Report No. 1519a-IN FILE COPYIndia: Periyar Vaigai IrrigationProject (Tamil Nadu)

May 19, 1977

South Asia Projects DepartmentAgriculture Division C

FOR OFFICIAL USE ONLY

Document of the World Bank

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

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CURRENCY EQUIVALENTS

US$1.00 Rupees (Rs) 9.00 1/

WEIGHTS AND MEASURES (METRIC SYSTEM)

1 meter (m) = 3.28 feet (ft)1 kilometer (km) = 0.62 miles (mi)1 hectare (ha) 3 2.47 acres (ac)1 million cubic meters (Mm ) = 810 acre-feet (ac-ft)1 thousand million cubic feet (TMC) 28.32 b1 cubic foot per second (cusec) = 0.028 m Is1 ton = 1,000 kilograms (kg)

2,205 pounds

11 Until September 24, 1975, the Rupee was officially valued at a fixedPound Sterling rate. Since then it has been fixed against a 'basket'of currencies. As these currencies are floating, the US Dollar/Rupeeexchange rate is subject to change. Conversions in this report havebeen made at US$1 to Rs 9.00, which was the short-term average rateprevailing at the time of Appraisal.

FOR OFFICIAL USE ONLY

PRINCIPAL ABBREVIATIONS AND ACRONYMS USED

CCA - Cultivable Command AreaDA - Department of AgricultureDDA - Deputy Director of AgricultureDAO - District Agriculture OfficerDyAO - Deputy Agricultural OfficerERR - Economic Rate of ReturnGNP - Gross National Product

GOI - Government of IndiaGOTN - Government of Tamil NaduHYV - High Yielding VarietiesICAR - India Council of Agricultural ResearchICB - International Competitive BiddingM - Million

O&M - Operation and MaintenancePWD - Public Works Department

RD & LA - Rural Development and Local AdministrationSE - Superintending EngineerSMS - Subject Matter SpecialistTNAU - Tamil Nadu Agricultural UniversityVLW - Village Level WorkerVEW - Village Extension Worker

GLOSSARY

Paddy - unhulled rice

Tank - small reservoir collecting run-offfrom rainfall

FISCAL YEAR

Government of Tamil Nadu and Agencies - April 1 - March 31ARDC, Cooperatives - July 1 - June 30Commercial Banks - January 1 - December 31

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

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

TABLE OF CONTENTS

Page No.

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

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

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

The Economy ................. 1.................. Agriculture in India .......... .. 1.............. Irrigation in India ........................ . 2Agriculture and Irrigation in Tamil Nadu ..... 3Project Formulation ...... ..................... 4

III. THE PERIYAR VAIGAI PROJECT AREA .................... 5

General ...................................... . 5The Periyar Vaigai Irrigation System .. ........ 5Climate ...................................... . 8Topography and Soils ........... .. ............ . 8Farm Size and Land Tenure ..................... 9Agricultural Production ..... .................. 9Agricultural Supporting Services ........... ... 10

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

General ................................................ 11Main Project Features ..... .................... 11Irrigation Modernization Works ....... ......... 12Extension of the Canal System ....... .......... 13Other Project Components ........ .. ............ 13Water Savings ................................. 14Engineering Design ...... ...................... 14Construction Methods ...... .................... 15Implementation Schedule ....................... 15Cost Estimates ....... ......................... 15Financing ........ ............................. 16Procurement ........ ........................... 16Disbursements ....... .......................... 17Accounts and Audits ...... ..................... 18Environmental Impact ...... .................... 18

This report is based on the findings of an Appraisal Mission which visitedIndia in October/November 1976, comprising: Messrs. P. Ljung, S. Baker,E. Hunting, W. van Tuijl and J. Lindt (Consultant).

Table of Contents

Page No.

V. ORGANIZATION AND MANAGEMENT ..... ................... 18

Public Works Department ........... ............ 18Department of Agriculture .......... ........... 19Cost Recovery ............ ..................... 19

VI. PRODUCTION, MARKETING, PRICES AND FARM INCOMES ..... 21

Production ... 21Market Prospects ....... ....................... 22Prices ........................................ 22Farm Incomes .................................. 23

VII. BENEFITS AND JUSTIFICATION ...... ................... 23

General .......... ............................. 23Economic Rate of Return ..... .................. 24Income Distributional Effects ..... ............ 24Least Cost Solution ...... ..................... 25Project Risk ......... ......................... 25

VIII. AGREEMENTS REACHED AND RECOMMENDATIONS .... ......... 26

ANNEXES

1. Climatic Data2. Water Supply and Demand3. Project Works4. Cost Estimates5. Schedues of Expenditures, Disbursements and Proposed

Credit Allocation6. Organization and Management7. Agricultural Supporting Services8. Present and Projected Cropping Patterns and Production9. Crop Inputs and Farm Budgets10. Economic Analysis

MAPS

Project Location IBRD 12675Project Area IBRD 12676

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

SUMMARY AND CONCLUSIONS

i. Irrigation is a corner stone in India's agricultural development.However, the country's water resources are inadequate to meet future agri-

cultural requirements and nowhere is this constraint more serious than inTamil Nadu. The State has fully developed its surface water potential andis rapidly reaching the limit of its groundwater resources. Consequently,future expansion of irrigated agriculture in Tamil Nadu depends largely onachieving greater efficiency of water use in existing projects.

ii. The Periyar Vaigai irrigation system, built some 80 years ago,diverts water from the Periyar River in Kerala through a tunnel to the VaigaiBasin in Tamil Nadu, where it irrigates some 63,200 ha. The unlined convey-ance system has high seepage and operational losses. Farm irrigation prac-tices, on the other hand, are relatively advanced and the farmers achieve

some of the highest paddy yields in India. Therefore, the scope for re-ducing water losses on the fields is limited and substantial savings canonly be achieved by improving the conveyance system.

iii. The proposed project would rehabilitate and modernize the PeriyarVaigai irrigation system to minimize water losses in conveyance and operation.The existing canal system would be extended, and part of the water saved wouldbe utilized to bring some 9,000 ha of rainfed land under irrigation. Being thefirst of its kind in India, the project would serve as a pilot operation toestablish the economic and technical parameters of different water savingmeasures. A monitoring and evaluation program would be included. Also, areorganization of the agricultural extension services would form a part of

the project.

iv. Project works would primarily include the lining of all canals and

the construction of additional control structures to properly regulate the

flows in the cinals. Through these works, conveyance losses would be reducedby some 190 Mm . Irrespective of GOTN's future decision about water alloca-tions (para viii), the project would increase annual paddy production by some64,000 tons, provide about 12,000 additional full time jobs in agricultureand generate about 8,000 jobs outside agriculture. The net foreign exchangesavings would amount to some US$9.6 M.

v. Total project costs are estimated at US$45.6 M. The proposed credit

of US$23.0 M would finance 50% of the total project cost covering the foreignexchange component of US$6.9 M and 42% of local costs. The Government of India(GOI) would relend the proceeds of the loan to the Government of Tamil Nadu(GOTN) in accordance with its standard arrangements for State developmentprojects.

vi. Out of US$660,000 worth of vehicles and equipment to be procuredunder the project, US$290,000 would be subject to international competitivebidding (ICB). The remainder of US$370,000 would be purchased locally through

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the normal procedures of GOTN. Construction of a new link canal, estimatedat US$4.8 M would be subject to ICB, with a 7.5% preference for local con-tractors. Other civil works, valued at US$21.6 M, would be labor-intensiveand would be scheduled intermittently in accordance with a flexible time planin order not to interrupt irrigation deliveries. These works would be ten-dered on the basis of piece work contracts.

vii. The Irrigation Branch of GOTN's Public Works Department would beresponsible for implementation of the civil works and the subsequent operationof the system. The Depattment of Agriculture would be responsible for thereorganization of agricultural extension services in the project area.

viii. Part of the water saved through the project would be used for anextension of the command area to bring 9,000 ha of rainfed land under irriga-tion. After completion of the modernization works, when the exact watersavings would be known, the GOTN would decide whether to: (i) extend thecommand area further, or (ii) provide a second irrigated crop in areas thatpresently get irrigation for one crop per year, or (iii) combine these twoalternatives. Alternative (i) would be the most attractive from an incomedistributional point of view. However, since this alternative would requireadditional investments in a distribution network, the economic rate of return(about 17%) would be lower than the economic rate of return for alternative(ii) which is about 23%. The rate of return for alternative (iii) would bebetween these extremes as it would depend on the allocation of water betweenpresently rainfed land and single irrigated land.

ix. The project is suitable for a credit of US$23.0 M on standard IDAterms. The Borrower would be the Government of India.

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

I. INTRODUCTION

1.01 The Government of India (GOI) has requested IDA assistance formodernization of the Periyar Vaigai irrigation system -- built some 80 yearsago -- in the State of Tamil Nadu. The project would be the first attemptin India to rehabilitate and modernize a major irrigation system to minimizewater losses in conveyance and operation. A reorganization of the agricul-tural extension services and a detailed monitoring and evaluation programwould form part of the project.

1.02 The Government of Tamil Nadu (GOTN) was assisted in project prep-aration by a team from the FAO/World Bank Cooperative Programme (Report No.23/76 IND 32). The present report is based on the findings of an AppraisalMission comprising Messrs. P. Ljung, S. Baker, E. Hunting, W. van Tuijl andJ. Lindt (Consultant) who visited Tamil Nadu in October/November 1976.

II. BACKGROUND

The Economy

2.01 India covers some 3.3 M km of which 49% is arable and about 11%is under some kind of irrigation. India's population of about 600 M is grow-ing at an annual rate of 2.3%. This rapid population growth combined witha relatively poor resource base and generally unfavorable terms of tr'adehave imposed serious constraints on India's economic development. Neverthe-less, since 1950, national income has grown at nearly 4% per annum and theper capita GNP in 1975 reached US$150. However, a sustained high growth ratewill require fundamental improvements in foodgrain production (para 2.04) andincreased investments in the industrial sector.

2.02 Although national income has increased, in general, there has beenlittle impact upon the living standards of the vast masses of urban and ruralpoor, which -- conservatively measured -- consist of some 200 M people with

incomes below the poverty line of US$60 per capita per year. Thus, the Gov-ernment's present development plans place great emphasis on alleviating povertyand creating employment.

Agriculture in India

2.03 Agriculture is the dominant sector of the Indian economy and hasrecently contributed an average of about 45% of GNP. It engages about 70% ofthe labor force and provides the base for about 60% of India's exports. Be-sides jute, cotton and leather goods, the most important export commoditiesare tea and cashew nuts.

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2.04 Since 1965, India has shifted development emphasis from industry toagriculture, giving priority to accelerating the spread of modern agriculturaltechnology by increasing the availability of seeds of high yielding varietiesand fertilizers, expanding irrigation and developing modern credit institu-tions. Despite the impressive results of the green revolution in some areas --primarily the wheat growing northwestern states -- since 1967, the annual over-all growth rate in foodgrain production over the last 15 years was only about2.3% or approximately equal to the population growth. This overall growth infoodgrain production has concealed considerable variations between crops andbetween regions. The introduction of high yielding varieties (HYV) of ricehas encountered difficulties arising from local climatic and ecological con-ditions. However, in certain regions such as Tamil Nadu, HYV rice has beensuccessfully introduced in irrigated areas.

2.05 Despite the progress made in many aspects of food production,India's agriculture remains heavily dependent upon the vagaries of weather,and foodgrain production can vary as much as 20% from one year to another.Major factors in reducing this dependence would be the expansion of irriga-tion and rehabilitation of existing irrigation facilities.

Irrigation in India

2.06 Up to 1964/65, GOI was able to increase the irrigated area at arate of only about 2.1% per year, of which approximately two-thirds was fromsurface water resources and one-third from groundwater. Since then, GOI hasmanaged to roughly double this rate, mainly through an accelerated developmentof groundwater resources. At present, the irrigated area is 42 M ha, aboutthree-fifths of which is surface irrigated and two-fifths is irrigated fromgroundwater.

2.07 The pace of groundwater development has fallen off recently becausethe limit of groundwater resources is being approached in the northwesternStates which possess a well-established credit structure. In the northeasternStates with excellent groundwater potential, the pace of development is cur-rently hampered by institutional constraints.

2.08 The pace of surface water development has increased only slightlyover the past twenty-five years except, perhaps, for a moderate accelerationin the last couple of years. Plan targets set by GOI for a more rapid de-velopment of surface irrigation have never been fulfilled. Much of the prob-lem appears to stem from the higher priority given in practice to startingnew projects rather than completing those already underway.

2.09 In most completed projects, there is a significant difference be-tween the irrigation potential that has been created and the actual utiliza-tion. Consequently, in the Fifth Plan (1974/75 to 1978/79) increasing empha-sis is being given "command area development," which includes public invest-ments to enable a better utilization of irrigation water (i.e., drainage,roads, markets, agricultural extension and research) as well as private in-vestments to improve water use efficiency at the farm level (i.e,, watercourse lining, field channels and drains, land shaping and leveling).

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However, little attention has been paid so far to the formulation of realisticengineering design criteria. In the planning, systems losses are generallyassumed to be much lower than what can be achieved at the present level ofirrigation technology.

2.10 In recent years, as evidenced by the conclusion of the 1976 reportof the National Commission on Agriculture, a greater awareness of these prob-lems has evolved:

"In view of the complete inadequacy of water resources tomeet future agricultural and other requirements, it becomesa matter of great national importance to conserve and utilizethem economically."

Thus, in states where the surface water potential already is fully developed,attention is being focused on the improvement and upgrading of existing con-veyance systems to enable an expansion of the irrigated area.

Agriculture and Irrigation in Tamil Nadu

2.11 The State of Tamil Nadu, with an area of 13.0 M has a population of41.2 M (1971). With almost one-third of its population living in towns andcities, it is, next to Maharashtra, the most urbanized of the Indian States.However, in spite of a rapid development of industry in recent years, agricul-ture continues to have a predominant influence on the State's economy. Itcontributes about 40% to State income and employs about 60% of the laborforce. About half the area of the State is cultivated (6.4 M ha). Due tohigh population density in the rural areas, farm holdings are small and abouthalf the agricultural labor force is landless.

2X12 Paddy is the dominant crop and Tamil Nadu is the second largest

rice producer in India. It accounts for 37% of the cropped area and about80% of the State's foodgrain production. Due to an extensive irrigationsystem and progressive farmers, paddy yields in Tamil Nadu are among thehighest in the country. The second most important crop is groundnuts (15%of the cropped area), which is grown primarily under rainfed conditions.

2.13 Although both the southwest and northeast monsoons bring rain toTamil Nadu, its occurrence is irregular. Three quarters of the State liesin the rain-shadow of the Western Ghats, and the precipitation in these semi-arid areas ranges from 600 mm to 1,000 mm. The northern coastal districtsare somewhat more fortunate with an annual rainfall in the range of 1,000-1,200 mm.

2.14 Because of unreliable rainfall, irrigation developed early in TamilNadu. The Grand Anicut in the Cauvery Delta, built for irrigation purposesduring the second century AD is one of the great engineering feats of ancientIndia. However, most of the Cauvery Delta System, which irrigates 0.3 M ha,was built during the 1880s and the 1890s. At present, the State's largestriver, the Cauvery, is one of the-most utilized rivers in India, with morethan 90% of its water harnessed for irrigation. A number of other systems,

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including the Periyar Vaigai irrigation system, was built during the sameperiod as the Cauvery Delta System. By the turn of the century, almost halfof the present canal irrigated area was developed.

2.15 Over the last 30 years, most attention in Tamil Nadu's irrigationdevelopment has focused on groundwater, and presently there are one millionwells in operation. The IDA has supported the State's groundwater develop-ment through the Tamil Nadu Agricultural Credit Project (Credit No. 250,1971, US$35.0 M). In this credit, about two-thirds of the funds were pro-vided for filter points,.1/ tubewells and dug wells. This project has beencompleted satisfactorily.

2.16 In 1971/72, the net irrigated area in the State was 2.71 M ha dis-tributed according to source of supply as follows: canals, 0.93 M ha; tanks,0.92 M ha; groundwater, 0.82 M ha, and other 0.04 M ha.

Project Formulation

2.17 Of all the States, Tamil Nadu has most fully developed its irriga-tion potential. The Irrigation Commission of 1972 estimated the State'sirrigation potential at 3.69 M ha 2/ of which three quarters were utilizedas follows:

Irrigation Net Irrigated PercentPotential Area (1971/72) Utilization…__-------- M ha ---------- (%)

Surface Irrigation 2.37 1.89 80Groundwater Irrigation 1.32 0.82 62

Total 3.69 2.71 73

2.18 No large-scale surface water resources remain undeveloped and itis becoming increasingly costly to develop the minor resources that remain.The absence of effective legal control over the installation of wells hasalready resulted in overexploitation in many areas. However, there stillis scope for further groundwater development in some areas but this wouldrequire careful planning.

1/ Small diameter wells (about 100 mm) sunk to a depth of 10-20 m andequipped with 3-5 hp pumps.

2/ Irrigation potential is a planning concept based on certain theoreticalassumptions about cropping patterns and about conveyance and fieldefficiencies. Consequently, the potential depends on the chosen irriga-tion technology. Typically, the assumed efficiencies are much higherthan what is found in existing Indian irrigation systems.

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2.19 The State realizes these resource constraints and recognizesthe need for achieving greater efficiency of water use in existing projects.Therefore, GOTN is directing its attention to the 80-year old Periyar Vaigaisystem. Built to nineteenth century standards, the unlined Periyar Vaigaiconveyance system has high seepage and operational losses. Farm irrigationpractices, however, are relatively advanced. Farmers are organized in in-formal water users' groups and achieve some of the highest paddy yields inIndia. Fields are leveled and a fair number of field channels have been con-structed. Consequently, the scope for reducing water losses on the fieldsis limited and substantial savings can only be achieved by improving theconveyance system.

2.20 The proposed project would rehabilitate and modernize the PeriyarVaigai irrigation system to meet high technical standards in order to reducewater losses in the conveyance system. Part of the water saved would beutilized to bring some 9,000 ha of rainfed land under irrigation. A programto monitor water savings would be included in the project and would provide abasis for future decisions about water allocations and an eventual furtherextension of the canal system.

III. THE PERIYAR VAIGAI PROJECT AREA

General

3.01 The project area, covering parts of Madurai and Ramanathapuram dis-tricts, is located on the plain between the Western Ghats and the Bay ofBengal in southern-central Tamil Nadu (Location Map). The project would covera non-contiguous area of about 105,000 ha, of which 66,000 ha are cult4vable.The total population in the area is about 390,000, of which 30,000 belong tonon-farm households. Madurai, Tamil Nadu's second largest town with a popu-lation of 550,000 (1971), is located at the fringe of the project area.Madurai is served by main road, rail and air links to Madras and other import-ant centers.

The Periyar Vaigai Irrigation System

3.02 Infrastructure. The natural flows in the Vaigai basin were alreadyfully utilized at the end of the nineteenth century and water shortage wasbeing experienced. This led to the construction of the Periyar transbasinscheme (see diagram below) which made it possible to divert waters from thePeriyar basin in the State of Kerala to the Vaigai basin in Tamil Nadu. Adam and reservoir were constructed on the Periyar River and a diversion tunnelthrough the Western Ghats made it possible to convey water from the Periyarreservoir into the Suruliyar, a tributary of the Vaigai.

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VaigaiPeriyar Power Reservoir PerivReservoir Station

River t-nS River River

VaigaiWestern Ghats River Peranai Thirumangalam

Western Ghats River Regulator Main Canal

3.03 The construction of the Peranai regulator and the Periyar maincanal, on the left bank of the Vaigai, formed part of the transbasin scheme,which was completed in 1896. A major addition to the earlier works was com-pleted in 1958 with commissioning of the Vaigai Dam and reservoir about 30 kmupstream of the Peranai regulator. The primary purpose of this reservoir wasto re-regulate the release from a power station that was being constructed atthe end of the Periyar diversion tunnel. This additional storage made itpossible to extend irrigation from the Periyar main canal and, through con-struction of the Thirumangalam main canal, to irrigate lands on the rightbank.

3.04 Command Area. The total area irrigated at present under the Periyarand Thirumangalam main canals Imounts to 63,200 ha. The Periyar main canalwith a design capacity of 40 m Is and length of 58 km, commands a total areaof 57,900 ha. Two regulators at Kallandiri and Pulipatti control the flowand water levels in the main canal. Twelve branch channels and 64 distri-butaries convey water to3farm turnouts. The Thirumangalam main canal witha design capacity of 6 m Is and a length of 27 km commands a total area of5,300 ha. The system is operated and maintained by the Public Works Depart-ment (PWD).

3.05 Irrigation water in the project area is distributed between farmturnouts which serve an average 30 ha. There are, however, farm turnoutsserving more than 100 ha. The fields are well levelled and there are a fairnumber of field ditches although for paddy, field to field irrigation is alsowidespread.

3.06 Water Demand (Annex 2). Based on the present cropping pattern inthe Periyar Vaigai Sommand area, the gross field water requirements have beenestimated at 505 Mm . This estimate is based on crop water requirements cal-culated with the Modified Penman Method, taking into account water require-ments for land preparation and seepage losses, and assuming field irrigationefficiencies of 85% for paddy and 65% for upland crops.

3.07 Water Supply (Annex 2). Because of historic water rights, thenatural flows of the Vaigai River are not used for the project area but onlyfor irrigation of the Vaigai Old Ayacut (45,000 ha) located further down-stream in the Vaigai basin. Water diverted for the project area at the

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Peranai regulator has the Periyar reservoir as its source of supply. A partof the water released from the Periyar reservoir is used for a number ofsmall irrigation schemes before it reaches the Vaigai reservoir.

3.08 Irrigation water to the project area is supplied from four sources:(i) diversions at the Peranai regulator; (ii) rain water collected in and sup-plied from tanks in the project area; (iii) return flows to the tanks from oper-ational losses in the canals and on the fields, and (iv) groundwater.

3.09 About 490 Mm are available for diversion to the Periyar and Thiru-mangalam main canals. Only the area above Kallandiri regulator on the Periyar

main canal is provided with enough water to grow two crops of paddy; otherparts of the project area can only be single cropped. During dry years (about

4 years out of 10), only part of the project area can be irrigated due toshortage of water.

3.10 About 1,200 tanks collect surface run-off from inside and outsidethe project area, including operational wastes. Most of these tanks are inte-grated with the canal distribution system. It has been estimated that ths netcontribution of rainfall to the tank water sjpply amounts to about 135 Mm peryear and from operational wastes about 30 Mm per year.

3.11 Present groundwater withdrawals in the Periyar and Thirumangalammain canals areas are estimated at 113 Mm and 12 Mm , respectively, and arebased on sample well inventories and pumping tests. The wells are generally

dug to a depth of 8 to 15 m to tap a shallow low yielding acquifer of weathersdrock. The outflow of groundwater from the project area is estimated at 280 Mm .

3.12 Water Balance and Losses (Annex 2). Several attempts, through cur-rent meter measurements and ponding tests, have been made in the past to esti-mate the seepage losses in the system. Ths results of 3these investigationsgive seepage losses ranging between 160 Mm and 350 Mm . The3best estimateis obSained from the overall water balance which gives 200 Mm as seepage and75 Mm as operational losses in the conveyance system.

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Water Balance(Present lituation)

(Mm)

Supply Demand

At Peranai Regulator 490 Gross Field WaterRequirements 505

Tanks

Rainfall contribution 135 Seepage from Canals 200

Return flows 30Operational Losses

Groundwater 125 in Canals 75

780 780

3.13 Water Quality. The water released from Vaigai reservoir is well

suited for irrigation and has been used in the project area for many years

without any detrimental effects. Chemical tests showed a specific conductiv-ity varying between 200 and 300 micromohs per cm with a pH around 8.0.

Climate (Annex 1)

3.14 The project area has a tropical monsoon climate. The average annual

rainfall is about 890 mm, of which 420 mm is received during the northeast

monsoon from October to January and 340 mm during the southwest monsoon from

June to September. January and February are cool and dry; while March, April

and May are hot and dry with maximum daily temperatures exceeding 400C. Eva-

poration rates are highest from April through August. The annual pan evapora-

tion is about 2,100 mm.

Topography and Soils

3.15 The project area is characterized by a gently rolling topography and

slopes slightly (0.1-0.2% on the average) towards the Vaigai River. Although

the microtopography is rolling, paddy fields, which constitute the major form

of land use, have been leveled into small fields without slope.

3.16 No modern soil survey exists for the Periyar main canal area. A

reconnaissance soil survey was recently undertaken for portions of it. Red

soils, derived in place from granite or gneiss, predominate in the area. They

consist mainly of sandy loams and sandy clay loams -- often mixed with fine

gravel -- and have a depth of 20 to 50 cm. They are underlain by a calcareous

pan, followed by weathered fractured granite resting, at a depth of two to

fifteen meters, on granitic bedrock. Darker heavier soils are found in low-

lying patches and alluvial soils cover part of the Periyar main canal area.

The soils are generally low in salt and exchangeable sodium; fertility defi-

ciencies, largely nitrogen and phosphorous, are readily corrected. Soil depth

and water holding capacity limit the production of irrigated upland crops in

some areas.

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Farm Size and Land Tenure

3.17 The project area has an estimated population of 390,000 distrib-uted among 7,000 non-farm households, 21,000 households of landless agricul-tural laborers and 52,000 farm households. The average family size is 4.9persons. The area is densely populated (5.9 persons per cultivated ha comparedto 3.5 for India). Consequently, farm sizes are relatively small, averagingroughly 1.3 ha. However, because of the availability of irrigation, theaverage per capita income of the farm households (US$110) is only slightlyless than the national average. lIost of the landless families live on or

below the poverty line (US$60 per capita).

Number of Area of HoldingsFarm Size as % of Total as % of Total

less than 0.5 ha 36 70.5 to 1 ha 23 121 to 2 ha 21 212 to 5 ha 15 32over 5 ha 5 28

3.18 About 10% of the holdings are tenant operated. A Fair Rent Act hasstipulated that owner and tenant must share the produce in the ratio of 40 to60. However, in most cases tenuring is based on an oral agreemnt which at pre-sent is usually on a 50 to 50 ratio. Tenants pay production costs includinglabor, animal power, fertilizer and pesticides.

Agricultural Production (Annex 8)

3.19 In general, a commercial attitude toward farming prevails and,/inirrigated areas, farmers utilize seed of improved varieties, fertilizers andagricultural chemicals. However, production for home consumption is stillgiven priority which, because of the small size of farms, limits the pro-duction available for marketing.

3.20 The present cultivable command area (CCA) of 65,900 ha is sown to80,300 ha of crops representing a cropping intensity of 121%. Total pro-duction is: Paddy, 233,000 tons; other foodgrains, 3,000 tons; groundnuts,2,300 tons; and sugarcane, 94,000 tons.

3.21 Paddy accounts for 108% of the CCA. In the double crop zone withinthe Periyar main canal area (para 3.09), the first paddy crop is transplantedfrom mid-June to mid-August and the second from mid-October to December. Inthe single cropped areas, the transplanting date depends on the water deliveryschedules and upon the accumulation of rainfall in the tanks, but it typicallytakes place in September. Paddy yields at 3.0 to 3.4 tons/ha are high.Sugarcane, which yields about 75 tons/ha, accounts for about 2% of the CCA.Since it is a year-round crop, canal water must be supplemented by well waterin the dry season.

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3.22 Sorghum and millets are important food crops and occupy substantialacreage in the non-irrigated areas. They also respond favorably to irriga-tion and are planted when canal deliveries for paddy are late or uncertain.Groundnuts, the most important cash crop grown under rainfed conditions, aresold to local oil mills. The crop is sown from July to September dependingon the monsoon and harvested in November and December. About one quarter ofthe groundnut area is irrigated. In the single irrigated areas, pulses --utilizing residual soil moisture -- follow the paddy crop. Many other cropsof minor importance are planted in the project area.

Agricultural Supporting Services

3.23 Agricultural Extension. There are two basic agricultural extensionsystems in the area. One is represented by the multipurpose Village LevelWorker (VLW), who reports to the Block Development Officer, which is thesmallest unit in the State's administrative system. The VLW is intended tospend 80% of his time on agricultural extension. However, many of the VLWsspend as little as 20% on agricultural work and this is often of a reportingnature. Because of the failure of this system, the Department of Agriculturehas built up its own system with one Deputy Agricultural Officer (DyAO) ineach block. The DyAOs (usually well trained agricultural graduates) areresponsible for direct farmer contacts. The DyAO works under the technicalsupervision of the Department of Agriculture while he is under the adminis-trative control of the Block Development Officer. There are also a number ofspecial extension programs for commercial crops, such as pest control. Whilethis mix of systems functions fairly well, as shown by the high yields in thearea, it could be made more efficient by: eliminating parallel managementcontrol; strengthening the link between applied research and extension; es-tablishing systematic schedules for staff training and increasing staff mobil-ity for regular farm visits.

3.24 Agricultural Research. The Tamil Nadu Agricultural University hascampuses at Coimbatore and Madurai; the latter is located within the projectarea. The Madurai campus has, among other departments, a Department of Agri-cultural Extension, a Farmer Training Institute and a large variety of re-search programs. In addition, an India Council of Agricultural Research(ICAR) coordinated scheme for research on water management and cropping pat-terns in Periyar Vaigai command area was started in 1971.

3.25 Cash Inputs and Credit. Fertilizers and pesticides are distributedthrough a well developed system of private and cooperative dealers, and BlockDevelopment Officers. The HYV seeds are distributed through the extensionservice and private dealers. Short- and medium-term production credit isprimarily provided through a network of viable cooperative societies. About80% of the cultivators are members of the societies. However, private moneylenders still play an important role.

3.26 Marketing. Madurai, at the edge of the Periyar Vaigai command area,is a major marketing and distribution center. In addition to uncontrolledprivate channels, a regulated market under the supervision of a committeecomprising both growers and traders is available to farmers in the area.

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Commercial trading centers exist for most cash crops including paddy andgroundnuts. The main surplus crop in the area is paddy, which is almostinvariably sold to private dealers in the villages. Groundnuts and sugarcaneare sold directly to mills in the vicinity of the project area.

3.27 Transport. The main road system is well developed in the area.However, a number of village roads need upgrading in order to ensure fullaccess during the rainy season.

IV. THE PROJECT

General

4.01 The project is designed to substantially reduce the high waterlosses in the existing Periyar Vaigai irrigation system. Through liningof all canals and the provision 9f new structures to properly regulate allcanal flows, an estimated 190 Mm of water would be saved (para 4.17). Thiswould enable a 35% increase in the irrigated area from 75,000 ha to between100,000 ha and 105,000 ha.

Main Project Features

4.02 The main components of the project are as follows:

(a) lining of all irrigation canals down to the 10 ha outlets;

(b) the construction of a lined "link" canal (length 32 km) toconvey the river waters from a new diversion weir justdownstream of the Vaigai Dam to the Peranai regulator;

(c) rehabilitation of existing structures and construction ofadditional control structures;

(d) construction of additional outlets to provide water controlto unit blocks of 10 ha;

(e) improvement of existing tanks and their supply channels;

(f) extension of the canal system to irrigate an additional9,000 ha of rainfed land;

(g) improvement of existing operation and maintenance roadsalong main canals and construction of operation and main-tenance roads along branch canals and larger distributaries;

(h) improvement of the communication system by the installationof radio telephone links;

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(i) improvements of village roads;

(j) procurement of hydrological, office and miscellaneous equipment;

(k) staff training;

(1) reorganization of the agricultural extension service; and

(m) monitoring program.

Irrigation Modernization Works (Annex 3)

4.03 Canal Lining. The main feature of the project is the lining of all

irrigation canals in the project area down to the turnouts of 10 ha irrigationunit blocks. The lining of the Thirumangalam canal, which is at present theonly lined canal in the project area, would be rehabilitated. The canals would

be lined with masonry and pre-cast concrete slabs. The lining program would

involve some 1,000 km of canals.

4.04 Link Canal. Water for the Periyar Vaigai system is presently con-

veyed from Vaigai reservoir to Peranai regulator through the Vaigai River chan-nel. Serious difficulties are being experienced with the operation of the re-gulator because of siltation in front of the regulator and in the head reachesof the main canals, which restricts the intake capacities of the canals. Ittakes 24 hours before releases from the reservoir reach the regulator, whichmakes it difficult to make optimal use of the available rainfall in the proj-

ect area. Therefore, a lined link canal from the Vaigai reservoir to thePeriyar main canal would be constructed. This canal would considerably

improve the operational efficiency of the project. Water would be divertedinto the link canal at a new pick-up anicut (diversion weir) that is presently

under construction approximately 1 km downstream of the reservoir. TMe lined

link canal would have a length of 32 km and a design capacity of 60 m /s. TheThirumangalam canal would be supplied with water from the link canal through

a syphon under the Vaigai River just upstream of the Peranai regulator.

4.05 Rehabilitation of Structures. Existing structures in the project

area are 80 years old and most are in need of repair. These structures wouldbe rehabilitated under the project.

4.06 Additional Control Structures. To better control the water level inthe canals, three new cross regulators -- one on the Periyar main canal andtwo on branch channels -- would be constructed. This would enable the fulldesign discharge to pass through head sluices and turnouts when the canalsare running at half capacity.

4.07 Additional Farm Turnouts. Water distribution within the projectarea would further be improved by reducing the size of the irrigation unitblocks to a maximum of 10 ha from the present average of 30 ha. This wouldrequire the construction of some 2,000 additional farm turnouts. These turn-outs would be equipped with vertical sliding gates with a locking arrangement.

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The relationships between gate openings and discharges would be carefullycalibrated for existing and new structures in order to improve accuracy ofwater deliveries.

4.08 Improvements to Existing Tanks and Supply Channels. At present,several of the major tanks are connected with the canal system through othertanks, which hampers timely deliveries. These tanks would be provided withan independent supply channel. In addition, the tanks' control structureswould be rehabilitated and some embankments would be strengthened.

Extension of the Canal System

4.09 The canal system would be extended to serve an additional 9,000 ha.The works would include the construction of about 92 km of main and branchcanals, about 300 km of distributaries, about 140 km of O&M roads, and asso-ciated structures. All canals would be lined and farm turnouts would beprovided for each 10 ha block.

Other Project Components

4.10 Operation and Maintenance (O&M) Roads. The O&M roads exist at pre-sent only along the main canals and the larger branch channels. Moreover,they are too narrow and not passable in the rainy season. These roads wouldbe widened and improved (145 km) and new roads would be constructed along allbranch channels and the larger distributaries (610 km).

4.11 Communication System. A radio telephone system would replace the out-dated telephone system which presently is used for communication to the ninesection officers responsible for O&M of the irrigation system.

4.12 Village Roads. To provide all weather access throughout the area,about 625 km of village roads would be improved. About 250 km would bewidened to a formation width of 7.5 m and have a 3.0 m wide waterboundmacadam pavement. About 375 km of gravel roads would have a 2.5 m wide

pavement on a 5.5 m foundation.

4.13 O&M Buildings and Equipment. The project would provide front-endloaders for the maintenance of the main and branch canals, hydrological equip-ment for the operation of the irrigation system, and quarters and offices foradditional O&M staff.

4.14 Staff Training. The project would provide fellowships for stafftraining abroad (about 90 man-months) in subjects such as water management,reservoir operation, flood control, computer applications for collection andstorage of hydrological data, command area development, and administration.

4.15 Reorganization of the Agricultural Extension Service. The agricul-tural extension service in the Madurai District, where almost all of the proj-ect is located, would be reorganized and its operating methods changed (paras5.05-5.07) along the lines successfully adopted in a number of Bank Group fi-nanced projects in India. The project would provide vehicles, staff quartersand demonstration equipment.

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4.16 Monitoring Project Performance. The project would include a pro-gram to: (i) monitor canal conveyance efficiencies; (ii) evaluate the cost-effectiveness of the reorganized agricultural extension service; and (iii)assess the agricultural and economic impact of the project (Annex 6, Appendix1). Funds would be provided for: installation of 30 flow recording stations;hydrological equipment; the service of one hydrologist for four months; andagroeconomic surveys by the Tamil Nadu Agricultural University at Madurai.

Water Savings

4.17 3 Seepage loss s after lining of the canals have been estimated at0.6 m Is per million m of wetted pesimeter. Phus, the project would reducethe total seepage losses from 200 Mm to 50 Mm (para 3.12). It is furtherestimated that the project would improve the control over water deliveries,which3would red ce the operational losses in the conveyance system from75 Mm to 35 Mm . ConsequenSly, the gross water savings under the projectwould amount to about 190 Mm . Under the project, the command area would beextended to irrigate about 9,000 ha of presently rainfed land. However, inaddition to this extension, the projected water savings would make it possi-ble to bring a further 15,800 ha of rainfed land under irrigation (alterna-tive 1), or convert 18,800 ha of single irrigated land into double irrigatedland (alternative 2), or a combination of the two alternatives. In both cases,the result would be somewhat higher seepage and operational losses than if theirrigated area remains unchanged. Thus, the increase in t e net availabilityof water at the field turnouts would amount to some 160 Mm :

Present Future3

-_-----Mm -------

Delivered to Field Turnouts 505 665Seepage from Canals 200 65Operational Losses in Canals 75 50

Total Supply 780 780

Engineering Design

4.18 The design of canals and structures would follow standard designpractices in India, which are technically sound. The control structureswould be manually operated. The design of the link canal would be carriedout by PWD's office in Madras, under supervision of the Chief Engineer (Ir-rigation). Field surveys for the link canal are almost completed, designsare under preparation and contract documents are scheduled for completionby June 1977. Designs for other project works would be carried out by theSuperintending Engineers Offices in Madurai.

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Construction Methods

4.19 Labor-intensive construction methods would be used. However, since

it is imperative that the canal banks are properly compacted before lining,

sheepfoot rollers would be used for this. Rollers would also be used for

construction of road foundations. Granite blocks for the rehabilitation of

structures would be obtained from quarries in the project area. Coarse

aggregate for reinforced concrete would be produced by manual labor from

excavated rock. A number of concrete yards would be set up in the projectarea to prefabricate, on a year-round basis, the concrete slabs for lining.

Vibration tables would be used to manufacture the slabs, and standard qualitycontrol tests would be carried out.

Implementation Schedule

4.20 The project would be implemented in four years (Annex 6, Figure 2).

Construction of the link canal would not start until March 1978 after comple-

tion of contract tendering procedures, but construction of the other project

works would be initiated as soon as possible and not later than August 1977.

Canal lining and related earthwork would only be undertaken during the period

March through October when either the entire project area or part of it was not

being irrigated. The project is scheduled for completion by 1981.

Cost Estimates (Annex 4)

4.21 Total project costs are estimated at US$45.6 M including a foreign

exchange component of US$6.9 M or 15Z of the total. Cost estimates are gen-

erally based on actual contract prices for other irrigation works awarded

recently, and have been updated for inflation to March 1977. Duties and taxes

are insignificant and therefore not included. The GOTN's costs for adminis-

tration, design and construction supervision are estimated at 15% of construc-

tion costs. An overall physical contingency factor of 15% was applied. Price

contingencies are estimated at about 27% of the base cost estimate in accord-

ance with inflation rates of 8% annually for civil works and of 7-1/2% for

equipment during the period 1977-79 and 7% thereafter. Project costs are

detailed in Annex 4 and summarized below:

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% ofBase

Local Foreign Total Local Foreign Total /a Cost----(Rs Million)-…- ---- (US$ Million)----

Link Canal 40.0 7.0 47.0 4.44 0.78 5.22 16.0Canal Lining 81.5 18.4 99.9 9.06 2.04 11.10 34.0Control Structures 10.3 1.8 12.1 1.14 0.20 1.34 4.1Tank Improvements 13.3 1.8 15.1 1.48 0.20 1.68 5.1Canal Extension 28.4 4.8 33.2 3.16 0.53 3.69 11.3O&M Roads 10.4 1.6 12.0 1.15 0.18 1.33 4.1O&M Buildings 1.2 0.2 1.4 0.13 0.02 0.15 0.5O&M Equipment 0.5 2.6 3.1 0.06 0.29 0.35 1.1Village Roads 19.7 3.4 23.1 2.19 0.38 2.57 7.9Extension Program 3.2 - 3.2 0.36 - 0.36 1.1

Staff Training - 1.6 1.6 - 0.18 0.18 0.6

Monitoring Program 0.2 0.6 0.8 0.02 0.07 0.09 0.3Design, Management

and Administration 40.8 - 40.8 4.54 - 4.54 13.9

Base Cost 249.5 43.8 293.3 27.73 4.87 32.60 100.0

PhysicalContingencies 31.3 6.6 37.9 3.47 0.73 4.20 12.9

Expected PriceIncreases 67.5 11.7 79.2 7.50 1.30 8.80 27.0

Total Project Cost 348.3 62.1 410.4 38.70 6.90 45.60 139.9

/a Discrepancies in currency conversions due to rounding.

Financing

4.22 The proposed credit of US$23.0 M would finance 50% of the totalproject cost covering the foreign exchange component of US$6.9 million and42% of local costs. The credit would be made to GOI who would channel theproceeds to GOTN on the standard terms and arrangements for development assis-tance to the states. With this assistance, GOTN would finance all capitalinvestments from its development budget. Operation and maintenance costswould be financed by GOTN from its regular budget.

4.23 Assurances were obtained from GOI and GOTN, that GOTN would promptlyprovide the funds required for the construction of the project in accordancewith the implementation schedule.

Procurement

4.24 Vehicles and Equipment. The estimated cost of vehicles and equip-ment for project management, project monitoring, operation and maintenance,and the extension services program is US$660,000, including spare parts andcontingencies. Procurement totaling an estimated US$290,000 would be subjectto international competitive bidding (ICB) in accordance with Bank guidelines.

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A preference, limited to 15% of the cif price of imported goods or the prevail-ing customs duty, if lower, would be extended to local manufacturers in theevaluation of bids. The remainder of the equipment (US$370,000) would consistof small off-the-shelf items costing less than US$100,000 for each order andof field vehicles which would depend upon existing servicing and spare partssupplied locally. These items would not be suitable for ICB. Such equipmentwould be procured through standard GOTN procedures which are acceptable to IDA.

4.25 Civil Works. For tendering purposes, the civil works would begrouped as follows:

(a) Link Canal (US$4.8 M). 1/ Since this is a separate structureand its construction would not interfere with the water supplyto existing areas, the link canal would be suitable for ICB.To permit the participation of local contractors, tendererswould be allowed to bid on one or more reaches of the canalor on the total works. Local contractors participating inthe bidding would be entitled to a 7.5% preference. Tenderdocuments would specify this preference and the manner ofits application.

(b) Other Civil Works (US$21.6 M). 1/ These works would behighly labor-intensive, be spread out over the entire projectarea and be scheduled intermittently in order not to interruptthe irrigation. Most of the works would be undertaken duringthe off-season when the irrigation system is closed down. Theywould be tendered on the basis of well proven piece work typecontracts. These contracts, with their inbuilt flexibility,would be the only appropriate method of constructing smallscattered works to ensure the minimum interruption of ir-rigation service in this ongoing project.

Disbursements

4.26 Disbursements would be made for: (i) 100% of the foreign expendi-tures for directly imported equipment; (ii) 70% of local expenditures forimported equipment procured locally; (iii) 100% of the exfactory price forequipment manufactured locally; (iv) 55% of expenditures for civil works;and (v) 100% of expenditures for technical assistance and staff training.Disbursements for piece work contracts under (iv) would be made against acertificate of expenditure from GOTN. The documentation for this would beretained by GOTN and made available for inspection during project supervision.An assurance was obtained from GOTN that the accounts for piece works wouldbe audited twice a year by the Accountant General of GOTN. The estimatedschedule of expenditures, the proposed allocation of the proceeds of thecredit, and an annual disbursement schedule are presented in Annex 5. It isexpected that disbursements would be completed by March 1983, about one yearafter completion of the project.

1/ The amounts shown are the basic costs, net of physical and price con-tingencies and administration and engineering staff costs.

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Accounts and Audits

4.27 The PWD and the Department of Agriculture (DA) would be subject tonormal Government control and auditing procedures which are considered to besatisfactory. Assurances were obtained from GOTN that: (i) PWD and DA wouldmaintain separate project accounts on project expenditures; and (ii) auditsummaries would be submitted to IDA within nine months after the end of eachfiscal year. Complete accounts and financial statements would be availablefor inspection during project supervision.

Environmental Impact

4.28 Some cases of malaria occur from time to time in the project areaas the large number of tanks makes it difficult to erradicate the diseasecompletely. The project as such would have no adverse impact on the healthsituation. If any, its effects would be positive as all canals would belined and seepage from the canals would be practically eliminated.

V. ORGANIZATION AND MANAGEMENT

Public Works Department (Annex 6)

5.01 Jurisdiction for the Periyar Vaigai Irrigation Modernization Projectrests with the Public Works Department (PWD) of the State of Tamil Nadu. TheChief Engineer of the Irrigation Branch of PWD has overall responsibilityfor design, construction and operation and maintenance.

5.02 Planning and Implementation. The Chief Engineer who has his head-quarters in Madras would delegate day-to-day responsibility for project exe-cution to two Superintending Engineers (SEs) stationed in Madurai. Each SEwould head a Construction Circle (Annex 6, Figure 1) comprising four divi-sions. The construction organization is sound and PWD has competent andexperienced staff to fill key positions.

5.03 Operation and Maintenance (O&M). O&M of the project would be con-trolled by the Madurai Maintenance Circle under the direction of the ChiefEngineer (Annex 6, Figure 3). An Executive Engineer is in charge of thePeriyar Vaigai system while the operation and maintenance of the Periyar andThirumangalam irrigation systems has been entrusted to an Assistant Engineer,who is assisted by an appropriate number of staff. An assurance was obtainedfrom the GOTN that sufficient funds would be made available at all times tooperate and maintain the project facilities in accordance with sound engineer-ing standards. Operation and maintenance costs for the lined system areestimated at Rs 50 per ha, which is approximately equal to the present budgetallocation.

5.04 Water Allocation. At present, rainfall data and crop surveys formthe basis for water deliveries, and releases from the reservoir are reduced

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during periods of rainfall. During periods with scarce water supply, rota-tion between branch channels and distributaries is practiced. Because ofhistoric water rights in the existing command area, the future system wouldhave to be carefully operated in order to provide an adequate supply to theextension area financed under the project. In order to ensure this, a con-dition of disbursements for the extension works (para 4.09) would be that IDAhas received an acceptable system operation plan for the project. Further-more, an assurance was obtained from GOTN that after meeting the water rightsof the existing areas, it would make water available in sufficient quantitiesto meet the requirements of the projected cropping pattern in the extensionarea.

Department of Agriculture (Annex 7)

5.05 The Department of Agriculture (DA) would be responsible for the re-organization and strengthening of agricultural extension services in the proj-ect area and for the construction of staff quarters and the procurement ofequipment, vehicles and supplies for the extension service. Motorcyclesand bicycles to be used by the extension personnel would be sold by GOTN tothe staff on terms and conditions that are acceptable to IDA, and a mileageallowance would be provided to the staff. Coordination of the extensionactivities in the project area would be the responsibility of the ProjectImplementation Committee chaired by the Deputy Director of Agriculture (DDA)in Madurai and consisting of District Agricultural and Divisional DevelopmentOfficers. Changes in the program would be initiated in July 1977 and completedin June 1978.

5.06 Under the project, 70% of the VLWs in the District would be assignedto full time agricultural work. They would be merged with the existing fieldstaff of DA to create a new cadre of Village Extension Workers (VEWs) who wouldwork under the supervision of the PIC. All the existing special extension pro-grams would be integrated into one single system working through the VEWs.

5.07 On the average, there would be one VEW for every 650 farmers. Thiswould enable regular visits every two weeks by the VEW to each group 50 to100 farmers. Within each group, 6 to 10 contact farmers would be selected.At the block level, one to three Deputy Agricultural Officers (DyAOs) wouldeach supervise the work of about eight VEWs. They would report to a DistrictAgricultural Officer (DAO) who, in spite of his title, would be located at thedivisional level. The DAO would be supported by a small number of SubjectMatter Specialists (SMSs).

Cost Recovery

5.08 Tamil Nadu is making a strong tax effort. Over the past few years,its tax revenue per capita was 50% higher than the national average and as apercentage of State income it was 30% above the national averge (fourth high-est among Indian States). Although the State ranks sixth in India in per

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capita income, its rural areas which contain 70% of the population are charac-terized by small farms and low incomes (per capita income below the nationalaverage for rural areas, and one of the highest incidences of rural poverty).In 1976, the State revised its agricultural taxation with a 70% increase inwater rates and the introduction of a commercial crop assessment.

5.09 At present, owners of irrigated land pay annual water charges ofat most Rs 120 per ha and averaging about Rs 45 per ha. These charges arelevied as part of a composite land revenue tax. The land cess, a local tax,is calculated as a percentage of the land revenue. The cess on the watercharge averages about Rs 30 per ha. Cultivators of commercial crops (such asgroundnuts, and sugarcane) pay additional taxes ranging from Rs 30 to Rs 50per ha. These crops are grown primarily under irrigation, and, in practice,the commercial crop assessment is a water-related charge. For the State, thetotal water and water-related charges amount to about Rs 120 M or Rs 85 per ha.In addition, all farmers are taxed 2% to 4% on sale of produce other thanfoodgrains.

5.10 The provision of irrigation to a rainfed farm would increase thenet farm income by about Rs 1,500 per ha. The direct water related chargesin irrigation projects amount to about 5% of the net incremental farm income.Thus, a substantial increase in the water charge is well within the farmers'ability to pay. The farmers who operate their own well effectively pay atleast five times as much for their water as the farmers who are served bycanals.

5.11 The Periyar Vaigai Project is the first major attempt to modernizean existing system in Tamil Nadu. The GOTN intends to subsequently modernizethe Cauvery Delta System and continue with modernization of most other canalsystems in the State. The investments required for a total modernization ofthe State's canal systems are about Rs 4,000 M. This would place a heavyburden on GOTN's investment budget. In addition, the annual cost for properO&M of the canal systems would amount to about Rs 60 M (Rs 40 to 50 per ha).

5.12 The water saved under the project would provide: (i) a more assuredwater supply to some existing irrigated areas; (ii) water for a second cropin some presently single irrigated areas; and (iii) irrigation for some pre-sently rainfed areas. Because of hydrological factors and historical waterrights in the existing system, the irrigated area and thus, the beneficiariesof the project would vary from year to year. If the costs of the lining andassociated works were recovered only from the direct beneficiaries, the resultwould be that these farmers would pay much higher charges than the non-beneficiaries in the project area, even though they would be supplied withwater from the same canal system. Because of the need to treat all farmers inthe project area in an equitable manner, a uniform rate structure would haveto be applied. Consequently, if the water charges have to be increased torecover the full cost of lining they have to be applied to all farmers in thecommand of the system. However, this would be politically unfeasible at thisstage since the farmers in the old system, with certain justification, canargue that "their" system is already paid off and that they would not benefitdirectly from the modernization works.

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5.13 Because of historical water rights, water deliveries from the canal

system would not be uniform throughout the command area. The benefits, how-

ever, would be approximately proportionate to the volume of water supplied to

each farmer. The project would make it feasible to measure the volume of

water supplied to each 10 ha outlet command, setting the stage for a futurevolumetric water charge system.

5.14 As this is the sort of situation that GOTN will face in all future

irrigation modernization projects, the system of water charges would have tobe analyzed on a Statewide basis and within the framework of the State's

agricultural taxation system.

5.15 Given the heavy burden that the irrigation sector places on the

State's finances, an assurance was obtained from GOTN that it would review

the question of water charges and implement a system of water and water-relatedcharges in Tamil Nadu to ensure adequate recovery of annual O&M costs and to

the extent possible generate funds that could be used for subsequent rehabili-

tation and modernization works in the State; in the determination of the levelof charges, proper considerations would be given to the farmers' ability to pay

and to the overall budgetary requirements of the State. The review would besubmitted to IDA by March 31, 1979. The study would cover: (i) alternative

methods of collecting water charges with special emphasis given to volumetric

charges in irrigation projects that have been modernized; (ii) the farmers'ability to pay water charges; and (iii) the effects of the irrigation sectoron the State's budget.

VI. PRODUCTION, MARKETING, PRICES AND FARM INCOMES

Production (Annex 8)

6.01 The primary use of project generated water savings would be to ex-

pand the cropped area rather than to improve irrigated yields which are al-ready fairly high. The expansion could basically take place in either of two

ways: (i) extension of the command area to provide a single irrigated crop in

what are now rainfed areas (alternative 1), and (ii) conversion of what are now

single irrigated areas into double irrigated areas (alternative 2) (para4.17). A combination of these two alternatives is also possible. The actual

allocation of water would be decided upon after the project has been completedand the amount of water savings is known. Based on crop calendars in Annex 8,

the future with and without project cropping patterns for the two alternativeswould be as follows:

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Alternative 1 Alternative 2Single Single Double

Rainfed Irrigated Irrigated Irrigated-----------% of cultivable area -----------

Paddy, rainfed 5 - -

Paddy, irrigated - 84 84 169Sorghum and millets,rainfed 40 10 10 6

Pulses, rainfed 5 20 20 8Groundnuts, rainfed 20 5 5 -Groundnuts, irrigated - 2 2 2Minor crops, rainfed - 3 3 -Minor crops, irrigated - 3 3 6Fallow/Pasture 30 - - -Cropping Intensity 70 127 127 191Irrigation Intensity 0 89 89 177

6.02 Either alternative would result in an increase in the cropping in-tensity of about 60%, with irrigated paddy constituting the major part of theincrease because of good yields and favorable prices. Paddy production undereither alternative is estimated to increase at least 400 tons per Mm of watersuppliid to the field turnout. The net water savings would amount to about160 Mm which would result in a production increase of about 64,000 tons ofpaddy. Because current yields are high (para 3.21), no potential future yieldincreases are taken into account in evaluating the production benefits of theproject.

Market Prospects

6.03 Tamil Nadu in recent years has been marginally deficit in foodgrainproduction, although Madurai District and the project area have produced asurplus. It is expected that the project-related increase in paddy productionwould be readily absorbed into existing market channels serving other partsof the State. The area also is a major supplier of groundnuts for domesticoil millers and for export to neighboring Asian countries. Government con-trolled sugar mills in the area compete with private jaggary mills for cane.At present, they operate at less than half capacity and could handle additionalproduction from the area.

Prices (Annex 10, Appendix 1)

6.04 Price estimates for the economic analysis are based on the Bank'sworld market projections. Financial prices used in this report are currentprices adjusted for seasonal variations. No major changes are anticipatedin Government policies or in supply/demand relationships which could sub-stantially affect these prices. For paddy, the dominant crop, the economicfarm gate price is Rs 1,550 per ton (US$172 per ton) in 1977 terms. Thefinancial farm gate price for paddy is Rs 1,100 per ton (US$122 per ton).

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Farm Incomes (Annex 9)

6.05 Under the project, the irrigation water savings would be suppliedto rainfed farms and/or to single irrigated farms (paras 4.17 and 6.01). Theeffects of the project on farm incomes are illustrated below. The farm in-comes are net of production costs and water charges (at their present lowlevel).

Size of Holding Alternative 1 Alternative 2(from rainfed crop to (from single to doublesingle irrigated crop) irrigated crop)

Present Future Present Future(Rs) (Rs) (Rs) (Rs)

0.5 ha 400 1,400 1,400 2,1001.3 ha 1,000 3,600 3,600 5,5003.0 ha 2,300 7,500 7,500 10,900

VII. BENEFITS AND JUSTIFICATION

General

7.01 The project would enable expansion of an irrigation system whichalready fully utilizes available surface water supplies, in a State whereessentially no additional surface water supplies are available and onlylimited groundwater resources remain. The project would be the first attemptin India to modernize a major irrigation system and, consequently, it wouldinclude a monitoring component that would provide valuable experience for theplanning of future modernization works.

7.02 The overall impact of the project can be summarized as follows:

Impact Pe5 Addi-tional Mm of

Impact Water Supplied

Net increase in water supply (Mm ) 160 -Increased paddy production (tons) 64,000 400Net foreign exchange savings (US$) 9.6M 60,000Value added to the local economy

(Rs) 115 M 0.7 MGenerated farm employment (jobs) 12,000 75Generated non-farm employment

(jobs) 8,000 50

- 24 -

Economic Rate of Return (Annex 10)

7.03 The economic 3value of water saved in the conveyance system wouldbe high (Rs 0.45 per m ) because of the high yields and the fairly competentwater management by the farmers. Pending GOTN's future decision about theallocation of the water saved (para 2.20), the economic analysis has beencarried out for two extreme assumptions (para 4.17): (i) the canal systemwould be extended -- at a cost of Rs 5,600 per ha -- to provide irrigation forpresently rainfed farms (alternative 1) and (ii) the water would be used withinthe present command area to provide a second irrigated crop in areas that nowget water for only one crop (alternative 2). It is likely that the ultimateuse would be a combination of the two alternatives.

7.04 The project would reduce the recharge of the groundwater basin and 3consequensly reduce the groundwater outflow from the project area from 280 Mmto 185 Mm . This would result in a reduction of the groundwater level, esti-mated at a maximum of about 2.0 m at the lower fringes of the project area.This negative effect, which would likely extend to areas beyond the downstreamborder of the project, would result in increased pumping costs for wells locatedwithin and downstream of the command area. These costs (about Rs 0.5 M) havebeen taken into account in the analysis.

7.05 Given the assumptions in Annex 10, the economic rate of return (ERR)has been estimated at:

Alternative Use of Water ERR

1 Extension of canal system to pro-vide one irrigated crop in presentlyrainfed areas 17%

2 Provision of a second irrigatedcrop in areas presently gettingwater for only one crop 23%

Any combination of the two alternatives would give an ERR between these twoextremes.

Income Distributional Effects

7.06 Due to the low rainfall, unirrigated crop yields, farm incomesin rainfed areas are low. Farmers in the irrigated areas are substantiallybetter off. The effects of the project on the net farm incomes under thetwo alternative uses of water are illustrated below:

- 25 -

Percent of Farm Household with NetPer Capita Farm Income Below

US$30 US$60 US$110

Present 45% 65% 80%Alternative 1 35% 55% 75%Alternative 2 40% 60% 75%

7.07 Alternative 1 would have much more favorable impact on the ruralpoor than alternative 2. Since the ERR would be higher for alternative 2than for alternative 1, GOTN would face a clear trade-off between efficiencyand equity in its future water allocation decision.

Least Cost Solution

7.08 There is ample groundwater in the project area (para 3.11). Thus,a technically feasible alternative for providing additional irrigation wouldbe to increase the groundwater exploitation. Because of the rock substrata,dugwells rather than tubewells would have to be used. Ths installation costfor a typical dugwell with an annual capacity of 19,700 m would be absutRs 20,000. Economic pumping costs would amount to about Rs 0.02 per m .At an interest rate of 10%, the capital cost for a well would amount to aboutRs 0.12 per m , and maintenance cost would be Rs 0.02 per m which gives atotal cost for well water of Rs 0.16 per m . The corresponding econoiic costfor the water saved through canal lining would be about Rs 0.13 per m . Takinginto account the difficulty of reaching small farmers through private ground-water development, 1/ canal lining is clearly the more attractive alternative.

Project Risk

7.09 The risk associated with the project would stem from uncertaintyregarding:

(i) Future increase in investment costs by 20% and a 20% decreasein benefits would lower the estimated ERR from 17% to 13%under alternative 1 and from 23% to 17% under alternative 2.Consequently, the estimated ERRs are moderately sensitive tochanges in assumed future prices and yields.

(ii) Water savings. Due to the limited and to some extent con-flicting data on the present losses and the inherent un-certainty about future losses, and due to the limitedexperience of this type of work in India, the water savingscannot be accurately estimated. The likSly range of watersavings would be for a minimum of 100 Mm and a maximum of200 Mm . The ERRs for the various combinations of watersavings and water use are estimated as follows:

1/ Since the geology rules out deep tubewells, public groundwater develop-ment would not be feasible because of administrative difficulties.

- 26 -

Water Use Net Water Savings

100 Mm 160 Mm 200 Mm3

(minimum) (best estimate) (maximum)

Extension of theCommand Area 12% 17% 20%

Double Irrigationin the PresentCommand Area 15% 23% 29%

Consequently, the risk associated with the project is limited.

VIII. AGREEMENTS REACHED AND RECOMMENDATIONS

8.01 Agreement has been reached with GOI and GOTN that GOTN would promptlyprovide the funds required for construction of the project in accordance withthe implementation schedule (para 4.23).

8.02 Agreements have been reached with GOTN that:

(a) the accounts for piece works would be audited twicea year by the Accountant General of GOTN (para 4.26);

(b) PWD and DA would maintain separate accounts on projectexpenditures (para 4.27);

(c) audit summaries would be submitted to IDA within nine monthsafter the end of each fiscal year (para 4.27);

(d) sufficient funds would be made available at all times tooperate and maintain the project facilities in accordancewith sound engineering standards (para 5.03);

(e) after meeting the water rights of the existing areas, itwould make water available in sufficient quantities to meetthe requirements of the projected cropping pattern in theextension area (para 5.04);

(f) it would review the question of water charges and implementa system of water and water related charges in Tamil Nadu toensure recovery of annual O&M costs and, to the extent possi-ble, generate funds that could be used for subsequent rehabili-tation and modernization works in the State; in the determina-tion of the level of charges, proper considerations would begiven to the farmers' ability to pay and to the overall budgetaryrequirements of the State (para 5.15); and

- 27 -

(g) the review would be submitted to IDA by March 31, 1979(para 5.15).

8.03 A condition of disbursement for the works in the extension areawould be that IDA has received an acceptable system operation plan for theproject (para 5.04).

8.04 With the above agreements, the proposed project would be suitablefor an IDA credit of US$23.0 M on standard IDA terms. The Borrower wouldbe the Government of India.

May 19, 1977

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Climatic Data

Jan. Feb. Mar. Apr. May June July Aug. Sep. Oct. Nov. Dec. Total

Average Rainfall (mm)!/ 4 5 20 43 64 33 56 108 140 217 107 95 892

Air Temperatures (°C)-/Mean of daily maximum 30.3 31.9 35.1 36.4 37.3 36.5 35.5 35.1 34.7 32.1 30.2 29.1Mean of daily minimum 19.8 20.5 22.4 24.6 25.7 25.6 25.3 24.7 24.1 23.1 22.1 20.9

Relative Humidity08.30 hours 75 74 72 71 62 58 60 63 64 77 78 7817.30 hours 52 42 38 47 48 48 51 54 54 67 67 66

Monthly Pan Evaporation3/ 154 171 172 199 246 282 205 205 140 120 114 136 2,144

Mean Wind Speed (km/hr)-/ 7.3 6.6 5.8 5.1 6.3 9.6 9.3 7.0 6.4 4.9 5.2 6.9

Sunshine (% of daylight hr.)3/ 69 71 75 64 59 58 49 48 54 53 63 51

1/ Averages based on rainfall measurements at Peranai Regulator, Andipatti, Mettupatti, Kallandiri Regulator,Chittampatti, Edayapatti, Melur, Pulipatti Regulator, Thaniyamangalom and Madurai.

2/ Madurai Aerodrome (1962-1973).

3 Agricultural College and Research Institute, Madurai (1973-1975)

4/ India Meteorological Department, Climatological Tables of Observatories of India (for Madurai Station;1931-1960).

co~~~~~~~~~~~~~~~~~~~~~~~~~

ANNEX 2Page 1

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Water Supply and Demand

Introduction

1. The main feature of the project is lining of all irrigation canals downto 10 ha outlets in order to reduce seepage and operational losses. The watersaved can be used to increase the irrigated area. A water balance has beenprepared for the project area to estimate the present project irrigationefficiency and, in particular, the conveyance efficency of the present unlinedcanal system. A range of likely water savings as a result of the liningprogram has been established.

Present Overall Project Irrigation Efficiency

2. Irrigation water to the project area is supplied from four sources:(i) diversions from the Vaigai River into the Periyar and Thirumangalam MainCanals at the Peranai Regulator; (ii) rain water collected in, and suppliedfrom numerous tanks in the project area; (iii) operational wastes collectedin the tanks, which are3being reused for irrigation; and, (iv) groundwater.A total of about 490 Mm per annum is at present being diverted at the Per-anai regulat3r. The net contribution of tanks to the irrigation water supply,about 165 Mm , has been estimated on the basis of the experienced differencebetween required water supplies for direct and indirect ayacuts 1/. Fieldirrigation efficiencies for areas beyond the control of PWD operated turn-outswere assumed to be 85% for areas under paddy and 65% for areas under othercrops. Assuming further that one-third of the on-farm losses would be col-lected in the tanks and 3reused for irrigation, the return flows into the tankswere estimated at 30 Mm .

3. A detailed groundwater extraction survey in the Periyar canal areahas been underSaken by the Groundwater Branch of PWD. It was found that atpresent 113 Mm of groundwater is being extracted. Total groundwater extrac-tion ie the project area (including the Thirumangalam area) is estimated at

125 Mm

1/ Direct ayacut: area supplied directly from the canal systemIndirect ayacut: area supplied indirectly from tanks.

ANNEX 2Page 2

4. The water supply and demand situation under present conditions hasbeen summarized in Table 1, which, for the period 1962/63 through 1974/75,compares the amounts of irrigation water supplied to the project area withthe estimated net field irrigation requirements (including crop consumptiveuse, land preparation requirements for paddy and seepage losses in paddyfields). The expected net water savings from canal lining are shown inTable 2. The calculated net field irrigation requirements for each crop arepresented in Tables 3 to 14. It was estimated from Table 1 that the presentoverall project irrigation efficiency is about 53% (including the use of tankand groundwater). The dry years of 1962/63, 1965/66, 1969/70 and 1974/75were excluded from the calculations as in these years only part of the proj-ect area was irrigated due to lack of canal water.

Conveyance Efficiency of Unlined Canal Distribution System

5. The net contribution of the tank and groundwater supply was deductedfrom the total net field irrigation requirements to determine the net fielddeliveries from the canal system. These net field deliveries compared withthe total amount supplied at Peranai regulator have resulted in an overallefficiency for the area under direct command from the canal system of 40%.The weighted field irrigation efficiency for the project area including thereuse of operational wastes is 89% (only 6% of the water is used for othercrops than paddy). The conveyance efficiency of the canal distribution systembecomes thus 45%.

Estimation of Net Water Savings After Lining

6. With a canal conveyance efficiency of 45%, the gross losses inthe system will amount to 55% of the gross supply (about 275 MI ). Ofthese 200 Mm have been assumed to be seepage losses and 71 Mm operational2losses. Losses after lining have been assumed to be 0.1 m /s per million mof wetted perimeter, which gi"es losses of about 40 Mm , and net watersavings after lining of 160 Mm . Assuming further that about one-half of theoperational losses will be saved aster lining (40 Mm ), total net savings afterlining will amount to about 200 Mm . It is considered that this is the bestpossible estimate of water savings in the canal system below Peranai regulatoras the measurements of the seepage losses that have been performed cannot beconsidered reliable and/or representative enough for the overall irrigationseason (para 7). On the other hand, the estimated seepage losses derivedfrom calculations seem to be on the low side (para 8). However, all avail-able information combined has made it possible to establish a range of watersavings that seems realistic and reasonable (see Table 2).

7. Various attempts have been made by the PWD to determine the seepagelosses in the main canal, mainly by measuring the water flows at drop struc-tures. Instantaneous water measurement with current meters were only under-taken twice: in January and December 1976. All measurements indicated lss-ses in the main canal during the irrigation season in the order of 150 MmSince the soil conditions along the branch channels and distributaries are

30

ANNEX 2Page 3

similar9 this would imply a total seepage loss in the distribution system ofabout 35 Mm3. Including operational losses, the total loss would becomeover 400 Mm . Given the overall water balance for the area, this estimatecan be regarded as unrealistically high. A total maximum reduction in seep-age and operational losses through lining of main canals, branch channelsand distributaries was adopted of 250 Mm in order to keep the conveyanceefficiency of the lined canal sytem to a realistic maximum of 85%.

8. Present seepage losses in the diStribution system2have also beencalculated on the basis of a loss of 2.4 m /s per million m of wetted perimeter.This loss rate corresponds well with three ponding tests that were undertakenin the main canal and in branch channel No. 10 in December 1976. This leadsto an estimated loss in the main canal of 70 Mm per annum and in the branchchannels and d stributaries of 90 Mm . Losses after lining may in both casesbe abSut 20 Mm , resulting in savings after lining of respectively 70 and50 Mm 0 The latter figures have been adopted to establish the lower ceilingof the possible water savings. Two ponding tests carried out in September1975 in two other channels showed much higher losses.

9. Measurements undertaken by the PWD in the past seemed to indicatethat water losses in the Vaigai River between Vaigai Reservoir and PeranaiRegulator amounted to more than 50 MCM during the irrigation season. Adetailed current meter measurement undertaken in December 1976 showed a lossof 52 cusecs out of flow of 783 cusec released from Vaigai Reservoir. Thiswould represent a loss of about 35 Mm when extrapolated over the irrigationseason.

100 The Groundwater Branch of PWD undertook in October and November 1976an in-depth study 2/ regarding the groundwater flows in this river reach andfound that for the month of November 1976 the sotal addition to groundwaterstorage was only 23.5 cusecs (equal to 14.5 Mm when extrapolated over theirrigation season), part of which is due to rainfall and lateral inflow.Given these studies it is considered that the assumption of a high water lossin the Vaigai River on the basis of the above mentioned measurements is notjustified as no explanation can be found for such losses on the basis of thegeohydrological conditions along this reach of the river.

1110 It should further be considered that the total seepage losses fromthe river as measured by PWD represent only a small percentage (7%) of thetotal flow released from Vaigai Reservoir. The discharge measurements canfurther not have been very accurate as water depths were less than 1.0 m, whilethe width of the river is 50 m downstream of Vaigai Dam and 150 m upstream of

1/ A figure generally adopted in India to calculate seepage losses fromcanals in alluvial soils (equivalent to 8 cfs per million sq ft).

2/ Groundwater Study in Vaigai Basin between Vaigai Dam and Peranai-Madurai District (December 1976).

31

ANNEX 2Page 4

Peranai Regulator. The possible error in the measurements may thus be of thesame order of magnitude as the measured losses. The measurements can there-fore not be used as the basis for realistic assumptions regarding possiblepresent water losses. Considering the abSve, maximum possible seepage lossesfrom the river have been assumed at 10 Mm during th5 irrigation season.More realistic is to assume such losses only at 5 Mm , which equals the mag-nitude of the groundwater extraction in the affected river reach.

Utilization of Net Water Savings

12. Part of the water saved (about 58 Mm ) would be utilized to irri-gate 9,000 ha of presently rainfed land. For the economic evaluation of theproject two alternative uses of the remainder of the water savings wereconsidered:

Alternative 1: to extend the area under single crop paddy in theproject area to the fullest extent, and providethe surplus to a new extension area downstreamof the Pulipatti Regulator.

Alternative 2: to grow two crops of paddy in areas where atpresent only one crop of paddy is cultivated.

13. The following water requirements at the turn-outs were calculated,taking into account that one third of the field losses will be reused (fordetails see Annex 8, Table 7):

Water Requirement atAlternative turn-out foS 100 ha

(in m )

1. Single Crop Paddy 644,0002. Double Crop Paddy 1,186,000

(542,000 additional)

14. The area would be extended under alternative I and the time periodover which water is supplied would increase under alternative 2. It has beenestimated that additional seepage and operati nal losses in the conveyance sys-tem in both cases would amount So abouS 30 Mm 3 Available at the turn-outswould thus be a total of 190 Mm -30 Mlm =160 Mm which would be sufficient tobring 24,800 ha (9,000 ha + 15,8000 ha) of rainfed land under irrigation(alternative 1), or to irrigate 9,000 ha of rainfed land and convert 18,800ha of single irrigated land into double irrigated land (alternative 2).

Effects of Lining Program on the Groundwater Regime

15. The groundwater table in the project area varies at present between3.0 to 7.5 below field level. The thickness of the saturated zone below the

32

ANNEX 2Page 5

water table is about 6.0 m. The lining of all irrigation canals will reducethe recharge of the aquifer. The outflow of g oundwater from the projectarea wsuld be reduced from an estimated 280 Mm at present to approximately185 Mm after completion of the project. This will result in a decrease ingroundwater levels, negligible near the Periyar main canal but reaching amaximum of about 2.0 m at the lower fringe of the project area. Pumpingfrom wells will therefore be affected. The project area stretches overnearly the whole width of the long stretched groundwater basin. It couldtherefore be expected that also areas downstream of the project area will beinfluenced.

Water Rights in the Periyar Vaigai System

16. The water rights in the Periyar Vaigai irrigation system are basedon common law, with the oldest parts of the command area having priority inthe water allocation over the newer parts. In simple terms, the prioritiesare:

1. A first irrigated crop in the double irrigated zone;

2. A second irrigated crop in the double irrigated zone;

3. A single irrigated crop in the single irrigated zone;

4. A single irrigated crop in the proposed extension area; and

5. A single irrigated crop in any future extensions of thecommand area.

17. The farmers are free to choose whatever crop they want to grow, but

in practice almost only paddy is grown under irrigation. The maximum waterdemand from the existing areas would occur if two crops of paddy were grownin the double irrigated zone and one crop of paddy in the single irrigatedzone. In three years out of four, the total field water requirements undermaximue utilization under existing water rights, would be no more than about616 Mm . In practice, existing areas use only about 85% of their waterright.

18. If it is assumed that the existing areas would use their full en-titlement, the water supply 1/ to the extension area would be as follows:

1. Sufficient for one crop of paddy in 75 years outof 100.

2. Sufficient for one irrigated upland crop in 15 yearsout of 100.

3. No irrigation in 10 years out of 100.

1/ Based on rainfall and water supply data for the period 1940-1975.

33

ANNEX 2Page 6

19. However, it is more likely that the existing areas would useless than their theoretical rights since even in years with ample supply,the irrigation intensities in the single cropped and the double croppedareas are only about 85% and 170%, respectively. Thus, realistically,it can be assumed that the water supply to the extension area would be asfollows:

1. Sufficient for one crop paddy in 85 years out of 100.

2. Sufficient for one irrigated upland crop in 10 yearsout of 100.

3. No irrigation in 5 years out of 100.

20. Even if the n5t water savings would amount to only 100 Mm insteadof the estimated 160 Mm , sufficient water would be available for one cropof paddy in 75% of all years (based on the assumptions in para. 19).

May 1977

34

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL'NADU)

Water Supply and Net Fields Irrigation Requirements

(in Mm3

)

Water Year (June through May)

1962/63 1963/64 1964/65 1965/66 1966/67 1967/68 1968/69 1969/70 1970/71 1971/72 1972/73 1973/74 1974/75 Average

Water Supply

Periyar Main Canal J 317 555 492 274 483 413 404 371 418 534 550 543 469 448

Thirumangalam Main Canal 1/ 10 56 38 24 64 43 36 43 38 48 50 49 42 42

Subtotal 327 611 530 298 547 456 440 414 456 582 600 592 511 490

Tanks 2/

(i) Rainfall Contribution 120 117 170 116 213 160 120 93 122 164 125 117 86 135

(ii) Return Flows 30 30 30 30 30 30 30 30 30 30 30 30 30 30

Subtotal 150 147 200 146 243 190 150 123 152 194 155 147 116 165

Groundwater 3/ 125 125 125 125 125 125 125 125 125 125 125 125 125 125

TOTAL 602 883 855 569 915 771 715 662 733 901 880 864 752 780

Net Field Irrigation Requirements-4/ 475 500 431 476 353 521 508 522 394 388 473 481 607 470

Years when only part of the area

was irrigated. x x x x

Overall Project Efficiency (Ep) Canal Project Area Efficiency (Epc); (for: 1970/71-1973/74)

1. 1970/71 - 1973/74: Ep = 73-6 Net use of tank water: 85% x 648 = 550 Mm3

Net use of groundwater: 65% x 500 = 325 Mm3

2. 1962/63 - 1973/74: Ep 4.049 560/5 Total gross supply of canal water: 2,230 Mm3

Net use of canal water: 2,230 x Epc Mm3

(excluding years with partial supply) Total Net Field Irrigation Requirements: 1,736 Mm3

2,230 x Epc + 550 + 325 = 1,736

Epc = 40%

Canal Conveyance Efficiency

Weighted Field Efficiency (including reuse of losses): Ef = 89%

Canal Conveyance Efficiency: Ec = Epc = 40 = 45%Ef 0.69 X

1/ Source: PWD, Madurai2/ Source: PWD, Madurai; total net supply from tanks in a year with average rainfall equals 1.5 times the sum of the active storage capacities of the

larger tanks; in other than average rainfall years, rainfall contribution to tank supply was assumed to vary in proportion to rainfall.

3/ Groundwater extraction in Periyar Main Canal area 113 Mm1

(Source: Groundwater Department, PWD); Groundwater extraction in Thirumangalam area 12 Mm3

(extrapolated).

I 4/ Includes land preparation requirements and seepage losses in paddy fields, consumptive use of crops.

5/ Return flows into tanks excluded from supply.

ANNEX 2Table 2

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Water Savings from Canal Lining(Mm3 )

Low Best HighReduction in Seepage Estimate Estimate Estimate

Link Canal -15 -10 -5-/

Main Canals 50 65-/ 85

Branches & Distributaries 70.-/ 95 125

Reduction in Operational Losses 15 40 40

Total Gross Savings 120 190 245 -/

Available at the turn-outs 100 160 200

Irrigation Efficiencies after Lining (below Peranai Regulator)

Canal Conveyance System 64 75 85

Canal Command Area (Overall) 7/ 57 67 76

Overall Project Efficiency 70 77 84

1/ Calculated seepage losses from Link Canal (20Mm 3), minus gain from reducedevapotranspiration (5Mm3)

2/ Calculated seepage losses from Link Canal (20Mm 3), minus reduced evapotranspiration

(5Mm3)and elimination of seepage losses from the river (5Mm3)

3/ Calculated seepage losses from Link Canal (20 Mm3), minus elimiqation of seepagelosses from river (10 Mm3) and reduced evapotranspiration (5Mm )

4/ Estimated on basis of seepage losses of 2.4 m3/s per M m2 before lining.and 0.6 m3/s per Mm- after lining.

5/ Estimated from water balance (200 Mm3 in total minus seepage losses afterlining (40 Mm3)

6/ Total limited to keep canal conveyance efficiency at maximum 85%

7/ Based on weighted field efficiency of 89%, taking into account that one-third of the field losses will be reused.

36

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADUJ)

First Crop Paddy Main Canal Area Water RequirementsBy Month and Period (MM)

JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC1 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24

EST RAIN 4. 5. 20. 43. 64. 33. 56. 109. 140. 217. 107. 95.

ETO 68. 72. 78. 83. 86. 87. 87. 88. 90. 95. 101. 103. 100. 96. 91. 88. 86. 80. 70. 64. 61. 60. 63. 65.

CROP FACT 0.00 0.00 0.00 0.00 0.00 M.O 0.00 0.00 0.00 0.00 0.00 0.26-0.53 0.82 1.12 1.16 1.18 1.13 0.83 0.53 0.24 0.00 0.00 0.00CONS USr- 0. 0. 3. 0. 0. 0. 03. 0. 0. 0. 0. 27. 53. 78. 102. 102. 101. 90. 58. 34. 15. 0. 0. 0.LAND,PQrP 0. 0. 0. '3 . 0. 0. 0. 0. 0. 62. 62. 63. 63. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0.SEEPAC,F 0. 0. 3 . 0. 0. 3. 0. 0. 0. 4. 11. 18. 26. 30. 30. 30. 26. 18. 11. 40. 0. 0. 0.

GRCSS REO 0. J. 0). 0. 0. 0. 0. 0. 0. 0. 66. 100. 134. 167. 132. 132. 131. 116. 76. 45. 55. 0. 0. 0.

EFF RAINI 0. D. 0. 0. 0. 0. 0. 0. 0. 0. 16. 16. 20. 28. 38. 47. 53. 64. 76. 45. 54. 0. 0. 0.

NET PEQ 0. 0. 0. 0. 0. 0. 0 0. 0. 0. 50. 84. 1 14. 140. 94. 85. 78. 53. 0. 0 . 1. 0. 0. 0.AT FIE-LD

IPR. REQ 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 50. 84. 1 14. 140. 94. 85. 78. 53. 0. 0. 1. 0. 0. 0.AT TURNICUTFIELD EFF

TOTALS (mm) wrCCNS JSF = 659. 120 day variety.EFF RAIN = 456. Transplanced 15 June to 15 August.IRP REQ = 697.

-JL

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMI1L NADU)

Single Crop Paddy Main Canal Area Water Require mentsby Month and Period (mm)

JAN fi EE M AR APR MAY JUN JUL AUG SEP OCT NOV DEC1 2 3 4 5 6 7 8 9 ].O 1.1 12 13 14 15 16 17 18 19 20 21 22 23 24

EST PAIN 4. 5. 20. 43. 64. 3 3. 56. 109. 140. 217. 107. 95.

E TO 68. 72. 78. 83. 86. 8 7. 87. EE. 90. 95. 101. 103. 100. 96. 91. 88. 86. 80. 70. 64. 61. 60. 63. 65.

CPOP FACT 0.63 0.29 01.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.21 0.42 0.76 1.11 1.15 1.18 1.15 0.90CONS USE 43. 21. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 18. 34. 53. 70. 70. 71. 72. 59.LANOPPEP 3. 0. 0. 0. 0. 0. 01. 0. 0. 0. 0. 0. 0. 0. 0. 50. 50. 75. 75. 0. 0. 0. 0. 0.SEEPA CrC 9. 3. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 3. 9. 16. 25. 30. 30. 30. 25. 16.

GROSS REO 52 . 24. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 53. 77. 125. 153. 100. 100. 101. 97. 75.

EFF PAIN 11. 2. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 47. 53. 64. 79. 76. 54. 42. 39. 29.

NET REQ 41 . 2 2. 0. 0. o. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 6. 2 4. 61. 74. 25 . 46. 59. 58. 46.AT FIFLO

IRR. PREQ 41. 2 2. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 6. 2 4. 61. 74. 25. 46. 59. 5 8. 46.AT TURNOUTFIELD EFF

TCTALS (MM)CONS USE = 510. 120 day variety.EFF RAIN = 494. TransplanLed 1 September to 31 October.IRR REQ = 462.4,

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Single Crop Paddy Main Canal Area (150 day variety)

Water Requirements by Month and Period (MM)

J 4 Ili F-G MAR APP NMAY JUN JUL AUG SEP OCT NOV DEC

1 2 3 4 5 8 7 8 9 13 11 12 13 14 15 16 17 18 19 20 21 22 23 24

PST vA!" 4. 5. 2J. 43. 64. 33. 56. 139. 140. 217. 107. 95.

ETO 68. 7?. 7e. 83. 86. 87. P7. 88. 90. 95. 101. 103. 100. 96. 91. 88. 86. 80. 70. 64. 61. 60. 63. 65.

CPOP FACT 0.68 0.32 ..0C 0.00 OeOu C.CO OOC 0.00 0.30 0.JO 0.30 .303 0.09 0.00 0.33 3.35 0.70 1.07 1.11 1.16 1.20 1.20 1.16 1.08

CCNS USE7 46. 73. 0. 3. 3. 3. . 0. 0. 0. 0. 0. 3. 0. 0. 31. 60. 85. 78. 74. 72. 73. 73. 70.

LANnPPEP 0. 3. 3. 3. 3. 3. 3. 0. 0. 3. 0. 0. 0. 0. 85. 83. 82. 0. 0. 0. 0. 0. 0. 0.

SEEPAGE 15. 5. 3. 0. 3. O. D. 3. 0. 0. 0. 0. 0. 3. 5. 15. 25. 30. 30. 30. 30. 30. 30. 25.

GRCSS FFO 61. 28. 3. 0. 3. 3. 3. 3. 3. 3. 0. 0. 3. 3. 90. 129. 167. 115. 138. 104. 102. 103. 103. 95.

EFF RAIN 11, 2. 1. 0. O. 0. 0. 0. 3. 3. o. 0. 0. 0. 38. 47. 53. 64. 79. 76. 54. 42. 39. 29.

NET RFO 50. 26. 3. 0. 0. 0. 3. 0. 0. 0. 0. 0. 0. 0. 52. 82. 114. 52. 29. 28. 49. 61. 64. 66.

AT FIELO

IRR. rEC 53. 26. J. 3. 3. 0. 3. J. 0. J. 0. 0. 0. 0. 52. 82. 114. 52. 29. 28. 49. 61. 64. 66.

AT TUPNOUTFIELD EFF *

TOTALS (M) >CONS USE = 684. 150 day varieties.

EFF PAIN = 532. 16 August to 30 September. p t

TRP REQ = 672. \J1

U3'0

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL-NADU)

Second Crop Paddy, Main Canal Area Water RequirementsBy M4onth and Period (MM)

JAN FNBmAR APP N,AY JUN JUL AUG SEP OCT NO1V OL-C1 2 3 4 5 6 1 8 91 10 11 1 2 1 3 i4 15 1 6 i T 18 19 20 21. 22 23 2:

EST 40 5, 230. '3. 64. 33. 5 6. 139, i40. 217. 107. 950

F T) ',6. 7 2. 78. 83. 86. 87. e7. 88. 9.3. 95. 131. 103. 103. 96. 91. 88. 86. 800 70. 64,1 61. 60. 6 3,~ 6.

CROP F A C. 1.23 1.14 3.95 3.39 3,J)) ) )') 0.3330 .00 0.-03 3.30 0. 30 3.33 3.3J 3.03 J.00 0.00 0.03 0,00 0.00 0.21 0.63 1.08 ?.-2A I.o)CONS L-Sc '31 . 82. 66. 3 2. 00 3. 3. .3. 3. 0, 3. 0. 3. 3). 0. 0. 0. 00 0. 13. 38, 6 5. 7-1, 77.,L AMDP; ~P 0. ) . J3. U . J. 0-I. J, 0 . 0. 0, 0 . 3 . 0 . 0 . 0 . 0 . 3. 0 . 30, 63, 60, J. 0. 0.lSEFPAGr 33. ?4, 1?, 3, 0, 0. 3. 0. 3. 3 0. 0. . 0. 3, 0. 0. 0. 0. 3. 12. 14,- 33 30 , 30. 3,

GRCSS QFQ I 11. 136 . 738. 35. . J3, 3. 3. 0 . 0 . 0 . 0 . 0 . 0 . 0 . 0 . 0 . 0 . 33. 85 . 1 12. 95. 101, l0Y.

ErF ~AIN I11. 2. 2. 4. ). . 3. 3. 0. 3. 0. 0. 0. 0. 0. 0. 0. 0. 33. 76. 54. 42. 3 9. 29.… - - - - - - - - - - - - - - - - - - -

NET k;'3 133. 1 34. 76. 32. 3, 30 3 3, '. 3. 0. J. 3. 3, 0. 0. 0. 0 . 3. 9,. 58. 5 3. 62. ?8.AT CIFLn

IRD, P~0 133, 1 34. 76. 32 3.J 3 . 0. 3. 0). 3, 0. 3. 0. 3. 0, 0, 0. 9. 58. 53. 62. ?8,AT TUPN~')tT

CCtN's uiSF = '~26 . 120 day variety. 'FFF Pe4r = 233,. Tranasplanted 15 Octobor to 30 November,

INDIA

PERIYAR VAIGAI IRIGATION PROJECT (TAMIL NADOJ)

Single Crop Paddy Old Extension Water Requirementsby Month and Period ( MM)

JAN ~ F EB MAR APR Mla Y JUN JUL AUG SEP OCT NOV DEC

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24

EST RAIN 4. 5. 20. 43. 64. 33. 56. 109. 140. 217. 107. 95.

ETO 68. 72 . 78. 83. 86. 8 7. o 7. 88. 90. 95. 101. 103. 100. 96. 91. 88. 86. 80. 70. 64. 61. 60. 63. 65.

CROP FACT 1.19 1.11 1.11 0.81 0.51 0.24 0.30 0.00 0.03 0.00 3.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.26 0.52 0.80 1.09 1.14 1.18

CONS USE- 81. 85. 87. 67. 44. 21. D. 0. 0. 0. 0. J. 0. 0. 0. 0. 0. 0. 18. 33. 49. 66. 71. 77.

LANDPRFP J. 0. 3 . 3 . 0. 0. 0. 0. 0 . 03. 0. 3 . 0. 0. 0 . 0 . 0. 62. 62. 63. 63. 0. 0. 0.

SEEPAGE 3U. 330. 26. 18. 11. 4 . 0. 0 . 0. 0. 0. 0 . 0. 0. 0. 0. 0. 4. 11. 18. 26. 30. 30. 30.

…

GROSS PEO 111. 119. 113. 85. 55. 2 5. 3. 3 . 3. 0. 0. 0. 0. 0. 0. 0. 0. 66. 91. 114. 138. 96. 101. 107.

EFF RAIN 11. 2. 2. 4. 7. 10. 0. 0. 0. 0. 0. 0 . 0. 0. 0. 0. 0. 64. 79. 76. 54. 42. 39. 29.

… NET PEO 130 . 11 3. 1II. 82. 49. 15 . 0 . 0 . 0. 0 . 0. 3. 0. 0 . 0. 0 . 0. 2 . 12. 39. 84. 54. 62. 18.

AT FI ELF)

IRP. REO 1 ,) . 113. 111. E2. 49. 15 . 0 . 0 . 0 . 0 . 0. 0 . 0. 0 . J. 0 . 0 . 2 . 12. 39. 84. 54. 62. 78.

AT TUThSIJTFIELn J-FF 8~

TOTALS (mm)

CONS LSF = 6 99. 150 day variety. C

EFF PAIN= 417. Transplanted 10 October to 31 November.

IRR PEO BJ83.

4H

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADIJ)

Single Crop Paddy Thirumangalam Canal Water Requirements

By Month and Period (MM)

JAM F' R V APR MAY JUN JUL AUG SEP OCT NOV DEC1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24

EST PAIN' 4. 5. 2C. 43. 64. 33. 56. 109. 140. 217. 107. 95.

ETTO 68. 72. 73. 83. 86. 87. e7. 88. 90. 95. 131. 103. 100. 96. 91. 88. 86. 80. 70. 64. 61. 63. 63. 65.

CROP FtrT 1.16 1.08 0.69 0.32 0.03 0.03 0.00 0.00 0.00 0.30 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.34 0.70 1.07 1.11 1.16 1.20 1.20CONS USE 79. 78. 54. 26. 0. 0. 0. 0. 0. 0. 3. 0. 0. 0. 0. 0. 0. 27. 49. 68. 67. 70. 75. 79.LANOPPFP 0. 3. 0. 0. 3. 0. 0. 0. 0. 0. O0. 0. 0. 0. 0. 0. 83. 85. 82. 0. 0. 0. 0. 0.SEEPAGE 30. 25. 15. 5. 0. 0. 3. 0. 0. 0. 0. 0. 0. 0. 0. 0. 5. 15. 25. 30. 30. 30. 30. 30.

GPOSS REQ 139. 133. 69. 31 . 0. 0. 3. 0. 0. 0. 0. 0. 0. 0. 0. 0. 88. 127. 156. 98. 97. 100. 105. 109.

EFF RAIN 11. 2. 2. 4. 0. 0. 0. 0. 0. 0. 0. 0. 0. U. 0. 0. 53. 64. 79. 76. 54. 42. 39. 29.

NET REC 98. 101. 67. 28. 3. 0. 3. 0. 0. 3. 0. 3. 0. 0. 0. 0. 35. 63. 77. 22. 44. 58. 66. 80.AT FIFLO

IRP. RFO 98. 101. 67. 28. D. 0. 0. 0. 0. 0. U. 0. 0. 0. 0. 0. 35. 63. 77. 22. 44. 58. 66. 80.AT TUPNQjOJTFIELD EFF r* '

TCTALS (mM)CONS USE = 672. 150 day variety.EFF RAIN = 453. day variet e.I RR DECQ 739. Transplanted 15 September to 31 Otctber..

40.

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Sugarcane (all areas) Planted 16 January to 15 March

JAN FF8 MAR APP MAY JUN JUL AUG SEP OCT NOV DEC1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24

EST AI'N 4. 5. 20. 43. 64. 33. 56. 109. 140. 217. 107. 95.

ETO 68. 72. 78. 83. 86. 87. 87. 88. 90. 95. 101. 103. 100. 96. 91. 88. 86. 80. 70. 64. 61. 60. 63. 65.

CROP FACT (j.48 0.43 0.42 0.44 0.61 0.66 0.70 0.74 0.78 0.82 0.86 J.89 0.92 0.95 0.97 0.98 0.97 0.95 0.92 0.88 0.84 0.79 0.73 0.67CONS USE 32. 31. 33. 37. 53. 57. 61. 65. 70. 78. 86. 91. 92. 91. 88. 86. 83. 76. 64. 56. 51. 48. 46. 44.

…__ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _

GROSS '8Q 32. 1 . 33. 37. 53. 57. 61. 65. 70. 78. 86. 91. 92. 91. 88. 86. 83. 76. 64. 56. 51. 48. 46. 44.

rFF RA1N 8. 1. 1. 3. 6. 10. 14. 18. 23. 22. 17. 17. 21. 28. 37. 44. 48. 54. 63. 56. 43. 34. 32. 23.

NET gED 24. 3. 32. 34. 47. 48. 47. 47. 48. 55. 70. 75. 71. 63. 51. 42. 35. 22. 2. 0. 8. 14. 14. 20.AT FIELD

IPp. '3 24. 3). 4?. -4. 47. 48. 47. 47. 48. 55. 70. 75. 71. 63. 51. 42. 35. 22. 2. 0. 8. 14. 14. 20.AT TUPk!]UTFIELD -Fr ****'T

T8TALS (Mm)

CONS IJS' = 152J.FFF pA1% = 621.19R REQ = 899.

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Groundnuts (all areas) Planted 15 January to 28 February)

JAN Fh MAR ADP MAY JUN JUL AUG SEP OCT NOV DEC1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24

EST PAIN'J 4. R. 23. 43. 64. 33. 56. 109. 140. 217. 107. 95.

ETO 6P. 72. 73. £3. 26. 87. Y7. 88. 93. 95. 101. 193. 100. 96. 91. 88. 86. 80. 70. 64. 61. 60. 63. 65.

CROP FACT 0.30 0.10 0.24 0.45 C.61 0.79 0.90 0.90 0.82 0.51 0.23 3.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00CCNS US' 0. 7. 19. 37. 53. 6S. 78. 80. 74. 48. 23. 0. 0. 0. 0. 0. 3. 3. 0. 0. 0. 0. 0. 0.

GROSS kFU 0. 7. 19. 37. 53. 69. 7E. 80. 74. 48. 23. 0. 0. 0. 0. 0. 0. 0. 0. 3. 0. 0. 0. 0.

EFF RATM 0. 1. 1. ?. 6. 10. 15. 19. 22. 20. 13. 0. 0. 0. 0. 0. 0. 0. 0. 3. 0. 0. 0. 0.

NET REO 0. 7. 18. 34. 47. 59. 63. 61. 53. 28. 10. 0. 0. 0. 0. 0. 0. 0. 0. 0. .O- . O. O.AT IELfn

IRR. %E0 0. 7. 18. 34. 47. 59. 6.3 61. 53. 28. 10. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0.AT TUQ,IOt.TFIELD EFF -*"*

TOTALS (MM) OXCCNS USE = 490. °EFF RAIN = 110.

IRR R.EQ = 33.

4S

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Groundnuts (all areas) Planted 1 July to 31 August

JAN Fa8 MAR APR MAY JUN JUL AUG SEP OCT NOV DEC1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24

EST PATiN 4. 5. 20 . 43. 64. 3 3. 56. 109. 140. 217. 107. 95.

ETO 68. 72 . 78. 8 3. 86. 87. 87. 86. S0. 95. 101. 103. 100. 96. 91. 88. 86. 80. 70. 64. 61. 60. 63. 65.

CPOP FACT 0.00 0.003 0.00 0.00 0.00 0.030 0.0 0 0.30 0.00 0.00 0.00 0.00 0.05 0.12 0.26 0.47 0.61 0.77 0.90 0.95 0.92 0.75 0.53 0.28

CCNS uSE 0. 0. 0. 0. . 0. 0. 0. 0. 0. 0. 0. 5. 12. 23. 41. 52. 61. 63. 60. 56. 45. 33. 18.

GROSS PRfl 10. .0. 0. 0. 03. 0. 10. 0. 0. 0. 0. 0. 5. 12. 23. 41. 52. 61. 63. 60. 56. 45. 33. 18.

EFF PAIN 0. 0). 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 5. 12. 23. 36. 42. 51. 62. 59. 43. 33. 30. 18.

NET REO 0 0. '0. 0. 0. J. 0. 0. 0. 0. 0. 0. 0. 0. 0. 5. 1 0. 11 . 1. 1. 13. 12. 3. 0.AT F-IELD

I RR. RE( 0. O. . 0. 0. 0. 0 . 0. 0. 0 . 0. 0. 0. 0 . 0. 5. 10. 11. 1. 1. 13. 12. 3. 0.AT TURNOUTFIELD EFF

TOTALS OAM)CCNS USE = 469.EFF RAIN = 413-. iIFP PED 56. Po~

-NDI A

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Millet and Sorghum (all areas) Planted 16 July to 15 SePtember

JA! F,EP M AR APR MAY JUN JUL AUG SEP OCT NOV DEC1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 1 7 18 19 20 21 22 23 24

EST PAIN 4. 5. 20. 43. 64. 33. 56. 109. 140. 217. 107. 95.

ETO 68. 77. 78. 87. 86. 87. 87. 88. 90. 95. 101. 103. 100. 96. 91. 88. 86. 80. 70. 64. 61. 60. 63. 65.

CROP FACT 0.ou 0.00 0.00 0.00 0. o.o 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.05 0.16 0.35 0.63 0.85 0.97 0.98 0.88 0.67 0.42 0.17CCNS USE 0. 3. 3. 0. 3. 0. 3. 0. 0. 0. 0. 0. 0. 5. 14. 30. 54. 67. 68. 62. 53. 41. 27. 11.

…__ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _

GROSS REO j. J. 0. 0. J. 0. 0. 0. 0. 0. 0. 0. 0. 5. 14. 30. 54. 67. 68. 62. 53. 41. 27. 11.

EFF RAINJ 0. 3. 3. 0. 0. 3. 0. 0. 3. 0. 0. 0. 5. 14. 30. 42. 52. 63. 60. 43. 33. 27. 11.

NET E 0. 0. 0 0. 0. 0. 0. 0. 0. 12. 16. 5. 3. 11. 8. 0. 0.AT FIELn

[PR. pEQ 0. 0. 0. 0. 0. 0. 3. 0. 0. 0. 0. 0. 0. 0. 0. 0. 12. 16. 5. 3. 11. 8. 0. 0.AT TURNOUTFIELD EFF ;

TOTALS (MM) HCONS USE - 432. (DEFF RAIN = 379. 1IRR REQ = 54.

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Cotton (all areas) Planted 16 July to 31 August

JAN PrB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24

EST RAIN 4. 5. 20. 43. 64. 33. 56. 109. 140. 217. 107. 95.

ETr 68. 72. 78. 83. 86. 37. E7. 88. 90. 95. 101. 103. 100. 96. 91. 88. 86. 80. 70. 64. 61. 60. 63. 65.

CROP FAC- 0.04 O.30 3.0C 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.09 0.25 0.41 0.66 0.91 1.04 1.03 0.94 0.78 0.56 0.25CCNS USE 3. 0. 0. 0. 0. C. 0. 0. 0. 0. 0. 0. 0. 9. 23. 36. 56. 73. 72. 65. 57. 47. 35. 17.

GRCSS Pc0 3. 3. 0. U. 0. 3. 0. 0. 0. 0. 0. 0. 0. 9. 23. 36. 56. 73. 72. 65. 57. 47. 35. 17.

EFF P t, 11 3 . 3. J. J. 3. 3. J. 0. 0. 0. 0. 0. 0. 9. 23. 36. 43. 52. 64. 61. 44. 33. 30. 17.

NFT -,O J . .. 3. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 0. 13. 20. 9. 5. 13. 13. 5. 0.

AT FIFLC

IPP. PrQ 3. 3. 3, . 0. 0. 0. 0. 0. U. 0. 3. 0. 0. 0. 0. 13. 20. 9. 5. 13. 13. 5. U.AT TUPNOU-FIELD fF F

TOTPALS (kMM) P 2CCNS USE = 492. t

EFF Q4I" = 414. D x

IRR PFO = 78. w U

IN~DIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAI4IL NAD7J)

Vegetables and Miscellaneous (all areas) Planted 16 July to 15 September

J A?,,TF '1 A k APR MAY JUtJN JUJL AUG SEP OCT NOV DEC1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24

EST RATN 4. 5. 20. 4 3. 64. 33. 56. 109. 140. 217. 107. 95.

ETO 68. 7 2. 7 8. 83. 86. 87. 87. 88. 90. 95 . 131. 103. 100. 96. 91. 88. 86. 80. 70. 64. 61. 60. 63. 65.

CROP FACT 0.30 0.30 :3.00 3.33 . 0.03 .. 3.30 0.00 3.00 0.00 0.00 0.30 0.00 0.08 0.20 0.43 0.70 3.88 0.97 0.94 0.67 0.41 0.19 0.00CONS UISE 0. 3. J. 0. U. .3. 03. 0. 0. 0. 0. 3. 0. 8. 19. 37. 60. 70. 68. 60. 40. 25. 12. 0.

GROSS PFn 3). ). '). 0. o). 0. J.. 0. 0. 0. 0. 0. 0. 8. 19. 31. 60. 70. 68. 60. 40. 25. 12. 0.

EFF PAI'N 0. J3. 0. 0. U. C. 0. 0. 0. 3. 0. 0. 0. 8. 19. 36. 43. 52. 63. 59. 40. 25. 12. 0.

NE EQ 3. J. J. 0. 3. 3. J. 0. 0. 0). 0. 0. 0. 0. 0. 2. 1 7. 1 8. 5. 1. 0. 0. 0. 0.AT FIELD

I PR. REQ 0. . 0. (J. 0 . J. . 0. 0. 0. 0. 0. 0. 0. 0. 2 . 17. 18. 5. 1 . 0. 0. 0. 0.AT TUPNDUTFIELD EFF ***.*t

TOTALS (vm)CONS USE = 399.EFF RAIN, = 356.IRR pcE 42.

ANNEX 3Page 1

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Project Works

General

1. The major works to be executed under the project comprise the con-struction of a link canal, the lining of all irrigation canals, the rehabili-tation of existing structures, the construction of new structures whererequired, improvement and extension of the operation and maintenance road sys-tem and improvement of the village road system. A detailed listing of theworks to be constructed is provided in Table 1.

The Link Canal

2. The link canal will convey the irrigation waters released from theVaigai reservoir to the project area. Water from the reservoir is firstreleased in the river and then diverted into the link canal at the pick-upanicut (diversion weir) that is presently under construction approximately1 km downstream of the dam. This pick-up anicut will be completed in 1977.The 32 km long link canal will be located on the left bank of river and willconnect the pick-up anicut with the existing Periyar Main Canal. The linkcanal will supply the Thirumangalam Main Canal by means of a syphon under theVaigai River just upstre m of the Peranai Regulator. The carrying capacity ofthe link canal of 58.8 M /s was based on the following requirements:

(i) Periyar Main Canal 49.4 M /s

(ii) Thirumangalam Main Canal 5.9 M /s

(iii) Thenkarai Channel 1/ 1.1 M 3/s

(iv) Madurai City Water Supply 2/ 0.8 M 3 /s

(v) Link Canal ayacut 3/ 1.6 M /s

3. The selected alignment for the link canal provides that the fullwater supply level in the canal follows more or less the field level; this willprovide a stable base for the concrete lining. The alignment has been fully

1/ The Thenkarai Channel is an irrigation channel diverting water fromthe Vaigai River on the right bank; this channel will be linked upwith the Thirumanagalam Main Canal under the project.

2/ The requirements for the Madurai water supply are proposed to bemet by a pipeline taking off directly from the link canal.

3/ PWD intends to irrigate an area of some 1,600 ha that will comeunder the command of the link canal.

49

ANNEX 3Page 2

surveyed; field levels have been taken at 30 m intervals and test pits havebeen dug at 200 m intervals. Most of the excavation work for the canal willbe in weathered rock. An examination of the ground water levels along thealignment is being undertaken.

4. For the purposes of arriving at the most economical design, costcomparisons were prepared for various alternatives. The selected design hasa bed slope of 2 ft/mi, a bed width of 21 ft, side slopes of 1:1 and a waterdepth of 11 ft. The coefficient of rugosity adopted was 0.016. The watervelocity will be 6.5 ft per second. In addition to the syphon for theThirumangalam Main Canal, major structures related to the construction of thelink canal include two aquaducts (across the Varaganathi and Manjalan drain-age channels) and a number of drop structures and bridges. The link canalwill be lined with granite masonry of 25 cm thickness set in 1:2 cement mor-tar, with overbreak filled with 1:12 cyclopean concrete. Adequate provisionswill be made to prevent uplift of the lining by means of filters and reliefvalves. The design for the link canal appears to be technically sound.

Lining of Irrigation Canals

5. All irrigation canals in the project area will be lined down tothe 10 ha irrigation units. Lining will be with concrete slabs of 50 x 25 x10 cm. Concrete mix will be 1:2:4 using 20 mm broken stone. Lining thicknesswill be 10 cm for the Periyar main canal 5.0-6.5 cm for branch channels, and5.0 cm for distributaries. To ensure the water tightness of the lining andprevent weed growth in the joints, the slabs will be properly jointed with1:2 cement mortar. Side slopes will be 1:1 in rocky material and from 1.5:1to 2:1 in earth embankments. Design standards and construction methodswill generally follow the Indian Standard Specifications (ISS) and the IndianStandard Code of Practise (ISC).

6. It is being considered to replace 20% of the cement (by weight) byflyash that is available from the Thermal Power Station at Neyveli. Thishas already successfully been done for a canal lining program in the TambaraProject in the Tinnevelly District. Tests undertaken by the Central BuildingResearch Institute moreover showed that flyash increases the workability ofthe concrete; the flyash may also increase the resistance to cracking of theslabs.

7. Adequate drainage arrangements will be made where required to pre-vent uplift of the concrete lining. This will be accomplished by the provi-sion of longitudinal and cross drains and relief valves. In addition, wheresoils are clayey, a 7.5 cm thick layer of sand will be provided underneaththe lining.

Structures

8. The existing structures in the project area have been built inmasonry of granite blocks, some 80 years ago. Most of these structures needrehabilitation. Granite blocks are still available from quarries in the

50

ANNEX 3Page 3

project area so that rehabilitation can be easily undertaken; this will alsoinclude the provision of seals for slide gates to ensure water tightness whenthe gates are closed. The structures are otherwise structurally and hydraul-ically sound. Experience with the operation of the system has shown thatthree new cross regulators are required in the Periyar canal system to main-tain canal water levels at sufficiently high levels during periods with lowflows. One new regulator will be constructed in the Periyar Main Canal andtwo regulators in the branch channels. The extension of the ThirumangalamMain Canal and its branches will also include the construction of the neces-sary structures such as head sluices, regulators, turnouts and bridges.

9. Water distribution in the project area is at present to irrigationunit blocks of approximately 30 ha on average, but sometimes larger than100 ha. In order to improve the level of water control the average size ofthe irrigation units will be reduced to 10 ha. This will require some 2,000additional turnouts. Water flow through existing turnouts is regulated bya vertical slide gate. Water deliveries are determined from the gate open-ing and with the use of a discharge formulae. The PWD will calibrate thedischarges for typical turnouts for various gate openings. The additionalturnouts to be constructed will be of a similar type. It is considered thatafter proper calibration of the turnouts, volumetric measurement of waterdelivered to the irrigation units would be possible in the future.

Road Systems

(i) Operation and Maintenance Roads.

10. Operation and maintenance (O&M) roads exist at present only alongthe main canals and the larger branch channels. These roads are too narrowand in disrepair and do therefore not serve much purpose. The existing O&Mroads (145 km) will be widened and improved under the project and additionalO&M roads (750 km) will be constructed along branch channels and larger dis-tributaries. Minimum road width will be 4m of which 2.5m will be gravelled.

(ii) Panchayat roads

Existing Panchayat (village) roads in the Project area are in dis-repair and will be improved. Improvement works to be undertaken may be sum-marized as follows:

51

ANNEX 3Page 4

Road Length (km)Periyar ThirumangalamMain Canal Main Canal Extension

Type of Improvement area area area

(a) Improvements to existinggravel and earth roads 200 78 98

(b) Rehabilitation of exist-ing water bound macadamroads 175 8 66

Total 375 86 164

The macadam roads (b) will be widened to 7.5 m and metalled with twolayers over a width of 3.0 m. Gravel roads (a) will be widened to 5.5 m and

metalled over a width of 2.5 m. Construction of cross drainage works will beundertaken where necessary. The roads will be maintained by the Panchayats.Adequate funds for this is available through the local cesses.

May 1977

52

ANNEX 3Table 1Page 1

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Project Infrastructural Works

Link Canal

Earthwork & Lining 32 Km

Structures

Head Sluices 3 Nos

Drop Structures. 17 Nos

Acquaducts 5 Nos

Minor Cross Drainage Works 72 Nos

Syphon across Vaigai River 1 Nos

Road Bridges 19 Nos

Foot Bridges 20 Nos

Escapes 2 Nos

Related Works

Earthwork for Thenkaraiand Thirumangalam Link Channels 5 Km

Structures

Drop Structures 3 Nos

Culvert 1 Nos

Operation and Maintenance Roads 32 Km

Left Bank Irrigation System

Peryiar Main Canal Lining 58 Km

Branch Channels Lining 102 Km

Distributa ries Lining 765 Km

Structures

Repairs to Sluices at Peryiar Main Canal 57 Nos

Repairs to Sluices of Branch Channels andDistributaries 372 Nos

Repairs to Regulators 2 Nos

Additional Regulators 3 Nos

Repairs to Drop Structures 3 Nos

Repairs to Acquaducts 3 Nos

Improvements to Minor CrossDrainage Works 35 Nos

Repairs to Bridges 24 NosRepairs to Foot Bridges 4 Nos

Additional Escapes 10 Nos

Additional Off-takes (Turnouts)and Tail Regulators 2,000 Nos

53

ANNEX 3Table 1Page 2

Operation and Maintenance Roads 680 KmImprovements to Village Roads 375 Km

Improvements to Tanks (includingSupply Channels) 700 Nos

Right Bank Irrigation System

Rehabilitation of ThirumangalamCanal (Lining) 27 Km

Extension of ThirumangalamCanal (earthwork and lining) 14 Km

Extension of Branch Channelsand Distributaries (earthwork andlining) 44 Km

Operation and Maintenance Roads 45 KmImprovement to Village Roads 86 Km

Structures

Repairs to Existing Structures L.S.Additional Head Sluices 4 NosAdditional Off-takes (Turnouts andTail Regulators 22 Nos

Additional Regulators 3 NosAdditional Bridges 7 NosOthers L.S.

Extension Area (9,000 ha) System

Main canal 22 KmBranch canal 70 KmDistibutaries 300 Km 1/Head sluices and escapes 190 NosCross regulators 6 NosCross drainage structures 240 Nos 1/Turnouts 390 Nos 1/

O&M roads 140 KmImprovement to village roads 164 Km 60% gp (a)

40% gp (b)

Improvement to tanks and supply channels 420 Nos

541/ Subject to final design.

ANNEX 4Table 1

INDIA

PERIYAR VAIC-Al IRRIGATION PROJECT (TAMIL NADU)

Cost Estimate

Allocation of Costs

Foreign Improved

LToca. Forei7r Totel Losi Foreign Totel Exchange Rehabilitation Lining Program Roads Operations Canal Extension

----- RS5000)… ……-- ---- (Us$1000) ----- 7 ----------------- - (IS$'000) ---------------

1. .ir'- LOnOl

Land Acquisition 3,650 - 3,650 405 - 405 0 405

Canal: Earthwork 10,700 1,200 11,900 1,190 130 1,320 10 1,320

Living 18,400 4,550 22,950 2,045 505 2,550 20 2,550

Str,..-.ro: 6,780 1,170 7,950 755 130 885 15 885

B,,ilds;,s 470 80 550 50 10 60 15 60

SubLotal I t:1,000 7,000 47,000 4,445 /75 5,220 15 5,220

2. Loft 'oank Infra-structure

Land Acquisition 500 - 500 55 - 55 0 10 45

C.sal.: Earthwork 13,900 1,600 15,500 1,545 175 1,720 10 1,720

Lining 63,400 15,850 79,250 7,045 1,760 8,805 20 8,805

Repair of Structures 3,520 580 4,100 390 65 455 15 455

Additional Structures 6,280 1,120 7,400 700 125 825 15 825

Buildings 1,120 180 1,300 125 20 145 15 145

Snpr-vc-ents to TInks& SLgply Channcls 13,300 1,600 15,100 1,480 200 1,680 12 840 840

03-I Roads 1/ 7,340 1,260 8,600 815 140 955 15 955

Villageo Reads 10 840 1,910 12,750 1,205 210 1,415 15 _ 1.415

Subtotal 7 120,200 24,300 144,500 13,360 2,695 1.6,055 17 1,295 10,535 2,415 1,810

3. Right Bansl 1.,fra-structure

Land Aequsitien B3j - 850 95 - 95 0 10 85

Canals: Carthl,ork 1,230 220 1,450 135 25 160 15 160

Lining- 2,830 720 3,550 315 80 395 20 395

Additional Strurtur-o 470 80 550 50 10 60 15 60

066! Roads 1/ 720 130 850 80 15 95 15 95

Village Roads 3,600 650 4.250 400 75 475 15 _ 475

Subtotal 3 9,700 1,800 11,500 1,075 205 1,280 16 565 655 60

4. Extension Area Infra-structure

Land Acquisition 1,800 1,800 200 - 200 0 20 180

Canal-.: Earthuork 1,800 200 2,000 200 20 220 10 220

Lining 6,800 1,700 8,500 755 190 945 20 945

Structures 9,000 1,600 10,600 1,000 180 1,180 15 1,180

Buildings 1,100 200 1,300 120 20 140 15 140

Improvements to Tanks& Supply Channels 8,100 1,100 9,200 900 120 1,020 12 1,020

O&31 l1oads 1/ 1.440 260 1,700 160 30 190 15 190

Vill.., 47bGs 4,760 140 5 600 530 95 625 15 625

Subtotal 4 34,800 5 900 40,700 3.865 655 4,520 14 835 3.685

S,btotal 1-4 204,700 39,000 243,700 22,745 4,330 27,075 16 1,295 11,100 3,905 7,090 3,685

5. Ceatigenei (152.) 30_100 5,850 36.550 3.410 650 4,060 16 195 1,665 585 1,065 550

:lx',total 1-5 735,400 44,850 280,250 26,155 4,980 31,135 16

6. Engincering, Super-vision and Adminis-tration (157) _4_50 - 40,850 4,540 - 4,540 0 220 1 655 1,190 615

Total 1-6 276.250 44,850 321,100 30,695 4.980 35.675 14 1.710 14,625 5,145 9,345 4,850

7. oE1-I Equipmcnt 2/ 630 3,040 3,670 70 340 410 83

8. Extunsion Program 2/ 3,690 - 3,690 410 - 410 0

9. Staff Training 7/ - 1,000 1,800 - 20 200 100

10. :lositorins Pgo:rac. 2/ 230 _ 710 __ 940 25 80 105 76

'tal 7-sO __ 1_125

280,800 50,400 331,200 31,200 5,600 36,800 15

11. Expected PriceIncreases 3/ 67.500 11,700 79,200 7,500 1.300 8_800 15

TOTAL PRLLECT COST 348,300 62,100 410,400 38,700 6,900 45,600 15

55

1/ 011-I roads are constructed on canal e-bank-ents; see-third of the costs for the canal embankments was allocated to the 0114 roads.

2/ Including physical contingencies; for details see Annex 4, Tables 2 and 3.

3/ Annex 5, Table I.

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Equipment, Staff Training, Consultants

------- Cost Allocation-------------Cost Estimate-------… Monitoring Operation and Staff

Local-' Foreign Total Program Maintenance Training-------- (US$ 000) (US$ '000) -

1. Radio Telephone Communication System 30.0 100.0 130.0 130.0

2. Hydrological Equipment

Automatic Water Level Recorders (30) 41.8 19.6 61.4 40.0 21.4Automatic Rain Gauge Recorders (12) 1.7 3.6 5.3 5.3Rain Gauge Recorders-Indigenous (12) 1.5 - 1.5 1.5Equipment for MeterologicalStations (6) 4.5 - 4.5 4.5

Evaporimeters (6) 0.5 - 0.5 0.5Anemometers (6) - 0.8 0.8 0.8Current meters (6) - 1.0 1.0 -

Subtotal 2 50.0 25.0 75.0

3. Office Equipment - 40.0 40.0 40.0

4. Loaders (Crawler 100 hp 1.5 cu yd,2 No's) - 150.0 150.0 150.0

5. Staff Training (85 mm) - 175.0 175.0 175.0

6. Consultants Services (4 mm) - 50.0 50.0Subtotal 1-6 80.0 540.0 620.0 91.0 354.0 175.0

7. Contingencies (15%) 15.0 80.0 95.0 14.0 56.0 25.0Total 1-7 (US$'000) 95.0 620.0 715.0 105.0 410.0 200.0Total 1-7 (Rs '000) (860.0) (5,580.0)(6440.0) (950.0) (3,690.0) (1,800.0)

1/ Including costs for installation of equipment.

0l

ANNEX 4Table 3

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Agricultural Extension Costs

Total Cost/Unit TOTALDistrict Division Units Rs Rs

Equipment for Staff Training

Visual Aids (camera,projector, screen, taperecorder, blackboard,miscellaneous, loud

speaker ~~~1 4 4 35,000speaker

Office Equipment(miscellaneous)l 4 5 5,000 25,000

Vehicles

Cars 3 3 40,000 120,000Jeeps 4 x 4 3 11 14 50,000 700,000Trucks 1 5 6 80,000 480,000M'otorcycles 112 8,000 896,000Bicvcles 180 800 90,000

Houding

Duplex houses for DyAO 10 10 85,000 850,000

Sub-total 3,196,000

Spares and Contingencies (15%) 494,000

Total 3,690,000

($ 410 ,0 00)

57

ANNEX 5Table 1

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Schedule of Expenditures

Total Bank Fiscal YearCost 1977/78 1978/79 1979/80 1980/81 1981/82

…-----------------(US$ 000) -- …_____________

Link Canal 5,220 250 1,470 1,980 1,520 -

Left BankInfrastructure 16,055 1,195 4,630 4,440 3,650 2,140

Right BankInfrastructure 1,280 100 370 340 340 130

Extension AreaInfrastructure 4,520 320 1,270 1,300 1,130 500

Subtotal 27,075 1,865 7,740 8,060 6,640 2,770

PhyscialContingencies 4,060 280 1,160 1,210 995 415

Engineering,Supervision andAdministration 4,540 310 1,300 1,350 1,110 470

Subtotal 35,675 2,455 10,200 10,620 8,745 3,655

Expected PriceIncreases 8,670 145 1,480 2,500 2,930 1,615

Subtotal 44,345 2,600 11,680 13,120 11,675 5,270

Equipment,Consultants andStaff Training 1,125 530 420 95 80 -

Expected PriceIncreases 130 30 55 20 25 _

Subtotal 1,255 560 475 115 105 -

TOTAL 45,600 3,160 12,155 13,235 11,780 5,270

58

ANNEX 5Table 2

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Proposed Allocation of the Credit

Proposed Allocation % of ExpenditureCategory of the Credit to be Financed

(US$ Million Equivalent)

(1) Civil Works

(a) Infrastructure inextension area 3.6 55%

(b) Other 17.7 55%

(2) Equipment 0.6

(a) Directly improved goods 100% of foreignexpenditures

(b) Locally manufactured goods 100% of ex-factorycost

(c) Imported goods procuredlocally 70%

(3) Consulting and StaffTraining 0.2 100%

(4) Unallocated 0.9

Total 23.0

59

ANNEX 5Table 3

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Estimated Schedule of Disbursement

Bank Fiscal Year Disbursementsand Semester US$ Million Equivalent

Semester Cumulative

1977/78

2nd 0.4 0.4

1978/79

1st 1.2 1.6

2nd 2.4 4.0

1979/80

1st 3.3 7.3

2nd 3.5 10.8

1980/81

1st 3.8 14.6

2nd 3.5 18.1

1981/82

1st 2.0 20.1

2nd 1.5 21.6

1982/83

1st 1.0 22.6

2nd 0.4 23.0

60

ANNEX 6Page 1

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Organization and Management

Project Implementation

1. Jurisdiction for the Periyar Vaigai Irrigation Modernization Projectrests with the Public Works Department (PWD), with headquarters in Madras.The Chief Engineer of the Irrigation Branch of PWD exercises control over de-sign, construction, and operation of all irrigation projects in the State andhe would have the overall responsibility for the implementation of the PeriyarVaigai Irrigation Modernization Project. PWD would undertake the surveys,prepare the designs and specifications, construct the irrigation works, andsupervise construction of the link canal. The Department of Agriculture wouldbe responsible for the reorganization and strengthening of agricultural exten-sion services in the project areas and for construction of staff quartersand procurement of equipment, vehicles, and supplies for the extension service(Annex 7).

2. Construction Organization. The Chief Engineer would delegate con-struction responsibilities between two Superintending Engineers (SEs), eachin charge of a Project Circle (Figure 1). The two SEs would have their head-quarters in Madurai. As is the practice in PWD for work primarily involvinga labor force employed over a large area, construction responsibilities wouldbe on a geographical rather than on a functional basis. In each Circle, thework would be divided among four Divisions, each headed by an ExecutiveEngineer (EE). Each Division would have sub-divisions, each under the controlof an Assistant Engineer (AE). There would be a further subdivision intosections to be under the control of Junior Engineers.

3. The Chief Engineer's Office in Madras would be responsible for theplanning and design of the Link Canal, which would be a major hydraulic struc-ture. This office, which is responsible for award of all contracts overRs 500,000. would tender and award the contract for the Link Canal. The ChiefEngineer would also approve award of any contracts exceeding the engineer'sestimate by between 5 and 10%. Approval by the Govenor of Tamil Nadu and thePWD Secretary would be required for award of contracts exceeding the estimateby more than 10%.

4. Each Superintending Engineer would be responsible for survey, de-sign, programming, procurement and allocation of staff and materials for thework in his Circle. His staff would prepare the project designs, specific-ations, tender documents, and overall construction programs and would ensurethat the works are executed accordingly. They would use modern planning

61

ANNEX 6Page 2

techniques such as PERT and CPM in programming the work to expedite comple-tion within the project implementation schedule. The SE office would main-tain project financial accounts and administer personnel.

5. The Executive Engineers would prepare the annual work programs andwould supervise the earthwork, lining, rehabilitation and construction of rewstructures in their respective Divisions. Junior engineers would be in chargeof the work for short reaches of the canal or branch channels.

6. Construction of canal structures and lining, which would spread overthe entire command areas, would be scheduled primarily during the season whenthe system is normally closed so as not to interrupt irrigation (Figure 2).Most of this work would have to be carried out under small contracts tenderedintermittently by the EE on a piece-work basis, according to a schedule ofrates established annually through bidding procedures. Construction of thelink canal, which would be a separate structure, would not interfere withsupplying the irrigated areas. This could be constructed in a continuousoperation in one or more reaches or as a whole.

System Operation and Maintenance (O&M)

7. Organization. O&M of the Periyar Vaigai Irrigation System, as wellas other irrigation schemes in the vicinity, are under the responsibility ofthe Superintending Engineer at the head of PWD's Madurai Maintenance Circle(Figure 3). An Executive Engineer is in charge of O&M for the System, includ-ing the Periyar and Vaigai dams and reservoir and the Periyar and Thirumangalamirrigation networks.

8. Nine Section Officers (Junior Engineers), under the direction of anAssistant Engineer, operate and maintain the two irrigation networks under thePeriyar and Thirumangalam M4ain Canals. Each is responsible for a Section ofthe main canals and the resective branch channels and distributaries (7,000 haon average) down to the farm turn-outs. Each Section employs two subordinateofficers (Irrigation Conservancy Subordinates) and about 15 laskars who operatethe outlet sluices (15 to 20 sluices per Lascar, an average of about 500 each).It also employs a number of gauge readers and Telephone Gumasthas, who reportdaily canal flows and weekly rainfall gauge readings to the Division Officerof the EE.

9. Below the farm turn-outs water distribution and construction andmaintenance of field channels is entirely the responsibility of the farmers.At each outlet, water users traditionally have organized on their own intofarmer irrigation associations, by which water allocations are decided, dis-putes are resolved, and maintenance work is allocated. These associationsgenerally comprise a strong element in vilage organization and have resultedin a relatively high degree of farm water management.

10. Maintenance. Each section also employs inspectors to supervisemaintenance work and a small number of work assistants to carry out minorrepairs and routine maintenance. The bulk of the work is carried out by

62

ANNEX 6Page 3

locally contracted labor. Full annual operation and maintenance costs forthe system, after lining and improvements, is estimated at Rs 80 per ha(Table 1). The cost for project O&M of the existing system is estimated atabout the same level, but annual expenditures in recent years have been lessthan half of this.

11. Operation. The irrigation season extends from June 1 to the end ofFebruary. The Water Regulations give normal dates of water deliveries whichdelineate historic water priorities in the command area as follows:

I. Double Crop Zone,Periyar Main Canal June 1 - February 28

II. Single Crop Zone,Thirumangalam Canal June 1 - September 30 1/

III. Single Crop Zone,Periyar Main Canal August 15 - February 15

IV. Single Crop Zone,Periyar Extension September 15 - February 15

12. Actual supplies vary yearly, subject to availability as well as tonet cropping requirements. The eligibility of particular branch channels anddistributaries is determined on the basis of daily assessments of localizedrainfall and cropping conditions. When water supply is adequate deliveriesto eligible channels and distributaries are usually made under a continuousflow system. During periods of inadequate supply, a turn system is introduced.Sluice outlets are gated and roughly calibrated and the existing canal systemhas drop structures and regulators for maintaining reduced flows. The Execu-tive Engineer and Assistant Engineer direct the Section Officers and sluicelaskars when to open and close particular reaches and what daily flow levelsto maintain at regulators and sluices.

13. During the rainy season (usually August through December), the sys-tem is operated with the objective to minimize releases from the Vaigaireservoir. Rainfall data, tank water level readings and staff gauge readingsin canals are collected daily and when required more frequently. Cultivationreports are compiled on a weekly basis. In a case of localized rainfall, thesupply in the relevant branch channels and distributaries is reduced and areduction in the release from Vaigai reservoir is ordered. Generally it takesthree days for the water to reach Pulipatti regulator from the Vaigai Dam.Therefore, in case of sudden reduction in demand, the water is diverted intothe tanks. Only if the tanks are full the water has to be drained into theVaigai River.

1/ Although June 1 to September 30 is given in the Regulations normaldeliveries usually are from September to December 31.

63

ANNEX 6Page 4

14. During the dry seasons (usually June, July part of August, Januaryand February), the area is nearly entirely dependent on the canal water supply.If the storage in Vaigai reservoir is adequate to last for the entire season,a continuous flow of supply is maintained in the canal system. If availablestorage is not sufficient, a turn system is introduced. For this purpose thecommand area is divided into two reaches: one below and the other above theKallandiri regulator. Water for each reach is generally supplied in alternateweeks. During periods with scarce water supply rotation of irrigation waterbetween branch channels and distributarties is also practiced.

May 1977

64

ANNEX 6Table 1

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Operation and Maintenance Cost Estimates

Annual Cost(Rs '000)

Operation and Maintenance Costs for Periyar Vaigai System(incl. Periyar and Vaigai Dams and Cumbum Valley)

1. Personnel 1,310

2. Labor 195

3. Maintenance Contracts 2,480

4. Equipment 170

5. Telephone and Communications 80

6. Lease paid to Kerala Government 300

7. Overheads 680

5,215

Cost per ha: Rs 80 (US$8.90)

65

INDIAPERYIAR VAIGAI IRRIGATION PROJECT

(TAMIL NADU)Organization Chart: Operation and Maintenance

SUPERINTENDING ENGINEERFOR MAINTENANCE(HADURAI CIRCLE)

Exective Engineer l

|(PERIYAR VAIGAI DIVISION)|

Assistant E,,gineer

|(PERIYAR IRRIG ATIO YTM

Head Draftsman Accountant

SECTION OFFICER SECTION OFFICER SECTION OFFICER SECTION OFFICER SECTION OFFICER SECTION OFFICER SECTION OFFICER SECTION OFFICER SECTION OFFICERPERANAI ANDIPATTI METTUPATTI MADURAI KALLANDIRI CHITTAMPATTI EDAYAPATTI MELUR THANIAMANGALAM

TELEPHONE TELEPHONE TELEPHONE TELEPHONE TELEPHONE TELEPHONE TELEPHONE TELEPHONE TELEPHONEGUMASTHA GUMAStHA GUMASTHA GUMASTHA GUMASTHA GUMASTAH GUMASTHA GUMASTHA GUMASTHAGAUGE READERS GAUGE READERS GAUGE READERS GAUGE READERS GAUGE READERS GAUGE READERS GAUGE READERS GAUGE READERS GAUGE READERSLASCARS LASCARS LASCARS LASCARS LASCARS LASCARS LASCARS LASCARS LASCARS

Worlf Ba-k-16985

0

a'n

INDIAPERYIAR VAIGAI IRRIGATION PROJECT

(TAMIL NADU)Implementation Schedule

1977 1978 1979 1980 1981

ITEM QUARTER 1 st 2nd3rd I4th st 2nd 3rd 4th st 2nd 3rd 4th 1st 3rd4th 1st 2nd | 3rd 4th

Board Presentation VProject Effective v

Link CanalI.C.B. ******** IEarthwork -

Lining-Structures-

Left Bank InfrastructureLining of Main Canal & Branch ChannelsCasting of Slabs _Earthwork & Laying of Slabs Canal Structures uuuum, m m mum urn. siDistributaries m a E LiChannelsImprovements to Tanks and Supplies s1 l111 suiu i I s s sU

O & M and Village Roads

Right Bank InfrastructureImprovements to Thirumangalam Canal and 1555555 5 mii5 s s s s mls

Branch ChannelsExtension of Thirumangalam Canal _O & M and Village Roads _ -

Project MonitoringExtension Service Program

World Bank-16984

a~Q

INDIAPERIYAR VAIGAI IRRIGATION PROJECT

(TAMIL NADU)Organization Chart: Project Construction

| CHIEF ENGINEER E|(IRRIGATION)

ISUPERINTENDING |SUPERINTENDINGENGINEER PERIYAR ENGINEER PERIYARPROJECT CIRCLE NO. 1 PROJECT CIRCLE NO. 2

| GDMINISTR ASTA N E NA A M;STANT R AL EARSONS LSTASNANT|

& GENERAL) (ENGIN ,ELR (ADIVII~~~~~~~~~~& GNERL (EGNEIG

EXECUTIVE ENGINEER EXECUTIVE ENGINEER] EXECUTIVE ENGINEER EXECUTIVE ENGINEER EXECUTIVE ENGINEER EXECUTIVE ENGINEER EXECUTIVE ENGINEER EXECUTIVE ENGINEER

I I I I I I II4 ASSISTANT ENGINEERS 4 ASSISTANT ENGINEERS 4 ASSISTANT ENGINEERS 14 ASSISTANT ENGINEERS 4 ASSISTANT ENGINEERS 4 ASSISTANT ENGINEERS 4 ASSISTANT ENGINEERS 4 ASSISTANT ENGINEERS]

L1JUNIORJUNIOR ENGINEER E 15NJUNIOR ENGINEERS 15JUNIOR ENGINEERS] 15LJUNIOR ENGINEERS 15 JUNIOR ENGINEERS JUNIOR ENGINEERS |15JUNIOR ENGINEERS

00

World Ba,k-16986

rD

ANNEX 6Appendix 1Page 1

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Project Monitoring and Evaluation

Objectives

1. The project is the first major attempt in India to rehabilitate

and modernize a complete irrigation conveyance system. The project will

serve as a pilot operation to establish the economic and technical para-

meters of water saving measures, such as canal lining, additional control

structures and improved communications. The improvement of the agricultural

extension services program is another important component of the project;

its effects on the agricultural production will also be evaluated.

Scope

2. The monitoring studies consist of:

(i) Measurement of flows in the distribution system beforeand after lining;

(ii) Evaluation of the effects of canal lining on groundwaterlevels;

(iii) Measurement of river flows at Vaigai Dam and PeranaiRegulator and related groundwater studies;

(iv) Keeping of accurate records on the costs for rehabili-tation and modernization of the system;

An evaluation of the extension services program would be undertaken, includingthe collection of data on agricultural production before and after implementa-

tion of the project.

Flow Measurements in Distribution System

3. The PWD will carry out an extensive flow measuring program in order

to determine: (i) seepage and operational losses in the presently unlined canal

distribution system; and, (ii) water losses after canal lining; this wouldinvolve a considerable intensification and extension of the present system of

flow measurement. The inflows into the Periyar Main Canal and into the four

major branch channels will be recorded on a continuous basis by means of

automatic water level recorders. All measuring stations will be carefullycalibrated. Complete records will be kept of the flows through other off-takes

in the main canal. These structures will be calibrated for various gate

69

ANNEX 6Appendix 1Page 2

openings. PWD has constructed concrete lined sections in the main canal atinternals of 5 km. The flows at these sections will be measured monthly withcurrent meter. The seepage losses in a number of selected branch channels willbe estimated by means of short-term flow measurements or ponding tests. Thesetests will be carried out at the beginnng and end of the irrigation season.

4. One representative area under the command of a branch channel willbe selected for determining, inter alia, seepage and operational losses indistributaries, natural inflows, irrigation releases and return flows intotanks, and outflows from the area in drainage channels. Automatic water levelrecorders will be stationed at selected sites in the irrigation and drainagesystem and at the major tanks. Records will be kept of flows through theturn-outs of irrigation unit blocks. These turn-outs will be calibrated;parshall flumes and/or other suitable water measuring devices would be util-ized for this purpose. A meteorological station will be set up in this areaand data collected.

Observation of Groundwater Levels

5. The Groundwater Branch of PWD will continue to measure water levelsin observation wells in the project area. Water level readings are beingmade once a month.

Measurement of River Flows

6. The PWD claims that considerable water losses occur at present inthe river reach between Vaigai Dam and Peranai Regulator. Monthly flowmeasurements by current meter will therefore continue downstream of VaigaiDam and upstream of the Peranai regulator. The Groundwater Branch of PWDwill continue its study on the groundwater regime along this reach of theriver and submit a detailed and final report on the possibility and extentof such seepage losses. 1/ The seepage losses in the link canal will also bemeasured after its construction.

Records of Costs

7. The PWD will keep detailed records of the costs involved in therehabilitation and modernization of the system. This is necesary to undertakean economic evaluation of the project at a later stage.

Evaluation of Agricultural Extension

8. Evaluations of agricultural extension services will:

(a) Determine the comparative effectiveness of utilizing VEWsor DyAOs as the principal farmer contact agents (see Annex 7,Appendix 1, paragraph 64).

1/ A preliminary report was submitted in December 1975. 70

ANNEX 6Appendix 1Page 3

(b) Measure the progress made by farmers over a period of timeas evidenced by adoption of recommended practices, changes in

cropping patterns, and yields.

(c) Identify obstacles and collect the information needed tomodify extension strategies, management and provide guidanceto problem solving programs.

9. A small Steering Committee will coordinate the evaluation and mon-itoring programs. The membership will include:

Dean of Agriculture Tamil Nadu Agricultural University (Chairman)

Director of Agriculture

Executive Engineer, Periyar Vaigai System

Professor of Agricultural Extension, TNAU Madurai

Subject Matter for Evaluation, Department of Agriculture Madras

10. Field studies will be undertaken primarily by staff and students of

TNAU under the guidance of the steering committee and the general control ofthe Professor of Agricultural Extension, TNAU. While agriculture extensionmust be concerned with and responsive to the results of these studies, thefield extension staff will not be directly involved in the collection andcompilation of data. The TNAU will be responsible for the field collectionof data and interpretation of the results. The studies will include:

(a) Benchmark or base surveys to delineate present farm prac-tices, cropping patterns, yields, characteristics of farmsand households. The first survey should be made in 1977

with follow-up surveys at three year intervals.

(b) Yearly cropping pattern and yields. This data should becollected by such agencies as the Revenue Department andPWD as a part of their normal duties. It will be summarizedand analyzed by SMS for extension evaluation and reviewedby the Steering Committee.

(c) Continuing informal interviews with farmers in the fields orgroup meetings in which extension workers attempt to identifyfactors limiting production, yields and/or net farm income.This information will provide the basis for extension programemphasis, strategies and for setting priorities for problemsolving research.

71

ANNEX 6Appendix 1Page 4

(d) Changes in farmer participation in organizations such ascredit and marketing cooperatives, farmer or block asso-ciations or group activities.

(e) Changes in family and net farm income by participatingand non-participating groups or by farmers in variouslocations.

11. These evaluations and recommendations based upon them by the SteeringCommittee will be made to the Deputy Director of Agriculture at Madurai for hisuse in determining the extension program objectives and management for eachyear or crop season. The evaluation for program planning by the ExtensionServices should be continued even after the implementation of the project.

May 1977

72

ANNEX 7Page 1

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Agricultural Supporting Services

General

1. Agricultural supporting services are well developed in the projectarea. Private companies and cooperatives provide part of the marketing sys-tem, inputs, processing, storage, transportation and production credit.Private dealers provide some 60% of the outlets and 70% of the fertilizersales. With the expansion of irrigated acreage, and more stability in watersupplies, additional facilities are likely to develop.

2. The provision of adequate marketing facilities is an importantfacet of Government policy. Others are research, extension, irrigation androads. In addition, the Government regulates or serves as a moderating in-fluence to private industry.

Agricultural Research

3. Agricultural research is the responsibility of the Tamil Nadu Agri-cultural University and Research Institute situated within the command area12 km from Madurai. The program was started in 1971 and the universitypresently has 73 ha for research and seed production. A total of 84 researchprojects are in progress and the university has undertaken demonstrationtrials and extension work in neighboring areas also.

4. An India Council of Agricultural Research (ICAR) scheme for researchon water management and cropping patterns in the Periyar Vaigai Command Areawas started in 1971 and is staffed by an agronomist, a soil physicist and anagricultural engineer.

Agricultural Extension Service

6. The development and early testing of new technology is the functionof the above mentioned research group. Obtaining farmer adoption of the locallyappropriate new technology is the function of the extension service.

7. The Agricultural Extension Service will be reorganized under thisproject to integrate the multitude of special agricultural programs into asingle line of command, intensified farmer contacts, and target farmertraining objectives.

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ANNEX 7Page 2

8. Many farmers for many reasons are not utilizing the new varieties,improved field management, or market potentials. Improved research-extensionteamwork is an essential part of this project.

9. In agricultural extension, the new project will provide for:

(a) reorganization of the extension and special program activ-ities in Madurai District into a single line of commandunder the district level Project Implementation Committee,chaired by the Deputy Director of Agriculture;

(b) regular farm and village visits by village extension workers(VEW) to ensure forthnightly contacts with more than 10% of thefarm families;

(c) intensified and regular in-service training for all extensionworkers;

(d) more extensive links between research, extension, agribusinessorganizations and farmers to strengthen the research-adaptivetrials farmer application chain;

(e) staff and facilities for field trials;

(f) facilities and equipment for improved staff training andextension;

(g) vehicles and travel allowances for greater mobility;

(h) housing in isolated areas; and

(i) coordination and evaluation of the extension programs.

The changes in the extension program will be initiated July 1977 and completedin June 1978. Details are given in Appendix 1.

Credit

10. Short- and medium-term credit is channelled to farmers through theCooperative Primary Agricultural Credit Societies. In each block, there are12 to 15 large sized viable cooperative primary societies covering an areawithin a radius of 5 to 10 km. The Madurai District Central Cooperative Bankis the only financing agency to these primary societies and maintains abranch in every block. About 70% of the farmers belong to the cooperatives.Credit is mainly short-term production credit but medium-term credit up tofive years and amounting to about 10% of the total is given for dairy de-velopment, sheep breeding, purchase of small items of equipment such assprayers and for land levelling. The collection rates for the cooperativesare among the best in India. Long-term credit for 5 to 15 years is pro-vided by the Land Development Banks (LDBs). The 14 Blocks included or partlyincluded in the command area are served by 12 Land Development Banks. Loansare mainly for small-scale irrigation (77%), purchase of tractors and agri-

74

ANNEX 7Page 3

cultural machinery, construction of farm buildings, establishment of orchards,

and for land improvement. These LDBs are well established, most of them

having been founded 30 to 40 years ago. Repayment of loans can be regarded

as satisfactory. At the end of 1973, of the 11 banks serving the command

area, two had no overdues, seven had less than 15% and two had from 15% to

25% overdues.

11. Commercial banks have a negligible role in rural areas in the

Madurai region and are responsible for financing of only 1% to 2% of institu-

tional credit to agriculture.

Availability of Inputs

12. Fertilizers and agricultural chemicals are available through Govern-

ment sources and the Block Development Officers (BDO) as well as from many

private dealers throughout the area. Interviews with several dealers in-

dicated their general competency and knowledge of current recommendations.

Agricultural chemicals and seed appeared to be fresh and in suitable con-

tainer sizes. Several manufacturers provide after sale services. Government

testing laboratories monitor the quality and labeling of fertilizers and

pesticides.

13. Vegetable seed is available from private sources; high yielding

varieties of sorghum, millet and paddy through the Block Offices as well as

private suppliers. Sugarcane seed pieces are generally supplied by the sugar

mills.

14. Some 1,300 tons of certified paddy seed is distributed each year.

Growers are registered with the Department of Agriculture and the Seed Cer-

tification Agency. Tamil Nadu is a party to the India Seed Testing Act.

15. Tractors and tractor-drawn machinery are limited -- some custom

land preparation service is available but most is done by animal power.

Paddy threshing and winnowing is done by hand or animal power. Wells and

tubewells are powered by diesel or electric motors. Electrical power is

available in most villages.

Marketing

16. The Periyar Vaigai command area is served by regulated markets at

Madurai and Theni. The main surplus commodity is paddy and this is almost

invariably sold direct to merchants in the villages. During 1974-75 which

was a year of shortage, the farm gate price of paddy was Rs 200 per 100 kg

compared with a wholesale price in the Madurai market of between Rs 220 and

Rs 240 per 100 kg so that farmers received between 83% and 90% of the whole-

sale price at the farm gate.

17. Market demand for sorghum and pearl millet is high as evidenced by

prices equal to the price received for paddy (grade II). Good demand exists

for sugarcane, fruits and vegetables. Groundnuts are grown as a dryland crop

and are sold direct to the oil mills.

75

ANNEX 7Page 4

18. Fair competition exists among private buyers and processors of cropssuch as sugarcane and groundnuts. There is competition between Governmentand private buyers and supervision and regulation by Government which tendsto maintain market stability and price competition. Realistic cost/pricerelationships are available in the area.

Drying and Storage

19. Paddy is sundried, which is generally satisfactory (except for thefirst crop in the double crop area) since the crop is harvested at the end ofthe rainy season. Storage for home consumption and seed which represents 25%of the paddy, sorghum, millets and pulse production is at home. The grain istaken to small mechanical hullers and mills in the villages or is prepared athome for use. Home storage is subjected to moisture, insect and rodent damageand could undoubtedly be improved by good extension programs.

20. Central public storage is provided by the Central Warehousing Corpo-ration and Civil Supplies Corporation. Both operate in or near the projectarea utilizing their own facilities to store about half of the paddy. Theyhave a building and expansion program. Private storage accounts for an addi-tional 25% of the crop.

Transportation

21. The main road net work is generally satisfactory and is graduallybeing supplemented by improved roads to smaller villages. Rail transporta-tion to other major markets is available. Trucks and bullock carts areavailable in sufficcient number.

May 1977

76

ANNEX 7Appendix 1Page 1

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Agricultural Extension

A. Introduction

1. The development of appropriate crop and farm technology and aneffective system for its delivery to the farmers are essential if agriculturalproduction is to be substantially increased within the next few years. Tech-nology for increased production is already available, and some farmers haveadopted it. Many farmers, for various reasons, are not utilizing new varie-ties, improved field management, or market potentials. Improved research-extension teamwork, targeted training for extension workers and regular farmvisits will help to close the gap between research and farmer application.The identification and overcoming of factors limiting production and farmincome is the role of adaptive research. Improvements in agricultural ex-tension and adaptive research are crucial components of this project.

B. The Present Situation

Organization

2. State. The Tamil Nadu Department of Agriculture is headed by theDirector of Agriculture who is an Indian Administrative Service Officer. Hisheadquarters staff consists of several Joint Directors of Agriculture (JDA)who, to a varying extent, supervise the specialist field staff for certainspecified functions or disciplines (see Figure 1).

3. District. The fifteen districts in the State are under the chargeof Deputy Directors of Agriculture (DDA); usually one for each district. TheMadurai District DDA is assisted by subject matter specialists (SMSs) for:agronomy farm management and farm economics; information and training; andplant protection. There is an SMS for compost and green manure production,but he is getting increasingly involved in fertilizer delivery programmingfor the public sector and in quality control, mainly of the blends, that areoften mixed by hand. There is a fertilizer and pesticide testing laboratoryin the district.

77

ANNEX 7Appendix 1Page 2

4. Division. The third level is at the Revenue Division where theextension activities are coordinated by a District Agricultural Officer (DAO),who reports directly to the DDA. He is assisted by various specialists at theDivisional Headquarters and has technical control over the Deputy Agricul-tural Officers (DyAO) who are based in the development blocks. However, theBlock Development Officer (BDO) has administrative control over the technicalofficers including the DDA, in the block (Figure 1).

5. Some 90% of the agricultural and technical officers (DDA, DAO, DyAO)are graduates; most of them from the well-known and long established agricul-tural universities at Coimbatore, and from Madurai. They are helped by Agri-cultural Assistants and Demonstration Assistants Field Assistants CompostDevelopment Inspectors and some Village Level Workers (VLWs). The latterhave some training at special training institutes.

6. Blocks. The contact between farmers, villagers and the Governmentis through the blocks. The Block Development Officer is in general charge.He is assisted by a technical and administrative staff including about tenVLW. Most VLW are employed as multi-purpose workers, unable to concentrateonly on one discipline.

7. The VLW and the DyAO stationed at the blocks have several masters --the BDO is in administrative charge and controls the pay check which may comefrom the Department of Agriculture (DA), or Rural Development and Local Ad-ministration (RD&LA) funds. Technical supervision, especially of the DyAOis supposed to be with the DAO. The lines of command, supervision, and tech-nology flow are complex and diffuse (see Figure 1), and the staff cannot befully effective, resulting in diluted farmer contacts and activities with lowimpact.

8. Compounding these difficulties, which are primarily organizational,is the problem of keeping the VLW knowledge and skills of agriculture up todate so they can be effective in changing farmer attitude.

Farmer Contacts

9. Farmer contacts, presently considered as meaningful by the Depart-ment, are made by the DyAOs as regards to production planning, farm manage-ment and the technical problems of cereal and pulse crop production. Commer-cial crop production problems, (groundnuts, cotton, sugarcane), pest controlmatters and advisory work on commercial, orchard and plantation crops aredealt with by the JDAs concerned who have their own staff right down tothe block level.

10. Although intended to spend 80% of their working time on agriculturalextension, some VLW, in fact, spend as little as 20%, and this usually on agri-cultural work which is of a distributive or reporting nature. Consequently,few farmers receive extension advice in their fields. The remainder of the

78

ANNEX 7Appendix IPage 3

VLW's time is taken up by a large variety of duties such as public health,

family planning, small savings, school affairs, elections, and famine relief.It is the local ward members who direct the VLW to particular families in

the village, and the priorities are probably not often based on factors

limiting agricultural production. The initial training of most VLWs, a two-

year course in a Community Development training center was probably sufficient.

Special Programs

lIe In an attempt to remedy the situation, various types of special

schemes have been established by DA, usually at Government of India initia-

tive, in which additional DyAO and VLWs and less trained workers called De-

monstration Assistants were recruited and employed for particular crops and

in specific areas. Intensive Cotton Development Program, the Intensive Agri-

cultural Area Program and the Drought Prone Area Program are examples. Other

departments also have programs which closely touch upon agriculture, such as

the Small Farmers Development Agency and the Marginal Farmers Development

Agency.

12. The existence of several department programs side by side without

a single line of command and full coordination has resulted in duplication and

program inefficiencies. This is a serious limitation of the present programs.

Present Working Methods

13. The department's campaigns and progress are carefully planned. Jan-

uary is a slack time and the end of the growing season for most crops. This

is a period of strategic decisions in which the agricultural universities of

Coimbatore and Madurai are involved, along with the research stations that

are under the DA's control; practices to be followed, varieties to sponsor

and the field demonstrations and applied research program are decided. This

is followed by program planning for each district, in which not only produc-

tion plans, but input requirements are determined, their procurement or line

of credit arranged. Annual training and planning programs are conducted at

state, district and block levels and there is a seminar-type session for theJDAs, DDAs and SMSs at Madurai or Coimbatore in January, followed by district

training courses, run by the DDAs and their staff for DAOs, who, in turn,

train the DyAOs. The DyAOs in their blocks, run refresher courses for the

field staff.

14e In the field, the DyAOs organize: a seeding program; supervise thepractices of a few farmers; lay out field trials and demonstrations, and

advocate the right practices through the mass media, leaflets and newspapers.The field and demonstration assistants only provide support for the DyAO and

are not expected to have direct farmer contacts. The VLWs are only partlyinvolved in the Department's program; they nominally work on parallel lines

under the guidance of the block officers.

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ANNEX 7Appendix 1Page 4

The Role of the Tamil Nadu Agricultural University (TNAU)

15. The Tamil Nadu Agricultural University (TNAU) has campuses at Madu-rai and Coimbatore. The TNAU at Madurai has a Department of AgriculturalExtension and a Farmer Training Institute, under the charge of an AssociateProfessor of Agricultural Extension. Their syllabus includes rural socio-logy, extension application, psychology, the history of agricultural exten-sion, and community development They have field programs in nearby areas.These include farmer training courses, meetings demonstrations and the eva-luation of extension methods. For example, in a study of the spread of HYV,the most effective method was direct contacts between extension workers andfarmers. Indirect methods, between neighbors and friends, or through themedia were less effective.

16. The Farmer Training Center, headed by an Assistant Professor whois a former DAO, conducts courses in the block centers, for farmers selectedby the BDO. The teachers are invited from the University or the Departmentof Agriculture. The trainees then are expected to organize discussion groupsin their villages with other farmers. The VLWs only attend if specificallyinvited.

17. Other programs are one-day training courses that focus on one spe-cific practice and are not linked with past or future similar courses. Theorganizers are previous participants of the other program who are expectedto make all necessary arrangements. The speakers are from the university orthe Department of Agriculture and publicity for the session is given by thepress and radio. The VLWs and possibly the DyAOs also attend these meetings.

Limitations of the System

18. Strategically, two impediments to full effectiveness would seem tobe the dual control of staff at district level (in that some of the functionsdo not report to Madras through the DAA) and a degree of dual control at theblock level. In the judgement of the Department, the VLWs have so many non-agricultural duties and effective control cannot be exercised to involvethem in agricultural extension. In any case, as far as the work of thedepartment is concerned, they are not fully utilized despite the fact thatin the area there are around 350 staff of this grade.

19. There are limitations of staff mobility and the SMS establishmentwould seem to be particularly inadequate. There are, in some blocks, inade-quate or unsuitable staff and office accommodations, a chronic shortage ofvehicles and funds to operate the ones that are actually in place.

20. The Tamil Nadu Agricultural University at Madurai and Coimbatoremakes important contributions to present research, extension programs and totraining. These efforts need to be intensified and especially, the coor-dination between research and extension activities needs to be strengthened.

80

ANNEX 7Appendix 1Page 5

C. The New Extension System

21. In agricultural extension, the project would provide for:

(a) reorganizatiion of the extension and special program activ-ities in Madurai District into a single line of command underthe district level Project Implementation Committee (PIC),chaired by the Deputy Director of Agriculture (DDA);

(b) regular farm and village visits by village extension workers(VEWS) to ensure regular fortnightly contacts with 10% ofthe farm families;

(c) intensified and regular in-service training for all extensionworkers;

(d) more extensive links between research, extension agribusinessorganizations and farmers to strengthen the research - adaptivetrials - farmer application chain;

(e) staff and facilities for field trials;

(f) facilities and equipment for improved staff training and extension;

(g) vehicles and travel allowances for greater mobility;

(h) housing in isolated areas; and

(i) coordination and evaluation of the extension farmer programs.

22. Reorganization of the Department of Agriculture functions would bea part of the Periyar Vaigai Irrigation MIodernization Project. The entireMadurai District would be included.

Reorganization into a Single Line of Command

23. A well-trained, highly motivated, and technically competent singleorganization would be created, making optimal use of existing staff with afew additions. The organization would be given the means to reach the major-ity of farmers with relevant and practical technical guidance. The availablemanpower, except for trained SMSs and VLWs (to be renamed Village ExtensionWorkers -- VEWs) is sufficient and of excellent potential to achieve results,provided there is redeployment, a concentration on extension per se, and acontinuing and frequent training element. The new system would take over allagricultural extension work and all "special schemes" (such as Compost Demon-stration, Intensive Cotton Development and Intensive Agricultural AreaPrograms) would be incorporated.

81

ANNEX 7Appendix 1Page 6

24. State. No changes would be made in the present organization at thistime. However, as additional Districts adopt the new system, an AdditionalDirector (Extension) should be appointed to aid the Director of Agriculturein the supervision of the statewide extension activities.

25. District. The new agricultural program covering Madurai Districtwould be under the control of the Project Implementation Committee (PIC),chaired by the Deputy Director of Agriculture (DDA) and comprising, interalia, District Agricultural and Divisional Development Officers and a repre-sentative of TNAU. The PIC would have adequate powers and authority to directall extension personnel. As at present, the DDA would report directly to theDA. All DA programs in the district will be under the direct control of PIC.

26. In addition to the divisional DAOs, he would supervise a staff ofSMSs and the leaders of the remaining special programs such as seed multi-plication and marketing.

27. The District SMS would be generally DAO rank and represent the

locally needed disciplines among this list.

Crop Specialists for cereals and pulses, cotton, oil-crops and plantation crops.

Plant Protection Officer(s)

Soils/Plant Nutrition/Fertilizers

Training/Evaluation

Information/Communications

Farm Management/Economics

Irrigation/Wiater Management

28. The District SMS would depend upon other SMSs at the State leveland would be responsible for initiating joint applied research projects withthe agricultural college, other Government and private industries to identify

and eliminate factors limiting agricultural production. The leadershipand cooperative programs they undertake would contribute to their professionalcompetency and recognition. They would also be responsible for training andsupporting the divisional SMS.

29. Divisions. The DAOs would be based at the revenue divisional head-quarters, of which there are four in Madurai. They would be supported by SMSs.The desirable disciplines at this level would appear to be general agronomy,pest control, water management, training and information, and, where condi-tions warrant, a specialist in commercial or plantation crops. The SMSswould be DyAO grade i.e., normally young men with 3-5 years field experience,

but with a good specialized academic background. The main function of theSMS would be training, applied research and supporting the VEWs and the DyAOsin farmer contacts. 82

ANNEX 7Appendix 1Page 7

30. Blocks. Each of the 34 blocks would have one or more DyAO. Each

DyAO in the blocks except for the Periyajulam Division 1/ would supervise the

work of 8 to 10 VEWs. The main contact between farmers and extension service

would be by VEW at the block level. The new VEWs would be drawn from VLW,

qualified Agricultural and Demonstration Assistants, and even the surplus of

DyAOs. Because of the relative skills of farmers, it appears desirable even-

tually to place professional agriculturists (DyAO) as the main contact with

farmers.

31. Almost all VLWs would remain in their present locations, but 70%

would be assigned to full-time agricultural work and be under the direct

control of PIC, leaving 3 to 4 VLW per Block with the BDO to cover non-

agricultural work. All workers on DA special schemes, including FieldDemonstrators, or equivalent, would be made available for redeployment to

full-time agricultural extension work. There would be, on average, one VEW

for every 650 farm families.

32. Each panchayat has a Compost Development Inspector, a post created

at the time when the cost and availability of fertilizer suddenly became

difficult. This situation has now passed, nevertheless the concept of

maximum utilization of natural and otherwise waste manurial resources is

sound. However, they would become VEW. Their absorption into the force

should be an easy and rapid process.

33. This organizational structure would enable rational selection of

objectives and goals, concentrating efforts on high priority areas and

allocating human, physical and financial resources accordingly. Since all

special schemes and programs would be incorporated within the one system

the flow of technology and information would be streamlined.

Regular Farm Visits

34. Under the new agricultural extension system, an intensive farm

visit program would be introduced. The farming areas and the estimated

350,000 farm families of the District would be divided into units of 400-800

families each, to which a VEW would be allocated. Each unit, in turn, wouldbe divided into eight more or less equal groups of 50-100 farm families.

Each of these groups would be visited by its VEW, on a fixed day of the week,

once every two weeks. Thus, the VEW would cover four groups in one week and

four groups the next. The day and location of visits for each VEW would be

well publicized and documented both among farmers and in the Block and Dis-

trict offices. The VEW would spend the full day with the scheduled farmers'

group; during the morning hours he would visit the farmers in their fields

and, in the afternoon, hold an open meeting in the village, at a predeter-

mined hour and location to be proposed by the group.

35. It is not possible to attempt to reach all farmers in direct exten-

sion work in the field. Some are part-time farmers, others not accustomed to

contracts with outside agencies, and a few others are best influenced by

1/ A special extension methods experiment for the Periyakulam Division is

described in para 65.83

ANNEX 7Appendix 1Page 8

neighbors or relatives. Under the guidance of their superiors and in con-sultation with the panchayat and the farmers themselves, the VEW would select6 to 10 contact farmers from each group. Contact farmers should be from alllevels of village society, including sharecroppers, and would be selected fortheir potential influence and willingness to collaborate with the extensionservice. Changes in contact farmers could be made, especially between seasons,if shown to be ineffective or if they so desired. The VEW, in his field visits,would make special efforts to reach at least all the contact farmers' fields,and they, in turn, would share the responsibility of organizing and attendingthe afternoon meetings. Their fields may be used as demonstration plots andfor carrying out some field trials. They would also have priority in farmer-training programs.

36. Each DyAO would supervise 6 to 10 VEWs and, at least once every twoweeks, would participate in the VEWs' programs of visits to farmers, followinga pattern that would enable him to reach every farmers' group at least twiceeach season. He would check that the VEW visits and meetings were being car-ried out on schedule and would assist both VEWs and farmers in technicalmatters. He would also assist the VEWs in carrying out demonstrations andsimple adaptive research trials. This close ongoing relationship betweenDyAO and VEW should relieve the latter of the need for any formal reporting.He is expected, however, to keep a diary which would be scrutinized and signedby any superior visiting him.

37. The extension supervisors up to the highest level, having accessto the VEWs' and DyAOs' schedules, could quickly and easily, find out whethervisits are being made as planned, by making visits to the areas in which VEWand DyAO are scheduled on particular days, and by questioning farmers aboutthe visit days in their villages, the messages learned, etc. Experience else-where in India has shown that, once farmers become aware of the fixed visitschedule, they themselves monitor through their complaints, if visits are notmaintained regularly and in a satisfactory manner.

In-service Training

38. The success of the intensive farm visit program would be assuredby an equally intensive training program for the field staff. The VEWs wouldreceive training one full day every two weeks, learning in a practical andapplied manner, the messages which are to be delivered to the farmers in thenext round of visits. The advice given farmers must be that which can beimmediately used.

39. Block. Two two-weekly VEW training session would be given eachmonth at the Block level, by the DyAOs to their 8-25 VEWs as a group. Thistraining would be completely practice oriented, with time devoted to actuallycarrying out field operations, such as sowing and spraying. The VEWs would befree to raise and discuss any problems they had encountered during the preced-ing field visits. Division SMSs would visit these meetings held by the DyAOfor VEWs on a rotational basis to assist in discussions.

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ANNEX 7Appendix 1Page 9

40. Division. One monthly training session would be organized and ledby the DDA and Division SMSs for DyAOs and VEW. The Training Officer wouldorganize the plan for the entire Division. These sessions should, if possible,be held at adaptive research experiments and demonstrations.

41. District. The training of the DyAO would be held once every fourweeks at District level, preferably for two days. The Training Officer and theSMSs, together with researchers from TNAU would provide the training. It is atthese sessions that the details for all the ongoing training and programs ofwork for the next four weeks are to be learned and carefully planned. For thispurpose, the staff of each Division would work separately during part of thesecond day and come up with division-wide plans. Representatives of otherrelated organizations would be invited to participate in these sessions toensure coordination of activities.

42. Twice a year, once before each crop season, the entire staff dis-trict would gather for a three-day course to be given by TNAU Madurai andDistrict SMS staff. It is in this course that more basic and theoreticalknowledge would be taught, to give the field workers on overall view of themajor crops and innovations which would be recommended in the coming season.These would be based upon the previous year's results which would be presentedand analyzed.

43. In addition to these various training activities, special short

courses, for specific subjects, would be prepared for SMS, DAO and DyAOas needed, to be decided upon by the DDA and his senior staff.

44. The following table summarizes the in-service training proposed:

VEW would be trained: -- Twice a year, pre-season courseat district for three days

-- twice a month at the Block for one

day, by DyAO

-- once a month at Division level forone day by DAO and divisional SMS's

DyAOs would be trained: -- Twice a year pre-season as above

-- once a month at the Division for

two days to prepare for comingmonth.

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ANNEX 7Appendix 1Page 10

Division and District Head-quarter staff would betrained: -- Twice a year in pre-season as above

-- once a month for two days

-- in special courses to be held oncea year.

45. In addition to participation in special courses, planned for thesenior technical staff, the SMSs would maintain close continuous relationshipswith researchers at the universities and participate in adaptive research andVEW field trials. This link is extremely important.

46. The training officer would be responsible for advance planning andmonitoring of all training sessions in his division, for obtaining relevanttraining publications, and for obtaining or producing leaflets which summarizethe subject matter and impact points of each session. He would ensure thatthese materials were ready in good time and distributed to DyAO and VEWs ateach training session. The multiplicity of training activities in the dis-trict, division and block requires careful and accurate planning, well inadvance, and ensuring that the equipment and facilities are available andprepared in time.

47. Provision is made in the project for 20 man-months a year of train-ing outside Tamil Nadu especially to enable SMSs to specialize in particularfields better developed in other States in India. Training Officers and DDAmay also visit other States to learn new methods.

Links with Research Organizations

48. Agricultural research in Tamil Nadu is carried out by the two Uni-versities at their farms and field stations as well as by the agriculturaldepartment itself although there is no department-financed research stationin Madurai. "In-House" links are therefore established; contacts with theuniversities can be strengthened by joint planning of adaptive research anddemonstration program and frequent personal contacts by the SMS.

Farmer Demonstrations and Field Trials

49. The demonstration method has been widely used in India, with varyingresults. Demonstrations are more effective if they involve the farmer as afull partner, participating in the plans and evaluation as well as the fieldwork. It is therefore proposed to place emphasis on a group demonstrationprogram, to utilize the demonstration effect in fields of contact farmers,where new practices would be employed, and in simple field trials which wouldbe carried farmers' fields. Every VEW or Dy AO will have an assigned number(generally not more than eight) of demonstrations and field trials to perform.

86

ANNEX 7Appendix 1Page 11

50. A preplanned series of field trials would be carried out in selectedfarmers' fields and at the TMAU, Madurai Research Station. The three DA seedfarms in the District would be used for adaptive research. The District SMSswould be directly responsible to the District DDA and, working closely withthe Division SMS and other technical field staff, form the important linkbetween research and extension. Recommendations would be tried out on a largeenough scale before being delivered to the farmers to ensure their validityunder local conditions and, at the same time, extension workers would receivepractical training and gain confidence in their recommendations through activeparticipation in field trial work. The researchers the University at Maduraiand Coimbatore research stations, by working with the adaptive research atthe seed farms and field trials, would be pulled into closer contact withfarmers' problems and with the extension service.

Equipment and Facilities Supporting Extension Work and Training

51. Equipment and operating costs would be provided for publications,preparation of audio-visual aids, duplicating machines and photographic ser-vices needed for effective extension work with the farmers. Materials andequipment such as flip charts and blackboards, needed by Dy AO and VEW intheir ongoing training and extension work, would also be provided.

52. Since heavy emphasis is to be placed on the training of all fieldstaff, funds would be provided for incremental operating costs involved, suchas preparation of materials and aids for the training sessions, renting space,honorarium for outside lecturers and transporting extension workers on fieldvisits.

Transportation and Mobility

53. A key feature of the new extension methodology and its organiza-tion is the requirement that the entire staff spend most of their time in thefield. The VEWs would spend four days on pre-planned visits and the fifthand sixth days for training, field trials, demonstrations and special re-quests each week. The Dy AOs would spend four days a week with VEW, the twoother days as above. The SMSs would be expected to devote two days to fieldvisits and two days to field trials each week. The DAO would be at leastthree days a week in the field. The SMSs and DAO would have the remainingtime to help with special requests, planning and programs. Transportationis thus crucial to the success of the program, and is a serious constraintto extension today.

54. The VEW would require bicycles, for which, if necessary, loans mustbe available. The allowance at present given, Rs 5-7 per month, is insuffi-cient to pay for, and maintain a bicycle and an increase would be required(may be at least double the present figure).

87

ANNEX 7Appendix IPage 12

55. The DyAOs who cover an area of 3,000 to 4,000 ha, and possibly haveto travel some distance to reach their work area, require light motorcycles,sturdy enough to negotiate rough and slippery roads. Experience in India andelsewhere has shown that vehicles of this kind only remain operational ifowned by the user. Therefore, a condition of appointment must be that thecandidate is willing, able and licensed to operate a motorcycle; on the otherhand, the department must be prepared to loan him the necessary funds to pur-chase one, secure priorities in delivery, and pay a reasonable operating al-lowance that enables the user to maintain his vehicle as well as meet theloan payments.

56. At the Division the DAOs would require two 4-WD vehicles, and alight truck for SMSs. While experience shows that 4-WD vehicles are usuallysuccessfully operated by Government departments, there is ample evidence fromprivate enterprise sources that vehicle life is longer if privately owned.Therefore, it would be advisable to provide both options: enabling theentitled officials to purchase and operate their own vehicles or to providea Government owned one. The Divisional SMSs would each have a motorcycle.

57. Allowances for using motorcycles, however, should be increased andconditions changed in order to make it attractive for Dy AO to purchase them.The DyAO mobility must be assured. The motor vehicles are incremental tothe existing, or replace such vehicles as should be (but without the projectprobably would not be) taken out of service. About one-half the VEW ownbicycles already.

58. The District DDA and the SMSs attached to his office would not or-dinarily go to the field, visiting farmers, without Divisional staff, whohave suitable vehicles for the purpose (para 56). Therefore, the cheaper(in real terms) and more economical motor car would be more suitable --one for the DDA and three cars for four or five SMSs. Since similar vehiclesare in operation in Tamil Nadu and in DA, maintenance should not pose a seriousproblem.

59. Incremental vehicle operating and maintenance costs for the projectperiod (five years) are provided by the DA, based on 25,000/km/year. Amotorcyle allowance would be given based on 10,000 km/year. Basic travelallowance for DyAO incremental staff is provided. However, it is felt thatgreatly increased demands would be made of the entire staff, in terms of timeand distances of travel and length of stay away from home, justifying an addi-tional travel allowance to all staff. This show of concern and appreciationfor hardship and effort to be made by the staff, otherwise relatively lowlypaid, would have important motivational and incentive effects and would con-tribute to the effectiveness of the extension service.

60. Housing for field staff should be located where they do their work.Many of VEW and DyAO now occupy houses at Block headquarters. For the mostpart housing is available for extension workers except in the Periyakulam

88

ANNEX 7Appendix 1Page 13

Division. It is proposed, therefore, to provide in Periyakulam Division tenduplex-houses at selected locations. In homes of DyAO provision for officespace and equipment would be made.

Coordination, Program Planning and Evaluation

61. Under the project, both agricultural extension and agricultural re-search would be strengthened, the interdependence between the two increased,and their commitment to the farming community made greater. There is needfor a systematic approach for the development delivery and ultimate use ofeffective and beneficial technology. Program planning should continue totake place twice each year, before the kharif and rabi seasons.

An Experiment in Extension Contacts

62. The diversity of crops, relatively skillful farmers and generallygood yields in the Madurai District raises the question as to how much formaleducation is needed by extension workers to provide the leadership to farmers.The DA feels that the main point of contact with farmers should by DyAO whoare college trained. Experience in other locations in India has indicatedthat satisfactory leadership can be provided by VEW with less education butwith good in-service training and SMS support. An experiment to compare thetwo contact levels is a part of this extension improvement project. Farmercontact in the Periyakulam Division will be by DyAO at the ratio of one DyAO to 1,200 farms. All other Divisions will utilize VEW as the main pointof contact at a ratio 1:650 farmers.

63. As agriculture becomes more complex and farmers more knowledgeableand skillful it is logical to expect that the extension workers will likewiserequire more education and skills. If enough college graduates with theneeded skills and concern with farmers are available to perform the extensionwork this would undoubtedly be best -- but when not enough Dy AOs are avail-able or the farming is less complex then perhaps greater numbers of lesseducated but well-trained workers (VEWs) can make equal accomplishment.

64. In the experiment the same methods (regular group visits, intensivetraining and mobility) will be used by both groups. The farmer groups in thecase of the DyAO in Periyajulam will be larger, but perhaps the great depth ofknowledge by the DyAO will permit them to be more efficient in obtaining farmerchange. Special measurements of the effectiveness of the two contact groupswill be required.

65. Evaluation of the effectiveness of extension programs would bebased upon the number of farmers changing to recommended practices--increasedproduction and improved net farm income. Persons knowledgeable in these pro-cedures should exist in the state and district extension staff in additionto the capabilities at the Tamil Nadu Agricultural University. Special

89

ANNEX 7Appendix IPage 14

measurement will be required to compare the effectiveness of the two methodsof farmer contacts. The evaluation will be under the guidance of TNAU incooperation with the Director of Agriculture in Madras and the Deputy Directorin Madurai (see Annex 6 paragraph 8 to 11 for details).

May 1977

90

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

New Agricultural Extension Staff Positions and Area Data

Division Madurai Usilampathi Dindigul Periyalculam Kodaikanal Total

Sub-Division A B

No. Blocks 6 10 10 3 4 1 34

Total Area 171,300 292,080 351,925 209,460 112,435 1,137,200Total Irrigated Area 68,415 57,990 69,420 45,430 1,470 242,725

% Area Irrigated 39.9 19.9 19.7 21.7 1.3 21.3

Total Population 529,300 808,396 895,689 625,235 71,453 2,930,013No. Families 96,139 136,380 146,395 105,721 10,207 494,842

No. Farms 52,421 100,374 88,501 79,970 7,897 329,145Farms/VEW 655 643 650 1,200(DyAO) 658

Agr. Ext. StaffDiv. and BlocksDAO 1 1 1 1 1 1 6SMS teams 1 1 1 1 1 1 6(DyAO) (4) (5) (4) (4) (4) (4) (25)

DyAO in charge 2 2 3 4 11DyAO 10 20 17 28 38 2 115

VEW 80 156 136 12 384Assistants 5 5 10

DistrictDDA 1SMS (DAO) 9Other Programs (DAO) 7 sX3Assistants 5

H S p(

ANNEX 7

Appendix 1

INDIA Table 2

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Agricultural Extension Service Staff

Madurai District

Present New Program

Deputy Director of Agriculture (DDA) 1 1District Agricultural Officer (DAO) 6Subject Matter Specialist (DAO rank) 20 9Specialist Programs (DAO rank) 5Agricultural Officer (AO -new rank) 11Subject Matter Specialist (DyAO rank) 25Deputy Agricultural Officer (DyAO) 223 115

Village Extension Worker (VEW - new title) 384Village Level Worker (VLW)Agricultural Assistant 385 15Demonstration Assistant )Compost Development Inspector 34

92

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Organization of Agricultural Programs and Advisory Services to Farmers

PRESENT FUTURE

- FARMERS F AR ME R S FARMERS

' ' ' VEWFA AF~ DA CLL. DvAO FA 0 DA Dy DyAO VLW B L O C K S Dy AO

1' * * AGR. EXTENSION 3LOCKS.'

BDO D I V I S I O N DAO SMSSPECIAL SMS

PROGRAMS |

- - - - : -'SFEC. __0SMS DDO VILLAGE SPECIAL ST ICTPOASPIC s-SMSSPEC. ~ ~ ~ ~ ~ ~ ~ ~ AICAIT DST I TPROGRAMS " '

FROG.

DISTEICT PANCRAYAT lDD COLLECTOR UNION COUN. III

JDDA JDA JDA JDA JDA . HIt1 I t T S T A T E STATEI ~~~~~~~~~~SPECIAL- 4 DA '- STAT SMS

DISTRICT PROGRAMSDEV. COUN.

D ITAMIL NADUTAI A DP.O

DEPT. OF AGRICULTURE TAMIL NADU DEFT. OFAGRICULTURE

ABBREVIATIONS:

FA = Field Assistant--- -- -- --- Advisory AA - Agricultural Assistant* Special programs under direct DA = Demonstration Assistant

control of JDA in Madras eacn with CDT = Compost Development Inspectortheir own farmers contact agents DyAO = Deputy Agricultural Officer(FA, AA, DyAO, etc.) SMS = Subject Matter Specialists

VLW = Village Level WorkerBDO = Block Development OfficerDDO = District Development OfficerDAO = District Agricultural OfficerDA = Director of AgricultureJDA = Joint Director of AgricultureVEW Village Extension WorkerDDA = Deputy Director of Agriculture

PIC = Project Implementation Committee, Chaired by DDA

ANNEX 8Page 1

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Present and Projected Cropping Patterns and Production

Cropping Patterns

1. Paddy is the preferred crop in the project area and occupies 107%of the cultivable crop area. Sorghum, millets and pulses are also producedfor food; sugarcane, groundnuts, and a variety of vegetables, fruits andother crops are produced on a smaller scale.

2. Given enough water and a strong market outlet most farmers wouldproduce only paddy. Encouragement needs to be given to other crops to diver-sify the diet and provide a wider economic base for the area. The marketsystem and transportation is generally adequate for this, but incentivesand the technical knowledge and skills for producing these crops need tobe intensified. With encouragement over a period of time, farmers willdiversify their cropping patterns. Because these changes are not essentialfor the economic viability of project costs they are not emphasized in thereport.

3. The present cropping pattern and calendars for the two PeriyarVaigai Command Areas are shown in Tables 2 and 3 and Figures 1 and 2. Com-parative cropping patterns representing the two development alternatives(single or double crop paddy) versus a rainfed condition are presented inTable 4 and in Figures 3 and 4.

Periyar Main Canal Area

4. The Periyar Canal System consists of the Main Canal single anddouble irrigated areas plus the Old Extension area. The Government hasdecided to irrigate as single crop paddy 1,736 ha not presently irrigatedwithin the command area. In normal years, water is delivered to the MainCanal double crop area 1 June to 1 March, single crop area 15 August to 15February and the Old Extension 1 November to 28 February rather than 15September as specified in the irrigation schedule.

5. The transplanting of paddy in this area is almost a continuousoperation from the time the first canal water is available -- 1 June until 1December. The nurseries may be established with well water or surface waterwhen available later in the season.

6. Sugarcane is an important irrigated crop in the area. It is irri-gated from wells during the spring months. Small acreages of groundnuts,sorghums, millets, vegetables, fruits and other crops are planted.

94

ANNEX 8Page 2

7. Pulses (green and black gram) are grown on resudual soil moisturefollowing the paddy crop. Pulses were reported to occupy 40 to 50% of thisacreage but examination of Revenue District crop records did not substantiatethis report. Instead there appeared to be only 5% of the paddy land plantedto pulses. With adequate incentive, pulses could offer more diversity of dietas well as better utilization of resources.

Thirumangalam Main Canal Area

8. Paddy occupies 75% of the total area. Water is generally deliveredin early September rather than 1 June as specified in the irrigation schedule.Sorghum, millets, groundnuts are more important in this area than the othertwo commands. In some areas shallow soils limit yields of upland crops.

9. The additional water supplied by the project will be used to filltanks in the area for irrigation of 942 additional ha most of which will beplanted to single crop paddy.

Paddy

10. Yields of paddy are generally good (3,400 kg/ha), fields arequite weed free, fertilized quite well and the seed stocks are fair.Improvements could be made in nursery management (transplant earlier andreduce breakage of roots and tops); earlier date of planting, now delayedbecause of late deliveries of water in canals. The crop suffers frombacterial leaf blight and in some areas sheath and stem rots. Gall midge,brown plant hopper and stemborers are the principal insects; they can becontrolled by locally available insecticides. Threshing, handling andconserving paddy on the farms and in the village could be improved.

11. The recommended varieties are HYV, in particular IR8, IR20. Theseand a number of locally improved varieties are grown. It was reported theHYV occupy 85% of the total acreage however field inspection and revenue dataindicates much smaller acreage for 1976. Uncertainty as to irrigation supliesin 1976 was perhaps responsible for the change in varieties. Better watersupplies will result in a return to more intensity in paddy farming.

12. In double irrigated areas - i.e. areas receiving irrigation waterbetween June and February - the best results are obtained if an improvedlocal variety is followed by an HYV: the latter benefit more from the greatersunshine intensity around the turn of the year.

13. Sugarcane is grown for the two mills near the project area and isalways associated with wells for irrigation in the off-season. As the wintersare mild, yields are near 75 tons/ha with good sugar content. Red rot is aproblem, stemborers are under control. There is mill capacity for a greateracreage.

95

ANNEX 8Page 3

14. Finger millet (Eleusine coracana) a Ragi is sometimes grown insteadof the first rice crop, especially in the indirect ayacut of the singleirrigated areas where water supplies resulting from local storms are deemedinsufficient or unreliable for paddy. Some impressive crops were seen, des-pite the drought of 1976.

15. Pearl millet (Pennisetum typhoides) a Cumbu, is an old established,traditionally popular crop. Under irrigation, paddy has largely replaced itbut many farmers have planted it again in 1976 when it became clear thatwater supplies in the areas at present irrigated will be short and late.There, as well as in purely rain-fed or areas from well irrigated areas, somevery impressive crops of hybrid were seen. The downy mildew ("greenear")disease which effects many hybrids on the heavier soils is absent on the lightsoils of the project area. Planting times are June/July and again in September/October; yields can be over 2.0 tons/ha. The crop is remarkably free of pestsand diseases.

16. Sorghum (Sorghum vulgare) or Cholam, another traditional crop, isgaining popularity with the successful introduction of hybrids. Yields inexcess of 3 tons/ha are common. Ratooning trials have been successful andplanting in June or early July and allowing a ratoon to grow up after harvestis an increasingly common practice. Pest and diseases are, as with pearlmillet, not a problem, with the exception of occasional headsmut. Cropsplanted out of season may be attacked by shoot fly.

17. The minor millets, (Setaria and Panicum spp) are upland cropsrarely grown under supplementary irrigation but are common on the shallowsoils of the areas that might form the new extension areas. They are asubsistence crop; yields are low but some exceptionally good crops wereseen where some supplementary water was applied.

18. Cotton, (Gossypium sgp) both the arboreum and the hirsutum species,is an important crop. Under irrigation, the species is almost exclusivelyhirsutum. Planting may be in May/June or in September/October. The recentlyintroduced higher-yielding varieties, Varalakshmi and MCU5, give good yieldsand suffer relatively little from pests. The main pests are the white and,to a lesser extent, the pink bollworm. Thrips, mites and jassids are onlyminor problems. Pest control is by blanket spraying, there is no survel-liance. Yields under irrigation are about 1.5 tons/ha.

19. Groundnuts (Arachis hypogaea) are a traditional crop on thedeeper soils of the area. They suffer from leaf-spot and are occasionallyattacked by the red hairy caterpillar. The latter is controlled by aerialspraying as it may reach epidemic proportions. Yields, with supplementaryirrigation, are around 1.4 tons/ha but 2 tons/ha are not uncommon. Bunchytypes are TMV-2, TMV-78, TMV-9; spreading varieties TMV-10. Rainfed cropis planted in June/July, the irrigated after paddy.

96

ANNEX 8Page 4

20. Pulses are the green (Phaseolus aureus), black (P. mungo), red(Cajanus cajan) and horse gram (Dolichos biflorus) and lablab (D. lablab).They are usually grown after paddy on residual moisture, or with the earlyrains, before the main crop is planted. Red gram is interplanted with ground-nuts. At present, yields are quite low, but the TNAU is doing intensive de-velopment work under the all-India Coordinated Pulse Development Program.

21. Other crops grown are chillies, tomatoes on a field scale, somebananas, bettle nut leaves, and a flowering, small shrub, Vinea rosia, whichproduces an alkaloid with properties similar to derris powder and is animportant constitutent of locally formulated pesticides.

Cropping Pattern with Water Savings

22. As a result of project improvements including reduction of seepageby lining of canals and better water regulation with new and improved struc-tures more water will be available for crop use. The Government has decidedto first bring 2,678 ha of non-irrigated land in the existing command areas tosingle crop paddy. Furthermore, the command area will be extended to bring anadditional 9,000 ha under irrigation. After this, the additional water may beused to:

Alternative 1: Provide water for new single crop paddy probably downstreamof the Pulipatti regulator.

Alternative 2: Utilize all additional water in the present command areasto provide double crop paddy to as much area as possible.

23. The alternatives are compared as three sample cropping patterns andirrigation demands. For purposes of illustration (Figures 3 and 4, Table 6)cropping units of 100 hectares each are presented to show: the crop acreageof each crop, water requirements per ha at farm outlet for each crop allowingfield efficiencly of 85% for paddy and 65% for all other crops and the totalirrigation demand for each crop and cropping pattern.

May 1977

97

ANNEX 8Table 1

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Command Areas Irrigated

Periyar Canal ThirumangalamSystem Canal Total

(Hectares)

Cultivable Area 59,624 6,264 65,888

Presently IrrigatedSingle Crop Area 39,670 5,322 44,992Double Crop Area 18,218 18,218

TOTAL 57,888 5,322 63,210

ProJect to add_/ 10,736 942 11,678

Future with ProjectSingle Crop Area 50,406 6,264 56,670Double Crop Area 18,218 18,218

TOTAL 68,624 6,264 74,888

Government has determined to bring some presently unirrigated areas(2,678 ha) within the present command areas under irrigation beforethe extension of the area (Alt. 1) or increasing double crop (Alt. 2).

98

ANNEX 8INDIA Table 2

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Periyar Canal System

Cultivable Command Area = 59,624 ha.

Present

Irrigated Non-Irrigated

Crops (Hectares)

Paddy Single Crop 35,748First Crop 18,243Second Crop 12,161

Groundnuts 480 1,080Sorghum (Cholam) 850Finger Millet (Ragi) 460 75Pearl Millet (Cumbu) 345Minor Millets

Pulses 760Cotton 473 125Sugarcane 1,172Veg./Miscellaneous 1,080 240

Total Sown 69,817 3,475Fallow 400

GRAND TOTAL 73,692

Crop intensity (%) 123

99

ANNEX 8Table 3

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Cropping Pattern Thirumangalam Canal

Cultivable Command Area: 6,264 ha.

Present

Irrigated NonIrrigated

(Hectares)

Crops

Paddy Single Crop 4,700

First Crop 145

Second Crop 65

Groundnuts 160 650

Sorghum 60 690

Finger millet

Pearl millet 200

Minor millets

Pulses 40

Cotton 40

Sugarcane 80

Other 120

Total Sown 5,370 1,580

Fallow 1,010

Grand Total 7,960

Crop Intensity (%) 110.9

100

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Comparative Cropping Patterns (100 hectares) and Irrigation DemandsAllowing Field Efficiencies of o0% for Paddy and 65% all Other Crops

Rainfed Farm Single Crop Paddy Double Crop PaddyCrop 3 3 3 3 3 3

ha m /ha Total m3 ha m /ha Total m3 1/ ha m /ha Total mi

Paddy Single 5 84 7,635 641,41C1st 95 7,440 706,8oO2nd 74 6,410 474,380

Groundnuts dry 20 5 RmGroundnuts irrigated 2 505 1,010 2 505 1,010

Sorghum 15 R 5 R 3 RMillets 25 R 5 Rm 3 RmPulses 5 20 Rm 8 Rm

Others dry 3 ROthers Irrigated 3 560 1,620 6 560 3,360

Fallow 35

TOTAL 100 127 19].

Crop intensity (%) 70 127 191

Irrigation Intensity (%) 0 89 177

Rm = Residual soil moisture after paddy.

1/ Takes into account that one-third of the field losses are reused.(D

C~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~c

ANNEX 8Table 5

INDIA

PERIYAR TAITAT ITRRTGATION PROJECT (TAMIL NADU)

Crop Yields(Kg/hectare)

Present Projected

Irrigated Nonr- Irrigated Non-Irrigated Irrigated

Paddy (rough rice)

Single and first crop 3,400 - 4,500 -Second crop 3,000 4,000

Groundnuts in shells 1,400 800 2,250 900

Cotton (seed cotton) 1,500 550 1,800 600

Sorghum (Cholam) 3,000 1,000 4,000 1,200

Sugarcane 75 Ton/ha - 95 Ton/ha -

Pulses

Pigeon Peas (Redgram) - 1,000 _ 1,250Blackgram - 800 - 900Greengram - 900 - 1,050

Millets

Pearl (Cumbu) 1,750 400 3,000 600Finger (Raji) 1,200 600 2,000 650

102

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Present Cropping Pattern anu Calendar Peri,yar 1ain Canal and Old ExtensionCultivable Command Area: 59,624 hectares

..n July August September October Noeber Deen$er Janary Februe Mr A ma

~~Others Irrigated ~~

80%

- Other CropsIrrigated

70h / Paddy a/ ~~~First Crop / /Second Crop /

Cdf 60 ( /. _

O 50%'I)

h l / Paddya/

Single Crop

30%.

207.

071~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~0June July Augu.t September October Nouemuber December Je-nucy Fe ru.ey MeIch AaprIl ?*AyCa)

Rainfall iWI 33.3 55.7 1o8.& 140.0 217.5 107.1 94.9 3.6 4.7 20.5 42.6 63.6Water in canal _ _,_-_-_--.--_._ t

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Present Cropping Pattern and Calendar Thirumangalam Ganai

Cultivable Command Area. 6,264 hectares

100% Juna . July AugRut Sw.eDtber October November t'ecerber Ja.rury F.br.?ry Mr Aprl hS

-Sugarcane/ orghum and Millets /.9< , Rainfed

so &round& uts Rainfed 4a. ~~~~~~~~~~~~~Msc. Irrigate CroP-lx--- .

-----='i;2ZEF f;rgt + - _ _ _ _ __ - Groundnuts Irrigated701

-Paddy Second Crop

'+-4 ~~~~~~~~~Paddyo 501

Single Crop

401

301

201 /

Rainfall mm 33.3 55. 7 108.8 140.o 217.5 107.1 914.9 3.6 14.7 20. 5 142.6 63.6Water in Canal*

* Water is theOretically available 1 June to 1 October, actual water delivery dates are indicated above.

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Projected Single Crop Paddy

Cultivable Command Area: 100 hectares

100% J..e July Auoust S.pt-ber October Nove.ebr frce.ber J*nuory PCbruary Y1rch April MAy

_~~~u ~sugar-cape.. --- Sorghum and. Millets sos Bainreda-_____g.- _ , _ 4 Others Irrigated

Other Dry rops.- '~~~~~~~~~~~~~~~.C ropsroundnuts Irrigated

eal / Groundnus Rainfed i

PaddySingle Crop

0

4.)

a) ~~~~ 0.L

7 / Sorghum Millets Rm

11 / / / Pulses Rm /w

0~~~~~~~~~~~~~~~~~~~~~~~~~.~~~~~~~~~~~0

s.n JUy J uusc Septembr October Nov-ambr Deceobtr Jau-ry Februsty pAch Apri1 MAy

t-n Rainfall mm 33.3 55.7 108.8 14o.0 217.5 107.1 9h.9 3.6 4.7 20.5 42.6 63.6Water in Canal

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Projected Double Crop Paddy

Cultivable Commrand Area: 100 hectares

100- Jue. July Augvet September October Novembar Deceember J.oenry F.bru.ry March Aptil May

V slg'nrrant ' t 2 $ ____l _L _--~~tzarcRqe

9041

~~~~~~~~oer 1 rrig.

0 / / ,- gorghum ~~~~~Rm,-

70%~ ~ / /Pulses Rm/

Paddy

I / First Crop

0 0

4-)

C) ~~~~~~~~~~~~Paddy0) 40_/ Second Crop

30%

20%L

10%

07.

June JMly A.gust S.pteber October November December January Febrvary March April May

CY%

Rainfall i. 33.3 55.7 138.0 140.0 217.5 107.1 94., 3.6 4.7 20.5 42.6 63.6Water in C2anal

ANNEX 9Page 1

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Crop Inputs and Farm Budgets

Crop Inputs Requirements

1. Present and projected farm inputs and labor requirements represen-tative of farms in the project area are given in Table 1. Typical produc-tion values and costs per crop ha are given in Table 2. The current levelsare derived from the data supplied by the Department of Agriculture (DA) andfrom information obtained in interviews with local farmers. Future require-ments (after development under the extension program) are based on the recom-mendations of the DA and UNDP experts and on observations of the culturalpractices of the progressive farmers in the area. In the derivation of re-presentative levels for individual crops, the following assumptions are taken:

(a) Purchased Inputs. Farmers are well acquainted with andhave fairly good access to supplies of fertilizer (nitro-genous, phosphatic, and potassic) and pesticides (Annex 8).Credit availability for their purchase, through Governmentand commercial institutions is already good and beingfurther expanded. In some cases, particularly in rain-fed areas, application rates are below recommended levelsfor such conditions and somewhat unbalanced due to thedominant availability of nitrogenous supplies. In thefuture, under the extension program, the use of fertil-izers is expected to increase generally and to be moreeffectively applied (Table 2).

(b) Farm Labor. Future monthly labor requirements (includingboth family and hired labor) are based on the assumptionthat no substantial change in farming practices will takeplace. They include crop preparation, cultivation, andharvest requirements.

(c) Power. Bullocks used for land preparation, threshing andhauling are owned by all large farmers and by most smallfarmers. They are rented out only in a few cases. Theimputed overall cost to the owner of a bullock pair,including upkeep, feed and depreciation is roughly equalto the daily rental charge (Rs 15 per day per pair). The

107

ANNEX 9Page 2

production cost for each crop has been uniformly estimatedat this rate. A few tractors are available for land prep-arations, but their use is not reflected in these estimates.

(d) Seed. Farm owners generally use seed from their harvest andpurchase new seed only when necessary. Table 1 gives thetotal annual seed requirements. The average cost given inTable 2 is typically based on a value 25% over the farmgateprice for the crop, thus allowing a premium for selectioncleaning and storage.

Farm Budgets

2. Representative Farm Size. The size distribution of holdings inthe project area is derived from data for Madurai and RamanathapuramDistricts in the 1971 Agricultural Census. Size distribution in the projectareas is estimated as follows:

Number of Holdings Area of Holdings AverageSize Category as % of Total as % of Total Size

(ha) (%) (%) (ha)

0-0.5 36 7 .260.5-1.0 23 12 .721-2 21 21 1.42-3 8 14 2.43-4 4 10 3.44-5 2 7 4.35-10 3 17 6.7

over 10 3 12 15.8Total 100 100 1.3

Individual farm budgets are prepared for three representative farm sizes:small (0.5 ha), average (1.3 ha), and large (3.0) ha.

3. Project Farm Alternatives. New irrigation would be supplied toexisting farms which are now in a rainfed or single irrigated crop condition.Farm sizes and technology would remain about the same. Farm cropping patterns,however, would shift to either single irrigation or double irrigation underProject Alternative 1 or 2, respectively (Annex 2, Para. 12).

Farm Budgets

4. The cropping patterns,farm incomes, and likely family wage earningsunder the two alternatives are given in Table 3. The following major assump-tions underlie the estimates:

108

ANNEX 9Page 3

(a) Cropping Patterns and Intensity. The cropping patternsand intensities for rainfed, single and double irriga-tions are representative of the present cropping pat-terns in the area. Possible changes and improvementswhich might be anticipated under the extension programare not taken into account for this analysis. Sugarcanewhich usually is grown only on a few large farms is notincluded in the patterns for the representative farms.

(b) Crop Yields and Input Requirements. Yields of irrigatedcrops are presently high. Significant yield increases,therefore, are anticipated only as a result of the proposed

intensive agricultural extension program for the existingand new areas and improvements in genetic crop yield poten-tial. For the purposes of this analysis no yield increaseis taken into account. Production costs are estimated basedon input requirements for individual crops discussed aboveand given in Table 1.

(c) Family Farm Labor Availability. Allowing time for cooking

and home chores for women and children, the average numberof family farm workers is equivalent to about 2.5 adults.This includes persons with limited working ability. Theestimated number of full working days per family on thisbasis averages about 50 days per month.

(d) Hired Farm Labor. Hired labor requirements are estimatedas the difference between cropping requirement and familylabor availability on a month by month basis. The monthlyrequirements per ha are given in Table 1. The need to hirelabor varies with the size of farm. Generally, small farmsdo not hire any labor. Some labor is exchanged during peakseasons.

(e) Prices. Crop production and inputs are valued using thefinancial prices given in Annex 10, Appendix 1.

(f) Wage Rates. During the past year wage rates ranged between

Rs 3 and Rs 9 per day, depending on the season and whetherthe worker was male or female. Average rates were aboutRs 7 for males and Rs 5 for females. Rs 6 per man day is

used in the analysis.

(g) Wage Income. The estimates include the value of potentialwage earnings, computed, month by month, as one half of

residual family labor (monthly supply less requirements)

109

ANNEX 9Page 4

valued at the average wage of Rs 6 per day. With newirrigation, additional labor is required for cultivationand off-farm wage opportunities decline. Accordingly,the net increase in farm income is reduced somewhat bythe loss in wage earnings.

(h) Irrigation. The present costs of irrigation are treatedas part of the land revenue (item i). Also, for the bud-gets for farms with new irrigation the present level ofcharges has been used.

(i) Taxation. Land revenue and water rates are combined ina single charge. Rates vary from village to villagedepending on soils, water resources, and infrastructure(roads and markets). Typical rates in the project areaare as follows:

Under 2 ha Over 2 ha(Rs/ha) (Rs/ha)

Rainfed 0 5Single Irrigation 20 30Double Irrigation 35 50

Project Cost Recovery

5. Annual charges for full recovery of project costs over 30 years at10% interest would amount to about Rs 28 million per year. Of this amount,86% (Rs 23.5 million per year) is associated directly with the cost of pro-viding additional water by reducing seepage and operational losses; thebalance (Rs 4.5 million per year) is for rehabilitation of the existing sys-tem. Annual operation and maintenance costs for the system are estimated atRs 80 per ha.

6. Water savings (best estimate 160 Mm ) are expected to benefit24,800 ha of farm land presently rainfed or 29,500 ha of farm land presentlyunder single irrigation or a combination of both (Annex 2). Capital recoverycharges under these circumstances would amount to Rs 950 or Rs 800 per ha peryear, respectively.

Farm Repayment Capacity

7. The theoretical capacity of recipients of new irrigation suppliesfor paying such charges is estimated in Table 4. This (Project Rent) is aportion of their incremental income which would remain after aproviding ade-quate production incentives (rewards for family labor, farm management and amargin for cultivation risks). More than half the farms in the project areaare less than 1 ha and their households are dependent for one-half or more oftheir income on off-farm wages.

110

ANNEX 9Page 5

Water Charges Collection

8. At present, project area land owners pay annual water chargesranging only as high as Rs 120 per ha and averaging about Rs 45 ha as partof a composite land revenue tax. The land cess, a local tax, is calculatedas a percentage of the land revenue. The cess on the water charge averagesabout Rs 30 per ha for the State. Cultivators of commercial crops (such asgroundnuts, and sugarcane) pay additional taxes ranging from Rs 30 to Rs 50per ha. These crops are grown primarily under irrigation, and, in practice,the commercial crop assessment is a water-related charge. for the State, thetotal water and water related charges amount to about Rs 85 per ha. In addi-tion, all farmers are taxed 2 to 4% on sale of produce other than foodgrains.

9. Tamil Nadu is making a strong tax effort. Over the past few years,its tax revenue per capita was 50% higher than the national average andas a percentage of State income it was 30% above the national average (fourthhighest among Indian states). Although the State ranks sixth in India inper capita income, its rural areas which contain 70% of the population arecharacterized by small farms and low incomes (per capita income below thenational average). In 1976, the State revised its agricultural taxationwith a 70% increase in water rates and the introduction of a commercial cropassessment.

10. Within the Periyar Vaigai system, only farmers receiving new irriga-tion supplies would benefit from the project. It is unlikely that GOTN wouldbe able to enforce a higher rate for these farmers than for other farmers inneighboring areas who have first priority water rights and at present alreadysingle or double crop their lands. It is also unlikely that GOTN would beable to increase the water charges throughout the Periyar Vaigai system with-out adjusting the charges in other projects elsewhere in the State. Thus,future appropriate levels for water-related charges would have to be decidedwithin GOTN's statewide policy for agricultural taxation.

11. For the State, the collection of water charges in 1976/77 amountedto:

Rupees

Irrigation charges 34.1 MAdditional water charges 30.0 MLocal cess and cess surchargeon irrigation charges 42.6 M

Commercial crop assessment 15.0 M

Total for the State 121.7 MTotal Rs 85/ha

The cost for proper O&M of the irrigation systems is estimated at Rs 40-50per ha or about Rs 60-70 M for the State.

111i

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU) ANNEX 9

Table 1Crop Inputs and Farm _udgets

Yield and Production Requi_e_en_s Per Hectare

PADDY GROUNDNUTS SORGHUM PEARL MILLET GREEN GRAMSingle Irrigated 1st Irrigated 2nd Irrigated Rainfed Irrigated Rainfed Rainfed RainfedP F P F P F P F P F P F P F P F

Yield Per Hectare (Ky/ha) 3,400 4,500 3,200 4,200 3,00C 4.000 800 1,000 1,400 2,250 1.000 1,200 400 600 900 1.050

production Requirements Per HectareMaterials (Ky/ha)Seed 25 25 25 25 25 25 125 125 125 125 10 10 5 8 25 25Nitrogen nutrient (N) 60 120 60 100 60 100 5 20 15 30 5 20 10 5 10Phosphate nutrient (P) 30 50 30 40 30 30 15 40 40 50 10 10 15 20potassium nutrient (K) 10 10 10Pesticides (Rs/ha) 125 200 125 200 125 200 15 100 20 150 15 25 15 10 30Manure (Tons/ha) 3 3 5 3 3 5 5 3 3

Power (bullock-pair days/ha)January 10 10 10 2 2February 5 5 10 9 4 3 4March 4 4AprilMay 8 7 5 3 3June 10 10 6 6 2 10 2 2 1 1July 10 10 5 6 2 2 6 6 7 6 6August 10 10 1 1 1 1 1 1 2 2September 1 1 7 7October 10 10 8 8 4 5 6 3 5 3 3November 4 5 1 2 2 2 1 1 1 1December 2 2 3Preharvest 24 24 24 24 16 16 11 11 18 18 9 12 9 10 5 5Harvest 14 14 14 15 13 13 4 5 6 7 4 5 2 3 3 4Total 38 38 38 39 29 29 15 16 24 25 13 17 11 13 8 9

Labor (adult-days/ha)l/January 18 16 5 5 16 4 4February 9 8 30 27 16 5 5March 5 5 2 3 4April

2 4 4May 8 7 20 7 8June 40 40 6 6 10 13 3 3 3 3July 20 22 46 45 4 4 17 9 10 11 11August 40 42 30 26 10 10 8 11 12 10 12September 54 47 5 5 8 7 5 5 7 2 2 2 2October 12 10 22 22 40 41 15 15 23 11 13 12 13November 6 6 13 10 30 29 6 6 8 3 3 3 3December 10 10 _ 5 5 7 -'XPreharvest 134 129 129 123 90 89 21 21 43 43 24 25 26 29 13 14Harvest 35 32 35 32 33 30 25 25 30 33 15 18 15 15 10 11Total 169 161 164 155 123 119 46 46 73 76 39 43 41 44 23 25

Note: P - Present

F - Future, after development by agricultural extension program.

1/ Men and women work in the fields.

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Crop Inputs and Farm Budgets

Crop Values (Financial Prices)(Rs per hectare)

Pearl Green-Paddy Groundnuts Sorghum Millet gram

Single Irrigated 1st Irrigated 2nd Irrigated Rainfed Irrigated Rainfed Rainfed Rainfed

P F P F P F P F P F P F P F P F

Gross Valueper Hectare 3,740 4,950 3,520 4,620 3,300 4,400 1,760 2,200 3,080 4,950 1,150 1,380 400 600 2,030 2,360

ProductionCosts perHectare

MaterialsSeed 41 41 41 41 41 41 340 340 340 340 14 14 4 7 70 70

Nitrogen 236 472 236 393 236 393 20 79 59 118 20 79 0 39 20 40

Phosphate 105 175 105 139 105 105 53 140 140 175 10 35 0 35 53 70

Potassium 15 0 15 0 15 0 0 0 0 0 0 0 0 0 0 0

Pesticides 125 200 125 200 125 200 15 100 20 150 15 25 0 15 10 30

Manure 15 25 15 25 0 0 25 15 15 0 25 0 25 0 15 0

Contingencies 53 87 53 77 53 76 42 66 56 82 11 12 6 9 17 25

Total 590 1,000 590 875 575 815 495 740 630 865 85 165 35 105 185 235

Power 570 570 570 585 435 435 225 240 360 375 195 255 165 195 45 135

Labor 1/ - - - - - - - - - - - - - -

Net Value per 2/Hectare 2,580 3,380 2,360 3,160 2,290 3,150 1,040 1,220 2,090 3,710 870 960 200 300 1,800 1,990

NOTE: P - PresentF - Future, after development by agricultural extension program.

H Values are based on crop yield and production requirements given in Annex 9, Table 1, and farmgate prices (financial)

given in Annex 10, Appendix 1, Table 3.

1/ Separate hired labor estimates are made for the different size farms.

2/ Before hired labor costs.

'-0

ANNEX 9TABLE 3

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Crop Inputs and Farm Budgets

Farm Budgets

Rainfed Single Irrigation Double Irrigation100 ha 100 ha 100 ha

(ha) (Rs/ha) (000 Rs) (ha) (Rs/ha) (000 Rs) (ha) (Rs/ha) (000 Rs)

Paddy,rainfed 5 1,200 6 0 0Paddy,single 0 84 2,580 217 0Paddy, firstdouble 0 0 95 2,360 224

Paddy, seconddouble 0 0 74 2,290 169Groundnuts,rainfed 20 1,040 21 8 1,040 8 0Groundnuts,irrigated 5 2,090 10 8 2,090 17Sorghum 15 870 13 5 870 4 3 870 3Pearl Millets 25 200 5 5 200 1 3 200 1Greengram 5 1,800 9 20 1,800 36 8 1,800 14

Total 70 54 127 276 191 428

(Rs) (Rs) (Rs)0.5 ha, Crop Income 390 2/ 1,380 2,140

Hired Labor Cost 0 0 0Land & Water Tax 0 -10 -18Net Farm Income 390 1,370 2,122Wage Earnings 1/ 1,720 1,560 1,418Net Income 2,115 2,930 3-,52Increment per ha 1,630 1,140

1.3 ha, Crop Income 1,000 2/ 3,590 5,560Hired Labor Cost 0 0 -60Land & Water Tax 0 -26 -46Net Farm Income 1,000 3,564 5,454Wage Earnings 1/ 1,600 1,166 836Net Income 2,600 4730 =779UIncrement per ha 1,640 1,120

3.0 ha, Crop Income 2,310 2/ 8,280 12,840Hired Labor Cost 0 -670 -1,820Land & Water Tax -15 -90 -150Net Farm Income 2,295 7,520 10,870Wage Earnings 1/ 1,345 670 430Net Income 3,640 8190I TI 3=WIncrement per ha 1,520 960

1/ One half of residual family labor valued at Rs 6 per adult-day.2/ Assumes 100% cropping intensity on farms 3 ha or less.

114

ANNEX 9TABLE 4

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Crop Inputs and Farm Budgets

Project Rent

Single DoubleRainfed Irrigation Irrigation(Rs) (Rs) (Rs)

0.5 ha Farm

Gross Crop Income 580 1,960 3,120Certainty Equivalent 520 1,760 2,810Material & Power Inputs -190 -580 -980Labor Inputs -150 -480 -760Management Fee -20 -70 -110

Land Rent (net) 160 630 960Project Rent (increment) 470 330Project Rent peradditional irrigatedha 1,060 750

1.3 ha Farm

Gross Crop Income 1,500 5,100 8,110Certainty Equivalent 1,350 4,590 7,300lIaterial & Power Inputs -500 -1,510 -2,550Labor Inputs -400 -1,250 -1,920Management Fee -40 -180 -280

Land Rent (net) 410 1,650 2,550Project Rent (increment) 1,240 900Project Rent peradditional irrigatedha 1,070 790

3.0 ha Farm

Gross Crop Income 3,470 11,760 18,720Certainty Equivalent 3,120 10,580 16,850Material & Power Inputs -1,160 -3,480 -5,880Labor Inputs -910 -2,220 -2,740Management Fee -100 -490 -820

Land Rent (net) 950 4,390 7,410Project Rent (increment) 3,440 3,020Project Rent peradditional irrigatedha 1,290 1,140

115

ANNEX 10Page 1

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Economic Analysis

General

1. The net water savings, the major quantifiable benefit of thisproject, would result from the integrated function of all proposed investmentitems, with the exception of the village roads.

2. The investment in rehabilitation works, amounting to 5% of projectcosts, while essential to the operation of the system would primarily preventa further deterioration of the system. Without these works the operationalefficiency would decline and annual O&M costs increase. It is impossible toquantify these benefits in even an approximate way. However, with the presenthigh economic value of present production in the existing system even a small(1-2%) gradual decline in the overall operational efficiency of the systemwithout the rehabilitation works would more than justify the costs for theseworks. Similarly, it has not been possible to quantify the benefits ofimproved village roads (7% of project costs) due to lack of traffic data.Costs for rehabilitation works and O&M roads are included in the estimatedoverall rate of return. The village road improvements have been excludedfrom the economic analysis as the assumed agricultural benefits are basedon present yield levels.

3. The economic analysis follows standard Bank methodology, however,a Standard Conversion Factor (SCF), which is approximately the ratio of theofficial exchange rate (OER) to the estimated shadow exchange rate (SER),is used rather than the SER (Appendix 1). The SCF is applied to local pricesand costs while the OER is used to convert foreign prices and costs to localcurrency. The SCF thus is applied to the local portion of investment costs,wage rates, and local factors in the economic price derivations.

Basic Assumptions

4. Standard Conversion Factor. Due to the degree of protection pro-vided by existing tariffs and trade restrictions, a shadow exchange rate moreclosely than the official rate reflects the relationship between supply ofand demand for foreign exchange in India. Export/import data for the pastfive years gives a SCF value of 0.75 which conforms with a recent study carriedout by GOI (Appendix 1). This is used for the base analysis; variation of 20%in the estimate is tested in the sensitivity analysis.

5. Construction Conversion Factor. If the SCF is applied to the non-traded component of construction cost (about 80%), the resulting ConstructionConversion Factor is 0.8, which has been used throughout the analysis.

116

ANNEX 10Page 2

6. Savings Premium. Following Bank standard practice, no premium hasbeen put on either public or private savings.

7. Agricultural Inputs and Outputs. The economic prices for thesegoods are estimated in Appendix 1.

8. Farm Labor. The average cultivated area per family (includinglandless, tenant farmers, and farmers) is small and labor availability ishigh. Because of the consequent incidence of relatively high underemployment,wage levels reported in the area (Annex 9) overstate the economic opportunitycost of farm labor. Estimated farm employment opportunities in the commandarea, which at present are low (11.4 million man-days per year, or about 23%of agricultural labor availability), under the project would increase by about3 M to man-days, an increase of about 25%. Based on similarly low incrementsin labor participation for projects in other densely settled areas in India,the marginal economic opportunity rate for farm labor would be two-thirds orless of the average reported wage (Rs 6 per day). As a conservatively highestimate, Rs 4.5 per day (Rs 3.5 after applying the SCF for non-traded items)is used in the evaluations.

9. The basic project investments associated with the water savingsamount to 86% of project costs. As the savings would be used essentially ineither of two ways, two basic evaluations are made. Since the level of watersavings cannot be accurately estimated at this point, evaluations are alsomade for the minimum and maximum likely savings as part of the sensitivityanalysis.

Economic Rate of Return

10. Base Analysis. The project's economic rate of return (ERR) isestimatsd at 17 to 27% (Table 5) for the best estimate of net water savings(160 Mm ). The value of the water savings (Table 2) is estimated on the basisof incremental production to be about the same (Rs 0.45/m ) under one ofthree alternative cropping changes:

Alternative 0: 29,500 ha from single to double irrigation;

Alternative 1: 24,800 ha from rainfed to single irrigation; or

Alternative 2: 9,000 ha from rainfed to single irrigation and18,800 ha from single to double irrigation.

11. Project costs would differ under the three alternatives. UnderAlternatives I and 2, they would include the additional cost (Rs 5,600 per ha)of a new conveyance network to, and land development in, rainfed areas outsidethe command of the existing system. Under all alternatives, they wouldinclude the directly related project costs for canal lining and operationalimprovements of the existing system.

117

ANNEX 10Page 3

12. Project Effect on Groundwater. The reduction of the groundwatertable as a result of more efficient use of the surface water supplies in thecommand area would have a negative impact on farms in and downstream of theproject area (para 7.04). The effect of the reduction in the groundwatertable would be to increase the costs of pumping from the wells. For this 3analysis, it is estimated that the wells with a total extraction of 200 Mmper year might suffer at most an average of 1.5 meters increase in pumpinghead. Assuming 50% overall pumping efficiency, the cost of additional energyrequirements would amount to about Rs 480,000 per year. This has been de-ducted from the benefits in the economic analyses.

13. As an alternative to this project, additional groundwater pumping inneighboring areas could conceivably be developed on a similar scale. Thesame level of benefits by this method, however, would be achieved at greatercost. Due to the rock substrata, dug wells rather than deep tubewells wouidbe required. Installation cost in a well with an average yield of 19,700 mwould be about Rs 20,000 (Rs 16,500 per well plus Rs 3,500 for pump and engine).Pump and engine replacement would be required every 4 or 5 years. The equiva-lent annual esonomic cost, amortized with interest at 10% would a9ount toRs 0.12 per m3. Pumping costs, however, would be about Rs 0.02 m for powerand Rs 0.02/m for maintenance of pump, engine and well. Thus, the innualcosts for groundwater devSlopment would amount in total to Rs 0.16 m , com-pared with only Rs 0.13/m (including O&M costs) for this project. Since theannual benefit streams would be identical, the least cost solution would givethe highest net present value.

14. Other Assumptions. The following additional major assumptions aremade in the analyses:

(a) A 50-year period of analysis:

(b) Construction period of 4 years (para 4.14);

(c) Increase in cropping intensity but not in yields(para 6.02);

(d) Realization of full benefits within 3 years after newirrigation supplies are delivered.

15. Sensitivity Analyses. Project rates of return are3also estimaSedfor the minimum and maximum likely net water savings (100 Mm and 200 Mm )to test the economic viability within the assessed range of savings. Resultsfor these and other tests are given in Table 5.

118

ANNEX 10Page 4

Indirect Employment Effects

16. The project would offer scope for a substantial rise in agri-cultural income and hence generate additional income and employment inthe non-farm sector. The lack of reliable data on non-farm employmentat the present situation and data on consumption patterns in the projectarea makes it extremely difficult to project accurately the employmenteffect in the future. However, experience from similar areas in Asiaindicates that an increase in agricultural production of Rs 15-20,000would generate one man-year of employment in the local non-farm sector. 1/As a result of the project, the gross value of agricultural productionwould increase by some Rs 150 M, the increase in non-farm employment wouldbe on the order of 8,000 man-years.

May 1977

1/ Draft Report on Rural Non-Farm Employment and Earning Opportunitiesin Rural Areas and Town, Development Economics Department.

119

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Economic Analysis

Crop Values (Economic Prices)(Rs per hectare)

Pearl Green-Paddy Groundnuts Sorghum Millet gram

Single Irrigated 1st Irrigated 2nd Irrigated Rainfed Irrigated Rainfed Rainfed RainfedP F P F P F P F P F P F P F P F

Gross Valueper Hectare 5,270 6,975 4,960 6,510 4,650 6,200 1,580 1,970 2,770 4,450 1,590 1,910 570 850 1,180 1,380

ProductionCosts perHectare

Materials

Seed 58 58 58 58 58 58 309 309 309 309 20 20 6 10 41 -41Nitrogen 263 526 263 438 263 438 22 88 66 131 22 88 0 44 22 44Phosphate 85 142 85 113 85 85 43 113 113 142 0 28 0 28 43 57Potassium 15 0 15 0 15 0 0 0 0 0 0 0 0 0 0 0Pesticides 125 200 125 200 125 200 15 100 20 150 15 25 0 15 10 30Manure 11 19 11 19 0 0 19 11 11 0 19 0 19 11 11 0Contingencies 53 95 53 82 54 79 42 64 51 73 9 14 5 12 13 18

Total 610 1,040 610 910 600 860 450 685 570 805 85 175 30120 140 190

Power 420 420 420 430 320 320 165 175 265 275 145 185 120 145 90 100

Labor 590 565 575 540 430 415 160 160 255 265 135 150 145 155 80 88

Net Valueper Hectare 3,650 4,950 3,355 4,630 3,300 4,605 805 950 1,680 3,105 1,225 1,400 275 430 870 1,002

NOTE: P - Present

F - Future, after development by agricultural extension program.Values are based on crop yield and production requirements given in Annex 9, Table 1, and farmgate prices (economic)

given in Annex 10, Appendix 1, Table 3.Values of non-traded items including power and labor are adjusted by the SCF = 0.75.

I- Im

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Economic Analysis

Incremental Economic Value Per M Water

100 ha 100 ha Single Crop 100 ha Double CropRainfed Irrigated Irrigated

Crop Net 1/ Irrig. Crop Net 1/ Irrig. Crop Net 1/ Irrig.Area Value-/ Supply3 Area Value- Supply3 Area Value- Supply(ha) (000 Rs) (000 m3) (ha) (000 Rs) (000 m ) (ha) (000 Rs) (000 m )

Paddy, rainfed 5 4.0 0 - - - - -

Paddy, irrigated - - - 84 310.8 641 - - -

Paddy, Double, 1st - - - - - - 95 323.0 707

Paddy, Double, 2nd - - - - - - 74 244.2 474

Groundnuts, rainfed-/ 20 16.0 0 8 6.4 - - - -2/

Groundnuts, irrigated-/ - - - 5 8.5 2 8 13.6 5

Sorghum, rainfed 15 18.4 0 5 6.0 - 3 3.6 -

Millets, rainfed 25 6.9 0 5 1.4 - 3 .8 -

Pulses, rainfed 5 4.4 0 20 17.7 - 8 7.1 -

Total 70 49.8 0 127 350.8 644 191 592.3 1,186

Incremental Irrigation Supply (m 000) 644 542

Incremental Value (Rs 000) 301 241

Incremental Value (Rs/m ) 0.47 0.44

1/ Based on net economic values per hectare given in Table 1. F-.

2/ Includes areas under minor crops, rainfed and irrigated respectively. 0

ANNEX 10Table 3

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Economic Analysis

Net Benefit Streams Per M Water

IncrementalEconomic 2/ Incidental 1/

Year Value Costs Benefits

…------------------…(Rs per m 3)---------------------

Alternative 0 (Single to Double Irrigation)

1 0 0 02 0 0 03 0 0 04 0.18 0 0.18J 0.33 0 0.336-50 0.44 0 0.44

Alternative 1 (Rainfed to Single Irrigation)

1 0 -0.20 -0.202 0 -0.27 -0.273 0 -0.23 -0.234 0.19 -0.01 -0.185 0.35 -0.01 -0.346-50 0.47 -0.01 -0.46

1/ Costs of new irrigation infrastructure.2/ From Table 2.

122

ANNEX 10Table 4

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Economic Analysis

Cost Streams

AdditionalInvestment 3/ O&M Indirect 1/

Year Costs - Costs Costs - Total----------------------------(Rs Million)------------------

A. Financial Cost Streams

1 19.0 0 0 19.02 79.6 0 0 79.63 83.1 0 0 83.14 67.7 0.6 0 67.35 28.0 1.3 0.5 29.86-50 0 1.3 0.5 1.8

B. Economic Cost Streams (SCF = 0.75, CCF = 0.80)-/

1 15.2 0 0 15.22 63.7 0 0 63.73 66.5 0 0 66.54 54.2 0.5 0 51.75 22.4 1.1 0.5 24.06-50 0 1.1 0.5 1.6

1/ Additional costs of pumping from wells.2/ Non-traded components assumed to comprise 80% of investment costs and

50% of O&M costs.3/ Annex 4, Table 4, rearranged to reflect crop years.

123

ANNEX 10Table 5

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Economic Analysis

Economic Rates of Return

oStream - Alternative Benefit Streams (160 Mm )(Rs Million) ------- (Rs Million)-------------

Alt. 0 Alt. 1 Alt. 2

1 15 0 -32 -122 64 0 -43 -163 67 0 -37 -134 55 28 30 295 24 52 55 546-50 2 70 74 73

Economic Rate of Return 27% 17% 23%

Sensitivity Tests:(i) 200 Mm3 savings 34% 20% 29%(ii) 100 Mm3 savings 17% 12% 15%(iii) 2-year construction delay 23% 15% 20%(iv) 20% increase in costs 23% 15% 20%(v) 20% decrease in prices 22% 15% 19%(vi) 20% change in SER

(SCF = 0.9) 20% 14% 18%(vii) Combination of (iii)-(v) 18% 12% 16%(viii) Combination of (ii)-(vi) 10% 7% 9%

1/ From Table 4 (rounded).2/ From Table 3.

124

ANNEX 10Table 6

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Economic Analysis

Alternative Economic Cost of Groundwater Extraction

Pump &Well Engine Total

Well yield per year 19,700 m

Life 30 years 5 years

Financial Investment Cost (Rs) 16,500 3,500 20,000

Economic Cost (Rs) 13,2001/ 3,500 16,700

1. Annual Capital Cost at 10% (Rs) 1,400 920 2,320

2. Annual Maintenance Cost (Rs) 130 280 410

Subtotal (Rs) 3 2,730Subtotal (Rs/m ) 0.14

3. Annual Operating Cost (Rs/m )-/ 0.02

Total (Rs/m ) 0.16

1/ Non-traded components assumed to comprise 80% of well costs (CCF = 0.8).2/ Valued at an economic rate equivalent to Rs 0.3 per kilowatt-hour.

125

ANNEX 10Appendix 1Page 1

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Prices for Economic and Financial Analysis

General

1. Estimated future prices for the economic and financial analysesare based on the Bank's 1985 world market projections. The price estimates,as well as the project costs, are expressed in constant 1977 currency values(March 1977). The financial prices reflect mean relative price levels overthe past five to ten years adjusted according to the projected trends in theworld market. (No major change is anticipated in Government pricing policiesor in demand/supply relationships). Economic prices are derived from theprojected world market prices by adjusting for quality differences and bydeducting appropriate allowances for transport, handling, and processing costsbetween the world market and farm.

Official Exchange Rate

2. Until September 24, 1975, the Rupee was officially valued at afixed Pound Sterling rate. Since then it has been fixed against a combina-tion of several currencies. As all these currencies float relative to eachother, the equivalent US Dollar/Rupee exchange rate has varied from time totime. During 1976 (to October), the average exchange rate was Rs 8.98 perDollar. The rate used in this report is US$1 = Rs 9.0.

Shadow Exchange Rate

3. In the economic analyses, due to the level of protection providedby the existing tariffs and trade restrictions, a standard conversion factor(SCF) is applied to the local prices of items which are not traded on theworld market, while prices derived from world market prices are expressedin rupees using the official exchange rate. The SCF can be determinedapproximately from the formula 1/:

SCF = X+M

X+S T + M + TM

Where X = fob value of exports at OERM = cif value of imports at OERS = value of all export subsidies

T = value of all export taxes

TM = value of all import duties

126

ANNEX 10Appendix 1Page 2

4. Using this formula and data for the past five years, gives anaverage SCF = 0.75. This estimate conforms with the result of a recentstudy carried out by the Planning Commission, which recommends the use ofconversion factors for foreign exchange and for non-traded goods thatimplicitly also give a SCF of about 0.75. The formula strictly appliesonly in the absence of trade restrictions. However, in the presence ofexisting trade restrictions without any economy-wide models it is verydifficult to estimate a more correct value of SCF. Consequently, in theanalyses a sensitivity test to this assumption is made assuming a 20%error in the estimated SCF:

SCF

Base case 0.75Sensitivity 0.90

Economic Prices for Non-Traded Goods

5. Because of the relatively high degree of long-term substitut-ability of one foodgrain for another, increased production of even minorgrain crops such as millet, sorghum and gram tends tosomewhat offsetimports of rice or wheat. Thus, the economic price for these items isclosely related to the world market price for rice. The economic pricefor these crops, therefore, are computed in relation to the price forrice by applying the ratios of the local wholesale prices (millet to rice,sorghum to rice, etc.) to the estimated future economic farm gate pricesfor rice.

Prices of Agricultural Inputs

6. Fertilizers: The GOI exercises statutory control over the pricesof fertilizer. The controlled prices are intended to reflect not only theproduction costs of local industry, but also an equalization factor toarrive at a common price for both local and imported supplies. At the peakof international prices in 1974, Government subsidy on imported fertilizer(i.e. urea) amounted to nearly Rs 2,000 per ton. During the past year,after the world market prices of fertilizer had decreased, the subsidy wasessentially eliminated. The controlled prices are now about the same as theprices derived from world market levels. Consequently, the same fertilizerprices are used in the financial and economic analyses.

Agricultural Labor

7. The financial wage rate for farm labor is Rs 5.0-6.0 per day inthe peak season and Rs 3.5-4.0 per day during slack season. The economiccost of labor is based on a seasonally adjusted opportunity cost in termsof output foregone in alternative employment.

127

ANNEX 10Appendix 1Page 3

Animal Power

8. The hired rates for a pair of oxen is about Rs 8.0 - Rs 10.0 perday. The economic cost of animal power is derived by applying the SCF tothe financial prices.

May 1977

128

ANNEX 10Appendix 1

Table 1

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

World Market Prices

1976 1985(1976 current (1977 constantUS$/M ton) US$/M ton)

Rice - Thai 5% Brokens(fob Bangkok) 256 390

Cotton Lint - Mexican SM 1 1/16 inch(cif Liverpool) 1,760 1,540

Cotton Seed -(cif Liverpool) 170 230

Groundnuts - Nigerian(cif Europe) 419 460

Sugar - Raw(fob Caribbean) 256 356

Urea - 46% N, bagged(fob Japan) 112 184

TSP - 60% P205, bulk

(fob U.S. Gulf) 94.0 165

Muriate of Potash - 60% K, bulk(fob Vancouver) 55.0 67.1

Source: IBRD Economic Analysis and Projections Department, November 23, 1976

129

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

EconomicFarm Gate Price Estimates(Constant US$/M ton, March 1977 price base)

Nitrogen Phosphate Potassiuml/ 2/ 3/ Nutrient Nutrient Nutrient

Paddy Sugarcane Groundnuts Gram Sorghum Millet (Urea) (TSP) (M/P)4/

Projected 1985 World Market Price 382 349 451 - - - 181 132 65.8

Quality adjustment (%) 70% 100% 90% - - - 100% 100% 100%

International shipping and handling costs +12 0 -33 - - - +21 +37 +25

Madras price per finished unit, fob/cif 279 349 373 - - - 202 169 90.8

Transport and handling costs per finishedunit between Madras and Madurai/mill 6/ -35 -37 - - - +20 +17 +9

Processing costs per finished unit -14 - -35 -4 - - - - - -Processing ratios (%) 67% 10% 67% - - - 46% 60% 60%

Wholesale price per harvest unit 177 25 222 85%- 100% 90%/ - 483 310 166

Farmer's handling costs per harvest unit -5 -1 -2 - - - +4 +5 +4Value of cuttings per harvest unit 0 +1 0 - +5 +3 - - -

Farmgate price per harvest unit 172 25 220 146 177 158 487 315 170

(Rs/M ton at official rate US$1=Rs9.0) (1,550) (225) (1,980) (1,315) (1,590) (1,420) (4,380) (2,835) (1,530)

1/ Groundnuts: world market price for shelled nuts, farmgate price for nuts in shells.2/ Green gram. x >3/ Pearl millet z4/ IBRD November 23, 1976. See Table 1. m 0 x5/ Ratio to local wholesale price for paddy. M x o6/ Madurai district is surplus in grain production. Retail distribution costs to deficit parts of the state would be about the same from xC

Madras or from Madurai, so transport/handling cost differential would be negligible.0 7/ Net paddy milling cost after crediting values of bran and reject brokens (which comprise 30% of milling outturn).

ANNEX 10Appendix 1Table 3

INDIA

PERIYAR VAIGAI IRRIGATION PROJECT (TAMIL NADU)

Farm Gate Prices for the Economic and Financial Analyses

Financial Economic-/(Rs/M ton) (Rs/M ton)

Paddy 1,100 1,550Sorghum 1,150 1,590Pearl Millet 1,000 1,420Groundnuts (in shells) 2,200 1,980Green Gram 2,250 1,315Sugarcane 100 225

Nitrogen Nutrient 3,930 4,380Phosphate Nutrient 3,500 2,835Potassium Nutrient 1,550 1,530

Bullock pair 15 per day 11 per day-/

Labor,hired 6 per day 3.5 per day2/Labor, family 0 3.5 per day-

1/ Derived from projected 1985 World Market prices (Table 2).

3. Economic prices for exclusively local items are adjusted by the StandardConversion Factor (SCF = 0.75) Economic labor rates are seasonally adjustedopportunity costs.

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