Will it be business as usual for dam building? The case of the San Roque Dam Will it be business as usual for dam building? The case of the San Roque Dam Presentation by Joan Carling, Cordillera Peoples Alliance

AGNO RIVER IS ONE OF THE MAJOR RIVERS IN THE CORDILLERA REGION, which is very important to the life and culture of the ibalois and kankanaey indigenous peoples AMBUKLAO DAM WAS BUILT IN THE 50’s BINGA DAM WAS BUILT 60’s San Roque Dam is the 3 rd dam along the Agno river

Construction begun in 1998 Impoundment of reservoir started in August 2002 Construction completed and became Operational in May 2003

SAN ROQUE DAM Height: 220 meters Length: 1.13 km Reservoir capacity: 850 million c Surface area of reservoir: 12.8 km

Purposes: Power generation: 345 megawatt: present level of power generation Irrigation: 7,800 hec Flood control Water quality improvement

Cost of the project and ownership Cost: US $1.2 billion Cost: US $1.2 billion > $ 800 loan by project proponent guaranteed by Philippine government guaranteed by Philippine government > $ 400 loan by Phil. Government as subsidy to the project > $ 400 loan by Phil. Government as subsidy to the project ***MAINLY FUNDED BY EXPORT CREDIT AGENCY (ECA) Ownership: privately owned by San Roque Power Corporation-100% foreign company

CONTRACT Power Purchase Agreement (PPA): BOT for 25 years Power Purchase Agreement (PPA): BOT for 25 years National Power Corporation-NPC(government) needs to pay $9 to $10 mil / month to SRPC regardless of whether there is sufficient water available to generate power for 10 yearsNational Power Corporation-NPC(government) needs to pay $9 to $10 mil / month to SRPC regardless of whether there is sufficient water available to generate power for 10 years No accountability of project proponents to environmental and social impactsNo accountability of project proponents to environmental and social impacts Project proponent can pull out of the project if deem not commercially viableProject proponent can pull out of the project if deem not commercially viable ** the contract guarantees return of investment and big profit, while environmental and social adverse impacts are not accounted for

Did it lead to poverty alleviation in line with the Millennium Development Goal (MDG) ? More than 2,000 hectares of agricultural land was used for the dam site which used to provide food security for hundreds of peasant families

Relocation of 781 peasant families who used to have sustainable and self sufficient livelihood More than 2,000 hectares of agricultural land was used for the dam site which used to provide food security for hundreds of peasant families life is not better off as promised because of lack of livelihood sources for them Most cannot even pay their water and electric bills

The amount given for compensation was lower than what was written in papers. Agreement for relocation was not well explained and written in english which most of those relocated cannot understand

Families at the reservoir refused to moved out but were forcibly airlifted by the military

The reservoir area before water impoundment

Livelihood projects provided are not sufficient and sustainable, leading to and increasing problem of hunger and poverty amongst relocated families

At least 3,000 gold panners were economically displaced. This is a major source of cash for farmers to support the basic needs and education of their children As many as 10,000 people do gold panning along the Agno river

IMPACTS Gathering of scrap metal in the dam site out of desperation, but declared as illegal lead to the shooting of 3 people with 1 dead and 2 seriously wounded in 2002

Is it environmentally sustainable vis a vis commitments made to the World Summit on Sustainable Development ? The reservoir is a depository of toxic mine-waste due to decades of massive mining activities in the upstream of the dam

Flooding caused by the release of water from San Roque dam after just over a year of operation: rice fields and hundreds of fishponds destroyed affecting 250,000 farmers and fisher folks

Siltation build-up in the upstream= destruction of the Ibaloi’s land and culture

Siltation of the dead ambuklao dam is more than 18 kilometers long and still growing. Binga dam is partially operational due to serious siltation problem. San roque dam will easily get filled up with silt coming from Binga and ambuklao The Environmental Impact Assessment of San Roque Dam was issued in 1985 which was based on a feasibility study done in 1979 Inspite of the protest and concerns raised by the Ibalois, the project commenced like business as usual

Ibaloi ricefields which sustained them for generations will be inundated by siltation

Was it socially acceptable? The project did not have the Free, Prior and Informed Consent (FPIC) of the Ibaloi people as reported by the National Commission of Indigenous Peoples (NCIP): FPIC is part of the national law- Indigenous Peoples Rights Act (IPRA of 1997) The project did not have the Free, Prior and Informed Consent (FPIC) of the Ibaloi people as reported by the National Commission of Indigenous Peoples (NCIP): FPIC is part of the national law- Indigenous Peoples Rights Act (IPRA of 1997) At the start, the ibalois upstream were not considered as affected communities At the start, the ibalois upstream were not considered as affected communities Consultations centered on promises of community projects and not on the potential impacts of the dam Consultations centered on promises of community projects and not on the potential impacts of the dam

Economic upliftment of the Filipino people? Debt burden: $ 10 million every month of payment for power surplus generation below target- a public burden for power consumers and tax payers Massive economic displacements of thousands of farmers, gold panners and fisherfolks due to land destruction, siltation, flooding Destruction of productive land and poor water quality due to toxic minewaste pollution

lessons The San Roque Dam, like most large dams did not lead to sustainable development nor alleviate poverty The San Roque Dam, like most large dams did not lead to sustainable development nor alleviate poverty Did not meet the target of the Millenium Development Goal (MDG) on poverty alleviation and of the World Summit of Sustainable Development Did not meet the target of the Millenium Development Goal (MDG) on poverty alleviation and of the World Summit of Sustainable Development

lessons Large dam projects do not necessarily deliver or meet its objectives: target power generation, irrigation, flood control and water quality improvement Large dam projects do not necessarily deliver or meet its objectives: target power generation, irrigation, flood control and water quality improvement The environmental and social impacts are tremendous and irreversible- most of which cannot measured in monetary terms for compensation or can be mitigated The environmental and social impacts are tremendous and irreversible- most of which cannot measured in monetary terms for compensation or can be mitigated -The inherent siltation build-up of upstream-The inherent siltation build-up of upstream -Flooding of downstream-Flooding of downstream -Destruction of lands and livelihoods, aggravating food insecurity and poverty -Destruction of lands and livelihoods, aggravating food insecurity and poverty

Lessons: Need for greater transparency and accountability of project proponents and funders to adverse social and environmental impacts, proper compensation, provision for sustainable livelihoods and rehabilitation of the damaged environment Need for greater transparency and accountability of project proponents and funders to adverse social and environmental impacts, proper compensation, provision for sustainable livelihoods and rehabilitation of the damaged environment

WAY FORWARD: The objectives of any dam project must be reviewed in terms of meeting actual peoples needs and of other more viable options ( options assessment) which are more sustainable and with minimal adverse environmental and social impacts. The objectives of any dam project must be reviewed in terms of meeting actual peoples needs and of other more viable options ( options assessment) which are more sustainable and with minimal adverse environmental and social impacts. Recognition of the right of affected communities on Free, Prior and Informed Consent (FPIC)- this is a workable mechanism with clear guidelines on community decision making processes Recognition of the right of affected communities on Free, Prior and Informed Consent (FPIC)- this is a workable mechanism with clear guidelines on community decision making processes Participation of affected communities in all stages of the project Participation of affected communities in all stages of the project

WAY FORWARD Stronger criteria and guideline on environmental and social adverse impacts must be given serious consideration over commercial viability of the project prior to project funding Stronger criteria and guideline on environmental and social adverse impacts must be given serious consideration over commercial viability of the project prior to project funding - inherent problem of siltation and other adverse environmental impacts to marine and biodiversity - inherent problem of siltation and other adverse environmental impacts to marine and biodiversity - destruction of peoples sustainable livelihood sources - destruction of peoples sustainable livelihood sources - Free Prior and Informed Consent (FPIC) of affected communities and accountability to human rights violations - Free Prior and Informed Consent (FPIC) of affected communities and accountability to human rights violations *** independent and comprehensive environmental and social feasibility studies which are participatory to include mechanisms on social acceptability and not simply on mitigating measures and “benefits” *** independent and comprehensive environmental and social feasibility studies which are participatory to include mechanisms on social acceptability and not simply on mitigating measures and “benefits”