Report No. 595-IND FILE COPYAppraisal ofIrrigation Project VIIndonesiaMarch 6, 1975

East Asia and Pacific Projects Department

Not for Public Use

Document of the International Bank for Reconstruction and DevelopmentInternational Development Association

This report was prepared for official use only by the Bank Group. It may notbe published, quoted or cited without Bank Group authorization. The Bank Group doesnot accept responsibility for the accuracy or completeness of the report.

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CURRENCY EQUIVALENTS

US$1.00 = Rupiahs (Rp) 415Rp 100 - US$0.241Rp 1 million - US$2,409.64

WEIGHTS AND MEASURES - METRIC SYSTEM'

1 millimeter (mm) - 0.039 inches1 meter (m) = 39.37 inches1 kilometer (km) = 0.62 miles1 square kilometer (km2 ) - 0.386 square miles1 hectare (ha) = 2.47 acres1 cubic meter (i 3 ) = 35.31 cubic feet1 liter (1) - 0.264 gallons (USA)1 liter/second (1/sec) = 0.035 cubic feet per second1 kilogram (kg) = 2.2 pounds1 metric ton (ton) - 2,205 pounds

ABBREVIATIONS

BIMAS - A farm input package and credit programBRI - People's Bank of Indonesia (Bank Rakyat Indonesia)CRIA - The Central Research Institute for AgricultureDGWRD - Directorate General of Water Resources DevelopmentGOI - The Government of IndonesiaHYV - High yielding varietyINMAS - A program to encourage use of agricultural inputs outside BIMASIPEDA - Land tax based on potential productivityINPRES - A rural works programMOA - The Ministry of Agriculture0 & M - Operation and MaintenancePROSIDA - The organization within DGWRD responsible for World Bank

Group Irrigation Rehabilitation ProjectsSAE - Agro-Economic Survey Institute.

CONVERSION FACTORS FOR RICE

1 ton "dry stalk paddy" - 800 kg paddy ("paddy gabah")= 500 kg milled rice

1 ton paddy (gabah) - 630 kg milled rice

INDONESIA FISCAL YEAR

April 1 - March 31

INDONESIA

APPRAISAL OF

IRRIGATION PROJECT VI

TABLE OF CONTENTS

Page No.

SUMMARY AND CONCLUSIONS ............................... i - ii

I. INTRODUCTION ...................................

II. BACKGROUND ............................................. 1

The Economy ....... ............................... 1Agriculture ...................................... 2

Project Formulation ..... ......................... 2

III. THE PROJECT AREA ...................................... 4

General ......................... 4

Climate ......................... 4Soils and Topography ................... 4

Agricultural Production ................. 5 Population, Farm Size and Land Tenure ........... . 6

Agricultural Support Programs .............. 6

Storage, Processing and Marketing ............... . 7

Transportation ...................... 7

IV. THE PROJECT ........................................... 7

Project Works ...................... 8

Consulting Services ..... ......................... 10Feasibility Studies ............. .. ............... 10Water Supply, Demand and Quality ...... .. ......... 10

Implementation Schedule . . 11

Cost Estimates ... ................................ 11Financing .................... ................... 12Procurement ................... ................... 12

Disbursements .................. .................. 13

Accounts and Audits ............... ............... 13Environmental Effects ............ .. .............. 14

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Page No.

V. ORGANIZATION AND MANAGEMENT .......................... 14

Organization ............ i ..... .................. 14Technical Assistance ..... ....................... 15Training .................... .................... 16Agricultural Supporting Services ............. **. 16Cimanuk Soil Conservation Program .............. . 17Groundwater Investigation .......... .. ........... 17Monitoring Benefits ..... ....................... . 17Operation and Maintenance .......... .. ........... 17Recovery of Costs . ............ ..... . . . . ...... . 18

VI. PRODUCTION, MARKET PROSPECTS, PRICES AND FARMINCOME ............................................. 19

Production ................... ................... 19Market Prospects and Prices ..................... 19Farm Income ................... .................. 20

VII. BENEFITS AND JUSTIFICATION ........................... 22

VIII. RECOMMENDATIONS ...................................... 22

ANNEXES

1. Agricultural Production2. Agricultural Supporting Services3. The Project Works4. Consulting Services and Technical Assistance5. Water Supply and Requirements6. Cost Estimates7. Schedule of Expenditures and Disbursements8. Training9. Crop and Farm Budgets10. Economic Analysis

CHARTS

Opportunity Cost Curve for Farm Labor Chart 9303'Water Resources Organization - Chart 8963PROSIDA Management Organization - Chart 8965PROSIDA Sub-project Organization - Chart 8964Design and Construction Schedule - Cirebon - Chart 8960Design and Construction Schedule - Rentang - Chart 8961

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Design and Construction Schedule - SampeanBaru - Chart 8962

Cropping Pattern and Water Requirements -SampeanBaru - Chart 8966

MAPS

No.Location Map 3627R1Irrigation Project VI 10867Sampean Baru Irrigation System 11197

INDONESIA

APPRAISAL OF IRRIGATION PROJECT VI

SUMMARY AND CONCLUSIONS

i. The proposed project would continue the Bank's program of assistanceto irrigated agriculture in Indonesia. The project's main objectives are toincrease paddy production by rehabilitating existing irrigation systems, tobring a rainfed area under irrigation, to increase rural incomes and improveinstitutions by providing technical assistance and training. The project ison the priority list of the Government's Second Five Year Plan and at least80% of the project beneficiaries are in the lowest 40% income group.

ii. There are three main components in the proposed project: the re-habilitation of the existing irrigation systems in Cirebon area (89,000 ha);a new barrage and improved drainage facilities (33,000 ha) in Rentang Irri-gation System (92,000 ha), which was rehabilitated under Credit 127-IND; andcompletion of the irrigation system in Sampean Baru project area (9,800 ha).Rentang and Cirebon are located in West Java, while Sampean Baru is in EastJava. In addition to these works the project would include feasibilitystudies for future irrigation projects in Madiun and Cirebon areas; a soilerosion control program; training and technical assistance in agricultureand engineering; agro-economic monitoring studies for irrigation areas; andfinancing of final costs of groundwater investigations, started under Credit289-IND. Camps, offices, an Agricultural Development Center, Rural ExtensionCenters and operators houses are included, together with vehicles, equipment,communications and consulting services.

iii. The estimated cost of the proposed project is US$165 million. TheBank proposes to finance the foreign exchange component, which is estimatedto be US$65 million or about 40% of total cost.

iv. Rentang Barrage (US$13 million) and equipment and vehicles (US$3.5million) would be awarded after international competitive bidding in accord-ance with Bank guidelines. Contracts for the other civil works (US$54 mil-lion) which are widely scattered in space and time would be awarded afterlocal advertising. Consulting services, mapping, technical assistance andtraining would cost US$9.5 million. Contingencies amount to US$69 million,of which US$51 million are for anticipated price increases. Constructionis scheduled to take six years for all elements of the project. PROSIDA, aspecial unit within the Directorate General of Water Resources Development,which is successfully executing three IDA irrigation projects, would beresponsible for project implementation and the Ministry of Agriculturewould he responsible for administrating the agricultural support programun(der a special directorate.

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v. The economic rate of return was evaluated for each component andis 38% for the Cirebon irrigation rehabilitation; 44% for the Rentang Barrageand drainage facilities; and 18% for the Sampean Baru irrigation system.Some 365,000 farm families, made up of about 60% owners and 40% tenants wouldbenefit from the project. Following completion of the project, farm incomesfor average farmers on 0.5 ha would increase from US$65-125 to US$150-290,depending on whether they are owners or sharecroppers. For Sampean Baru thefarm income of average owner farmers on 0.5 ha would increase from US$30 toUS$300.

vi. The five on-going irrigation projects, being financed under IDACredits are progressing relatively well, but have been affected by inflation,causing delays in civil works and hence in project completion. A recentdetailed review, however, indicated that satisfactory rates of return wouldbe obtained taking into account delays, higher costs and benefits.

vii. The proposed project is suitable for a Bank loan of US$65 millionfor a term of 30 years, including six year grace. The borrower would bethe Republic of Indonesia.

I. INTRODUCTION

1.01 The Government of Indonesia (GOI) has requested a Bank Loan toassist in financing the rehabilitation of the Cirebon Irrigation Systems;construction of additional facilities for the Rentang Irrigation System,which would complement works in the area financed under Credit 127-IND; andconstruction of the Sampean Baru Irrigation System in East Java. Thiswould be the sixth Bank Group operation for promoting irrigation developmentin Indonesia; four of the preceding projects being for rehabilitation ofexisting systems and the fifth for the Jatiluhur Irrigation Extension Project(Map 3627R1).

1.02 Works on the First Irrigation Rehabilitation Project are complete,except for drainage improvements, and disbursements are almost complete. TheSecond Project - rehabilitation of Jatiluhur Irrigation system - has beendelayed by about two years, initially, due to problems with tender documentsand subsequently due to failure to replace the Authority's President-Director.These problems have now been solved, all contracts have been let and aPresident-Director has been appointed. Disbursements have been on schedulefor the last year. The Third Project is well advanced and will soon becomplete, except for drainage works in some areas. Disbursements, initiallyslow, have been on schedule for two years. In the Fourth Project, after aslow start, large numbers of civil works contracts are being let and progressis picking up. Disbursements are on schedule. The Fifth Project is about tocommence.

1.03 This report is based on the findings of an appraisal mission, whichvisited Indonesia in June 1974, comprising Messrs. H.J. Tennent, C. Koch-Weser (Bank), R. Bloor, P. Judd and P.T. Reddy (Consultants). Messrs. R.Harris and S. Okabe also contributed to this report. Feasibility studieswere prepared for the Cirebon systems by a joint consulting venture ofNEDECO/SMEC (Netherlands/Australia), for the Sampean Baru project by ajoint venture of Harza/AHT (USA/Germany), both financed under Credit 289-IND,and for the Rentang System by PROSIDA.

II. BACKGROUND

The Economy

2.01 March 31, 1974, marked the end of Pelita I, the Indonesian FirstFive-Year Plan. During the period 1968-1972, real annual economic growthwas close to 7% and during 1973 satisfactory growth was indicated. Domesticsavings and investments increased considerably, thus providing the basis forcontinued future economic growth. This occured despite a drought in thesecond half of 1972 which led to a setback in food production and a steepincrease in prices. At the beginning of 1974, inflation, which had previouslybeen under control, reached a rate of 40% per annum. Steep increases in bothimport and export prices, a rapid physical expansion of production in the oiland forestry sectors, a quick growth in direct foreign investment and a large

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inflow of short-term credit, all contributed to this. Most noteworthy forfuture development prospects has been the rapid increase in oil productionand prices. With a daily production of 1.5 million barrels, Indonesia isalready the eighth largest oil exporting nation in the world. The price ofIndonesian oil, which was US$3.73 per barrel in September 1973, reachedUS$11.70 per barrel by April 1974. Gross production is expected to exceedUS$5 billion in 1974/75, of which US$3 billion will be the net contributionto the balance of payments and the Government's revenues. The importantproblems facing the economy during the Second Five-Year Plan (Pelita II),1974/75 to 1978/79, are the equitable distribution of the benefits from oiland other developments among the people, the expansion of food production,and the control of inflation.

Agriculture

2.02 Agriculture, which grew at nearly 4% per annum over the period1968-72, accounts for nearly 50% of GNP, about 60% of employment and almostall non-petroleum exports. The major food crops are rice, maize, cassava,sweet potatoes, soyabeans and groundnuts. They provide 85% of the totalcalorie and 80% of the total protein intake of the population. Rice, thestaple food, amounts to nearly one-third of total agricultural productionby value and 12% of GNP. The Government's foremost objective in food cropproduction is to reach self-sufficiency in rice as soon as possible. UnderPelita I, priority was given to increasing rice production, which had stag-nated for more than a decade. Measures taken included rehabilitation ofexisting irrigation systems, price support programs, the provision of improvedseed, fertilizer, pesticides and credit, and substantial allocations of fundsto extension and research. These policies contributed to the increase inrice production from 10.8 million tons of milled rice in 1968 to 13.4 milliontons in 1973, a total increase of 2.6 million tons, or an average annual in-crease of about 5%. Taking into account population growth, however, theincrease in domestic rice supply was only about 2.4% per capita over theFirst Plan period and the country had to resort to rice imports of between0.5 and 1.5 million tons per year. The 1972 drought had a severe impact onrice output, highlighting the vulnerability of the Indonesian rice economyto weather fluctuations.

Project Formulation

2.03 Due to long years of neglect, most of the 1.5 million ha ofgovernment maintained irrigation systems in Java were in need of rehabili-tation by the mid 1960's. Rehabilitation works on about 1.0 million ha werestarted during Pelita I, with about 800,000 ha being carried out with IDAassistance. The work is scheduled to be completed in this next five years.With limited opportunities for increased rice production under rainfedconditions in Java, Indonesia must continue its intensive program of irrigationdevelopment if it is to increase its rice output in step with populationgrowth. Outstanding works include two large systems covering 220,000 haand the balance is made up of small systems. GOI has asked for Bank assistance

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for the large systems - Cirebon and Madiun. In addition, GOI plans to con-struct 550,000 ha of new small systems and about 200,000 ha of large systems,mainly in the Outer Islands during Pelita II (The Second Five Year Plan).The proposed project is thus in line with the Government's overall developmentplan and follows the recommendations of the Bank's Irrigation Program Surveymission of March 1974. It is consistent with GOI's efforts to help the ruralpoor. Formulation of the project follows closely the approach developed onthe previous IDA financed irrigation projects in Indonesia with one majordifference, namely, the method of constructing tertiary and quaternary canalsand drains. On the first four rehabilitation projects, GOI constructed thefirst 5Om of tertiary canals and it was left to the farmers to complete theworks. Actual construction of the works by the farmers to date has been veryslow, largely because the farmers do not have the maps or technical knowledgeto set out the canal systems to correct lines and levels, nor design ex-perience to locate and build tertiary control structures. At the same time,benefits from these works are substantial and, for this reason, constructionof the tertiary and quaternary canals was undertaken as a cooperative effortbetween the executing agency and the farmers on the most recent IDA irrigationproject in Indonesia (Credit 514-IND). A similar approach (para 4.04) wouldbe adopted under this project for the Cirebon, Rentang and Sampean Baru systems.

2.04 Following completion of project works, dry season irrigation inthe Cirebon and Rentang areas would still be limited by the unregulated flowof the rivers and streams in these areas. There is, however, a proposal toconstruct the Jatigede Dam, a multi-purpose earth and rock-fill dam on theCimanuk river which, after completion of its first phase, would provideassured dry season irrigation of some 85,000 ha in the Rentang area and30,000 ha in the Cirebon area. In the second and third phases hydropowerof 400 mw and 800 mw, respectively, would be provided by means of diversionsfrom the Cilutung and Cipeles rivers into the Jatigede reservoir (Map 10867).

Feasibility studies for Jatigede Dam were completed in early 1974 by a jointventure of NEDECO (Holland) and SMEC (Australia), with funds provided under

Credit 289-IND. A preliminary review of these studies conducted during

appraisal of this project indicated that the economic rate of return on

Jatigede Dam would be in the range of 20%, even if the dam is constructed

as a single purpose irrigation project. Based on these findings the Aus-tralian Government is finalizing arrangements for a technical assistancegrant of about US$7.5 million to cover the foreign exchange costs of pre-liminary works at the dam site and consulting services for detailed designsand the preparation of tender documents. GOI intends to request Bank as-sistance for construction of Jatigede Dam in FY77, and has agreed to a reviewby the Bank of all aspects of the consultant's work. GOI will preparea plan for settlement of the people, who will be displaced by the Jatigedereservoir before Bank appraisal of this project.

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III. THE PROJECT AREA

General

3.01 Cirebon and Rentang projects are two adjacent irrigation systemslocated on the north coast of Java, about 220 km east of Jakarta (Map 10867).The Cirebon project comprises 56 irrigation systems varying in size between100 and 7,900 ha and covering a total area of 89,000 ha. All systems arerun-of-the-river gravity systems served by some 117 headworks and weirs whichraise river levels and direct water into canal systems. Most structures, allgates and hoists, all drains, canals and their banks have deteriorated badlyover the last 20 years. The Rentang system is to the east of the Jatiluhurproject and the area is bisected by the Cimanuk river. About 92,000 ha inthe Rentang area are irrigated from a 60-year old barrage on the Cimanuk river,and by three primary canals. Rehabilitation of canals and structures in thearea began in 1969 under Credit 127-IND and, with the exception of someadditional drainage which is still required on about 30,000 ha along the coast,is now completed. There was no provision, however, under Credit 127-IND forconstruction of a new barrage which is urgently needed as the existingstructure requires frequent and expensive repair work. Feasibility studiescarried out by PROSIDA and their consultants have shown that it would be moreeconomical to construct a new barrage than to continue maintaining the existingstructure.

3.02 Construction of the Sampean Baru irrigation system (9,800 ha), inEast Java, (Map 11197) was commenced in 1942 but was abandoned because ofthe war. Completed works include a weir, intake structure and 9 km of primarycanal. These works have, however, seriously deteriorated over the years andwill require rehabilitation before they can be integrated into the newirrigation system. Sampean Baru is surrounded by the existing irrigationsystems, collectively known as Pekalen-Sampean, which are being rehabilitatedunder Credit 289-IND.

Climate

3.03 The climate is tropical and monsoonal. Temperatures vary only afew degrees around the annual average of 26'C. Day lengths are almost con-stant throughout the year. The rainy season, during which 70% of rainfalloccurs, is from November to May (northwest monsoon), and the dry seasonfrom about June to October (southeast monsoon). Annual precipitation inthe Cirebon/Rentang project area is 1,500 to 2,000 mm and in Sampean Baruproject area from 1,200 to 1,500 mm. Annex 1 gives climatic data.

Soils and Topography

3.04 Soils in all the project areas are alluvial and of volcanic originand generally suitable for paddy cultivation. They respond positively tonitrogenous and phosphatic fertilizers. The topography of the Cirebon area

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is largely flat, except around Gunong Ciremai (an active volcano), where itbecomes undulating and broken by numerous rivers and streams. The Rentangarea is flat and contains the Cimanuk river delta where there are lowcoastal areas which have drainage problems. In each area lowland soils arealso suitable for sugar crops and in the upland areas with lighter soils avariety of secondary crops are grown. Sampean Baru has a flat terrain slopingtowards the coast, but it is broken by many streams flowing in fairly deepravines providing natural drainage. Soils are generally suitable for paddycultivation and, in the upland areas, cotton and other secondary crops aregrown. In the east, the land is more undulating and there are areas requiringland levelling for paddy cultivation.

Agricultural Production

3.05 Paddy, which is the main crop, is grown throughout the Cirebonproject area in the wet season. With run-of-the-river irrigation it isalso grown wherever there is sufficient water during the dry season. Bothlocal varieties and high-yielding varieties (HYV) are planted but yieldsare low, ranging between 1.5 and 2.8 ton/ha (gabah). 1/ The overall annualcropping intensity is about 140%, with about 7,000 ha of sugarcane plantedas an estate crop on land rented from small farmers, yielding about 90 ton/ha.In the dry season, 18,000 ha of secondary crops are planted on higher groundwith lighter soils; they consist mainly of soyabeans and corn and the combinedannual production is 14,000 tons. The annual production of paddy is 216,000tons, of which 190,000 tons is the wet season crop. Annual sugarcane pro-duction is 630,000 tons.

3.06 The Rentang irrigation system is one of four systems beingrehabilitated under Credit 127-IND and all works included under that Credithave been completed in Rentang. Paddy is the main wet season crop. Yieldspresently vary from 1.7 to 3.0 ton/ha, depending on quality of water supply,drainage conditions and variety planted. These yield levels are highest whererehabilitation has been completed and, after completion of rehabilitation,are expected to reach 3.5 ton/ha in the best areas. In the dry season, soyabeansand paddy are planted. The total annual production of paddy for this area is281,000 tons, of which about 211,000 tons are produced in the wet season. Thesecondary crops, including sugarcane, produce about 46,000 tons per year.Large areas are planted during the dry season, but crops are frequently lostdue to failure of water supply, and cropping intensity based on harvested areais only 130%.

3.07 In Sampean Baru, rainfed paddy and, to a lesser extent, corn andcassava are the main wet season crops. In the dry season much of the areais left fallow. Yields are low, and paddy averages only 1.5 ton/ha. Thetotal annual production of paddy in this area is 3,000 tons. Secondarycrop production totals 7,000 tons, which includes 400 tons of estate cotton.

1/ Rough grain paddy - the unit used throughout this report.

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Cropping intensity is only 90%. Further details of present agriculturalproduction in the project areas are presented in Annex 1.

Population, Farm Size and Land Tenure

3.08 Cirebon and Indramayu, with populations of about 180,000 and40,000, respectively, are the major towns in the Cirebon/Rentang areas. Therest of the population (about 3,000,000 in Cirebon and 1,200,000 in Rentangdistricts) is mostly rural. The population served by the project is estimatedto be about 2.2 million. There are some 320,000 families, averaging nearlyseven members per family. According to the 1963 census data, more than 50%of holdings in these areas range between 0.1 and 0.5 ha and less than 10% ofholdings had more than 1.5 ha. Between 30% and 40% of the rural populationare landless laborers, roughly 50% are owner-operators and between 10 and20% are tenants. There is considerable variation in land tenure patternthroughout the areas. The tenure system of owner-sharecroppers is usuallybased on a 50-50 sharing of the crop, with harvesting and cash input expensesbeing shared equally, the sharecropper providing all labor and the owner payingthe land tax.

3.09 Population in the Sampean Baru project area is about 280,000. Thenumber of families is estimated at 45,000. A pilot survey of the area indicatesthat approximately 50% of the farms, accounting for about 20% of the totalland, are under 1.0 ha. In contrast, about 18% of the farms are larger than2 ha but account for 58% of the land. However, most of the larger holdingsconsist of very poor upland fields. The average farm is 1.4 ha, consistingof 0.4 ha in lowland that would be irrigated under the project, and 1.0 ha inupland. About 20% of the upland is not cultivated. More than 90% of thefarms are owner-operated. Most rental agreements provide for sharing the cropequally, with the land owner paying the land tax, but the tenant paying alloperating costs. The proportion of landless laborers in the area is high, butno data on actual numbers are available. Underemployment is widespread, whichis reflected in extremely low wage levels for hired farm labor (about 50% ofthe wage level in Cirebon/Rentang).

Agricultural Support Programs

3.10 The agricultural support program is currently arranged through theBIMAS 1/ program which only covers about 40% of Cirebon and Rentang areas andlittle of Sampean Baru. This program provides extension, improved seed,fertilizer, pesticides and credit and is very effective where it operates.Most inputs supplied under the program are subsidized by GOI. The ProvincialGovernment extension staff is small and trained personnel are insufficientto meet the farmers' needs. Details of the existing agricultural servicesand proposals for expansion under the project are presented in Annex 2.

1/ A farm input and credit program.

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Storage, Processing and Marketing

3.11 There are usually paddy barns in each village which providetemporary storage but losses are high due to rodents. Farmers retainmost of their paddy production for home consumption and, at present, onlyabout 20% of the crop is sold to middlemen or to the government marketingcontrol agency (BULOG). BULOG purchases rice at a floor price establishedon the basis of the cost of fertilizer. Following the harvest of the 1974wet season crop the floor price was Rp 40.8 (US$0.10) per kg of paddy. Intimes of poor harvests some farmers can obtain prices above the floor priceby selling to the private sector. Many indebted farmers, however, areforced to sell or repay paddy for production costs at lower than floorprices, particulary in Sampean Baru. Surplus secondary crops are soldto middlemen. Estate sugar and cotton are marketed by the State Sugar andCotton Industries.

3.12 Rice mills and hullers in the Cirebon and Rentang areas usuallyhave some storage capacity and almost all have sun-drying floors. Thereare 33 large mills and about 400 hullers which have excess milling capacity.In Sampean Baru, there are 18 rice hullers in the area which are operatedat 50 to 75% of their full capacity.

Transportation

3.13 Farm-to-market transportation is largely by hand-carrying, bi-cycles or animal drawn carts. The rural road network is adequate butneeds rehabilitation. In the wet season, many of the roads are impassable,and due to poor maintenance, remain so for many months. The INPRES 1/ pro-gram includes upgrading of some of these roads, but is insufficient to coverthe whole network. Each project area is served by main highways and railways,which provide them with good transportation links to Jakarta, in the case ofCirebon/Rentang, and Surabaya, in the case of Sampean Baru.

IV. THE PROJECT

4.01 The proposed project (Map 3627R1) would rehabilitate existingirrigation and drainage networks serving 89,000 ha in the Cirebon area;construct a new barrage on the Cimanuk river to improve water delivery tosome 92,000 ha in the Rentang scheme, where the irrigation network wasrehabilitated with IDA assistance under Credit 127-IND; provide drainagefacilities for some 30,000 ha of coastal land in Rentang, which were notfinanced under Credit 127-IND (Map 10867); and construct a new irrigationsystem to serve 9,800 ha, in Sampean Baru (Map 11197), which is surroundedby the Pekalen-Sampean area, being rehabilitated under Credit 289-IND.

1/ Rural Works Program.

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Project Works

4.02 The main components of the project, details of which are givenin Annex 3, are as follows:

Cirebon Systems

(a) rehabilitation of 117 existing headworks and weirs;

(b) reconstruction of 450 km of primary and secondary canals;

(c) construction of tertiary canal and drainage systems withrelated quaternary canals and structures, throughout the area;

(d) improvement of about 200 km of existing drains and theconstruction of 40 km of new ones with related flood protectionworks;

(e) 20 pilot projects of about 100 ha each to demonstrate thebenefits of on-farm development;

(f) upgrading of 305 km of rural roads and construction of 55 kmof inspection roads and paths along the irrigation canals;and

(g) construction of office buildings, stores, houses for projectmanagement and operations staff, an agricultural developmentcenter and six rural extension centers.

Rentang System

(a) construction of new reinforced concrete barrage and irrigationintakes on the Cimanuk river;

(b) construction of tertiary canal systems with related quaternarycanals and structures throughout the project area;

(c) improvement of about 200 km of existing drains, andconstruction of about 60 km of new ones to serve a low-lying coastal area of about 30,000 ha;

(d) 20 pilot projects of about 100 ha each to demonstratethe benefit of on-farm development; and

(e) construction of six rural extension centres.

Sampean Baru

(a) remodeling of the existing weir and intake structure;

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(b) construction of an earth fill closure dam on the Sampeanriver;

(c) construction of 35 km of new unlined primary canal andstructures, along with rehabilitation of the 9 km ofexisting canal and construction of about 120 km of secondarycanals and related structures;

(d) land leveling of about 2,000 ha;

(e) construction of operator's houses;

(f) construction of tertiary canal and drainage systems withrelated quaternary canals and structures throughout the area;

(g) construction of 100 km of rural roads and inspection roadsand paths; and

(h) two 100 ha pilot projects to demonstrate on-farm development,and one 100 ha pumping demonstration pilot scheme for highvalue crops on uplands.

All above works would be carried out with assistance from consulting firmsand, where appropriate, with individual specialists.

4.03 Under the project feasibility studies would be undertaken for re-habilitation of 130,000 ha in Madiun Irrigation Project as well as for dryseason irrigation on about 30,000 ha of Cirebon. The project also providesfor: completion of ongoing groundwater investigations in the Madiun/Soloarea; design of North Sadang extension (6,500 ha); mapping; a soil conserva-tion program in the Cimanuk river catchment area; and supply of vehicles,equipment and communications for construction, operation and agriculturalservices. In addition, a program of supporting agriculture services wouldbe introduced in the two large project areas; training and technical assis-tance would be provided; and a program for monitoring project benefits inall rehabilitated areas would be undertaken.

4.04 The tertiary canals and drains, related quaternary canals andcontrol structures would be designed by PROSID)A which, together with localagencies, would guide and direct farmers in constructing these canals. Thecost of engineering, materials, structures, the first 50m of each tertiaryand, wherever necessary, right-of-way acquisition would be borne by GOI.Farmers in the project areas would be organizedI by the village headmen,under PROSIDA's supervision, to construct these canals. GOI would providefarmers with a token wage or other compensation. Completion of these minorworks would not only enable paddy yields to be increased by about 1 ton/ha,but would allow dry season cropping to be increased and multiple croppingto be developed. Assurances were obtained that, wherever farmers failedto construct the tertiary and quaternary canals within twelve months afterPROSIDA has completed all of the engineering work, including the constructionof the first 50m of the tertiary, the system would be completed by GOI.

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Consulting Services

4.05 Consultants with suitable agricultural as well as engineeringexperience, would be employed to assist PROSIDA and MOA in the design and

construction supervision of the Cirebon systems and Rentang barrage and tocarry out feasibility studies for future irrigation projects (para 4.06).Assurances were obtained that consultants acceptable to the Bank would beengaged within three months of Loan signing on terms and conditions approvedby the Bank. Draft terms of references for the different consulting serv-ices are presented in Annex 4. Consultants would also be employed forSampean Baru. The present consultants (NEDECO) would be retained to de-sign the North Sadang extension.

Feasibility Studies

4.06 Madiun Irrigation Systems (130,000 ha). These systems (Map 10867)

comprise the last large block of irrigation remaining for rehabilitation(para 2.03). They are served by small rivers surrounding Madiun city. Thefeasibility study would establish what rehabilitation works are requiredalong with their costs, and would examine the agricultural potential andsupporting services requirements in detail. It would also include an agro-economic survey to establish basic data on the current rural levels of incomeand employment. It would be a two phase study, first the feasibility, f.l-lowed by the detailed design. The consultants (ELC/Nippon Koei-Italy/Japan)working on Madiun-Solo groundwater investigations have identified three pos-sible storage dam sites, which would provide dry season irrigation for theMadiun systems. These preliminary investigations would be followed throughto feasibility studies suitable for appraisal.

4.07 Cirebon Feeder Canal. The consultants (NEDECO/SMEC) who preparedfeasibility studies for Cirebon rehabilitation and Jatigede Dam (para 2.04),identified the approximate alignment of a feeder canal to provide dry seasonirrigation for about 30,000 ha of Cirebon area. These early studies wouldbe carried through to feasibility level suitable for appraisal.

Water Supply, Demand and Quality

4.08 The Rentang area is supplied from the Cimanuk river. Water supplyand demand were previously investigated under Credit 127-IND, and there issufficient water supply to meet the demand for 100% of the area under paddyin tlhe wet season, but only about 30% in the dry season, in a normal year(four otUt Of five). Water supply for Cirebon comes from many small springs,strecanms and rivers. Because of diffused water sources, it is difficult tocalculate the water supply available to thie project, but past records indi-cate that there woudi be sufficient water in normal years to irrigate 100%of the rea for paddy in thie wet season and about 40% of thle area in the dryseason, made up of 10, pa(ddy, 8% sugar and 22% mixed upland crops. The con-sultants for Cirebon rehabilitation would carry out detailed investigations

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of river flows and water demand for each crop. They would also examine ef-ficiency of water distribution, particularly in dry season. The on-farmdevelopment pilot projects would pay special attention to water demand forindividual crops in the dry season, and to demonstration of better watermanagement at farm level. The deterioration of the canals and structureshas reduced field efficiency, but withi rehabilitation and efficient opera-tion, it would be raised from 30% to about 55%. This would allow croppingintensity to be raised to 145%. Sampean Baru would be supplied from a weiron the Sampean river. Allowing for delivery of water to existing systemsboth upstream and downstream of the project, there would be sufficient waterfor the planned cropping pattern. Details of water demand and supply aregiven in Chart 8966 and Annex 5. Tests of water samples in the projectareas indicate that there are no harmful chemicals in the waters, nor isthere a problem of salinity increasing in the future.

Implementation Schedule

4.09 Implementation schedules for Cirebon, Rentang and Sampean Baruare given in Charts 8960, 8961 and 8962. The design and construction periodfor Cirebon would be six years and for Rentang and Sampean Baru, five years.In order to expedite works, GOI has completed mapping of the areas beforedesign commences and this would have a favorable effect on the schedule.

Cost Estimates

4.10 Total project costs are estimated at US$165 million, of whichUS$65 million or 40% is the foreign exchange component. The costs of theCirebon- and Sampean Baru rehabilitation works are based on actual costs ofsimilar works carried out in adjacent areas by PROSIDA. These estimateswere prepared by PROSIDA's consultants in mid-1973 and were increased toend-1974 price levels during appraisal. Rentang barrage and drainage workswere based on estimates prepared from preliminary designs made by PROSIDAand their consultants, as well as the actual cost of similar works recentlycompleted in Rentang. These estimates were also updated to end-1974 pricelevels. Depending on the status of investigations, physical contingenciesof between 10% and 25% have been included in the estimates. Twenty-fivepercent has been allowed because experience with the previous rehabilitationprojects in Indonesia has shown that the extent of rehabilitation requiredon irrigation structures could only be finalized after the structure hasbeen dewatered. Expected price increases are based on international commo-dity index projections and expected doniestic price increases. For civilworks the anntual percentage is 15% for 1975 and 12% annually thereafter.For equipment the percentage for 1975 is 11% and 7.5% thereafter. The per-centages for foreign and local inflation were assumed to be the same. Ex-pected price increases thus amount to about 30%v of total project costs.

4.11 A breakdown of project costs is presente(d in Annex 6 and summa-rized below:

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% ofForeign % of

Item Local Foreign Total Local Foreign Total Exchange Total-----Rp Billion------ -----…US$ Million-----

Cirebon Reha-bilitation 10.2 6.2 16.4 24.8 14.9 39.7 35 24

Rentang works 8.3 5.2 13.5 20.0 12.5 32.5 40 20Sampean Baru

system 4.1 2.8 6.9 10.0 6.5 16.5 40 10

Total CapitalCost 22.6 14.2 36.8 54.8 33.9 88.7 38 54

Miscellaneousservices,training &technicalassistance 0.8 2.0 2.8 1.9 4.9 6.8 70 4

Base CostEstimate 23.4 16.2 39.6 56.7 38.8 95.5 40 58

Physical con-tingencies 4.8 2.9 7.7 11.6 6.9 18.5 40 11

Expected priceincreases 13.2 8.0 21.2 31.7 19.3 51.0 40 31

Total ProjectCost 41.4 27.1 68.5 100.0 65.0 165.0 40 100

Financing

4.12 The proposed Bank loan of US$65 million would finance the foreignexclhange requirements, which amount to about 40% of project costs. GOI'scontribution of US$100 million (Rps 41 billion) would finance local cur-rency requirenments and would be met by budgetary appropriations to PROSIDAand MOA.

Procuremlient

4.13 Veehicles and equipment for construction, operation and agricul-tural services costing about IJSS3.5 million (Annex 3) would be procuredafter international competitive bidding in accordance witih Bank GroupGuidelines. A 15% preference margin, or the prevailing customs duty, iflower, would be extended to local manufacturers in bid comparison. Smalloff-the-shelf items (excluding spare parts) costing less than US$10,000each and limited to a total of US$100,000, which are not suitable forinternational tendering, would be purchased through normal Government pro-curement procedures. There are sufficient supplies of such goods to ensureadequate competition.

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4.14 The Rentang barrage (US$13 million) would be let as a single con-tract after international competitive bidding in accordance with Bank Guide-lines. Qualified local contractors would be given a preference of 7-1/2%in evaluation of bids. The other civil works on the project are estimatedto cost US$54 million. They consist of rehabilitation works (US$51 million)and construction of agricultural and operator's buildings (US$3 million).Since they are made up of a large number of individually small works scat-tered over a wide area and time span, they would not be of interest to in-ternational contractors, and, as in Credits 127-, 220- and 289-IND, wouldbe awarded to prequalified contractors (annually prequalified after adver-tisement and approval by the Bank) after local competitive bidding. Thevalue of these contracts would be not less than US$75,000, and for thosecontracts above US$250,000 documents would be submitted to the Bank forreview before tendering and letting contracts. The largest contractswould not exceed about US$500,000 based on experience of previous reha-bilitation projects. These works would be carried out mostly by laborintensive methods, but for large drains and rivers, where equipment isneeded, PROSIDA would rent its equipment to the contractors or use forceaccount. At present Indonesian regulations do not provide price inflationclauses in local civil works contracts. In view of present worldwide in-flationary trends, such clauses are essential to protect the contractors,and assurances that they would be included in all civil works contractswere obtained from GOI.

Disbursements

4.15 Disbursements would be made at the rate of 100% against the cifcost of directly imported vehicles and equipment, 95% of the ex-factory priceof equipment manufactured locally and at 65% for imported equipment locallyprocured. For foreign consultants, technical assistance and training, dis-bursements would cover the actual foreign exchange costs. Disbursements forcivil works would be at the rate of 50% of total cost, based on the estimatedforeign exchange component (Annex 6, Table 7) and most would be disbursedthrouglh certified monthly contractors' progress payments. Disbursementswould also include force account works whicih would amount to about US$3 mil-lion. Such disbursements would be made against a certificate of expenditure,the documentation for which would not be submittei to the Bank for review,but would be retained by the Borrower and made available for inspection bythe Bank's supervision missions. MOA's disbursement procedures would besimilar. For the monitoring survey (excluding technical assistance, which wouldbe 100%) disbursements would be at the rate of 50% of total cost. Disburse-ments for mapping would be at the rate of 80% of total expenditures. Theestimated schedule of expenditures on the project and a disbursement sched-ule are presented in Annex 7. It is expected that disbursements would becompleted by June 30, 1982.

Accounts and Audit

4.16 PItOSIDA and government agencies' accounts are audited annuallyby the &overnment's audiitors. These auditors lhave been accepted for the

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other three IDA assisted projects executed by PROSIDA and satisfactory auditreports have been received. Assurances were obtained that PROSIDA and MDAwould maintain separate project accounts and that satisfactorily audited fi-nancial statements, together with the auditor's comments, would be submittedto the Bank within four months of the close of each financial year.

Environmental Effects

4.17 The irrigation systems of Cirebon and Rentang have been inoperation for many years and no adverse effects are expected from theproject works. Improved drainage control gates at the sea should, infact, improve the drinking water for the people close to the sea who arecurrently bicycling about 5 km to find fresh water in the dry season,because of ingress of salt water.

4.18 There is no schistosomiasis in Java, but cholera is prevalentin certain times of the year. Fertilizers and pesticides are already inuse in and around the project areas and people are well aware of theirtoxic effects, and no adverse effects are envisaged.

4.19 In Sampean Baru, the advent of irrigation water would provide muchneeded domestic water supply and would be beneficial.

V. ORGANIZATION AND MANAGEMENT

Organization

5.01 Responsibility for project implementation would rest with PROSIDA,a unit in the Directorate General of Water Resources Development (DGWRD) inthe Ministry of Public Works and Electric Power which is presently in chargeof the First (Credit 127-IND), Third (Credit 220-IND), and Fourth (Credit289-IND) Irrigation Rehabilitation Projects. A new field office would beset up by PROSIDA in Cirebon area to handle Cirebon rehabilitation works.Construction work in Rentang would be handledl by the existing field officein Jatibarang. Implementation of Sampean Baru would be carried out fromthe existing Pekalen Sampean Rehabilitation project headquarters (Credit289-IND.) Chart 3963 shows the general organization of the DGWRD, Chart8965 shows PROSIDA management structure and Chart 8964 the particular or-ganization for each area or sub-project.

5.02 PROSIDA is one of the most efficient units of the DGWRD, and, withthe First Rehabilitation Project nearing completion, as well as the projectproviding consultants, an advisor to PROSIDA's General Manager (para 5.09)and other neededi technical assistance and training (para 5.03-5.09), it shouldhave no difficulty in carrying out these additional responsibilities. 1OAwould administer tlhe agricultural support program, including the civil works,eqtuipment and vehicles, trainini and techniical assistance, and the projectbenefit monitoring system, ullder a special project directorate (para 5.10).

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Technical Assistance

5.03 An expatriate advisor would be retained for a three-year period

to work with PROSIDA's General Manager, to assist with all aspects of his

work and to strengthen the Provincial operation and maintenance organiza-

tions in all IDA assisted rehabilitation projects executed by PROSIDA.

5.04 The delta of the Cimanuk river occupies part of the Rentang area

(para 3.01) and, over the last 60 years, many old river channels have

silted Up and closed. The coast has accreted and flood relief channels

have been constructed. These flood relief channels suffer from siltation

and levees on the main river and relief channels have sunk. The DGWRD has

staff working on these problems. Two individual experts would be retainedby the DGWRD to help his staff on the Cimanuk delta. They would visit

Indonesia for periods of about one month at intervals of approximately six

months, and on each occasion would recommend action to take for (a) reduc-

tion of flooding in the area; (b) selection of suitable flood relief chan-

nels for development; (c) stabilization of channel banks; and (d) combating

of coastal accretion. A total of 12 man-months would be provided.

5.05 An individual soil conservation expert would be employed by MOA

to advise him on river and stream stabilization methods, correct cropping

techniques, establishing forest and vegetation belts and terracing in the

Cimanuk catchment area (para 5.12). The work would be carried out under

MOA's Directorate of Forestry working with the local authorities on farmers'

own land. The expert would visit Indonesia for about six weeks, at suitable

intervals as required by MOA. A ttotal of 12 man-months would be provided.

5.06 An agricultural planning and management specialist would be engaged

to assist the Ministry of Agriculture (MOA) to prepare the agricultural de-

velopment program for the project and later to assist in monitoring the plan

in the field, particularly in extension services and data collection. He

would visit Indonesia for about one month at three months intervals in the

early project stages and at longer intervals later in the project, as re-

quired by MDA. A total of 12 man-months would be provided.

5.07 An advisor would be retained by the MOA to assist them in preparing

survey metlhods, questionnaire and the data processing system for monitoring

the benefits in the irrigation rehabilitation projects assisted by the Bank

Group (para 5.14). He would visit Indonesia for about six weeks twice in the

first six months of the project and thereafter as required by MOA -- probably

about one month a year. A total of 12 man-months would be provided.

5.08 Assurances were obtained that GOI would engage these specialistswithin six months of Loan signing. Draft terms of reference for the spe-

cialists is included in Annex 4. GOI considers that for thie work describedin paragraphs 5.04 through 5.07 the best and most economic technical assis-

tance would be obtained by visiting specialists rather than fulltime advisors,

since each recommended action would take time to fulfill and GOI agencies

would be competent to undertake it without (lay-to-day supervision.

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Training

5.09 To help overcome the shortage of trained and experienced irriga-tion and agricultural personnel the project includes funds for training.While local training would continue at the Bandung Technical Academy andSurabaya Training Institute, under the DGWRD's Director of Training, theproject provides funds for overseas training of some twenty Provincial0 & M engineers for about three montlhs each; preparation of audio-visualtraining courses for 0 & M foremen and sub-foremen; sending six seniorProvincial engineers on study tours of two months each in neighboringcountries; sending six middle-level Provincial engineers overseas forwater-management training of about three months duration; sending sixDGWRD engineers for overseas post graduate training for planning anddesign for twelve months; sending eight MOA senior staff in agriculturalmanagement, extension activities and crop data collection for overseastraining courses of three months duration; and sending ten middle-levelMOA staff working on the project for three months overseas trainingcourses to study their particular speciality. Assurances were obtainedthat, within 12 months of the date of Loan signing, GOI would submit thetraining program to the Bank for consultation before commencing the pro-gram. Details are presented in Annex 8.

Agricultural Supporting Services

5.10 The strengthening of agricultural supporting services would beachieved through the normal channels of the MOA. The D)irector General ofAgriculture would nominate a Director to supervise the projects and a proj-ect manager to be located in Cirebon, responsible for agricultural exten-sion, research and training activities in the project. Twelve Rtural Exten-sion Centers would be established in Cirebon and Rentang areas for farmertraining. MOA would assign the appropriate staff to the area. Equipment,vehicles and a communications system would be provided for agriculture.

5.11 To improve agricultural production, the full tertiary and quater-nary development (para 4.04) has been included in the project, and to obtainmaximum benefits the BIMAS program, covering extension, improved seeds, fer-tilizer, pesticides and credit, would be expanded. An Agricultural Develop-ment Center would built for training local agricultural staff, collectingdata and expanding the BIMAS program. iMOA, provincial irrigation engineersand farmers' groups would work together closely to improve water distribu-tion and management, particularly in the pilot project areas. Farmers wouldbe trained in the Rural Extension Centers and rodent control would be coor-dinated through local authorities. An outline of the proposed agriculturalprogram is presented in Annex 3. Assuirances were obtained that (a) adequatesupplies of fertilizers, agricultural clhemicals and credit would be avail-able to farmers aIs works on thie irrigation systems are completed; (b) GOIwould appoint suitably quialified and sufficient staff for the AgriculturalDevelopment Centre and for project development; and (c) zan agreed agricul-tural dlevelopment program for the project would be submitted to the Bank

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within 12 months of Loan signing, and the program would be implemented. Theagricultural support program for Sampean Baru would be included in that forPekalen-Sampean, the much larger area, which surrounds it (para 3.02).

Cimanuk Soil Conservation Program

5.12 Soil erosion in the Cimanuk catchment is serious. Due to pressureon land, steep slopes have been improperly cultivated and erosion hias occurredwith the consequent silting of streams and rivers in the Cirebon and Rentangareas and the catchment area of the proposed Jatigede Dam (para 2.04). Underthe project MOA would implement a program of soil conservation in the catch-ment area, involving stream and river stabilization, development of betteragronomic techniques and establishment of forestry and vegetation belts incooperation with PROSIDA, local authorities and farmers. With advice from aspecialist (para 5.05) these works would be implemented with a view to creatinga Cimanuk catchment authority before project completion. This program wouldcomplement the UNDP Waterslhed Management project in progress in thie Madiun-Soloarea.

Groundwater Investigation

5.13 This work, financed under Credit 289-IND, has been delayed due tohighi costs and delays in equipment deliveries. The consultant's contracthias consequently been extended. The cost of this investigation was originallyestimated to be US$1.7 million and would now be US$2.4 million. The projectwould finance foreign exclhange costs for equipment and consultants to com-plete the groundwater investigations after April 15, 1975, amounting toUS$500,000.

Monitoring Benefits

5.14 The project benefits would be monitored, togethler withl other socialaspects sucti as distribution of thiese benef its between slharecroppers, land-owners and landless laborers. Thie monitoring system would be extended toall the irrigation projects, in wlhichi tile lanik Croup has been involved. Tlieproject would provide a constultant to assist GOI in selecting survey criteriaand metlhods (para 5.07) and advise on survey irnplementation. The surveysw.otuld be imlplemented by M(OA annually from project commencement for about tenyears. Assurances were obtainie( that GOI would subnit to the iBank a proposalfor monitoring benefits witlhin six montlhs of Loan signing.

Operation and Maintenance

5.15 Operation and maintenance (O&Ml) of the irrigation systems and ruralroads is the responsibility of the Provincial Governments which, because ofinadequate funding, have failed to establish satisfactory organizations forthis purpose. In spite of improvements in the arrangements for 0 & M inthe fouLr on-going irrigation projects financed by ID)A, there is still needfor more trained staff, as well as an increase in budgetary allocations.The expected increase in IPEDA (tlie land tax) and the added revenues fromoil slhould permit tue Provincial Govermnents to allocate inore funds to 0 & M.PROSID)A, witlh the assistance of its 0 & M advisor, would be responsible for

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0 & M during the construction phase and during that time would help theProvinces to build up adequate organization and staff. PROSIDA would preparea manual for the Provincial Governments indicating numbers and type of staffrequired, amounts of material, equipment and vehicles needed, and annual bud--getary demands for 0 & M for each irrigation area. Assurances were obtainedthat GOI would (a) provide PROSIDA with adequate and timely funds to maintainall project works properly during the construction period; (b) cause theProvincial Governments to allocate sufficient funds and staff to ensure propermaintanence of all project works and rural roads as soon as they were comple-ted; and (c) submit PROSIDA's 0 & M plans to the Bank for review within threeyears of Loan signing.

Recovery of Costs

5.16 Taxes The cost of 0 & M after rehabilitation would be about Rp2,600/ha/annum (US$6.30). Although a legal basis exists for levying watercharges, farmers in Indonesia at present pay only IPEDA collected by thevillage heads and used by the local and provincial administration for managementof public services. GOI has recently tied the disbursement of INPRES, alocal infrastructure development program financed by the central government,to IPEDA collection performance. Under this incentive program, additionaldisbursements for local development are made when the IPEDA collectionexceeds a mutually agreed target. As a result, there were marked improvementsin the collection of IPEDA in the last two years and this trend is expectedto continue. In addition to IPEDA, farmers pay village taxes and othercontributions for road maintenance, schools, public buildings and mosqueconstruction. In the project areas these taxes generally amount to aboutthe same as IPEDA.

5.17 Since June 1972, a GOI interministerial committee has been studyingmethods of collecting a portion of the increase in farm income from irriga-tion development to cover 0 & M costs and a portion of the investment costs.The committee's preliminary recommendation was that irrigation charges shouldbe collected by means of increases in IPEDA and that IPEDA would be assessedat 5% of net value of production (NVP) of the land. This method of collect-ing irrigation charges is the most appropriate and practicable in the Indonesiancontext and GOI has agreed to implement it. Currently, the average annualIPEDA in the project areas is between Rp 1,200 and Rp 2,000/ha. However,under the 5% of NVP concept, this figure would rise to between Rp 2,000 orRp 2,500/ha by 1983, even without the project. With the project it isestimated that as a result of land reclassification, the average IPEDA inthe project areas would rise to about Rp 6,000/ha.

5.18 Project Revenues. After completion of the Cirebon project, theannual increase in IPEDA would be about Rp 352 million. At an annualdiscount rate of 10% over 50 years, the present worth of the incrementalrevenues would be about Rp 1,560 million. The present worth of the projectcost plus 0 & M costs, at the same interest rate would be about Rp 12,560million, indicating a cost recovery ratio of about 12.5%. On the other hand,if interest rate is not considered, the project costs would be fully recoveredwithin about 50 years. In view of the small farm sizes and relatively low

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income even at full development, this is considered to be reasonable. Thesituation for Rentang would be similar to Cirebon. In the case of SampeanBaru, where the IPEDA base is extremely low, and the tax at full development

similar to Cirebon, the incremental revenue would be higher. Assuranceswere obtained from GOI that, as each tertiary network under the project iscompleted, it would collect IPEDA from landowners at such level required to

recover full 0 & M costs and a reasonable portion of the capital costs ofthe project; proposed IPEDA rates would be submitted to the Bank for review

every two years commencing four years after Loan signing.

VI. PRODUCTION, MARKET PROSPECTS, PRICES AND FARM INCOME

Production

6.01 Paddy would continue to be the dominant crop after completion of

the project. In the Sampean Baru area cropping intensity would increase from

90% at present to 185% at full development, but only a marginal increasein cropping intensity would take place in Cirebon and Rentang. Importantimprovements in cultivation practice expected in all three project areasinclude a substantial increase in the area planted to HYV paddy, an increase

in the use of fertilizers, pesticides and other inputs and the replacementof manual labor, where it is still used for plowing, by buffaloes.

6.02 At full development ten years after project commencement, average

paddy yields would vary between 4.0 ton/ha in the Sampean Baru scheme and4.5 ton/ha in the Cirebon and Rentang schemes. Comparable, and even higheryields, are already being obtained in the better parts of the irrigationprojects already rehabilitated. Total paddy production from all three schemes

would be about 950,000 tons at full development, compared with 500,000 tons at

present. Production of secondary crops would also increase from about 22,000tons at present to 37,000 tons at full development, while the correspondingncrease of sugarcane production in the Cirebon and Rentang areas would befrom 675,000 to 860,000 tons. Without the project production would increase

about 1% per annum, in spite of deteriorating systems, due to improved agri-cultural inputs and services. Details of present and future yields andproduction are given in Annex 1.

Market Prospects and Prices

6.03 Indonesia has imported between 0.5 and 1.5 million tons of ricein recent years and it is expected that some imports will be needed for at

least the next decade. Thus the incremental 255,000 tons of milled rice thatwould be produced in the project areas at full development would find a readymarket in Indonesia. The quantity of secondary crops to be produced would

be small relative to demand and there would be no difficulties in sellingthe marketable surplus in nearby towns. The small amount of sugar and cottonwould be readily sold by State marketing organizations. Most rice mills are

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orivatelv owned and are now operated at less than full capacity. It is rea-sonable to expect that the private sector would expand the drying, storageand milling facilities in the project areas as production increases.

6.04 Inputs and outputs were evaluated at projected farm gate pricesexpressed in terms of 1974 constant prices. For the major internationallytraded commodities, these prices are based on the Bank's world market priceprojections of November 1974. The Bank projects the world market price ofaverage quality Thai rice to fall from around US$450 per ton fob Bangkok in1974 to US$190 per ton (at constant 1974 prices) in 1985. Although theimplied deterioration in the terms of trade for agriculture has been takeninto account in the economic analysis, it is expected that the financialimpact as reflected in the farm budget analysis would be different (Annex 9).The paddy farm-gate price equivalent to a 1974 world market price for riceof US$450 per ton is Rp 120 per kg (US$0.29/kg). Because of Government policyto keep the price of food to consumers low, the actual farm-gate price of paddyis held at Rp 40 per kg by selling imported rice below cost. At the sametime, the Government subsidizes fertilizers and other imported inputs soldto farmers. The 1974 farm-gate price of urea, for instance, based on the worldmarket price would be Rp 120 per kg, while the subsidized BIMAS price isRp 40 per kg. Thus the relative price to farmers of inputs and outputs isroughly equal to the relative world market price, while the price level ismaintained artificially low. At full development it is assumed that botheconomic and financial prices for inputs and outputs will coincide at theBank's lower projected world market prices (at 1974 constant prices). Forexample, the farm-gate price of paddy is projected to be Rp 53 per kg andof urea, Rp 63 per kg (Annex 10).

Farm Income

6.05 Farming in the project areas is mostly subsistence in nature. InCirebon and Rentang, paddy is the principal crop, grown mainly for familyconsumption. Cash income is derived from the sale of surplus paddy and othercrops such as vegetables and soyabeans, as well as earnings from off-farmemployment. In Sampean Baru, paddy, corn and cassava are grown primarilyfor home consumption. Some cash income is obtained from selling the surplusbut in many years the paddy and corn crops fail, cassava is eaten at homeand there is no marketable surplus.

6.06 Separate farm models have been prepared for each of the projectareas. In the Cirebon and Rentang areas where about 20% of the farmers aresharecroppers, this group has been analyzed separately. In Sampean Baru,incomes under tenancy arrangements would be too low to support a sharecropper 'sfamily and sharecropping is therefore insignificant. In all areas there aremany landless laboxers, but income data for this group were not available.The estimated present crop income and that projected at full developmentfor the various farm models are presented in detail in Annex 9 and summarizedbelow:

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Farm IncomeFarm Present Future Present Future

Area Size Farm System -- Rp '000 ---

Cirebon/Rentang 0.25 Owner Farming 30 65 72 160Sharecropping 15 33 36 80

0.5 Owner Farming 52 120 125 290Sharecropping 26 60 65 150

1.5 Owner Farming 132 310 320 750Sharecropping 68 160 165 390

Sampean Baru 0.25 Owner Farming 8 56 20 140

0.5 Owner Farming 12 126 30 300

1.0 Owner Farming 62 212 150 510

6.07 Farm incomes in the project areas at present are extremely low.Small holdings of 0.5 ha and less typically do not produce even enough foodfor subsistence. In the Cirebon and Rentang areas, income from off-farmemployment accounts for half or more of total family income for small owner-operators. Sharecroppers have to rely even more heavily on outside sourcesof income. In Sampean Baru, heads of families are typically part-timefarmers who work as laborers in nearby towns and return to their farmsseasonally to assist with land preparation and more strenuous farm work.Women and children take care of farm management and harvesting. Farm produc-tion serves as a supplement to income earned off the farm.

6.08 Although it is difficult to compare crop incomes derived from farmbudgets with aggregate data from the national income accounts, a few simplecomparisons indicate the extent of poverty in the project areas. Even withthe project, owner operated small farms in all three areas would be at baresubsistence levels with per capita 1/ net crop incomes of less than US$20 perannum, or less than one-third the national per capita income of US$85.Sharecroppers would be even worse off. Even the few larger owner operatedfarms of around 1.0 to 1.5 ha have per capita incomes less than US$50 atpresent and must rely on some off-farm income. With the project, this groupcould expect to produce a consistent surplus above family needs, but percapita net crop incomes would still be less than US$110 in all cases.Because there is so little socio-economic information on the project areas,emphasis would be placed on monitoring project benefits and determiningthe project's impact on income levels and distribution (para 5.14).

1/ Family of seven.

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VII. BENEFITS AND JUSTIFICATION

7.01 The proposed project would increase yields on about 190,000 ha inthree areas currently dependent on run-of-the-river irrigation and rainfedcultivation by providing better water control, improved drainage and thenecessary agricultural supporting services. Paddy would continue to be thedominant crop in all three areas. Assuming a 50-year project life, farmgate prices for major inputs and outputs based on the Bank's commodityprice projections for 1985 and a seasonally variable shadow wage rate forfarm labor, the economic rates of return (ERR) would be about 38% on theCirebon project, 44% on the Rentang project and 18% on the Sampean Baruproject. Alternatively, if a 30-year project life were used, the ERR'swould be not change in any project area by even 1%. The high rates ofreturn for Cirebon and Rentang reflect the priority of rehabilitating andcompleting these two systems to achieve quick production benefits. All threeproject areas suffer from chronic unemployment and underemployment. Theproject would improve the situation considerably by creating the equivalentof some 45,000 full-time agricultural jobs by 1985 (Annex 10).

7.02 The rates of return show little sensitivity to the assumptionsmade in evaluating farm labor. They are more sensitive to the level andpace of agricultural development, which emphasizes the importance of aneffective agricultural extension service and the timely availability ofadequate farm inputs. Under the adverse assumptions tested in the sensi-tivity analysis (Annex 10), in no case did the rate of return on any projectfall below 14%.

7.03 At full agricultural development, rice import savings due to theproject would amount to US$53 million per year at the 1985 projected worldmarket price cif Jakarta (at constant 1974 prices) of US$208 per ton.Smaller amounts would be saved by the production of secondary crops. Afterdeducting the incremental cost of imported fertilizers and chemicals, thenet annual foreign exchange savings from incremental rice production alonewould be about US$47 million.

VIII. RECOMMENDATIONS

8.01 During negotiations, agreements were reached on the followingprincipal points:

(a) GOI would, through PROSIDA and its appropriate local agencies,guide and direct farmers in completing the civil works on eachtertiary and quaternary canal system and would cause such worksto be completed within 12 months after the completion of thefirst 50m of each tertiary by PROSIDA. Where farmers fail tocomplete such works, GOI would complete them (para 4.04);

- 23 -

(b) Consultants, acceptable to the Bank, would be engaged by DGWRDon terms of reference and conditions approved by the Bank withinthree months of Loan signing (para 4.05);

(c) GOI would ensure that (i) adequate supplies of fertilizers,agricultural chemicals and credit would be available to farmers;(ii) suitably qualified and sufficient staff would be appointedfor the agricultural development centre and project agriculturaldevelopment; and (iii) an agreed agricultural developmentprogram for the project would be submitted to the Bank within12 months of Loan signing, and the program would be implemented(para 5.11); and

(d) GOI would (i) provide PROSIDA with adequate and timely funds tomaintain all project works properly during the constructionperiod; (ii) cause the Provincial Governments to allocatesufficient funds and staff to ensure proper maintenance of allproject works and rural roads as soon as they were completedand (iii) submit PROSIDA's 0 & M manual to the Bank for reviewwithin three years of Loan signing (para 5.15).

8.02 The proposed project would be suitable for a Bank loan of US$65million, with 30 years maturity including six year grace. The Borrowerwould be GOI.

ANNEX 1Page 1

INDONESIA

IRRIGATION PROJECT VI

Agricultural Production

General

1. The previous five irrigation projects in Indonesia and the Irriga-

tion Program Survey have described in some details tne soil, climate and

cultural practices of paddy planting and, therefore, in this Annex it is not

proposed to repeat these details. Climatic data relating to the project area

are given in Table 10. Suffice to say, that the soil and climate are suit-

able for growing paddy as a main crop and for a variety of secondary crops in

the dry season.

Present Cropping Pattern

2. Cirebon - During the wet season about 82,000 ha are cultivated with

paddy and 7,000 ha with sugar. A small area of secondary crops on tne higher

ground is planted with soyabeans and other cash crops, such as corn. During

the dry season, flow in the many rivers and streams is drastically reduced;

springs arising from the foothills of the volcano -- Gunong Ciremai -- how-

ever, do provide a reasonably reliable flow enabling about 10,000 ha of paddy

to be grown, and about 7,000 ha of sugarcane (sugarcane grows on a 14-month

rotation and, therefore, continues throughout both the wet and dry seasons),

as well as 18,000 ha of secondary crops. Crop intensity is therefore about

140%.

3. lWet season paddy is grown between November and May, and both the

planting and harvesting periods are spread over about an eight-week period

due to the rotational system of supplying water and also due to possible

late arrival of the rains.

4. During the wet season some 30,000 ha of local variety paddy and

about 50,000 ha of HYV are grown wherever the soil and water supply are most

effective. In the dry season about 10,000 ha of IiYV paddy are grown wherever

the water supply is most reliable.

5. 1~Rentang - During the wet season about 92,000 ha of paddy is

planted throughout the area. In the dry season about 25,000 ha are planted

with paddy and about 2,000 ha witih secondary crops, making a harvestedcropping intensity of 130%. Generally, in the dry season, larger areas may

be planted with paddy but, due to lack of water from the Cimanuk River, these

areas are niever harvested. The timing of planting is similar to that of

Cirebon, although in the poorly drained areas some planting may be delayed

inlto February.

ANNEX 1Page 2

6. In the wet season, local varieties of paddy are planted on about42,000 hia by tie traditional method of transplanting. In addition, some8,000 ha are direct seeded and 42,000 ha are planted with HYV. In the dryseason, generally, only HYV paddy is planted in areas (25,000 ha) with thiebest water supply.

7. Sampean Baru - During the wet season about 2,000 ha of localvariety paddy are planted and about 2,500 ha of corn are interplanted withcassava. During the dry season 1,300 ha of cassava, 600 ha soyabeans and400 ha cotton are planted. In both the wet and dry seasons crops dependentirely on the amount of rainfall and, usually, large areas suffer fromcrop failure. In normal years the cropping intensity is about 90%.

Present Yields

8. Cirebon - Yields vary widely due to the different varietiesplanted and the different conditions of water supply and drainage. On theaverage, local varieties yield 1.5 ton/ha per wet season crop, and HYV yieldnearly 3 ton/ha, giving a weighted average of 2.8 ton/ha. Yield duringthe dry season for HYV is slightly lower, but not significantly so. For thesecondary crop, soyabeans have been used as the model with yields as low as0.7 on/ha. Sugarcane yield is about 90 ton/ha.

9. Rentang - The yields of paddy vary due to variety, condition ofdrainage and water supply in the various areas. On the average, localvarieties yield 1.7 ton/ha, and HYV yield 3.5 ton/ha planted in rehabilitatedareas, giving a weighted avarage of 3.(; ton/ha. There is a slight declinein the dry season (Table 6).

10. Sampean Baru - Paddy yield is about 1.5 ton/ha in normal years.The yield of secondary crops is: Soyabeans 0.4 ton/ha, cassava 3.0 ton/haand cotton about 1 ton/ha (Table 8).

Future Cropping Pattern

11. Cirebon/Rentang - Without the project thie present cropping intensitywould remain at the same level. With the project the improved water supply,due to rehabilitation, would cause a small increase in the cropping intensityof about 5X, bringing Cirebon to 145% and Rentang to 135%.

12. Sampean Baru - With irrigation, nearly the entire area would beplanted witlh IIYV paddy and, in the dry season, although the paddy will beplanted wherever water is available, for purposes of the project evaluationit lhas been assumed thiat soyabeans would be the main crop, covering nearly9,000( ha. Cropping intensity would be 185/. Cotton would reilain as a smallestate crop.

Future Yields

13. Cirebon/Rentang - With good water control, drainage, an adequatesupply of agricultural inputs and credit, as well as a strengthened extension

AiNNEX 1Page 3

service, future paddy yields in the wet season would be expected to reacih4.5 ton/iha with HYV, wiciih would increasingly become the major crop in botnseasons. Yields of secorLdary crops, taking soyabeans as the project example,would ris;e to 1.2 ton/ha, and sugarcane would rise to 115 ton/ha (Tables 5and 7).

14. Sampean Baru - With the completion of project construction and thestrengthened agricultural support program, at full development paddy yieldwould reach 4.0 ton/ha, soyabeans 1.0 ton/ha and cotton 1.5 ton/na (Table 9).

Drying and Storage

15. Drying is generally carried out on a flat concrete floor at therice mills or on the roadside outside the houses. Losses can be very heavyin the event of rains coninciding witih the harvesting. Paddy or dry stalkpaddy (that is, paddy grain with about 15 cm stalk) is usually stored in thehiome in bags or on racks, and villages generally lhave small paddy barns.Losses are fairly high due to rodents. Storage capacity in the project areacan readily be expanded to take care of increased production by the localfarmers. Losses would be reduced under tihe project by tile farmers' trainingprogram.

Processing

16. The rice mills and hullers in Cirebon/Rentang and Sampean Baruare running at no more than 75% capacity. It is expected that privateenterprise would increase capacity, as necessary, as the output from theproject increases. It is the Government's policy to expand the number ofsmall hullers in the areas.

larketing

17. The farmer generally sells his surplus paddy to Government organi-zations at a set floor price. On thie other hand, poorest farmers sell theircrop to middlemen before the harvest so that the farmer obtains credit forihis subsistence needs. Tihese poor farmers theen receive a price below thefloor price for their crops. GOI's plans are to expand its purchasing faci-lities in the areas, as well as credit facilities, and it is hoped thatthrouglh prolect development, farmers would receive the full floor price.

fables Attached(

1. Cirebon - Cropping pattern and production2. iRentang - Cropping pattern and production3. Samapean Baru - Cropping pattern and production4. Cirebon Value of present production5. Cirebon - Value of future production with project

6. Rentang - Value of present production7. Rentang - Value of future production with project8. Sampean Baru - Value of present production9. Sampean Baru - Value of future production with project10. Climatic data

INDONESIA

IRRIGATION PROJECT VI

Cirebon: Cropping Pattern and Production

Cropped Area Crop Production

_ 31 w 3/ p w(ha)---------- ------ (ton'OOO)--------

Wet Season

Local Variety Paddy 28,500 8,500 43 20HVY Paddy 53,000 73,000 148 329Sugar Cane 1/ 7,000 7,000 - -Secondary Crops 2/ 1,500 1,500 1 1

Sub-Total 90(000 Yo,ooo (192) (70)

Dry Season

HYV Paddy 10,000 16,000 25 67Sugar Cane 1/ 7,000 7,000 630 805Secondary Crops 2/ 18,000 16 000 13 19

Sub-Total 35,000 (MU) (591)

Total 125,000 17-900 (B7) (17 1)

Paddy 91,500 97,500 216 416Sugar Cane 14,000 14,000 630 805Other Crops 19,500 17,500 14 20

Cropping Intensity (%) 140 145-

1/ Production is presented as a dry season crop.

2/ Comprising corn, soyabean and vegetables. Soyabean used as a sample crop for project analysis. H

3/ P: present, and W: with project. I ~

INDONESIA

IRRIGATION PROJECT VI

Rentang: Cropping Pattern and Production

Cropped Area Crop Production

P3/ WI3 P _W

----- (ha)_------------- ----- (ton'000)-

Wet Season

Local Variety Paddy 48,500 12,500 82 29HYV Paddy 43,000 79,000 129 356Sugar Cane 1/ 500 500 - -

Sub-Total 92,000 92,000 (211) (375

Dry Season

HYV Paddy 25,000 28,000 70 118Sugar Cane 1/ 500 500 45 58Secondary Crops 2/ 1,500 4,000 1 5

Sub-Total 27,000 32,500 (li) (1BT)

Total 119,000124, (p17) (Z6)

Paddy 116,500 119,500 281 503Suggar Cane 1,000 1,000 45 58Other Crops 1,500 4.,ooo 1 5

Cropping Intensity (%) 130 135

1/ Production is presented as a dry season crop.

2/ Comprising corn, soyabean and vegetables. Soyabean used as a sample crop for project analysis.

3/ P: present, and W: with project.

INDONESIA

IRRIGATION PROJECr VI

Sampean Baru: Cropping Pattern and Production

Cropped Area Crop Production

P 5/ Ni P_ w------ (ha)------------- ------(ton'OOO)----------

Wet Season

Local Variety Paddy 1/ 2,000 - 3.0 -

HYV Paddy 2/ - 7,500 30.0Corn 2,500 1,900 2.0 3.8Cassava 3/ 2.000 - o.6 -

Sub-Total 6,500 9,400 37 3T.T

Dry Season

Cassava 1,300 - 3.9Soyabean 600 8,600 0.2 8.6Cotton (Seed) 400 400 0.4 0.6

Sub-Total 2,300 (1:) (9)

Total 6, 8l 1 (10.1) (4177)

Paddy 2,000 7,500 3.0 30.0Cotton (Seed) 400 400 0.4 o.6Other Crops 6,400 10,500 6.7 12.4

Cropping Intensity 4/ (%) 90 185

1/ Rainfed paddy.

2/ Irrigated paddy.3/ Cassava interplanted with corn.4/ Total net area: 9,800 ha.5/ P: present, and W: with project.

INDONESIA

IRRIGATION PROJECT VI

Cirebon: Value of Present Production

Gross Value Net Value Net ReturnCropped Farm Gate of Producti qn of 3/ fromArea Yield Price Production Costs3 Production- Project Area(ha) (ton/ha) (Rp/ton) --------------- (Rp'000/ha)--------------- (Rp million)

Wet Season

Local Variety Paddy 28,500 1.5 120,000 180.0 25.6 154.4 4,400HYV Paddy 1/ 53,000 2.8 120,000 336.0 48.8 287.2 15,222

Sugar Cane- 2/ 7,000 - - - 7 1

Secondary Crops- 1,500 0.4 130,000 52.0 4.9 47.1 71Sub-Total 90,000 19,693

Dry Season

HYV Paddy 1/ 10,000 2.5 120,000 300.0 46.4 253.6 2,536Sugar Cane- 2 7,000 90.0 23,200 2,088.0 141.5 1,946.5 13,626Secondary Crops-/ 18,000 0.7 130,000 91.0 5.1 85.9 1,546Sub-Total 35,000 17,708

Total 125,000 37,401

Cropping Intensity (%) 140

1/ Production is presented as a dry-season crop.

2/ Cash crops such as corn and soyabean. Soyabean used as a sample secondary crop for project analysis.

3/ Exclude labor costs..I )

INDONESIA

IRRIGATION PROJECT VI

Cirebon: Value of Projected Production at Full Development

Gross Value Net Value Net ReturnCropped Farm Gate of Producti of 3/ fromArea Yield Price Production Costs - Production - Project Area(ha) (ton/ha) (Rp/ton) ------------ (Rp0o0o/ha)-------------- (Rp million)

Wet Season

Local Variety Paddy 8,500 2.3 53,000 121.9 28.3 93.6 796HYV Paddy 73,000 4.5 53,000 238.5 43.8 194.7 14,213Sugar Cane- 2 7,000 - - - - - -Secondary Crops2/ 1,500 0.8 104,000 83.2 8.3 74.9 112

Sub-Total 90,000 15,121

Dry Season

HYV Paddy 16,000 4.2 53,000 222.6 43.0 179.6 2,874Sugar Cane"/ 7,000 115.0 8,400 966.0 162.0 804.0 5,628Secondary Crops2/ 16,000 1.2 104,000 124.8 9.7 115.1 1,842Sub-Total 39,000 10,344

Total 129,000 25,465

Cropping Intensity (%) 145

1/ Production is presented as a dry season crop.

2/ Cash crops such as corn and soyabean. Soyabean used as a sample secondary crop for project analysis.

3/ Exclude labor costs.

mX

INDONESIA

IRRIGATION PROJECT VI

*Rentang: Value of Present Production

Gross Value Net Value Net ReturnsCropped Farm Gate of Producteopn of 4/ from

Area Yield Price Production Costs- Production- Project Area(ha) (ton/ha) (Rp/ton) ---- (Rp'000/ha)--------------- (Rp million)

Wet Season

Local Variety Paddy./ 48,500 1.7 120,000 204.0 25.6 178.4 8,652

HYV Paddy 2/ 43,000 3.0 120,000 360.0 48.8 311.2 13,382Sugar Cane- 500 - - _ _ _ _

Sub-Total 92,000 22,034

Dry Season

HYV Paddy 2/ 25,000 2.8 120,000 336.0 46.4 289.6 7,240

Sugar Cane- 500 90.0 23,200 2,088.0 141.5 1,946.5 973

Secondary Crops 1.500 0.7 130,000 91.0 5.1 85.9 129

Sub-Total 27,000 8,342

Total 119,000 30,376

Cropping Intensity (%) 130

1/ Includes 29,000 ha under transplanted rice and 20,000 ha under directly seeded rice.

2/ Production is presented as a dry season crop.

3/ Soyabean used as a sample crop for project analysis.

4/ Exclude labor costs.

INDONESIA

IRRIGATION PROJECT VI

Rentang: Value of Projected Production at Full Development

Gross Value Net Value Net ReturnCropped Farm Gate of ProductV/n of 4 fromArea Yield Price Production Costs - Production - Project Area(ha) (ton/ha) (Rp/ton) ---------------(Rp'00/ha)-----(Rp million)

Wet Season

Local Variety Paddyl/ 12,500 2.3 53,000 121.9 28.3 93.6 1,170HYV Paddy 79,000 4.5 53,000 238.5 43.8 194.7 15,381Sugar Cane_2/ 500 - - - - - _

Sub-Total 92,000 16,551

Dry Season

HYV Paddy 28,000 4.2 53,000 222.6 43.0 179.6 5,029Sugar Cane2/ 500 115.0 8,400 966.0 162.0 804.0 402Secondary Crops3/ 4,000 1.2 104,000 124.8 9.7 115.1 460

Sub-Total 32,500 5,891

Total 124,500 22,442

Cropping Intensity (%) 135

1/ Includes 10,000 ha under transplanted rice and 3,000 ha under directly seeded rice.

2/ Production is presented as a dry season crop.

3/ Soyabean used as a sample crop for project analysis.

4/ Exclude labor costs. x

INDONESIA

IRRIGATION PROJECT VI

Sampean Baru: Value of Present Production

Gross Value Net Value Net ReturnsCropped Farm Gate of Productkpn of 4/ fromArea Yield Price Production Costs - Production _Project Area(ha) (ton/ha) (Rp/ton)- - '(p r000 /ha)------------- (Rp million)

Wet Season

Local Variety Paddyl!/ 2,000 1.5 120,000 180.0 25.6 154.4 309Corn 2 2,500 0.8 50,000 40.0 12.3 27.7 69Cassava- 2,000 0.3 7,000 2.1 1.4 0.7 1Sub-Total 6,500 379

Dry Season

Cassava2/ 1,300 3.0 7,000 21.0 4.6 16.4 21Soyabean 600 0.4 130,000 52.0 5.1 46.9 28Cotton (seed) 400 1.0 244,000 244.0 53.2 190.8 76Sub-Total 2,300 125

Total 8,800 504

Cropping Intensity3/ (%) 90

1/ Rainfed paddy.

2/ Cassava interplanted with corn.

3/ Total net area: 9,800 ha.

4/ Excludes labor costs.

02 0

INDONESIA

IRRIGATION PROJECT VI

Sampean Baru: Value of Projected Production at Full Development

Groas Value Net Value Not ReturnCropped Farm-Gate of Production of 1/ from

Area Yield Price Production Coate / Productior- ProJect Area7&(Tonh) (Rpt-onJ -- Rp'i--/---)--(Rp m-illion)

Wet Season

HYV Paddy 7#500 4. o 53,000 212e0 43.8 168.2 1,262Corn 1,900 2.0 43,000 86.0 16e3 69.7 132

Sub-total 9,1400 1,394

Dry Season

Soyabean 8,600 1.0 104,000 10).O 9.7 94.3 81Cotton (seed) 400 1.5 178,000 267,0 46.o 221.0 08

Sub-total 9,000 899

Total 18,400 2,293

Cropping Intensity (%): 185

2/ Pclude labor cost8,

AJli] 1Table 1o

INDONEA

IRRIgATION PROJECT VI

Average Annual Rainfall -

Above Averag e Above AverageStation Sea Level Annual Rainfall Station Sea Level Annual Rainfa3l

(in) ~(nmm) (mn) (mm)

Cirebon Area Sampean Baru Area

Losarang 4 1434 Waduk I 375 1892

MaJalengkIa 145 3137 Tengger 20 1102

Plumbon 17 2150 Kelabang 3148 1652

Maja 600 3951 2/ Damtaal 210 1656

Telaga 500 3135 Wonosroyo 250 17146

Setupatok 21 2396 Dam Jero 230 1805

Linggarjati 550 3541 2/ Bondowoso 255 1990

Kuningan 1480 2723 Lojajar 286 1792

Darma 500 2647 Stimberbendo 310 2019

Ambit 25 2250 Ancar 350 2074

Cikeusik 28 2243 Massan 370 21141

Suurwatu 10 1853 Tamanan 340 1916

Walahar 34 2472 Sukowono 335 2377

&Skahaji 80 3291 Pinangpait 485 2022

Lame 1145 2908 Paidlaan 530 2030

SidangJawa 115 2783 Naskuning 354 2115

Sadarehe 1,100 4997 2/ Tlogosari 530 2337

Mandiracan 350 3528 Arjasa 10 988

Cangkuang 5 1827 Ka3isat 1,170 2614

Bayeman 130 1338

1/ Records cover the periods 1920-1940 and 1956 to pregent.

2/ Outside project area on the higher elevation.

ANNEX 2Page 1

INDONESIA

IRRIGATION PROJECT VI

Agricultural Support Program

Cirebon/Rentang/Sampean Baru

Organizations

1. The existing agricultural supporting services in Java have beendescribed in the last five IDA irrigation projects, and also in detail inthe Irrigation Program Survey. It is therefore proposed to summarize brieflythe services herein. The Government organizations with whom the farmers havedealings with regard to agriculture and irrigation are as follows:

(a) BIMAS which gives a farm input package and credit program;

(b) BRI (The Peoples Bank of Indonesia) which provides creditwithin the BIMAS program;

(c) BUUD - A successor to the cooperatives in the villages,which purchases paddy and sells agricultural inputs,provides rice milling facilities and some extension withinthe BIMAS program;

(d) MOA - The provincial staff of the MOA provide routineextension services both inside and outside the BIMASprogram;

(e) Provincial Irrigation Service - This service operatesand maintains the irrigation system down to the turnouton the secondary canal;

(f) Ministry of Interior - From the secondary turnout, theirrigation system of tertiary and quarternary canals isoperated by the village chief who comes under the localadministrative service;

(g) All the above organizations are coordinated by thedistrict officer with irrigation committees, at district,subdistrict and village levels.

Extension, Fertilizer, Pesticides and Credit

2. All the above services are provided through BIM4AS. This program,working through existing organizations, covers only about 40% of Cirebon/Rentang area but none of Sampean Baru during the wet season. Inthe dry season, less than 30% of Cirebon/Rentang farmers are covered but

ANNEX 2Page 2

no part of Sampean Baru. Such services for secondary crops by the BIMASprogram have only just begun. At full development, the BIMAS program wouldbe expanded to cover at least 85% of each of the project areas. The supply

of fertilizer under the BIMAS program is handled by two government agencies;PN Pertani and PN Pusri, and a small number of private companies. Theseagencies supply the inputs to sub-agencies at district level, who, in turn,distribute to BUUD or to registered Kiosk operators at the village unit level.At present, the distribution of the inputs is not very efficient. On occa-sions, certain areas have an excess of supply and other areas suffer fromshortage and there is no quick way to redistribute the inputs.

3. Credit is handled by the BRI through branch offices in eachdistrict and a small office in most village units. There is no long-termcredit and most loans are for production or subsistence. The BRI isworking reasonably well but repayments are under 90%.

4. Agricultural extension is in the process of being transferred to

the Agency for Education, Training and Extension (AETE) under the MOA. The

various extension units will be transferred to this new Agency by mid-1975.BIMAS will, however, continue to operate as a separate Agency under the MOA

with close ties to the AETE.

5. Currently, research for paddy and secondary crops is handled bythe M4OA through a number of agencies, such as the Central Research Institutefor Agriculture (CRIA) which operates at Bogor. MOA is being reorganizedand will have an Agency for Research and Development in 1975 which will takeover all research, including paddy which will be based at Sukamaridi. TheBank is assisting in the establishment of this Agency and its researchcenters. There are two experimental stations within the project area; one

at Kuningan for upland crops (soybeans and corn), and another at Plumbon for

lowland crops (rice and sugar cane). Both these stations lack staff equipment

and facilities, but they will be improved under the Bank's research project.

Seed

6. Seed production for paddy is provided from the National Seed Cor-poration at Sukamandi as well as from local farmers. Production of secondarycrop seeds is still very poorly developed, although some foundation seed isproduced at Kuniingan. Seed production in the project areas will be improvedthrouglh training in the Agricultural Development Center.

Agricultural Support Program in the Project

7. Thie objective of the agricultural services component of the projectwould be to improve the production and income of more than 400,000 farm

families on about 190,000 ha of irrigated land in Cirebon, Rentang and Sam-

pean i3aru. In addition, as the project develops, the surrounding areas would

benefit from the program.

ANNEX 2Page 3

8. The main component of the proposed program would be the formationof a project directorate under the Director General of Agriculture in MOA tosupervise the project and progressively to increase its influence overother areas being rehabilitated in Indonesia. Extension field workers wouldbe increased from 185 to 500 in Cirebon/Rentang and from 2 to 14 in SampeanBaru. A Bank mission visited Indonesia to report on agricultural extensionat the farm level and their report will be considered by MOA before submittingtheir proposed agricultural development plan for the area.

9. An agricultural project manager would be appointed for the projectwho would be stationed in Cirebon.

10. As described in Annex 3, an Agricultural Development Center, (ADC)and 12 Rural Extension Centers in the Cirebon/Rentang area would be providedunder the project. The ADC would be used for training local agriculturalstaff, collection of agricultural data, dissemination of applied researchand as the base for expansion of all BIMAS' activities. The Rural ExtensionCenters would be used to expand the key farmer training program throughoutthe project areas. Improved local seed production would also be developedthrough the ADC. Sampean Baru agricultural development will be includedwith the program for Pekalen-Sampean, the large area by which it is surrounded.This plan is being prepared by MOA under Credit 289-IND.

Fertilizer

11. At full development the total annual fertilizer requirements forthe project area would be 50,000 tons of UREA and TSP. Rodentcide require-ments would be on the order of 100 tons. The present development programsfor fertilizer and insecticide in Indonesia would be able to meet these demands.

Farmers' Organizations

12. The farmers' organizations at tertiary and quanternary levels,such as "Dharma terta," would be expanded to cover the whole project area.MOA and the Irrigation Service would work closely together to demonstratebest agronomic and water management techniques in the Pilot on-farm projects,as well as at local farmer level. Farmers would be trained in both paddyand secondary crops and shown that, with good water management and fullquarternary development, multiple cropping could be undertaken.

Technical Assistance

13. MOA staff would be assisted in preparing the agricultural develop-ment program by a short-term individual consultant at Jakarta, as well asby consultants at site (Annex 4). Training for MOA staff at all levels wouldbe included in the project (Annex 8).

ANNEX 3Page 1

INDONESIA

IRRIGATION PROJECT VI

The Project Works

1. The location of the project areas is presented in Map 3627R1.The Cirebon and Rentang Irrigation systems are shown in Map 10867, togetherwith future proposals for dry season irrigation of these areas. SampeanBaru irrigation system is shown in Map 11197.

Cirebon Irrigation Rehabilitation

2. The project area consists of 56 separate irrigation schemes (Table1) classified as technical (64,000 ha) and semi-technical (25,000 ha) whichwould be rehabilitated.

3. The project would comprise:

(a) rehabilitation of 117 headworks and weirs;

(b) desilting and rehabilitation of some 450 km of primary andsecondary canals, along with repair of canal structures;

(c) construction of tertiary and quaternary canals, drains andstructures;

(d) flood protection embankments to three rivers;

(e) new drainage canals (about 40 kn) with structures in 12irrigation systems, as well as improvement of about 200 kmof existing drains;

(f) upgrading of about 300 km of rural access roads, and 55 kmof inspection roads;

(g) 20 pilot on-farm development and water management demonstrationprojects covering a total of 2,000 ha; and

(h) construction of houses for operators, camp and office buildingsfor PROSIDA, an Agriculture Development Center and six RuralExtension Centers.

4. lleadworks and Weirs. In the 56 irrigation schemes there are 117diversion structures. The first was built in 1878. Out of 91 masonry

ANNEX 3Page 2

structures, 14 are in bad condition and nine are destroyed. The remainderare in fair condition but need extensive repairs. Some of the stream bedsare silted and the weirs are buried. The intake and sluice gates havedeteriorated through lack of maintenance and are mostly inoperable. Thegearing mechanisms are old and cannot easily be operated manually. Replace-ment of sluice and inlet gates with better gearing on over 100 structureswould be included in the project and sluiceways and silt excluders would beconstructed or repaired, so that entry of sediment during floods would beminimized.

5. Primary and Secondary Canals. The total length of primary andsecondary canals under the 56 irrigation schemes is about 456 km with 1,300canal structures. The canals are badly silted in the head reaches due tonon-operation of silt excluders, and canal banks have collapsed in manyplaces. Many structures on the canals require rehabilitation. In additionto the rehabilitation of canals and structures, steps would be provided atsuitable locations to serve as access for domestic purposes and buffalowallow ponds would be constructed.

6. Tertiary and Quaternary Canals. There are about 2,000 tertiarysystems in the project area covering an average of 50 ha. The present ter-tiary canal systems are inadequate and would be increased under the project.Distribution boxes would be provided on tertiary and quaternary canals.The first 50 m of tertiary canal would be constructed by GOI and the rest ofthe tertiary and quaternary canals and drains would be constructed and main-tained by the water users. PROSIDA would design these canals and drainsand construct the masonry structures and head gates. Earth work, however,would be done by the farmers at subsidized cost. The estimate for tertiaryand quaternary systems is given in Table 2. Photo-mosaic maps at 1:5,000scale with 0.5 m contour intervals, which are necessary for the design ofthe systems, are presently being prepared.

7. Drainage. The main drainage problem in Cirebon area is in thecoastal plain along Cirebon-Tegal road and in Cipenas II irrigation area.The drainage systems and appurtenant structures have deteriorated to theextent that the original drains are often difficult to locate. The total areafor which new drainage (40 km) would be provided is about 10,000 ha. Inaddition, about 200 km of existing drains would be improved.

8. Flood Protection. Three rivers, Cisanggarang, Cimanis and Cipanascause flooding in the Cirebon area due to poor embankments. Improvement ofembankments and some dredging is included in the project.

9. Camps, Offices and Buildings. Offices at Cirebon would beconstructed for PROSIDA. An Agricultural Development Center, complete withequipment, would be built at Plombon, as well as six Rural Extension Centersin strategic areas for farmer training (Annex 2). Houses would be providedfor the operators throughout the project area. The project would includerehabilitation of about 35 existing operators houses and construction ofabout 110 new houses.

ANNEX 3Page 3

10. Rural Access Roads and Inspection Roads. The existing ruralroad network is extensive and adequate, except for the quality of surfacingand maintenance. About 305 km of rural roads would be upgraded under theproject. Most of these roads currently have only a light gravel and earthbase with no sealing coat. Roads included in the project would be providedwith a coarse stone and gravel base and an asphalt sealing coat. They wouldgenerally be 4 m wide and be classified for 3-ton vehicles. The list ofroads and their length is given in Table 3, and shown on Map 10867. The costper km would be about Rp 2.0 million on the basis of similar works carriedout in Rentang Irrigation Area. A total of about 50 km of inspection roadsand paths for motorcycles would be built to facilitate 0 & M.

11. Equipment and Communications. Table 4 lists the major equipmentand vehicles included under the project.

12. Pilot On-farm Development Projects. 20 pilot projects coveringabout 100 ha each, consisting of complete tertiary and quaternary canalsand drains with attendant control boxes, would be constructed by GOI onfarmers' land to demonstrate the benefits of on-farm development. On eachpilot project, Provincial and PROSIDA irrigation staff and MOA would workclosely together with farmers to develop best water management and agronomictechniques for both paddy and secondary crops.

Rentang Irrigation System

13. Barrage. The existing Rentang Barrage was built in 1916 for thediversion of water from the Cimanuk river and has become obsolete due toriver accretion, non-operation if stop-logs and expensive 0 & M. It would,therefore, be replaced under the project by a new barrage at a site about600 m upstream from the old one. The new barrage would be a reinforeedconcrete structure with electrically operated radial gates. The barragewould span 90m and its length would be 600m with rip-rap and gabions bothupstream and downstream. Silt excluding devices would be included on bothleft and right bank intakes. These new intakes would be connected to theexisting primary canals by link canals about 700m long, which would also actas silting basins.

14. Tertiary Canals Systems. Construction of the tertiary systems,which were not financed under the previous Credit, would be carried out underthe project. Standards would be the same as those for the Cirebon project(para 6).

15. Agricultural Buildings. Six Rural Extension Centers would bebuilt in strategic areas for farmer training (para 9 and Annex 2).

ANNiEX 3Page 4

16. Drainage. In the wet season, about 30,000 ha of low-lying coastalareas suffer from flooding. Existing drains in the flooded area (about 200 km),which were not rehabilitated under Credit 127-IND, would be improved underthis project. Aside from providing flood relief, the drains are also usedas a source of water supply. In the dry season, however, salt water from thesea backs into the drains, and the people who live along these drains have totravel up to 5 km to find fresh drinking water. Each year, many of the drain-age outlets are blocked by drifting sand. Fishermen also often block thedrains in the dry season to retain water. These blocked drains and outletsfurther aggravate flooding at the beginning of the wet season before the flowpressure reopens them. Under the project about 60 km of collector drains wouldbe excavated parallel to the road, and drainage control gates would beconstructed at suitable intervals. These drains would become a supply of freshwater in the dry season and, by concentrating flows through the gates, wouldkeep outlets open. The project would include new and improved secondary drainsto lead water to the collector drains. Work on Kumpal Kwista drainage areahas recently been started by GOI.

17. Cimanuk Delta. Drainage works in tihis delta have been started byGOI. The project includes technical assistance for this work (Annex 4).

18. Pilot On-farm Development Projects. About 20 pilot projects ofapproximately 100 ha each would be constructed to demonstrate tie benefitsof on-farm development, as described for Cirebon (para 12).

Sampean Baru

19. Closure Dam, Weir and Intake. A new earthfill closure dam would beconstructed across the Sampean river to divert water over the existing weir.Tne weir and adjacent right bank intake would be remodelled. Tlhe weir's side-walls would be raised to ensure that design floods could be safely passed andnew intake gates and hoists would be fitted. An access bridge would be builtover the weir to provide a crossing of the river. A "fuse plug" would bebuilt into the left bank of the dam to act as a spillway in event of extremeflood conditions.

'0. Canal System. The existing 9 km of primary canal would be reiiabili-tated and 35 km of new canal witlh the necessary flumes and syphons would beconstructel. Some 20 secondary canals, totalling about 120 km, would beconstructed with suitable control structures.

21. Drainage. 'Tkhere are a numb)er of deep ravines crossing thie primarycanal and passing through the service area which would provide naturaldrainage. No major drains would therefore be included.

22. Tertiary Canals. Provision would be made for thie construction oftertiary and quaternary canals as in Cirebon/Rentang areas (para 6).

ANNEX 3Page 5

23. Roads. A total of 100 km of road would be provided, of wiiich 45km would be along the primary canal. Paths for inspection would be constructedalong secondary canals. Standards would be about the same as in Cirebon (para10). A much higher proportion of roads is included in Sampean Baru thanCirebon, since the former is a new area with few existing rural roads.

24. Pilot On-farm Development Projects. Two such projects on about 100ha each would be constructed to demonstrate the value of the benefits of on-farm development, as described for Cirebon (para 12).

25. Pilot Pumping Project. A 100 ha pilot pumping project would beconstructed on farmer's upland fields which are not more than 5 m above theirrigation supply level. A diesel pump and pipeline would be provided,together with a small canal system for growing high value crops. The pilotscheme would include demonstration of best agronomic techniques and watermanagement for selected crops.

26. Land Levelling. Some 2,000 ha of land would be levelled usingPROSIDA equipment from the Pekalen-Sampean project and farmer's own labor.The area affected lies to the east of the project and detailed investigationsof levelling requirements would be made by project consultants during projectdesign stages. Since no details were available at appraisal time, thie amountof land level'ing was estimated by visual inspection only.

27. Groundwater Investigation. This part of the project would coverthe foreign exchange costs to complete the groundwater investigation inMediun/Solo area started under Credit 289-IND. The drilling equipment hascost more than expected and its delivery has been delayed. Further costshave been incurred through extension of the consultant's contract. Theoriginal cost estimates of US$1.7 million have now increased to US$2.4 million.This project would finance the expected balance after 15 April 1975 ofUS$500,000 in foreign exchange.

ANNEX 3Table 1Page 1

INDONESIA

IRRIGATION PROJECT VI

Details of Areas of Cirebon Irrigation Systems

Irrigation Irrigated Area (ha)Area Irrigation Semi-

(Region) No. Scheme Technical Technical Total----------- (ha)------------

I. CILUTUNG 1 Manenteng 7,895 _ 7,8952 Ciberes Timur 2,976 - 2,9763 Cijurai 4,492 4 ,.4924 Cihue - 524

Sub-Total I. .15363 15 .917

II. PEN-PEN 5 Cimanis Hilir 3,208 - 3,2086 Ciwado 1,162 - 1,1627 Situ Patok 2,156 - 2,1568 Kanci Hilir - 403 4039 Kanci Udik 7 124 131

10 Ciawi 142 - 14211 Suba Hilir - 269 26912 Jaga Hilir - 33 3313 Jaga Udik 151 - 15114 Cimanis Udik 1,736 447 2,183

Sub-Total II. 8,562 1,276 9,838

III. KUNINGAN 15 Darma - 380 38016 Citambleg 29 357 38617 Ciherang 109 843 95218 Cipager 160 376 53619 Citamba 278 444 72220 Cilengkrang 304 1,274 1,57821 Citaal - 341 34122 Cisanggarung 1,717 1,409 3,12623 Ciporang 541 309 85024 Cisande 274 287 56125 Ciolok 162 577 73926 Ciberes Udik 123 548 67127 Cibatu I 219 89 328

Sub-Total III. 3,936 7.234 11,170

ANNEX 3Table 1Page 2

Irrigation Irrizated Area (ha)Area Irrigation Semi-

(Rteg;ion) No. Scheme Technical Technical Total

IU. PLIJMBON 28 Suba Udik - 115 11529 Cipager Udik 46 1,298 1,33930 Soka Udik 504 187 69131 Cipager Hilir 2,810 - 2,81032 Sokarajadana 1,249 239 1,48833 Ciparlgi 1,096 43 1,13934 Siweringin 839 - 83935 Jamblang Kanan 1,196 - 1,19636 Jamblang Kini 1,678 - 1,67837 Jamblang Udik 509 617 1,12638 Wlahar 1,365 - 1,36539 Ciwaringing Hilir5,429 - 5,4294o Cikemangi 2,269 710 2,97941 Ciwaringin Udik 380 257 637

Sub-Total IV. 19,370 3.461 22,831

V. MAJALENGKA-SUMEDANG 42 Cihe rang Hilir 119 748 86743 Cikeruh Hilir 3,45 6 598 4,s5444 Ciawi Hilir 793 - 79345 Cideres Hilir 1,314 412 1,72646 Ciherang Udik 504 754 1,2584i7 Cikeruh Udik 494 19 51348 Ciawi Udik 10 78 8849 Cideres Udik 148 257 I40550 Cilutung Udik - 1,184 1,18451 Cilutung Timur 3,917 - 3991752 Cilutung Barat 5,914 - 5,91453 Setu-Setu - 100 10054 Ujung Jaya -1.592 1.,592

Sub-Total V. 16,669 5.742 22,411

VI. INDRAMAYU BARPAT 55 Cipanas I - 2,328 2,32856 Cipanas II - 4.°?20 4,020

Sub-'Total VI. - 6348 6 .48

TOTAL 63_,00 2§615 88,515

ANNEX 3Table 2

INDONESIA

IRRIGATION PROJECT VI

Tertiary Canal Systems - Cost Estimates per ha

Under Subsidized Systems

Item Description Quantitv Unit Rate mount

1 Photomosaic 1:5,000 scale 1 ha 750 750

2 Contour Mapping 0.3 m interval 1 ha 1,500 1,500

3 Survey for tertiary & quarter-nary canals & structures 1 ha 900 900

h Tertiary & sub-tertiary canal 3excavation 1/ 12.5 m 100 1,250

5 Quaternary canal excavation 1/ 10 m3 100 1,000

6 Tertiary drain excavatimnl/ 28 m3 100 2,800

7 Quatermary drain excavation ±/ 16 m3 100 1,600

8 Tertiary Box .02 box/ha 0.02 box 150,000 3,000

9 Subtertiary Box .03 box/ha 0.03 box 75,000 2,250

10 Quaternary Box .06 box/ha 0.06 box 40,000 2,400

11 Other structures .02/ha 0.02 unit 74,000 1,500

12 Farm Roads earthwork 1/ 40 m3 100 4,000

13 Land Acquisition 2/ L.S. 2,000

Rounding 50

TOTAL 3/ 25.000

1/ Actual market rate for excavation is about Rps 20m3, but under project farmerswould only be paid Rp lOOm3 , the balance being their contribution towards thecost of these works.

2/ Amount of acquisition wherever required.

3/ Cost per ha included in Cirebon, Rentang and Sampean Baru components.

ANNEX 3Table 3

INDONESIA

IRRIGATION PROJECT VI

CIREBON IRRIGATION SYSTESS

List of Rural Roads for Rehabilitation under the project(Shown on Map 10867)

ProgranDescription Length Year of Construction

1 Losarang - Rajasinga 11 1976-772. Rajasinga - Kroya 123. Kroya - Kandanghaur 164. Conggeang - Ujungjaya 12.5

5. Conggeang - Legok 9.5 1977-786. Cijelog - Ujung Jaya 8.57. Jatiwangi - Ligung 118. Rajagalub - Prapatan 129. Bongas - Ligung 1110. Leuwimunding - Palasah 6.211. Prapatan- Budar 1.512. Rajagaluh - Bobos 7

13. Gebang - Waled 11 1978-7914. Plajangan - Cileduk 7.515. Cileduk - Losari 1216. Cileduk - Sindang Laut 1717. Cipasung - Subang 2t

18. Kadipaten - Jatitujuh 18 1979-8019. Jatitujuh - Sumber 820. Cidahu - G. Karang 321. Garawangi - Balong 322. Ciwaru - Subang 182323. Kali Tanjung - Sumber 7.5 1980-8124. Sumber - Mandirancan 625. SindangJawa - Mandirancan 626. Mundu - Setupatok 527. Sindang Laut - Ciawi Gajah 1528. Putat - Koreak 50329. Sindang Laut - Pengarengan 5.230. Kadugede - Ciniru 11

Total 304.7

Note: 304.7 km (l Rp 2.00 x 106 /kmn Rp 609.4 x 106 (nid-19714 price, which hasbeen adjusted in the mainestimates)

ANNEX 3Table 4Page 1

INDONESIA

IRRIGATION PROJECT VI

Equipment List

Item Description Quantity Rate Amount

Cirebon Irrigation Systems --

Construction Equipment

I Survey Drawing office and Laboratoryequipment LS 54,000

II Construction Staff Transport

Stations wagons 4 8,000 32,0004 W.D.Vehicles 8 6,000 48,ooo

Executive vehicles 2 44,ooo 8,000

Motorcycles 30 800 24,ooo

III O&M Equipment

Air compressors and tools 2 14,000 28,000

Grader (light) 1 30,000 30,000

Rollers 6-8 tons 2 20,000 40,000

Front and loader I 40,000 4O0,000

Dumptrucks 7 8,000 56,000

Hydraulic excavator v cu.yds. 1 40,000 40,000

Welding sets - electric 2 10,000 20,000

Welding sets - gas 2 500 1,000

Generators 50 KW 4 10,000 40,000

Hydrological equipment LS 85,000 85,000

Miscellaneous small tools LS 40,000 40,000

1/ Required for project startup and would be procured under the consultant'scontract.

ANNEX 3Table 4Page 2

Equipment List

Item Description Quantity Rate Amount

IV 0 & M Staff transport us$-------

Station wagon 1 8,000 8,000

4 W.D.Vehicles 10 6,000 60,000

Motorcycles 35 800 28,000

Bicycles 138 60 8,280

V Tertiary Area - Pilot Projects

Station wagon 1 8,000 8,000

4 W.D.Vehicles 1 6,000 6,000

Motorcycles 8 800 6,1400

Bicycles 2 60 120

Totals I to V 710.800

ANNEX 3Table 4

Equipment List Page 3

Agricultural Operations

Description Quantity Rate Amount

-- US$ ------

Cirebon and Rentang Irrigation Systems--

Agricultural Developuwnt Center

Station wagons 2 8,joo 16,000

4 W.D. vehicles 26 6,000 156,000

Microbus 1 12,000 12,000

Motorcycles 14 800 11,200

Bicycles 12 60 720

Agricultural District Service

4 W.C. Vehicles 4 6,000 24,000

Motorcycles 350 800 280,000

Bicycles 150 60 9,000

Rural Agricultural Extension Centers

Motorcycles 36 800 28,800

Bicycles 12 60 720

Sub-total 537,540

Equipment & Furnishing of Centers

Agriculture Development Center L.S. 350,000

Agriculture District Service L.S. 112,000

Rural Extension Centers L.S. 220,000

Village units equipment 100 1,400 140,000

Sub-total 822,000

Total 1,359,540

Rounded 1.36 million

ANNEX 3Table 5

INDOWNESI

IRRIGATION PROJECr VI

RENTANG IRRIGATION SXSTM

List of Drainage Schemes

Area Cost ofSchemes Benefitted Scheme

(ia) (IRp M)-

1. IEipml Kvista Drainage 4,700 370 Work on this isrecently started.

2. Ciwaringin Drainage 3,9400 330

3. Area West of Cimanrk River 19,000 460

i. Prawirakepolo Drainge 2,000 285

5. Gebang-Sawit Drairago 1,000 140

6. Wili Kamal-aLi Boboa Drainage 1,800 65

7. Kali Singranla-Lai Bobos Drainge 1,000 16o

Total 32,900 1J810 Million BP

= 4.37 MillioIn U$-

1/ Increased to early 1975 price in main estimate (Annex 6) to Us$4.8 million.

ANNEX 4Page 1

INDONES IA

IRRIGATION PROJECT VI

Consulting Services and Technical Assistance

Consulting Services

Cirebon and Rentang

1. Scope of Services. PROSIDA would engage the services of a consult-ing firm with both engineering and agricultural expertise to supervise, designand construct all the Cirebon systems and Rentang barrage, as well as toassist in the agricultural development plan for the area.

2. PROSIDA and MOA would assign a number of counterpart professionaland technical staff to work with the consultant's staff, and the consultantswould be required to provide guidance and on-the-job training to such staff.The foreign consulting firm would be required to associate itself with anIndonesian engineering consulting firm.

3. It is expected that the consulting services would be requiredfrom April 30, 1975. Estimated man-months would be about 200 foreign and300 Indonesian, totalling 500 man-months for Cirebon and Rentang. 1,

4. Responsibility of the Consultants. The consultants would performthe following functions:

(a) Review existing data available and 1973 feasibility study;

(b) formulate the final project concept;

(c) prepare scope of work, engineering and construction schedulesfor completing all necessary works in a logical sequence ineach irrigation system;

(d) prepare plans, designs, cost estimates, specifications, tenderand contract documents, (working with PIOSIDA and theirIndonesian associates), for local competitive bidding forall civil works in Cirebon Irrigation Systems and foi ICBfor Rentang Barrage;

1/ Used for estimating purposes and may be ciianged at implementation.

ANNEX 4Page 2

(e) assist in evaluation of bids and recommendations foraward of contracts;

(f) assist in construction supervision of all civil works;

(g) prepare an C&M manual for Cirebon;

(h) assist PROSIDA and MOA to expand the BIMAS program in theproject areas;

(i) assist the local agriculture authorities in agriculturalproduction planning, extension methods and irrigationfield agronomy;

(j) assist in establishing the Agricultural Development Centerand the Rural Extension Centers;

(k) assist PROSIDA and MOA to establish the on-farm demonstra-tion prosects in which crop water requirements would beevaluated; and

(1) provide on-the-job training for their counterpart staff.

5. ReportJng. The consultants would prepare an inception reportwithin 3 months of commencing work, which would outline their project plans.They would also prepare quarterly reports for PROSIDA and MOA on progressand problems and, on completion of the project, prepare a final reportwhich would evaluate lessons learned for use in future projects.

6. The consultants would supply their own vehicles and would procuresurvey and drawing office equipment, laboratory and hydrological equipment(as listed in Annex 3) for the project under the terms of their contract.

Rentang Drainage, Sampean Baru Works and Sadang North

7. Preliminary designs of the proposed Rentang drainage works wereprepared by NEDECO under Credit 220-IND. The NEDECO drainage expert, whoseservices would be extended, would assist PROSIDA in the preparation of finaldesigns for these works. Similarly, these consultants presently employedon Credit 220-IND, which includes Sadang, would be used to prepare detaileddesigns for Sadang North (6,500 ha). An interim report would be preparedon the best technical solution for this small irrigation distribution systemand submitted to PROSIDA and the Bank before commencing final design.

8. The existing consultant contract (Harza) for the Pekalen-Sampeanworks in progress under Credit 289-IND, would be extended for design andconstruction supervision of Sampean Baru irrigation system. Harza wouldbe required to associate with an Indonesian engineering firm. The estimatedman-months would be about 42 foreign and 300 Indonesian totalling 342 man-months. GOI would be at liberty to clhoose other consultants for Sampean Baruif they so desifed.

ANNEX 4Page 3

Feasibility Studies

9. Madiun Irrigation Systems (130,000 ha). A consulting firm wouldbe engaged to carry out feasibility studies for the rehabilitation of theMadiun irrigation systems, consisting of many small systems receivingwater from sources around the mountains near the city of Madiun (Map 3627R1).These systems are the last large block of irrigation systems which requirerehabilitation in Indonesia. In addition to the rehabilitation studies,the consultants would be required to examine the feasibility of threepossible irrigation storage dam sites, and one multi-purpose dam sitewhich could provide dry season irrigation for part of the Madiun systems.These dams were identified by the groundwater consultants (ELC/Nippon Koei)during their preliminary investigation in the area.

10. The consultants responsibilities would include:

Phase I

(a) identification of the scope of the work for rehabilitationand the preparation of construction estimates for theengineering work;

(b) identification of the existing crops grown in the area,and evaluating present yields and anticipated yields afterfull development of the proposed project;

(c) conducting agro-economic surveys in conjunction with SAE,which would indicate current employment levels and incomesfrom both farms and off-farms. These studies would payparticular attention to identifying size of farms, numbersof land-owners, sharecroppers and landless laborers.Indications of present and projected incomes would beincluded;

(d) preparing cost estimates to establish the technical andeconomic feasibility of the darns wihicih are located atSangiran, Pondok, Ngrejeng and Bendo; and

Phase II

(e) continue with detailed planning, design and contractdocuments as detailed for the consultants in para 4(d) to(1) and paras 5 and 6 on pages 1 and 2 of this Annex.

11. The consultant's initial report would follow the FAO Guidelines ofDecember 1970. It is estimated that about 450 man-months would be requiredfor these studies, and the consulting firm would be expected to associateditself with a local consulting firm (about 200 man-months of foreign consul-tants and 250 man-months of local consultants).

ANNEX 4Page 4

Cirebon Feeder Canal

12. The consultants (NEDECO/SMEC) who prepared the feasibility studiesfor Cirebon rehabilitation and the Jatigede Dam identified the approximatealignment of a feeder canal to provide dry season irrigation for about30,000 ha in the Cirebon area. This canal would be supplied from anofftake and weir located about 5 km downstream of the proposed JatigedeDam (Map 10867). Consultants would be engaged to prepare a feasibilitystudy showing the technical and economic viability of this project. About250 1/ man-months of consulting time would be required for the studymade up of 100 man-months of foreign consultants and 150 man-months of localconsultants' time. The possibility of engaging an expatriate consulting firmfor this work or having the report prepared by the consultants on the JatigedeDam (being financed by an Australian grant) would be discussed after theproject is effective. The scope of work could be expanded to include afeeder canal from the Cisanggarang River also identified by the previousconsultants.

Technical Assistance

Rentang Drainage and River Specialists

13. In the delta of the Cimanuk river in the Rentang area the oldriver channels have silted up and closed. The coast has accreted and man-made flood relief channels have been constructed over the last 50 years.These channels now suffer from siltation and unstable levees. The DGWRDhas staff working on these problems, but they lack the necessary experienceto devise corrective measures, which are very complex. Individual expatriatespecialists with delta experience would be engaged under the project toassist the DGWRD. They would consist of a drainage expert and a riverengineer, botlh having long experience in delta problems involving siltationof channels, unstable levees and embankments, dredging of channels andcoastal accretion. These experts would visit Indonesia for about 6 weeks,initially, to prepare a plan of operations for future tests and action and,thereafter, make periodic visits of inspection as required by DGWRD toexamine the effects of their recommendations and make further plans ofoperations. A total of 12 man-months for these experts would be provided.

14. The specialist's terms of reference would cover the followingactivities:

(a) review all information available would be reviewed and aplan of operations prepared covering necessary tests tobe carried out and initial action to be taken;

1/ Used for estimating, may be adjusted by GOI.

ANNEX 4Page 5

(b) recommend measures for stabilizing slopes, combatingsedimentation, stopping erosion and other steps necessary tosafeguard the agricultural land and town of Indramayu;

(c) examine the practicality and economy of reopening KaliRambatan to much greater flows and preventing overtopping ofits levees; and evaluate the need for the proposed newchannel via Kamal River;

(d) examine the practicability and economy of setting up acontinuous dredging program to offset the effects of deltaformation and coastal accretion; and

(e) recommend outline designs for the best method of drainingthis area of the Rentang system.

Soil Conservation Specialist

15. The upper reaches of the Cimanuk river and its tributaries sufferfrom serious soil erosion and constant silting which directly affect theCirebon and Rentang project areas and would, in future, affect the JatigedeDam. GOI has requested technical assistance in carrying out a soilconservation program within the Cimanuk catchment. The program would becarried out by MOA, in close cooperation with PROSIDA. An individual soilconservation specialist would be provided under the project for a totalof 12 man-months based on a number of short term visits to advise on measuresto be taken and follow up visits as required by MOA. He would report tothe Directorate of Forests, and work closely with PROSIDA in advising themon the program, and would liaise with local agencies.

16. His terms of reference would cover the following specificactivities:

(a) advise the staff of MOA on their program of streamstabilization, vegetation and forestry belts, newagricultural techniques, crops and terracing;

(b) coordinate MOA's activities with those of PROSIDA;

(c) assist with the establishment of a Cimanuk Catchment Board;and

(d) assist GOI in the preparation of an inventory of soil conser-vation requirements in Java and ultimate staff needs fordealing with these problems.

Agricultural Planning Consultant

17. An agricultural development program would be prepared for theproject areas within 6 months of Loan signing. While implementation of

hNNEX 4Page 6

the program itself would be assisted by the project consultants, MOA hasrequested assistance in preparation of the development plan and subsequentreview of actual implementation. An individual agricultural planning andmanagement expert would therefore be provided under the project for a totalof 12 man-months. He would report to the MOA and would help the DirectorGeneral in preparing the development plan. He would visit Indonesia periodic-ally within the first 6 months of the project for periods of about onemonth each and thereafter as required by MOA, to advise on program implemen-tation.

18. His terms of reference would cover the following activities:

(a) assist MOA staff to prepare a detailed plan of operation foragricultural development in the project area and reviewproject agricultural organization and operation and managementprocedures; and

(b) liaise with the existing agricultural advisor on Credit 289-IND,review the work of the consultants in Cirebon and assist MOA,in updating statistical data covering cropping patterns, yields,production, BIMAS performance, and farmer population and income.

PROSIDA Management Adviser

19. Under Credit 220-IND PROSIDA was provided with three individualexperts for O&M, construction and contract activities, and financial mattersrespectively. These experts have completed their assignment, except forthe O&M expert who will complete his term in June 1975. GOI has requestedthat a general management advisor with overall irrigation and managementexperience be provided to advise the new PROSIDA General Manager on allaspects of PROSIDA operations and all IDA affected rehabilitation projects.36 man-months have been included for this advisor.

Audio-Visual Training

20. A program of audio-visual training has recently been prepared byconsultants for training foremen and working staff on road maintenance.This form of training consists of a series of color-slides showing in greatdetail all the activities required by foremen and laborers in any particularfunction. The slides are coordinated with a tape recorder program describingthe activities in the local language. The DGWRD has requested that similarcourses of training be prepared for O&M activities. The project thereforeincludes 30 man-months of specialized consultant time to advise on thepreparation of about 20 courses in O&M activities. The photographs andcourses would be prepared in the Surabaya Training Institute under the Chiefof Irrigation in East Java. GOI has requested that the consultants be thesame (Jorgensen USA) as those who prepared similar courses for roadwork sincethey have the special knowledge of this type of training, as well as Indone-sian experience.

ANNEX 4Page 7

Project Benefit Monitoring Specialist

21. In order to provide GOI and the Bank with basic data on thecurrent and future situation regarding crop yields, farm incomes, off-farmincomes, household expenditures, size distribution of farms, numbers oflandlords, sharecroppers and landless laborers and other related socio-economic data, monitoring surveys would be included in the project. GOIhas agreed that the agro-economic surveys would also cover the five irrigationprojects already financed by the Bank Group.

22. The surveys would be conducted by MOA and, since experience ofother such surveys indicate that the type of questionnaire, intensity ofstudy, cost and the organization or individuals responsible are vital factorsaffecting the results of such surveys, an individual specialist would beprovided under the project to advise MOA on these questions. Specifically,he would visit Indonesia for about six weeks twice in the first six monthsof project implementation to:

(a) advise on the intensity of the surveys;

(b) assist in preparation of questionnaires for both individualsand village heads;

(c) advise on data processing methods and if necessary arrangecomputer processing;

(d) help prepare cost estimates for annual surveys covering aten year period; and

(e) join discussion between GOI and the Bank regarding surveyimplementation.

Following implementation of the first survey, the specialist would assistin data processing and analyzing and, thereafter, would pay periodic visitsto Indonesia at the annual survey time to monitor progress and check results.A total of 12 man-months would be included in the project for this advisor.

ANNEX 5Page 1

INDONESIA

IRRIGATION PROJECT VI

Water Supply and Requirements

Cirebon Irrigation Systems

1. Records for the past 60 years snIow that the rainfall during tlhe wetseason is adequate for the main paddy crop (81,500 iia), and for sugar cane(7,000 ha) as well as for 16,000 ha of paddy, 7,000 ha of sugar cane andabout 15,000 ha of secondary crops suchi as maize, pulses, roots and tubersin the dry season.

2. Tne area is mostly served by various rivers, streams and springsoriginating from Gunong Ciremai (an active volcano). A considerable amountof water comes from springs around Gunong Ciremai. There is little recordeddata of river flows and determining the discharges on any empirical basiswould not serve a useful purpose since there are so many sources. Consider-ing the performance of different systems in the past, water from existingsources is considered adequate for both wet and dry season irrigation andafter rehabilitation, due to greater distribution efficiency, the dry seasonarea may be slightly increased from 40% to 45%.

Sampean Baru Irrigation System

3. Records of Sampean river flows at Situbondo are available for theperiods from 1913 to 1932 and 1960 to date. The flow records are derivedfrom the diversions in the catchment area and spills over tne SampeanWeir near Situbondo. Daily discharges have been computed from rainfall dataand nydrographic comparison. The computed flows are about 15% less tnanactual flows recorded, and the former have been adopted as a factor ofsafety.

4. The maximum, minimum and average monthly and annual discnargesare given in Table 1, which should be read in conjunction with Cnart 8966.To determine flows available for diversion at Sampean Baru damsite, theSitubondo site records ihave been transposed and adjustment made for existingirrigation systems. About 15,000 ha are presently irrigated upstream oftlne proposed Sampean Baru diversion weir with water from the Sampean riverwatershied. About 600 ha are irrigated between Sampean Baru Dam and SampeanWeir. The irrigated area downstream of proposed Sampean Weir is 11,000 ha.These irrigation systems have been given priority over the new Sampean BaruIrrigation System in the water requirement calculations. Overall distributionefficiencies ihave been assumed to average 55%.

ANNEX 5Page 2

5. The flows at Sampean Baru are assumed to be 62Z of the flows atSitubondo site in proportion to the catchiment areas. Tnis estimate is con-servative as the rainfall at the higiher elevations is greater and consequentlythe runoff at Sampean Baru site would ue more. After adjusting for diversionsabove Sampean Baru and requirements of water to be bypassed for diversion atSampean Weir, monthly water supply available for diversion at Sampean Barusite nas been determined. These figures are given in Table 1. Small snortagesbetween monthly divertable supplies and actual daily irrigation needs wouldbe provided by the reservoir and storage capacity of the canal system. Toreduce further the peak demands, the irrigation deliveries for paddy wouldbe on a rotational basis at ten day intervals.

6. Consumptive use of water. ŽMontnly consumptive use values niave beencomputed using modified Blaney-Criddle method. Chart 8966 sinows the computa-tions for rice and secondary crops. It has been assumed tnat improved niignyielding rice varieties of 135 days period would be used. To cover the worstcase for water requirements, the whole area was assumed to be planted withpaddy in the wet season, and two secondary crops of 90 days would be plantedin the dry season. Tne water demands for the proposed service area of 9,800ha can be met from the estimated available divertable water from Sampean Baru.

Rentang Irrigation System

7. The Rentang area is supplied from the Cimanuk tiver. Water supplyand demand was reviewed under Credit 127-IND and there is sufficient waterfor 100% of the area under paddy in the wet season and about 30% in the dryseason in normal years (four out of five).

INDONESIA

SAMPEAN BARU IRRIGATION SYSTEM

Monthly Dia!chages - Sgopan River at Sampean Weir-

and Average MonthlY Divert#ble Water at Saumean Barun

JAN FEB MAR APR MAY JUN JUL AUG SEP OCT .OV DEC

YEAR 1913-1932

Maximum 56.4 67.0 80.0 76.4 55.5 51.5 41.1 24.2 21.7 27.5 32.6 45.3

Minimum 23.7 31.3 31.8 24.4 20.1 20.1 19.6 16.2 14.1 13.3 15.1 17.9

Average2/ 36.2 52.9 49.9 40.1 35.4 29.7 25.0 20.1 18.2 18.6 20.8 27.2

YEAR 1960-1972

Maximum 102.1 121.1 83.2 66.4 53.1 37.9 29.5 18.9 17.0 37.3 30.9 56.4

Mininmm 20.9 20.6 21.4 20.4 15.7 14.6 10.2 9.5 9.3 7.9 8.6 18.7

Average2/ 52.2 55.5 49.3 37.7 26.4 19.3 15.2 12.8 12.7 15.9 18.4 35.1

Average Divertable Water atSampean Baru Dam Site 22.4 29.2 26.6 20.0 15.4 10.6 7.2 5.6 4.0 6.8 9.8 14.7

Diversion Requirements atSampean Baru Dam Site asper Chart 8966 7.24 8.26 10.54 5.71 0.96 7.27 7.351/ 3.62 2.10 2.92 1.95 4.65 ::

1/ Small shortage during this month can be met from storage water at the dam.

2/ At least 2 years out of 10.

ANNEX 6Page 1

INDONESIA

IRRIGATION PROJECT VI

Basis for Cost Estimates

1. Consultants prepared the estimates for Cirebon and Sampean Baruin mid-1973 and, at the same time, PROSIDA prepared the estimates for theRentang barrage and drainage works. These estimates were based on actualcosts of similar work in adjacent areas.

2. During the appraisal mission in June 1974, the estimates werereviewed, adjusted and then updated to mid-1974 prices, by using multiplierfactors based on actual cost increases for various materials and laboractivities. The factors were 1.65 for major works involving reinforcedconcrete and imported materials, and 1.45 for works involving mostly labor.

3. After return of the appraisal mission, the cost estimates wereupdated to beginning 1975 prices by adding a further 10% to each item. Atthe same time, the foreign currency element was reviewed and adjusted.

4. In the light of experience gained from the current rehabilitationprojects, the physical contingencies for rehabilitation civil works wereraised to 25%.

5. Since Rentang and Sampean Baru estimates were based on preliminarydesigns and only limited site investigation, 20% was used for physical contin-gencies on major civil works.

6. Physic(al contingencies of 10% for equipment, training and consul-tants, etc., were used, since these items are not likely to be much affectedby unforeseen circumstances.

7. For expected price increases on civil and other related worksin 1975 a 15% increase was assumed, and for each year thereafter, 12%.For equipment, vehicles and communications, the expected price increasepercentage was assumed as 11% in 1975 and 7.5% thereafter (Table 6). Thesepercentages are based on the Bank Guidelines of March 29, 1974 and, on theadvice of the country economist, the same percentage was used for bothforeign and local costs.

ANNEX 6Page 2

Cost Estimate Tables

Table 1 Cirebon Irrigation SystemsTable 2 Rentang Irrigation SystemTable 3 Sampean Baru Irrigation SystemTable 4 Miscellaneous Services

- Feasibility studies, training and technical assistanceTable 5 Details of Cost Estimates for Miscellaneous ServicesTable 6 Expected Price IncreasesTable 7 Calculations for Schedule I of Loan DocumentsTable 8 Estimate for Consulting Services for Cirebon, Rentang and

Sampean Baru

ANNEX 6Table 1Page 1

INDONESIA

IRRIGATION PROJECT VI

Cirebon Irrigation Systems

Cost Estimates

% ofForeign

Local Foreign Total Local Foreign Total Exchange(Rp MiUllonT - ion

Civil Works

Headworks & weirs 320 910 1,230 o.8 2.2 3.0 70Primary & secondary canals - 860 1,330 2,190 2.1 3.2 5-3 60

structuresPrimary & secondary canals - 1,130 280 1,410 2.7 0.7 3.4 20

earthworkPrimary & secondary canals - 1,460 360 1,820 3.5 0.9 4.4 20

bank protectionTertiary canal systems & 1,970 490 2,460 4.7 1.2 5.9 20

structuresDrainage system improvement 290 70 360 0.7 0.2 0.9 20Flood embankments 160 250 410 0.4 0.6 1.0 60Camps, offices & buildings 140 40 180 0.3 0.1 0.4 20Inspection roads & culverts 25 25 50 0.1 - 0.1 50Rural access roads network 280 410 690 0.7 1.0 1.7 60Pilot areas - water manage- 140 40 180 0-3 0.1 o.4 20

ment & on-farm develop-ment

Sub-Total 6,775 4,205 10,980 16.3 10.2 26.5 40

PROSIDA

Equipment & vehicles for - 320 320 - .8 0.8 100construction & 0 & M

Communications 135 135 270 0.3 0.3 o.6 50Training - 50 50 - 0.1 0.1 100Cost of O & M during con- 580 150 730 1.5 0.3 1.8 20

struction 1/Administration t overhead 1,275 145 1,420 3-1 0.3 3.4 10

Sub-Total 1,990 800 2,790 4.9 1.8 6.7 28

1/ Incremental cost

ANNEX 6Tabe TPage 2

INDONESIA

IRRIGATION PROJECT VI

Cirebon Irrigation Systems

Cost Estimates (Continued)

% ofForeign

Local Foreign Total Local Foreign Total Exchange-----(Rp Million)--- ST ; ili on ____

Agriculture Support Program

Agriculture development 430 110 540 1.0 .3 1.3 20center

Rural extension centers 100 30 130 .3 .1 .4 20Land acquisition 90 - 90 .2 - .2Equipment, vehicles & - 320 320 - .8 .8 100

communicationsOperation during con- 670 120 790 1.6 .3 1.9 15

structionTraining 35 55 90 .1 .1 .2 60Technical assistance 15 125 140 - .3 .3 90

Sub-Total 1,340 760 2,100 3.2 1.9 5.1 :35

Consulting services 160 370 530 .4 1.0 1.4 '70

Base Cost 10,265 6,135 16,400 24.8 14.9 39.7 35

Contingencies

Physical contingencies 2,195 1,200 3,395 5.3 2.9 8.2 35Expected price increases 7)145 3,860 11,005 17.3 9.3 26.6 35

Total Project Cost 19,605 11,195 30,800 47.4 27.1 74.5 35

INDONESIA ANNEX 6Table 2

IRRIGATION PROJECT VT

Rentang Irrigation System

Cost Estimates

X ofForeign

Local Foreign Total Local Foreign Total Exchange

Civil WorksAccess Road Works 295 70 365 0.7 0.2 0.9 20Barrage, intakes & 2,565 2,900 5,465 6.2 7.0 13.2 60

link canalsRest house & other 35 10 45 0.1 - 0.1 20

buildings100 K.V. substation 70 160 230 0.2 0.4 0.6 70

& electrical linesTertiary canal systems 2,o40 510 2,550 4.9 1.2 6.1 20

& structuresCoastal area drainage 1,405 600 2,0o5 3.4 1.4 4.8 30

worksPilot areas - on-farm 140 40 180 0.3 0.1 0.4 20

development

Sub-Total 6,550 4,290 10,840 15.8 10.3 26.1 40

PROSSIDkCommunications 20 50 70 0.1 0.1 0.2 70Administration & 800 90 890 2.0 0.2 2.2 10

overhead

Sub-Total 820 140 960 2.1 0.3 2.4 1'

Agriculture SupportProgramRural axtension Centers 110 30 140 0.3 0.1 0.4 2CLand acquisition 50 - 50 0.1 - 0.1Enuipment, vehicles & - 330 330 - o.8 o.8 100

communicationsOperations during con- 680 120 8() 1.5 0.4 1.9 15

structionTraining 30 50 80 0.1 0.1 0.2 6cTechnical assistance 15 125 14( 0.0 0.3 0.3 100

Sub-Total 885 655 1,54.0 2.0 1.7 3.7 43

Consulting services 20 90 110 0.1 0.2 0.3 80

Base Cost 8,275 5,175 13,450 20.0 12.5 32.5 40

ContingenciesPhysical contingencies 1,690 1,04( 2,730 4.1 2.5 6.6 4(Expected price increases 3,570 2,350 5,920 8.6 5.8 14.4 4(

Grend Total 13,535 8,565 22,100 32.7 20.8 53.5 4X)

ANNEX 6Table 3

INDONESIA

IRRIGATION PROJECT VI

Sampean Baru Irrigation System

Cost Estimates

% ofForeign

Local Foreign Total Local Foreign Total Exchange----- (Rp MillionT- --- Millon)--

Civil WorksWeir & intake structure 135 140 275 0.4 0.3 0.7 50Earth dam & emergency 705 705 1,410 1.7 1.7 3.4 50

spillwayPrimary & secondary canal 980 980 1,960 2.4 2.3 4.7 5o

canal structuresPrimary & secondary 470 120 590 1.1 0.3 1.4 20

canals earthworkTertiary canal systems 220 55 275 o.5 0.2 0.7 20

& structuresDrainage system 45 - 45 0.1 - 0.1 -

improvementInspection roads, 205 205 410 0.5 0.5 1.0 50

access roadsSurveys & borings 70 65 135 0.2 0.1 0.3 50Upland irrigation pilot 20 25 45 - 0.1 0.1 50

projectLand levelling 320 135 455 0.8 0.3 1.1 30

Sub-Total 3,170 2,430 5,600 7.7 5.8 13.5 44

PROSIDAHouses i communications 115 115 230 0.3 0.3 o.6 50Land acquisition 70 - 70 0.2 - 0.2 -

0 & M during con- 35 10 45 o.1 - 0.1 20struction

Administration & over- 575 65 640 1.4 0.1 1.5 10head

Sub-Total 795 190 985 2.0 0.4 2.4 25

Consulting services 135 140 275 0.3 0.3 o.6 50

Base Cost 4,1(00 2,760 6,386o ioo 6.5 16.5 4°

Cont,ingencies

Physical contingencies 105 415 1,12\) 1.7 1.0 2.7 4

Expected price :icrease.s 1,930 1 290 , 22 4.7 3.1 2.0( 4o

Grand T'otal 6,735 4,465 11,200 16.4 10.6 27.0 40

ANNEX 6Table 4

INDONESIA

IRRIGATION PROJECT VI

Miscellaneous Services

Cost Estimates

% ofForeign

Local Foreign Total Local Fore' Total Exchange---_(Rp Million)- ----(U S Mil ion)----

Feasibility studies of 300 950 1, 250 .7 2.3 3.0 80future projects

Soil erosion program 205 45 250 .5 .1 .6 20

Balance of groundwater -- 210 210 -- .5 .5 1013investigation

Training & study tours 40 190 230 .1 .5 .6 90

Technical assistance -- 100 100 -- .2 .2 100

Monitoring systems for 125 125 250 .3 .3 .6 50rehabilitation projects

Mapping 125 415 54o .3 1.0 1.3 80

Base Cost 795 2,035 2,830 1.9 4.9 6.8 7()

Physical contingencies 200 200 400 .5 .5 1.o 50

Expected price increases 455 455 910 1.1 1.1 2.2 5o

Total for services 1,450 2,690 4,140 3.5 6.5 10.0 7()

ANNEx 6Table 5Page 1

INDONESIA

IRRIGATION PROJECT VI

Details of Cost Estimates for Miscellaneous Services

Rate Local Foreign TotalUS$ -- US$'000---------

Feasibility Studies for Future IrrigationProjects

Madiun Rehabilitation and Storage Dams L.S. 292 1,428 1,720Cirebon Feeder Canal Studies L.S. 400 800 1,200North Sadang Detailed Design (12 man-months) 8 72 80

Sub-Total 700 2,300 3,000

Soil Erosion Program (Administered by MOA)

Soil erosion program in Cimanuk Catchment L.S. 500 100 600Area

Groundwater

Balance of cost of groundwater study of L.S. -- 500 500Madiun Area (equipment, consultantsand overseas training)

Training

a. O & M Visual SstemForeign consul ants & counterparts L.S. 95 245 240Equipment - 20 units L.S. 5 5 10

Sub-Total lOO 250 350

b. 0 & M In-service Training in Malaysia

20 persons for 3 months each = 750 -- 4560 man-months

20 persons to and from transportJakarta to Singapore 160 -- 3 3

Other Miscellaneous Expenses L.S. -- 7 7

Sub-Total 55 55

INDONESIA ANNEX 6Table §

IRRIGATION PROJECT VI Page 2

Details of Cost Estimates for Miscellaneous Services (Continued)

Rate Local Foreign TotalUSN 00 )-

Training (continued)

c. Senior Study Tours6 persons for 2 months each = 1,250 -- 15 15

12 man-months6 persons to and from transport 650 -- 5 5Other Miscellaneous Expenses L.S. -- 5 5

Sub-Total 25 25

d. Post-Graduate Training6 persons for 12 months each = 1,200 -- 85 85

72 man-months6 persons to and from transport 1,600 -- 10 10Other Miscellaneous Expenses L.S. -- 5 5

Sub-Total 100 100

e. Overseas Training6 persons for 3 months each = ------------no charge-----------

18 man-months6 persons to and from transport 1,200 -- 23 23

Jakarta to HawaiiOther Miscellaneous Expenses L.S. -- 7 7

Sub-Total -- 30 30

Treining Sub-Total 100 460 560

Technical Assistance

a. One project maneger - expatriate for 2,500 -- 90 90PROSIDA - 36 months

b. Two temporary duty drainage & river 4,500 -- 54 54experts for Rentang -12 man-months

c. One soil erosion expert - 12 months 4,500 -- 54 54d. To and from travel expenses & misc. L.S. -- 42 42

Sub-Total 240 240

Monitoring System (Administered by MOA)Agro-economic surveys for IDA/Bank -- 300 300 600

Irrigation Project Areas

Mapping -- 300 1,000 1,300

Base Cost 1,900 4,900 6,800Physical contingencies 5oo 500 1,000Expected price increases 1,100 1,100 2,200

Total Cost 3,500 6,500 10,000

1/ Includes technical assistance cost.

INDONESIA

IRRIGATION PROJECT VI

1/Expected Price Increases

Indonesian Fiscal Year 75/76 76/77 77/78 78/79 79/80 80/81 Total

Estimated Annual PercentageIncrease

Civil Works 15 12 12 12 12 12

Equipment 11 7.5 7.5 7.5 7.5 7.5

----------------------(UST Million)- ---- ------ _____

CirebonCivil Works .06 1.17 3.53 5.41 7.47 8.4&

Equipment .04 .06 .10 .09 .08 .07

Total .10 1.23 3.63 5.50 7.55 8.55 26.56

RentangCivil Works .20 1.77 5.56 4.59 2.o6 .20

Equipment .02 .06 - - - -

Total .22 1.83 5.56 4.59 2.06 .20 14.46

Sampean BaruCivil Works .08 1.06 2.74 1.94 1.83 .10

Equipment - .02 .01 - - -

Total .08 1.08 2.75 1.94 1.83 .10 7.78

Miscellaneous Services .4o .80 .45 .45 .05 .05 2.20

Total Expected Price Increases .80 .4.94 12.39 12.48 11.49 8.9C 51.00

1/ Based on Bank Guidelines dated March 29, 1974. Increases calculated by compounding the

estimated annual percentage increase in prior year and one-half the rate of increase in the Xl

year concerned. c4

ANNEX 6Table 7Fage 1

INDONESIA

IRRIGATION PROJECT VI

Calculation for Schedule I of Loan Documents

CostsCategory Total Foreign Loan Aimount

- --------- llion?-

I. Civil Works- (PROSIDA)

Cirebon 26.5 10.2Rentang 26.1 10.3Sampean Baru 13.5 5.8bcpected price increases 17.9 14.7

Sub-Total 84.o 41.0 41.0*

* Disbursements will be 50% of total cost.

II. 0quipment, Vehicles &Commnzications (PROSIDA)

Cirebon 1.4 1.1Rentang 0.2 0.1Sampean Baru 0.3 0.3

Sub-Total 1.9 1.5 2.5*

* Disbursements will be 100% of actual foreign expenditures.

III. Groundwater (DGI-JRD) 0.5 0.5 0.5*

* Disbursements will be 100% of actual foreign expendttures.

IV. Agricultural SupportProgram (MOA)

(i) Civil works 2.7 0.6(ii) Equipment, vehicles 1.6 1.6

& communications(iii) Technical assistance 1.0 o.8

* training(iv) Monitoring survey o.6 0.3

Sub-Total 5.9 3.3 5.5*

* Disbursements will be 100% of actual foreign expenditures and50% of other costs.

1/ Consists of civil works contracts, tertiary development, pilot pro-jects and PROSIDA buildings.

kNNEX 6'TIble 7P.ige 2

INDONESIA

IRRIGAT'LION P1tOJECT VI

Calculation for Schedule I of Loan Documents (Contimned)

Category CostsTotal Foreign Loan Amount------- (US M ilion) -----------

V. Consulting Services,

Technical Assistance &

Training (PROSIDA)

Consultants 2.3 1.5Feasibility study 3.0 2.3

Training 0.7 0.6Technical assistance 0.2 0.2

Sub-Total 6.2 4.6 6.5*

* Disbursements will be 100% of actual foreign expenditures.

VI. Mapping (DGWRD) 1.3 1.0 1.0*k

* Disbursements will be 80% of total costs.

VII. Unallocated

Physical contingencies 18.5 6.9

Balance of expected pri.ce 33.1 4.6 8.oincreases

TOThL 65.0

NOTE, 1: Figures abstracted from Tables 1 throughl 4.

NOTE 2: Majority of expected price increases added to civil works.

NOTE 3: Other expected, price inereases added as follows: Cat II

(1.5 + 1.C1 = 2.5), CEt IV (3.3 + 2.2 = 5.5), Cat V (4.6 +

1.9 = 6.5), balance held. in Cat VII.

ANNEX 6Table 8

IONESIA

IRRMAT IJN PROJECT VI

Estimate Euild-up for Consulting EngineeringServices for _RntasV, Cirebon & Sampean Baru

Cirebon & Rentang Rate Amount- (,Us) -------

Foreign Consultants

1 Irrigation Engineer & Teamleader 48 man months 6,000 288,0003 Design Engineers 60 man months 6,000 360,0001 Construction Supervisor 36 man montba 6,000 196,000

Temporary Duty Personnel L.S. 250,0003 Agriculturists - 36 man-months 6,0o0 196,000Local Consultants

10 Indonesian consultants 300 man months 1,000 300,000Miscellaneous L.S. 110,000

Total Cost 1,700,000

(i) Proportionate cost for Cirebon System 1,400,000(ii) Proportionate cost for Rentang System 300,000

SaDpean Baru

Foreign Consultants

1 Senior Supervisor 12 months (part-time) 6,000 72,0001 Design Supervisor 6 months (part-time) 6,000 36,ooo2 Design Engineers each 12 months = 24 man months 6,000 144,000

Temporary £ity Personnel L.S. 128,000Local Consultants

10 Local Engineers 24 months each = 240 man months 1,000 240,0005 Local Surveyors 12 months each 5 60 man months 500 30,000

Miscellaneous 50,000

Total Cost 700,000

Note: The above were used for estimating purposes and may be modified by GOIand their consultants at project implementation.

ANNEX 7Page 1

INDONEI EA

IRRIGATION PROJECT Vt

Schedule of Expenditures and Disbursements

A. Schedule of Expenditures

Indonesian Fiscal Year TotalItem 75/76 76/77 77/78 78/79 79/80 80/81 Cost

=_ ------- (Uss Million- -

Cirebon Rehabilitation 1.8 7.1 13.7 15.9 18.1 17.9 74.5

Rentang--Additional Works 3.6 10.7 20.8 13.1 4.9 .4 53.5

Sampean Baru Irrigation System 1.2 5.9 9.9 5.6 4.2 .2 27.0

Miscellaneous Services 2.5 3.9 2.0 1.2 .2 .2 10.0

Total 9.1 27.6 46.4 35.8 27.4 18.7 165.0

Total Anmmal 0 & M Costs---------------- (US$ 000) ---- ----------

Cirebon 180 220 270 360 440 560

Rentang 200 240 280 370 460 5jo

Sampean Baru 20 25 30 40 50 65

(1980/81 represents full cost at project completion.)

ANNEX 7Page 2

INDONESIA

IRRIGATION PROJECT VI

Cirebon Irrigation Systems

Estimated Schedule of Expenditure

Indonesian Fiscal Year TotalItem 75/76 76/77 77/78 78/79 79/80 80/81 Cost

------------ US$ Million)---------

Civil works - 2.1 6.3 6.4 5.9 5.4 26.1

Equipment, vehicles & .8 .4 .4 .3 .2 .1 2.2communications

Training .1 .1 .1 - - - 0.3

Cost of 0 & M during construction / .2 .4 .7 .7 .8 .9 :3.7

Pilot area on-farm development - .1 .1 .1 .1 - (c.4projects

Agricultural support program .2 1.5 .3 .2 - - 2.2

Administration & overheads .1 .3 .8 .8 .8 .6 3.4

Consulting services .3 .3 .3 .3 .1 .1 1.4

Base Cost 1.7 5.2 9.0 8.8 7.9 7.1 39.7

Physical contingencies - .6 1.1 1.6 2.7 2.2 8.2

Expected price increasos .1 1.3 3.6 5.5 7.5 8.6 26.6

Total Project Cost 1.8 7.1 13.7 15.9 18.1 17.9 74.5

1/ Incremental cost

ANNEX 7Page 3

INDONESIA

IRRIGATION PROJECT VI

Rentang Irrigation System

Estimated Schedule of Expenditure

Indonesian Fiscal Year TotalItem 75/76 76/77 77/78 78/79 79/70 80/ 31 Cost

_-----------------(US$ Million)----------------

Civil Works

Access road works .2 .7 - - _ .9Barrage - .3 8.8 4.1 - 13.2Camp offices & other buildings .1 - - - _ - .1100 K.V. sub-station & electric .1 .5 - - - - .6

linesTertiary canal systems & structures .3 1.4 1.4 1.5 1.5 6.1Coastal area drainage works .8 .9 1.0 1.1 1.0 _ 4.8

Sub-Total 1.5 3.8 11.2 6.7 2.5 - 25.7

Pilot areas - on-farm development .1 .1 .1 .1 _ - .4Communications .1 .1 - - - - .2Agriculture .7 1.0 1.0 .6 .3 .1 3.7Administration & overheads .2 .5 .7 .6 .1 .1 2.2

Sub-Total 1.1 1.7 1.8 1.3 .4 .2 6.5

Consulting services .2 .1 - - - - .3

Base Cost 2.8 5.6 13.0 8.0 2.9 .2 32.5

Contingencies

Physical contingencies .6 3.3 2.2 .5 - - 6.6Expected price increases .2 1.8 5.6 4.6 2.0 .2 14.4

Total Project Cost 3.6 10.7 20.8 13.1 4.9 .4 53.5

ANNEX 7Page 4

INDONESIT.

IRRIGATION PROJECT VI

Sampean Baru Irrigation System

Estimated Schedule of Expenditure

Indonesian Fiscal Year TotalItem 75/76 76/77 77/78 78/79 79/80 80/8f Cost

_-tUS$ Million)7ft----:--------------

Civil Works

Weir & int;ake structure - o.4 0.3 _ - _ 0.7Earth dam & spillway - 1.5 1.9 - - - 3.4Primary canals & structures - 1.4 2.1 1.6 1.0 . 6.1Tertiary canal systems & structures - - 0.3 0.2 0.2 - 0.7Drainage system - - - 0.1 - - 0.1Inspection roads & access roads - 0.2 0.2 0.3 0.3 - 1.0Surveys & borings 0.2 0.1 - - - - 0.3Land levelling - - o.4 o.4 0.3 - 1.1Upland irrigation pilot project _ _ _ 0.1 - - 0.1

Sub-Total 0.2 3.6 5.2 2.7 1.8 -- 13.5

Houses & communications 0.2 0.2 0.1 0.1 - - 0.6Land acquisition 0.1 - 0.1 - _ - 0.2

0 & M during construction - - - - - 0.1 0.1Adrministration & overheads 0.3 o.4 o.4 0.2 0.2 - 1.5

Sub-Total o.6 o.6 o.6 0.3 0.2 0.1 2.4

Consulting services 0.2 0.1 0.1 0.1 0.1 - 0.6

Base Cost 1.0 4.3 5.9 3.1 2.1 0.1 16.5

Contingencies

Physical contingencies 0.1 O.5 1.2 o.6 0.3 - 2.7Expected price increases 0.1 1.1 2.8 1.9 1.8 0.1 7.8

Total Project Cost 1.2 5.9 9.9 5.6 4.2 0.2 27.0

ANNEX 7Page 5

INDONESIA

IRRIGATION PROJECT VI

Miscellaneous Services

Estimated Schedule of Expenditure

Indonesian Fiscal Year TotalItem 75/76 76/77 77/78 76/79 79/6 650781 Cost

--- _-- ---- (Us$ 'oo' F-

Feasibility studies of future 1,200 1,500 300 - - - 3,000project

Soil erosion program 150 150 150 150 - - 600

Balance cost of groundwater 200 300 - - - - 500investigation

Training & study tours 90 150 160 160 - - 560

Technical assistance 90 90 60 - - - 240

Monitoring systems 100 100 100 100 100 100 600

Mapping 300 500 500 - 1,300

Base Cost 2,130 2,790 1,270 410 100 100 6,800

Physical contingencies - 300 300 400 - - 1,000

Expected price increases 400 800 450 450 50 50 2,200

2,530 3,890 2,020 1,260 150 150 10,000

Total Cost (US$ Million) 2.5 3.9 2.0 1.2 .2 .2 10.0

ANNEX 7Page 6

INDONESIA

IRRMGATION PROJECT VI

B. Schedule of Disbursements

Bank Fiscal Year Accumulated& Semester Disbursements

(US$ Million)

19761st 1.02nd 2.5

19771st 6.o2nd 11.0

197019.0

2nd 27.0

1979st5 34.0

2nd 40.0

1980ST o45.o

2nd 50.0

19811st 55.02nd 6o.o

19821st 63.02nd. 65.0

AiNEX 8Page 1

INDONESIA

IRRIGATION PROJECT VI

Training

1. There is a shortage of trained and experienced personnel in almost

all agricultural and irrigation activities in Indonesia. Those trained prior

to World War II are either retired or nearing retirement and tnere is a severeshortage of qualified personnel to replace them and to staff new positions.

Consequently, more than the usual amount of staff training is provided in

tnis project.

Irrigation Training

2. The Ministry of Public Works and Electric Power (MPEP) operatestwo institutes -- the Bandung Technical Academy (Akademi Teknik Pekerjaan

Umum and Tenaga Listrik) and the Surabaya Training Institute. Formerly, the

Academy gave only formal academic courses towards degrees in civil, electrical

and mechanical engineering and architecture but, since 1969, at the requestof the DGWRD it has provided three short refresher courses for irrigationsectional and sub-sectional officers and a course for irrigation construction

foremen. The courses last for a period of three months, training about 100persons in total.

3. The Surabaya Institute was established in 1970 with the sole

purpose of training old and newly recruited irrigation sub-sectional officers

and field foremen (Pengamat). The course for new recruits comprises three

months of classroom study and nine montns of actual field work in an operatingirrigation project. The course for officers who have already been in service

a few years, consists of three months classroom study only. Each of the

courses trains about 40 men. Local training in these institutes would

continue under the DGWRD's program from GOI funds. The training proposedunder the project is as follows:

4. Audio-Visual 0 & M Training. A program of training with audio-

visual systems and the necessary equipment would be prepared at the Surabaya

Training Institute where facilities already exist. Foremen (Pengamat) and

sub-foremen (Jurus) would be given audio-visual training for a period of

one month all over Indonesia and nine months of actual field work. Foreign

consultants experienced in this field (R. Jorgensen, USA) would lnelp prepare

the program (Annex 4). Once the tapes and coordinated slides have been

prepared, thiey would be duplicated and distributed througnout the country.

About 20 courses would be prepared covering all aspects of 0 & M work.

ANNEX 8Page 2

5. 0 & M In-Service Training. Some 20 Provincial chief and sectionirrigation engineers would be sent overseas for 0 & M in-service trainingfor a period of 3 months each. They would work on selected systems withtheir equivalent level officers. A suitable training place would be Malaysiawhere there are no language problems and 0 & M is of a high standard.

6. Study Tours. Six senior engineers would be sent for study toursin neighboring countries for a period of two months each, and 6 middle-levelengineers would be sent for training at the East-West Center at Hawaii orother suitable institution. DGWRD would select the engineers and they wouldbe sent in the early years of project implementation.

7. In-service Planning and Design Training. The foreign consultantsto be engaged under the project would provide training to their counterpartsin planning, design and construction (Annex 4). Under the terms of thereference of the consultants for Cirebon, Rentang and Sampean Baru, theywould be required to associate themselves with local Indonesian consultingfirms. This would uplift the capacity of these firms and their staff.

8. Post Graduate Training. The DGWRD would select six post graduatelevel engineers qualified in planning and design. They would be sent fortraining overseas for a period of 12 months each to work at selected institu-tions or with suitable firms.

Agricultural Training

9. MOA is responsible for agricultural training below universitylevel. Senior Agricultural High Schools, of which there were 96, are beingexpanded and equipped under Credit 288-IND, and 14 new such schools should beoperational in 1977. Student output would then be about 900 per annum. TheInstitute Pertanian Bogor (IPB) provides three-month courses for MOA staffin specialized fields, i.e., rice production, plant protection, etc., assubject matter specialists. Training of some 35 Provincial agriculturalists.as subject matter specialists would be included in the project.

10. Eight MOA senior staff working on the project would be sentoverseas for courses of about three months duration to study their particularspeciality, i.e., rice production techniques, multiple croppings, riceagronomy, plant protection and farmer organizations.

12. Training in modern agricultural practices would be provided underthe project for all agricultural officers and extension workers working atthe sub-district (Kecamatan) and village (Desa) levels in the project area.Subjects to be covered in the training would include: (a) characteristics ofnew rice varieties and some important upland crops and modern agriculturalpractices for these crops; (b) irrigation water management; (c) the use offertilizers and pesticides; and (d) methods and techniques of approaching,reaching and gaining cooperation of the farmers. The training courses wouldlast about one month and would be conducted at the ADC and in Rural ExtensionCenters, where farmers would also be trained.

ANNEX 9

INDONESIA

IRRIGATION PROJECT VI

Crop and Farm Budgets

Tne present and projected cropping patterns are given in Annex 1.Tables attached to this Annex include the following for each project area:

(a) crop production costs under present and future "with"

project conditions (Table 1). Present costs arebased on the results of interviews in the area duringappraisal. The input levels for future "with project"conditions are mainly based on recommendations by theAgricultural Extension Services of the Ministry ofAgriculture with minor modification, and on assumptionsof increased mechanization of threshing and some introduc-tion of more efficient harvesting by sickles;

(b) monthly labor requirements are based on present and proposedcropping calendars (Table 2). It is assumed that therewould be no major change in the method of land preparationunder the project, while there would be an increase in thelabor requirements for crop management, which covers suchactivities as weeding, fertilizer and pesticide application,harvesting and water control practices;

(c) crop budgets uader present and future conditions "with"the project (Tables 3-5).

(d) farm budgets for typical family farms of 0.25 ha, 0.5 haand 1.5 ha (in Cirebon/Rentang) or 1.0 ha (in Sampean Baru)(Tables 6-8). The budgets are calculated on a cash flowbasis and only hired labor has been costed. The monthlyrequirements for hired labor was calculated by comparing thelabor requirements with the availability per farm of a maximumof 40 man-days/month of family labor. Land taxes areestimated at Rp 6,000/ha at full development of whichRp 2,600/ha would be for 0 & M of the irrigation systems.About 30% of the farmers in the Cirebon and Rentang projectareas are sharecroppers. Tnis tenure situation has beentaken into account in the analysis. The budgets are basedon projected market -rices in Indonesia expressed in 1974constant prices. The following symbols are used in thetables: Present (P); Future or full development withproject (W).

INDONESIA

IRRIGA5TION PROJECT VI

Crop Production Cost

Local Variety Paddy WYV Padd

Wet Season Wet Season Dry Season

P W p W p W

Cash Inputs/ (Ro/ha)

Cultivation 7,500 7,500 7,500 7,500 7,500 7,500Seed 6,400 (2,000) 2,600 5,600 (1,800) 1,900 5.600 (1,800) 1,900Fertilizer 2,400 (800) 7,600 12,000 (4,000) 12,000 11,400 (3.800) 12,000Agrn-chenicals - 3,500 6,600 (2,200) 9,000 6,600 (2,200) 9.000Har.esting 9,000 (3,000) 6,500 16,000 (5,600) 12,000 15,000 (5,000) 12,000Other 300 6000 200 600 300 600Interest (900) (1,300) (2,800) (1,300) _ (2,700)

Total Cash Inputs 25,600 (14,500) 28,300 (30,100) 48,600 (22,700) 43,800 (46,600) 46,400 (21,900) 43,000 (45,700)

Labhr Input (nan-days/ha)

Land Preporatio3/ 44 44 44 44 44 44Sowing, Nursery and Planting 36 36 38 38 36 38Crop Management 30 45 55 65 55 70Waryesting and Threshing 45 55 50 70 50 70

Total Labor Inputs 155 Ito 187 217 190 222

1/ Ecoonoic prices bhsed on world nanket prices for rice and fertili-er for use in eco-nmic analysis. Figures in parentheses ore financial prices preyailing at appraiail for use in financial analysis. Costs at presentore higher than those in future, because world narket prices fnr rice (need) and fertiliners are projected to fall (at 1974 constant prices).

2/ Based on the fallouing asaunptions at full developnent:a) Cultivation - 40% of the paddy lands by bhllocks at the rental rate of Rp5O0 per five hour working day, and 60% by hund lahor.b) Seed ruts - 35 kg/ho of local variety and 25 hg/ha of HYV.c) Fertilioer - 100 kg/ha of Urea and 20 kg/ha of TSP for local variety,and

150 kg/ha of Urea and 40 kg/ha of TSP for iiVY. Costed at Rpp210/kg for econanic analysis,and Rp4O/kg for fare budget at present, and at Rp63/kg for both ecnonoic and financial analyses in the future.

d) Agro-chemicals - 0.5 lit./ha of Diazinon and 0.2 kg/ha of Zinc Phosphate for local varietyand1.5 lit./ha of Diazinon and 0.3 kg/ha of Zien Phosphate for HYV.

e) Harvesting - Mechanical threshing, transport and drying facilities, rested at 5% cf the production value.f) Other - 0 &IM charges for the ninor irrigation systeas and other costs. .g) Interest - Ass-uied interest of 77. per year of production credit for 7 nonthn on 90% of cash inputs. A

3/ EIcluding labor handling bullo-ks, the cost of which is included under cash inputs.

INDONESIA

IRRIGATION PROJECT VI

Crop Production Cost-'/

Soyabean

Before Wet Season Rico After Wet Season Rice Sugarcane

2/PWCash Inputsa (Rp/ha)

Cultivation - - 90500 95000

Seed/Pla ting Material 4,800 5,900 4,800 5,900 29,000 (11,000) 10.500

Fettilirer - 1,300 - 2,200 42,000 (14,000) 22,000

Agro-chemicals - 500 _ 1,000 6,000 (3,500) 6,000

Harvosting--OHert 150-- 42,000 (16,000) 19,000Other 100 200 300 600 13,000 (70,000) 95,000

Interest (500) (700) (500) (900) (13.000) (17.000)

Total Cash Inputc 4,900 (5,400) 8,300 (9,000) 5,100 (5,600) 9,700 (10,600) 141,500 (138,000) 162,000 (179,000)

Labor Inputs (nan-days/ha)

Land P-p-tion 20 30 20 30 120 120

Sewing, Planting and Nuroery 15 20 15 15 100 100

Crop Mlanagement 20 30 35 45 110 140

Harvesting 20 30 30 40 130 170

Total Labor Inputs 75 100 100 130 460 530

1/ Economic prices based on world market prices for crops asd fertilioet for use in economic analysis. Figures in parentheses are financial prices prevailiog at appraisal for use in fans budget a-alysis. Costs at present are

higher than thoso in the fature, bec.ase world market prices fot crops (sed) rod fertilizers are projected to fall (at 1974 c.ostant prices).

2/ Based as the following aossuptions at fil1 development:a) Cultivation - 100% by hand labor for soyabetn and 50% by bullock for sugarcans.b) Seeding rate - yoyahea.; 45 kg/ha, costed at 130 Rp/kg.

Planting rate - sug=rcane; 1 ton/ha/y-ar of cane, costed at 10,500 Rp/ton/year.

c) Fertilier -soyabear; DAP 20 kg/ha ie the wet season and 35 hg/ha in the dry Season.

- sugarcane; Urea 250 kg/ha and TSP 100 kg/ha.Costed at Rp 63/kg.

d) Agro-chemicals - lamp sun.e) Other - 0 & 11 charges for the niner irrigation systems and other roots.

f) Interest - 10% of production credits on 90% of cash inpots for soyabe-n, and15% fec 18 months on 70% of cash inputs for sugar cane.

3/ Excloding laoho handling bulonks, the cost of which is included onder cash inputs.

INDONESIA

IRRIGATION PROJECT VI

Crop Production Costsl/

Con C-eeva Cotton (Sced)Wet Season Wat Season Dry Seosoa Dry Se.o..

p W P WI P SW P W

Cash Inpouts (np/ho)

Cultivotion 5,000 6,000 1,000 _ 3,000 - 5,000 6,000Soed/Plantieg Mater-lo 1,300 (1,100) 1,500 400 - 400 - 6,200 4,600Fertilizar 6,000 (2,000) 5,700 - 1,200 (400) - 18,000 (6,000) 9,400Agro-chnontcols - 2,500 - 6,000 (2,000) 6,000Humps tiepOth-r - 600 - 1 ,000 (10000) 20,000Intorast (600) (1,100) (1 (2600) (4.000)

Total Canh Inputs 12,300 (8,700) 16,300 (17,400) 1,400 (1,500) 4,600 (4,100) - 53,200 (39,800) 46,000 (50,000)

Labor Inputs (nan-dove/ho)

Lsnd Preporation 20 20 10 15 40 40sowing/Pla-ting 10 15 2 - 2 - 15 15Crop Maeage-seet 35 45 8 - 10 30 50Harvesting 25 35 10 25 - 35 60

Total Labor Iepute 90 115 30 - 52 _ 120 165

I/ Economi prices bhsed 00 world narket pricoa for -ru, cotton (eod), and f-rtili-er fot con Sn economi. onalystn. Figures in parentheses are ficoncial prices prevailing at appra-ial fo-se in farn budget analysi-. Costs at pr-s-nta- high-r than those in fuurer, becouse world norket prices for crop (seed) and fertilizee- are projected to fall (at 1974 constant pricos).

2/ BDsed on the followieg aetetapti-ne at full dovelop-ent:a) Cultivation - 50%. of tho landn propared by bullocks at the rental rate of Rp500 pun fiv- hbor working day, and 50% by haud labor.b) Sped rate - corn; 20 kg/ba, costed at 75 Rp/kg. Cotton:; 0 kg/ha, contod at 230 Rp/kg. C.asa.v:; Iup stu for planting rateria.,r) Fertili-er - corn; Urea 70 hg/ha and TSP 20 kg/ha. Cotton; DAP 150 kg/ha. Coatid at 63 Rp/kg.d) Agro--heiralu - loop sun,e) Other - O & M charges fur the rinur irrigation synste= und othbr route.f) Intereat - 10% 00 pr-du-ti-n redits fur 70% of ranh inputs.

3/ Eicluding labor haudling bull:ckn, the root of which in included under rc-h inpun.t

INDONESIA

IRRIGATION PROJECT VI

Monthly Labor Requirements (=an-dayu/ha)

Jan Feb Mar Apr Ma Jun Jul Aug Oct Nov Dec TotalWet Sea ion

Local ar. Paddy P 36 5 15 40 5 _ _ _ _ _ 15 39 155w 36 6 17 40 10 - _ _ _ _ 15 39 163W 36 10 20 45 15 _ 15 39 180

HYV Paddy P 53 10 20 45 5 - - - - _ 15 39 187Wd 53 10 25 45 13 - _ _ _ _ 15 39 200W 55 13 30 50 15 _ _ _ _ _ 15 39 217

Second. Crop P - - - - - - - 20 15 10 10 20 75(Soyabean) - - - - - 25 15 12 13 25 90

w - - _ _ - - 25 25 15 15 30 110

Corn P 13 12 25 _- - - - 20 20 90W 13 12 28 - _ _ _ _ _ - 20 22 95W 13 13 37 - _ _ _ _ _ _ 20 30 115

Cassava p 6 - - 2 4 4 4 _ - - 10 30W, 6 - _ 2 4 4 4 - 10 30W - - - - _ - _ _ _ _ _ _ _

Dry, SeasonHYV Paddy P - - - - 15 39 55 15 16 40 10 - 190

W - _ _ _ 15 39 55 17 18 45 13 - 202w - _ _ _ 15 39 60 18 20 55 15 - 222

Cassava p 3 - - 17 11 - - 3 7 7 4 - 52Wd 3 - - 17 U - - 3 7 7 - 52W - - - _ _ _ _ _ _ _ _

Second. Crops P - - - 10 25 15 10 10 30 - _ _ 100(Soyabean) - - - 10 25 20 13 12 35 - - - 115

W - _ _ 10 30 20 15 15 10 _- - 130

Cotton P - - - 40 20 10 8 7 10 25 - - 120W - - 40 20 10 10 10 10 27 - - 127w - - - 40 20 15 15 15 15 45 - - 165

Sugar Cane I 7 7 17 53 98 100 77 46 24 17 7 7 460W 7 7 17 55 1o 110 80 46 24 17 7 7 480W .0 10 23 55 lr 110 87 K3 33 20 10 10 530

INDLONESIA

IRRIGATION PROJECT VI

Cirebon: Crop Budgets'l/

Local Variety Paddy HYV Paddy (Wet Season) HYV Paddy (Dry Season)

P W P w P W

Yield (ton/ha) 1.5 2.3 2.8 4.5 2.5 4.2

Farm-gate price (Rp'000/ton) 40.0 53.0 40.0 53.0 40.0 53.0

Gross Value of Production (Rp'000/ha) 60.0 121.9 112.0 238.5 100.0 222.6

Production Costs2/ (Rp'OQO/ha) 14.5 30.1 22.7 46.6 21.9 45.7

Net Value of Production-. (Rp'000/ha) 45.5 91.8 89.3 191.9 78.1 176.9

Labor Requirements (man-days/ha) 155 180 187 217 190 222

Soyabean (Wet Season) Soyabean (Dry Season)

P W P W

Yield (ton/ha) 0.4 0.8 0.7 1.2

Farm-gate Price (Rp'000/ton) 130 104 130 104

Gross Value of Prqduction (Rp'000/ha) 52.0 83.2 91.0 124.8

Production Costs.2/ (Rp'OQ0/ha) 5.4 9.0 5.6 10.6

Net Value of Production2? (Rp'000/ha) 46.6 74.2 85.4 114.2

Labor Requirements (man-days/ha) 75 110 100 140

1/ Financial costs and prices based on Annex 9, Table 1

2/ Excluding labor costs.

'A1

INDONESIA

IRRIGATION PROJECT VI

Rentang: Crop Budgets./

Local Variety Paddy HYV Paddy (Wet Season) HYV Paddy (Dry Season)

P w P W P w

Yield (ton/ha) 1.7 2.3 3.0 4.5 2.8 4.2

Farm-gate Price (Rp'000/ton) 40.0 53.0 40.0 53.0 40.0 53.0

Gross Value of PTrduction (Rp'000/ha) 68.0 121.9 120.0 238.5 112.0 222.6

Production Costs-! (Rp'0200/ha) 14.5 30.1 22.7 46.6 21.9 45.7

Net Value of Production- (Rp'000/ha) 53.5 91.8 97.3 191.9 90.1 176.9

Labor Requirements (man-days/ha) 155 180 187 217 190 222

Soyabean (Wet Season) Soyabean (Dry Season)

P W P W

Yield (ton/ha) 0.7 1.2 90.0 115.0

Farm-gate Price (Rp'000/ton) 130 104 8.8 8.4

Gross Value of P2gduction (Rp'000/ha) 91.0 124.8 792.0 966.0

Production Costs- (RP'90O/ha) 5.6 10.6 138.0 179.0

Net Value of Production- (Rp'000/ha) 85.4 114.2 654.0 787.0

Labor Requirements (man-days/ha) 100 140 320 380

1/ Financial costs and prices based on Annex 9, Table 1.

2/ Excluding labor costs.

INDONESIA

IRRIGATION PROJECT VI

Sampean Baru: Crop Budgets!/

Local Variety Padd:A HYV Paddy (Wet Season) Corn Soyabean (Dry Season)

p W P W P W P W

Yield (ton/ha) 1.5 - - 4.0 0.8 2.0 0.4 1.0Farm-gate Price (Rp'000/ton) 40.0 - - 53.0 46.o 43.0 130 104Gross Value of P5?duction (Rp'000/ha) 60.0 - - 212.0 36.8 86.0 52.0 104.0Production Costs- (Rp'000/ha) 14.5 - - 46.6 8.7 17.4 5.6 10.6Net Value of Production2/ (Rp'000/ha) 45.5 - - 165.4 28.1 68.6 46.4 93.4Labor Requirements (man-days/ha) 155 - - 222 90 115 100 140

Cassava (Wet Season) Cassava Cotton (Seed)_

P W P w P W

Yield (ton/ha) 0.3 - 3.0 - 1.0 1.5Farm-gate Price (Rp'000/ton) 7.0 - 7.0 - 244 178Gross Value of Production (Rp'00/ha) 2.1 - 21.0 - 244.0 267.0Production Costs ! (Rp'090/ha) 1.5 - 4.1 - 39.8 50.0Net Value of Production?! (Rp'000/ha) 0.6 - 16.9 - 204.2 217.0Labor Requirements (man-days/ha) 30 - 52 - 120 165

1/ Financial costs and prices based on Annex 9, Table 1,

2/ Excluding labor costs.

3/ Cassava interplanted with corn.

INDONESIA

IRRIGATION PROJECT VI

Cirebon: Farm Budgets

0.25 ha Farm 0.5 ha Farm 1.5 ha FarmOwner Farmer Sharecropper Owner Farmer Sharecropper Owner Farmer Sharecropper

Unit Present Future Present Future Present Future Present Future Present Future Present Future

Local Variety Paddy (Wet) ha 0.10 0.03 0.10 0.03 0.17 0.05 0.17 0.05 0.40 .20 0 40. 0.20

HYV Paddy (Wet) ha 0.15 0.22 0.15 0.22 0.33 0.45 0.33 0.45 1,10 1.30 1.10 1.30

11YV Paddy (Dry) ha 0.08 0.10 0.08 0.10 0.10 0.15 0.09 0.14 0.25 0.30 0.25 0. 36

Secuadary Cru,, ha 0 ') 0.05 0.05 0.05 0.10 0.08 0,1W 0.08 0.15 0.15 0.15 015

Total CroppeeI A,'fi- ha 0.38 0.40 0.38 0.40 0.70 0.73 0l 69 0.72 1.90 1.95 1.90 J .95

Cropping Intensity % 152 160 152 160 140 146 138 144 127 130 127 130

Total Crop Production -

Paddy kg 770 1,480 770 1,480 1,430 2,770 1,430 2,770 4,310 7,570 4,310 7.570Secondary Crops kg 40 60 40 60 70 100 70 100 110 180 110 180

Gross Value of Production Rp '000 36.0 84.7 36.0 84.7 66.3 157.2 66.3 157.2 186.7 420.0 186.7 420.0

Sharecrcpper's Payment to Land Owner Rp '000 - - 18.0 42.3 - - 33.1 78.6 - - 93.3 210.0

P ,c Cow t(ts Rp '000 6.9 16.3 3.4 8.1 12.7 30.2 6.3 15.1 37.1 81.9 18.5 40.9

Co%t of Hired Farm Labor 31 Rp '000 - - - - - - - - 15.3 19.3 7.6 9.6

Net Value of Production

(Before Water Charges) Rp '000 29.1 68.4 14.6 34.3 53.6 127.0 26.9 63.5 134.3 318.8 67.3 159.5

Land Tax Including Water Charges 4/ Rp '000 0.4 1.5 - - 0.8 3.0 - - 2.3 9.0 - -

Net Crop Income 5/ Rp '000 28.7 66.9 14.6 34.3 52.8 124.0 26.9 63.5 132.0 309.8 67.3 159.5

Farm Labor Requirements man-days 55 82 55 82 117 150 117 150 331 405 331 /,05

1/ Based on Annex 1, Tables 4 and s

2/ Based on Annex 9, Table l.3/ Based on maximum availability of 40 man-days per month of family labor.4/ IPEDA. Rp 1,500/ha at present and Rp 6,000/ha in the future.

5/ Assumes all paddy is sold, actually small farmers' families will eat much of the crop.

INDONESIA

IRRIGATION PROJECT VI

Rentang: Farm Budgets

0.25 ha Farm 0.5 ha Farm 1.5 ha FarmOwner Farm Sharecropper owner Farm Sharecropper Owner Farm SharecropperUnit Present Future Present Future Present Future Present Future Present Future Present Future

Local Variety Paddy (Wet) ha 0.08 0.03 0.08 0.03 0.25 0.08 0.25 0.08 0.75 0.25 0.75 0.25

HYV Paddy (Wet) ha 0.17 0.22 0.17 0.22 0.25 0.42 0.25 0.42 0.75 1.25 0.75 1.25

HYV Paddy (Dry) ha 0.08 0.10 0.08 0.10 0.14 0.16 0.13 0.15 0.40 0.49 0.40 0.49Secondary Crops ha 0.02 0.02 0.02 0.02 0.02 0.02 0.02 0.02 0.01 0.01 0.01 0.01

Total Cropped Area ha 0.35 0.37 0.35 0.37 0.66 0.68 0.65 0.67 1.91 2.00 1.89 1.98

Cropping Intensity % 140 148 140 148 132 136 130 134 127 133 127 133

Total Crop Production -/

Paddy kg 870 1,480 870 1,480 1,570 2,740 1,540 2,700 4,650 8,270 4,650 8,270Secondary Crops kg 20 30 20 30 20 30 20 30 10 20 10 20

Gross Value of Production Rp '000 37.4 81.6 37.4 81.6 65.4 148.3 64.2 146.2 187.3 440.4 187.3 440.4

Sharecropper's Payment to Land Owner Rp '000 18.7 40.8 32.1 73.1 93.6 220.2

Production Costs 2/ Rp '000 6.9 15.9 3.4 7.9 12.5 29.5 6.2 14.7 36.7 88.3 18.3 44.1

Costs of Hired Farm Labor - Rp '000 - - - - - - - - 15.1 30.7 7.5 15.3

Net Value of Production(Before Water Charges) Rp '000 30.5 65.7 15.3 32.9 52.9 118.8 25.9 58.4 135.5 321.4 67.9 160.8

Land Tax Including Water Charges 4 Rp '000 0.4 1.5 - - 0.8 3.0 - - 2.3 9.0 - -

Net Crop Income 5/ Rp '000 30.1 64.2 15.3 32.9 52.1 115.8 25.9 58.4 133.2 312.4 67.9 160.8

Farm Labor Requirements mnan-days 61 78 61 78 113 142 113 142 333 425 329 421

1/ Based on Annex 1, Tables 6 and 7.2/ Based on Annex 9, Table 1.3/ Based on maximum availability of 40 man-days per month of family labor.4/ IPEDA. Rp 1,500/ha at present and Rp 6,000/ha in the future.5/ Assumes all paddy is sold, actually small farmers' families will eat much of the crop.

ANNEK 9Table 8F

INDONESIA

IRRIGATION PROJECT VI

Sampean Baru: Farm Budgets

0,25 ha Farm 0.5 ha Farm 1.0 ha FarmUnit Present Future Present Future Present Future

Local Variety Paddy (Wet) ha 0.10 - 0.10 _ 0.20 -

HYV Paddy (Wet) ha - 0,20 - 0.40 - 0.75

Corn (Wet) ha 0.08 0.05 0.13 0.08 0.25 0,20

Cassava (Wet) ha 0.05 - 0.10 - 0.20 -

Cassava (Dry) ha 0.0i - 0.07 - 0.13 -

Soyabean (Dry) ha 0.01 0.22 0.05 0.43 0.10 0.88

Total Cropped Area ha 0.28 0.47 0.45 0.93 o.88 1.83

Cropping Intensity % 112 188 90 186 88 183

Total Crop Production -

Paddy kg 150 800 150 1,600 300 3,Q000Corn kg 60 100 110 160 200 400Cassava kg 140 - 340 - 990 -

Soyabean kg 5 220 20 430 400 880

Gross Value of Production Rp '000 10.4 69.6 16.0 136.4 69.7 267.7

Prodaction Costs J Rp '000 2.5 12.5 3.3 7.8 6.5 47.8

Cost of Hired Farm Labor-/ Rp '000 - - - - - 1.4

Net Value of Production(Before Water Charges) Rp '000 7.9 57.1 12o7 128.6 63.2 218.5

Land Tax ap1 WaterCharges 4 Rp '000 0.4 1.5 0.8 3.0 1. 6.o

Net Crop Income Rp 1000 7.5 55.6 11.9 125-6. 61.7 212.5

Farm Labor Requirements man-days 28 78 40 152 72 301

l/ Based on Annex 1, Tables 8 and 9.

2/ Based on Annex 9, Table 1.

3/ Based on maximum availability of 40 man-days per month of faxdly labor.

4/ IPEDA. Rp 1,500/ha at present and Rp 6,000/ha in the future.

5 Assumes all paddy is sold, actually small farmers' families will eat much of thecrop.

ANNEX 10Page 1

INDONESIA

IRRIGATION PROJECT VI

Economic Analysis

Prices

1. All farm inputs and outputs were evaluated at projected 1985 farm-gate prices expressed in 1974 constant prices. For the major interna-tionally traded commodities, these prices correspond to the Bank's worldmarket price projections. The calculations are given in Table 1. Inthe absence of a Bank world market price projection for cassava, thepresent farm gate price of Rp 7 per kg (US$17 per ton) has been used.

Farm Labor

2. There are no comprehensive, reliable statistics on populationand labor force in the project areas. Total population in the projectareas was estimated based on the 1971 population census and the 1963agricultural census. Assuming an average family size of seven, 2.0 full-time workers per family and a participation of agriculture in overallemployment of between 80 and 85%, total labor supply at present is about550,000 farm workers in the Cirebon and Rentang project areas combinedand about 50,000 in Sampean Baru. Assuming further that each workerprovides 20 days' labor per month gives an estimated farm labor supplyof 11 million man-days per month in Cirebon/Rentang and 1.0 million man-days in Sampean Baru. With 1.8%' annual growth of farm population, themonthly farm labor supply at project full development would be about 14million man-days in Cirebon/Rentang and 1.2 million man-days in SampeanBaru.

3. Estimates of total monthly and annual labor requirements forvarious crops are given in Table 2. Total labor requirements by monthare given in Table 3. These figures show considerable seasonal fluctua-tion. Since most labor would be unpaid family labor, labor mobility islimited and the market wage for unskilled labor is frequently fixed bycustom rather than market forces, the wage actually paid does not reflecttihe true cost of labor to the economy. The opportunity cost of laborwas therefore estimated on a monthly basis using available informationon labor supply and demand. Tne approach used does not attempt to adjustfor intertemporal or interpersonal income distribution effects, or to placea value on leisure.

4. It is postulated that the marginal opportunity cost of farm laborin the project areas can be approximated by S-shaped curves (Chart 9303).The opportunity cost is positive at all levels of labor demand and increases

ANNEX 10Page 2

as more labor is employed in farm work. Tihe increase is slow at high levelsof unemployment but becomes faster as tile labor supply becomes fullyused. At full employment in the project areas, tne opportunity cost isassumed equal to the market wage. As the demand for farm labor increasesbeyond this level, the curve continues to rise but at a slower rate. Ata level of 15 to 20% above the prevailing full employment wage, the curvebecomes horizontal, indicating that at that opportunity cost (and marketwage), large numbers of laborers would be attracted to the project areasfrom surrounding areas.

5. It is reasonable to approximate each S-shaped curve by cireestraight line segments. Three points based on information from the pro-ject areas determine their positions. Point A indicates the minimumopportunity cost of farm labor. The opportunity cost is estimated as thevalue of alternative output foregone in non-farm employment, such as fishingand minor trades, of about Rp 100 per man-day in Cirebon/Rentang and Rp 50per man-day in Sampean Baru. Point 13 indicates that at full employment of14 million man-days per month in Cirebon/Rentang and 1.2 million man-days permonth in Sampean Baru, the opportunity cost would equal the market wage ofRp 210 and Rp 105 in the two areas, respectively. The horizontal segment tothe right of Point C indicates that at a wage of Rp 250 in CirePon/Rentangand Rp 125 in Sampean Baru, large numbers of farm laborers wouldbe attracted to the project areas from outside.

6. The monthly marginal opportunity cost may be read directly fromthe curve at the appropriate level of labor demand. The total economiccost of labor is then the area under the curve up to that level of employ-ment. Computed this way, the economic cost of labor would be Rp 5,505 mil-lion with the project at full development and Rp 4,552 million without theproject, or an incremental cost of Rp 953 million in Cirebon/Rentang, andRp 154 million with and Rp 40 million without the project, or an incre-mental cost of Rp 114 million in Sampean Baru. 'fnis would be equivalent topricing the incremental employment of 8.4 million man-days per year inCirebon/Rentang at a shadow wage of Rp 113 per man-day, and the incrementalemployment of 2.2 million man-days per year in Sampean Baru at a shadowwage of Rp 52 per man-day.

Project Costs

7. Capital costs amount to US$43.6 million for Cirebon, US$35.5 mil-lion for Rentang and US$17.5 million for Sampean BIaru, including physicalcontingencies but not costs due to expected price increases. Operationand maintenance costs include those for irrigation, drainage, project roadsand agricultural services.

Development Period

8. Project benefits would begin with completion of tertiary canalsystems and structures. According to the project implementation schedules,construction of tertiaries for the Cirebon systems would begin in mid1976-77 and continue througlh 1980-81. For Rentang the completed area wouldbegin in mid 1975-76 and continue to increase through 1979-80. For Sampean

ANNEX 10Page 3

Baru, the first irrigated areas would be completed in 1977-78 and the

entire 9,400 ha would be served by 1979-80. It has been assumed that full

development yield levels would be reached over five years from the year ofcompletion in the Cirebon and Rentang areas, and over six years in theSampean Baru area. Thus full development production is assumed in 1984-85for Rentang, and 1985-86 for Cirebon and Sampean Baru.

Project Benefits

9. Project benefits are taken as the incremental net value ofproduction after deducting the inputed cost of farm labor. It was assumedthat production would increase 1% per annum (or about 10% to full development,without the project. This is derived in Table 4 for the three project areas.

Economic Rate of Return

10. Using the foregoing assumptions and discounting project costs andbenefits over a 50 year project life, the economic rate of return isestimated to be 38% for Cirebon, 44% for Rentang and 17.5% for Sampean Baru(Table 5). If a 30 year life is used, there is no change in the percentages.

Sensitivity Analysis

11. Several of the basic assumptions made in the economic analysishave been varied in order to examine their impact on the rates of return.The effects of the various assumptions are as follows:

Assumption Cirebon Rentang Sampean Baru-- %- …- - ---

(a) Full employment wage rate 36 42 16

(b) Shadow wage rate of zero 42 47 19

(c) Full development delayed by fouryears 30 32. 15

(d) Benefits decreased by 25% 28 30 14

(e) Construction cost increased by 15% 31 38 15and benefits slipped according tocost overrun

12. The foregoing results show little sensitivity to the assumptionsmade in costing labor and moderate sensitivity to the rate of agriculturaldevelopment and the level of benefits attained. These results indicate thathigh priority must be given to agricultural extension and the timely provisionof sufficient farm inputs, particularly fertilizers.

ANNEX 10Table 1Page 1

INDONESIA

IRRIGATION PROJECT VI

Comodity Price Structure, 1974 and 1985

(Rp or US$/ton at constant 1974 prices)

1974 1985Rp/ton US$/ton Rp/ton US$/ton

RiceEcport price Thai 25%-35% brokenfob Bangkok 186,300 45o 78,660 190Ocean Freight Bangkok-Jakarta 7,450 18 7,450 18Port Handling Jakarta 2,500 6 2,500 6Transport Jakarta to Cirebon 6,300 15 6,300 15Price milled rice, Cirebon 20Z,55 94i.,910 2Paddy Equivalent price, Cirebon (0.62) 125,600 303 58 800 142Milling costs less value of by-products - 3,5003Transport Farm to Mill - 2J500 -6 -2 500 - 6Farm gate price of paddy 119,600 2T 5,79

(Financial farm gate price)2! (40',oo0) (97)Soybean

Export Price of bean fob U.S. 110,100 266 83,200 201Freight US - Jakarta 26,900 65 26,900 65Port Handling Jakarta 2 500 6 2,500 6Price of bean, Jakarta 1 112,600 =7Transport, Cirebon-Jakarta - 6,300 -15 - 6,300 -15Transport, farm-Cirebon - 2,500 - 6 - 2 500 - 6Farm gate price of soybean J3O1700 T2T 1,0-

SugarcaneExport price fob Caribbean 191,700 463 82,000 198Ocean freight Caribbean-Jakarta 26,900 65 26,900 65Port Handling Jakarta 2 500 6 2 500 6Price of sugar, Jakarta 22 0 111,400 2Transport,project area-Jakarta - 6,300 -15 - 6,300 -15Processing and cane transport -20,800 -50 -20 800 -50Farm gate price of cane per ton sugar 194,000 77 64,300 TOTFarm gate price of sugar cane (0.10) 19,400 47 8,400 20

1/ Financial prices lower than economic prices for outputs and inputs in 1974 reflectGovernment policy to keep food prices low internally in the face of record high worldmarket prices. It is assumed that as world market prices fall in real terms accordingto Bank commodity price forecasts, distortions between internal and world prices willbe eliminated.

ANNE= 10Table 1Page 2

CornExport price fob Bangkok 45,54o 110 38,500 93Ocean Freight Bankok-Surabaya 8,280 20 8,280 20Port handling Surabaya 2,500 6 2 500 6Price of corn, Surabaya 56,3Zo iII 49,Zo MTransport Bondowoso to Surabaya - 5,000 -12 - 5,000 -12Transport farm to Bondowoso - 1,650 - 4 - 1,650 - 4Farm gate price of corn 49,670 i55 4Z,630(Financial farm gate price) 1/ (46,000) (110)

CottonPrice of lint cif Liverpool 641,700 1,550 455,400 1,100Transport US-Surabaya less US-Liverpool 35,200 85 35,200 85Port handling Surabya 3,300 8 3 300 8Price of cotton, Surabaya 6 0 0,200 493,U 1,930Transport project area to Surabaya - 5,000 - 12 - 5,000 - 12Ginning Cost -25,000 - 60 -25,000 - 60Transport farm to ginning factory - 2 500 - 6 - 2 500 - 6Farm gate price of cotton per ton of lint 61,565 461,400 1,115Farm gate price of seed cotton (0.35)

allowing for value of seeds 244,000 590 178,000 430

UreaExport price fob Tokyo 103,500 250 45,600 111Transport Tokyo - Jakarta 6,200 15 6,200 15Port handling, Jakarta 2 500 6 2 500 6Price of urea, Jakarta 112,200 271 -1317Transport, Jakarta - Cirebon 6,200 15 6,200 15Transport, Cirebon to farm 2 000 5 2 000 5Farm gate price of urea 291 150

(Financial farm gate price) 1/ (40,000) (97)

1/ Financial prices lower than economic prices for outputs and inputs in 1974 reflectGovernment policy to keep food prices law internally in the face of record high worldmarket prices. It is assumed that as world market prices fall in real terms accordingto Bank commodity price forecasts, distortions between internal and world prices willbe eliminated.

ANNEX 10Table 2

INDONESIA

IRRIGATION PROJECT VI

Total Monthly Labor Require-sents (mao-days'000)1/

Area (ha) Jan Feb Mar Apr May -Jon Juo Awg 8ep Oct Nov Dec Total

Cirebon end Rentang Irrination Syste-s

Wct Seae.n

Local Variety Paddy / 77,000 2,772 35 1,155 3,00 385 1,155 3,003 11,935W 77,000 2,772 462 1,309 3,080 770 - - - - - 1,155 3,003 12,55114 21,000 756 210 420 945 315 - - _ _ _ 315 819 3,780

MYV Paddy P 96,000 5,088 960 1,920 4,320 480 - - _ - _ 1,440 3,744 17,952W 96,000 5,088 960 2,400 4,320 1,248 _ _ _ _ _ 1,440 3,744 19,200W 152,000 8,360 1,976 4,560 7,600 2,280 - - _ 2,280 5,928 32,984

Secondary Crepe p 1,500 - - - - - - - 30 23 15 15 30 1135 1,500 - - - - - - - 37 23 18 20 37 135W 1,500 - - - - - - - 37 37 23 23 45 165

Dry S..aon

RYV Paddy P 35,000 - - - - 525 1,365 1,925 525 560 1,400 350 - 6,650W 35,000 - - _ _ 525 1,365 1,925 595 630 1,575 455 - 7,070W 44,000 - - - - 660 1,716 2,640 792 880 2,420 660 - 9,768

Sugar Cane P 7,500 52 52 128 398 735 750 578 345 180 128 52 52 3,450W 7,500 52 52 128 413 773 825 600 345 180 128 52 52 3,60014 7,500 75 75 172 413 817 825 652 398 248 150 75 75 3,975

Secoedary Crops P 19,500 - - - - 683 292 195 195 585 - - - 1,950W 19,500 - - - - 684 390 293 293 604 - - - 2,344W 201000 800 400 300 300 000 - -_ 2.600

Total p 236,500 7,912 1,397 3,203 7,798 2,808 2,407 2,698 1,095 1,348 1,543 3,012 6,829 42,050W 236,500 7,912 1,474 3,837 7,813 4,000 2,580 2,818 1,270 1,517 1,721 3,122 6,836 44,900W 246,000 9,191 2,261 5,152 8,958 4,872 2,941 3,592 1,527 1,965 2,593 3,353 6,867 53,272

Sampson Bar- Irrigation Systma

We.- Season

Local Variety Paddy P 2,000 72 10 30 80 10 - - - - - 30 78 310W 2,000 72 12 34 80 20 - - - - - 30 78 326W4 - - -- -_-_ _ ___-__- -

RYV Paddy P14 - - - - - - -- ------W 7,500 412 98 225 375 113 - - - - - 113 292 1,628

Corn P 2,500 33 30 62 - - - - - - - 50 50 225W 2,500 33 30 70 - - - - - - - 50 55 238W 1,900 29 25 70 - - - - - - - 38 57 219

Cassava/ P 2,000 12 - - 4 8 8 8 - - _ _ 20 60W 2,000 12 - - 4 8 8 8 - - - - 30 60

Sty Season

Consave P 1,300 4 - - 22 14 - - 4 9 9 5 - 67W 1,300 4 - - 22 14 - - 4 9 9 5 - 67

Secondary Crepe P 600 - - - 6 15 9 6 6 18 - - - 60W 600 - - - 6 15 12 8 7 21 - - - 6914 8,600 - - - 86 258 172 129 129 344 - - - 1,118

Cotton (S8ed) P 400 - - - 16 8 4 3 3 4 10 _ _ 48W 400 - - - 16 8 4 4 4 4 11 - - 51W 400 - - _ 16 8 6 6 6 6 18 _ - 66

Total P 8,800 121 40 92 128 55 21 17 13 31 19 85 148 770W 8,800 121 42 104 128 65 24 20 15 34 20 85 153 811W 18,400 441 123 295 477 379 178 135 135 350 18 151 349 3,031

I/ Derived from A=-ee 9, Table 2.

2/ P = Present, 4 - Peters vithoot project, W = PFtore with project.

3/ Cassava interplanted with corn,

INDONESIA

IRRIGATION PROJECT VI

Economic Cost of Farm Labor at Full Project Development

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total

Cirebon and Rentang Irrigation Systems

Labor Requirement W 1/ 9.2 2.3 5.2 9.0 4.9 2.9 3.6 1.5 2.0 2.6 3.4 6.9 53.3

(million man-days) W 7.9 1.5 3.8 7.8 4.0 2.6 2.8 1.3 1.5 1.7 3.1 6.8 44.9

Marginal Opportunity W 140 102 104 135 103 102 102 101 101 102 102 105

Cost (Rp/man-day) W 120 101 103 117 103 102 102 101 101 101 102 105

Economic Cost of Farm W 977 232 530 947 497 293 364 151 201 263 343 707 5,505

Labor (Rp million) 808 151 386 792 406 263 283 131 151 171 313 697 4,552

Incremental EconomicCost of Farm Labor(Rp million) W-W 169 81 144 155 91 30 81 20 50 92 30 10 953

Sampean Baru Irrigation System

Labor Requirement W 0.4 0.1 0.3 0.5 0.4 0.2 0.1 0.1 0.3 * 0.2 0.4 3.0

(million man-days) W 0.1 0.1 0.1 0.1 0.1 * 2/ * * * * 0.1 0.2 0.8

Marginal Opportunity W 53 50 52 54 53 51 50 50 52 - 51 53

Cost (Rp/man-day) W 50 50 50 50 50 - - - - - 50 51

Economic Cost of Farm W 21 5 15 26 21 10 5 5 15 - 10 21 154

Labor (Rp million) 5 5 5 5 5 - - - - - 5 10 40

Incremental Economic

Cost of Farm Labor(Rp million) W-W 16 - 10 21 16 10 5 5 15 - 5 11 114

_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ ___ o z

1/ W = Future with project. W = Future without project X x

2/ * less than 0.05 o

INDONESIA

IRRIGATION PROJECT VI

Economic Analysis-Net Value of Production at Full Project Development

Net Return from Less Imputed Net Value Incremental

Project Area Cost of Farm of Net Value

Without Costing Labor 2/ Production of

Irrigation System Farm Labor 1/ Production

(Rp million) (Rp million) (Rp million) (Rp million) (US$ million)

W3/ W W W W W W-W W-W

Cirebon 16,281 25,465 2,276 2,752 14,005 22,713 8,709 21,000

Rentang 13,480 22,442 2,276 2,753 11,204 19,689 8,485 20,500

Sampean Baru 322 2,293 40 154 282 2,139 1,857 4,500

1/ "with" project conditions from Annex 1, "without" project conditions are based on an assumed 1%

1/ annual increase in yield from 1975 to 1985.

2/ From Annex 10, Table 3. Labor cost for Cirebon and Rentang systems has been allocated on an area basis.

3/ W Future without project, W = Future with project.

rXI0

ANNEX 10Table 5

INDONESIA

IRRIGATION PROJECT VI

Economic Costs and Benefits(US$ o000)

Irrigation System Year Costs Benefits-Capital 0 & M Total

Cirebon: 1 1,700 180 1,880 02 5,,900 220 6,120 1,3503 10,100 270 10,370 4,2204 10,400 360 10,760 6,3305 10,500 440 10,940 10,1306 9,300 560 9,860 14,3507 0 560 560 16,8808 0 560 560 17,9359 0 560 560 18,99010 0 560 560 20,045

11-50 0 560 560 21,000Economic Rate of Return: 38%

Rentang: 1 3,400 200 3,600 1,6402 8,900 240 9,140 3,2803 15,200 280 15,480 4,1004 8,500 370 8,870 8,2005 2,900 460 3,360 13,1206 200 580 780 16,4007 0 580 580 17,4258 0 580 580 18,4509 0 580 580 19,475

10-50 0 580 580 20,500Economic Rate of Return: 44%

Sampean-Baru: 1 1,100 20 1,120 02 4,800 25 4,825 03 7,100 30 7,130 3304 3,700 40 3,740 1,2505 2,400 50 2,450 2,1506 100 65 165 3,3007 0 65 65 3,5208 0 65 65 3,7409 0 65 65 3',960

10 0 65 65 4,180_l-50 0 65 65 4,500

Economic Rate of Return: 17.5%

1/ Incremental Net Value of Production from Table 4.

INDONESIAIRRIGATION PROJECT VI

ESTIMATED OPPORTUNITY COST CURVE FOR FARM LABOR

CIREBON AND RENTANG

< 250r

LL

0~

o 521015 -

I-0C)

0 10 50nC-

o 00

0L0 5 10 15 20

FARM LABOR DEMAND (MILLION MAN-DAYS/MONTH)

SAMPEAN BARU

I. 10 __ __

I00

O 50

< 25r

0 0,5 1.0 1.5 2.0

FARM LABOR DEMAND (MILLION MAN-DAYS/MONTH)

World Bank-9303

INDONESIAI RRI GATION PROJECTS VI AND VI II

WATER RESOURCES ORGANIZATION CHART

MINISTER OF PUBLIC WORKSAND ELECTRIC POWER

DIRECTOR-GENERAL OFl|WTRRESOURCES DEVELOPMENT|

_|AGENERAL lSECRETARIATECONSULTANTSll

IR E O D DIRECTORATE OF DIRECTORATE OF INSTITUTE OFIVDIRECTORATE OF DIRECTORATE PLANNING AND LOGISTICS AND HYDRAULICRIVERS &SWAMPS OF IRRIGATION PROGRAMMING PROCUREMENT ENGINEERING

JATIGEDEDAM PROSI DA

GROUP

World Bank-8963

INDONESIAIRRIGATION PROJECT VI

PROSIDA MANAGEMENT ORGANIZATION

MINISTRY OF AGRICULTURE

AGR;;CULTI URAL EXTENS;GN bI'JNtJ GEINERAL -l _ ADVISORY GROUP

ADVISOR PROSIDA

I ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~~~ ~~~~PROJECTMANAGER jCONSULTAN!TSEA_mm _1_m _ - _ __------ - _--l- ; - m ~ ADVISER 1CONSULTNTS

J ~~~~~~~rCONULTANTS C

PROJECT AGRICULTURALSERVICES * AGRICULTURAL I DEPUTY GENERAL I CLT] CONSULTANTS I MANAGER

ASST FIONANE ||ASST OLN.AFFRS AST PLANER ASST CONTRUCTION A SERIS B SEIE SEIE DSERIE

| 1 1 | 2/ | ~~~ ~ ~ ~~ ~~3f -- 41 DESIGN STAFF (HQ AND SUB PROJECTS)S * ~~Al F LOGISTICS--tn

L4 =i L4 SUBAPROECT C | SUB PROJECT DJ STAFF

SUB PROJECTS -…A

KEYI NEW EF UNCVTVI ONI

1/=CREDIT 127 -IND SUB PROJECTS (INCLUDES RENTANG)21 -CREDIT 220 -IND SUB PROJECTS3/ -CREDIT 289 -IND SUB PROJECTS (INCLUDES SAMPEAN BARU4/D CIREBON IRRIGATION REHABILITATION SUB PROJECT

World B..k-8965

INDONESIAIRRIGATION PROJECT VI

PROSIDA SUB-PROJECT ORGANIZATIONFOR CIREBON, RENTANG AND PEKALEN-SAMPEAN (SAMPEAN BARU)

[ SUB-PROJECT ..uhm..u.m.uumugu.ummmmuuuuuuumuuaummmmufhm PROVINCIALMANAGER j ADVISORY GROUP

f I ~~~~~~~~~~~~~~~~~~~~~~~~~~~~2/1CONSULTING DEPUTY SUB-PROJECT

[ ENGINEERS | MANAGER

DEPUTY 0 &< M DEPUTY

2/ 2/ 2/ 2/SURVEY & - _ EHNCL

DESIGN CONSTRUCTION UNIT ADMINISTRATION FINANCE COMPTROLLER

0 & M SECTIONS

CONSTRUCTION SUPERVISORS

1/ PROVINCIAL STAFF2/ PROSIDA STAFF World Bank-8964

Wol ak86

INDONESIAIRRIGATION PROJECT VI

CIREBON IRRIGATION SYSTEMSDESIGN AND CONSTRUCTION SCHEDULE

ALL AREAS BY SYSTEMS INDONESIAN FISCAL YEAR

WORKS 1975-76 1976-77 1977-78 1978-79 1979-80 1980-81 1/

DESiGN AND PLANNING APR. 1

TENDER DOCUMENTS JAN. 1

HEAD WORKS AND WEIRS APR. 1

PRIMARY AND SECONDARY CANALS APFR. 1

TERTIARY CANAL SYSTEMS AND STRUCTURES OCT. 1

DRAINAGE AND FLOOD BANKS OCT I

CAMP, OFFICES AND BUILDINGS Al R. 1

RURAL ROADS AND INSPECTION ROADS APR. 1

REHABILITATION AREA COMPLETED 7,000 Ha 26,000 Ha 20,000 Ha 22,000 Ha 13,000 HaANNUALLY ~3uMUu3hI..mu.smh mhuhuIEm h.u.EummEEIuEuuE

1/ INDONESIAN FISCAL YEAR APRIL 1 TO MARCH 31

World Bank-8960

INDONESIAIRRIGATION PROJECT VI

RENTANG IRRIGATION SYSTEMDESIGN AND CONSTRUCTION SCHEDULE - ADDITIONAL WORKS

INDONESIAN FISCAL YEARWORKS

R_ NTANG BARRAGE I 1975-76 1976-77 1977-78 1978-79 1979-80

IRENTANG BARRAGE

DESIGN AND PLANNING APR 1

ACCESS ROADS JAN 1

JAN. 1TENDER DOCUMENT FOR BARRAGE

RIVER DIVERSION WORKS AND JULY 1

TAIL RACE CHANNEL A

MAIN BARRAGE APR I

HEAD WORKS AND BASIN APR 1

FORE BAY LEVEE APR 1

It TERTIARY CANAL SYSTEMS AND STRUCTURESOCT. 1

AREA REHABILITATED ANNUALLY5,000 Ha 21,000 Ha 21,000 Ha 22,000 Ha 21,000 Ha

APR. 1III COASTAL AREA DRAINAGE WORKS Al_R_1

(IN PROGRESS UNDERCREDIT 127-IND)

A'R. 1 4,700 Ha-| 3,400 Ha 19,000 Ha 5,800 Ha IDRAINAGE AREA REHABILITATED ANNUALLY 1APR111?0111a111 ..1 l *fl.......,.. IEgEIEhIU J

WAkorld Bank 8g

INDONESIAIRRIGATION PROJECT VI

SAMPEAN BARU IRRIGATION SYSTEMDESIGN AND CONSTRUCTION SCHEDULE

INDONESIAN FISCAL YEAR

WORKS1975-76 1976-77 1977-78 1978-79 1979-80

DESIGN AND PLANNING APR.

PRELIMINARY WORKS-AND SURVEY APR. 1

BORING AND ACCESS ROAD TO DAM

DEC. 1MAIN DAM TENDER DOCUMENTS

MAIN DAM WORKS APR 1

PRIMARY AND SECONDARY CANALS JAN. 1

TENDER DOCUMENTS

CONSTRUCTION R. _

TERTIARY CANAL SYSTEMS AND AR 1

STRUCTURES - AREA COMPLETEp APR._I

ANNUALLY (3700 Ha) (2700 Ha) (3300 Ha)

APR. 1

LAND LEVELING AND SHAPING

ROADS-I NSPECTI ON AND ACCESS _

World Bank--8962

INDINESIAIRRIGATION PROJECT VI

SAMPEAN BARU IRRIGATION SYSTEMCROP CALENDAR AND WATER REGUIREMENTS

DEC JAN FES MAR APR MAY JUNE JULY AUG SEPT OCT NOV

1/ : ~~~~~~~~~~~~~HARVESTPADDY- 1,t BLOCK -25% D.PR. - -_w - - -

SEEDBED 11 LAND PREP .

PADDY - 2nd BLOCK - 25%

PADDY - 3rd BLOCK - 25% - ,

PADDY - 4h BLOCK - 25%

2/ PLANT HARVEST LAND PREPCORN- sw- -

SOYABEANS w flw. __

PREP & PLANT HARVESTCOTTON - -------

t=Air temperature at Assam-bagus - C° 26.2 25.6 25,7 25.9 26,3 26.2 25.9 25.5 25.9 26,7 27.1 27.0

Kt=0.0311t + 0.24 1.05 1,03 1.04 1.05 1.06 1.05 1.05 1.03 1.05 1.07 1.08 1.08p for 8 S Latitude 8.84 8.79 7.84 8.51 8.11 8.24 7.91 8.13 8.32 8.18 8.62 8.47f=p(45.7t + 813) x 0.01 177.7 174.3 153,7 169.9 163.4 165.6 157.9 160.8 166.1 166.3 176.8 173.4K0 -(Paddy - b.hle area) 0.08 0.69 1.16 1.25 5.84 -

K, p;- S be=ens 0.24 0.92 0.96 0.40 0.75 1.00 0.60

Paddyai-Kt x KP 0.0S 0.71 1.21 1.31 0.89

Soyaheans

K2=Kt x Kcp1 0.25 0.97 0.99 0.42 0.80 1.08 0.65

Up-Ka f - in a,, 14 124 186 223 145Upl=K2 f - in m 41 153 159 70 133 191 113

Seed Bed aed Land Preparationin rm 120 80 _ _

Water Required for Paddy andPolowijo - .me 134 204 186 223 145 41 153 159 70 133 191 113

Effe-tive Rainfall Re0

neadand.esidual Field 1n0atare 3/ 64 105 84 79 62 25 25 25 -

Irrigation Requirements atFarm - -m 70 99 102 144 83 16 128 134 70 133 191 113

Cropped Area - … … -------- - - 9,800 ha Peddy> . ......... > C . _ -------- - 8,820 ha 586yo_an_ -- 4 … 2,450 F:a so5CbeaD-s -_________

Volume of Water Required atFarm - Mm3 6.86 9,70 10.00 14.J1 8.13 1.41 11.29 11.82 5.80 3.26 4.68 2.77

Q Required at Farm m3

/s.. 2.56 3.65 4.13 5.27 3.14 0.53 4.36 4.41 2.17 1.26 1.75 1.07Overall Irrigation Efficiency 55 50 50 50 55 55 60 60 60 60 60 55Diversion Requirement Q-n /sec 4.65 7.24 8.a6 10.54 5.71 0.96 7.27 7.35 3.62 2.10 2.92 1.95

1/ Staggered paddy planting at 10 day Sntervals.2/ Crap oalendar 'n accordan Ae a r#)O 1,

D/ Dependable rainfall 8 in 10 years. MAq, Juve aqsd Julr re8idual a.oisture 25 mle.I/ Water requiremnta baced on worat cond5 ioip of full rea to paddy and two dry esason crops.

Modified Blaney-Criddle FormuleU = Kf f = Monthly consumptive-use factor World Sank 8966

Where: U = Consumptive-use of the crop 'in e = p(45.7t + 813) x 0.01 (metric unit)K = Empirical consumptive-use crop coefficient p - Monthly percentage of daylight hours

= Kt x Kc in the yearXt = A clinatic coefficient which is related to U (0.0311t + 0.24) Kc x p(45.7t + 813) x 0.01 e

the mean air temperature (t in OC)= 0.0311t + 0.24 (metric unit)

Kc = A coefficient reflecting the growth stageof the crop

IBRD 2-2711

/ I ~~~~~~~~~~~~~I AUGUST 1974poE I I2 1E INDONESIA I I-E 0 / 20-

IRRIGATION PROJECTS VI AND VIIILOCATION MAP M a k a s s a r

IRRIGATION REHABILITATION PROJECT nI V - Executed y Jhtiluhur Authority -

.IRRIGATION REHABILITATION PROJECT Itrait SU lAW E SIIRRIGATION REHABILITATION PROJECT ]H Executed by Prsida

IRRIGATION REHABILITATION PROJECT IV (CELEBES)BAN KA BELITUNG IRRIGATION REHABILITATION PROJECT VI

OPImcg tu~tJATIGEDE DAM PROJECT Viii- ecednrDcatoRer <

B, -. S' .',, '.'. GROUNDWATER EXPLORATION PROJECT t

EU A TE R A ,' ' . FUTURE MADIUN IRRIGATION REHABILITATION A5 U M A T E R A t | | * RAILWAYS KALIMAN TAN xSA r-

4;5 5uEYpSHEoPJUETCT 9 ( U ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~SB PROJECT \VVWAYl SEPUI

4,0EB-2fN 4'5S

25,000 hx PB: eRP: aB :: y1

W0y SPpuEB Ja a e

OJnETTHRURI1I Sukadof o 1W;;N; UjEne PanbgEHR

SBIJB-HOJCTTnlxkbnlung 24,300 BR ClE0ANE JA-TILUIVR PROJECT

MALA?$IA {JeH -iAat a toPR%GiET GLAPAN-SEiAI

L ALIMATA - - 4EMAL- IAL ot4Lob-'r> m-g 1 r SUL WES ElAN - 123;OjQiX . BOP WATE STQDf:A gE;O;rr

Indian Oca eaaA ¾ N IY -- 0b 00 tRO

JAVAs -CDeb EaFtT. TltCDR tiLOtdETEurS :EUMBA M

' P0RTI,IjlOR : >bl^1 [ : R E S

URG ,IJRALIA ifE 2NE IO-E

ISRD- 10867SEPTEMBER 197A

INDONEStA

IRRIGATION PROJECTS Vl AND VIIIJ a v a S e a ". cD4Zffrxtr X CREBON AND RENTANG IRRIGATION SYSTEMSJATIGEDE DAM AND fUTURE PHASES OF IRRIGATION

v-- Wews lintakes _n Canesals

lrnIot Bon ShareBunare

; > 0 00Pr oinoal RotdsF-al Roads

1<~~~~~~~~~~~~~~~~~~~~~~~~~~~~7

NO.w Drain

Rv~~ B ON " - / K LoRser

IAIX SCA~~~~~~~~~~~~~~~~~~~~~~~~~~o.Sts

'' -wAn*Iu. ].9 ._

/h'D/N OCEAN100100

IPA0'S'li-D

IBRD 11197G 1 t.: ...... A$ OCTOBER 1974

-7-4 ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~~~~ ~~~ ~~~~~~~~~~~~~~~~~~~~~~~~~~~-

vS/D \ v' ?, ,~~& 9;'', I...t It , - -t TA)fR=-z=

0~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~1

I NDONES IA

IRRIGATION PROJECT VIPROPOSED SAMPEAN BARU IRRIGATION SCHEME

EXISTING IRRIGATION AREAS

PROPOSED IRRIGATION AREASPRAJEKAN, 2200 ho.

771PANJI, 1500 ho,

ASEMBAGUS ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ASEMRAGI.S, 6100 ho..-PROPOSED MAIN CANAL

PROPOSED SECONDARY CANALS

- RIVERSROADS

-4-04-RAILROADS

DISTRICT ROUNDAR ES

K I LOMETERS