Philippines - Second National Irrigation Systems Improvement Project

Document of The World Bank FOR OFFICIAL USE ONLY Report No. 7820 PROJECT COMPLETION REPORT PHILIPPINES NATIONAL IRRIGATION SYSTEMS IMPROVEMENT PROJECT - II (LOAN 1526-PH) JUNE 7, 1989 Agriculture Operations Division Country Department II Asia Region This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization.  ABBREVIATIONJS ACA - Agricultural Credit AdministrJition ADB - Asian Development Bank ADCC - Agricultural Development Coordinating Council AMIADP - Angat-Magat Integrated Agricultural Development Project BAE - Bureau of Agricultural Extension BPI - Bureau of Plant Industry DAR - Department of Agrarian Reform DLGCD - Department of Local Government and Community Development DOH - Department of Health NFAC - National Food and Agriculture Council NGA - National Grain Authority NIA - National Irrigation t ministration NISIP II - National Irrigation Systems Improvement Project II NISIS - National Irrigation Systems Improvement Study O&H - Operation and Maintenance PCAC - Presidential Committee on Agricultural Credit RB - Rural Banks SCC - Schistosomiasis Control Council SCRS - Schistosomiasis Control and Research Service SPO - Special Projects Organization TBAC - Technical Board on Agricultural Credit UPRP - Upper Pampanga River Project WMT - Water Management Technicians GOVERNMENT OF THE PHILIPPINES FISCAL YEAR January 1 - December 31  FOR 0MCuL4 USE ONLY THE WORLD SANK Washington. DC 20433 USA Offce of Direcirw-CalI Orejatomo EvaMatinn June 7, 1989 MEMORANDUM TO THE EXECUTIVE DIRECTORS AND THE PRESIDIENT SUBJECT: Project Completion Report on Philippines National Irrigation Systems Improvement Project-I1 (Loan 1526-PH) Attached, for information, is a copy of a report entitled "Project Completion Report on Philippines - National Irrigation Systems Improvement Project-II (Loan 1526-PH)" prepared by the Asia Regional Office. The Borrower's PCR, prepared by the National Irrigation Administration of the Philippines, is too lengthy a document to be reproduced here and can be obtained from OED or the Asia Regional Information Center. No audit of this project has been made by the Operations Evaluation Department at this time. Attachment This document has a restrictL. distribution and may be used by recipients only in the perfomrance of their official duties. Its contents may not otherwise be disclosed without World Bankc authorization.  FOR OMFCIL USE ONLY PHILIPPINES NATIONAL IXUIGATION SYSTEMS INPROYDIENT PROJECT-I1 PROJECT COMPLETION REPORT TABIZ OF CONTENTS Pate No. Preface ..... ............................................ i Basic Data Sheet li.. ......... ii Evaluation Summa ry ... ...iii Overview ...... . ............. VI Borrower's PCR Volume I I. Summary ....................................... . I-1 II. Introduction . . ................................. I I-1 ITI. Project Features .... III-1 IV. Project Design .... IV-1 V. Project Management .... . . ............. V-1 VI. Project Implementation .................... . VI-1 VII. Implementation Schedule . ....V.................. VII-1 VIII. Project Cost ..... . ............................. VIII-1 IX. Financinc .. ..................................... I-1 X. Agricultural Development . .... X-1 XI. Econamic Evaluation ............................ XI-l XII. Irrigation Service Fee .... XII-I XIIT. Operation and Maintenance .... XIII-1 XIV. Conclusion . . ................................... X IV-1 Volume II - Anne"es This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization.  PHILIPPINES W-TIONAL IRRUGATION SYSTEMS IMPROVEMENT PROJECTS II (Loan 1526-PI) PROJECT COMPLETION REPORT Preface This Project Completion Report (PCR) and Overview reviews implementation of the National Irrigation Systems Improvement Project: II for which Loan 1526-PH was approved on February 28, 1978. The Loan was closed on July 13, 1987, and the undisbursed balance of US$16.3 million was cancelled. The PCR Evaluation Summary, Overview and Basic Data Sheet dated August 22, 1988, were prepared by ASTAG. They are based on a review of the Appraisal Report (No. 1785b-PH) dated February 14, 1978, the President's Raport (No. 2225-PH) of February 14, 1978, the Credit Agreement of March 15, 1978, and the PCR of June 1987 prepared by the National Irrigation Administration in the Philippines. In addition, Bank supervision mission reports, correspondence with the Borrower and internal memoranda on project-related matters have been consulted.  - ii - PROJzCT COMPLETION REPO? NASSONAL IRflZSOATIO !STRNSS ZNtPIOWlUUW PROIEC? -I! EL4AN 1S24-P51 BAS1C DaTA 5533? gay PROJEC! DATA- Appraisal actual or Actual as 8 of *xnhtation current estinat -ARMSal eptimate Project COst (USS Billion) 140.0 80.7 5S Loan amount (UsS million) 65.0 48.7L 75 Date Board approval - 02/26/76 - Date effectiveness - 06/20/76 1 Date physical components completed 12/31/83 06/30/87 Proportion then coapleted (8) 62 l0129 Closing date 12/31/84 12/31/86 160 Econo ic rate of r turn (t) 23 37 Institutional performance Satisfactory Agronomic performance Good Number of direct beneficiaries (year 1988) 316,000 N/A CAYz DIStilililJ ml nn !M En umu f ES3 fm 7l U Appraisal estimate (USS m) 0.3 10.0 ;3.0 38.0 51.0 62.0 65.0 65.0 65.0 65.0 Actual (USSR% 0.3 11.7 .'.5 17.4 21.6 33.1 38.7 44.3 46.4 48.7 Actual as % of estimate 100 .17 c7 46 42 5: 6068 71 75 Date of final disbursement 7/13/87 Principal repaid to 06/30/88 (USS m) 5.46 EXZISON DAAb Date go. of Man-days speciallsatioUS Peiformance pe of uiaian marnl mtaIm iafla- d r r assUaLn ratia TsKUI* DUM1 L L Identification NA Preparation NA Appraisal 07&8/77 5 E_l..__ tn,Ec, A(2), N - - - subtotal 5 -150 Sup rvision 1 07/7? 3 15 En(2), A 1 2 - Supervision 2 02/79 1 10 En 1 2 T,N Supervision 3 10/79 3 24 tn(2), A 1 1 I Supervision 4 03/80 2 10 A, N - - Supervision 5 05/80 3 20 an(3) 1 1 - Sup rvision 6 10/80 1 5 A Supervision 7 03/81 2 14 Zn(2) 2 2 N, Sup rvision 8 02/82 1 9 En 2 1 K,T supervision 9 10/82 15 En(3) 2 2 1,T Supervision 10 10/83 1 7 en 2 2 1,T Supervision 11 07/84 1 8 En 2 1 H,T supervision 12 03/85 1 8 En 2 1 1,0 Supervision 13 04/86 2 10 En(2) 2 - _ Supervision 14 04/67 2 14 En, Ec 2 - _ Ot1191 26 s soa l -1 219 OS3f PfOSL' DAIES Borrowlr Republic of the Pbilippines gexcuting Aa ncv: Wational Irrigation Administration (NrA) Fiscal v-ar of borrow r: January 1-December 31 Nase of currency (abbreviationl Peso (P) Appraisal year average USSl.00 - P 7.40 Intervening years averaqa USSl.00 - P 12.33 Completion year averae US$1.oL - P 20.70 Follov-on nrolsct: NM She undlbursed balance of US$16,281,974.69 Was cancelled tftfctive July 14, 1987. w Total staff-weeks booked to the project ares Identification/Pr peratLon - 14.2; Appraisal - 58.5g and Supervision - 100.7. o a - agriculturist5 ec - economist, En - Engineart H - Public Heath Specialist (echisteomoiasio) L J 1 - problemfreea or minor problems 2 - moderate problms and 3 - major problems. 1 -improving: 2 - stationeryi 3 - deteriorating. F - financial, N * managerial, T - technical: P - political; nd 0 - other.  _iii- PHILIPPIIIS NATIONAL IRRMIQTION SY3TV S ItP"OVYRKUT PROJECT II (Loan 1526-PH) Evaluation Su ary Obiectives The National Irrigation Systems lmprovement Project II was an effort by the Government of the Philippines to improve the socio- economic conditions of about 56,500 families dependent on about 26 irrigation systems located in Regions 4, 5, 6, 19, 10, 11 and 12, through: rehabilitation, upgrading and expansion of these systems; reduction of the risk of schistosomiasis for about 140,000 people in the endemic areas; and strengthening NIA's O&M and monitoring capability. The project also aimed at initiating studies for future irrigation development in the Philippines. Implementation Loan 1526-PH for US$65 million became effective on June 12, 1978. It comprised the entire foreign exchange component (46Z) of the total project cost of US$140 million. The appraisal mission expected disbursements to be completed by December 31, 1984, a year after the scheduled completion of project works. However, implementation took about 3-1/2 years longer. Delays were due to: frequent severe weather conditions including several typhoons; delays in finalizing engineering designs and completing preconstruction works; land acouisition problems; equipment and vehicle supply problems; slow contractual procedures; inadequate and delayed funding; the need to continue uninterrupted water supplies to existing paddy lands during construction in many areas; some desien changes; non-cooperation by farmers in respect of on-farm facilities in some areas; peace and order problems; and management difficulties arising from the wide geographic disperaion of individual systems and difficult access to some work sites. The Loan was formally extended by 2 years to December 31, 1986, but construction continued into CY 1987 and was completed in all major respects by June 1987. With the exception of the delay project completion, implementation has been satisfactory in spire of several difficulties, and the project's objectives have largely been realized.  Results At c-apletion the project hae rehabilitated, upgraded and expanded the 26 irrigation systems to serve 76,300 ha. This represented 94S of appraisal targets. Necessary buildings, service facilities, equipment and vehicles and spare parts needed to strengthen NIA's O&M capability were provided; an agricultural input- output monitoring system was introduced; the prevalence of schi2tosomiasis in the endemic areas within the project was s;v.stantially reduced from 222 at appraisal, in 1977 to 2.3Z in 1986, with similar significant reductions in snail populations, and infection rates in these areas. Feasibility studies for four possible irrigation projects, including the detailed engineering for the headworks of one of them were completed. Ttae PCR has adopted somewhat overly optimistic projections of cropping intensity and crop yields, on the basis of vhich it has arrived at an ERR of 372. If this is adjusted to be in line with the more realistic assumptions, the ERR is likely to be closer to about 222, which compares well with the appraisal projection of 232. Disburseomnts and Costs The project started off with disbursements in line with appraisal projections, but the rate dropped to about 452 by mid-1981, due mainly to the difficult financial situation in the country. In view cif otherwise satisfactory performance, the Loan Closing Date was extended by two years. as mentioned earlier, to December 31, 1986. However, disbursements continued into CY 1987, against expenditures for works in respect of which commitments had been made prior to the Closing Date. US$48.7 million, of the original Loan amount of US$65 million, was utilized. The balance of US$16.3 million was cancelled on July 14, 1987. The final project cost in US dollar terms amounted to US $80.7 1llion (Pesos 996.8 million), about 582 of the appraisal estimate of US$140 million (Pesos 1,036 million) mainly due to the devaluation of Philippine currency. In local currency terms, however, the actual project cost amounts to 962 of the corresponding appraisal figure.  Lesson* Learned Project design and flexibility was generally appropriate to the circumstances. However, appraisal could have taken a more realistic view of some factors which *i8ht hamper implementation, such as: speed and efficiency of Government procedures; frequent difficult weather conditions; the geographic spread of project works; contractor problems; peace and order problems; funding difficulties; acquisition problems; delays in finalizing designs; etc. EZecution of project works through Small Package Contracts involving beneficiaries has demonstrated how farmer involvement of this nature opens the way for improving understanding and cooperation betweAn the impl_menting agency/Government and the beneficiaries.  PHILIPPIIIK HATIbRAL IRRIGUION SYSTUIS IRPROVIZU? PROJlC? II (Loan 1526-PH) Overview General 1. This overview is based on the Project Completion Report (PCR) of the National Irrigation Systems Improvement Project II (NISIP II) prepared by the National Irrigation Administration (NIA), the implementing agency of the Government of the Philippines (GOP), and ths Bank's Appraisal Report, President's Report, Loan Agreement, supervision mission reports and relevant information in the project files. The PCR reflects the findings and opinions of Government officials closely associated with the project and, in general, presents an objective view of project implementation, performance and impact. The Proiect 2. Proiect Objectives. NISIP II was an effort by GOP to: (i) increase production on about 74,000 ha of paddyland and 6,900 ha of sugarland directly benefitting about 45,000 families of farmers and 11,500 families of landless laborers, (comprising about 316,000 people) through rehabilitation, upgrading and expansion of existing irrigation and road infrastructure; (ii) reduco the risk of schistosomiasis for about 140,000 people in portions of the project area where the disease was endemLct (iii) strengthen NIA's C:eration and Maintenace (O&K) and agricultural input- output monitoring capability; and (iv) initiate studies for future ?rojects. The proj;ct would accelerate socioeconomic development through increased farmer incomes, generating additional farm and agriculture- related employment opportunities, and improved farm-to-market access in the project area, and would help meet Government's objectives of increased food production and more balanced regional development. 3. Irrigation Develovment. This component provided for rehabilitation and upgrading of 26 existing irrigation systems situated in Southern Luzon (Regions 4 and 5) Western Visayas (Region 6) infrastructure and Mlindanao (Regions 9 to 12) serving 53,700 ha (46,800 ha paddy and 6,900 ha sugarcane), and construction of irrigation infrastructure and related roads infrastructure to expand this area by a further 27,200 ha for paddy. 4. Schistosomiasis Program. This program aimed at improving drainage facilities serving about 22,000 ha of area affected by schistosomiasis in Mindanao, providing personnel and supplies to enhance the SchistosemLasis Control and Research Service's (SCRS's) capability to implement relevant portions of this component. providing a health education program based on  -Yii- schools and health centers in the affected areas, establishing a diagnostic/treatment program for about 35,000 cases, and providing vehicles and equipment. 5. Other Components. Other components included strengthening NIA's O&M capability in the project area through the provision of buildings for offices, stores, workshops, laboratories, quarters. etc. and O&M equipment; introducing an agricultural input-output monitoring program of selected systems; and initiating feasibility studies for about three new irrigation projects. Project Cost and Financing 6. The total estimated cost of the project was US$140 million. Bank Loan No. 1526-PH for US$65 million, representing the entire foreign exchange component (46Z of total cost), was signed on March 15, 1978. Government was to finance the balance. In order to ensure continuous and timely funding the setting up of a special fund, which would be replenished each month to the level required to fund the next two month's operations, was made a condition of loan effectiveness. Imlementation 7. The Loan was signed by the Executive Directors on March 15, 1978, and became effective on June 12, 1978. At appraisal, disbursements were expected to be completed by December 31, 1984, one year after the scheduled completion of project works. However, implementation took about three and a half years longer than envisaged. The main factors responsible for the delay include the followings frequent adverse weather conditions including typhoons; delays in finalizing engineering iesi8ns and completing preconstruction works; land acquisition problems; delayed arrival of equipment and vehicles for force account works; slow contractual procedures; the difficult financial situation in the country which resulted in delayed and inadequitte funding; the project mainly covered existing paddy land which was under regular planting, necessitating continued supply of water at most work sites during construction; design changes of individual works during or just before construction ; non-cooperation of farmers in some areas in respect of on-farm facilities; additional repairs necessitated by typhoons and floods; peace and order problems in some areas; and the geographic dispersion of individual systems and difficult access to some which made overall management quite difficult (PCR Section 7.03).  -viii- 8. All work relating to the irrigation portion of the project, including the civil works of the schirtosomiasis control program werp carried out by NIA, while the health aspects of the schistosomiasis program were carried out by the Department of Health (DOH). 9. The Loan Closing Date was formally extended for 2 years to December 31, 1986, but construction continued into 1987 and was completed in all majcr respects, with the exception of sime minor works, by June 1987. The final disbursement was made on July 13, 1987 and the undisbursed balance of US $16.3 million was cancelled. Considering the difficulties encountered during implementation and the nature of the project. implementation performance has been satisfactory. 10. Irrigation Development. A total area of about 75,300 ha (of which about 63,700 ha is rehabilitation area and 12,600 ha new/extension area) was developed under the 26 irrigation systems included in the project at appraisal. Within this area, 2,400 ha is under sugarcane and 1,380 ha under cocoa and banana. The total area developed is about 941 of the appraisal target. The rehabilitation area is about 1192, the new/extension area about 46S, and the area under sugarcane about 39Z of appraisal estimates. 11. During detailed field investigations it was found that some of the areas classified as new land were actually existing irrigation areas which required rehabilitation, hence the increase by about 10,000 ha of the area rehabilitated. The overall decrease of about 6Z (4,600 ha) in the total area envisaged is not a major deviation and was due to the follomwing different causes which affected different project sites to varying degrees: inadequate water supply; conversion of arable land to residential and commercial use. reluctance of some coconut and sugarcane farmers to come under the project; reclassification of portions as communal irrigation land; inappropriate topography; peace and order problems; and effects of construction by the Department of Publlc Works which affected a small portion one system. (PCR Section 3.03.1) The decrease in the sugarcane area to 2,400 ha, from the anticipated 6,900 ha, is due to conversion to paddy and other crops such as banana, cocoa, etc. 12. O&M Support. Support for strengthening NIAs O&M capability included the construction and renovation of all necessary buildings (offices, infirmaries, stores, equipment sheds, workshops, watermaster's stations, etc.); provision of service facilities (water supply, power supply, etc.); and other facilities such as perimeter fences for official premises; drying floors, etc. All requirements of equipment, vehicles and spare parts were also satisfactorily procured under the project, with about 702 of this procurement being through ICB (PCR Sections 3.03.3, 3.03.4).  13. Input-Output Monitoring Programs (IOMP). This program which was first introduced in the Upper Pampanga River Integrated Irrigation System (UPRIIS) with financial assistance from Loan 1227-PH, was extended under the project to cover NISIP II and its forerunner NISIP I, (Loan 1414-PH). The program was implemented reasonably well and served to establish required benchmark data and monitor the flow and build-up of farm inputs before and during each cropping season, providing warnings of any likely shortfalls. It also served to monitor the magnitude and recipients of benefits. The information made available through IOMP has facilitated evaluation of development under the project. However, although it identified anticipated shortfalls in inputs, remedial action seldom resulted due to lack of response by the relevant agriculture and credit agencies and lack of inter-agency coordination (PCR Section 3.03.5). 14. Schistosomiasis Program. Drainage in the endemic areas was improved through rehabilitation and construction of about 89km of main and secondary drains with service roads. in addition to the irrigation canals and related irrigation system drainages in the area. To minimize human contact with infected water in these areas, about 70 foot- bridges were provided across these drainages in addition to larger bridges on all service roads. The project also provided necessary office buildings, supplies, materials, drugs and chemicals required (PCR Section 3.03.72). 15. The health-related aspects of the component were carried out by SCRS. Activities included diagnosis, treatment, health education and snail control. Initial reports indicated general disinterest and lack of faith in the program on the part of the population in these areas. However, the education program was effective in creating public awareness of the nature, methods of prevention and control of the disease. As a result, the program became a comuuunity involvement and people actively cooperated in submission of stools for examination and the use of sanitary facilities increased. The snail density, snail infection rate and incidence of the disease in the areas has considerably decreased. The PCR records a decrease of 44? in snail density, 59Z in snail infection rate and 69Z in the prevalence rate of the disease (from 7.52 in 1980 to 2.32 in 1986) between 1980 and 1986. The appraisal report records an average prevalence rate of 222 with a high of 35Z in Salug (1977). The corresponding rate in Salug for 1985 was 14.3?. Other factors might also have contributed towards these results, but the achievements are very encouraging (PCR Section 3.03.7.2). 16. Studies and Training. - With assistance from foreign consultants NIA prepared feasibility studies for 4 projects: (a) Balog-Balog Multipurpose; (b) Lower Agro Multipurpose; (c) Casecnan Transbasin Diversion; and (d) Jalaur River Multipurpose. The detailed engineering for  Balog-Balog dam and appurtenant structures was also completed. Further ma,'or construction has, however, been deferred due to the difficult economic situation in the country and the near rice self-sufficiency that has been achieved (PCR Section 3.03.6). 17. Force Accouat and Contract Work. Recognizing NM's well developed force account capability, and in view of the nature of the uroject, appraisal providea for execution of 65 of project civil works through force account and the remainder through contracts in accordance with Government procedures. Contract work was executed through Major Contracts (over Pesos 750,000), Local Minor Contracts (Pesos 100,000 to 750,000), and Small Package Contracts (under Pesos 100,000). Contract performance was generally satisfactory although some extensions of time had to be granted for acceptable reasons, and some Local Minor Contracts were terminated due to contractor problems and executed by MIA force account. Based on the evaluation conducted by the PCR team it has been found that a total of 762 of the civil works were performed through force account. The possibility that the 652 limit set at appraisal would be exceeded was not noticed during implementation, due apparently to the inclusion of some Small Package Contract work under force account in the reports submitted by some Regional Offices during implementation (PCR Sections 6.02 and 6.03). 18. Disbursements and Costs. Disbursements were close to, and even exceeded appraisal estilfates during the early stage of the project through mid-1981, mainly due to equipment procuremeut during these years of implementation. Thereafter, funding for the rest of the project works was adversely affected by the very difficult financial situation in the country, and coupled with other causes (paragraph 7) delayed implementation, reducing disbursements to about 452 of appraisal estimates. In view of otherwise satisfactory performance, the Loan Closing Date was extended by two years from December 31, 1984 to December 31, 1986, to permit project completion. US$48.7 million, out of the original Loan amount of US$65.0 million, was utilized by the close of the Loan. The balance of US$16.3 million was cancelled on July 14, 1987 (PCR Section 9.01). 19. The final project cost in US dollar terms amounted to US$80.7 million (Pesos 996.8 million), about 582 of the appraisal estimate of US$140 million (Pesos 1,036 million) mainly due to the devaluation of the Philippine currency ta an average weighted rate of 12.34 pesos to the dollar over the implementation period, as against the appraisal exchange rate of 7.4 (592 of actual). At the actual weighted rate of exchange of 12.34 the appraisal cost amounts to US$84 million. Other factors that contributed to the low cost include modification of civil works, particularly some large drainage works in Mindanao, to more practical standards; lower O&M and construction costs through the use of farmer  groups in labour contracts; a slight reduction of the overall area developed. and inclusion of rehabilitationa areas in place of new irrigation development envisaged at appraisal. In peso terms the project cost amounted to Pesos 996.8 million, 96Z of the appraisal cost (PCR Sections 8.02 and 8.04). l pact 20. The major objectives of the project were met by providing improved irrigation, drainage, road and O&M facilities to serve 76,300 ha of irrigated land; strengthening NIA' monitoring capability; reducing the prevalence of schistosomiasis in the affected project areas; and finalizing feasibility studies for four possible future projects. 21. The most significant features of the project's impact are increased paddy production (as well as some sugarcane, banana, cocoa, etc.) as a result of improved irrigation and O&M, improved transportation through the provision of access and service roads, more farm and agriculture related job opportunities, reduced incidence of schistosomiasis, and consequently increased beneficiary incomes. The process of project implementation has also contributed towards strengthening NIA's project management and implementation capability (PCR Section 14.01). 22. The economic re-evaluation of the project presented in the PCR follows appraisal methodology. However, it adopts somewhat over-optimistic levels of crop yields -- wet season irrigated paddy 5.5 tonslha, dry season irrigated paddy 6.0 tons/ha and irrigated sugarcane 85.0 tons/ha as against appraisal forecasts of 4.0, 4.0 and 76.0 respectively, and a cropping intensity of 187S at full development as against 168Z anticipated at appraisal. On the basis of these assumptions the PCR estimates an ERR of 37Z. If this figure is adiusted to be in line with the more realistic appraisal assumptions, the ZRR is closer to about 22Z, which compares well with the appraisal projection of 232. The level of benefits actually realized would however depend upon the manner in which the irrigation systems are operated and maintained. Although OEM has been less than adequate, it is much better than in most other Asian countries, and Government has stepped up its efforts to improve this aspect with support under the recently approved Irrigation Operations Support Project (Loan 2948-PH). (PCR Sections 11.02 and 11.03) Bank Performance 23. The PCR notes that the project supported Government's efforts to increase food production, accelerate socioeconomic development and promote a more balanced distribution of regional development. The PCR also credits  -xii- the Bank with the active support and guidance it rendered through supervision missions in the different aspects of implementation -- management, procurement, reallocation and extension of the Loan, withdrawal of loan proceeds and updating of project costs, etc. (PCR Section 6.05) Lessons Learned 24. The anticipated implementation period was overly optimistic for a project of this type. Because of the nature of works involved and their wide geographical spread, appraisal quite correctly based project estimates and design on preliminary feasibility level investigations and sample analyses, providing for detailed construction level investigations and preparation of final construction designs during implementation. The likelihood of delays on this account, and the fact that all necessary land acquisition could not have been foreseen at appraisal, should have been anticipated. Also factors such as: speed and efficiency of Government procedures; likelihood of frequent severe weather conditions; difficulties arising out of the geographical spread of project works; contractor problems; possible peace and order problems; likely funding difficulties; etc., are common to several projects and deserved a deeper appreciation in the context of project design, particularly implementation scheduling. 25. Although not specifically intended, the use of farmer groups and associations in the implementation of project works through Small Package Contracts led to active beneficiary involvement in improvement of their irrigation systems. This in turn has helped improve beneficiary understanding of the irrigation infrastructure serving them, and enhanced their willingness to participate with NIA staff to improve irrigation services, particularly in the context of NIA's ongoing program to expand Irrigator Association development.  Anne x 1 PHILIPPINES NATIONAL IRRIGATION SYSTEDS IMWROVEMENT PROJECT-II (Loan 1526-PH) PROJECT COMPLUTION REPORT XEY ASPECTS OF THE PRoJECT Preproject Appraisal At Anticipated Actual or situation estimate project at full anticipated compltn. agricultural final as Z (1987) development of appraisal (1992) Total proj. cost (US$m) -- 140.0 80.7 80.7 58 Total proj. cost (I million) -- 1,036.0 996.8 996.8 96 Total constn. period (years)a/ -- 5.8 9.3 9.3 160 Total loan disbursed (US$m) -- 65.0 48.7 48.7 75 Total disb. as 2 of proj. cost -- 46.4 60.3 60.3 130 Proiect Area (ha) Irrig. 53,-00 80,900 76,300 ?6,300 94 Rainfed 27,200 -- -- -- -- Total 80.900 80.900 76.300 76,300 94 Cropped Area (ha) Wet-season irrig. rice 46,800 74,000 62,260 72,510 98 Wet-season rainfed rice 27,200 -- 11,400 -- -- Dry-season irrig. rice 31,200 55,100 52,460 66,270 120 Wet-season irrig. sugar cane 6,900 6,900 1,680 2,400 39 Wet-season irrig. otherbl -- -- 970 1,380 -- Total 112.100 136.000 128,770 142.560 105 Cropping intensity (2) 139 168 169 187 111 Yields (metric tons/ha) Paddy wet-season irrig. 2.4 to 2.6 4.0 4.1 5.5 137 Paddy wet-season rainfed 1.3 to 1.6 1.4 to 1.7 2.5 -- -- Paddy dry-season irrig. 2.4 to 2.7 4.0 4.2 6.0 150 Sugarcane 64.0 76.0 70.0 85.0 112 Production (metric tons) Paddy 233,800 516,000 503,600 796,400 154 Sugarcane 416,000 486,400 117,600 204,000 42 a/ Calculated from Board approval date. bh Cac0a, Banana.