India - Periyar Vaigai Irrigation II Project

Document of The World Bank FOR OFFICIAL USE ONLY Report No. 14446 PROJECT COMPLETION REPORT INDIA PERIYAR VAIGAI IRRIGATION II PROJECT (CREDIT 1468-IN AND SPECIAAL FUND CREDIT 16-IN) MAY 4, 1995 Agriculture Operations Division India Department South Asia Regional Office 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.   FOR OFFICIAL USE ONLY THE WORLD BANK Washington, D.C. 20433 U.S.A. Office of Director-General Operations Evaluation May 4, 1995 MEMORANDUM TO THE EXECUTIVE DIRECTORS AND THE PRESIDENT SUBJECT: Project Completion Report on India Periyar Vaigai Irrigation II Project (Credit 1468-IN and Special Fund Credit 16-IN) Attached is the Project Completion Report on India-Periyar Vaigai Irrigation II Project (Credit 1468-IN and Special Fund Credit 16-[N). Parts I and III were prepared by FAO/CP for the South Asia Regional Office and Part 11 by the Borrower. The project is in an area of India where all irrigation water is already used. Therefore, this second IDA-financed project on the Periyar Vaigai system aimed to use existing water supplies better to increase crop yields and, through water economies, to expand the irrigated area by 10 percent. Civil works on the canal network (58 percent of expenditures) and constructing and lining field channels (17 percent) aimed to tailor irrigation more closely to farmer demand. These changes had to be integrated into the complicated operating mode and traditional water rights of the 100-year-old system with its 1,200 ancient storage tanks. The project called for simplified rotation of water supplies to 10 ha blocks. Civil works construction lagged. Savings from Rupee devaluation were applied to construction of a 30-km link canal meant to have been constructed under Periyar Vaigai I, to catchment treatment works, and to additional area expansions. Revised construction targets were generally achieved. In practice, the rigid, overly simple rotational operation prescribed at appraisal was replaced by "intelligent ad hoc water management by farmer group," integrating the refurbished canal system, the tanks and 9,000 dug wells, some of them made possible by project improvements (and despite extensive canal lining to reduce recharge). Irrigation service improved, especially for tail-enders. Yields increased. High-value crops expanded. These benefits, which probably stem from project investments, provide an attractive economic return. The project, while operationally different from the one appraised, is satisfactory. Results are likely to be sustained. Public irrigation institutions have been strengthened considerably. Studies are being conducted to improve participant involvement and to optimize current ad hoc water management. The PCR lacks focus and provides little insight, but, on the whole, assesses project achievements adequately. No audit is planned. Attachment 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.   FOR OFFICIAL USE ONLY PROJECT COMPLETION REPORT INDIA PERIYAR VAIGAI IRRIGATION II PROJECT (Credit 1468-IN and Special Fund Credit 16-IN) TABLE OF CONTENTS PREFACE ..................................................... i EVALUATION SUMMARY ......... .............. ........................... iii PART I - PROJECT REVIEW FROM BANK'S PERSPECTIVE . .1..................... 1. Project Identity. 1 2. Background. 1 3. Project Objectives and Description. 2 4. Project Design and Organization. 3 5. Project Implementation. 4 6. Project Results. 9 7. Project Sustainabiity .11 8. Bank Performance. 1 1 9. Borrower Perfonance. 12 10. Lessons of Experience. 12 11. Project Relationships .13 12. Consulting Services .13 13. Project Documentation and Data .13 PART II - PROJECT REVIEW FROM BORROWER'S PERSPECTIVE ......... ................ 15 PART Im - STATISTICAL INlFORMATION .................. ..................... 38 1. Related Bank Credits ....................................... 38 2. Project Timetable ................................................. 40 3. Credit Disbursements .................................................... 40 This document has a restricted distribution and may be used by recipients only in the performance of their I officiai duties. Its contents may not otherwise be disclosed without World Bank authorization.  4. Project Implementation .................. 41 5. Project Costs and Financing .................. 43 A. Project Costs .................. 43 B. Project Financing .................. 43 6. Project Results .................. 44 A. Direct Benefits .................. 44 B. Economic Impact .................. 44 C. Studies .................. 45 7. Status of Covenants .................. 47 8. Use of Bank Resources .................. 48 A. Staff Inputs .................. 48 B. Missions .................. 48 ANNEX 1 Principal Features of Periyar Vaigai System ..50 ANNEX 2 Areas Commanded by the Project ..53 Table 1 Pre and Post-Project Command Areas .54 Table 2 Breakdown of Command Areas (ha) .55 Table 3 Supplemental Data - Water Available to Project over Historic Period .56 ANNEX 3 Economic and Financial Analysis .57 Table 1 Summary of Financial and Economic Prices .65 Table 2 Derivation of Economic Prices at Farm Gate for Traded Commodities in 1993... 67 Table 3 Inflation Factors and Exchange Rates .71 Table 4 Summary of Project Expenditure by Year .72 Table 5 Cropping Patterns by Areas Commanded .74 Table 6 Economic Analysis .76 Table 6 Farm Income per ha in Paddy Cultivation .80  i PROJECT COMPLETION REPORT INDIA PERIYAR VAIGAI IRRIGATION II PROJECT (Credit 1468-IN and Special Fund Credit 16-IN) PREFACE This is the Project Completion Report (PCR) for the Periyar Vaigai Irrigation HI Project in India for which an International Development Association (IDA) Credit of SDR16.6 million and a Special Fund Credit of SDR 16.6 million were approved on May 1, 1984. After five extensions for a total period of 4.5 years, the Credit was closed on October 31, 1993. The IDA Credit was fully disbursed on January 16, 1991. Final disbursement from the Special Fund Credit was made on March 16, 1994 and the undisbursed balance of SDR1.8 million was cancelled. The Preface, Evaluation Summary, and Parts I (Project Review from the Bank's Perspective) and III (Statistical Information) of the PCR were prepared by the Food and Agriculture Organization/World Bank Cooperative Program (FAO/CP) mission which visited India in October/November 1993. The PCR mission overlapped with the final Bank supervision mission which was in the field at the same time. Part II (Project Review from the Borrower's Perspective) of the PCR was prepared by the Public Works Department (PWD) of the Government of Tamil Nadu. The PCR (Parts I and III) is based on a review of the Staff Appraisal Report (SAR), the project files and legal documents, supervision reports, correspondence between the Bank and the Borrower, internal Bank memoranda, field visits of the mission, discussions with the Borrower's project staff, and the Bank's staff at Headquarters and in New Delhi who had been associated with the project.   iii PROJECT COMPLETION REPORT INDIA PERIYAR VAIGAI IRRIGATION II PROJECT (Credit 1468-IN and Special Fund Credit 16-IN) EVALUATION SUMMARY Objectives 1. The project, and its predecessor Periyar Vaigai Irrigation I (PVI) Project (Credit 720- IN), set out to improve the efficiency of an old irrigation system, and to extend the irrigated area by virtue of the economies in water use achieved. The Periyar Vaigai development was initiated in the 1890s, with construction of Periyar Dam and Reservoir on the western side of the Ghats, in what is now the state of Kerala. The works included a tunnel to divert the Periyar flows eastward into the Vaigai River System in Tamil Nadu. Further downstream, the Peranai Weir was constructed, together with a canal system serving the originally 58,400 ha Periyar Vaigai command. Later the Vaigai Dam and Reservoir were added, to provide re-regulation of the diverted Periyar water. A notable feature of the Periyar Vaigai command is the existence of some 1,200 "tanks" (small reservoirs) within the area. The project incorporates these old tanks and their commands into the Periyar Vaigai System, where the tanks now play an important part in regulation of canal supply. 2. The Periyar Vaigai command is primarily a paddy growing area. The Bank project sought to complete the canal lining program initiated under the first project, extend the irrigable area (73,600 ha) by another 7,500 ha, and improve both the operation of the Periyar Vaigai system to provide an equitable and reliable water supply in the command area, as well as the efficiency of water management at the farm level. Water management at the farm level was to be improved through extension of the supply system down to and within the "10 ha" blocks, through introduction of rotational supply within the blocks, and through setting up of water user groups to manage water distribution within the blocks. This was an innovative feature of the project. Implementation Experience 3. The project became effective in January 1985. Because of initial delays in project implementation and the scope for increased expenditures resulting from exchange rate movements, the Staff Appraisal Report (SAR) targets were revised in February 1988 and again subsequently to meet actual requirements and the construction of a 30 km-long Link canal (originally planned to be completed under the first project) was included as an additional component All these, however, necessitated the extension of the project period by 4.5 years to October 31, 1993. 4. Canal construction proved to be considerably slower than anticipated at the time of appraisal due to the nature of the ground conditions, bedrock being everywhere close to the surface. This caused contractual difficulties and cost and time over-runs. The problem appears to have been overcome later in the project, particularly in construction of the Link Canal on which excellent progress has been made. Implementation of on-farm development works (field channels) proved to be slowest due to the large size of the command area and the need to give individual attention to the design of the system in each 10-ha block. In the area of improved system  iv operation, the measures planned still need to be vigorously pursued to finally deternine the most satisfactory procedures. 5 . Organization of water user groups also started slowly partly because of a lack of initial conviction at management level that formation of such groups was necessary in a primarily paddy area and partly due to farmers being generally reluctant to organize until canal infrastructure was complete. However, the program now is proceeding satisfactorily. Project Results 6. As far as physical works are concerned, the project has met its objectives, although with considerable time over-run. One project impact, which was perhaps underestimated at appraisal, has been the major increase in well construction and groundwater use. Flooded paddy fields are an ideal source of recharge, and advantage is being taken of it by dugwell owners not only to supplement canal irrigation of paddy, particularly nursery cultivation, but also to grow perennial crops including sugarcane, bananas and irrigated coconut. 7. The project's direct benefits in terms of annual incremental agricultural production as now estimated would be much higher than the SAR estimates because of increased average yields and development and use of groundwater more than anticipated. The project's recalculated economic rate of return (ERR) works out to 21 percent as against 18 percent estimated at appraisal, despite delayed implementation. The sensitivity tests show that the project will remain economically viable, unless considerable changes occur (see Annex 3). 8. Indirect benefits include strengthened institutional capacity of the Government of Tamil Nadu's Public Works Department (PWD) and Agricultural Engineering Department (AED). Further, through the execution of project works considerable contractor capacity has been developed in canal construction in difficult ground conditions as in the project area. 9 . As anticipated at appraisal, the project does not have any adverse environmental effects. Sustainability 10. Given the good quality of incoming water supply, and groundwater extraction providing de facto water-table control, long-term development of adverse soil and drainage conditions is not anticipated. In fact the Periyar Vaigai situation appears to offer an ideal conjunctive use of recharge, aquifer storage and consumptive extraction of groundwater. Build-up of sediment in the Vaigai River due to construction of Vaigai Dam and more recently due to the diversion of Vaigai River flows into the Link Canal could become a long-term problem in the management of the downstream river channel, but it is being alleviated by catchment protection works in progress. 11. An area in which particular vigilance will be needed, in the interest of sustainability of the project, is the maintenance of canal linings. Weed growth in joints, which is already appearing, must be eliminated as and when it occurs to prevent joint displacement and progressive deterioration. A continuing program of selective maintenance, or replacement will be necessary. 12. Also, a crucial aspect which needs early resolution is the question of how the canal system should be operated to accommodate varying rainfall conditions. To that end, various computer simulation and other studies of varying supply/demand situations and the design of the most satisfactory operating procedures to meet them, need to be vigorously pursued as without a  V proper system operation and maintenance (O&M) mechanism being in place, the sustainability of the project benefits will be in jeopardy. Findings and Lessons Learned 13. The project has entered into the contentious area of improvement to water management in traditional paddy growing areas, particularly areas where there is a substantial number of tanks. The project design successfully incorporates such tanks into the system, and adds improvements to distribution channels within the tank commands where needed but without attempting to intrude too closely into the operation of these long-established systems. Major emphasis has been placed on the need to promote farmer initiative in group management of water distribution at the "block" level, the Departmental role being provision of essential canal infrastructure, and initial organization of farmer groups. This may represent some departure from the more regimented approach earlier conceived as being inherent in Rotational Water Supply within the block, but it is consistent with more recent experience in such areas. The Periyar Vaigai System would later require a detailed socio-technological study of performance at the field distribution level. 14. The question of how the canal system will be operated to accommodate varying rainfall conditions has yet to be answered in detail. Appropriate canal infrastructure has been provided through the project, and although operational procedures will continue to evolve with accumulation of experience and monitoring of performance, it is desirable that the most satisfactory solutions are found as quickly as possible through computer and other studies as noted earlier. In fact, such studies should be required early in project implementation. Means of translating water demands originating at the block committee level into specific operating sequences also can be best explored by desk studies of a range of likely situations, and such studies should be required at an early stage. Such operational questions are indeed being considered at various levels by Periyar Vaigai staff but much more formal attention is suggested in future projects. Such factors lie at the heart of irrigation improvement projects. A related question is what should be the level of Bank input to such studies. It could profitably be beyond the level of participation provided through regular project supervisions, and may be essential to effective involvement in such developments. 15. It is evident from the Periyar Vaigai experience that water distribution at the block level in paddy growing areas must be managed by the farmers themselves. Because of the diversity in demand within the block in such situations there is no possibility of successfully imposing a standard delivery schedule right down to the level of the individual farm. The initiative of the farmer group is essential, and this implies the organization of and support for such groups. This has proved difficult in similar situations elsewhere, but the project shows promise of notable success in this area. The proposed Tamil Nadu Water Resources Consolidation Project (TNWRCP) builds upon the experience gained under this project with farmer user groups' involvement in irrigation operation and maintenance. The main lessons that can be learnt from the this project have been summarized in para. 10.1 of Part I of the PCR.   1 PROJECT COMPLETION REPORT INDIA PERIYAR VAIGAI IRRIGATION II PROJECT (Credit 1468-IN and Special Fund Credit 16-IN) PART I: PROJECT REVIEW FROM BANK'S PERSPECTIVE 1. Project Identity Project Name Periyar Vaigai Irrigation II Project Credit No. 1468-IN and SF16-IN RVP Unit South Asia Country India Sector Agriculture Sub-sector Irrigation 2. Background 2.1 The project was to complete the work begun by the Periyar Vaigai Irrigation I Project (Credit 720-IN, 1977 to 1984). Collectively the two projects were aimed at upgrading and extending an old irrigation system dating back to 1896. The Vaigai River delta is the second largest of the three major river deltas in Tamil Nadu, second only to the Cauvery, and is a substantial contributor to rice production in the state. A notable feature of the development is the inter-state diversion of the Periyar River which originates in the high-rainfall western slopes of the Ghats, in the state of Kerala. After storage in the Periyar reservoir the water is brought by a mile- long tunnel to the lower rainfall eastern slopes in the state of Tamil Nadu. There it joins the Suruliar River, a tributary of the Vaigai. The diverted Periyar is the principal source of irrigation for the Periyar Vaigai command. 2.2 While the project area had produced some remarkably high paddy yields in some locations in the past, in general it had been suffering from an outdated and inefficient water distribution system both of which constrained improvement in crop yields and inhibited further expansion of irrigated area. The Periyar Vaigai systeml was consequently an early candidate for irrigation improvement, which has been a central feature of the Bank's agricultural sector program in India. 1 See Annex 1 for principal features of the system.  2 3. Project Objectives and Description 3.1 The project was to complete the canal lining program initiated under the Periyar Vaigai I (PV I) Project, extend its irrigable area (73,600 ha) by another 7,500 ha, and enhance crop production and farmers' incomes in the 81,100 ha project area through better water utilization. To achieve the latter objective, the project was to: (a) improve the operation of the Periyar Vaigai systeml to provide an equitable and reliable water supply in the command area; and (b) improve the water distribution among the farmers below the 10-ha block outlets and promote better water management on the farm. This necessitated support for a number of complementary activities as noted below (para. 3.2). 3.2 The main components of the project were: (a) civil works on the canal network consisting of (i) lining of some 380 km of smaller distributaries to 10-ha outlets; (ii) completion of improvements to about 180 of the larger tanks in the irrigable area of about 10,300 ha extended under PV I Project including the construction of about 80 km of concrete-lined canals up to 10-ha outlets; (iii) improvement of some 740 smaller tanks (previously operated by village community and taken over by PWD for O&M) mainly by reshaping embankments and repairing outlet structures; and (iv) further extension of irrigation distribution network to provide supplementary canal water to about 7,500 ha in existing tank commands; (b) improvement and rehabilitation of Peranai Regulator (see Annex 1); (c) On-Farm Development (OFD) works for 61,000 ha, including construction of field canals, cart tracks, and thrashing floors; (d) improved system operations up to the 10-ha block outlets, involving the strengthening of the project organization for operation and maintenance (O&M) and including technical services; (e) introduction of rotational water supply (RWS) below the 10-ha block outlets; (f) training of project staff and farmer leaders in improved system operations and better water management techniques; (g) technical services to undertake studies on system operations and for preparing course material for training; and (h) project monitoring and evaluation. 3.3 The total project cost, including physical and price contingencies, was estimated at US$58.8 million (Rs. 588 million). Civil works on the canal network and OFD components accounted for almost 82 percent of the total project base cost. The IDA Credit and the IDA Special Fund Credit (each amounting to SDR16.6 million or US$17.5 million equivalent) were to finance 1 A notable feature of the Periyar Vaigai system is the existence of some 1,200 old tanks (small reservoirs) within the command area, where the tanks now play an important part in regulation of canal supply.  3 60 percent of the total project cost. The balance of the cost was to be met by the Government of Tamil Nadu (GOTN) from its development budget, which included a Government of India (GOI) contribution. 3.4 The responsibility for project implementation was to be shared by GOTN's Public Works Department (PWD), Agricultural Engineering Department (AED) and Agricultural Department (AD). In addition, the Revenue Department was to be responsible for the introduction and administration of a new system of water charges. Inter-departmental coordination at the project level was to be undertaken by a Project Coordination Committee chaired by the Special Chief Engineer, Periyar Vaigai Project. Coordination at the state level was to be ensured by the existing State Level Coordination Committee chaired by the Chief Secretary, GOTN. 4. Project Design and Organization 4.1 The project was prepared by GOTN's PWD which produced a report entitled "Modernization of Periyar Vaigai Irrigation System (2nd Stage Project Report)" in October 1982. This preparation work was supplemented by a few studies covering specific aspects carried out by the Institute of Hydraulics and Hydrology in Poondi. The Bank's appraisal mission visited the project area in October/November 1983 and the appraisal field work was completed by a short follow-up mission in November 1983. 4.2 The experience of PV I Project showed that the lining of the irrigation distribution network and rehabilitation works (around which that project centered) were not in themselves sufficient to attain the full agricultuml potential of the area, and that complementary management activities to the improved physical infrastructure, such as upgraded system operation and water management, were necessary to realize in particular the high yields in paddy cultivation that were targeted. Consequently, the PV II Project was needed and designed to consolidate and complement the achievements of the first project and to extend the command area by 7,500 ha which was feasible. Thus, the second project had a clear conceptual foundation. Its design, to some extent, was innovative in that it sought to improve water management below the 10-ha outlets through construction of additional field channels, the introduction of RWS and better water management on the individual farm. The extension of canal system into 10-ha blocks and improvement in water management below 10-ha block outlets have permitted completion of transplanting operations within the block within a short period of time, thereby avoiding the problem of the tail-ender who previously had to wait three weeks or more for his neighbors upstream to complete their transplanting and who consequently faced lack of water later in the season when irrigation was shut off to permit his neighbors' harvesting operations. For this reason pre-project tail-end yields were much lower than head-end yields. 4.3 However, given the delays experienced under the PV I Project, the period of five years planned for the implementation of the follow-on project was rather short. This may be considered as a design flaw especially when several time consuming activities, such as OFD works and setting up of farmer organizations to promote their involvement in water management and maintenance below the 10-ha block outlets, were the additional elements included in the second project. 4.4 The proposed organization for implementation of the project was appropriate. PWD was to be responsible for canal construction and other civil works and for operation and maintenance (O&M) of the irrigation network up to the 10-ha block outlets. The latter necessitated substantial strengthening of PWD's O&M organization and this was to be supported under the project. AED was to be responsible for OFD works (channel construction), RWS within the 10-ha  4 blocks and setting up of block committeesl (farmer organizations) for all 10-ha block outlets. An assurance was obtained from GOTN that it would set up two new divisions in AED to enable it inter alia to adequately promote RWS in the project area. AD was to be responsible for extension work in the project area, the training of the Department's field workers, the operation of the Farmer Training Center and was to collaborate with AED to train block and sluice leaders in on-farm water management and RWS. Further, as already noted (para. 3.4), appropriate mechanisms were proposed to ensure coordination at both project and state levels. 5. Project Implementation 5.1 Critical Variances in Project Implementation. The most critical variances between planned and actual project implementation have been delayed execution of project works and consequent delayed disbursements under the IDA and SF credits (Part III/Section 3) and the increased project expenditures made possible because of the exchange rate movements during the implementation period, namely, the devaluation of the Rupee against the US Dollar and of the latter against the SDR. Because of the initial delays in implementation and the scope for increased expenditures resulting from exchange rate movements, the Staff Appraisal Report (SAR) physical targets were revised in February 1988. A subsequent revision to meet actual requirements was made in 1990, and an additional component, the construction of a 30 km-long Link Canal (with associated structures) to connect the Vaigai Reservoir with the Periyar Main Canal, was included (Part IIVSection 4). This Link Canal was originally planned to be completed under the PV I Project. 5.2 Delayed implementation and more time required to achieve the revised physical targets as well as the expansion of project scope due to construction of the Link Canal resulted in a 4.5 year extension of the Credit closing date to October 31, 1993. As of the extended closing date, the disbursements under the IDA/SF credits amounted to US$35.2 million or 101 percent of the original US Dollar equivalent of the two Credits. The undisbursed balance at the final disbursement date of March 16, 1994 amounted to SDR1.8 million (US$2.5 million equivalent)2. As of October 31, 1993, actual project expenditures totalled Rs. 1,159 million (US$69.7 million) as against the SAR estimate of Rs. 588 million (US$58.8 million); the increase in total actual expenditure over the SAR estimate being 97 percent in Rupee terms and 19 percent in US dollar terms. However, if the expenditure on the Link canal and associated works at about Rs. 400 million is excluded, the cost over-run in Rupee terms would be much lower at 29 percent and the actual expenditure in US dollar terrns would be within the SAR total estimate of US$58.8 million. 5.3 Canal Network. Revised physical targets have been achieved except for extension of irrigation distribution networks to some existing tank commands (Part III/ Section 4). However, canal construction proved to be considerably slower than anticipated at appraisal due to the nature of ground conditions; bedrock being everywhere close to the surface. Clearly the difficulties and costs of canal construction in a terrain in which bedrock is everywhere close to the surface, were underestimated at both preparation and appraisal and also subsequently by prospective contractors. Only lately have contractors developed construction capability in such 1 In addition, sluice committees were to be organized by PWD for each existing sluice (80 to 100 ha). 2 Applications with statements of expenditures for reimbursement from the credit account can be submitted and would forthcome up to four months from the Credit closing date.  5 conditions, as evidenced by the remarkable speed with which the construction of the Link Canal has proceededl. 5.4 In retrospect, more extensive site investigations, particularly a greater number of test pits and exploratory trenches to display ground conditions along canal alignments, would have facilitated closer cost estimates and considerably reduced subsequent contractual problems. Material shortages, particularly cement, also contributed to delays. 5.5 In an area where groundwater is an important factor (there are now more than 9,000 dug wells being used for irrigation in the command) recharge must be a key issue in project design, nominally an argument against "saving" of seepage by canal lining. However, in the project command there are two particular factors relating to this issue. Firstly, the principal water-bearing formation is of shallow depth, generally four to six meters to bedrock, and is of limited storage capacity. Secondly, standing water in the canal-irrigated paddy fields provides the major part (at least 75 percent) of the recharge, and is sufficient, seasonally, to fill the formation to capacity, bringing the water-table near to the surface by the end of the wet season, with or without contribution from canal seepage. A possible exception is the area immediately adjacent to the main canals where wells experienced lowering of the water-table and decline in yield after lining. This concentration of wells produced a local "line sink" not typical of the area as a whole. 5.6 As groundwater outflow from the Periyar Vaigai area is very small, due to the flat gradient and shallow depth of the water-bearing formation, seepage from canals is not generally lost to the system. It either contributes to groundwater recharge, particularly early in the irrigation season, or to inflow to tanks later in the season when the water-table is high. Rarely does it find its way back into the river. In these circumstances it may well be asked why line the canal system, if not to reduce losses due to seepage? The answer lies largely in the greater operational flexibility of lined canals compared with unlined, permitting more rapid response to the occurrence of rainfall in the command, or meeting particular local demands. Furthermore, the operational flexibility of the lined system results both in more efficient use of water and in higher average yields. In the Periyar Vaigai situation this is the principal reason for canal lining. Much the same considerations apply to construction of the lined Link Canal. Flow at the lower end of the 35 km reach of the Vaigai river currently conveying Periyar water from Vaigai reservoir to the Periyar Main Canal (PMC) and Thirumangalam Main Canal (TMC) intakes has a very slow response to upstream changes in rate of release from Vaigai reservoir, and stands in the way of demand-responsive operation of the Periyar Vaigai system as a whole. This factor, together with the difficulties of silt exclusion with the present system, and deterioration of the century-old Peranai regulator on which security of supply to the canal system depends, is the reason for construction of the Link canal, rather than saving of seepage from conveyance in the river channel. 5.7 An issue not related to the primary function of the Link Canal is the possibility of providing irrigation supply from the canal to areas on either side of the canal, totalling some 1,600 ha. Cultivators in this area have been pumping water from the adjacent reach of the Vaigai river for many years, although without official sanction. The Link Canal now cuts off part of this area from access to the river, and furthermore it reduces the flow in the river and the practicability of pumped-lift diversion. The cultivators concerned jointly provided the right-of-way for the Link canal at no cost to PWD, reportedly on the understanding that their former supply from the river 1 It should be noted that the Link Canal construction was disrupted during the 1993 southwest monsoon season by a cyclonic storm and, therefore, remained to be completed at the time of the PCR mission's visit. Over 80 percent of the work on main canal and associated structures had been completed and the work on distributaries was to be taken up after completion of the main canal works (Part III/Section 4).  6 would be replaced by supply from the canal. Technically this could be done either by gravity canals branching from the Link Canal, or by pumping from the Link Canal either departmentally or by individual cultivators. The cultivators prefer the gravity canal solution. The estimated cost is some US$1.5 million. Contracts are understood to have been awarded for the canal system, but construction has not yet commenced. The works are not included in the Bank-financed project. 5.8 It is now evident that inigation from dug-wells will be a considerably more important factor than was envisaged at appraisal. Actual groundwater utilization has already reached SAR projections for ultimate level (85 million m3 annually), and installation is continuing, particularly in the canal extension areas. There, the advent of canal-irrigated paddy, with consequent increased recharge, is resulting in new well construction and increased yields from existing wells. The wells are being used for nursery cultivation, and the PWD foresees the canal system eventually being relieved of this operationally troublesome duty. Possibly of greater significance is the extensive use now being made of wells for irrigation of perennials including bananas, sugarcane and coconuts, the latter being a very popular high-value crop benefitting much from irrigation in the dry season. Groundwater quality is good, as also the quality of the recharge. Power supply for well operation is available throughout the area, and well owners are already using sophisticated pipe distribution and water application systems. No charge is levied for electric power for operation of irrigation wells in Tamil Nadu, a situation which is currently being reviewed by GOTN. The extensive use of wells in the area virtually ensures that water-logging resulting from canal irrigation will not occur. The Periyar Vaigai area promises to be an excellent example of balanced conjunctive use of canal supply and groundwater. 5.9 In determining whether there will be adequate supply of irrigation for the expanded project area the relevant factors are the yield from the Periyar diversion, the storage capacity available for its seasonal and over-yearly regulation, the contribution of rainfall on the command area, the estimated crop water demand, and the efficiency of delivery. Periyar diversions over a long period are a matter of record. However, the amount of storage capacity available in Periyar reservoir in the immediate future is in question. Due to concern over the safety of the dam in the light of modem methods of analysis, the maximum storage level was lowered (in 1979) from 152 ft above datum to 136 ft, until the necessary modifications to the structure and spillway could be carnied out. At the time of PV II project appraisal (1984) it was anticipated that the works would be completed in 1985 and the 152 ft level restored immediately thereafter. Completion was, in fact, considerably delayed, but the work has now been largely completed, with the exception of certain protective works below the spillway channel which will shortly be undertaken. The cost of the work has been met by GOTN. However, reinstatement of the 152 ft storage level has now become an issue between Tamil Nadu and Kerala and for the time being the lower level of 136 ft is being adhered to. In the context of the total storage capacity available to the project (Periyar plus Vaigai reservoir plus tanks), the difference is not large enough to jeopardize the project, but it is nevertheless a real consideration and is a matter of concern to GOTN. 5.10 Rainfall in the Periyar catchment is from the southwest monsoon, averaging some 2,000 mm annually. Within the project command rainfall is partly from the southwest and partly from the northeast monsoon, averaging about 830 mm. The proportion of rainfall on the command which is effective in meeting crop needs is influenced by the dexterity with which canal supply can be reduced to take advantage of rainfall, but it is maximized in the project case by the availability of tank storage to capture irrigation spill. Estimation of crop water requirements is straightforward, but is influenced in this case by the extent of double-cropping of paddy. In the "double crop zone" of 29,634 ha only 18,226 ha of holdings are officially gazetted as entitled to water for double cropping, the remainder being limited to a single crop (the reasons for such distinction are no longer apparent). In fact, holdings in the two categories are often interposed, and in some situations it is impractical to differentiate supply. Consequently much of the zone is supplied with  7 water for double cropping, provided that it is available, regardless of gazetted classification, and this has been assumed in SAR and PCR estimates of water requirements. For purposes of economic analysis, however, double cropping is limited to the officially gazetted area. The question of re-examination of entitlements and priorities in water distribution within the project area, raised during appraisal, still remains an issue to be resolved. 5.11 In a project such as Periyar Vaigai, where on average about one-half of the wet season water requirements are met from rainfall in the command area and the other one-half from canal supply, both sources varying in quantity from year to year, a central question is what degree of assurance of supply should be aimed at in project design. Absolute assurance even in bad water years can be given if the command is kept relatively small, but the penalty is unutilized water in good years. There is less assurance of adequate supply if the command is larger and deficits will occur in this case, but long-term utilization of water is greater. Neither course is entirely satisfactory to all farmers. Several internal Bank papers discuss the general question of supplemental canal supply in monsoonal areas, and emphasize that a high level of management skill is required in such circumstances. In the Periyar Vaigai situation it would, in fact, be impractical to design the system on the basis of canal supply fully compensating for rainfall deficiency in dry years. There have been years of overall deficiency (rainfall plus canal supply) throughout the long history of the project, and operating rules have been designed to minimize the impact of such shortages. Water deficits will continue to be experienced in the future, but with reduced incidence due to improved efficiency in water use. Based upon historic figures of Periyar diversions over the 25 years 1968-1992, and rainfall records in the project command for the same period, an approximate operational study for the purpose of the PCR indicates deficiencies in four years of the 25, the deficit in the worst year being about 24 percent. The operation took into account the demands of municipal water supply, also the needs of the 18,332 ha extension area. It also assumed 50 million m3/annum use of groundwater to supplement wet season irrigation (At least that amount of groundwater will also be available for dry season irrigation of perennial crops). The result is generally consistent with the SAR estimates of reliability of supply (main crop in the pre-existing command 95 percent reliability, main crop in the extension area 85 percent, and first crop in the double-cropped area 80 percent). 5.12 On-Farm Development. The SAR target for the construction of field channels was revised downwards from 61,000 ha to about 56,700 ha, while the targets for construction of concrete thrashing platforms and gravel-paved cart tracks were revised upwards (Part III/Section 4). All the revised physical targets have been fully achieved, although, as is normal with most irrigation projects, implementation of on-farm development works proved to be slowest due to the large size of the command area and the need to give individual attention to the design of the system in each 10-ha block. 5.13 Improved System Operations. In order to provide a reliable water supply at the 10-ha block outlet and an equitable distribution of the available supply over the service area, a number of measures were planned. These included strict adherence of weekly opening and closing schedules for all canals, sluices and 10-ha block outlets; fixing in advance a guaranteed date by which water will be released to fill the tanks; computerization of water demand calculations; and the preparation and implementation of a detailed O&M manual with standard operating procedures. 5.14 As previously noted (para. 5.11) in the Periyar Vaigai project, direct rainfall provides about one-half of the annual wet season water requirements under average conditions. At any particular time, however, rainfall may be anywhere between nil and sufficient to provide all water needs. The capacity, or design duty, of the distributaries is sufficient to provide the whole water requirement during short intervals without rain. Also of importance is how the distributary system performs when rainfall is normal or heavier than normal and it is necessary to reduce canal  8 deliveries to conserve reservoir storage. This can be accomplished by full-flow rotational operation of the distributaries 4 days on 3 days off, thereby reducing the weekly amount of water delivered by about 40 percent compared with continuous delivery, or 3 days on 4 days off, reducing it by about 60 percent. As the choice of practical rotational combination is limited, and as rotations cannot be changed from day to day, it is not possible to follow even the anticipated seasonal variations in water demand precisely, much less to fully accommodate unanticipated variations. Some degree of approximation is necessary. However, in the Periyar Vaigai case the presence of many tanks in the command, which can accommodate irrigation spill, offers the prospect of higher overall operation efficiency than would otherwise be the case. The adequacy of the water resources to meet project needs will, in fact, depend primarily on the skill with which the system is operated. Opinions appear to vary within the PWD as to the relative merits of certain operational options, particularly rotational supply in the canal systems versus continuous supply at varying rate, and in the former case at what point in the canal hierarchy rotational supply should commence. The canal system as constructed is capable of being operated in a number of ways, and continuing operational studies and monitoring of results will be necessary to finally determine the most satisfactory procedures. 5.15 Computer simulation studies, as envisaged at appraisal to facilitate water demand calculations and preparation of detailed irrigation schedules, have not been completed. Even though an O&M manual has been prepared, the guidelines have not been put into operation. The automatic water-level recorders have not been installed because O&M staff were not willing to take over their operation. Already proper maintenance is lacking. Gate hoists were seen to have not been greased. Cracks in the lining were visible and weeds have begun to grow through these cracks. Overall, therefore, the area of improved system O&M, which has remained a weak link, would need to be given proper and increased attention. 5.16 The above discussion refers to operation down to the "10 ha" block, at which point there is a change of jurisdiction from PWD to the AED. The AED under its On-Farm Development program takes over responsibility for events within the block, including construction of the internal distribution system and the setting up of cultivator groups to operate it. Views on the appropriate size of the area within which cultivator organizations are intended to take primary responsibility for distribution, i.e. the "10 ha" block, have varied in Bank-assisted projects over the years. At the time of appraisal of the PV I project ten hectares was proposed by the State, and "10 ha" block has continued in use as a generic term for this lower, farmer-operated portion of the system. For reasons relating to the minimum efficient rate of delivery to the block, and limitations in practical options in rotational supply, the actual average size being used in the project area is nearer to 20 ha, an area which is closer to current Bank practice elsewhere. The block is informally divided into sub-areas for purposes of water distribution. The AED has extended channel lining down into this area, the extent being determined on a case-by-case basis. 5.17 Introduction of Rotational Water Supply. The SAR laid emphasis on the desirability of rotational distribution (RWS) within the "block", and this is indeed important during land preparation for both paddy and non-paddy crops. However, it is not essential nor necessarily desirable for paddy during the growing season. Where paddy is the principal crop, no imposed rotational system within the block can take the place of intelligent ad hoc water management by the farmer group. Variations in seepage rate from fields within a block due to small differences in elevation, or soil type, and consequently variations in water needs, can be substantial. This is a very different situation from the classical simplicity of water distribution in northern India, where fixed warabundi rotations based solely on area of holding are practiced. General application of the system of fixed rotations within the "block" was much in favor during the period in which the project was appraised. However the AED is now faced with the task of setting up and training farmer groups to take over pragmatic self-management within the blocks, in some respects a more  9 difficult task than imposition of fixed rotations. It appears to have had considerable success, thanks in part to utilizing rrigation Community Organizers along the lines of the Philippine system (on which the AED operation was based). An outwardly minor detail, but one which has paid considerable dividends, is the provision of a small meeting room for the Farmer Association (four blocks), in some locations, both providing a venue for planning of water distribution and also enhancing the status of the Association within the village community. The practice could well be extended throughout the project command. It is noted that the desirability of involving women in the Farmer Associations has been emphasized by the Bank in the course of project supervision, and in this connection a Women's Forum has been set up, and duly registered, in two villages, with prospect of extending the system elsewhere. The Irrigation Community Organizers who assist in establishing the water user associations have been active in setting up the Women's Forums. Women have proved to be very effective as ICOs in the Periyar Vaigai command. 5.18 Farmers Organizations. Organization of water users' groups although now progressing satisfactorily, began very belatedly. Regardless of frequent reminders by Bank supervision missions, virtually no progress was made during the period 1985-1990, and requisite staff were not sanctioned. There appears to have been a lack of conviction at management level that formation of such groups was necessary in a primarily paddy area, possibly reinforced by the belief that RWS (taken literally) was in any case not required in such circumstances. In retrospect the term RWS when applied to distribution within the block (as distinct from supply to the block) was not an appropriate choice. The broader term "Farmer Water Management" describing a very essential function, would have been preferable. The AED, now brought up to full operational strength has covered 25,000 ha with farmer group formation, with anticipated progress of additional 15,000 ha every year. The proposed Tamil Nadu Water Resources Consolidation Project (TNWRCP) builds upon the experience gained under the Periyar Vaigai Irrigation II Project with farmer user groups' involvement in irrigation operation and maintenance. 6. Project Results 6.1 General. As far as physical works are concerned, the project has met its objectives, although with considerable time over-run. The areas now covered by the project are summarized in Annex 2, Table 1. All works are now complete except for setting up of fanner organizations for water management at the level of individual blocks and completion of the Link canal. 6.2 One project impact, which was perhaps underestimated at appraisal, has been the major increase in well construction and groundwater use. Flooded paddy fields are an ideal source of recharge, and advantage is being taken of it by dugwell owners. In addition to supplementing canal irrigation of paddy, particularly nursery cultivation, the wells are being used for perennial crops including sugarcane, bananas and irrigated coconut. The latter crop, relatively new to the area, is becoming an important item in Tamil Nadu's irrigated crop production. 6.3 Agricultural Production. The project's direct benefits as estimated at appraisal and as now estimated by the PCR mission are given under Part III/Section 6A. At full development, annual incremental agricultural production would be of the order of 177,500 tons of paddy, 3,500 tons of groundnuts, 2,600 tons of millets, 3,900 tons of gram, 77,700 tons of sugarcane, 43,000 tons of coconut, and 27,000 tons of banana (see Annex 3). The impact of the increased paddy production is expected to exceed the SAR estimate mainly because the actual average paddy yields under different situations have been higher than the SAR estimates. Also, production of coconut and bananas was not foreseen at appraisal, whereas irrigated cotton is not being grown in the area as expected at appraisal.  10 6.4 Farm Incomes and Employment. The typical smallholder in the project's command area grows paddy only. The average paddy farm in the project area, as assumed in the SAR, is about 1.2 ha. For this typical farm, the net incremental income would be Rs. 3,770/year for single cropped area in pre-existing command area and Rs. 13,670/year for double cropped area in the same command area. For the typical farm with single crop in extension areas, the net incremental income has been estimated at Rs. 4,270/year (see Annex 3). About 65,000 farm families would directly benefit from the project as estimated at appraisal. However, employment generation of 5 million mandays/year of farm employment and 57,000 manyears of non-farm employment (during construction) would exceed the SAR expectations. 6.5 Economic Impact. The recalculation of the economic rate of return (ERR) has been based on crop models, developed from recent field investigations, and provided to the PCR mission by the Department of Agricultural Economics, Agriculture College and Research Institute, Madurai (see Annex 3). The "with project" yields assume the completion of on-going program of formation of water users groups and continued support to such groups thereafter. The economic viability of the project has been reassessed, taking into account the actual implementation schedule, actual incurred costs and the cropping patterns, yields and economic prices (see Annex 3). However, as in the SAR, the recalculation of ERR is based on a project life of 30 years and on the assumption that in the "without project" situation, 20 percent of the incremental irrigated area would be rainfed. 6.6 With the above assumptions, the ERR has been reestimated at 21 percent, which compares to 18 percent at appraisal, and is mainly due to higher yields experienced as compared to appraisal estimates. Sensitivity of the ERR to deficiency in water supply has been tested, which shows that the project will remain economically viable, unless considerable changes occur (see Annex 3). 6.7 Indirect Benefits. These include development of AED expertise in organization of and support for water users' groups at the 10-ha block level. This is a key item in further irrigation improvement projects in the State. Further, through the execution of project works, considerable contractor capacity has been developed in canal construction in the difficult ground conditions as in the project area. PWD has also been substantially strengthened in its capability for design, execution and operation of major irrigation works through its association with the project. 6.8 Cost Recovery. This has been the subject of continuing exchange between GOTN and Bank. In Tamil Nadu water charges are determined by a complicated formula involving soil type and availability of irrigation. The rates are generally low, however the paddy procurement prices imply a substantial contribution by the farmer. The Bank has been urging rationalization of water rates and the State has responded with proposals. The Bank's view is that the subject should be pursued at the Sector level. 6.9 Environmental Impact. As anticipated at appraisal, the project does not have any adverse environmental effects. The impact of canal irrigation on groundwater resources of the area has already been discussed. Two other items call for comment The first is sedimentation of the Vaigai River. This was of direct concern to the project before the decision to construct the Link Canal, when sedimentation at the PMC and TMC canal intakes was an issue. While that problem has been resolved by the construction of the Link Canal, sediment build-up in the lower Vaigai due to the Periyar Vaigai development remains a factor. Since construction of the Vaigai Dam (prior to Bank involvement but nevertheless a central feature of the project), flood flows in the Vaigai have diminished and consequently the capacity of the river to transport incoming silt from side-streams, down to the lower delta. Completion of the Link Canal under the Bank project will further diminish flows in the river. The solution being pursued by GOTN is to reduce the inflow of silt by  11 construction of erosion control and silt detention works in the Vaigai catchment. Surveys of the catchment have been completed, identifying the nature of the problem, and protective and detention works are already being carried out by the agencies concerned, including the Forestry Department. The second item is the ecological impact of the Periyar Dam and Reservoir. While constructed long before Bank involvement in India, this also is a key feature of the current project. Periyar Reservoir is, in fact, a notable case of reservoir construction having a highly positive ecological impact. The catchment and the reservoir area have been converted into a restricted access wild-life and forestry reserve noted for its wild elephant and deer populations. Forest extends down to the water's edge. Siltation is minimal. 7. Project Sustainability 7.1 Sustainability of irrigation projects usually calls into question such factors as soil reactions under irrigation, the possibility of development of water-logging and salinity, siltation of reservoirs, and durability of structures. Given the good quality of the incoming water supply, and groundwater extraction providing defacto water-table control, long-term development of adverse soil and drainage conditions is not anticipated. Some siltation of the principal reservoirs, Periyar and Vaigai, is occurring, but relatively slowly, and the protective works planned for the Vaigai catchment should contain this problem. Siltation of the many small tanks in the command is also a subject of concern, but as most of the tank catchments are levelled and bunded for paddy, erosion of the tank catchments is minimal. However, periodic clearing of plant growth within the tank storage areas, particularly the shrub Ipoumea, would be necessary. The item which calls for continuous vigilance, if deterioration is to be minimized, is the canal lining. As has been pointed out in the course of Bank supervision missions, the appearance of weeds or grass in the hairline shrinkage cracks between the concrete slabs or tiles used in construction of many of the project canals signals the beginning of progressive deterioration by displacement of slabs, as root growth and root pressure develops, unless such growth is promptly removed. The treatment should include the use of weedicide, to kill plant roots. Systematic monitoring and reporting on the condition of linings, and on the execution of treatment, would also be essential. 7.2 However, the crucial aspect which needs early resolution is the question of how the canal system should be operated to accommodate the varying rainfall conditions. To that end, various computer simulation and other studies of varying supply/demand situations and design of the most satisfactory operating procedures to meet them, need to be vigorously pursued as without a proper system O&M mechanism being in place, the sustainability of the project benefits will be in jeopardy. 8. Bank Performance 8.1 The Bank's performance from guiding the preparation of the project through its implementation has been generally good. The Bank staff provided a very substantial technical support to the project in the course of the supervision missions. 8.2 However, the task of supervising a major construction project, including statutory reporting, leaves little time for the detailed coverage of the project area which is a prerequisite to significant input into the problems of water distribution within the "10 ha" block, which is a key item. Technical support or intervention at that level, if it is to be provided, requires separate staff provision and presumably budgeting. System operation is in the sarne category, particularly in a case as complex as Periyar Vaigai. Staff time is required if serious involvement is aimed at.  12 9. Borrower Performance 9.1 The Borrower's performance was also generally good. The Bank supervision missions have given the borrower a good report, except in respect to the perennial question of senior staff turnover, and also delays in deployment of staff for the farmer water management program. The turn-over problem has been common to all Bank irrigation projects in India, and the circumstances giving rise to it are well known. Partial solutions to the problem can probably be found. It is an issue which should be taken up at the time of credit/loan negotiations in respect of future projects. 9.2 During preparation the presence of shallow bedrock in the canal alignment could have been fully identified and adequately reflected in canal design which would have avoided subsequent construction delays and would have saved construction costs. 10. Lessons of Experience 10.1 The main lessons that can be learnt from the project are: (a) The duration of implementation of a project should be fixed based on past experience and the nature and structure of the activities to be financed and sufficient lead time should be provided to accommodate construction delays or delays in implementing innovative proposals such as construction of field channels, rotational water supply and setting up of farmer organizations. (b) Detailed designs and site investigations should be completed prior to appraisal to facilitate more accurate cost estimates and to avoid delays in project implementation. In the case of this project, closer cost estimates would have been possible and unnecessary implementation delays could have been avoided if sufficient data on rock profile in the areas of the canal distribution network had been collected and studied prior to appraisal. (c) In the case of a project as this one, where realization of full benefits depends on both provion n of efficient distribution network and upgraded system operation and water management, attention should be paid sufficiently early during the implementation period to the formulation of appropriate system O&M procedures which should be followed by continuing operational studies and monitoring of results to finally determine the most satisfactory procedures. To this end, computer simulation and other studies should be completed as planned, compliance with O&M guidelines and use of equipment such as automatic water-level recorders should be ensured. (d) In the situations as above, Bank supervision missions should be adequately equipped both in terms of time and staffing to permit a more detailed review of the project's implementation progress in terms of not merely hardware performance but also software developments such as system operation and water distribution problems. (e) The Borrower's O&M staff should also be involved in project implementation to better understand the various components including the need for a proper system O&M mechanism being in place as quickly as possible. Otherwise, situations such as the non-utilization of water-level recorders could arise.  13 (f) It is important that proper maintenance of the canal lining and other project works is ensured and adequate fund and staff allocation is made for the purpose. (g) The project has demonstrated that provision of a small meeting room jointly to be used by farmer groups from 3-4 blocks has facilitated planning for water distribution and enhanced the status of the farner organizations within the village community and that women can be very effective irrigation community organizers. Initiatives as above should therefore be supported along with setting up of farmer organizations, which is intended under the proposed TNWRCP project. (h) The use of the term "Rotational Water supply (RWS)" when applied to water distribution within a block (as distinct from supply to the block) seemed to have not been a proper choice. A better alternative would have been to use the terrn "farmer water management" and this should be considered under future irrigation projects. (i) The project was handicapped by frequent changes of senior staff and delays in deployment of staff for farmer water management program. Such occurrences should be avoided in future projects. Also interaction amongst various departments involved in irrigated agriculture should be institutionalized at all levels of the Government (see para. 11.2). 11. Project Relationships 11.1 Throughout the project period a good working relationship existed between the Borrower and the Bank. This was enhanced through the constructive attitude of the Bank's staff to the problems as they arose and the willingness of the Borrower to respond positively to the suggestions offered. 11.2 Interaction between the various GOTN departments involved in the project could have been better. In particular, the relationship between PWD's Irrigation Wing and AD could have been considerably closer. 12. Consulting Services 12.1 PWD used the services of other agencies in a consulting capacity for the project quite freely. These were generally satisfactory, except that the second stage of the computer-assisted operational studies has been delayed and the studies have not still been completed. 13. Project Documentation and Data 13.1 The SAR and the legal documents were generally perceived as sufficient to provide a useful framework to guide project implementation. Bank supervision reports provided valuable information on project performance during its implementation. Reporting on the part of the implementing agencies has also been adequate. 13.2 However, although not necessarily designed for that purpose, the SAR is the principal document available to the Borrower, expressing Bank intent or views on various aspects of the project. It is treated by Borrowers as the Bible of the project, and as such it often falls short  14 in some respects, as in this case. The problem is that in the understandable interests of brevity, statements on technical matters are often left unsupported and consequently without possibility of review or further consideration by readers not having access to Bank background files. The detailed Project Implementation Volume generally remains with the Borrowers senior staff To facilitate field work, it may be worthwhile that a limited-edition of this volume is made available to staff direcdy involved with project operations.  15 PROJECT COMPLETION REPORT PART Il. PROJECT REVIEW FROM BORROWER'S PERSPECTIVE PERIYAR VAIGAI IRRIGATION II PROJECT (CR.1468-IN and SF CR.16-IN) SPECIAL CHIEF ENGINEER, PWD PERIYAR VAIGAI PROJECT MADURAI - TAMILNADU May 1994   16 PROJECT COMPLETION REPORT INDIA PERIYAR VAIGAI IRRIGATION II PROJECT CR.1468-IN and SF CR.16-IN) PART II