II. Development plans

A. PROVINCIAL IRRIGATION PLAN

IRRIGATION SYSTEMS IN OPERATION AND UNDER CONSTRUCTION

Agencies such as the Ecuadoran Institute for Hydraulic Resources, the Ecuadoran Subcommission-PREDESUR, the former Economic Recovery Board for Loja and Zamora Chinchipe, among others, have recognized the need for extending irrigation to new areas and have taken important steps in this regard.

Under government sponsorship there are presently 11 projects in operation, and 5 under construction. Secondary distribution networks will be provided, beside rare exceptions, to irrigate by gravity through ditches.

As Table A shows, the rivers and mountain streams from which most water is drawn are those of the Catamayo-Chira and Jubones basins. In all of the projects (except for Macara, which still does not have a defined intake), the sluice dams are only to be used to control the level of the water table, not to serve as reservoir dams. Irrigation is their only purpose. In the Chucchuchuir and Paquishapa projects, where there is subterranean surface water and zones of high humidity, drains have been installed to divert excess water. In the rest of the projects, drainage generally consists of natural depressions. For the location and configuration of the works in the projects (principal canals, pumping stations, etc) see Map A-11.

NEW PROJECTS

The process of analysis and selection is comprised of three stages with different degrees of precision: identification, pre-selection, and selection of projects. Based on map data at a scale of 1:50,000, upon which information from this study of slopes and potential soil use was superimposed, 63 irrigation projects were identified, including 8 already selected by INERHI, which has already done a pre-feasibility study for one of them, known as Zapotillo.

For pre-selection of projects the study applied 12 criteria of socio-economic, hydrological, agricultural, environmental, and engineering factors. A matrix was developed and they were assigned points. Among the criteria for selection were availability of water, environmental impact, distance from the source to the zone to be irrigated, and maximum heights for pumping. Through pre-selection, 53 projects were eliminated.

Pre-selected projects were quantified to determine the cost range and other elements needed for economic and environmental assessment, so the projects could be ranked and a program for investment and execution could be prepared.

Table A. PRINCIPAL CHARACTERISTICS OF IRRIGATION IN THE LOJA PROVINCE

Table C. RANKING OF THE IRRIGATION PROJECTS

Based on analysis of data on the agricultural sector, the current and projected farm labor available, and the irrigation projects in operation, under construction, or proposed by PHILO, these are the conclusions:

· The area now under irrigation in the province is 17,700 ha. INERHI is building projects to serve 4,000 ha, which are to be totally operational in four years Expansion of the areas under irrigation by this agency has been at the rate of 200 ha/year over the past decade. Completion of the projects under construction on deadline will raise this rate to 1000 ha/year.

· It is technically feasible by the year 2020 to add new projects covering 13,436 hectares, at an investment of $90.1 million. This includes the 6,800 ha of the Zapotillo Project. Addition of this irrigated area in 25 years requires average growth of 540 ha/year, with average annual investment of about $3.6 million.

· Annual growth of the agricultural labor force is estimated to be 1,000 persona. This supply can be absorbed after 5 or 10 years by irrigation expansion at the rate of 540 ha/year, together with execution of the projects, programs, and actions of the Plan for Management and Conservation of Renewable Natural Resources of Loja Province. This would check the province's current trend of unemployment. Reduction of unemployment will be further stimulated by the indirect labor demand.

· The gross value of the province's agricultural output in 1990 was $50.3 million. The gross value of annual output of the proposed irrigation projects is $62 million, which brings the grand total to $112.3 million. To move from one figure to the other in 15 years would represent a 5.5% annual growth rate, which is considered attainable.

Based on the foregoing, the goals of the Irrigation Plan are:

· To increase the irrigated area at the rate of 540 hectares per year, starting in the year 2000.

· To invest about $3.6 million per year until the year 2020.

· To create 360 new direct jobs annually through gradual addition of the new irrigation projects.

· To contribute to a 5.5 % increase the gross value of the province's agricultural output.

Table D presents a timeline for programming the projects.

Table D. TIMELINE FOR PROGRAMMING THE PROJECTS

B. MANAGEMENT AND CONSERVATION OF RENEWABLE NATURAL RESOURCES

As indicated in the diagnosis, the four major hydrographic systems of Loja Province are undergoing rapid deterioration due to improper slope cultivation practices, clearcutting and burning of forest resources, and overgrazing on the ranches. The problem is compounded by natural phenomena that hasten the process of erosion and sedimentation in the rivers that feed the irrigation systems in operation, under construction, and those proposed by PHILO for this decade and the next two decades, as well as two multiple use binational hydraulic projects: Puyango-Tumbes and Chira-Catamayo.⁶

⁶ The Ecuadoran portion of the Chira-Catamayo Project consists of the Macará and El Ingenio projects in operation, and the Jorupe-Cangochara, Sanambay, Chiriyacu-Lucero and Airo-Florida projects under construction.

Map A-4 on Conflicting Soil Use shows 39% of the province's soil resources are over-utilized, particularly in the basins serving the hydraulic projects in operation or contemplated. They need to be protected, in view of their substantial investment, in order to regulate the hydraulic cycles and simultaneously improve the socio-economic situation of the people in the areas. The map also shows that 34% of the area is under-utilized, especially in the far western reaches of the province, where top priority has been assigned to the Zapotillo Project for irrigated agricultural development.

The above-mentioned findings prompt recommendation for the drafting of a project entitled "Plan for Management and Conservation of Renewable Natural Resources," to serve the province as a whole, based on information currently available, with more specific attention to certain pilot areas or pilot basins that have been ranked as high priority.

Based on this study's analysis of the Loja Province irrigation projects in operation, under construction, or proposed, together with the Puyango-Tumbes and Catamayo-Chira binational projects, the largest current and projected investments are in the Pindo-Puyango, Catamayo, and Jubones hydrographic systems, in that order.

In the breakdown at the river basin level, it can be noted that the following basins provide water directly or indirectly to 8 of the 10 projects chosen by PHILO and both binational projects: 1) Puyango-Chaguarpamba, 2) Piscobamba-Arenal, 3) Jubones-Naranjo, and 4) Catamayo-Playas.

The most important project in the Puyango-Chaguarpamba basin is the Puyango-Tumbes project, which takes its water from the Puyango River downstream from its confluence with the Marcabelí River. After passing through the Tahuín Dam in the Arenillas River basin, the water generates 83,000 KW of power and irrigates about 44,020 ha. It is estimated⁷ that hydro-electric plants at Guayacán (at the end of the bypass tunnel) and Marcabelí (at the foot of the dam) will have a prime generating capacity of 731 and an average capacity of 1,096 GW hours per year. Ecuador has invested $1.050 million in this project alone as of July 1990, of which 65% was for irrigation at a cost of $15,473 per ha and the balance for electric power at a cost of $2,288 per installed kw. Peru's investment was estimated at $1.231 million.

⁷ All information concerning the Puyango-Tumbes Project is taken from a map prepared for Ecuador by the CIMELCO consortium.

Another irrigation project in the Puyango-Chaguarpamba basin, known as Buenavista, draws its water from the Lambe and Huato streams, which are tributaries of the Puyango. It represents an investment of $2.9 million.

The Piscobamba-Arenal basin drains from the upper Catamayo River, whose lower reaches serve the Zapotillo irrigation project, which has been assigned top priority for execution. It involves an investment of $27.4 million and will irrigate about 6,800 ha. Other irrigation projects in the same basin are planned for Yangana-Suro, Palmira, Upper Vilcabamba, and Malla. Together they represent an investment of $17.2 million to irrigate about 1,850 ha. Four irrigation systems are already in operation in the basin.

Lastly, the Catamayo-Playas basin, located upriver from the Zapotillo Project, should be regarded as a critical area because of the severe erosion and sedimentation that affects an agricultural development zone including the most populous rural cantons in the province.

For the above-mentioned reasons, it is recommended that first priority be given to the detailed preparation of pilot zones for the Puyango-Chaguarpamba and Piscobamba-Arenal basins, and second priority to the Catamayo-Playas basin.

The project will lead to a plan at feasibility level for integral management of the natural resources of Loja Province, including conservation and other actions for sustainable development. The objectives will be:

· To improve the economic and social situation of the residents, increasing the productivity of natural resources and generating local jobs through the use of conservationist farming systems and technology.

· To raise the base flow during dry seasons and improve the water quality in hydraulic projects to meet domestic, industrial, and irrigation needs.

Management of the province's four hydrographic systems includes provision for activities that promote sustainable development through conservation, use, and improvement of the natural, economic, and socio-cultural resources, goods, and services offered by the hydrographic systems. The Drafting of specific proposals will require integral analysis of the behavior and interaction of the principal ecological, socio-economic, and cultural variables.

To ensure balanced treatment of the subject and viability of the proposals, an interdisciplinary team will be organized to evaluate the interest of local communities, particularly in the pilot area or areas. The team will assess their willingness to become involved in the design and execution of the activities or projects.

The study will concentrate on areas that pose the greatest problems for management of renewable natural resources and the greatest potential for sustainable development.

Given the large area of the province, the limited economic resources, the lack of institutional experience in integrated resource management, and the existence of critical areas, management and conservation activities will be concentrated initially in a reduced number of priority sub-basins where human action is destroying the natural heritage. Plans will be made to extend these management and conservation activities to other high priority areas.

The project is expected to produce:

· A consolidated diagnosis for each of the province's four hydrographic systems.

· A General Plan for Survey and Management of the Renewable Natural Resources of Loja Province.

· A study for the purpose of obtaining an investment project for a Management and Conservation Plan for certain critical areas tentatively ranked in this study. It will include drafting of a program for research and strengthening of the national institutions.

For execution, it is recommended that a proposal be drafted to cover the technical, financial, and institutional mechanisms that will ensure satisfactory implementation of the project. This will take 14 months and cost about $900,000.