 2006. It is the first
Cambodia) a comprehensive legal study of the current
time that a comprehensive action plan and investment
regime on the Mekong River between Cambodia and Viet
portfolio has been prepared to improve Mekong Navigation
Nam to assess and evaluate the existing Hanoi Navigation
in Cambodia. In order to increase regional and international
Agreement of 1998, including the new Draft Protocol, was
trade, a cross-border development strategy was prepared
completed.
which will, once implemented, cut transport costs of
container shipping by around US$ 42 million per year.
Improving the safety of navigation on the Mekong and
Improvement of tourist landing facilities in Siem Reap is
providing for increased use of the waterway is of paramount
among the planned projects. Apart from commercial
importance to the Navigation Programme. In 2006 the NAP
shipping an integrated action plan and project portfolio is
collected topo-hydrographic data in digital format for the
now available to improve accessibility between remote
stretch of the river between Phnom Penh Port and the
villages along the Mekong shores.
Cambodia-Viet Nam border. A detailed design for a system
of aids to navigation including buoys, beacons and shore
The NAP is in the process of establishing relationships with
installations to international standard was prepared, the
international partners such as the International Maritime
contractor/consultant firm selected and the contract signed.
Organisation, the Permanent International Association of
The national counterparts in Cambodia who will perform
Navigation Congresses, the Central Commission for
normal maintenance and operational repairs these aids to
Navigation on the Rhine and the Danube Navigation
navigation have been fully trained and are ready to take up
Commission. These will be important partners to develop and
their duties. Installation of the navigational aids is due to
assist in the implementation of the international standard for
commence in early 2007.
navigation safety and environmental protection measures.
Transport of petroleum and other hazardous products by
Under Component 2 (through the project Master Plan for
waterway is being undertaken on most navigable waterways
Waterborne Transport on the Mekong River System in
in the world, but on the Mekong River, commercial shipping
is relatively new, and unfortunately not always up to
internationally accepted safety standards, in particular when
referring to transport of dangerous cargo. In order to prepare
the MRC's Member States for this and provide added value,
MRC has formulated the Traffic Safety and Environmental
Sustainability component to establish safety rules and
regulations and harmonise them into one set of regulations
for all riparian countries.
A Management Information System for Phnom Penh Port was
developed and in 2006 is now operational. A further output
formed the basis of a Navigation Programme presentation on
water and transport at the 4th World Water Forum in Mexico
City, 16-22 March 2006.
The NAP is partly funded by the Government of Belgium.
21
Agriculture, Irrigation and
Forestry Programme
The goals of the MRC's Agriculture, Irrigation and Forestry
Improvement of Irrigation Efficiency on Paddy Fields
Programme (AIFP) are to ensure that sound watershed
(IIEPF)
management will preserve the watershed functions for the
The Challenge Programme on Water and Food
future; to develop improved irrigation and water use methods
(CPWF),
and to engage in research on the best methods for
monitoring land-use changes and complete important
Watershed Management Component
baseline studies on watershed management, forestry and
The Watershed Management Project
land use planning.
The Watershed Management Project (WSMP) running under
the Watershed Management Component (WSMC) aims at
The AIFP completed its first phase in December 2005.
institutionalising watershed management in the MRC Member
Formulation of new AIFP programme document for
States.
2006-2010 is in process, but work is continuing. At present
AIFP is conducting activities based on two components: the
The objective of this component is that "national and local
Watershed Management Component and the Water Use
institutions increasingly and more competently consider the
Efficiency Component.
maintenance of watershed functions in their land-use related
activities". This will lead to an enhanced capability of the
Under these two components, AIFP currently operates four
MRC Member States to manage their watersheds sustainably
projects:
and increasingly in view of national and regional needs.
The Watershed Management Project (WSMP)
executed by GTZ.
In 2006 the WSMP held a series of consultations with the
Demonstration of Multi-functionality on Paddy Fields
Member States to identify and formulate more detailed
(DMPF)
activities for the second phase of its project. During this
22
Mekong River Commission Annual Report 2006
phase the project will focus on policy analysis, information
The Water Use Efficiency Component
management and capacity building activities.
This component aims at developing irrigation and agriculture
in a sustainable manner taking into account the requirements
A Joint Working Group Meeting was organised in Khon Kaen
of a healthy river system by the relevant institutions. The
in March to draft and agree on the work plan for 2005-
Government of Japan is funding two projects: Demonstration
2008 and a draft WSMP Programme document was
of the Multi-Functionality of Paddy Fields (DMPF) and
formulated.
Improvement of Irrigation Efficiency on Paddy Fields (IIEPF) to
address the issues of water use efficiency of irrigated
Resulting from the meeting in Khon Kaen, the project
agriculture under this component.
conducted its first policy analysis studies as well as capacity
needs assessments for watershed management in Lao PDR,
The programme has developed strong links with both
Cambodia and Viet Nam , followed by the preparation of an
national counterparts and international partners such as the
extensive capacity building outline for the next two years. A
Food and Agriculture Organisation and the Challenge
process design for the introduction of a results-based
Programme on Water and Food.
monitoring system in the WSMP/MRCS has been initiated.
Demonstration of Multi-ffunctionality of Paddy Fields
Within the framework of Information Management the project
maintains and develops the MekongInfo information website
(DMPF)
which hosts a diverse range of information and research
In 2006 the major achievements of the Project to
concerning the Mekong River Basin.
Demonstrate Multi-functionality of Paddy Fields (DMPF)
include the completion of the project report in January 2006.
The project also assisted the MRC's Technical Services
Division with developing the Information and Knowledge
The final report on Data Collection for the Project to
Management Programme.
Demonstrate Multi-functionality of Paddy Fields over the
Mekong River Basin by Cambodia was also completed. Final
During 2006 the project continued to work on a Watershed
reports on data collection from four Member States have now
Management Resource Kit which includes the development,
been submitted and an analysis of selected functions of
documentation and dissemination of watershed management
paddy fields has been identified in Thailand and Viet Nam.
approaches for selected watersheds. This kit will be published
in early 2007.
The Japanese donor, Ministry of Agriculture, Forestry and
Fisheries of Japan (MAFF), agreed with the planned activities
The WSMP also helped to improve regional data,
of DMPF and approved an extension of the project until
information and knowledge management, through a variety
November 2007.
of training programmes.
The project also sponsored staff from the MRC Secretariat
This component is funded by the Government of Germany.
and relevant Line Agencies to attend and participate in the
4th World Water Forum held in Mexico City in March 2006.
Improvement of Irrigation Efficiency on Paddy Field
(I EPF)
In 2006 the Improvement of Irrigation Efficiency on Paddy
Fields over the Mekong River Basin project (IIEPF) held its first
regional workshop to finalise the project document, and
discuss the outline of the forthcoming activities under the
project. The project document has now been finalised and
approved by the donor.
The project came to an agreement on collaboration with the
FAO, whereby the FAO would provide technical comments
through participation in workshops; teach country
participants the Rapid Appraisal Process (RAP) irrigation
scheme appraisal technique through RAP training workshop
and on-the-job training; and identify appropriate consultants
to draft guidelines for efficient water use.
23
A four-day RAP training workshop was held in July at the
aims to develop water poverty and water productivity maps
Secretariat in Vientiane. RAP is a tool to allow qualified
and data for the Mekong River Basin. The MRC is a partner
engineers to systematically and quickly determine key
in this initiative.
indicators of how an irrigation project is performing. The tool
was developed by FAO and FAO staff conducted the training
In May 2006, the CPWF held its steering committee meeting
of around 20 engineers from the Member States. These
in Cairo, where the AIFP Research Coordinator represented
trained engineers have conducted irrigation scheme appraisal
the MRC. The MRC's AIFP Research Coordinator continues to
as a part of IIEPF field observation.
be an active member of the CPWF Management Team.
In November 2006, the CPWF held the International Forum
In late 2006 subcontracts for fieldwork were concluded with
on Water and Food in Vientiane, Lao PDR. The MRC hosted
the four Member States. Initial meetings were conducted with
this event, which attracted approximately 250 delegates from
NMCs and Line Agencies in November and December to
around the world and was considered extremely innovative
confirm the details of planned fieldwork. Fieldwork started in
effective.
the 2006/2007 dry season and will continue to cover the
next wet season in all the member countries.
CGIAR Chal enge Program on Water and Food
The CGIAR Challenge Programme on Water and Food
(CPWF) is also placed under this component. The CPWF is
an initiative of the Consultative Group on International
Agricultural Research (CGIAR) and is a research-for-
development programme that operates through a global
network of partnerships. It seeks to develop innovative ways
of producing more food with less water across nine
"benchmark river basins" in the developing world, including
the Mekong.
The MRC is the coordinating institution for CPWF projects in
the Mekong River Basin, where it monitors the activities of
some 10 projects of various sizes. In addition, the MRC is
represented on the CPWF Steering Committee, and the AIFP
Research Coordinator sits on the CPWF Management Team
Four CPWF Small Grants for Impact projects, each worth
about US$ 75,000, have been contracted and now fall
under the purview of the MRC Research Coordinator. In
2006 Ttwo additional, major projects (each worth more than
US$ 1 million) were also contracted and held their inception
workshops in 2006.
The first of these is CPWF Project No. 11, entitled "Rice
Landscape Management for Raising Water Productivity,
Conserving Resources and Improving Livelihoods in Upper
Catchments of the Mekong and Red River Basins". The
second, CPWF Project no. 25 is entitled "Companion
Modelling for Resilient Water Management: Stakeholders'
Perceptions of Water Dynamics and Collective Learning at the
Catchment Scale".
Both have now been have been contracted and held their
The International Forum on Water and Food, held in Vientiane,
inception workshops in 2006.
Lao PDR, drew delegates from river basins around the world.
The CPWF Basin Focal Project (BFP) is progressing well, and
24
Mekong River Commission Annual Report 2006
Fisheries Programme
The Lower Mekong fishery supports up to 40 million people
The programme operates within one shared system of
and two-thirds of the population of the Lower Mekong Basin
support functions and infrastructure. Activities and staff are
are actively involved at least part-time in the fisheries.
maintained in each of the riparian countries, and are
Therefore it is necessary to manage the productive Mekong
building an excellent network with line agencies and
fisheries so as to sustain their high yield and economic output
institutes. This presence includes a national programme
into the future. This is why the development objective of the
director and the support required for programme activities in
Fisheries Programme is: "Coordinated and sustainable
the country. Virtually all field-based activities of the
development, utilisation, management and conservation of
programme are conducted through fisheries Line Agencies,
the fisheries of the Mekong Basin".
however national consultants are also used when necessary
for particular activities.
The programme has four components:
Fisheries ecology, valuation and mitigation;
In 2006 the Fisheries Programme achieved five main outputs
Fisheries management and governance;
according to its plan.
Aquaculture of indigenous Mekong fish species.
Programme management and communication;
Raising the awareness of fisheries
The Fisheries Programme produced many publications over
The Fisheries Programme Phase 2 started in January 2006,
the course of 2006. these include technical papers in the
directly after completion of Phase 1. Phase 2 is building on
MRC's Technical Series and the Technical Advisory Body's
the achievements of the first phase of the Programme,
Management Recommendation Series; the regular newsletter
specifically in the areas of fisheries ecology; valuation of
Catch and Culture (in English and riparian languages); and a
fisheries in the LMB; mitigation of the impacts of
film produced by the Vietnamese Research Institute No 2 on
developments; fisheries management and governance;
the fisheries of the Mekong delta (similar films for Lao PDR
aquaculture of indigenous species; and communication of
and Thailand are currently being finalised). In addition,
information to governments and planning agencies.
translation and publication of Technical and Development
Series publications in riparian languages continued. One of
25
these is the Khmer version of the book on "Fishing Gears on
Mekong in northern Thailand and Lao PDR.
the Cambodian Mekong", which was highly appreciated by
parliamentarians during debates on the new fisheries law in
Monitoring of several fisheries continued, with the aim of
Cambodia.
getting hard data on trends in fisheries in the Basin. Breeding
of several indigenous species was achieved for the first time,
The Fisheries Programme continued to provide input into
directly supporting national initiatives in promotion of
several regional planning initiatives, such as the Integrated
indigenous species for aquaculture.
Basin Flow Management studies being organised by the
Environment Programme and the Water Utilisation
Scoping and promotion of Mekong development
Programme and, and a range of activities coordinated by the
projects
Mekong Wetlands Biodiversity Programme.
The Fisheries Programme assisted fisheries consultants to
develop a project on fish passage (facilities enabling fish to
Development of Human and institutional capacity
pass upstream and downstream of barriers) in Lao PDR.
The Technical Advisory Body on Fisheries Management (TAB)
While the project will be based in Lao PDR, the programme
continued the implementation of its 2004-2006 work plan.
is ensuring the project has broader regional applicability, and
Organisationally the TAB is now well established, being
that fisheries technicians in other countries will have observer
supported in its work by a functioning secretariat with
status during the course of the project. The project is likely to
presence at both the regional and national levels. The major
start in 2007 and will probably run for 2-3 years.
activity for the TAB in 2006 was the implementation of a
series of three-day learning events on regional fisheries
A project also is also being planned to review and analyse
management conducted in Member Countries. The learning
the data from three fisheries that have been monitored in the
events targeted mid-level provincial fisheries managers, and
Mekong for approximately 10 years. An initial scoping study
were conducted in the national languages.
was conducted in May-June, under funds supplied by the
Australian Centre for International Agricultural Research
The TAB also undertook a field study in Myanmar,
(ACIAR). The report was very favourable, and is now being
investigating the very impressive inland fisheries and the
reviewed by ACIAR to determine follow-up action.
relevance of management initiatives for the Mekong. The
TAB is now looking to extend the activity in its next three-year
Facilitation of implementation of fisheries development
work programme. A series of research training activities (on
activities
fisheries ecology, economics and management) was
The Fisheries Management and Governance component
completed in March at the Inland Fisheries Research and
continued to provide a platform for the development of co-
Development Institute in Cambodia. These activities provided
management activities in all MRC-Member States. Of special
specialised training at all stages of project design and
significance here is the integrated water resource
implementation as well as in institutional management of the
management project taking place at Soc Trang, in Viet Nam,
projects. Further on-the-job training was completed
where shrimp farmers and rice farmers are working together
particularly within the Fisheries Management and
to develop sustainable practices for water use by both
Governance and Aquaculture of Mekong Indigenous Fish
parties, improving on-farm profitability and environmental
Species components.
management in the area.
Formulation and implementation of Mekong basin
The Fisheries Programme continues to be supported by the
fisheries development strategies
Governments of Denmark, Sweden and Australia.
Several fisheries development strategies, at country level and
for particular fisheries, were elaborated within various
activities of the Fisheries Programme. National partners will
build on these activities to determine whether a regional
strategy will complement the national strategies, or whether
the necessary components are already covered at national
levels.
The Fisheries Programme worked with a consortium of
partners in developing conservation strategies for the giant
Mekong catfish. This included technical work in developing
models which might assist in indicating the conservation
status of the species, as well as the more practical aspects of
implementing a moratorium on fishing for the species in the
26
Mekong River Commission Annual Report 2006
Image: Canadian Space Agency
Information and Knowledge
Management Programme
The Information and Knowledge Management Programme is
For the past years, information and knowledge activities were
still under development and in 2006 activities related to
carried out within the framework of the TSD which
information and knowledge management were carried out
collaborated with all MRC programmes, and the four
under the Technical Support Division (TSD) of the MRCS.
Member Countries (e.g. through the Technical Assistance and
MRC is currently in the process of formulating the IKMP
Coordination Team, TACT) to further develop and implement
programme document in a consultation process and the
the MRC-Information System (MRC-IS).
programme document was approved in principle by the MRC
Council at its 13th Meeting held in December 2006.
The main outputs of the IKMP for 2006 are:
Component 1
The development objective of the Information and Knowledge
The Initial Draft of IKM Programme Proposal was drafted in
Management Programme is "to build a solid foundation of
June 2006 and then modified in the form of a Programme
data, information and knowledge products, systems and
Work Breakdown Structure in September 2006. This is served
services that supports the goals of the Mekong River
as an input for national consultation meetings with all MRC
Commission".
Member States organised in October 2006. The outcomes of
these meetings were incorporated into the new draft IKM
The Programme has five components:
Programme document discussed at the regional consultation
1. Programme Management.
meeting on 20-21 November 2006. All comments received
2. Hydro-meteorological Data
from regional meeting were incorporated into the updated
3. GIS and Databases.
programme document which was approved in principle by
4. Modelling.
the MRC Council at its 13th Meeting in December 2006.
5. Communications and Knowledge
Activities have progressed well. Recruitment of staff including
the programme coordinator has now been completed.
27
Component 2
The recruitment of project staff has commenced and the
The hydro-meteorological data collected from Member States
procurement of an international consulting firm is now in
up to 2004 are being processed. The Hydrological Yearbook
process. Project implementation started in September 2006.
for 2001-2002 in electronic version was disseminated to the
The Mekong-HYCOS project activities in 2007 will focus on
Member States in December 2005. The Hydrological
two phases; the inception phase and the construction and
Yearbook for 2003 was published in 2006 while that for
installation phase.
2004 is under consideration.
The technical cooperation with China under the Agreement
The Appropriate Hydrological Network Improvement Project
on the Provision of Hydrological Information of Lancang /
(AHNIP) was extended to August 2007 with funding from the
Mekong River in the Flood Season has progressed well. The
Australian Government. The new activities of AHNIP are (1)
information provided under the Agreement is reliable for the
interim replacement of field equipment and support of AHNIP
timely flood forecasting operations of the MRC Secretariat.
objectives; (2) development of the policy and strategy
The present Agreement is now under consideration for the
framework for the IKMP; and (3) formulation of the project
renewed Agreement in 2007.
design document for upgrade of the AHNIP Network and
integration with the Mekong-HYCOS Network.
Component 3
A new TSD archive repository has been set up to house
The equipment selection process for interim equipment
valuable archive materials such as aerial photographs, black
replacement was finalised in July 2006. The new water
and white aerographic negatives, backups of various
sensor produced by OTT Hydrometric was selected and
computer workstations, transparency and ink surveys/maps.
replacement of the current unreliable sensor at some field
The collection and supply of improved quality, quantity and
stations began in October 2006.
timely hydro-meteorological information to all programmes,
forecasting, monitoring, strengthening and consolidation of
The first draft policy and strategy framework for the IKMP was
the network and capacity involved is continuing in 2007.
developed and will be incorporated with the results of
national and regional consultations. This framework will be
Component 4
used to request for further assistance from the Australian
The Decision Support Framework (DSF) has been extensively
Government in improving the MRC Hydro-meteorological
used in the MRC programmes/activities, notably the Basin
Network.
Development Plan, Integrated Basin Flow Management
activities, and the Flood Management and Mitigation
The MOU for management and operation of the AHNIP
Programme with intensive support of the TSD Modelling
Network for the period of 1 April 2006 to 31 December
Team. In parallel, other activities relating to the DSF
2006 was renewed. The MOU outlines in detail the roles and
enhancement and modelling capacity building were also
responsibilities of the MRCS, NMCs and concerned line
carried-out by the Team. Decision Support Framework
agencies, and the provision of funds to the line agencies for
modelling and knowledge base enhancements have been
operation and maintenance of the AHNIP network, as a
realised.
consequence the operation of the AHNIP network has been
improved. Accurate and reliable data from 15-17 AHNIP
Component 5
stations are now being sent to the MRC Secretariat and
The MRC-IS Portal was completed in December 2005 and
delivered to the users every morning. It is expected that after
launched in-house at MRCS in January 2006. The portal
replacing the sensor, all AHNIP stations will operate properly.
includes key information services such as interactive maps,
and a geographically enabled metadata explorer with
The Mekong-HYCOS project was approved and has been
metadata for spatial datasets. The Document Management
funded by French development bank AFD. The main objective
System is a part of the MRC-IS Portal. It is designed to
of this regional hydrological cycle observing system which has
improve sharing of and access to documents and provide
been developed in partnership with the World Meteorological
fully controlled access to wide range of documents. A
Organisation (WMO), is establishing a basin wide
proposal to enable external access to the MRC-IS Portal has
hydrometeorological information system, which spatially
been prepared and funds are being sought. An automated
covers the mainstream and main tributaries of the Mekong
library system, the Electronic Library on Web (ELIB) has been
river system. It is expected that under the Mekong-HYCOS
implemented at the MRCS Documentation Centre. ELIB
project, more than 20 hydro-meteorological stations will be
provides data entry work forms for all types of materials,
upgraded. The Mekong-HYCOS system will be integrated
including books, CDs, articles, maps, computer files, audio
into the existing MRC monitoring system, while improving the
visual material, and mixed formats. The database can be
national hydrological networks and river
accessed through the MRC portal.
monitoring/forecasting capacities.
The IKMP is funded by xxxx
28
Mekong River Commission Annual Report 2006
Integrated Capacity Building
Programme
In order to ensure sustainable development, utilisation,
There are three components in the ICB:
conservation and management of the Mekong River Basin
Integrated Training Component.
water and related resources there is a need to ensure
Junior Riparian Professional Project (Phase 2).
availability of expertise at regional and national levels as well
Gender Mainstreaming in Water and Related Resources
as the capability of the MRC to carry out activities in
Development in the Lower Mekong Basin.
advocacy and communication with stakeholders.
Integrated Training Component
The overall objective of the Integrated Capacity Building
The objectives of this component are (i) to raise the level of
Programme is to improve the capacity of the MRC to
competence among MRC staff and staff in the riparian
implement its Mission, and play a leading role in
Governments in integrated river basin planning (IRBP), and
coordinating the development and use of the basin's water
(ii) to consolidate MRC's training activities and allow for both
resources. It aims to develop the technical, institutional and
specific and cross programme training in issues of identified
legal water resources management capacity and expertise at
priority for integrated river basin management in the Mekong
local, national, and regional levels. It also aims to promote
Region.
gender awareness and ensure there is capacity to implement
gender responsive organisational structures.
In 2006 the programme completed its training programme
for MRCS staff funded by OEB under the MRC staff training
It will achieve this through a systematic, modular training
project.
programme. The future pool of expertise available within the
region is being broadened through on-the-job training of
Junior Riparian Professional Project (Phase 2)
young professionals to work at the MRC Secretariat.
The Junior Riparian Professional (JRP) Project phase 1 (2002-
2006) completed its activities in June 2006 while the
29
agreement officially ended in December 2006. The objective
of this component is to provide training and hands-on
experience to young riparian professionals in the areas of
Integrated Water Resources Management.
The final three JRPs completed two years of training in June
2006. This training included programme planning and
implementation, data collection and analysis, and results-
oriented monitoring, as well as other training activities
outlined in the individual training plan. They also attended
short courses offered by the MRC Secretariat which were
adapted to individual and programme needs and had the
opportunity to participate in different technical fieldwork
training, mainly at the four riparian countries and in the
region.
Two former JRPs are now working with MRCS in consultancy
roles and one is working at the Regional Flood Management
The Gender Mainstreaming Project Phase II, which is funded
and Mitigation Centre as an assistant hydrologist, while the
by NZAID for a three year period (2004-2007)has been
others have taken up new assignments with their respective
extended to December 2008.
governments or Line Agencies.
Activities of the Gender Mainstreaming Project included the
The JRP project was funded by the Government of Sweden
establishment of the MRCS Gender In-house Network, re-
and the United Nations Development Programme.
activation of the gender network in four riparian countries,
and revision of the project work plan. In 2006, the project
A new project document for the JRP Project Phase 2 was
carried out national workshops in four MRC member
formulated in early 2006 and sent to the donor community
countries on Gender Mainstreaming in Water and Related
to seek funding. This project will involve the training of 48
Resources Development in the Lower Mekong Basin and
promising young professionals.
conducted several in-house talks on gender issues and the
MRC Secretariat.
Gender Mainstreaming in Water and Related
Resources Development in the Lower Mekong Basin
In 2007 the project will continue to conduct gender
Project
awareness and sensitivity and gender mainstreaming in
The project facilitates the institutionalisation and effective
project cycle management training and will provide data and
implementation of MRC Gender Policy and Strategy. It is
information to personnel of NMCs, Line Agencies and the
specifically implementing all six components of the MRC
MRC Secretariat. It will improve MRC capacity in planning,
Gender Strategy:
executing, monitoring and evaluating gender responsive
water and related resources development programmes and it
1. Application of gender sensitive policies
will provide necessary tools for implementing gender
responsive development practices. The project will also
2. Obtaining commitment and support of top level MRC
conduct basinwide workshops on gender mainstreaming in
officials and managers
water resources development in the Lower Mekong Basin.
3. Creation of gender awareness in organisational
culture
4. Capacity building in gender and development
5. Institutionalisation of gender responsive organisational
structures and procedures and
6. Provision of necessary tools for implementing gender
responsive development practices.
30
Mekong River Commission Annual Report 2006
Programmes in development
The Mekong River Commission is constantly expanding its
strategies of all the Mekong countries and the MRC believes
programme work in order to meet the needs of the Member
that successful development of the region's hydropower
States and is now in the process of developing several new
potential will require a well structured and integrated
programmes in response to country requests.
programme founded on a basin-wide strategy, with due
regard to environmental and social aspects.
In 2006 Council approved the development of two new
programmes: the Drought Management Programme and the
The MRC's Hydropower Strategy, calls for development of the
Information and Knowledge Management Programme
hydropower resources of the Mekong according to true least-
(IKMP). The IKMP encompasses all current data management
cost planning, fully considering environmental and social
work as well as the new Mekong-HYCOS project and the
impacts. It also sets as its objective that:
MRCS IS-portal. As it is partly in operation already, the IKMP
is more fully described in an earlier section of this report.
"The increasing demand for affordable electric energy in the
MRC Member Countries is met with minimal negative
The Hydropower Programme was approved by Council in
impacts on the environment and local people, thereby
2005 and is seeking funding for full implementation.
promoting economic growth for the countries' mutual
benefit".
Hydropower Programme
The total hydropower potential of the Mekong river system is
To date the Hydropower Programme has had very limited
estimated at 17,000 MW for the tributaries and 13,000 MW
resources at its disposal. Therefore, a wider Hydropower
for the mainstream. Only 4,450 MW has been developed to
Programme has been under formulation at the MRCS. A
date (1,600 MW in the LMB; 2850MW in the Upper Basin).
programme document defining programme objectives,
structure, outputs etc, will be produced in 2007 and funds
Demand in the LMB is expected to grow fast over the next 20
are being sought for this.
years, and there are substantial opportunities for trading of
power between the countries in the region.
Under the Hydropower Programme best options in the Lower
Mekong Basin for sustainable development in the
Hydropower options are included in the power development
hydropower sector will be identified. At the basin-wide level
31
MRC will facilitate cooperation among Line Agencies to
from the natural variability of the regional climate, and to be
promote proper planning and development of hydropower as
able to distinguish these from impacts of resource
well as monitoring of impacts and mitigation measures.
developments and interventions.
Participation of stakeholders and coordination with national
In 2007 the MRCS will develop a comprehensive programme
authorities and international organisations in the formulation
proposal, as well as trying to raise the funds to support the
of development initiatives will be ensured and activities will
programme. The Drought Management concept will build on
be strongly linked to the BDP.
ongoing conceptual work of the WUP and will be closely
coordinated with irrigation sector and water use efficiency
work of the MRC.
Drought Management Programme
Drought management is a critical issue for the people of the
Basin as nearly 75% of the region's population is employed
in agriculture, fisheries and forestry. Agricultural production is
a significant contributor to and driver of economic growth in
the riparian countries, and there is a need for sufficient water
to meet these needs.
Availability of water however varies greatly both spatially and
over time due to the natural long dry season, unnatural
droughts, and lack of irrigation systems.
The Drought Management Programme will address the
problem of droughts in the Lower Mekong Basin, their
impacts upon agriculture and water resources and what
management plans and mitigation policies might be put in
place.
The Drought Management Programme will have strong links
with the Flood Management and Mitigation Programme and
with projects such as the irrigation and water use efficiency
activities under the AIFP programme. It will also benefit from
strong links with the Water Utilisation Programme.
Development of the programme proposal will be based on a
study on Drought Forecasting and Management carried out
in 2005 by the MRCS whose main objective was to enable
identification of deficient hydrological conditions resulting
32
Mekong River Commission Annual Report 2006
2006 Corporate highlights
Planning for sustainable development
development of the water resources within the Mekong River
Basin and on integrated basin flow management. It also
The MRC Joint Committee
hosted a session focusing on the MRC Strategic Plan 2006-
endorsed the final draft of the
2010. This session provided the MRC with extensive feedback
Strategic Plan 2006-2010 at its
to this plan. This is the second time the MRC has sought to
24th meeting in Vientiane on 29-
involve stakeholders in its decision-making process for the
30 August, 2006.
sustainable development of water and related resources in
the Mekong River Basin in the context of its strategic planning
The Strategic Plan has an overall
process. The first meeting was in August 2005 and the MRC
goal aimed at supporting our
plans to continue this process on a regular basis.
member countries to make "More
effective use of the Mekong's
Warmer relationships with Dialogue Partners
water and related resources to
Over the past year MRC's relationship with China and
alleviate poverty while protecting
Myanmar has strengthened. MRC is now poised to move
the environment" and sets the
toward more concrete technical cooperation within its
path for the MRC's work for the
established dialogue partnership and is in the process of
next five years. In order to guarantee strong country
discussing and identifying a number of possible work areas,
ownership the Strategic Plan went through an extensive
particularly with China.
consultation process with the Member States and
stakeholders in the basin and demonstrates a strong shared
In January 2006 the MRC Secretariat commenced supplying
vision of the need for a regional perspective in development.
China with monthly flow data from hydrological stations in
Chiang Saen, Thailand and Stung Treng, Cambodia.
Because MRC wanted this plan to be as inclusive as possible
it also took on board comments from donors and from
The MRC in close cooperation with China has made good
members of civil society. The MRC now has a very good
progress under the AusAID-funded Appropriate Hydrological
consensus to support its work over the next five years. A full
Network Improvement Project (AHNIP) in the improvement of
summary of the main goals of the Strategic Plan 2006-2010
the two hydrological stations at Jinghong and Man'An, and
is on page 10.
the establishment of the Data Centre at the Provincial Bureau
of Hydrology and Water Resources in Kunming, People's
Increased involvement with stakeholders
Republic of China. In June 2006 the MRC organised a
technical mission to these stations to make necessary
Representatives from the Mekong River Commission played
an active role in a regional stakeholder forum entitled the
Mekong Region Waters Dialogue Exploring Water Futures
Together, held in Vientiane, Lao PDR in June 2006.
The aim of the dialogue meeting was to provide a platform
for participants to learn, share and discuss different
perspectives regarding decision-making for water
development and management in the Mekong Region. The
MRC welcomed this opportunity to both inform stakeholders
in the Mekong Basin about its work and seek their opinions
on how it could work more through active discussion.
The dialogue, which was organised by the IUCN, the
Thailand Environment Institute, the International Water
Management Institute (IWMI) and the Mekong Programme on
Water and Resilience (M-Power) was the first of its kind in the
region to bring together representatives from governments,
international organisations and development banks, civil
society, NGOs, private business and other interested actors
from the six Mekong countries (Cambodia, Lao PDR,
Thailand, Viet Nam, China and Myanmar).
China's Minister of Water Resources H.E. Mr Wang Schuheng chats
MRC made presentations on its regional strategy for use and
with Dr Cogels at the 4th World Water Forum in Mexico City.
33
arrangements for the provision of data for the flood season
in the Mekong River Basin, the Mekong Programme,
2006 and to consolidate the capacity of local technical staff
Regional Economic Integration through Improved Mekong
in using automatic equipment provided by MRC. As a result,
Navigation; and Satellite Observations with Regard to
the supply of regular data commenced successfully from 15
Floods.
June 2006 onward.
MRCS CEO Dr Olivier Cogels was also present at the
Strengthening Partnerships in the Basin
Ministerial Meeting to inaugurate the Asia Pacific Water
The MRC has strengthened its partnerships with development
Forum and took this occasion to explain the role MRC played
banks working in the region, such as the World Bank, the
as a river basin organisation in the region and the
Asian Development Bank, French Development Bank AFD
importance of transboundary issue management.
and KfW German Development Bank and also formed a new
relationship with the Japan Bank for International
The forum represented an excellent chance for MRC to
Cooperation. The MRC has been heavily involved in the
promote its work and for delegates to meet others working in
preparation of the water resources programme being
river basin organisations or involved in water management
developed by the World Bank and the ADB in close
from all over the globe, to interact with senior members of
consultation with the country governments, the MRC and civil
society and using MRC data and expertise.
These partnerships reaffirm the recognition of the role of the
MRC as a leader in strategic planning and management of
the basin's water and related resources and an organisation
ideally placed to identify important joint and basin wide
projects and programmes, while supporting line agencies
with knowledge and expertise.
Co-hhosting international conferences
During 2006 MRC also co-hosted two important
international conferences.
The first, hosted with Japanese research groups, An
International Conference on Mekong Research for the People
of the Mekong was held in October in Chiang Rai, Thailand.
At this conference, Mekong research groups met to discuss
The MRC's booth at the 4th World Water Forum drew much interest.
the common agenda from different perspectives, focusing on
governments and to cement good relationships with our
the people of the Mekong River Basin. Themes of the
donor countries and international organisations who are
conference were: Water Resources Development, Food and
interested in working in partnership with MRC. It also
Environmental Impacts; Climate and Basin Changes and
provided an informal opportunity to meet with representatives
Water Hazards Management; Eco System and Biodiversity;
from MRC's Dialogue Partner, China. The booth illustrating
and Future Opportunities and Transboundary Collaboration.
the work of the MRC and the Mekong Programme drew a
wide range of international visitors.
The second conference the International Conference on
Water and Food, held in November in Vientiane, Lao PDR,
Time for an organisational review
was co-hosted with the Challenge Programme on Water and
Food and brought together more than 250 water experts
In late 2006 an organisational review team spent two months
from nine river basins around the world. It focused on
examining the structural, management and financial workings
research achievements in the field of water productivity in
of the MRC, its Secretariat and the National Mekong
agriculture and recommended areas for research as well as
Committees. The team comprising eight regional and
showing how water productive research results could be
international experts visited all the countries and spoke to a
better translated into positive developments.
broad spectrum of representatives of all these bodies and
then presented their findings at the 13th Council Meeting in
MRC makes mark at 4th World Water Forum
Ho Chi Minh City in December 2006. The review was
financed by the Governments of Australia, Denmark, France
A delegation from MRC participated in the 4th World Water
and Sweden. The report expressed a positive view of the
Forum held in Mexico City in March 2006 and in the
MRCS and its operations and also provided some very useful
accompanying World Water Fair. The MRC made
recommendations on enhancing efficiences.
presentations on the Hydropower Potential and Development
34
Mekong River Commission Annual Report 2006
BDP2 the plan goes forward
The next decade will bring many challenges to the basin and
projects and programmes and to seek assistance for
its people. As the population grows there will be increased
implementation at basin level, with a balanced and equal
pressure on the basin's economic resources and it will be
consideration of the environmental, social and economic
essential to make better and more efficient use of the basin's
aspects.
water and related resources to meet development needs.
MRC anticipates a stream of projects will be identified and
However joint planning of these developments at basin scale
promoted for implementation by line agencies, national
is crucial if they are to be well-balanced and sustainable and
authorities and other relevant service providers and
this is where the MRC, through its Basin Development Plan is
implementing agencies. This will be achieved in close
planning to play a leading role in the region. Now entering
partnership with the international donor community and
its second phase (BDP2) the programme will focus on the
development banks.
consolidation of its planning capacity and on its use for
planning development solutions, concentrating mainly on
The mechanisms, tools and criteria developed under Phase 1
projects with transboundary impact and fostering regional
will be used to ensure long-term sustainability of all planned
cooperation in the water resources sectors.
developments. Special attention will be paid to financial and
institutional sustainability of a selected undertaking.
In its first phase, the BDP focused on the building of a
participatory process for assessing priority needs and
BDP Phase 1 laid some groundwork on institutional
development issues, including trans-boundary issues. This
framework and legal basis for national integrated water
planning will now be used as a blueprint to identify,
resources development. These initial analyses will be
categorise and prioritise the projects and programmes to
enhanced further under BDP2 and lead MRC to a thorough
seek assistance for and to implement the plan at basin level.
understanding of the national medium and long-term
In the current terminology, the plan is an Integrated Water
strategies of the member countries and their implications for
Resources Management (IWRM) and Development Plan.
the river basin, which will allow a more pro-active
engagement of MRC in relevant matters.
BDP2 will play a strong promotional and facilitating role for
a wide range of projects to be implemented by national
Planning capacity and tools will be further consolidated. The
authorities and suitable regional service providers and
role of the Geographical Information System (GIS) as central
implementing partners.
planning tool will be enhanced and the integration between
One of the main tasks under BDP2 is to identify these
data acquisition, data management, GIS and modelling will
Regional IWRM
Support Programme
Supporting Regional Cooperation for Sustainable Development of
Water and Related Resources in the Mekong River Basin
Basin Development Planning
Environment
i
on
r
y
est
i
t
i
gat
e
nt
M
For
Information and
m
Knowledge Management
and
i
o
n
i
e
s
ism
e
nt
a
nage
gat
M
opower
r
i
g
a
t
i
on &
sher
Integrated
Tour
gem
Fi
ght
Navi
Hydr
Capacity Building
e, Ir
a
na
ou
ur
M
Dr
i
cult
Water Utilization
Flood
Agr
35
Interlinkages with other MRC Programmes & Divisions
IWRM s
ials for
t
Mater
Water Utilisation
rategy
in
&
vestment pla
publication &
Communications
Programme
n
ination
dissem
Division
BDP Programme
Water use rules
Phase II
ty
Publici
ity
bil
Strateg
pa
y
ntenance
and
ling ca
mai
t
da
Model KB
ta,
ent
Devel
ta
in
inv
te
& suppor
, da
nm
e
r
o
v
pmen
GIS and
s
e
t
t
ort
es
ro
mentn
i
ti
work for
v
t
ons &
Fisheries
Hydropower
t
ment
m
suppo
supp
s
Frameical
e
v
tco
En
r
suppor
t
techn
ou
e of
at
Technical
ESD in
IBFM
St
Support Division
Navigation
Tourism
Flood
Agriculture,
Environment
management
Irrigation,
Programme
& mitigation
& Forestry
be strengthened. To formulate the plan at basin scale,
information sharing and joint analysis is required in each
BDP GIS
sector, involving the line agencies of the four member
countries and, as far as possible, the two upstream countries
An integrated mapping and analysis system based on sound
China and Myanmar. This central planning tool together
scientific data and knowledge
with the Decision Support Framework (DSF) will also be
Forest types
Needs
used to support decision-making and IWRM at national level
in the member countries.
Towns
Problems
The MRC Secretariat will be able to provide on-demand
River network
specific information, feasibility studies, impacts assessments
Solutions
Inundation
and other technical services to the Member States.
BDP2 will substantially improve the network between line
Irrigation
agencies, provincial authorities, river basin committees or
Development options
organisations and non-government organisations and
Provinces
concerned communities necessary for smooth facilitation and
promotion of significant and larger scale development
interventions.
Under BDP2 MRC sees a stronger orientation towards the
activities undertaken by other organisations and agencies in
As the BDP is strongly linked to all other MRC programmes
the Mekong River Basin taking place and it envisages a close
through the MRC's integrated programme structure, the BDP
interaction with other IWRM actors in the Mekong River Basin
process will used acquired knowledge from within the other
both on national and regional level.
MRC programmes and build up an overall perspective of
what the development needs are. This process will also be
The IWRM Strategy prepared during Phase 1 will be revised
able to identify "knowledge gaps", which can help set the
periodically, to reflect new knowledge and new development
agendas of the programmes and will contribute to MRC's
needs and priorities.
overall role in promotion of water-related sustainable
development, knowledge base development, capacity
building and regional cooperation.
36
Mekong River Commission Annual Report 2006
IBFM puts triple bottom line
assessment into practice
Wherever there is water there are people wanting to use it for
their benefit. This is natural state of affairs and in this respect
the Lower Mekong Basin is no different to any other river
basin in the world. What is different is that the water
resources of the Mekong are largely untapped and that the
ecological health of the river is still robust. This provides the
member countries of the MRC with an opportunity to plan
development guided by the positive and negative experiences
of countries that have developed their water resources to a
greater extent.
The countries of the Mekong River Basin have put sustainable
development of the Mekong's water and related resources at
the top of their economic agendas if they are to achieve their
poverty alleviation goals, but they realise that this involves
making trade-offs between the demands of competing
sectors. These trade-offs could include between fisheries and
hydropower, between the modifications to the natural flow of
the river and the natural environment; between nations that
share a common river basin.
The tools being developed under MRC's Integrated Basin
Flow Management (IBFM) initiative aim to provide policy
makers and development planners from the riparian
countries with information that will enable them to make
decisions about water resource development in the light of
the full spectrum of the benefits and costs these
developments will bring to their people.
One lesson learned from past experiences is that while the
benefits brought by developments are tangible in terms of
factors such as revenue, increased food production, provision
Core samples of soils are used as models of riverside stability.
of electricity, improved navigation, and flood mitigation, the
costs that are taken into account are often limited to the
capital and operational costs of particular projects.
place in the culture and society of the people who live in
the basin; and
However, other impacts, such as possible damage to
(ii) the ability to model, through computer simulations,
fisheries, wetlands, and the ecological health of the river
how developments will modify the hydrology and
system and consequent impacts of people living by the river,
hydraulics the of river basin and predict how these will in
were not taken into account fully. This was partly because
turn impact the physical, biological and social
these can occur at some distance from the development site
characteristics of the system.
and partly because their manifestations can take years to
come into effect.
The early stages of IBFM, therefore, involved building this
knowledge base and developing the computer software that
The IBFM tool, taking these experiences into account, will
could model the complexities of the flow in the Mekong River
provide a "triple bottom line" environmental, economic and
system and make accurate predictions of changes to the flow
social-assessment of the effects of future development
that could result from human interventions to the system.
projects. It captures the body of knowledge and experience
accrued over the past four decades by scientists working the
Because understanding the flow of the river (what volumes of
water-resource development field around the world to build a
water move where and when) lies at the core of IBFM, the
predictive method designed specifically for the particular
first step was to provide a detailed description of hydrology
circumstances of the Lower Mekong Basin.
of the basin that was understood and agreed by all the MRC
Member States. This work, which was funded by the World
The analysis is based on two factors;
Bank, was completed in 2004 and made available to the
(i) a deep understanding of the river system, the resources
general public through the MRC publication, Overview of the
it currently provides, the livelihoods it supports, and its
Hydrology of the Mekong Basin.
37
A key element of this part of the work was continuous
dialogue between the IBFM development team and various
interested agencies, including the National Mekong
Committees and other experts from the region. A series of
stakeholder consultations will ensure that their invaluable
experience is incorporated into the process and that their
recommendations are taken into account the planning of the
next stages of IBFM.
The work up to 2006 provided the raw ingredients needed to
develop an IBFM methodology applicable to the Mekong.
The next step is to take these ingredients and the feedback
received from the other concerned bodies to develop a
predictive tool. This will build on and refine the technical
knowledge gained so far and, through models and expert
tools, develop the "Mekong Method" for flow assessment.
Results were analysed in a workshop held at the MRC Secretariat.
The MRC will then be then ready to analyse the impacts (both
positive and negative) of agreed water resources
Building the knowledge base of the river, involves a multi-
development scenarios developed under the Basin
disciplinary team that included hydrologists, botanists,
Development Plan phase 2 which are of interest to the
geomorphologists, biologists, sociologists, and economists.
member countries.
Their work was initiated in 2005. The comprehensive analysis
not only includes details of the geomorphology, ecology and
the current human uses of the river, it also defines those
factors that are indicative, or susceptible, to changing flows.
This 'holistic' approach brought together the ecological,
economic and social aspects of development. It also brought
Water Resource Development
to light the complex manner in which the physical character
Scenario
Hydropower - Irrigation - Navigation - Tourism
and biological character of the basin are closely interlinked
and how they, in turn, interact with the livelihoods and way of
Modelled
Flow Changes
life of the basin's inhabitants.
Assess changes to the river on
Evaluate economic potential of
One of the early products of the IBFM research was a greater
appreciation of the factors that control the natural variability
Natural Resources
Macroeconomics
and Livelihoods
of the Mekong, both in terms of the annual seasonal flux of
Local socio-economic and
National economies
the wet and dry seasons and the river's ephemeral physical
environmental conditions
features such as floodplains, channels, sand bars and
Imapcts on local socio-economic
Economic benefits of development
and environmental conditions
islands. Understanding this natural variability provides a
framework against which to set changes that may occur to
the river system stemming from human interventions.
Triple Bottom Line
For example, analysis of historical records of the annual
Economic - Social - Enivronmental
flood volume and the size of annual flood peak shows that
Benefits & Consequences
the magnitude of the annual flood-recession cycle has been
remarkably consistent showing little variation since records
were first taken over 80 years ago. Increasing or decreasing
this variability could cause the character of the river to
change.
38
Mekong River Commission Annual Report 2006
Opening up the
great Mekong highway
The new navigation agreements wil facilitate cross border procedures in places such as the Viet Nam-C
Cambodia border.
The Mekong River has always been the people's highway. A
As shippers cannot provide a reliable service, container
vital artery linking six countries, it has been used as a prime
transport is only undertaken by a few companies.
source of transport since people first settled in the Mekong
River Basin, but the real potential of commercial shipping has
Although the research and statistical figures clearly show that
rarely been used.
moving goods and people along the waterways is more
economical and more environmentally friendly, it is not
There have always been risks with navigating the river and
always possible for those who wish to use this type of
today, with larger, more powerful, craft plying the river, the
transport to make the most of their waterways.
risks are even greater.
The Mekong River Commission's Navigation Programme
Natural hazards like rocks and rapids can only be negotiated
(NAP) is working to change this state of affairs. In November
by those who are familiar with the river. Often these skills are
2006 the newly operational programme commenced a
passed down through the generations so in some regions
project to increase the efficiency of domestic and cross-
only a handful of skilled skippers have intimate knowledge of
border waterborne transport in the LMB by improving the
shallows, sandbars, whirlpools and rapids and even the most
navigation conditions on the Mekong River in the Delta
experienced sailors do not travel at night. The result is that
between Phnom Penh, Cambodia and the border with Viet
the economic potential of the river is being seriously under
Nam by the installation of a system of aids to navigation.
exploited.
These buoys, beacons and shore marks, will facilitate river
traffic for inland traffic between Cambodia and Viet Nam
In Cambodia exporters who could save money and ship
and for sea going vessels between overseas ports and
more goods (particularly garments from the flourishing
Cambodia and Viet Nam.
garment industry) from Phnom Penh to the deep sea ports in
Viet Nam, or directly to the mother ports such as Hong Kong
The "Procurement, Installation and Training on Aids to
and Singapore, are halted in their tracks by only being able
Navigation on the Mekong River between the Phnom Penh
to sail during the day.
Port and the Cambodia-Viet Nam border" project will
provide, for the first time, a full day and night system of
39
channel markers on the busiest stretch of the Mekong river in
in the water-based operations (surveys and installation). The
Cambodia.
Cambodia National Mekong Committee will act as the
Coordinating Agency within Cambodia, while the MRC has
The installation of this internationally recognised system of
overall responsibility over the project.
aids to navigation such as buoys, beacons and shore marks,
aims to improve safety and efficiency of navigation so that
This project will form a basis for new commitments and closer
sea-going vessels and inland barges can navigate for 24
cooperation between Cambodia and Viet Nam to aim for
hours per day in a safe way. As this will increase possible
improvement of international navigation on the Mekong
sailing time by 11 hours, it will allow for a rapid increase in
estuarine system between the sea and Phnom Penh, and
trade from Cambodia. Previous experiences have shown that
open up for more trade opportunities between Cambodia
installing proper navigational aids will boost traffic by 35 per
and Viet Nam.
cent and this increased trade will help the country meet its
goals of alleviating poverty.
It will also make the Mekong a more reliable waterway and
therefore more attractive for regional and international
It will also increase safety on the river. The lack of aids to
traders, freight forwarders, investors and shipping agencies to
navigation is the main cause of various accidents from
use it as a gateway to the larger Mekong Region.
collisions, ships running aground, and risks for pollution,
threatening the ecosystem of the river. Prevention of
MRC is also considering improving the navigation conditions
accidents is a high priority for the MRC for simple reason that
on the Upper Mekong River in the Lao PDR and Thailand
millions of riparians depend largely on the resources of the
between Luang Prabang and Vientiane by possible
Mekong for drinking water, to support aquatic life and for
installation of aids to navigation which would facilitate river
irrigation and a polluting accident poses a serious threat to
traffic in Lao PDR, and between Lao PDR and Thailand.
their livelihoods.
In line with these physical works, MRC is also working on the
As the quality of waterborne transport improves, the waiting
legal aspects by facilitating a navigation protocol for cross
times will be shortened, night navigation will be possible, and
border transportation between Cambodia and Viet Nam.
river transportation will be more cost-effective and efficient. In
Implementation of such a protocol will abolish all non-
turn, shipping forwarders and insurance fees will become
physical obstructions and also boost confidence for investors.
less.
The 12-month project is being implemented by the Australian
Maritime System Ltd (AMS) in cooperation with Phnom Penh
Autonomous Port (PPAP) and the Waterways Department
(WD) of the Ministry of Public Works and Transport. PPAP will
be involved in the land-based operations (installation of land-
based markers, storing and handling the buoys), and the WD
Two of the types of buoys being instal ed between Phnom Penh and the Viet Nam border.
40
Mekong River Commission Annual Report 2006
Finance and Administration
MRC has continued its stringent budgeting rules and
maintained a surplus in the Operating Expenses Budget. It
is expected that in 2007 the accumulated reserve will be at
its set target of US$ 500,000 providing MRC with a safety
cushion of three months of funding of its basic services.
In May 2006 the MRCS headquarters building in Vientiane
was seriously damaged by a storm but luckily without
causing any personal harm. All operational activities were
restored within three days and all damage has been
repaired since.
FAS has continued its effort to increase transparency. The
audit reports and briefing notes on income and
expenditures have been made available to the general
public via our website. All administrative manuals have
been finalised and all staff have now at their disposal a
comprehensive set of manuals covering all programme and
administrative management issues.
2006 has been a busy year for FAS with much recruitment.
The MRCS staff has grown by 12%. MRCS has continued
to hire new staff in particular for the Flood Management
and Mitigation Centre in Phnom Penh.
Number of staff at the end of the year
2005
2006
General support Staff
63
70
Riparian professional Staff
38
43
A freak storm caused substantial damage to the Secretariat
(above) but now al is fixed and back to normal (below).
International Staff
14
16
Total
115
129
41
International Cooperation and
Communication
International Cooperation and Communication functions of
preparation of reports along with guidelines to programmes
the MRC covers:
to standardise presentation and structure.
Donor liaison
Governance meetings
Regular meetings in 2006 included the 23rd and 24th
Policy development
Meetings of the MRC Joint Committee in Savannakhet and
External communications
Vientiane, Lao PDR respectively, the Informal Donor Meeting
held in Vientiane, and the 13th Meeting of the MRC Council
Donor liaison includes fundraising activities, negotiation of
and the Donor Consultative Group Meeting in Ho Chi Minh
new agreements, monitoring and amendments.
City, Viet Nam.
In 2006, policy dialogue between the MRC and its donor
Other outputs in 2006 included an expansion of the MRC's
community was enhanced with the involvement of donors in
liaison activities with civil society and promotion of better
the development of the MRC Strategic Plan 2006-2010. This
coordination amongst programmes involved in managing
has substantially improved the end product. Stronger links to
transboundary issues. This will aid in monitoring
regional initiatives such as the Asian Development Bank's
implementation of the Strategic Plan 2006-2010.
Greater Mekong Subregion initiative, the World Bank's
Mekong Water Resources Partnership Programme, ASEAN,
Awareness of the work and achievements of the MRC was
and the general donor community are key objectives for this
raised through the production of the quarterly MRC
Strategic Plan and this was initiated in 2006.
newsletter, an MRC Annual Report, as well as the production
of many technical reports and information products for the
Several fundraising missions were undertaken by the MRCS
MRC programmes and the distribution of news releases
Chief Executive Officer including those to Japan and Europe
about important events. Participation in regional training
and a comprehensive fund raising document, summarising
workshops for journalists from the six Mekong countries and
funding needs for all MRC programmes and projects for the
the fostering of a healthy relationship with the regional
period 2006-2010 was produced to aid fundraising.
media, have added to this
In 2006 the MRC concluded several major funding
Public awareness raising included representation of the
agreements which are illustrated on the chart on page 43.
MRC's work at several international forums and conferences,
including the 4th World Water Forum in Mexico City as well
The reporting system has been improved with a continuously
as at Joint Committee, Council and Donor Meetings. A
updated overview of agreements under discussion,
redesigned MRC website www.mrcmekong.org featuring an
agreements and amendments recently concluded and other
educational sector - Mekong from Space - was launched in
fund-raising activities. A reporting schedule system was
early 2006 and this website has been enhanced on a regular
launched as a support tool for the programmes to improve
basis.
MRC undertook a fundraising mission to Japan.
Donors met regularly to exchange views.
42
Mekong River Commission Annual Report 2006
Funding Signed in 2006
Donor
Amount US$
Australia
155,000
Belgium
4,800,000
CPWF
198,000
Denmark
9,000,000
Finland
207,000
France
4,000,000
Germany
5,200,000
Japan
352,000
Total
23,912,000
Firm Pledging received in 2006
Donor
Amount US$
ADB
75,000
Australia
4,700,000
Belgium
3,900,000
European Commission
440,000
Finland
8,750,000
Germany
800,000
Japan
800,000
Sweden
6,420,000
Total
25,885,000
43
Mekong River Commission Annual Report 2006
Income and Expenditure in 2006
%
2006
2005
Contributions
USD
USD
Donors
89.5
10,925,732
13,754,662
Riparian governments
9.5
1,157,253
1,078,332
Others
0.9
106,935
12,189,920
14,832,994
Revenue
Interest
0.1
7,207
13,883
Miscellaneous
0.1
10,323
11.876
17,530
25,759
Total Income
100
12,207,450
14,858,753
Expenditure
Project expenditure
Personnel services
41.4
5,370,859
5,888,778
Sub-contracts
7.4
956,229
539,478
Training
8.2
1,064,668
1,106,553
Equipment
4.2
550,812
834,765
Miscellaneous expenses
6.0
774,183
632,513
Water Utilisation Project
16.8
2,179,932
2,126,540
10,896,683
11,128,627
Relocation project
Secretariat relocation expenditure
0.0
0
14,984
Administrative expenditure
Staff salary and fees
5.7
745,111
671,086
Common staff costs
3.2
412,726
402,500
Travel
0.2
19,668
22,047
Contractual services
1.2
157,942
141,484
General operating expenses
2.1
276,558
180,726
Supplies
0.2
27,879
27,571
Furniture and equipment
0.5
66,022
70,290
MRC meeting expenses
1.3
168,548
146,489
Support to National Mekong Committees and programmes
0.3
44,901
54,605
WUP management support
1.1
147,978
167,198
2,067,333
1,883,996
Total Expenditure
100
12,964,016
13,027,607
Foreign exchange gain/(loss)
4,529
-33,290
Movement in Fund Balances
-7752,037
1,827,856
Fund Balances as at 1 January
8,975,300
7,147,444
Fund Balances as at 31 December
8,223,263
8,975,300
44
Mekong River Commission
P.O.Box 6101, 184 Fa Ngoum Road, Unit 18, Ban Sithane Neua,
Sikhottabong District, Vientiane Lao PDR
Telephone: (856) 21 263 263 Facsimile: (856) 21 263 264
E-m
mail: mrcs@mrcmekong.org
Website: www.mrcmekong.org