Argumentative Essay Education Reform - 1906 Words

Asehun 1 Senay Asehun Ms. McAlister Eng. 112 – 21 28 April, 2016 Argumentative Essay on Education Reform The year is 2012. In the movie Back to the Future II, two years from now, in 2016, Marty McFly travels from the past to save his family’s future. The future is almost upon us, and yet it would seem that our education system has changed little since Back to the Future hit theaters in 1985. â€Å"We still have same teachers, in the same parts, in the same schools, with the same level of knowledge, with the same equipment’s, and much the same standard of parental support† (David). Ironically, we have been steadily implementing policy after policy, increasing standards and accountability, promoting oversight and rule†¦ the list goes on, and yet our progress seems minimal, our educators complain of underfunded classrooms, and our legislators complain of underperforming schools. The question of â€Å"how to improve our education system† is not getting satisfactorily answered because our system is not broken, merely underdeveloped. The truth is that America has made paces in improving its education technique or system; the problem that remains is for us to entrust our educators with the greater pliability and autonomy that they need to excel. The United States has an outstanding example of successful education reform in California, whose combined approach and unyielding responsibility to excellenceShow MoreRelatedThe Importance Of Writing An Argumentative Essay969 Words   |  4 Pagesthey become long lasting skills. Writing an argumentative is not an easy task there is a lot of elements that have to come together to create a successful essay but as many other things, it requires constant practice and effort. At the start of this course I wasn’t a very good writer myself, and I can see the huge improvement this course made by looking at my first argumentative essay. I was able to identify and apply the requisites of a good argument essay. A well thought structure, reliable evidenceRead MoreArgumentive Outline Essay 650 Words   |  3 PagesArgumentative Essay Outline Thesis: President Obama is trying to convince the United States that was a whole we set each other apart as a nation. He tries to point out different issues in American and explains new ideas to make the United States better as a strong government. A. Supporting Argument: President Obama addresses the tragedy in Tucson by saying because of this tragedy it made the country focus less on the public debate and reminded us how important we as a whole are and not soRead MoreArgumentative Essay: Educational Reform703 Words   |  3 PagesArgumentative Essay: Educational Reform Since the early 1980s, the issue of Americas faltering public school system has become a serious concern. The crisis in K-12 education is one of the biggest challenges facing the nation. There is a great deal of evidence to show this problem. The pathetically low results of American students through international test scores is one obvious fault. Another is the failure of many students to demonstrate their knowledge of basic skills and literacy. ItRead MoreEssay On No Child Left Behind Act1247 Words   |  5 PagesIn 2004, coinciding with the conclusion of President George W. Bush’s first term in office, United States Secretary of Education, Rod Paige, released an essay depicting the successes of his administration. Paige’s department spearheaded the initiative sparked by the No Child Left Behind Act, a set of policies enacted to reform education and provide students with an improved degree of learning more suited to the evolving job market. Paige brings light to the findings of his administration, presentingRead MoreIs American Education Getting Worse Or Better?. One Of1638 Words   |  7 PagesIs American Education getting worse or better? One of Michael Crichton’s well-known books is Jurassic Park. As an intelligent man who is good at writing stories, apparently, he did not impress his English teacher at Harvard with one of his essay. Michael’s confidence was ruined when he found out he had a C- on his English paper. Michael’s creativity did not meet the principle of writing. America’s education is ranked number 14th compared to other countries. There are three different ways to preventRead MoreStandardized Testing Is A Crucial Part Of Today s Federal Education Structure Essay1378 Words   |  6 Pagesa crucial part of today’s federal education structure; one that is both highly supported and criticized at all levels. The main point of this roundtable, and the chosen excerpts from the authors on the subject, is to discern and debate both the necessity of and the role that multiple choice testing plays in teaching history. This subject is relevant to us as history teachers because it opens up the floor for discussions about the need to either continue, reform, or completely scrap multiple choiceRead MoreThe Devastating Impacts Of Illegal Immigration1368 Words   |  6 Pages Sheldon Jackson Argumentative Essay â€Å"The Devastating Impacts of Illegal Immigration† If ever there was a polarizing problem growing in the U.S., illegal immigration is definitely exploding to the top. This issue is at the center of the political arena and debate. It has the heart and minds of the nation stirring. President Obama wrote, We have to deal with the 11 million individuals who are here illegally. We all agree that these men and women should have to earn their way to citizenshipRead MoreTeaching Strategies For Student Involvement Essay1327 Words   |  6 Pagesfor each student to write an argument essay on illegal immigration. The broader context for this lesson was for students to think critically, work collaboratively, and use effective communication skills. I also wanted students to consider real-world problems and gain respect for differing viewpoints often based on cultural background and experience. Argument writing is the most used mode of writing in postsecondary education and many careers require argumentative skills, including marketing, law enforcementRead MoreArgument On Poverty1572 Words   |  7 PagesCami Tonti Mrs. Miller Language Arts Argumentative Essay December 6th, 2017 Poverty Is Ruling The Earth Half of the world, or about 3 billion people, live off of $2.50 or less a day. Additionally, according to UNICEF, approximately 22,000 children under the age of five, die every day from poverty. Something has to be done about this worldwide crisis of poverty, but no matter how hard we try calamity lingers. Poverty has been subjugating the Earth for years, obliterating families, jobs, andRead MoreCriticism of Fordes Claim on Benjamin Franklins Autobiography1629 Words   |  7 PagesArgumentative Essay on Fordes claim on Benjamin Franklins autobiography Benjamin Franklins autobiography by Steven Fordes was compiled both as a template for the ancient Americans on how they should live and interact with one another in their society and a memoire to his son. The work was received and embraced by many around the world, Asians and Europeans inclusive. The work was also criticized for many reasons. In order to reach his aim or goal, Forde split the work into three distinct topics;

Essay on Reading Comprehension - 1328 Words

Reading Comprehension In any interaction with a text, the text is pretty much useless unless the reader can comprehend the meaning of that text. Since narrative, expository, and poetic texts all have different reasons for being written, and different forms of presenting the text, different strategies are needed to comprehend these texts. There are also many reading strategies that can be used for all of these types of text. In order to describe strategies to help develop activities that facilitate comprehension of narrative, expository, and poetic texts one must first have an understanding of what comprehension means, they then need a better understanding of how the human brain works. â€Å"Comprehension is a creative, multifaceted†¦show more content†¦If there are no changes in long-term memory, nothing has been understood or learned.† (Sweller, 2005) The competent comprehender is a skilled reader. â€Å"Skilled readers are those who actively and automatically const ruct meaning as they read; they are self-motivated and self-directed; they monitor their own comprehension by questioning, reviewing, revising, and rereading to enhance their overall comprehension.† (Douglas Fisher, 2011) One other skill that is crucial to being a skilled reader and comprehending text is the fluency with which a student reads. Teaching fluency skills is a very important aspect of helping a student comprehend what they are reading. If a student is using all of the short term memory decoding words and sentence stucture, there is very little left to work on the process for gaining meaning from the text. The most common strategies used to improve fluency are; adding vocabulary to the students long-term memory, activating background knowledge (schema), modeling, and having the student read. So what are other strategies that can be used to help the non-skilled student comprehend what they are reading? â€Å"The most important comprehension strategies for struggling readers are activating background knowledge, determing importance, summarizing, questioning, visualizing and monitoring.† (Tompkins, 2010, p. 267) Background knowledge helps the student with both fluency and the understandingShow MoreRelatedReading Comprehension1136 Words   |  5 Pagesinterviewed and undergone tests to successfully determine the result of the study. Research Instruments The researcher formulated reading comprehension test that was utilized as a survey instrument. The test contains 45 questions based on the three short selections they have read. Procedure After acquiring the necessary permits to conduct the test regarding reading comprehension, it was administered by the researcher himself to the students and collected the answer sheets after completion. Then all dataRead MoreReading Comprehension Strategy Of Inferring Essay1493 Words   |  6 PagesMaking Inferences WHY: Purpose of Lesson: The purpose of this lesson is to introduce students to the reading comprehension strategy of inferring. The students will learn how to use textual evidence combined with their own background knowledge to make inferences about various aspects of a text including characters, setting, theme, and plot. Common Core State Standards: †¢ CCSS.ELA-LITERACY.RL.5.1: Quote accurately from a text when explaining what the text says explicitly and when drawing inferencesRead MoreTeaching Reading Comprehension And Comprehension1448 Words   |  6 PagesIn the late 1960s and 1970s, reading comprehension was taught by asking students various questions after reading a passage and noting their skills as to what they understood, how they followed directions and noted details. In 1978, Dolores Durkin observed a variety of teachers teaching reading instruction in both reading and social studies classrooms. She found that these teachers spent less than 1% of their time actually teaching children how to understand texts. Unfortunately over the yearsRead MoreTeaching Reading Comprehension6449 Words   |  26 PagesIntroduction What is reading? Reading is about understanding written texts. It is a complex activity that involves both perception and thought. Reading consists of two related processes: word recognition and comprehension. Word recognition refers to the process of perceiving how written symbols correspond to one’s spoken language. Comprehension is the process of making sense of words, sentences and connected text. Readers typically make use of background knowledge, vocabulary, grammatical knowledgeRead MoreReading Comprehension Strategy, Cause And Effect1904 Words   |  8 PagesThe purpose of this lesson is to introduce students to the reading comprehension strategy, cause and effect. The students will be able to develop a strong understanding of cause and effect by creating personal connections to their daily lives. The students will be able to connect the strategy, cause and effect, to the other elements of a story and strategies that we have worked with this year including character, plot, theme, setting, inferring, and compare and contrast. Common Core State Standards:Read MoreReading Note On Reading Comprehension1378 Words   |  6 PagesReading Fluency: Refers to the ability to decode words accurately, effortlessly, using correct volume, phrasing and appropriate intonation at a reasonably rapid rate. There are three main components of fluency including speed, accuracy and prosody, which is using expression when reading. Since the reader is reading automatically he is able to focus on the comprehension of text. Fluency refers to the ability to maintain accurate reading of connected text at a conversational rate with appropriateRead MoreReading Fluency and Its Effect on Reading Comprehension1295 Words   |  6 PagesReading Fluency and its Effect on Reading Comprehension Topic Selection As an elementary teacher, I have often thought reading fluency plays a large role in a child’s reading development. Few reading programs give fluency the recognition it deserves. Reading fluency has been a prominent and reliable benchmark for me, even when students have comprehension difficulties. Once fluency is assessed, the results were used to place students in their reading ability group. Often times,Read MoreA Study On Reading Comprehension2670 Words   |  11 PagesReading with Briana: A Case Study in Reading Comprehension There is a great concern over the increase of struggling readers. Studies show â€Å"that when students get off to a poor start in reading, they rarely catch up† (Kelly and Campbell, 2012, para. 1). These students are confronted with the negative ramifications of failing grades, remedial services, grade retention, and low self-esteem. The question of how to best help struggling readers is on the minds of teachers and parents alike. ReadingRead MoreThe Importance Of Reading Comprehension1010 Words   |  5 PagesReading failure is a societal problem with greater consequences downstream. Students who are struggling readers will need targeted instruction in comprehension strategies. Once students have learned to read, the focus of instruction needs to shift to comprehension. Comprehension skills must be expertly taught so that students explicitly taught so that students can understand information presented in the written form. Strategies help students stay engaged and think about what they are reading (LynchRead MoreReading Comprehension Is An Essential Skill For Reasoning And For Functioning Well922 Words   |  4 PagesReading comprehension is an essential skill for reasoning and for functioning well in everyday life. The SAT is a test that measures these skills and it is a crucial part of high school students to be admitted into post-secondary schools. A test of this magnitude combined with the increasing com petition in college admissions should have test scores increasing as each year passes, but instead, a reverse trend is occurring. The average reading scores have decreased in the last four decades, having

Good and Bad Dams Free Essays

Latin America and Caribbean Region Sustainable Development Working Paper 16 Good Dams and Bad Dams: Environmental Criteria for Site Selection of Hydroelectric Projects November 2003 George Ledec Juan David Quintero The World Bank Latin America and Caribbean Region Environmentally and Socially Sustainable Development Department (LCSES) Latin America and the Caribbean Region Sustainable Development Working Paper No. 16 Good Dams and Bad Dams: Environmental Criteria for Site Selection of Hydroelectric Projects November 2003 George Ledec Juan David Quintero The World Bank Latin America and the Caribbean Region Environmentally and Socially Sustainable Development Sector Management Unit George Ledec has worked with the World Bank since 1982, and is presently Lead Ecologist for the Environmentally and Socially Sustainable Development Unit (LCSES) of the World Bank’s Latin America and Caribbean Regional Office. He specializes in the environmental assessment of development projects, with particular focus on biodiversity and related conservation oncerns. We will write a custom essay sample on Good and Bad Dams or any similar topic only for you Order Now He has worked extensively with the environmental aspects of dams, roads, oil and gas, forest management, and protected areas, and is one of the main authors of the World Bank’s Natural Habitats Policy. Dr. Ledec earned a Ph. D. in Wildland Resource Science from the University of California-Berkeley, a Masters in Public Affairs from Princeton University, and a Bachelors in Biology and Environmental Studies from Dartmouth College. Juan David Quintero joined the World Bank in 1993 and is presently Lead Environmental Specialist for LCSES and Coordinator of the Bank’s Latin America and Caribbean Quality Assurance Team, which monitors compliance with environmental and social safeguard policies. He specializes in environmental assessment of infrastructure projects, mainly roads, hydropower, oil and gas, urban transport, and water supply and sanitation. He has received the Regional Award from the International Association for Impact Assessment (IAIA) for promoting improvements in environmental impact assessments throughout Latin America. He is a civil engineer with postgraduate degrees in Environmental and Sanitary Engineering. The findings, interpretations, and conclusions in this document are those of the authors, and should not be attributed in any manner to the World Bank, its affiliated organizations, members of its Board of Executive Directors, or the countries they represent. This working paper series is produced by the Environmentally and Socially Sustainable Development Sector Management Unit of the Latin America and Caribbean Regional Office. Additional copies may be obtained from the authors or from LCSES Program Assistant Peter Brandriss (pbrandriss@worldbank. rg, or tel. 1-202-473-9379). Cover photos (clockwise from upper left): Loksop Dam, South Africa Guavio Dam, Colombia Yacyreta Dam, Argentina/Paraguay All photos by George Ledec ii Contents Acknowledgments †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. iv Foreword †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. v Executive Summary†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ ii Introduction †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚ ¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 1 Adverse Environmental Impacts of Hydropower Development †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 3 Key Indicators of Likely Environmental Impacts †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 9 Overview of Environmentally Good and Bad Hydroelectric Dam Sites †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 13 Conclusions †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 5 Bibliography†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 17 Tables 1. Hydroelectric Projects: Adverse Impacts and Mitigation Options 4 2. Land Area Flooded and People Displaced in Large Hydropower Projects iii 12 Acknowledgments Doug Mason (consultant) compiled data on more than twenty completed Latin American hydroelectric projects; this information was very useful in our analysis of environmental and social impacts, mitigation measures, and site selection criteria. Several current and former World Bank Group staff members provided useful comments and much encouragement, including Alessandro Palmieri, John Briscoe, Teresa Serra, Tony Whitten, Robert Goodland, Tor Ziegler, Warren Van Wicklin, William Partridge, Maria Clara Mejia, Kristine Ivarsdotter, Mateen Thobani, Salman Salman, and A. J. Glauber. This paper also reflects the helpful comments provided by Dominique Egre and Gaitan Guertin (Hydro-Quebec), Jose Goldemberg (World Commission on Dams), and Paul Dulin. Peter Brandriss helped edit and prepare the report for publication. iv Foreword Few types of development projects arouse as much controversy as hydroelectric dams. Their often serious environmental damage has been amply documented within the past decade. Nonetheless, many countries, in Latin America and worldwide, rely upon hydroelectric dams for a major portion of their electric power. Electricity remains a key ingredient for improving the lives of poor people almost everywhere. In developing countries, rapid urbanization and continued population growth will ensure increased demand for electric power for decades to come, even with the most successful of demand management and energy efficiency measures. Energy planners in many developing countries are thus likely to continue seeing hydroelectric dams as a promising source of renewable electric power. This report provides important advice for substantially reducing the environmental damage from future hydroelectric dams (whether or not they receive World Bank Group financing) through good project site selection. Although the report’s conclusions are drawn primarily from a review of Latin American dams, its innovative methodology for dam site selection–based on robust environmental and social criteria and straightforward, quantitative indicators–should prove useful worldwide. The report also helpfully summarizes the environmental mitigation options for the improved operation of existing hydroelectric dams. As such, this report should be of considerable interest to people interested in hydroelectric dams, whether at the World Bank, other multilateral and bilateral development institutions, government agencies, private energy companies, consulting firms, environmental and other NGOs, and academia. This report is part of the LCR Sustainable Development Working Paper Series published by the Latin America and the Caribbean Region’s Environmentally and Socially Sustainable Development Sector Management Unit (LCSES). This series seeks to disseminate the results of our analytical and operational work, present preliminary findings, and describe â€Å"best practices† with respect to major sustainable development issues facing the region. The findings, interpretations, and conclusions expressed in these papers are entirely those of the authors and should not be attributed to the World Bank, members of its Board of Executive Directors, or the countries they represent. John Redwood Director Environmentally and Socially Sustainable Development Latin America and Caribbean Region The World Bank v Executive Summary Large dams vary considerably in their adverse environmental and related social impacts. From an environmental standpoint, there are relatively good dams and bad dams. While some large dams are relatively benign, others have caused major environmental damage. The severity of environmental impacts from a hydroelectric project is largely determined by the dam site. While dams at good sites can be very defensible from an environmental standpoint, those proposed at bad sites will inherently be highly problematic, even if all feasible mitigation measures are properly implemented. This paper provides a simple, yet robust, methodology for comparing proposed hydroelectric project sites in terms of their expected negative environmental impacts, and relating these to power generation benefits. The paper also summarizes the environmental mitigation options for large dams. If properly implemented, these mitigation measures can effectively prevent, minimize, or compensate for many (though not all) of a hydroelectric project’s negative impacts. Nonetheless, the most effective environmental mitigation measure is good site selection, to ensure that the proposed dam will cause relatively little damage in the first place. The paper presents quantitative indicators (using data that are relatively easy to obtain) for rating and ranking proposed new hydroelectric projects in terms of their likely adverse environmental impacts. Projects with a small reservoir surface area (relative to power generation) tend to be most desirable from both an environmental and social standpoint, in part because they minimize natural habitat losses as well as resettlement needs. In general, the most environmentally benign hydroelectric dam sites are on upper tributaries, while the most problematic ones are on the large main stems of rivers. Power expansion planning should ensure that environmental criteria, of the type outlined in this paper, are given appropriate weight in hydroelectric project site selection. Many of the more problematic dam sites are best left undeveloped, because the environmental or related social impacts are likely to be unacceptably high. In those cases, other power generation technologies are likely to be more environmentally desirable. Conversely, hydroelectric dams at good sites (with relatively low adverse impacts) and with effective implementation of proper mitigation measures are likely to be more attractive from an environmental standpoint than the most likely power generation alternatives. vii Introduction 1. Large hydroelectric dams are among the most controversial of all types of development projects. They have been the focus of much criticism of the World Bank and other international financing agencies. The â€Å"large dams† debate is often highly polarized. Critics of large hydroelectric projects point to a wide range of negative environmental and related social impacts, from the destruction of unique biodiversity to the displacement of vulnerable human populations. Defenders of large dams note that they are often the economically least-cost source of electric power available, especially to large urban centers; they are a renewable electricity source; and most other power generation technologies also imply significant adverse environmental impacts. 2. Worldwide, many countries rely upon hydropower for a substantial portion of their electricity. In developing countries, rapid urbanization and continued population growth will ensure increased demand for electric power for decades to come, even with the most successful of demand management and energy efficiency measures. Electricity remains a key ingredient for improving the lives of millions of poor people throughout the developing world. Energy planners in many countries are likely to continue seeing hydroelectric dams as a promising, renewable source of electricity. Major recent international initiatives–including the World Summit on Sustainable Development (Johannesburg, 2002), World Water Forum (Kyoto, 2003), World Commission on Dams (1997-2002), and the ongoing Dams and Development Project of the United Nations Environment Program–have reaffirmed the commitment of many governments and international agencies (including the World Bank) to hydropower development, but in a manner which fully reflects modern environmental concerns. 3. In this context, it is important to remember that all large hydroelectric dams are not alike. Large hydroelectric projects vary tremendously in the extent of their adverse environmental and related social impacts. (In this paper, we define large hydroelectric dams as those with 10 megawatts or more of installed generating capacity, to distinguish them from small or micro-dams which generate power on a smaller scale. ) For example, the 500–megawatt Pehuenche Hydroelectric Project in Chile flooded only about 400 hectares of land (with minimal damage to forest or wildlife resources) and has had no water quality problems. By contrast, the Brokopondo Dam in Suriname inundated about 160,000 hectares of biologically valuable tropical rainforest and is known for serious water quality and aquatic weed problems, while providing relatively little electric generating capacity (only 30 megawatts). 4. We conducted a review of more than twenty completed hydroelectric dam projects in Latin America, along with several well-known projects from other regions. Our study found that some large dams are relatively benign, while others have caused substantial environmental and related social damage. This paper provides a methodology for easily comparing proposed hydroelectric project sites in terms of their expected adverse environmental impacts, relative to their power generation benefits. The technical criteria and quantitative indicators in this paper should be viewed as complementary to 1 2 LCR Sustainable Development Working Paper No. 16 the broader and often more process-oriented advice of other recent reports on dams, including the 2000 Dams and Development report of the World Commission on Dams. This paper’s recommendations are fully compatible with the World Bank’s Water Resources Sector Strategy, although this paper provides more technical detail regarding specific environmental impacts, mitigation options, and site selection criteria. Adverse Environmental Impacts of Hydropower Development 5. The range of adverse environmental and related social impacts that can result from hydroelectric dams is remarkably diverse. While some impacts occur only during construction, the most important impacts usually are due to the long-term existence and operation of the dam and reservoir. Other significant impacts can result from complementary civil works such as access roads, power transmission lines, and quarries and borrow pits. Table 1 summarizes the adverse environmental and social impacts associated with dams and reservoirs, along with the typical kinds of mitigation measures often proposed (and, less often, effectively implemented). 6. Our analysis indicates that with properly implemented mitigation measures, many of the negative environmental and related social impacts of hydroelectric projects can be reduced to very acceptable levels. As outlined in Table 1, mitigation measures can effectively prevent, minimize, or compensate for most adverse impacts, but only if they are properly implemented. In our review of Latin American hydroprojects, we found wide variation in the extent to which environmental mitigation measures were planned, budgeted, and actually implemented. 7. Moreover, for some types of negative impacts, at some project sites, the available mitigation measures—even when properly implemented—are inherently unsatisfactory. Examples of adverse environmental impacts which occur at some hydroelectric projects and cannot be fully mitigated include (i) irreversible biodiversity loss, if critical natural habitats not occurring elsewhere are submerged (or left dry) by the dam; (ii) fish passage facilities frequently cannot restore the pre-dam ecological balance of a river, in terms of species composition or fish migrations; and (iii) some cultural property (including sacred sites) cannot be adequately salvaged prior to reservoir inundation. 8. Thus, because mitigation measures are often not fully implemented, and are sometimes inherently inadequate, the single most important environmental mitigation measure for a new hydroelectric project is good site selection, to ensure that the proposed dam is will be largely benign in the first place. In the following summary of typical adverse environmental impacts and corresponding mitigation options, it is important to keep in mind that all these types of impacts can be either avoided or minimized through good project site selection. 3 4 Note: All of these impacts can be avoided or minimized by good dam site selection, the single most important environmental measure. Environmental Impacts Mitigation Options Impacts of the Dam and Reservoir Flooding of Natural Habitats Some reservoirs permanently flood extensive natural habitats, with local and even global extinctions of animal and plant species. Very large hydroelectric reservoirs in the tropics are especially likely to cause species extinctions (although such losses are only infrequently documented due to the lack of scientific data). Particularly hard-hit are riverine forests and other riparian ecosystems, which naturally occur only along rivers and streams. From a biodiversity conservation standpoint, the terrestrial natural habitats lost to flooding are usually much more valuable than the aquatic habitats created by the reservoir. One occasional exception to this rule is that shallow reservoirs in dry zones can provide a permanent oasis, sometimes important for migratory waterfowl and other terrestrial and aquatic fauna. To offset the loss of natural habitats to reservoir flooding or other project components (such as borrow pits), one or more compensatory protected areas can be established and managed under the project. If an existing area is protected â€Å"on paper† only, a useful project option is to strengthen its onthe-ground protection and management. The area protected under the project should ideally be of comparable or greater size and ecological quality to the natural area lost to the project. Under the World Bank’s Natural Habitats Policy, hydroelectric and other projects should not be sited where they would cause the significant conversion or degradation of critical natural habitats that do not occur elsewhere (and, hence, cannot be adequately compensated). Loss of Terrestrial Wildlife The loss of terrestrial wildlife to drowning during reservoir filling is an inherent consequence of the flooding of terrestrial natural habitats, although often treated as a separate impact. Although they may be useful for public relations purposes, wildlife rescue efforts rarely succeed in restoring wild populations. Instead of drowning, the captured and relocated animals typically starve, are killed by competitors or predators, or fail to reproduce successfully, due to the limited carrying capacity of their new habitats. Wildlife rescue is most likely to be justified on conservation grounds if (a) the species rescued are globally threatened with extinction and (b) the relocation habitat is ecologically suitable and effectively protected. However, the money spent on rescue would usually do much more for wildlife conservation if it were invested in compensatory protected areas. The most effective way to minimize wildlife mortality in hydroelectric projects is to choose dam sites which minimize the wildlife habitat flooded. LCR Sustainable Development Working Paper No 16 Table 1. Hydroelectric Projects: Adverse Environmental Impacts and Mitigation Options Environmental Impacts Mitigation Options Involuntary Displacement Involuntary displacement of people is often the main adverse social impact of hydroelectric projects. It can also have important environmental implications, such as with the conversion of natural habitats to accommodate resettled rural populations. For physical displacement, the main mitigation measure is the resettlement of displaced populations, including new housing, replacement lands, and other material assistance, as needed. Success usually requires consultation and participatory decisionmaking by both the resettled and host populations (mandatory for World Bank–supported resettlement). Effective resettlement of vulnerable ethnic minorities is particularly challenging because some of these people are highly vulnerable to adverse social changes. Accordingly, the World Bank’s Involuntary Resettlement and Indigenous Peoples policies afford special consideration to these populations, specifying that, among other requirements, all viable alternative project designs should be explored before considering physical displacement for these groups. For people who are not physically displaced but suffer an economic loss of livelihoods (based on fisheries, agricultural or grazing lands, river-edge clay for brick and tile production, or other resources), mitigation measures should involve the provision of replacement resources, new job training, or other income restoration assistance, as needed. Deterioration of Water Quality The damming of rivers can cause serious water quality deterioration, due to the reduced oxygenation and dilution of pollutants by relatively stagnant reservoirs (compared to fast-flowing rivers), flooding of biomass (especially forests) and resulting underwater decay, and/or reservoir stratification (where deeper lake waters lack oxygen). Water pollution control measures (such as sewage treatment plants or enforcement of industrial regulations) may be needed to improve reservoir water quality. Where poor water quality would result from the decay of flooded biomass, selective forest clearing within the impoundment area should be completed before reservoir filling. Downriver Hydrological Changes These adverse impacts can be minimized through careful management of water releases. Objectives to consider in optimizing water releases from the turbines and spillways include adequate downriver water supply for riparian ecosystems, reservoir and downriver fish survival, reservoir and downriver water quality, aquatic weed and disease vector control, irrigation and other human uses of water, downriver flood protection, recreation (such as whitewater boating), and, of course, power generation. From an ecological standpoint, the ideal water release pattern would usually closely mimic the natural flooding regime (although this may not be feasible for densely settled floodplains where flood protection is a high priority). Dams that generate baseload electricity are typically more capable of replicating near-natural downriver flows than those that produce peaking power (where daily water releases may fluctuate sharply, often to the detriment of aquatic organisms that are adapted to less frequent flow changes). Environmental management plans for hydroelectric projects should specify environmental water releases, including for dams owned or operated by the private sector. Good Dams and Bad Dams 5 Major downriver hydrological changes can destroy riparian ecosystems dependent on periodic natural flooding, exacerbate water pollution during lowflow periods, and increase saltwater intrusion near river mouths. Reduced sediment and nutrient loads downriver of dams can increase river-edge and coastal erosion and damage the biological and economic productivity of rivers and estuaries. Induced desiccation of rivers below dams (when the water is diverted to another portion of the river, or to a different river) kills fish and other fauna and flora dependent on the river; it can also damage agriculture and human water supplies. Mitigation Options Water-Related Diseases Some infectious diseases can spread around hydroelectric reservoirs, particularly in warm climates and densely populated areas. Some diseases (such as malaria and schistosomiasis) are borne by water-dependent disease vectors (mosquitoes and aquatic snails); others (such as dysentery, cholera, and hepatitis A) are spread by contaminated water, which frequently becomes worse in stagnant reservoirs than it was in fast-flowing rivers. Corresponding public health measures should include preventive measures (such as awareness campaigns and window screens), monitoring of vectors and disease outbreaks, vector control, and clinical treatment of disease cases, as needed. Control of floating aquatic weeds (see below) near populated areas can reduce mosquito-borne disease risks. Fish and Other Aquatic Life Hydroelectric projects often have major effects on fish and other aquatic life. Reservoirs positively affect certain fish species (and fisheries) by ncreasing the area of available aquatic habitat. However, the net impacts are often negative because (a) the dam blocks upriver fish migrations, while downriver passage through turbines or over spillways is often unsuccessful; (b) many riveradapted fish and other aquatic species cannot survive in artificial lakes; (c) changes in downriver flow patterns adversely affect many species, and (d) water quality deterioration in or below reservoirs (usually low oxygen levels; somet imes gas super-saturation) kills fish and damages aquatic habitats. Freshwater molluscs, crustaceans, and other benthic organisms are even more sensitive to these changes than most fish species, due to their limited mobility. Management of water releases may be needed for the survival of certain fish species, in and below the reservoir. Fish passage facilities (fish ladders, elevators, or trap-and-truck operations) are intended to help migratory fish move upriver past a dam; they are usually of limited effectiveness for various reasons (including the difficulty of ensuring safe downriver passage for many adults and fry). Fish hatcheries can be useful for maintaining populations of native species which can survive but not successfully reproduce within the reservoir. They are also often used for stocking the reservoir with economically desired species, although introducing non-native fish is often devastating to native species and not ecologically desirable. Fishing regulation is often essential to maintain viable populations of commercially valuable species, especially in the waters immediately below a dam where migratory fish species concentrate in high numbers and are unnaturally easy to catch. Floating Aquatic Vegetation Floating aquatic vegetation can rapidly proliferate in eutrophic reservoirs, causing problems such as (a) degraded habitat for most species of fish and other aquatic life, (b) improved breeding grounds for mosquitoes and other nuisance species and disease vectors, (c) impeded navigation and swimming, (d) clogging of electro-mechanical equipment at dams, and (e) increased water loss from some reservoirs. Pollution control and pre-impoundment selective forest clearing will make reservoirs less conducive to aquatic weed growth. Physical removal or containment of floating aquatic weeds is effective but imposes a high and recurrent expense for large reservoirs. Where compatible with other objectives (power generation, fish survival, etc. ), occasional drawdown of reservoir water levels may be used to kill aquatic weeds. Chemical poisoning of weeds or related insect pests requires much environmental caution and is usually best avoided. LCR Sustainable Development Working Paper No 16 Environmental Impacts (table continues on following page) 6 Table 1. Hydroelectric Projects: Adverse Environmental Impacts and Mitigation Options (continued) Environmental Impacts Mitigation Options Loss of Cultural Property Cultural property, including archaeological, historical, paleontological, and religious sites and objects, can be inundated by reservoirs or destroyed by associated quarries, borrow pits, roads, or other works. Structures and objects of cultural interest should undergo salvage wherever feasible through scientific inventory, careful physical relocation, and documentation and storage in museums or other appropriate facilities. However, it is often not possible to replace the loss of, or damage to, unique or sacred sites which may have great religious or ceremonial significance to indigenous or other local people. Reservoir Sedimentation Over time, live storage and power generation are reduced by reservoir sedimentation, such that much of some projects’ hydroelectric energy might not be renewable over the long term. If effectively implemented, watershed management can minimize sedimentation and extend a reservoir’s useful physical life, through the control of road construction, mining, agriculture, and other land use in the upper catchment area. Protected areas are sometimes established in upper catchments to reduce sediment flows into reservoirs, as with the Fortuna Dam in Panama and the proposed Rio Amoya (Colombia) and Nam Theun II (Laos) projects. Aside from watershed management, other sediment management techniques for hydroelectric reservoirs may at times be physically and economically feasible; they include, among others, upstream check structures, protecting dam outlets, reservoir flushing, mechanical removal, and increasing the dam’s height. Greenhouse Gases Greenhouse gas releases from reservoirs can be reduced by a thorough salvage of commercial timber and fuelwood, although frequently this does not happen because of (a) high extraction and transportation costs, (b) marketing constraints, or (c) political and economic pressures not to delay reservoir filling. The surest way to minimize greenhouse gas releases from reservoirs is to choose dam sites that minimize the flooding of land in general, and forests in particular. table continues on following page) Good Dams and Bad Dams 7 Greenhouse gases (carbon dioxide and methane) are released into the atmosphere from reservoirs that flood forests and other biomass, either slowly (as flooded organic matter decomposes) or rapidly (if the forest is cut and burned before reservoir filling). Greenhouse gases are widely considered to be the main cause of human-induced global climate change. Many hydroelectric reservoirs flood relatively little forest or other biomass. Moreover, most hydroprojects generate sufficient electricity to more than offset the greenhouse gases which would otherwise have been produced by burning fossil fuels (natural gas, fuel oil, or coal) in power plants. However, some projects which flood extensive forest areas, such as the Balbina Dam in Amazonian Brazil, appear to emit greenhouse gases in greater amounts than would be produced by burning natural gas for many years of comparable electricity generation. Mitigation Options Impacts of Complementary Civil Works Access Roads New access roads to hydroelectric dams can induce major land use changes— particularly deforestation—with resulting loss of biodiversity, accelerated erosion, and other environmental problems. In some projects (such as Arun II in Nepal), the environmental impacts of access roads can greatly exceed those of the reservoir. The siting of any new access roads should be in the environmentally and socially least damaging corridors. Forests and other environmentally sensitive areas along the chosen road corridor should receive legal and on-the-ground protection. Road engineering should ensure proper drainage, to protect waterways and minimize erosion. Environmental rules for contractors (including penalties for noncompliance) should cover construction camp siting, gravel extraction, waste disposal, avoiding water pollution, worker behavior (such as no hunting), and other construction practices. See Ledec and Posas (2003) for details. Power Transmission Lines Power transmission line rights-of-way often reduce and fragment forests; indirectly, they occasionally facilitate further deforestation by improving physical access. Large birds are sometimes killed in collisions with power lines, or by electrocution. Power lines can also be aesthetically objectionable. Power lines should be sited to minimize these concerns and built using good environmental practices (as with roads). In areas with concentrations of vulnerable bird species, the top (grounding) wire should be made more visible with plastic devices. Electrocution (mainly of large birds of prey) should be avoided through bird-friendly tower design and proper spacing of conducting wires. Quarries and Borrow Pits Quarries and borrow pits are used to provide material for construction of the dam and complementary works. They can considerably increase the area of natural habitats or agricultural lands that are lost to a hydroelectric project. To the greatest extent feasible, quarries and borrow pits should be sited within the future inundation zone. Where this is not feasible, the pits should be rehabilitated after use, ideally for conservation purposes such as wetland habitats. Impacts of Induced Development Associated Development Projects Hydroelectric dams often make possible new development projects with major environmental impacts, including irrigation, urban expansion, and industrial facilities (due to new water supplies). New development projects should be planned to minimize adverse environmental and social impacts. Environmental impact assessment studies should be carried out in the early stages of project planning; the resulting environmental mitigation plans should be fully implemented. Additional Dams The construction of the first dam on a river can make the subsequent construction of additional dams more economical, because flow regulation by the upriver dam can enhance power generation at the downriver dam(s). The environmental impact assessment study for the first dam on any river should include a cumulative environmental assessment of the likely impacts of proposed additional dams on the same river system. Implementation of mitigation measures for cumulative (rather than dam-specific) impacts should be completed or well underway prior to construction of the second dam on the river. LCR Sustainable Development Working Paper No 16 Environmental Impacts 8 Table 1. Hydroelectric Projects: Adverse Environmental Impacts and Mitigation Options (continued) Key Indicators of Likely Environmental Impacts 9. Before a dam site is chosen (with a project-specific environmental impact assessment), sector-level environmental analysis can rank potential sites according to their degree of environmental desirability. A sectoral environmental assessment (SEA) should be carried out prior to making major power sector planning decisions, especially in the comparison of hydroelectric and other power generation (and demand management) alternatives. However, even without a detailed SEA, it is possible to carry out a simple environmental and ranking of different hydropower sites using basic, often readily available technical data. There exist various quantitative, easily calculated indicators that can be used to estimate the extent of adverse environmental impacts for any proposed hydroelectric project. 10. This paper presents 13 quantitative, easily calculated indicators that we consider especially useful for hydroproject site selection from an environmental standpoint. These indicators have high predictive value for likely adverse environmental (and related social) impacts. The first nine indicators (A–I) use information that is normally easy to obtain from basic dam planning data, even without a separate environmental study. The other four indicators (J–M) are also very important in the environmental comparison of alternative dam sites, but involve data that may require further environmental (or resettlement) study to obtain. Indicator A (hectares of land inundated) is perhaps the single most useful one in predicting the degree of environmental damage, because this indicator is positively correlated with many of the others. From a social standpoint, the number of people requiring resettlement (Indicator J) is an especially important. A. Reservoir Surface Area 11. The area flooded by the reservoir is a strong proxy variable for many environmental and social impacts (Goodland, 1997). A large reservoir area implies the loss of much natural habitat and wildlife and/or the displacement of many people. Very large reservoirs are typically in the lowlands (often with tropical disease and aquatic weed problems) and usually impound larger rivers (with more fish and other aquatic species at risk). A very useful measure of environmental costs relative to economic benefits is the ratio of inundated hectares per megawatt (ha/MW) of electricity; it varies by four orders of magnitude for large power projects (see Table 2). The global average for all large hydroelectric dams constructed to date (not just those in Table 2) is about 60 ha/MW (J. Goldemberg, pers. comm. ); it would be environmentally highly desirable for this average to be much reduced in future hydroprojects. B. Water Retention Time in Reservoir 12. Mean water retention time during normal operation (the shorter, the better) is very useful in estimating the extent to which reservoirs will have long-term water quality problems. This figure (number of days) is calculated as a function of reservoir volume (cubic meters) and mean river flow (cubic liters per second). 9 10 LCR Sustainable Development Working Paper No. 16 C. Biomass Flooded 13. Biomass flooded is calculated in tons per hectare based on the percent cover of different vegetation types in the reservoir area. For good reservoir water quality, dams should minimize flooding of forests (which have high biomass content). Flooding native forests also threatens biodiversity and releases greenhouse gases. D. Length of River Impounded 14. To conserve aquatic and riparian biodiversity (including riverine forests), dam sites should minimize the length (kilometers) of river (main stem plus tributaries) impounded by the reservoir (measured during high flow periods). E. Length of River Left Dry 15. This measures the kilometers of river left dry (with less than 50 percent of dry season mean flow) below the dam, due to water diversion. The length of dried-up river bed (before the next important downstream tributary) should be minimized, due to the loss of fish and other aquatic life, damage to riparian ecosystems, and disruption of human water supplies, agriculture, and/or fishing. F. Number of Downriver Tributaries 16. The more (major, undammed) tributaries downriver of the dam site, the better, in terms of maintaining accessible habitat for migratory fish, the natural flooding regime for riverine ecosystems, and nutrient or sediment inputs needed for the high biological productivity of estuaries. G. Likelihood of Reservoir Stratification 7. Stratification in a reservoir occurs when the lake’s upper zone (epilimnion) is thermally divided from the deeper zone (hypolimnion); the latter becomes stagnant and lacking in dissolved oxygen (anaerobic), thereby unsuitable for most aquatic life. A rapid estimate of stratification tendencies in a reservoir can be obtained with the Densimetric Froude Number (F). F can be calculated as: F = 320(L/D)(Q/V), where L = length of the reservoir (meters), D = mean reservoir depth (meters) (for which dam height can be a proxy), Q = mean water inflow (cubic meters per second), and V = eservoir volume (cubic meters). If F is less than 1, some stratification is expected, the severity of which increases with a smaller F. When F is greater than 1, stratification is not likely. H. Useful Reservoir Life 18. Useful reservoir life is the expected number of years before a reservoir’s dead storage is completely filled, so that further sedimentation reduces the live storage and curtails power generation. Dead storage comprises all reservoir water beneath the level of the intakes for the dam’s turbines; all of the water at or above this intake level is part of the live storage. Useful reservoir life is a function of dead storage and river-borne sediment loads. Useful reservoir life is a good indicator of the relative sustainability of electric power generation; it varies from less than ten years before dead storage is filled (such as the Paute Dam in Ecuador) to potentially thousands of years. In general, reservoirs with the longest useful life are relatively deep and situated on rivers with low sediment loads. Maintaining low sediment loads over time typically requires good watershed management. Good Dams and Bad Dams 11 I. Access Roads through Forests 19. Where the risks of induced deforestation are high, project siting should minimize the kilometers of required new or upgraded access roads passing through or near natural forests. J. Persons Requiring Resettlement 20. The number of people physically displaced by hydroelectric projects ranges from zero (e. g. Pehuenche, Chile) to over 50,000 in Latin America (e. g. Yacyreta, Argentina-Paraguay) and well over 1 million in Asia (Three Gorges, China). Dam siting should generally seek to minimize the number of individuals or households requiring resettlement from lands affected by the reservoir and complementary civil works. A useful measure for relating resettlement costs to hydropower benefits is the ratio of people displaced per megawatt (Table 2). Because of their usually greater vulnerability to social disruption, it is especially important to minimize the number of indigenous people with traditional land-based models of production who would require resettlement. K. Critical Natural Habitats Affected 21. It is important to know the number of sites and hectares of critical natural habitats that would be lost to inundation, borrow pits, or other project components. Critical natural habitats include existing and officially proposed protected areas, as well as unprotected areas of known high importance for biodiversity conservation. To comply with the World Bank’s Natural Habitats Policy, hydroelectric projects should not cause any significant loss or degradation of critical natural habitats. On the other hand, some hydroelectric projects imply very important conservation opportunities by providing a strong justification (sediment reduction) and financial resources needed for protecting natural habitats in upper catchment areas. L. Fish Species Diversity and Endemism 22. Fish species diversity is the number of species known from the project area, including the dam and reservoir site, as well as the downstream zone of project influence. Fish species endemism is the number of native species known only from the project area, or the river system where the project is located, and nowhere else on Earth. Dams are environmentally less objectionable if they affect rivers with a naturally low diversity and endemism of native fish species. In general, large, lowland rivers in warm (tropical or subtropical) climates have a high diversity of native fish and other aquatic organisms, while small rivers in cold (tropical highland or temperate) climates have relatively low diversity. Large, lowland rivers are also more likely to have significant seasonal fish migrations, which are effectively blocked by most dams. However, highland rivers and streams often have relatively high endemism in their fish fauna, especially if they are isolated from other rivers by waterfalls or other natural barriers. River segments with threatened fish species found nowhere else should be classified as critical natural habitats and, ideally, would receive permanent protection from dams or other potentially damaging civil works. However, dams and reservoirs in upper tributary rivers and streams need not threaten the survival of any endemic fish (or mollusks, or other aquatic life) if they affect only an insignificant portion of the river area used by these species (see Indicators D and E); they should also be sited so as not to block important fish migrations. M. Cultural Property Affected 23. An indication of the cultural significance of the area to be inundated (or otherwise affected by the project) is the number (by type) of cultural (archaeological, historical, paleontological, or religious) objects or sites. It is important to note whether each type of cultural property at the project site is salvageable (totally, partially, or not at all). 12 LCR Sustainable Development Working Paper No. 16 Table 2. Land Area Flooded and People Displaced in Large Hydropower Projects Project (country) Arun II (Nepal) Pehuenche (Chile) Pangue (Chile) Guavio (Colombia) Tehri (India) Ghazi Barotha (Pakistan) Nam Theun-Hinboun (Laos) Ertan (China) Fortuna (Panama) Chixoy (Guatemala) Grand Coulee (United States) Three Gorges (China) Tarbela (Pakistan) Salvajina (Colombia) Zimapan (Mexico) Itaipu (Brazil/Paraguay) Victoria (Sri Lanka) Kararao/Belo Monte (Brazil) Aguamilpa (Mexico) Betania (Colombia) Urra I (Colombia) Mangla (Pakistan) Bakun (Malaysia) Ataturk (Turkey) El Cajon (Honduras) Ilha Solteira (Brazil) Guri Complex (Venezuela) Salto Grande (Argentina/Uruguay) Nam Theun II (Laos) Arenal (Costa Rica) Yacyreta (Argentina/Paraguay) Tucurui (Brazil) Narmada Sagar (India) Porto Primavera (Brazil) Churchill Falls (Canada) Khao Laem (Thailand) Kedung Ombo (Indonesia) Kainji (Nigeria) Pak Mun (Thailand) Cabora Bassa (Mozambique) Aswan High (Egypt) Nam Ngum (Laos) Sobradinho (Brazil) Kariba (Zambia/Zimbabwe) Balbina (Brazil) Akosombo (Ghana) Bayano (Panama) Kompienga (Burkina Faso) Brokopondo (Suriname) Installed capacity (MW) 402 500 450 1,000 2,400 1,450 210 3,300 300 300 6,494 18,200 3,478 270 280 12,600 210 8,381 960 510 340 1,000 2,400 2,400 300 3,200 10,300 1,890 1,086 157 3,100 3,980 1,000 1,815 5,225 300 29 760 34 2,075 2,100 150 1,050 1,260 250 833 30 14 30 Reservoir rea (hectares) 43 400 500 1,530 4,200 2,640 630 10,100 1,050 1,400 33,306 110,000 24,280 2,030 2,300 135,000 2,270 116,000 13,000 7,370 7,400 25,300 70,000 81,700 11,200 125,700 426,000 78,300 45,000 7,000 165,000 243,000 90,820 225,000 665,000 38,800 4,600 126,000 6,000 380,000 400,000 37,000 415,000 510,000 236,000 848,200 35,000 20,000 160,000 People displaced 775 0 50 4,959 100,000 899 0 30,000 446 3,445 10,000 1,300,000 96,000 3,272 2,800 59,000 45,000 n. a. 1,000 544 6,200 90,000 9,000 55,000 4,000 6,150 1,500 n. a. 5,700 2,500 50,000 30,000 80,500 15,000 0 10,800 29,000 50,000 4,945 How to cite Good and Bad Dams, Essay examples

Padma Bridge Financing free essay sample

A number of the ferryboats are obsolete; they are often overloaded and there are frequent accidents, some resulting in considerable loss of life. The construction of the Padma Bridge will replace the unreliable and unsafe ferry connection with a reliable and safe fixed river crossing. The bridge will shorten the distance from the Southwest to Dhaka by 100 km and travelling time will be considerably reduced. When completed a reliable highway connection will be established between Dhaka and the land port of Benapole, the seaport of Mongla and the district capitals of Khulna and Barisal.The provisions for a railway line on the Padma Bridge will make it possible to construct a new railway connection between Dhaka and the Southwest within the framework of the Trans Asian Railway network. Padma Bridge will also include options for major utility connections to the Southwest including gas, power transmission, and communication lines. The Padma Bridge will be the longest bridge of its type with 6. 15 kilometer of length. This will connect the south-western parts with the capital and is expected to save hundreds of thousands of working hours and huge transport costs.The Padma Bridge is a high priority national project. It would change the economic landscape of the south-western region and ultimately uplift the national economy. The project was initially co-financed by the government of Bangladesh, the World Bank, the Asian Development Bank, the Japan International Cooperation Agency (JICA) and the Islamic Development Bank. The Bangladesh Bridge Authority is the executing agency of the project. Project cost is estimated to be US$3. 00 billion.Construction of the bridge was expected to commence by early 2011 and be ready for major completion in 2013 and completed all sections by 2015. After the world bank claimed to have found credible evidence of a high-level corruption conspiracy among selected government officials involved in the Padma Bridge project, the funding from the world bank and other donor organizations have stopped. Thus government decided to take alternative sources of funding for this project such a self funding, funding from other particular countries. 2. Back ground of the study Necessity of Padma BridgeThe construction of the bridge would fulfill the long-standing dream of the people of the Southwest region to have a permanent crossing over the Padma River. The Padma Bridge is expected to unlock the potential and transform the lives of nearly 30 million Bangladeshis living in the countrys Southwest region. By reducing distances to major urban centers like Dhaka by almost 100km, the bridge will facilitate regional trade, reduce poverty while accelerating growth and development in the country as a whole. By facilitating transportation across the river, the bridge is expected to lead o a greater integration of regional markets within the Bangladeshi national economy. Given the interdependence of economic activities and sectors, the direct impacts of the Padma Bridge on individual sectors and factor markets are likely to induce a chain of changes in the rest of the sectors of the economy. It will also accelerate the trade between India and Bangladesh to carry the export and imported products in other part of Bangladesh. The industrialization is not very taken place in southwest part of the Bangladesh because of transportation barrier. If the Padma Bridge would have been established within next few years, the industrialization will be increased. The Padma Bridge would not only offer a means for vehicles to cross the river, but it would also include a railway and a conduit for telecommunications, electricity, and natural gas transmission. As a result new job opportunity will be created for the people of the southwestern part of the Bangladesh. Thus, drive the business and economic growth of the country. About Padma River Bangladesh is a riverine country, and the major rivers flowing through it are the Ganges, Jamuna, Meghna, and Padma.Historically, this river system has split Bangladesh into (i) the northwest zone, bordered by the Ganges and Jamuna rivers; (ii) the east zone, which is east of the Jamuna River, where the capital, Dhaka, and the major port, Chittagong, are situated; and (iii) the southwest zone, isolated by the Padma and Ganges rivers. The Padma River is formed by the confluence of the Ganges and the Jamuna rivers. The rivers have their sources in the glaciers of the Himalaya Mountain Range and both drain a huge catchment area in the Indian Plains.The width of the Padma at the project site varied from 2 to 6 km in the period 1976 to present. At present, passengers and freight are transported across the river by ferry and, to a lesser extent, by launches and rowboats. Their services are grossly inadequate in terms of both capacity and service level. Existing ferry services involve long and unpredictable waits at terminals lacking basic amenities. Project Area The project area is located at about 35 Km southwest of Dhaka. The Bridge will be constructed between a site near the village of Mawa, lying north of the Padma River and Janjira on the south side. Components of the project such as approach roads and bridge end facilities will affect an area of 6 km inland on the Mawa side and 4 km inland on the Janjira side; bridge and river training works may even affect a corridor 15 km upstream and 7 km downstream in the river. The 250 km2 project area comprises areas located in 3 separate administrative districts: Munshiganj district on the Mawa side (north bank) and Shariatpur and Madaripur districts on the Janjira side (south bank). Lauhajong and Sreenagar upazilla (sub-district) lie on the north bank and Janjira and Shibchar upazilla lie along the south bank.Environmental Impact Considering that this is a large project involving significant changes in land use and impacts on wildlife. Resettlement Action Plans are needed for the people. A total of 73,329 people will be affected by the construction of the bridge. The government has already allocated $30 million for their rehabilitation. It can reduce Hilsha fish breeding in the river because of waste and hazardous materials. The bridge and associated works are for a large part situated in the active floodplain of the Padma River, which combines the outflow of two of the longest rivers in the world: the Ganges and the Brahmaputra.The project area is densely populated, yet also part of a highly dynamic environment consisting of moving river channels, sandbanks and chars, as well as cultivated temporary wetlands in the floodplain. Socio-Economic Impact The southwest zone has one of the highest poverty rates in Bangladesh, according to the household income and expenditure survey conducted in 2005. While 42% of the population of the whole country lived below the absolute poverty line, the southwest zone had a poverty incidence of 52% in Barisal Division and 46% in Khulna Division.During construction, local unemployed people will gain employment, and increased commercial activity will generate income. The country will be physically integrated through the fixed link, reducing economic disparity and deprivation. An estimate of multiplier effects on the project investment shows the bridge increasing the gross domestic product growth rate by 1. 2% and the regional growth rate in the southwest zone by 3. 5%, generating 743,000 person-years of additional employment, and thereby contributing 1. 2% of the total labor market of Bangladesh.Over the long term, the bridge’s impact on poverty reduction will be more significant, as the share of economic benefits generated by the bridge that will accrue to the poor is larger than the share of the gross domestic product that goes to the poor. Estimates of the benefits accruing to road users, using the conventional approach of estimating savings in vehicle operating and travel time costs, found the project economically viable, with an economic internal rate of return of 15%–20% under different benefit and cost assumptions.The bridge can encompasses Bangladesh’s second major port, Mongla, its third major city, Khulna, and the inland po rt at Benapole bordering India–is due in part to difficult access across the Padma River to the rest of the country. At the same time, it is expected to raise Bangladesh’s GDP by 1. 2%, pushing it over 7% and thus, enabling it to become a middle-income country by World Bank standards, with over $1,000 per capita income by 2020. 3. INITIAL FINANCING OPTION OF PADMA BRIDGE Investment and Financing Plans The project is estimated to cost $2,972 million.This estimate is based on the near-final engineering design of the bridge, approach roads, river training works, and related facilities prepared by the design consultant. Taking into account the financial costs, the total amount needed to finance the Padma Bridge Project is presented in the table below: Table 1. The total estimated financing cost of Padma bridge project Cost Item| Amount($ millions)| Main bridge and approach roads| 1,463. 1| River training works| 685. 4| Land acquisition, resettlement, and environmental management| 278. 8| Consultancy for project supervision| 88. | Project management, technical assistance, and training| 26. 0| Contingencies| 329. 8| Financing Charges During Implementation| 99. 0| Total Cost| 2,972. 0| Funding Arrangement The project cost was estimated to be US$3. 00 billion. Financing plan and loan signing have been finalized with the development partners. Funding for the project is provided by the Asian Development Banks (ADP) US$615, the World Bank (WB) US$1. 5billion, Japan International Corporation Agency US$415million, Islamic Development Bank US$140 million and Government of Bangladesh (GOB) US$600.The government also signed another $14. 84 million agreement with the IDB for the implementation of the water-supply and sanitation project in cyclone-prone coastal areas, and Abu Dhabi Development Group ($30 m). Table 2. The estimated cash inflow from donor agencies. Project Financing Agency| Amount (USD in Millions)| Share of Total(%)| World Bank (WB)| 1200. 00| 41. 17| Asian Development Bank (ADB)| 615. 00| 21. 10| Japan International Co-operation Agency (JICA)| 415. 00| 13. 97| Islamic Development Bank (IDB)| 140. 00| 4. 80| Government of Bangladesh (GoB)| 600. 0| 20. 20| Of the total amount, the government will provide Tk 50 million while the rest will come in the form of project aid. The government has requested a loan of $539 million from ADB’s ordinary capital resources to help finance the project The loan will have a 27-year term, including a grace period of 7 years, an annual interest rate determined in accordance with ADB’s London interbank offered rate (LIBOR)-based lending facility; a commitment charge of 0. 15% per year and such other terms and conditions set forth in the draft loan and project agreements.The government has provided ADB with (i) the reasons for its decision to borrow under ADB’s LIBOR-based lending facility based on these terms and conditions, and (ii) an undertaking that these choices were its own independent Decision and not made in reliance on any communication or advice from ADB. The government has requested an additional loan in various currencies equivalent to SDR 48,206,000 from ADB’s Special Funds resources to help finance the project. The loan will have a 32-year term, including a grace period of 8 years, an interest rate of 1. % per annum during the grace period and 1. 5% per annum thereafter, and such other terms and conditions set forth in the draft loan and project agreements. ADB loans will be used to finance part of the cost of the civil works, financing charges during the implementation of the ADB loans, and local taxes and duties estimate d at $80 million on ADB-financed expenditures. The taxes and duties are estimated to amount to 19. 5% of the total project cost, which is not excessive considering the high share of imported materials for bridge works.The government will finance a large share of land acquisition and resettlement costs in addition to its share of civil works. ADB’s financing of taxes and duties will be material to the success of the project. No taxes or duties in Bangladesh are considered unreasonable or discriminatory. Three co-financiers will provide a total of $1,640 million through parallel co-financing. ADB assistance through the ongoing loan for design and other pre-construction activities has facilitated the partner’s participation as co-financiers in the project. The below table has shown the interest rate and loan period charged by the donors for their loan for this Padma bridge project. Table 3. Rate of interest on loan from different financial institution Item| ADB| World Bank| JICA| IDB| | OCR | ADF | | | | Loan or credit amount ($millions)| 539| 76| 1200| 415| 140| Interest rate| LIBOR+0. 3%| 1. 0%| 0. 75%| 0. 01%| LIBOR+1. 2%| Other fees and charges| 0. 15%| 0%| 0%| 0%| 0%| Loan period (years)| 25| 32| 40| 40| 20| Grace period (years)| 5| 8| 10| 10| 4| The Bangladesh Bridge Authority (BBA) invited the pre-qualification tender for the project in April 2010.Construction of the bridge was expected to commence by early 2011 and be ready for major completion in 2013 and complete all sections by late 2015. BBA will be the executing agency. The project implementation unit established for the ongoing TA loan and its supplementary loan will be expanded into a project management unit with sufficient staff to handle the wide range of tasks involved in project implementation. The project management unit will be headed by a project director, who will be reporting to the executive director of BBA, and will be staffed with qualified engineers and experts recruited both internally and externally.The panel of experts, which was established during the design phase and provided the project implementation unit with indep endent advisory support, will continue to provide similar support during construction. The proposed Padma Multipurpose Bridge Project will provide direct connectivity between the central and southwestern part of the country through a fixed link on the Padma River at Mawa-Janjira points. The bridge will contribute significantly towards facilitating the social, economic and industrial development of this relatively underdeveloped region with a population of over 30 million.The area of influence of the direct benefit of the project is about 44,000Â  km2 or 29% of the total area of Bangladesh. Therefore, the project is viewed as very important infrastructure towards improving the transportation network and regional economic development of the country. The bridge has provisions for rail, gas, electric line and fiber optic cable for future expansion. Â  As Padma bridge multipurpose project is one of the top agenda among current affairs relative to Bangladesh.It is also regarding as a blessing to inhabitants of south-west region of the country because it will link northern and eastern part of the country to that region. According to Bangladesh bridge authority, project’s initial investment will be a around US$2. 97 billion and so far fund worth of around US$2. 92 billion has been arrange by the authority. After the cancellation of World Bank loan the question rose that, what method of financing should be chosen for this project as the economy of Bangladesh is a small and project of such magnitude will have greater influence the economy. For example, In recent ears, government have implemented expansionary fiscal policy(Providing Subsidies)for quick rental power plant, which eventually put the economy under pressure and force internal borrowing rate and interest rate to soar as a result many banks faced liquidity crisis. Therefore, the process of financing this project is very much crucial for future economic situation of the country. Undoubtedly, this project is one of the biggest projects after the Jamuna bridge and its financing has become an important fact as well. We will discuss about the available financing options in hand after the cancellation of World Bank loan.Fund collection through ADP Shakespeare wrote in Macbeth, Life is a tale told by an idiot, full of sound and fury, signifying nothing. Funnily enough, you could say the same about the politics of development in Bangladesh. It is hardly a surprise that the World Banks cancellation of the Padma bridge project has created so much sound and fury. What is not sound and fury though is the fact that we do not need WB loans to build the Padma Bridge. The government has announced that the Padma bridge will cost Tk 23,000 crore over 4 years.This years budget forecasts show that the total Annual Development Program (ADP) budget for the next 4 years is expected to be more than Tk 300,000 crore. In other words, the Padma Bridge will cost about 8% of the ADP budget. The simple fact of the matter is that the government can finance this bridge from the ADP budget alone. However, ADP financing of the bridge will make it relatively expensive because our ADP budgets are mostly financed through direct government borrowing from the banking sector at interest rates of up to 11-12%. It will definitely be more expensive than the 0. 5% concessional interest rate that the WB was offering on its loan. If the cost of financing matters a lot, it begs the question: why does the government even bother having its own development agenda? If the ADP budget is deficit-financed at high interest rates, and donors can implement the same projects at a cheaper rate, why isnt the entire ADP budget outsourced to donors? This much is obvious if the government is going to finance its own development budget, regardless of whether the interest rate it pays is 1% or 11%, the government might as well build the bridge with ADP money.Let us crunch some numbers on this. It has been reported that 60-70% of the project cost will be in the form of imports of capital machinery, materials, consultancy services etc. With the total project cost estimated to be Tk 23,000 crore, let us assume that the import cost will be Tk 16,000 crore (about 70%) over the next 4 years. That translates to a Tk 4,000 crore annual increases in the demand for US dollars. In other words, all other things held equal, our trade deficit will rise by Tk 4,000 crore due to higher imports to build the bridge. Well, let us put things into perspective.In the first 9 months of the last fiscal year (2011-12), we imported Tk 220,956 crore worth of goods and services. That means the increase in US dollar demand from Padma Bridge-related imports would be equivalent to only 2% of the import demand for foreign exchange in the last fiscal year. What impact will a 2% increase in the trade deficit have on the exchange rate? Perhaps the chart below can help with the answer. It shows the annual percentage change in the trade deficit, the foreign exchange reserve balance and the US dollar-taka exchange rate for the last 10 years. A 2% increase in the trade deficit would hardly register on that chart.Our trade deficit fluctuates a lot every year. In FY 2010-11, the trade deficit rose by 46%. And yet, the exchange rate only depreciated by 3%. The reason for that is because up until recently, the Bangladesh Bank (BB) used to maintain a pretty tight dirty float, which basically means that BB did not allow the exchange rate to fluctuate very heavily. Figure: annual percentage change in external balances that could affect the financing of the padma project More recently, in the last fiscal year, the exchange rate depreciated by nearly 11%, even though the trade deficit actually fell by 4%.The reason for the depreciation is, as the chart shows, our foreign exchange reserve balance fell by 13%. It was the reason why BB borrowed $1 billion from the IMF, essentially to avert the mini balance of payment crisis at the time. In any case, the important point to note here is that a 2% increase in the trade deficit will hardly cause a ripple as far as the balance of payment situation goes. So concerns that converting locally-raised Padma funds in to foreign exchange is going to precipitate a balance of payment crisis is highly exaggerated, to say the least.A look at our past experience with the Jamuna Bridge might be useful at this point. The Jamuna Bridge was completed in 1998 at a total cost of $696 million. The WB, ADB and OECD between them donated $600 million for the project, and the Government chipped in with the rest. The bridge was built by Hyundai, one of South Koreas biggest conglomerates, that is no doubt well-known for their very safe cars. By the mid-2000s, just a few years after construction, cracks appeared on the bridge.An investigation by BUET engineers found that the cracks were partially caused by Hyundais faulty design, as well as the unregulated use of the bridge by excessively heavy trucks. At the end of the day, both causes are really the fault of past governments. And what about the other half a dozen smaller, but important bridges that have been built since that time? How well are those bridges being maintained? Going back to the example of the Jamuna Bridge, the fact that the bridge design was faulty, even for a project that was heavily supervised by donors, points to a simple fact.There is no substitute for the government doing its job honestly and properly. No amount of donor paperwork and process of checks-and-balances will excuse the government from its duty to conduct due diligence. The government is the final arbiter of its own interest, and it has to perform by building the Padma Bridge on time and without cutting any corners. The Jamuna Bridge was first proposed by the late Maulana Bhashani in 1949. The first feasibility study of the bridge was not done until 20 years later in 1969, with the study estimating the cost to be $175 million.Following liberation, a new feasibility study conducted by the Japanese donor agency, JICA, concluded that the bridge would not be economically viable, so the project was dropped. It was then revived by the administration of General Ershad in 1982, with Mr Muhith as the Generals then finance minister. The bridge design was changed and the new estimated cost stood at $420 million. The Ershad administration even went as far as raising Tk 500 crores in funds through surcharges and levies.But it failed to start construction, which subsequently began under the BNP government in 1994 and was completed by the AL government in 1998, at a cost of $696 million. It took us 49 years and a 300% cost blow-out (mostly due to inflation) to implement Maulana Bhashanis proposal. Surely, a Padma bridge that takes us 25 years to build and only has a 150% cost blow-out is a measure of progress, no? That might be a bit of rhetorical sound and fury signifying nothing, but what is not insignificant is that we have the money to build this bridge. Fund Collection through BondRaising capital by issuing bonds is a popular alternative to selling shares, as it allows a company to avoid relinquishing ownership of part of the business. A bond is a loan in the form of a debt security. The authorized issuer (the borrower) owes the bondholder (the lender) a debt and has an obligation to repay the principal and the coupon (interest) on the maturity of the loan. Bonds enable the issuer to finance long-term investments with external funds. We must admit that financing the entire project from the ADP budget is not the best idea in the world. Some portion of it can be ADP-financed, but definitely not all of it.There are significant benefits to be had from using other funding sources. Issuing sovereign bonds in the local market (including zero-coupon convertible bonds), and subsequently allowing those bonds to be traded on a secondary market will help create a more liquid sovereign bond market in our country. That in turn will enable the development of a vibrant corporate bond market, lowering the cost of funding as well as systemic risk for local businesses that are currently over-reliant on bank borrowing and private funding arrangement may also be another alternative source of financing regarding Padma bridge.Furthermore, deeper bond markets will provide greater investment choices to investors, which can help prevent the kind of price bubble we saw in the stock market a couple of years ago or are experiencing currently in the real estate market. The essential point is: raising funds from the local capital market will lead to a number of wider benefits. Zero-coupon corporate bonds are most prevalent in the high-yield market, where their lack of coupon payments in the first several years provides liquidity in a key period for bonds used to finance acquisitions, restructuring, or other immediate cash flow needs.Many high-yield zero-coupon bonds have a structure which reflects this time series, and in fact begin making coupon payments after 3-7 years of coupon less existence. Taking on debt by issuing bonds is usually cheaper than either a bank overdraft or the cost of raising equity through a share issue. A major advantage is that the return on debt (interest) is tax-deductible, whereas the return on equity (dividends) is paid out of a company’s profits, which are taxed before dividend payments can be made to stockholders.Financing by raising debt is a useful way of monitoring a corporation’s overall health, as t he ability to repay the debt reflects the overall financial stability of the company. Bonds offer a more secure return for investors—dividends are paid out purely at the discretion of the company, whereas interest on debt must be paid according to the set terms of the bond. Private Fund Collections No one is contending the fact that Bangladesh can build a bridge using its own resources.The questions are at what cost the proposed Padma Bridge will be built and what will the process of fund collection be. The government has decided to open two bank accounts to collect voluntary public contributions for the project, which we feel is a step in the right direction Although the opening of the bank accounts and declaration of such a move by the government is specifically aimed to avoid incidents like the one that took place at Rajshahi University, the step does not go far enough.While we take some solace in the Finance Ministers statement that no one was assigned to collect money from the public for the construction of the Padma Bridge, it is crucial that the government makes it known through official notification that funds will be collected only through appropriate institutional mechanisms and proper channels. The government can raise funds for the Padma br idge from the surcharge imposed on the individual income, utiliti bills, individual earning and surcharge on the mobile phone talking.It must be made clear that there is no room to ask for contributions through any other means. Should any quarter make attempts to coerce such contributions, legal steps will be taken by the State against such party or parties. Otherwise, chaos will reign supreme in the land and the image of the government is bound to take a nosedive, because, in the final analysis, party-based collection automatically leads to extortion. 5. COST AND BENEFITS ANALYSIS OF DONOR FUND The estimated cost for the Padma Bridge is US$ 2. 9 billion.As per mutual understanding and signed agreement among the government, WB, ADB, IDB and JICA invest and ensure the cash flow. On February 24, 2011, the WB approved a $1. 2 billion IDA credit to Bangladesh for the Padma Multipurpose Bridge project. At that time, the bank mentioned that the 6. 15-kilometer bridge is the largest IDA credit ever. Later on April 28, the government signed an agreement for the credit with IDA, the World Bank’s concessionary arm. ADB, JICA and IDB then joined in the lenders’ pool and made agreement with the overnment for funding the project. According to the agreement, the ADB was to provide $615 million, JICA $400 million and IDB $140 million. Bangladesh government was to invest the rest of $2. 91 billion. Financing by donor is the most practiced process of large projects for the least developing countries like Bangladesh. Interest rates of international financing organizations like WB, ADB, JICA and IDB are low compared to commercial loan. Beside the payback period is long, which will allow the borrower to repay loans without putting any pressure on the economy.If we assume that World Bank did not cancel the proposed loan then the total invested amount would have been refunded within the period of 40 years including 10 years grace periods with only 0. 75 percent concessional interest rate. Financing the project by a donor has more benefits rather than costs. The donor agency not only provides cash flow, but it also creates some space on social regurgitation, reliability, technical advising/support and risk sharing. For example China has enough fund but they receive donor support and the hidden objective is only risk sharing.If the Padma Bridge is funded by international organization then foreign investors will find an assurance of investing industries and projects in nearby area. Areas around the project are more likely to get affected by the development project as it opens door of vast opportunities and development as transportations system between both river bank areas of the bridge will be developed. In addition, foreign firms do not show any interest in projects, which are locally funded by the government in emerging countries unless the project is financed by international organisation.Involvements of foreign firms are also important for a project of such magnitude and local firm may lack technological advantage and skilled labour to handle and execute this project. Another benefit of donor financing is that it allows government to continue the development programmes of education, health and food sector without obstructing their allocated fund. Donor financing cost is relatively small compared to its benefits. Soft loan has a very low interest although the loan size is big and interest payment amount is higher than the normal loan.Beside this, uncertainty is normal and Padma Bridge is also no different one. Expected cash inflows from Padma Bridge are uncertain as any environmental, economic or political event or shock may have adverse effect on the use of Padma Bridge. The loan amount for Padma Bridge project is expected to be paid through revenues generated by the bridge itself. Imposing fee for using the bridge is one way of generating revenue and it will also cover maintenance cost of the bridge as well.Portion of revenue will be used for repayment of interest and soft loan taken for the project. If interest is avoided then the additional amount which will be used for payment of interest and loan could be used for other development projects. 6. COST AND BENEFITS ANALYSIS OF OWN FUND In the first week of July, the government ethically took a decision to build Padma Bridge by own fund after declaration of ‘agreement cancel’ by World Bank. The government has announced that the Padma Bridge will cost Tk 23,000 crore over four years.This years budget forecasts show that the total ADP budget for the next four years is expected to be more than Tk 300,000 crore. In other words, the Padma Bridge will cost about eight per cent of the ADP budget which means the government can finance this bridge from the ADP budget itself. However, ADP financing of the bridge will make it relatively expensive because ADP budgets are mostly financed through direct government borrowing from the banking sector at interest rates of up to 11-12 per cent. It will definitely be more expensive than the 0. 5 per cent concessional interest rate that the WB was offering. Bangladesh does not have any experience in financing large projects by itself but with proper management of fund and thorough execution of policies it is possible to achieve success. If own financing practice is initiated then the likelihood of seeking foreign aid for future projects will reduce. The government will be more confident to take bold decisions for undertaking more development project. Soft loan does have a small interest rate but still interest is considered as cost of borrowing.Self-financing exempt cost of borrowing thus no additional cash outflow will occur regarding financing the project after project completion. Another benefit of self-financing scheme is it attracts investors for investment in the economy because self-financing shows that the economy is strong enough to support its own growth and bright prospects of future growth. Emerging countries provide more opportunity than developed countries because the growth of emerging economies is much higher than developed economies.Own financing also gives the government authority to modify and execute policies it wants to use for the betterment of the economy and the project without any interference of foreign affair. Government controls the whole project and can induce any rules, regulations or policies which will affect it. Self-financing has a big problem to increasing cost of the project. Cost of such project is not always fixed and it increases as construction goes forward. Even, due to some economic shock, government may need to reprioritize its fund allocated for the project and eventually it will obstruct regular project progression.The government is likely to face problem of not convincing an internationally renowned firm for undertaking the project. In emerging countries, internationally renowned firms do not operate their task unless projects are funded by WB, ADB and JICA. Though local firms can be used for the project but local firms in Bangladesh lack the expertise, technology and skills needed to successfully accomplish this project. Last but not the least; Bangladesh government will need to undertake austerity measures to reduce the pressure of this project from the economy. 7. OBSERVATION AND FINDINGSDonor financing is better for Bangladesh because the ‘net social benefit’ is more in donor financing scheme than own financing scheme. The opportunity cost of own financing is much higher than donor financing scheme. If own financing is chosen then other development drives is more likely to face dilemma of going forward or even face a sudden halt. Education, health and employment development are integral part for building a stable and bright future for a nation but funds are also needed to support such development. Soft loan provided for this project is around US$ 2. 4 billion as stated earlier. The amount of interest on loan provided by WB, ADB, JICA and IDB are respectively US$ 249 million, US$ 246 million, US$ 10 million and US$ 54. 60 million. Most of the loan period is 40 years except IDB with 20 years. Thus, the government has enough time to repay the loan and with steady growth in economy will be able to pay back the loan before its maturity as the project will trigger development on project nearby area. Besides, the bridge itself will provide a strong revenue stream through imposing ‘toll rate’ for passing vehicles.With a high traffic scenario, analysts predicted that the bridge itself will be able to repay the loan in 17 years, which shows a financial internal rate of return (FIRR) of 7. 9 per cent in nominal terms. Even in a low traffic scenario, analysts predicted that it will repay in 19 years with a FIRR of 6. 5 per cent. This much is obvious if the government is going to finance its own development budget, regardless of the interest rate, the government might as well build the bridge by the help of ADP.And if the Padma Bridge is not a high priority development work, we do not know how to solve this problem precisely. That said, we must admit that financing the entire project from the ADP budget is not the best idea in the world. Some portion of it can be ADP-financed, but definitely not all of it. There are significant benefits to be had from using other funding sources. Besides, the issue of sovereign bonds in the local market (including zero-coupon convertible bonds), and subsequently allowing those bonds to be traded on a secondary market will help create a more liquid sovereign bond market in our country.That, in turn, will enable the development of a vibrant corporate bond market, lowering the cost of funding as well as systemic risk for local businesses that are currently over-reliant on bank borrowing. However, this line of argument is also not without its critiques. One such critique is that this project will require a large amount of foreign currency, which will be costly to attain if the funds are raised locally and then have to be converted into foreign exchange. That is no doubt a valid cause for concern, but one that is prone to exaggeration.It has been reported that 60-70 per cent of the project cost will be in the form of imports of capital machinery, materials, consultancy services etc. With the total project cost estimated to be Tk 23,000 crore, it can be assumed that the import cost will be around Tk 16,000 crore over the next four years. That translates to a Tk 4,000 crore annual increases in the demand for US dollars. In other words, all other things held equal, our trade deficit will widen by Tk 4,000 crore due to higher imports to build the bridge.This means, in the first nine months of the last fiscal year, Tk 220,956 crore worth of goods and services were imported. That means the increase in US dollar demand from the project related imports would be equivalent to only two per cent of the import demand for foreign exchange in the last fiscal year. In FY 2010-11, the trade deficit rose by 46 per cent. And yet, the exchange rate only depreciated by three per cent. The reason for that is because up until recently, the Bangladesh Bank used to maintain a pretty tight dirty float, which basically means that BB did not allow the exchange rate to fluctuate very heavily. . CONCLUSION All things considered, we do not think it is unreasonable to conclude that we are capable of financing the Padma Bride on our own. That said, financing a bridge and implementing a project of the sheer large scale and complexity as the Padma bridge are two different things. So let us address the real elephant in the room. Does the government have the institutional capability to deliver this project? A project of this size will undoubtedly require the implementation of lots of other side projects, such as dredging the river, river training, construction and maintenance etc.