Vegetable Production and Irrigated Agriculture Project (RRP MON 51423-002)

Asset Management and Operation and Maintenance Arrangements

Project Number: 51423-002 February 2020

Proposed Loans and Administration of Grant Mongolia: Vegetable Production and Irrigated Agriculture Project

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Table of Contents

A. Overview of Policies and Institutional Settings on Irrigation management in Mongolia 1

1. Irrigation Development Policies 1 2. Governance and Management Structure of Irrigation and Supporting Services 4 3. Current Irrigation Assets and Asset Management 6

B. Operation and Maintenance Cost for the irrigation assets 7 1. Operation Cost of Pump Irrigation 7 2. Pump Maintenance Cost 8 3. Routine Operation and Maintenance Cost 9 4. Other Maintenance Costs 9 5. Total Operation and Maintenance Cost 10 6. Operation and Maintenance Budget by Subproject 10

C. Setting-up and Supporting Community Grower Groups 11 1. Participatory Irrigation Management in Mongolia 11 2. Community Grower Group Establishment 11

D. Asset Management Plan 16 1. Asset Record Keeping 16 2. Asset Management Framework for Sustainable Irrigation 18 3. Expected Irrigation Assets of the Modernized Subprojects 22 4. Needs Based Budgeting 24

E. Project Operation and Maintenance guidelines and Procedures 24 1. Pressurized Irrigation System 24 2. Gravity System 30

F. Conclusions and Recommendations 32

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List of Tables Table 1: Key Performance Indicators of the Action Programme on Vegetables 2018-2022 ........ 3 Table 2: Responsibilities of Government Organizations Linked to Irrigation Management .......... 4 Table 3: Operating Cost of Pumping for Six Subprojects ............................................................ 7 Table 4: Average Maintenance Cost of Pumps .......................................................................... 8 Table 5: Annual Operation and Maintenance Cost of the Pump ................................................. 8 Table 6: Comparative Costs of Piped Irrigation Systems ............................................................ 9 Table 7: Annual Maintenance Cost of Piped Irrigation Systems ................................................. 9 Table 8: Estimated Total Operation and Maintenance Costs .....................................................10 Table 9: Annual Operation and Maintenance Cost by Subproject .............................................10 Table 10: Formation Process for a Water Users Association ....... Error! Bookmark not defined. Table 11: Inventory of Assets for Operation and Maintenance ..................................................19 Table 12: Responsibilities of Asset Management ......................................................................21 Table 13: Expected Irrigation Asset Condition of the Modernized Subprojects ..........................22 Table 14: The Water fee based on Ecological and Economical Value of Water, MNT/m3 ..........23 Table 15: Number of Pump and Sprinklers, Drip in Command Area ..........................................25 Table 16: Irrigation Schedule ....................................................................................................26

List of Figures Figure 1: Major Operational Management Tasks of WUA ........... Error! Bookmark not defined. Figure 2: Irrigation Asset Management Structure ......................................................................17

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ABBREVIATIONS

ADB – Asian Development Bank AMP – Asset management plan FAO – Food and Agriculture Organization GDP – gross domestic product ISF – irrigation service fee MOF – Ministry of Finance MOFALI – Ministry of Food, Agriculture and Light Industry O&M – operation and maintenance OFWM – On-farm Water Management PIM – participation in irrigation management RBA – river basin administration UNDP – United Nations Development Programme WUAs – water user associations WUG – water user groups WWF – World Wildlife Foundation

GLOSSARY

aimag – the first-level administrative subdivision of Mongolia soum – the second level administrative subdivision of Mongolia

NOTE

(i) In this report, "$" refers to United States dollars. In preparing any country program or strategy, financing any project, or by making any designation of or reference to a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.

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Summary 1. In 1959 the need arose to increase production of wheat, potatoes, and vegetables to meet the growing demand of the population reduce imports and improve the risk-bearing capacity of pasture animal husbandry. The Government of Mongolia (the government) announced and implemented the 1st campaign on “bringing virgin lands-ATAR” under cultivation in 1959, the 2nd campaign in 1976 and the 3rd one in 2008 in order to produce the required wheat, potatoes and vegetables domestically. 2. In support of the above campaigns, the government seeks to improve irrigation systems and implement community participation in the management of irrigation systems so that they are financially sustainable and provide water in an efficient manner. Despite efforts taken by the government, this study found that irrigation water is provided as a free service or the pricing systems act as disincentives to efficient water use (do not support the most efficient use of scarce irrigation water). Thus, all the irrigation schemes have failed to make the necessary changes required for cost recovery of the irrigation schemes. The performance of most rural irrigation systems is extremely low, thus the sustainability of the systems in the future are in risk. 3. The irrigation asset management framework and operation and maintenance (O&M) procedures and costs proposed in this paper aim to rectify the above situation if implemented properly. They are required to be updated during the implementation of modernization and upgrading of subprojects by the Ministry of Food, Agriculture and Light Industry (MOFALI) with help of the project implementation consultant by reflecting actual works to be done and detailed O&M requirement. Then, an updated O&M plan including the plan to increase the irrigation service fee (ISF) and the government budget allocation will be reviewed and confirmed by the Ministry of Finance (MOF) and Asian Development Bank (ADB) before project completion. Finally, the government has to approve the O&M plan before project completion by issuance of a government resolution.

A. Overview of Policies and Institutional Settings on Irrigation management in Mongolia

4. Overcoming the initial shock wrought by free-market reforms, the farming industry in Mongolia has been recovering gradually. It is trying to re-position itself as a competitive industry with the ultimate goal of self-sufficiency in grains and vegetables. The Government has taken several policy initiatives to boost the industry; however, as noted, structural and institutional challenges hinder the development.

1. Irrigation Development Policies 5. Policy Documents. The government has adopted several long-term national policy documents - Sustainable Development Vision 2030 and Green Development Policy, State Policy on Food and Agriculture 2016-2025 that set general provisions and targets for sustainable development in the social, economic and environment sectors. As agriculture is one of the key economic sectors, both documents include measures for the increase in agricultural outputs, food production and supporting farmers and herders and rural development. There are also a number of other laws and policies that regulate crop production related issues. 6. Mongolia’s Sustainable Development Vision-2030.1 is an over-arching national long-term policy document defining the key development priorities of Mongolia towards Sustainable Development Agenda 2030. Objective 3 addresses increasing the fertility of soil, reducing land deterioration, adopting economical and efficient advanced agro-technical and irrigation technology to repair soil, and develop intensified farming in order to meet the domestic demand for grains, potato, and vegetables:

(i) phase i – (2016-2020): Increase the use rate of zero-tillage farming technology to 70% in grain fields, adopt new and efficient irrigation technologies, increase the area of irrigated arable land to 65,000 hectares, increase the supply of fertilizer 50%, raise the supply of high quality local seeds to 75%, increase the fertility of farmlands, and reduce soil degradation and erosion.

(ii) phase ii – (2021-2025): Increase the use rate of zero-tillage farming technology to 80% in grain fields, adopt new and efficient irrigation technologies, increase the area of irrigated arable lands to 100,000 hectares, increase the supply of fertilizer to 70%, raise the supply of high quality local seeds to 90%, increase the fertility of farmlands, and reduce soil degradation and erosion.

(iii) phase iii – (2026-2030): Increase the use rate of zero-tillage farming technology to 90% in grain fields, adopt new and efficient irrigation technology, increase the area of irrigated arable land to 120,000, increase the fertilizers demand to 100%, raise the supply of high quality local seeds to 100%, increase the fertility of farmlands, and reduce soil degradation and erosion.

7. Green Development Policy of Mongolia.2 This policy recognizes the importance of ensuring sustainable food security in Article 3.1.5. It states that “meeting the domestic demand for grain, potatoes, and key vegetables should be done through reduced land degradation due to crop production, by improving soil fertility, introducing agro-techniques for soil maintenance, efficient and advanced technologies for irrigation and establish tree windbreaks or forest zones. Also, it sets a target to reach a share of the agriculture and processing industries in total Gross Domestic Product by 28% in 2020 and 30% in 2030.

1 Approved in 2016 by Parliament of Mongolia. 2 Approved in 2014 by Parliament of Mongolia

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8. State Policy on Food and Agriculture 2016-2025.3 It contains a target of increasing the agricultural sector’s five-year average gross domestic product (GDP) growth from 12 percent in 2014 to 20 percent in 2025. Among its salient features are an increased emphasis on shifting to intensive livestock farming to create a sustainable supply of meat and milk for the population and expanding arable land for crops. It also focuses on increasing food exports by establishing free-trading zones for agriculture, boosting organic farming and enhancing food safety and animal health control. 9. Action program of the government of Mongolia for 2016-2020. Under this action program the “THIRD CROP CULTIVATION or ATAR 3 CAMPAIGN” will be continued. Particularly the articles 2.39-2.47 of the action program state:

(i) Improve the cropland usage and determine regions suitable for agriculture and intensified animal husbandry and ensure 100% self-sufficiency in crops, potatoes, and other key vegetables and 50% supply of planted fodder by domestic production.

(ii) Supply the population with nutritious fruits and berries by increasing their varieties and production, establish a consolidated sea-buckthorn production network and increase the export revenues.

(iii) Increase per hectare crop outcome through comprehensive development of soil fertility, soil yield and plant seed procreation industries and improving the quality and variety of seeds.

(iv) Develop comprehensive plant protection measures and prevent cropland from soil erosion and degradation, and introduce gradually the zero-tillage technology, suitable plantation rotation and improve the soil fertility.

(v) Construct new and renovate existing irrigation systems based upon hydro survey and research: promote the introduction of advanced irrigation techniques and technologies and increase annually the area of irrigated land.

(vi) Develop a model greenhouse complex for winter and summer, and sustainably supply urban residents with newly cropped vegetables.

(vii) Promote imports of advanced agricultural techniques and technologies, equipment, fertilizers, and plant protection chemicals by taxation policy and financial leasing methods.

(viii) Increase storage, warehouse, grain elevator, and barnyard capacities and provide support for setting up a comprehensive system for storing and marketing.

(ix) Create a legal environment for agricultural insurance 10. Third Crop Rehabilitation Campaign. The “Third Crop Rehabilitation Campaign” also called the “Third Virgin Land Program (or Atar 3 Campaign)” -2008-2010 was the central and most successful government program for the crop sector. The program goals were to:

(i) create favorable economic conditions for farming; (ii) increase agricultural production; (iii) ensure food security; (iv) eliminate dependence on imports; (v) increase self-reliance; and, (vi) intensify development of crop production.

11. As seen from above policies overview, the “Atar 3 Campaign” has continued under consecutive government national development plans and is still being implemented. The current

3 Approved in November 2016 by Parliament of Mongolia

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phase is to 2020. The current focus is advanced technology transfer, such as water retention and soil protection technologies, as well as the development of the vegetable seed production industry. The current phase aims to achieve self-sufficiency in wheat and potato and commonly consumed vegetables such as potato, carrot, cabbage, turnip, onion and 50% of fodder plants production for cattle farming. 12. Objective and Target of the National Action Programme on Vegetable 2018-2022: The Cabinet of Mongolia has approved4 the “Action Programme on Vegetable” and “Action Programme on Fruit” to be implemented in 2018-2022 in order to meet domestic production demand of crops and intensify domestic crop industry under various National Policies. 13. The main objective of the Action Programme on Vegetable is to promote domestic production of crops and meeting demand year around in the country by supporting the entities and thousands of household producers. There are 4 sub-objectives to meet the main objective:

(i) A sustainable supply of fresh vegetables and reduce import dependency in spring and winter time by supporting the greenhouse industry, increase the types of crops, and yield per hectare;

(ii) Intensify vegetation production, increase irrigated cropland and storage capacity by promoting advanced technologies and techniques, private investment, market network, and specialized sale market;

(iii) Improve domestic seed production and improve the quality and supply by supporting the local genetic varieties and domesticate the promising varieties;

(iv) Improve human resources and capacity by strengthening skills and knowledge of crop entities, and household producers, through providing training and information.

14. The targets for 2025 in the Food Production and Agricultural Sector are in Table 1. Table 1: Key Performance Indicators of the Action Programme on Vegetables 2018-2022

Ref. Key Performance Indicator Unit Baseline (2017)

Target (2022)

1 Main vegetables (domestic demand met by domestic production

% 52 100

2 Not widely grown vegetables (domestic demand met by domestic production)

% 10 60

3 Total production of vegetables thousand tons 93.5 181.5 4 Import dependency a thousand tons 60.0 36.0 5 Yield tons/hectare 11.21 14.21 6 Vegetable type and varieties number 31 types,

65 varieties 40 types,

90 varieties 7 Seed production kg 15,000 20,000 8 Onion and garlic seed ton 9 100 9 Local genetic and promising varieties number 65 90 10 Mechanization percentage 38 60 11 Storage capacity thousand ton 197.5 297.5 12 Greenhouse’ production ton 5.1 11.2 b 13 Winter greenhouse hectare 19.1 51.1 14 Summer greenhouse hectare 56.8 166.8 15 Irrigated cropland hectare Drip irrigation 87.8

ha, sprinkler 670 hа, surface flooding

7,583.7 hа

From baseline, drip irrigation by 412.3 ha, sprinkler by 1,830 ha,

surface flooding by 1,300 ha.

16 Biological crop protection ton 0.0 300.0

4 Approved in 26th November 2015 by Parliament of Mongolia.

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Ref. Key Performance Indicator Unit Baseline (2017)

Target (2022)

17 Mineral fertilizer ton 30,000 50,000 18 Number of people trained in the near

and mid-term ton 300 2100

19 Number of crop entities, and household producers

number 35,000 43,000

20 Average household income thousand MNT 1,000 1,500 a Based on 2017 yields and domestic demand, an extra 2141 ha of vegetables would be required to reduce import dependency to 36,000 tons or 5,350 ha to achieve self-sufficiency. b Cucumbers, tomatoes, sweet peppers, and strawberries. Source: National Government of Mongolia. 2015. National Action Programme on Vegetables.

2. Governance and Management Structure of Irrigation and Supporting Services

15. There are various types of stakeholders engaged in irrigation development, asset management and O&M, depending on scale and level of commercialisation. They range from the farmers themselves, Central government (i.e. MOFALI), government officers (aimag, soum government), water service providers (River basin administration), suppliers of inputs materials, buyers of produce and others in the value chain that are affected by the scheme. Main government organizations and line ministries involved in water use are shown in Annex 1 and Table 2. Table 2: Responsibilities of Government Organizations Linked to Irrigation Management

CENTRAL GOVERNMENT

MINISTRY MOFALI Crop agriculture policy, development, implementation, and capacity

building

Ministry of Environment and Tourism

Water resources availability and management

Ministry of Finance Financing for cropping and irrigation

Ministry of Health Human health

Ministry of Energy Responsible for infrastructure related to power and development of renewable energy and Energy for cropping and irrigation

Ministry of Education, Culture, Science and Sports

Research, innovation and seed development

LOCAL GOVERNMENT Aimag governments Respective departments are responsible for development of local policies

and implementation of government measures and reports to respective line ministries.

Soum Government Respective officers are responsible for implementation of measures relating responsibilities line ministries and aima. Particularly operations and maintenance of reservoirs, headworks, and main canals are the responsibility of soum government

PUBLIC

Water User Association and Vegetable Grower Groups

Responsible water allocation in the crop land and field applications and maintenance of the field equipment

Source: TA consultant

16. Central Government (CG): At least six ministries are involved in management of irrigated agriculture. Their roles have evolved over time and despite institutional restructuring, their responsibilities for decision making remain complex with much of decision making remaining to be centralized. MOFALI plays key role plans in overall irrigation development and management. Recent role of the MOFALI in IS development is to invest in IS development and provide irrigation

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equipment to farmers at subsidized interest through its “Fund to Support Farmers”. Also, there is no routine O&M fund at the MOFALI. Thus, it is proposed MOFALI should make effort to allocated certain amount (based on O&M requirement) of budget for IS O&M from state budget every year.

17. Local Government (LG): Aimag and soum governments have responsibilities for many water-related areas, including land use planning and irrigated agriculture. All the ministries listed in the Table 2 have representation at local levels. Local ministry representatives are answerable to the central ministries as well as to the aimag and soum governors. Water and environmental management, monitoring, and control functions are responsibility of aimag Environmental Department, River Basin Administration and River Basin council which have representatives at aimag and soum level.

18. Soum Government (SG): All soum have agriculture, land and environment unit. In most of the cases there is only one officer in agriculture units, one environment inspector and two-three rangers in environment unit, one officer in land use unite. The officers reports to soum governor and respective departments in aimag. Also there is meteorological observer who send the observed meteorological parameters to soum governor and to the Aimag Center for Meteorology, Hydrology and Environment at 3 hourly base.

19. Farmers: The maintenance and cleaning of main canal and maintenance of the on-farm canals/pipe is the responsibility of farmers, though there is no formal process or oversight for this being done. In those command areas where the farmers are well organized, some dredging of the main drains and collector drains that are within the boundaries of their area is implemented, but in most cases, no basic maintenance activities are undertaken due to lack of organization and resources. This is usually the responsibility of individual farmers.

20. To date, investment in research and extension remains very low. Free competition for information and technology and a demand for better production systems have arisen. At the same time, the number of inexperienced and less knowledgeable farmers has increased, and the linkages between researchers and farmers have weakened. To improve agricultural performance over time for a sustainable agro-food system, a continuous commitment to building and maintaining institutional and individual capacities in agricultural research and advisory services will be required. The role of effective advisory service systems must not be underestimated in accelerating agricultural innovation, which is fundamental in achieving the 2030 Sustainable Development Goals. Extension services, resources, types, and constraints, agronomy, water management, market. 21. The main players in the Mongolian agriculture research and extension system are:

• The Government – developing agricultural production, extension and research policy, setting priorities of agricultural research and extension activities and partnering with external agricultural players/donors;

• Public research institutions and agricultural universities – carrying out long- and short-term research projects, testing different varieties and technologies and offering both undergraduate and graduate degrees in agriculture. Both research institutions and universities have extension centers that offer some training sessions;

• National extension centers (public) – organizing training and extension activities across the country through their aimag (province) and soum (village) branches. They often liaise with and provide international projects with training programs and other activities, rather than linking farmers with other stakeholders, including researchers, based on their needs;

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• Private sector – providing goods and services to farmers for profit, mainly input suppliers like seed, fertilizer, machinery and irrigation equipment.

• Non-governmental organizations (NGOs) – implementing government and non-governmental programs and international projects, and bidding on tenders for input importation;

• International projects – providing funding for inputs and equipment, and expertise and support for technology transfer;

• Farmer associations– often formed by politicians for lobbying purposes, involved in implementing international and national projects (when funding is available); and

• Farmers and agricultural producers – traditionally receiving research and extension services.

22. The National Agricultural Extension Centre (NAEC), established in 1996 under the Ministry of Food and Agriculture (MoFA) and located in Ulaanbaatar, is the main public extension service provider. Its legal status is defined in the Laws on Science and Technology. The NAEC was established by Government Resolution 286 and assigned to “develop a sustainable food and agriculture sector by motivating and educating rural citizens through an effective technology transfer system. Although the NAEC’s mandate is significant, the actual activities it can implement today are limited. Its main products and services include organizing events and producing information products such as brochures and booklets. The NAEC lacks institutional support, adequate budget allocation, incentives and an effective governance and management system. The public extension system in Mongolia currently uses a mostly top-down, linear approach for decision-making and other extension-related activities. The administrative structure of the public extension system is more theoretical than functional. The MoFA funds the NAEC, but its public budget allocation is minimal. Over 80 percent is spent on salary and insurance, while training and meetings account for barely 2 percent of the total NAEC budget. By 2014, it had a total of 26 full-time staff and over 60 part-time scientific advisers in different agricultural disciplines5.

3. Current Irrigation Assets and Asset Management 23. Currently, there is only about 54,000 ha under irrigation against a potential area of around 400,000 ha (MOFALI, 2018). 24. During preparation of the subprojects field visits were undertaken to identify target irrigation schemes in the Central, Western, and Eastern regions. Forty-eight were visited including 24 in the Western and Khangai regions from 28 March to 12 April, 17 in Central Region from 15 to 21 April6 and 7 in the Eastern Region from 22 to 26 April 2019. The team visited the 48 irrigation schemes to evaluate their current physical condition, availability of water resources at source, farming activities including crop patterns, irrigation management, and marketing. 25. During the field visits the team met aimag and soum Governors, Speakers of Local Parliament, and Directors of Agriculture Departments of aimags and other local government representatives, and representatives of farmers (14 to 35 in each site). 26. Most of the irrigation schemes were constructed between the end of the 1960s and the end of the 1970s. The previous soviet era schemes used to work well, but during the economic transformation in the early 1990s, the installed infrastructure and equipment was effectively stripped for sale. The soum governments were unable to plan for and ensure there was an adequate transition of working schemes from the centralized management to company

5 FAO, 2017. Mongolia: A review of the agricultural research and extension system 6 Plus a scheme on 2-3 May in the Central Region.

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ownership, management and sustainable O&M. Most schemes visited used to have reasonable if older style infrastructure but, in most cases, there is now nothing left. In a few cases, farmers have managed to keep small parts of systems operating, though inefficiently with broken structures, canals, limited if any old equipment, and little if any technical and financial support. 27. Of the irrigation canals seen, many are or were originally lined (in part, if not completely), but much of the lining is now in poor condition and should be replaced. Few distributary canals are lined, as these are generally within the irrigated areas, so crops can potentially access some of the leaked water. Of the gates observed in the field, they are too lightweight (frames and plates), and so are prone to distortion when subjected to freezing water and ice impacts, as well as from any abrasive sediment laden flow. Thus, the efficiency of irrigation schemes, field irrigation efficiency, and command area irrigation efficiency are very poor.

28. Currently all irrigation is furrow at the selected sub-project IS, in other word there is no pivots and drip systems. 29. Irrigation water for household farmers is free of charge, there is no budget at all for managing, operating, and maintaining the irrigation schemes and no machinery and equipment for maintenance. 30. Overall the performance of most rural irrigation systems is extremely low. In general, the assessment results indicate that the irrigation scheme assets under the authority of local governments (aimag/soum) are in poor condition. This is because the irrigation schemes do not receive any routine O&M fund from local or central government. 31. The sustainability of the schemes in the future is at risk. The efficiency of irrigation schemes should be improved to improve efficiency and productivity. Independent funding of the schemes should be encouraged to support system sustainability in the future. B. Operation and Maintenance Cost for the irrigation assets

1. Operation Cost of Pump Irrigation 32. A Food and Agriculture Organization (FAO) manual7 is used to calculate energy requirement as energy requirements are proportional to the discharge, head and efficiency of the pumping and conveyance and distribution system. The cost of $0.05 per kWh is from National statistics. The calculation of operating cost is illustrated for 6 subprojects as a representative of different command area in Table 3. As can be seen from this table the estimated average cost of pumping is $53.5/ha/year.

Table 3: Operating Cost of Pumping for Six Subprojects

No Item Unit Erdenburen Ulaandel Dulaanii Tal

1 Command area ha 2,000 400 700 2 Total Dynamic Head m 40 30 30 3 Total volume of water required

(Water pumped during May-Sep) m3/year 7,300,000 2,625,685 4,642,171

4 Total Water Requirement in June m3 1,735,167 1,282,500 1,666,000 5 Peak Pumping hours hrs. 24 24 55

7 FAO 2001: Irrigation Pumping Plants, Irrigation Manual Module 5. Water Resources Development and Management

Officers FAO Sub-Regional Office for East and Southern Africa. Harare, 2001.

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No Item Unit Erdenburen Ulaandel Dulaanii Tal

6 Quantity of water required m3/hr. 2410 423 771 7 Pump operation hours in a year hrs. 3029 3035 2161 8 Power requirement kW 465.69 71.45 204.88 9 Motor efficiency % 0.88 0.88 0.88 10 Energy requirement for total command

area kWh 1,602,986 246,418 503,019

11 Energy per ha7 kWh/ha 801.49 605.45 718.60 12 Rate per kWh8 $ 0.05 0.05 0.05 13 Operation cost/ha $ 40.07 30.27 35.93

Average cost per ha USD 35.42

Source: TA Consultant

2. Pump Maintenance Cost

33. The lifetime of the pumps is assumed to be 20 years and typical life cycle criteria for a pump system9 are as follows:

• 40 % energy

• 25 % maintenance

• 10 % pump

• 10 % operating

• 7 % installation

• 5 % environmental

• 3 % downtime 34. Based on the above criteria the maintenance cost of the pump has been estimated for all pumped subprojects which varies from $3.30 to $16.48/ha/year and can be averaged at $ 8.56/year/ha (Table 4). The total O&M cost of the pump including (a) operating cost (b) maintenance is 62.06 $/ha/year

Table 4: Average Maintenance Cost of Pumps

No Project

Command area

No of pump

Pump cost Maintenance

Cost of the pump Maintenance Cost per year

Maintenance cost per ha

Ha No $ $ $ $

1 Erdeneburen 2000 5 144230 360576 18028 9.01 2 Boomiin Am 237 2 23076 57692 2884 12.17 3 Ulaandel 400 2 23076 57692 2884 7.21 4 Khuren Tal 500 2 23076 57692 2884 5.76 5 Okhindiin Tal 2100 5 144230 360576 18028 8.58 6 Dulaanii Tal 700 4 92307 230769 11538 16.48 Total 59.21

Maintenance cost of pump per ha per year 9.8610

Source: TA Consultant

Table 5: Annual Operation and Maintenance Cost of the Pump

No Item Unit Value

1 Operation cost of the pump $/ha 35.42

2. Annual O&M cost (other than energy) $/ha 9.86

8 Energy consumption and cost in National statistics, 2019 9 http://www.pumps.org/HI_Launches_Its_First_Personnel_Certification_Program_for_PSAP.aspx 10 https://www.adb.org/sites/default/files/linked-documents/47181-002-sd-05.pdf

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Total O&M Costs $/ha 45.28 Source: TA Consultant

3. Routine Operation and Maintenance Cost

35. Sprinklers are proposed to be used for more than 70 percent of the project’s command area. Thus, the method of irrigation is mostly pressurized irrigation. Accordingly, routine maintenance includes (i) control station, (ii) main and distributary pipes, (iii) fittings and other accessories, (iv) laterals (pipes and emitters), and (v) sprinklers. According to a FAO handbook11 the routine O&M cost is 5 % of the installation cost per ha. Example of the FAO handbook is illustrated in Table 6.

Table 6: Comparative Costs of Piped Irrigation Systems

Item Piped surface method

Sprinkler conventional hand-move

Micro-irrigation solid installation

Area (ha) 1 1-2 2-3 1 1-2 2-3 1 1-2 2-3 Installation cost a ($/ha) 1700 1600 1400 2800 2700 2100 3950 3300 3000 Annual maintenance cost a ($/ha) 85 80 70 140 135 105 200 165 150

a Average 1997 prices in Europe Source: FAO, Handbook on pressurized irrigation technique

36. Table 7 presents the estimated routine O&M cost for subprojects based on O&M cost percentage adopted by the FAO handbook. The installation cost has been taken from the cost estimation of the subprojects. The estimated average annual routine O&M cost is $73.13/ha/year.

Table 7: Annual Maintenance Cost of Piped Irrigation Systems

No Project Command Area (ha)

Installation costa ($)

Annual Maintenance cost

($/ha)

Remarks

1 Tsakhir 200 198,026 49.50 Annual maintenance cost at the rate of 5 % of installation cost

2 Yolton 320 479,657 74.94 3 Erdenburen 2000 1,400,869 35.02 4 Boomlin am 237 73,400 15.48 5 Khoid Gol 420 735,388 87.54 6 Tsul-Ulaan 161 270,669 84.05 7 Ulaandel 400 310,092 38.76 8 Khurental 500 358,423 35.84 9 Nogoon Khashaa 64 163,065 127.39 10 Iven Gol 240 344,342 71.73 11 Okhindintal 2780 789,007 14.19 12 Sugnugur 140 367,184 131.13 13 Dulaanii Tal 700 474,253 33.87

Total 799.50 Average 61.50

a Exchange rate $1.00 = MNT2,650, based on the Mongolian bank average rate of August 2019. Source: TA Consultant

4. Other Maintenance Costs

37. The other maintenance cost includes the O&M (a) sediment handling (b) rock barrier and water level control weir across the river (c) head regulator (d) bridge (e) windbreak (f) roads, (g) drains etc. that relate to mostly civil works beside the pressurized irrigation system in the

11 FAO 2007: Handbook on pressurized irrigation techniques. http://www.fao.org/3/a1336e/a1336e.pdf A. Phocaides,

FAO Consultant. Rome 2007.

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command area. It is calculated at the rate of 0.5 % of civil works investment cost with a resulting estimate of $5/ha/year for ‘other maintenance cost’.

5. Total Operation and Maintenance Cost

38. The total cost includes O&M of (1) pressurized irrigation in the command area (2) Pumps (3) other maintenance cost for the other civil works. The cost for gravity fed irrigation system and Pump fed system are $78.13 and $140.19 respectively.

Table 8: Estimated Total Operation and Maintenance Costs

No Item O&M Cost, $ per ha

Gravity fed system Pump fed system

1 Routine O&M cost for pressurized irrigation system

61.50 61.50

2 Other maintenance cost 5 5

3 Pumping operational cost 35.42

4 O&M cost of pump (other than energy) 9.86

Total O & M costs 66.50 111.78 Source: TA Consultant

6. Operation and Maintenance Budget by Subproject

39. The table below shows the total O&M cost per year required for each subproject (Table 9). The O&M cost for each subproject will be reassessed by MOFALI during the project implementation to develop the realistic and detailed O&M plan. This table will be helpful to determine the following strategy by MOFALI.

• Proposed strategy for financing the O&M cost

• Proposed O&M financing plan.

Table 9: Annual Operation and Maintenance Cost by Subproject

No Irrigation Scheme

Irrigated Area

Pumped Irrigated

Gravity +Pump a

Gravity Irrigation

O&M cost per ha

O&M Cost /year

ha ha ha $ $

1 Tsakhir 200 200 111.78 22,356 2 Yolton 320 320 66.50 21,280 3 Erdenebur

en 2000 2000

111.78 223,560

4 Boomiin Am

237 237 66.50 15,761

5 Khoid Gol 420 420 66.50 27,930 6 Tsul-Ulaan 161 161 66.50 10,707 7 Ulaandel 400 400 111.78 44,712 8 Khuren Tal 500 500 111.78 55,890 9 Nogoon

Khashaa 64 64

66.50 4,256

10 Iven Gol 240 240 66.50 15,960 11 Okhindiin

Tal 2780 2780

111.78 310,748

12 Sugnugur 140 140 66.50 9,310 13 Dulaanii

Tal 700 700

111.78 78,246

Total 8,162 6,817 605 740 840,715

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a Gravity canal up to command area and self-propelled lateral move sprinklers for field application. Source: TA Consultant

C. Setting-up and Supporting Community Grower Groups

1. Participatory Irrigation Management in Mongolia 40. By the mid-2000s, there was some attempt to improve participation in irrigation management (PIM) in Mongolia under various integrated water resources management projects and since then various regulations and projects have been launched to support farmers’ PIM. 41. The World Wildlife Foundation (WWF) project in the Buyant river basin12 and United Nations Development Programme (UNDP) adaptation project13 in the Kharkhiraa and Turgen river basins have demonstrated some benefits while Water User Associations were supported and active. The challenge for participatory irrigation management lies in instituting better approaches to perform the key process of equitably distributing water and maintaining irrigation system by establishing WUAs or related organizations and to ensure the sustainability of these organizations. Activities of WUAs have stopped after the projects completed as they did not have technical and financial support. It is therefore proposed that the project supports set-up and support of WUAs for at least 3 years. The above experience confirms lessons learned in various irrigation systems around the world which show that if WUAs are not existing, instead of setting up a new WUA it is often better to extend the field operation and maintenance tasks to this existing organization. Under preceding projects for vegetable production Community Grower Groups (CGG) have been established. It is recommended to extend the tasks of the to operation and maintenance of the irrigation infrastructure for field applications. Extensive training will be required to prepare the CGGs for center pivot and drip irrigation system. Th CGGs will have to how to coordinate crops, agree on timing of irrigations and plan how to agree on and carry out the repairs required to keep the system running. For some tasks the CGGs will have to be assisted by the Soum government

2. Community Grower Group Establishment

42. Active participation of farmers, especially the poor and the marginalized, into the management of irrigation schemes is crucial for the long-term sustainability of the system itself, and for project objectives in achieving poverty alleviation targets and increasing income. The project aims to build up the capacity and active participation of farmers starting during the detailed , the construction phase and where possible after the commissioning. Farmers will be organized in the form of Community Grower Groups (CGG). The CGG will be independent bodies to collectively manage the field systems and shared assets. They will also form points of contact for engagement with soum governments in relation to planning, operation and maintenance. 43. The long-term goal for the CGG is that farmers will gradually learn technical operations and maintenance requirements of the systems and the CGG will progress into legal entities responsible for own financing capable of making sound business decisions and over-taking more responsibilities in O & M of the systems. To achieve this a whole suit of supports are planned and described below. The project will leverage project financing from the loan proceeds and the Japan

12 Implemented in 2008-2012. 13 Implemented in 2012-2015.

12

Fund for Poverty Reduction grant to deliver such. A total of 48 CGGs will be formed and become operational in 12 soums.

Forming of community grower group

44. Formation of CGGs will be carried out by a team of project implementation consultants in consultation with soum governments and farmers. The team is led by a community development specialist, supported by 12 soum coordinators who are physically based in the soum centers. Supports will also come from other technical implementation consultants including operation and management specialists, vegetable production and agribusiness specialist, greenhouse specialists, water management and irrigation specialist, soil scientist, entomologist/pest management specialist, seed management specialist, and fertilizer quality and application specialist. 45. Awareness campaign using different forms and materials will be carried out to promote buy-ins and participation at the start of the project. It is important that soum government officials and farmers all understand what the CGG is about, how that could benefit them, and their way of participation. Videos, leaflets and pictures can be distributed at soum centers and to farmers. Open consultation meetings will be organized to explain to interested farmers. 46. The soum governments will have an important role in guiding the process. The project will engage and involve relevant government officials at the planning stage and during consultation meetings. there is a need for soum government to have designated points of contact who can lead and participate the process, and maintain a long term relationship with the CGGs. 47. CGGs formation will be started on the start of the implementation phase of the project. Farmers were already informed and consulted during the project preparation phase on the plans to modernize the selected systems. They will be actively recruited and engaged during construction phase so that they become part of the project at early stage. When the system is ready to be operated, the CGGs should have been sufficiently organized and trained to operate field pumps for both sprinkler and drip irrigation system. 48. Each CGG needs to establish a functional governance structure. The exact structure will be worked out through a consultative process customized to the local settings. There should be a head or chairperson, who is elected by members to coordinate group activities including calling for meetings. Members of the group are responsible for planting planning, pump/gate operations, finance, asset register, greenhouse keeper, storage manager etc. The CGG will be open for membership to all farmers in the concerned area. Due consideration is given to encourage participation of women and marginalized people. Women will make up at least 40% of all CGG committees and training participants. At least 12 of the 48 CGGs will be headed by women farmers. 49. Trainings and training materials will be designed, developed, and implemented by the community development specialist together with technical consultants for CGG members as well as soum government points of contacts. The trainings will aim to improve the capacity of soum coordinators and CGG members in improving organizational capacity, agronomic practices, irrigation management, post-harvest management including use of cold storages, and marketing skills. The coordinator will learn to perform irrigation scheduling, operations and maintenance of headworks and main canal systems. Members will learn how to operate and maintain irrigation equipment.

13

50. The successful establishment of CGG is marked by the formal structure in the group supported with a well-developed Community Group Action Plan (CGAP). The CGAP defines the functions and responsibilities of the group and its members related to the whole circle of the farming business. It also includes the inventory of the asset to be provided to the group. The CGAP must be approved by soum government and the PIU before any asset could be physical handed over. Functions and responsibilities 51. The irrigation systems will initially be jointly operated by the soum governments and the CGGs and/or individual farmers. The soum governments will be responsible for the operation and maintenance of the headworks and main canal systems, while the CGG/individual farmers will be responsible on field level canals, pipe connections and pumps. Maintenance responsibilities are divided accordingly. Soums and CGG will be prepared for these tasks through extensive trainings and technical support by the project capacity building consultants.

Management responsibilities of Soum government and CGG on irrigation systems

52. The CGGs will be autonomous bodies collectively making decisions and implement the same on their farming business. The CGAP defines their functions and responsibilities, which include:

• Membership, and governance structure of the CGG;

• Choices of crops, seeds, and planting schedule;

• Operation and maintenance of the field level irrigation infrastructure and equipment.

• Soil, fertilizer, and pesticide management;

• Post-harvest management, and market activities;

• Asset management. 53. Choices of crops, seeds and planting schedule will form the basic business decision of the CGG which will affect not only their food security and income, but also the operations of the irrigation systems. Therefore there is a great need for CGGs to coordinate among the users of the irrigation system to discuss and agree on what they will grow, when to grow and when to irrigate. The CGG is a platform for members to share market information, including supplies of inputs, and selling opportunities and prices of farm produce. Choices of crops and seed don’t need to be all the same. But should allow continuous and efficient operations of the sprinkler and drip systems.

14

54. Irrigation operation and maintenance is a core function of CGGs. Farmers will be involved at earlier stages of construction of the irrigation system, so that they have exposure to the system. Detailed system operation and maintenance manuals will be provided by the suppliers. Trainings will also be developed and implemented by the project implementation consultants. Key elements of the O & M include: a. Irrigation scheduling, including irrigation quota, timing and duration of operations, rotational supply within the system; b. Liaison with soum coordinators; c. Pump operations and pump house safekeeping; d. Central pivot operations and rotations; e. Lateral sprinklers operations; f. Regular maintenance of pumps and sprinklers; g. Draining of residue water to prevent frost damage; h. Salt leaching to prevent salinization; i. Safe keeping of equipment during planting, harvesting, and non-irrigation seasons. j. Maintenance of growth chamber, storages facilities etc. 55. The CGGs will collectively operate the field irrigation assets including small pumps, pump houses, pipes, sprinkler kits, drippers, and other tools and equipment. A simple asset management system is required to ensure safekeeping and maintenance of these assets. This includes clearly identified responsible person, asset inventory, asset management procedures (to be developed with project implementation consultants). 56. The CGG will gradually build up funds from their agriculture activities to use for regular maintenance and emergency repair. They will be trained to develop financial capacity to design an irrigation and machinery use fee system applicable to the users. Each CGG member will be required to contribute towards its own O&M requirements. The contribution per household level will be determined during early project implementation stages with consultations with the community, project beneficiaries and local government. Asset management 57. Asset management is another core responsibility of the CGGs. Making sure such responsibility for CGG in asset management will help ensure irrigation assets be properly used, stored and serviced. It requires a strong organizational setup and accountability mechanism internal to the CGG. It also requires making a habit of record keeping, using locally available materials and skills. 58. The project implementation consultants will work closely with soum government to prepare CGGs for building up asset management capacity as part of the CGAP before handing over of the assets. An asset management plan will be developed encompassing three components, asset managers (safe keepers) and responsibilities, asset inventory and updating procedures, maintenance and services manuals and procedures. 59. A simple asset inventory will be designed to allow farmers to do record keeping using notebooks and pens. Important elements are location, dimensions and condition assessments and dates, recommended repairs and responsible. Below are sample templates of data items desired for notebook based inventory:

15

ID14 Type Location Name Length Capacity Materials Condition Action

(GPS) 15 (m) (m3/s) (date) Time

Canal/ Main canal concrete lined

Good None

canal left branch fair Repair 1 month

pipe field pipe HDPE damaged Repair 3 days

flow gates

Culverts

Pumping equipment

ID

Location GPS

Type

Model

Serial Numb

er Capacit

y

Energy

source

Other specificatio

ns Condition

Action-Schedul

e Responsible person

Mobile No.

P1 pump 1

P2 pump 2

P3 pump house AxBxY meters

P4 …

Sprinklers and drippers

ID

Location GPS Type

Model

Capacity

Materials

Specifications Condition

Action-Schedule

Responsible person

Mobile No.

Central

pivot

Lateral sprinkler

Dripper …

Other tools and

equipment

ID

Location

GPS16 Type Mod

el Capaci

ty

Serial numb

er Specificatio

ns Condition

Action-Schedule

Responsible

person Mobile No.

Windbrea

ks

Access

road

Drain

Drain

pipe

Storage

shed

Tractor

Hand tool

O&M management

14 Either ID, or some additional should systematically identify the position and hierarchy level, e.g. Br1 would be the

first right bank branch canal, Pl1 would be the first left off-taking pipe. Details will be developed by the capacity 15 In case of a canal it is the start point (intake from river, offtake from main, secondary), in case of pipes the same

principle. 16 For drains start of drain for road first point entering the scheme boundaries for windbreak NW most point.

16

60. The long-term sustainability of irrigation systems and CGGs depend on a revenue mechanism to ensure O&M, and when necessary, replacement of the infrastructure and equipment. Such revenue might be introduced as irrigation service fees, machinery use fees, or membership fees. Each CGG will prepare a budget with annual revenue and costs that include a provision for emergency repairs and regular O&M costs. This will include operational energy costs (either electricity bills or diesel costs), specialized services costs, regular preventative maintenance and repair costs. It may also include costs as agreed by members, such as advisory services, marketing materials, and other shared production and processing costs. The revenue needs to be targeted in a range higher than annual expenditure to allow for building up of reserves. This is important to ensure resources for planned long term maintenance, emergency repairs, or spikes in energy costs due to extreme weather conditions.

D. Asset Management Plan 61. It is proposed the project develop a simplified asset management plan (AMP) that enable GCCs in rural Mongolia to manage the assets of transferred irrigation systems to them in the best/most cost effective and sustainable way. 62. The three most important things that should be considered in developing the AMP are set out in the following sections.

1. Asset Record Keeping 63. Irrigation asset management is defined as “an integrated approach to improving the ability of an irrigation system to deliver water at a defined level of service in the most cost-effective manner”. Irrigation assets include river structure (dams, weirs,) headworks, main and branch canals, gates, buffer storages, pump stations, pipes, lateral and central pivot sprinkler sets, drip irrigation kits, (other tools and equipment) 64. Asset management helps irrigation authorities utilise and maintain the condition of its assets in the best possible way and be kept running at a good standard, provide a level of service that is consistent with cost-effectiveness and sustainability objectives, and improve the system performance. The asset management goals of irrigation system performance improvement are to achieve improved irrigation efficiency and better crop yields, less canal damage from uncontrolled water levels, more efficient labour, improved social harmony and improved environment as a result of less diversion or better-quality return flows. 65. Currently the head work and main canal of the irrigation scheme is Local Government owned while the Government of Mongolia is planning to adopt a policy under this project of transferring the tertiary irrigation canals to farmers.

17

Figure 1: Irrigation Asset Management Structure

Source: TA Consultant

66. The soum government will own and maintain the rock filled barrier, weir headworks, the main canal/pipe infrastructure, main pipe pumps and the larger irrigation systems such as the centre pivot units17. Central Government or MOFALI should allocated certain amount for O&M from State budget. 67. Farmers’ groups, such as Community Grower Group, will be expanded or established during the project implementation process. They will collectively own the distributary canal in case of open irrigation; hydrants and distributary pipes in case of piped system and portable mini sprinklers and drip irrigation kits, and other equipment and tools for cropping.

68. Procedures need to be set-up, both for Soum Government owned and farmer-owned infrastructure, represented by a water user association (WUA), for:

(i) assessing, monitoring, and regulating over time the condition irrigation infrastructure;

(ii) managing, operating, and maintaining infrastructure. 69. There will need to be procedures by which performance will be measured and the desired level of service that requires communication between the aimag/soum Government (irrigation authority) and WUA. This is a mechanism for focusing the attention of WUAs on sustaining and enhancing the condition of the irrigation infrastructure. 70. To ensure that famers can operate and maintain infrastructure there will be a need to assist them in setting up a CGG, and then training this CGG in various tools and procedures such as preparing an asset management plan, including needs based budgeting and setting ISFs, and operation and maintenance, etc. Further details are provided below.

17 The operation and routine maintenance of these center pivot units will be carried out by CGGs as operation by Soum

government will not be practical

Irrigation asset management

Field irrigation equipment pipes, sprinkler, centre pivots (GCC owned)

Headwork, main canal or pump and main pipelines

(Soum Government owned)

18

71. The sustainability of an irrigation scheme refers to the proper functioning of the infrastructure, the people, agricultural enterprises, management and social systems in the long run. Thus the irrigation schemes sustainability depends on:

(i) Governance: Well determined procedures for governance, including cost-effective institutional and technical setup to govern the scheme and operate the system .

(ii) Capacity: Ability of central, local government and WUAs in terms of technical, financial, institutional and legal context.

(iii) Responsibility: Ability to share the responsibilities of the beneficiaries in the irrigation management i.e. in operation, function and maintenance of an irrigation system.

(iv) Efficiency: water uses efficiency, achieve high level of environmental performance in systems as well as river basin level. The irrigation water distribution calendar and schedule adhered to in order to avoid over irrigation or under irrigation of crops, while meeting the requirement environmental flow.

72. For the future sustainability of the irrigation schemes the following are suggested:

(i) Modernizing irrigation systems: (a) improving canal condition and increasing the number of control gates to improve irrigation service and water distribution in case of open irrigation scheme, (b) check and maintain hydrants and distributary pipes in case of piped system (c) introduce the scope of irrigation service fee to improve water use efficiency, and (c) implement water use fee in accordance with Cabinet resolution no 326 dated 21 September 1013, to increase management, maintenance and operation cost recovery.

(ii) Improving irrigation system management, procedures, and communication by i) defining a governance system with clear responsibilities for different levels of assets ii) developing an asset management system with a clear asset registration, description of the assets including their location, status and repair needs, a classification of the levels and responsibilities, (iii) improving participation in irrigation management: (a) interaction for different groups/levels in charge, (b) diversifying agriculture and developing agricultural business for the purpose of improving the capacity of farmers financial capacity to enable to pay for irrigation fee, (b) expand the role of CGGs as business organization/enterprises, and (c) turnover secondary level/larger system to CGGs.

2. Asset Management Framework for Sustainable Irrigation

56. A simple, probably notebook based, asset inventory will be built for use by farmers. A generic template is attached in annex 3. The inventory of all the projects are summarized in Table 10:

19

Table 10: Inventory of Assets for Operation and Maintenance

Owned by Soum Government Owned by Farmer Groups /WUA

S.

No

Projects

No o

f pum

ps

Rock f

ill b

arr

ier

and

weir a

cro

ss the r

iver

Head w

ork

s

pro

tectio

n

em

bankm

ent

Head R

egula

tor

Ma

in c

anal (O

pen

channel)

Bala

ncin

g/S

ett

ling

Basin

re

serv

oir

Dis

trib

uta

ry c

anal

Fie

ld c

anal

Fie

ld c

anal flo

w g

ate

s

Culv

ert

s

Dra

ins a

nd p

rote

ctio

n

work

Roads

Win

d b

reak

Dra

in w

ell

Cente

r P

ivot

Late

ral m

ove

Sprin

kle

r

10 h

a D

rip

syste

m

5 h

a D

rip

syste

m

3 h

a D

rip

syste

m

No m

m No Km No Canal (Km)

Pipe (Km)

Km No No Km Km ha No No No No

1 Tsakhir 1 250 500 1 4.7 - 4.5 2 4.5 10 5 1 7

2 Yolton 420 500 1 5.62 1 9.7 3 9.2 10.1 4.7 2 30 19

3 Erdeneburen 5 200 500 1 3.54 1 34.72 3 6 10 7.5 42 4 2

4 Boomiin Am 2 250 0.54 1 4.8 0.93 20 13.0 10.2 2 2

5 Khoid Gol 80 500 1 10.10 1 9.84 3 9.1 8.1 3.85 6 2 30

6 Tsul-Ulaan 60 500 1 5.7 1 2.55 14.0 38 5 2.9 6.6 3.1 2 1 6 1

7 Ulaandel 2 200 500 1 2.05 1 2.51 3 10 1 2 6

8 Khuren Tal 480 500 1 1 4.4 3.4 3.6 10.0 4.9 2 2 4 8 1

9 Nogoon Khashaa 60 500 1 0.61 1 4.35 6.94 3.1 4 2 1

10 Iven Gol 40 500 1 0.52 1 9.05 4.37 5.9 5.9 3 8 4

11 Okhindiin Tal 5 306 360 1 0.60 1 21.85 2 6 35 9

12 Sugnugur 40 500 1 3.3 1 4.6 38 1 3 10

13 Dulaanii Tal 4 200 200 1 0.04 1 9.07 6.0 12.9 7.0 3 9

Source: TA consultants

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73. There are two types of Maintenance works for asset management.

a) Preventive – This type of maintenance is done to keep the structures and canals in the

desired condition so that the canals operate without any problems.

b) Corrective – This maintenance is done after damage has occurred and it restores the

system to the desired performance level.

74. The most well-known categories of maintenance are as follows

a) Regular or routine maintenance

b) Seasonal maintenance

c) Periodic maintenance

d) Emergency maintenance

75. Routine or regular maintenance includes all works necessary to keep the irrigation system well-functioning. Works like greasing of gates, maintaining canal banks, small desilting, weed removing, cleaning of hydrants, inspection and cleaning of emitters, cleaning and lubricating of pumps and engines (e.g. for moving of the sprinkler systems) etc. which is in the control of the maintenance staff. These are small repair works done on a regular basis throughout the year. These are preventive types. Generally, we don’t need to close the canal longer for longer periods (1/2 day is sufficient) for this type of work. This maintenance work is most critical and economic, since small repairs identified earlier and carried out quickly will stop more major problems later on. This type of maintenance doesn’t need any high technical skills and can be carried out by canal operators using the simple drawings of canal sections and using few materials and simple equipment. 76. Seasonal maintenance arises before and during the main cropping season. This type of maintenance can’t be done by regular maintenance staff. This type of maintenance is completed by larger group of laborers/farmers during short closure of the canal (seasonal). Major scouring of banks, breach of the canal, major leaks in the canal etc. are some examples of seasonal maintenance. Cleaning of pipes (flushing) and draining for winter, cleaning of emitters (sprinkler and drippers) and repairing of leakages and removal of field drip lines for the winter are more appropriate for the sprinkler and dripper systems. These are some preventive types and are temporarily made and in later stage may require periodic maintenance.

77. Periodic maintenance is categorized as medium to large repairs and done on a periodic basis, annually or biannually or in certain intervals like 5 years etc. depending upon the necessity and funds available. Works like the repair or replacement of gates, repairs to structures, repairs or replacement of (parts of) the pumps, replacement of sections of pipes are termed as periodic maintenance. This type of work needs preparation and detailed planning, drawings, estimates and close supervision during construction. It also requires technical staff and are large and need greater resources. Generally, this type of work is carried out by contractors. Major canal desilting works can be taken as periodic maintenance carried out by large group of laborers/farmers or by contractors. These types of maintenance work are corrective types and needs a long closure of the canal. The works included in this category are not critical to the operation and could be postponed due to financial constraints. Works like non-essential desilting, embankment repair or some structural repairs that are unlikely to deteriorate significantly after initial damage can be

21

regarded as “deferred maintenance”. This deferred maintenance also includes those works which couldn’t be completed in the previous year’s maintenance contract.

78. Emergency maintenance are two types preventive and corrective maintenance.

- Preventive: If not immediately repaired may cause serious damage or failure.

- Corrective: If not promptly undertaken may cause catastrophes to the canals or

farmland.

79. Emergency work should be carried out quickly so that safeguarding the structures is possible or canal operation is restored. This type of damage should be reported as quickly as possible. These preventive types of emergency works are temporary type just to manage the problem. More permanent works are to be carried out in later instance with proper planning and budget.

80. The details of activities for the different types of maintenance works for gravity system have been attached separately in word file. The maintenance activities for pressurized irrigation system have been described in the O & M procedure in pressurized irrigation system of this report.

81. The description of the works with responsibilities for the asset management has been described in the Table 11.

Table 11: Responsibilities of Asset Management

Item Type of work

Regular/Routine Maintenance

Seasonal maintenance

Periodic maintenance

Emergency maintenance

Rockfill Barrier and weir across the river

Local Government Local Government Local Government

Local Government

Headworks protection embankment

Local Government Local Government Local Government

Local Government

Head Regulator Local Government Local Government Local Government

Local Government

Main canal Local Government Local Government Local Government

Local Government

Distributary canal CGG FG/WUA GF/WUA FG/WUA Distributary pipes CGG FG/WUA GF/WUA FG/WUA Field canal flow gates CGG FG/WUA GF/WUA FG/WUA Balancing reservoir Local Government Local Government Local

Government Local Government

Culverts Local Government Local Government Local Government

Local Government

Drains and protection work

CGG WUA WUA WUA

Roads CGG WUA WUA WUA Wind break CGG WUA WUA WUA Drain well CGG WUA WUA WUA Center pivot CGG CGG/Local

Government Local CGG/Government

CGG

Lateral move sprinklers

CGG CGG/Local Government

CGG/Local Government

CGG

Drip Kits CGG CGG CGG CGG

22

Pumps and Pump house in main system

Local Government Local Government Local Government

Local Government

Pumps in field system CGG CGG CGG CGG Source: TA Consultants

3. Expected Irrigation Assets of the Modernized Subprojects

82. There are three types of conveyance systems developed: (i) full gravity system (ii) mixed gravity system up to the field canal and pumped in the command area for sprinkler and drips ; and (iii) pumped system for pressurized irrigation system in the entire command area (Table 12). The field applications in both cases are sprinklers and drip irrigation method. The self-propelled lateral move sprinkler will be used for field application in command areas for those of gravity system

Table 12: Expected Irrigation Asset Condition of the Modernized Subprojects

No Irrigation Scheme

Irrigated Area (ha)

Pumped Irrigated (ha)

Gravity irrigated (ha)

System Characteristics

1 Tsakhir 200 200 Main canal by gravity, Pump, Pipes, lateral move sprinkler sets, drippers etc. in command area.

2 Yolton 320 320 Main canal by gravity; command area by sprinkler and drip gravity pressure.

3 Erdeneburen 2000 2000 Main Canal by gravity, Pump, Pipes, Sprinkler in command area.

4 Boomiin Am 237 237 Main Canal by gravity, Pump, pipes; sprinkler in command area

5 Tsul-Ulaan 161 161 Main canal, distributary canal by gravity; command area by sprinkler and drip.

6 Ulaandel 400 400 Main canal by gravity; Pump, Pipes, command area by sprinkler and drip

7 Khuren Tal 500 500 Main canal by gravity; Pump, Pipes command area by sprinkler and drip

8 Nogoon Khashaa

64 64 Main canal, distributary canal by gravity; command area, sprinkler and drips with pump

9 Iven Gol 240 240 Main canal, distributary canal by gravity; command area by sprinkler and drip

10 Okhindiin Tal 2780 2780 Main canal by gravity; Pump, Pipes command area by sprinkler and drip.

11 Sugnugur 140 140 Main canal, distributary canal by gravity; command area by sprinkler and drip with pump

12 Dulaanii Tal 700 700 Main canal gravity; Pump, Pipes, command area by sprinkler and drip

Total 8,162 7,222 740

Source: TA Consultant

83. The main source of income for CGGs will be fees collected from its members (irrigation systems or/and maintenance fees). For the CGGs to be self-sufficient and financially sustainable, sound financial management is crucial. The idea of water pricing and hence the introduction of irrigation water fees is stipulated in the water resources policy of Mongolia. The Government

23

issued Resolution #326 dated on 21 September 2013 which approved “Fee for use of water resource”, but the practical application of this is still very new for the country, and as yet its effect unproven. 84. The water use fee is estimated as a percentage of the baseline value of the water resources ecological and economic assessment set by Resolution #302, Parliament of Mongolia, 2011 on “Ecological and Economical Value of Water”. The ecological and economic value of water is set differently for each river basin and source of water (Table 13). The fee for water use is calculated using coefficients set for different purposes. For crop agriculture, the water use coefficient varies from 0.7 to 1.4.

Table 13: The Water fee based on Ecological and Economical Value of Water, MNT/m3

No River

basins Irrigation

subproject

Ecological and Economical Value of Water, MNT/m3

Amount to pay for crop agriculture water

use

Projected Irrigation

water

Water fee per

irrigation season

Surface water

Ground water

Coefficient Amount, MNT/m3

m3 MNT

Western Region

1 Khyargas lake-Zavkhan

Tsakhiriin Tal

1675 2716 0.9 15.075 2,964,748 44,693,576

2 Nogoon Khashaa

526,548 7,937,711

3

Tsetseg Lake-Khuisiin Gobi

Yolton 1122 2352 0.9 10.098 2,128,567 21,494,270

4 Khar Lake-Khovd

Erdeneburen

1747 2506 0.8 13.976

14,394,002 201,170,572 5 Khoid Gol 2,840,991 39,705,690 6 Tsul-Ulaan 1,116,543 15,604,805 7 Ulaandel 2,894,441 40,452,707

8 Uench-Bodonch

Boomiin am 800 2506 1.4 11.200 2,092,558 23,436,650

9 Ider Khuren Tal 918 1510 1.1 10.098 3,024,532 30,541,724

Central Region

10 Orkhon Iven 2783 4945 0.7 19.481 1,787,691 34,826,008 11 Selenge Okhindiin Tal 1050 4072 1.0 10.500 12,725,959 60,376,825 12 Kharaa Sugnugur 2183 2764 0.7 15.281 2,176,490 33,258,944

Eastern Region

13 Kherlen Dulaanii Tal 1791 2835 0.7 12.537 4,815,891 60,376,825

Total 53,488,961 613,876,308

Source: TA based on Resolution #302, Parliament of Mongolia, 2011 on “Ecological and Economical Value of Water”

85. The TA team made attempt to estimate water use fee based on the irrigation water requirement estimated for each sub-project and the water fee as per Resolution #302. The result is presented in Table 13. As can be seen from Table 13 the water fee could be collected from farmers per irrigation season is 613,876,308 MNT (which is about $230,002 as per exchange rate of Mongol bank on 30 August 2019) which about 5 times less than the required O&M cost per year (Table 9). 86. Resolution #326 introduced by the government also includes an “Exemption of water resource use fee” despite it being mainly for “Fee for use of water resource”. According to Government Resolution #326, use of rain and snow accumulation water for livestock and land cultivation shall be 99% exempt from the water resource use fee. This is a form of encouraging rain and snow water harvesting for the use of surface water.

24

4. Needs Based Budgeting 87. If it is assumed farmers will pay for water use according to the above government resolution the amount collected is still 2-5 times less than the estimated required O&M cost as mentioned above. By considering constraints and priority of alternative strategies, we propose the following:

(i) Prepare budget planning (5 years): routine management, maintenance and operation costs,

(ii) Short-term planning (investment priorities, 5 years): maintain irrigation infrastructure network condition to sustain irrigation service and water distribution.

(iii) Medium-term planning (capital planning, 10 years): install suitable measuring devices to implement ISF based on the volume of water used, ,

(iv) Long-term planning (capital planning, 20 years):raise the ISF to improve water use efficiency and to increase cost recoveries. .

88. Government involvement is a necessity for medium- and long-term capital planning assuming short term planning is implemented during project implementation. 89. Modernization of the system has to go hand in hand with improving farmers’ participation in irrigation management as indicated in the section under GCC Full cost recovery has the be developed in stages. It must be assumed however that the full cost of O&M needs will not be covered by ISFs for many years thus government support will be required. E. Project Operation and Maintenance guidelines and Procedures 90. The system O&M plan has been divided between (1) pressurized irrigation systems and (2) gravity systems. The on-farm water management is pressurized irrigation for all the proposed modernized projects which is most important for the sustainability of the project. The main canal is generally open channel and the distributaries are open channels or pipes depending on the project.

1. Pressurized Irrigation System 91. The efficient operation of an irrigation system depends mainly on the ability of the farmer to make the best use of it. For every system, depending on the kind and type of the installation and the way water is diverted to the farm, there are several steps to be taken and factors to consider in order to ensure the efficient operation and performance of the installation. The way both the irrigation system as a whole and its component parts are operated and maintained will determine the success or failure of any system. 92. The O&M of the irrigation system is also the key factor for good irrigation management. Farmers need a sound knowledge of the O&M procedures of their installation. This knowledge should be acquired from complete information, demonstration, written instruction from the designers and the suppliers and complemented by targeted training sessions. The number of pump and sprinklers, and drip for field application in command areas has been listed in Table 14.

25

Table 14: Number of Pump and Sprinklers, Drip in Command Area

No Irrigation Scheme

Irrigated Area (ha)

Pumped Irrigated (ha)

Gravity irrigated (ha)

No of pumps

Sprinklers Drip

Center Pivot

Lateral move

10 ha

5ha 3 ha

No No No No

1 Tsakhir 200 200 1 1 7 2 Yolton 320 320 2 19 3 Erdeneburen 2000 2000 5 4 30 2 4 Boomiin Am 237 237 2 2 5 Khoid Gol 420 420 - 2 30 6 Tsul-Ulaan 161 161 2 6 1 7 Ulaandel 400 400 2 1 1 6 8 Khuren Tal 500 500 2 4 2 1 9 Nogoon

Khashaa 64 64 - 4 2 1

10 Iven Gol 240 240 - 3 8 4 11 Okhindiin Tal 2780 2780 5 9 12 Sugnugur 140 140 740 1 3 10 13 Dulaanii Tal 700 700 4 3 4 9

Total 8,162 7,222 740 19 23 17 37 91 18

Source: TA Consultant

a. Operations 93. When and how long to irrigate. The application of the exact amount of water required by the crops at the right time is the main achievement of the irrigation installation. Farmers normally understand matters concerning the main elements of irrigation programming, such as water discharge and rate, operating hours and irrigation frequency, and they can follow instructions. Properly installed, operated and maintained irrigation networks enable farmers to exercise absolute control over water use at farm level. Thus, it is easy for them to apply irrigation schedules based on crop, soil, weather, and water availability and quality factors. 94. Irrigation Schedule. The designed capacity of center pivot is 8 mm/day and designed for up to 100 ha depending on the command area. The projects have been designed with one to five center pivots. Center pivots will be mobile and the layout has been designed to irrigate for one to four circles of area 60 ha to 100 ha in rotation. The system will operate in rotation basis, which irrigates more than 10 cycles during the irrigation season. 95. The example of irrigation scheduling for the overall norms per season is 2800 m3/ha for cereals, then the net irrigation depth per ha 280 mm per year. To deliver this, at 28 mm per irrigation, and a flow rate in the irrigator 8 mm/ha (about 100 l/s for a 100 ha center pivot), the irrigator will take 3 days to complete the circle and 12 days to irrigate 4 circles, plus up to 2 days in total for moving the irrigator between circles. Thus, the irrigator can apply 250 mm in 10 cycles in 3.5 to 4 months, with some time lag between 1st and the last of 4 circles in each group. It can be assumed that water is being applied at any time about 2 mm per day over the whole scheme. 96. The number of irrigation application depends on the number of center pivot and irrigated area by each center pivot and the total command area. The number of times for the irrigation application has been designed for more than 10 times during the growing season. The irrigation interval is designed less than 9 days during growing season. 97. . Crop water requirement are different depending on the region. Example of the irrigation schedule in Western region is presented in Table 15

26

Table 15: Irrigation Schedule

Crop type

Plating season

Harvest season

Water requirement per season

Net irrigation mm/year

Center pivot

capacity

Depth per irrigation

(mm)

Irrigation applications

(no. per growing season)

Irrigation Interval (days)

m3/ha mm mm/day

Cereals May Sept 2800 280 8 28 >10. 7 to 12 Corn May Sept 3100 310 8 31 >10 7 to 12 Fodder May Sept 4000 400 8 40 >10 7 to 12 Potatoes May Sept 3400 340 8 34 >10 7 to 12 Vegetable May Sept 3900 390 8 39 >10 7 to 12 Source: TA Consultant 98. Starting and stopping the system. Starting and shutting down the pressurized irrigation installation needs to be done very carefully in order to prevent surges and water hammer and to avoid air pockets in the pipelines. The opening and closing of the valves at the head of the system, the main and distributary pipelines, should always be done slowly. Where there is a pump, engine or motor driven, the supplier’s instruction should be followed and targeted training of the CGGs will be provided. Priming the pump, filling the pipes, adjusting the speeds and lubricating the pumping equipment are a matter of major importance. Manufacturers provide detailed instructions in their literature for starting and operating each pumping unit. 99. Winter frost and protection against animals. To prevent from damages caused to canals, pipes, pumps and other irrigation properties during harsh winter season, a set of operation and safe keeping procedures need to be developed and strictly observed with proper training of responsible persons. While detailed procedures may vary due to exact configuration and specifications of detailed engineering design and procured equipment, below is an outline of the general procedures to prevent winter damages.

1. Drainage of water from pipes and pumps 2. Drainage of water from canals 3. Safe keeping of immoveable equipment

a. Pump station b. Central pivots

4. Safe keeping of moveable equipment a. Lateral sprinkler sets b. Drip kits c. Other tools

100. System performance Frequent observations and checks should be carried out during the irrigation season to ensure the proper functioning and good performance of the system. This involves a number of procedures for simple evaluations based on measurements taken under field conditions. The equipment needed for this task is as follows:

• A map /sketch of the irrigated area showing the locations of all system’s component parts and various plots;

• A portable pressure gauge (0-6.0 bars) with a special adaptor and pivot tube adjustment;

• A stopwatch (chronometer);

• A measuring tape, approximately 20m;

• Graduated vessels, approximately 20m;

• Graduated vessels, capacity 1-5 liters;

• A soil auger, shove or probe;

27

• A notebook for recording data.

101. In most closed pipe pressure systems, there are a number of factors that should be evaluated to determine the level of operation and that can be readjusted where not satisfactory. 102. Operating pressures. With the system in operation, pressure measurements are taken at various points on the piping network, preferably at the beginning and at the far end of the main and distributary pipes. The operating pressures at the first and last emitters on a number of laterals are also measured. All pressure should be within the designed range. The difference in the emitter pressure should not differ from the recommended average pressure by more than 20 percent on level ground. Any change should be investigated immediately. 103. Flow rates and water discharge. The flow rates (discharge) of the same emitters whose operating pressures are also determined. This is done by recording the time required to fill up a graduated vessel with water. The figures should be in accordance with the supplier’s specification and the difference between them should be less than 10 percent. The system’s rate of discharge is the sum of the emitters’ average flow rate. 104. Uniformity of application depth of wetting. This may be checked by probing the soil at various locations using a probe. The examination can be made 12-24 h after irrigation depending on the type of soil. Water should penetrate a few centimeters below the root depth. Areas taking less or more water can be easily identified for further investigation. Visual observations for evaluation purposes of any type should be avoided as they might lead to misjudgments. In addition to the above simple evaluations, the following checks, on site modifications, rearrangements and preventive maintenance are necessary:

• Check and repair any leakage in piping or through valves.

• Position the sprinklers vertically to the ground and check the spacing.

• Replace or rehabilitate clogged emitters.

• Flush the system network at least three times during the irrigation season when water originates from underground. With reservoir water, flush once every fourth irrigation. An approximate flushing time 2-3 min each for each line will prevent sedimentation on the inner pipe walls.

• Clean the filters of the system thoroughly before every irrigation. During operation, check the minimum difference in pressure between the inlet and the outlet of the main filter.

• Check the air and check valves periodically for crop functioning.

• Inspect plastic equipment, valves and devices for crack and other physical damage.

• Flush fertilizer injectors (pump and tank) after each use. Inspect hoses and valves.

• Conduct systematic checks to spot malfunctioning equipment affected by physical deterioration and other possible damage by machinery, animals, etc.

• Make frequent visual checks of the system to ensure that it is in good condition and operating efficiently.

105. Pump plant. Preventive maintenance of the pumping system is essential during the irrigation season. Equipment manuals contain double-shooting chapters which are useful for solving common problems associated with the normal operation of the pumping unit. The following checks and inspections are recommended for most engine or electric motor driven pumps:

• Noise;

• Vibrations;

28

• Leakage;

• Temperatures of bearings and windings;

• Fuel/power consumption;

• Capacity and output (water discharge and dynamic head);

• Oil pressure;

• Oil, lubrication, change where necessary

b. Maintenance 106. The long-term operation of the irrigation installation depends upon simple maintenance carried out by the farmer. The periodic servicing of pumping plants and the repair of special devices (filters, injector, etc.) is carried out by trained maintenance and repair personnel. 107. Maintenance is carried out during a period of non-use to prepare the system: a) for the off-season shut down; and b) for use before the next season. All equipment requires a certain amount of care in handling for storage and maintenance. For every installation there is a procedure which concerns various aspects of the distribution network and pumping unit. 108. System network. The procedure for the network is as follows:

• Flush mains, submains, manifolds and laterals.

• Inspect for possible damage to the network and repair it.

• Open fully and drain completely all valves.

• Remove dirt, corrosion and other foreign material from the component parts.

• Check emitters for possible clogging

• Store all emitters for possible clogging, damage, wear and signs of deterioration, and replace where necessary.

• Store all emitters in a dry clean place on shelves away from fertilizers, chemicals, oil, grease and lubricants.

• Examine the condition of air and check valves.

• Flush and drain fertilizers injection equipment.

• Clean all filter elements.

• Check condition of gaskets and seals; remove clean and store in a dry place.

• Retrieve all portable plastic tubes by rolling them up in coils; store properly.

• Inspect all portable metal pipes for any kind of damage and consult suppliers for repair; store properly away from power lines and wiring.

• Drain completely all pipes left in the open. 109. Pump plant. Pump plant usually consist of a centrifugal pump of some type and the power unit (electric motor or internal combustion engine). Maintenance instructions are available from manufacturers, pump user associations and other technical organizations. Special care should be taken to protect engines from moisture that can accumulate inside the machines and cause serious damage. 110. Below is a list of checks, inspections and steps to be taken for the preparation of the pumping plant a) for the offseason period b) for use before the next season 111. Maintenance of the off-season period. For centrifugal pumps

• Drain all the water from pump and connecting pipelines.

29

• Where possible, remove suction lines and store them.

• Cover shaft and any exposed metal and all oil or grease lubricated bearings with protective lubricants.

• Loosen ‘v’ belt or flat belt drive and insert piece of greaseproof paper between belts and pulley.

• Loosen packing gland.

• Clean debris and any other material from impeller and volute.

112. For internal combustion engines

• Run engine to thoroughly warm up oil in the crankcase; stop engine and drain crankcase oil; replace drain plug and refill crankcase with high-grade engine oil; start engine and run slowly for two minutes to complete oil distribution on all surfaces.

• Stop engine; remove all spark plugs; pour 60 ml of engine oil into each spark plug hole; with ignition switch off, crank engine for several revolutions to distribute oil over the cylinder walls and valve mechanism; replace spark plugs.

• Drain oil from crankcase; drain cooling system and close drain cocks; drain all fuel from tank, lines and carburetor bowl; replace all plugs and close drain cock.

• Lubricate all accessories and seal all openings airtight, including air cleaner inlet, exhaust outlet, and crankcase breather tube, with weatherproof masking tape.

• Check oil filter cap, gas tank and radiator cap.

• Spray all accessories and electrical equipment with suitable insulating compound.

• Insert a strip of greaseproof paper under the ‘v’ belt pulley.

• Remove battery and store fully charged.

• Where the engine is in the open, cover with waterproof materials. 113. For electric motors

• Ensure that all bearings are well lubricated.

• Cover motor to protect against rodents, insects and dust, but provide ventilation.

• Lock control box in ‘off’ position and cover with canvas where exposed in the open to protect against moisture and dust.

114. Preparation for use before the next period. For centrifugal pumps

• Where there is a trash screen, clean and install it properly.

• Ensure foot valve on suction line of horizontal centrifugal pumps operates properly.

• Install suction line of horizontal pumps and /or vertical turbine pumps and /or check they are adequately submerged; check impeller adjustment of deep-well vertical turbine pumps.

• Clean all passages for liquid.

• Tighten packing gland to proper setting.

• Replace bearing oil or lubricate bearings with grease.

• Ensure pump shaft turns freely without noticeable dragging.

• Start pump and check for normal operation.

115. For internal combustion engines

• Remove all tape from sealed openings.

• Open fuel tank valve; shut water drain cocks and add coolant.

• Check oil drain plug; replace oil filter and add correct amount of oil to engine.

• Remove sparkplugs and spray cylinder walls with a light engine oil.

30

• Replace spark plugs and crank engine several revolutions by hand to spread oil on cylinder walls.

• Lubricate all engine accessories.

• Where a distributer is used, clean inside and outside of cap; inspect cap and rotor for cracks; lubricate distributer sparingly with suitable lubricants; where a magneto is used, inspect breaker points for wear and gap; lubricate rotor.

• Where oil bath air cleaner is used, clean and fill with correct grade oil.

• Check all terminals and electrical connections.

• Start engine; run slowly for a few minutes; monitor oil pressure; if it fails to come up correct reading, stop engine and investigate cause.

• Check oil levels in crankcase and bring level up to proper mark on dipstick. 116. For electric motors

• Clean all debris accumulated during the storage period.

• Change motor bearing oil with special type of lubricant, do not overfill, use grease gun to lubricate bearings.

• Change oil in reduced voltage starters.

• Check that motor ventilation vents are open; clean dust and dirt from all moving parts of motor and panel.

• Check and tighten all electrical connections, replace overheated connections with new materials; test all coils and heaters for continuity and shorts; clean magnet surfaces; check for spare fuses of proper size; ensure all conduits points are corrosion free.

• Ensure service cabinet interior is moisture free.

• Operate all moving parts by hand before applying power.

2. Gravity System

a. Main System Infrastructure 117. Every year, after the irrigation season, the Soum Government irrigation systems managers will need to inspect and implement appropriate measures to ensure the system is fully drained and will not suffer adverse effects due to the harsh winter. All pipes will need to be free of water, and gates should ideally be set open and free of standing water whenever possible, inferring that all open canals, lined or not, should be empty of standing water. However, once the snow falls, it may not be possible to keep open infrastructure free of snow and ice.

b. Operations In the case of gravity canal system, more work is required to maintain canals in functional and the details are provided in Annex 2. The soum government responsible for the water level at the intake, flow rates will be determined on the basis of the crop water requirements and system losses. Flow rates will be managed by , opening, closing and controlling of sluice gates, regular inspection for silt accumulation, cracks, leakages, blockages checking of leaks in the main canal to ensure that quality operations are carried out for satisfactory service. Where the full system is piped the Soum government will operate the main pump(s) as well as the main pipe.

31

c. Maintenance 118. At the beginning of each season, Soum Government managers should organize soum labor and equipment, together with CGG labor, to work through the complete system from headwork to last water outlets to make sure all canals are free of wind-blown debris and sediment, that all canal banks and lining are in good order, and that before any water is released into the system that all ice and snow has melted, gates are greased and operating freely, and that all necessary pumps, filters and equipment are in place and ready to operate and function as required. This likely will include re-installing any removed equipment put into store for winter and making sure all power and pipe connections are all connected properly with appropriate seals and safety measures. 119. Soum Government, together with support and agreed responsibilities from the CGGs, will need to periodically review and implement maintenance of drainage and/or flood protection works included within the overall irrigation systems system. This could involve routine but periodic removal of collected sediment (or flushing from settlement basins if the layout supports this), inspection on banks and drainage canals, removal of any erosion or debris obstructions and repairs to relevant channel and protective dyke banks as and when these may be required. 120. Soum Government and/or CGGs will require finance, equipment, tools, labor and materials (fuel, cement, etc.) to enable the relevant maintenance as well as operations activities to be implemented. To the extent possible, such work could be delegated to CGG members, particularly if they have relevant training and skills. Some finance could and should be recouped from beneficiary farmers, but it is probable the O&M of sophisticated equipment, and the larger fixed infrastructure, will require more specific skills and appropriate financing. Arrangements will need to be made for Soum Government, with Aimag and National support as may be necessary, to establish a financial account for the O&M of the irrigation systems – routine and periodic, or even emergency, expenditures. Actual costs will be dependent on the specifics of each irrigation systems, and where the irrigation systems is more sophisticated with pumps, pipes and specialist equipment, the provisions for O&M will have to be more substantive, possibly requiring a rolling maintenance contract with particular equipment suppliers (irrigation and construction equipment which could be retained for on-going maintenance activities).

121. 122. To help overcome this major constraint to development and long term sustainable operation of the irrigation systems, it is proposed that for implementation of the subproject, the local government will be provided with the machinery for construction that will then become the basic mechanical resources for the long term operation and maintenance of the irrigation systems infrastructure (headworks, dams, canals, drains, protection banks, irrigation equipment). Within an Aimag, some of the major equipment might also be assigned for multiple irrigation systems rather than specifically for one small irrigation system, but this will depend on establishment of roles and responsibilities between Aimag and Soum Governments. Extensive training of Soum and Aimag governments in the use of new equipment and troubleshooting for CGG will also be provided.

d. Distribution Systems in the Field 123. During and after the the irrigation systems modernization and upgrade under the project, the relevant irrigation authority (Soum Government) should take charge of planning and organizing the O&M plan, and be responsible, together with the organized CGG, to implement the O&M for inter-farm/on-farm canals and other essential infrastructure to sustain the irrigation systems. Once the CGGs have grasped the requirements, and all procedures are fully organized

32

and operational, then the CGGs can start to assume greater to full responsibility for the operation and maintenance (O&M) of the command area infrastructure. Soum Government will, in cooperation with the CGGs, be responsible for and undertake the O&M on the major system works, where the CGGs cannot be expected to have and maintain the necessary resources and materials to operate and maintain the key essential water supply, drainage and protection infrastructure.

e. Field Applications

• Modernized irrigation schemes will typically include a combination of open channel, gravity, pipe, sprinkler and drip irrigation infrastructure, subject to the irrigation systems scale, crop mix, terrain and soils..

• The design characteristics of the designed subprojects are pressurized flow in command area, which has been dealt in detail in Pressurized Irrigation O&M.

f. Filtration

124. In Appendix 26 it is reported that depending on the size of each secondary or tertiary command area unit, there may be value to incorporate some localized storage facility, which could also double as a sediment settlement pond – particularly beneficial for the sprinkler and especially drip irrigation systems to be used. Even if they have primary source filtration systems, further filtration is needed to remove fine suspended sediment. The concentration of suspended solids and sediments in rivers are generally low enough for most irrigation systems. However, particularly in drip and low-volume sprinkler irrigation systems to prevent clogging of sprinklers head and emitters, filtration may need to be installed upstream of the pumping station. Common filters used in pressurized systems include granulated media filters (gravel or sand filters), disc, and strainer filters. In drip irrigation systems sand filters can be installed in series. Filtration also could be set up downstream in open balancing storage reservoirs using a final gravel and sand filter. 125. To prevent clogging the sprinkler and drip, it is recommended to — periodically purge the distribution network and flush the pipes before each irrigation season by CGG with a support of Soum Government.

g. Windbreak

126. The windbreaks will need regular maintenance from the CGG for weed control, corrective pruning, insect and disease monitoring, and any replanting if and when needed. Farmers should also be careful and use chemicals with care on their fields, so that windbreaks are not adversely affected by wind drift and water transportation of damaging chemicals. Maintenance should be done throughout the life of a windbreak to keep it healthy and growing. Fertilization and watering also may be considered maintenance. 127. Fences should be maintained throughout the life of a windbreak by the CGG. Keep all livestock out of windbreaks. They browse, break limbs, remove bark, or compact the soil, all of which cause serious damage to the windbreak. F. Conclusions and Recommendations 128. Through various programs, the government seeks to improve irrigation systems and implement community participation in the management of irrigation systems. As a result, farmers

33

will be mostly satisfied with the irrigation service, eager to be involved in the government program for rural development, yet they hope there will be an improvement in irrigation service, infrastructures and management in the future. 129. Despite those efforts taken by the government, irrigation systems should improve its efficiency, productivity and independency in funding the systems to support the sustainability of the system in the future by taking the suggested corrective actions described above. It is recommended that:

(i) The approaches to modernize irrigation system and improve participation in irrigation management have to be implemented in parallel. Modernization of irrigation systems that requires large capital costs such as implementing pressurized irrigation system in the command area is still a big question in terms of O&M of the system.

(ii) ISF to be levied should encourage more efficient use of scarce irrigation water and could cover the cost recovery of their irrigation schemes. Therefore, it is a necessity to raise farmers’ awareness about the value of water, water footprint and virtual water. Eventually, when the ISF is raised, farmers will realize that these things are necessary. On the other hand, it is indispensable for efforts to stimulate the rural economy so that farmers can afford such ISF.

(iii) A simplified-sustainable-and cost-effective AMP model should be developed which enables CGGs to implement it easily and independently consisting of only budget planning and 5-year investment priorities.

(iv) The foremost point is that enough funds should be made available for full financing of O&M costs. The sources of funds are the government funding and ISFs.

(v) Considering that the current practice to manage the irrigation infrastructure, the Government will be required to continue providing budgetary support of O&M activities at least in the short to medium term.

130. The irrigation asset management framework and O&M procedures and cost proposed in this paper will be updated and refined during the implementation of modernization and upgrading of subprojects by MOFALI with help of the project implementation consultant by reflecting actual works to be done and detailed O&M requirement. Then, an updated Asset Management Framework, O&M cost assessment and plan including the plan to increase ISF and the government budget allocation need to be reviewed and confirmed by MOF and ADB before project completion.

34

Annex 1: Irrigated Agriculture Institutions

Source: TA Consultant

Ministry of Nature and Tourism

Ministry of

Finance

Ministry of

Health

Ministry of

Energy

Ministry of

Education,

Culture,

Science and

Sports

Development

Financing

Department

Public health

Center

Policy

implemenation

Department

Science and

Technology

Policy

Implementation

Department

Publlic

Communcation

and

Management

Department

Institute of

Plant,

Agricultural

Science

Crop agriculture policy, development, implementation, capacity building

Financing for

croping and

irrigation

Human health

Energy for

cropping and

irrigation

Research,

innovation and

seed

development

Aimag Policy

and Investment

Department

Aimag Health

Center

Regional and

Aimag energy

distribution

network

Branch of the

Institute of Plant

and Agricultural

Science in

Ulaangom

Plant

Agricultural

Institute in

Dornod and

Agriculture

Center in

Dalanzadgad

So

um

Level

Soum Health

Center

Farm

ers

level

Government of Mongolia (Ministers' Cabinet)

Soum Citizen

Representative

Khural

Soum

Governor

Office

River Basin

Council Member

Meteorolocal

and

Hydrological

observers

Land use

manager

River Basin

Administration;

River Basin

Council

State environment

inspectors

Light Industry

PICD

Crop firms

Vegetable

Grower

Groups

Cooperatives

Environment

RangersAgriculture unit

Indivitual

Growers

Community

Grower Group

Projects on crop

agriculture

Ferilizer and

pestizide

Provider

Individuals and

Interprizes that

produce seed

Water and Land

resources Policy

and Management

Department

River Basin

Management

Department

Ministry of Food, Agriculture and Light Industry

Water resources availability and management

River Basin

Organization

National

Agency for

Meteorology

and

Environment

Monitoring

Policy and

Planning

Department

Crop

Production

Policy

Implementation

and

Coordination

Department

Green Development and

Policy Department

Aimag Center for

Meteorology,

Hydrology and

Environment

Monitoring

State Great Khural (Parliament of Mongolia)

Reg

ion

al/A

imag

level

Nati

on

al L

evel

Responsibility:

Land use and Urban

development and construction

department

Monitoring,

enforcement and

control

State Special

Inspection Agency

Aimag Special

Inspection

Department

Aimag

Environment

Department

Aimag Citizen

Representative

Khural

Aimag

Governor's

Office

Aimag

Agriculture

Department

Mongol Us

State

owned

Industry

Food Industry

PICD

Mid and Small

Scale

Enterprises

and

Cooperation

PICD

Other

Departments

35

Annex 2: Maintenance Procedure for Gravity Systems There are two types of Maintenance:

c) Preventive – This type of maintenance is done to keep the structures and canals in the

desired condition so that the canals operate without any problems.

d) Corrective – This maintenance is done after damage has occurred and it restores the

system to the desired performance level.

But, the most well-known categories of maintenance are as follows

e) Regular or routine maintenance f) Seasonal maintenance g) Periodic maintenance h) Emergency maintenance

A. Regular or Routine Maintenance Routine or regular maintenance includes all works necessary to keep the irrigation system well-functioning. Works like greasing of gates, maintaining canal banks, small desilting, weed removing etc. which is in the control of the maintenance staff. These are small repair works done on a regular basis throughout the year. These are preventive types. Generally, we don’t need to close the canal longer for longer periods (1/2 day is sufficient) for this type of work. This maintenance work is most critical and economic, since small repairs identified earlier and carried out quickly will stop more major problems later on. This type of maintenance doesn’t need any high technical skills and can be carried out by canal operators using the simple drawings of canal sections and using few materials and simple equipment.

Table 2.1: Regular or Routine Maintenance Work Regular maintenance

S.No. Description

A Embankments 1. Close holes made by rodents, snakes, crabs etc. 2. Fill and compact depressed locations to the original bank level. 3. Repair side slopes to maintain the designed sections. 4. Fill up cracks or gullies formed on the top of the embankments. 5. Repair leakages by removing central core and replacing by compacted soil.

B Silt removal 1. Remove silt in head regulator and measuring structures. 2. Desilt siphons, culverts, and bridge sections for free passages for water. 3. Remove debris and trash from the inlet/outlet of siphons, head regulators. etc.

C Vegetation removal 1. Remove vegetation form canal lining joints. 2. Remove vegetation from foundation, walls of structures. 3. Remove vegetation in the canal and other structures for a clear water way. 4. Remove strong rooted plants from the embankments. 5. Trim branches of trees which grow towards the canal.

D Structural repairs 1. Make repairs to small cracks in the masonry and concrete structures.

36

2. Repair small canal concrete lining cracks. 3. Repainting work on worn out masonry structures. 4. Re plastering for old worn out plastering work. 5. Repair small masonry or concrete structures damage.

E Greasing and painting 1. Greasing the moving parts of spindle screws, rollers on the gates. 2. Greasing the cables and drums of the barrage/ main head regulators. 3. Greasing the gear box systems of the gates. 4. Putting grease in the cups in the motors, generators etc. 5. Remove old paint and rust by scrapping or sand blasting. 6. Repaint the worn out or rusted parts with primer. 7. Remove dust, old grease before painting and applying new grease.

B Seasonal Maintenance This maintenance arises before and during the main cropping season. This type of maintenance can’t be done by regular maintenance staff. This type of maintenance is completed by larger group of laborers/farmers during short closure of the canal (seasonal). Major scouring of banks, breach of the canal, major leaks in the canal etc. are some examples of seasonal maintenance. These are some preventive types and are temporarily made and in later stage may require periodic maintenance. C. Periodic Maintenance This type of maintenance is categorized as medium to large repairs and done on a periodic basis, annually or biannually or in certain intervals like 5 years etc. depending upon the necessity and funds available. Works like the repair or replacement of gates, repairs to structures are termed as periodic maintenance. This type of work needs preparation and detailed planning, drawings, estimates and close supervision during construction. It also requires technical staff and are large and need greater resources. Generally, this type of work is carried out by contractors. Major canal desilting works can be taken as periodic maintenance carried out by large group of laborers/farmers or by contractors. These types of maintenance work are corrective types and needs a long closure of the canal. The works included in this category are not critical to the operation and could be postponed due to financial constraints. Works like non-essential desilting, embankment repair or some structural repairs that are unlikely to deteriorate significantly after initial damage can be regarded as “deferred maintenance”. This deferred maintenance also includes those works which couldn’t be completed in the previous year’s maintenance contract.

Table no. 2.2: Periodic maintenance work. S.No. Descriptions

A Weir across the River and main head regulators 1. Repair to under sluice, spillways and head regulators crests, stilling basin, abutments, piers etc. 2. Repair to u/s and d/s floor protection works, concrete blocks, stone rip raps 3. Replacements of steel gate plates, runners to prevent leakages 4. Re painting of the gate sections under water which could not be done in regular maintenance. 5. Repair to stop logs and replacement if needed. 6. Replacement of worn out water measuring gauges 7. Major embankment work on flood protection work

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8. Major gabion work on the flood embankment and stone rip rap B Silt removal

1. Remove large amount of silt and debris from canal 2. Repairing or remodeling of canal section to the designed section

C Vegetation removal 1. Remove large trees and shrubs from canal section area. 2. Large scale control of aquatic and weed growth in the canal.

D Structural repairs 1. Major repairs to masonry and concrete structures 2. Major repair to canal concrete lining works.

E Embankment repair 1. Repair to embankment which is not covered in emergency maintenance 2. Reconstruction of large section of embankment that is due to leakages, or slip, slope failures

D. Emergency Maintenance There are two types preventive and corrective maintenance.

- Preventive: If not immediately repaired may cause serious damage or failure.

- Corrective: If not promptly undertaken may cause catastrophes to the canals or farmland.

Emergency work should be carried out quickly so that safeguarding the structures is possible or canal operation is restored. This type of damage should be reported as quickly as possible. These preventive types of emergency works are temporary type just to manage the problem. More permanent works are to be carried out in later instance with proper planning and budget.

Emergency works by its nature are undefined, but a few works are described as below. 1. Riverbank or Canal Bank Breach The riverbank or canal breach occurs when the river or canal carry too much water than their carrying capacity. Or a hole created in the bank becomes larger and larger so that finally bank breach occurs. Riverbank breach is serious and can damage human/animal lives, houses, farmland and standing crops. The possibility of such damage can be envisaged upstream of the weir when flood protection embankments are overtopped by the flood water. Once occurred, it is very difficult to manage, and the maintenance team should be always alert during the flood season to prevent such occurrences. The gabions, stones, sandbags, equipment and manpower should be ready and in position. Sandbags and gabions should be laid on the low level of embankment which may pose a threat to overtopping during flood time. More detailed protection of such embankments is to be done when deterioration is found in the section, scouring of the toe, gabion broken etc. The canal bank breach is often less serious than riverbank breach and can be controlled easily. If a canal bank is breached, then canal escape gate upstream should be opened, and water should be diverted towards the river and the main head regulator should be closed to decrease the discharge in the canal. Then the cross-regulator gates should be closed which are upstream from the canal breach. 2. Structures Failure Structure failures are rarely seen activities compared to the bank failures and may not be as serious as riverbank failure. If proper attention is not given to regular maintenance of structures, in later instances major damages to the barrage, head regulators, bridges, falls can be envisaged.

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Before the concrete structures fails, the u/s and d/s protection works fail which is to be addressed promptly before the damage can occur to the concrete structures. 3. Flooding Flooding may cause damage to concrete weir, boulder weir and protection embankment. Overtop of the boulder weir during flood may damage the d/s of the boulder weir. The operation of the head regulator gates should be done properly in order to provide the controlled flow downstream of the main canal. So, the emergency maintenance, routine maintenance is very important to counter these challenges

Annex 3: Asset Inventory Template Table 16 Overveiw

Year

Name of the irrigation system:

Soum

Aimag

Number of farmers:

Responsible person:

Telphone:

Total command area (ha):

Crop type Area (ha)

Irrigation

method Yield (t/ha) Production (t)

crop 1

crop 2

crop 3

….....

Notes:

These tables are developed as templates for use to keep inventory of irrigation assets

It is suggested to keep in MS Excel format at soum gonverment level and central govenrment level, where computers are available. At CGG and farmers level, this should be transformed to notebook based hard copies

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Table A3-2. Head works and Balancing Storage

Assesment date Action Completed

(date)

In river structure Explainations

ID:

Source River:

Location:

Type:

Length:

Width:

Length:

Height:

Water level:

Operation: general operation rules

Maintenance A: maintenance activities

Schedule: how often

Maintenance B: maintenance activities

Schedule: how often

Condition: What is the current

condition?

Good/ok/damaged/not

functioning

Responsbile person: Name and phone number

Headworks

ID:

Location:

Type of intake:

Control sluice:

Flash sluice/screen

Operation:

Maintenance:

Schedule:

Condition:

Responsbile person:

Balance storage 1

ID:

Location:

Type:

Storage capacity:

Width:

Length:

Depth

Control sluice

Operation:

Maintenance:

Schedule:

Condition:

Responsbile person:

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Table A3-3. Canal and Pipes

Table 17

Table A3-5: Sprinklers and drip sets

Table A3-6: Others

Canals, pipes and accessories

ID Proposed code Location Type Name Length Capacity Materials Condition Action

explanation (m) (m3/s)

SeM Source, type, where canal Main canal, from Selenge concrete linedGood

SeMbl1 canal left branch fair

SeMbl1pr3 pipe 3rd right side field pipe of left PVC-O damaged

SeMbl1g2 gates second set of gates in left branch

SeMbr2c4 Culverts 4th culvert of second right branch

Pumping equipment

ID type model Serial Number Capacity Energy source

other

specification Maintenance Schedule Responsible personMobile No.

P1 Location pump 1

P2 pump 2

P3 pump house AxBxY meters

P4 …

Sprinklers and drippers

ID type model Capacity Materials specifications Maintenance Schedule Responsible personMobile No.

S1 Central pivot

S2 Lateral sprinkler

D1 Dripper

D2 …

Other tools and equipment

ID type model Capacity Serial numberspecifications Maintenance Schedule Responsible personMobile No.

O1 Tractor

O2 storage shed

O3 hand tool

O4 windbreaks

O5 access road

O6 drainage well

O7 …...