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Uniting agriculture and nature for poverty reduction
Assessing Models of
Public Private Partnership in Irrigation
Development (AMPPPIDA)
Claudia Ringler, IFPRI
(for Ruth Meinzen-Dick, Quinn Bernier and Elizabeth Bryan)
Dupont Summit, Washington DC, Dec 4
1. Public Private Partnerships (PPPs) for irrigation is becoming
a widely accepted model for financing irrigation, supported
by the World Bank, IFC, ADB and directly by governments
2. Rationale:
o Overcome the fiscal limits of government investment,
bringing in private sector financing
o Bring in private sector know-how and market linkages
3. Little knowledge on who wins and loses and how to ensure
that PPP do not leave local populations worse off
 ESRC-supported case studies in Ghana and Tanzania
Background
Framework for Assessment of PPP
Balancing risks and responsibilities
Activity Government Firms Farmers
Authorization
Planning
Financing
System construction
System operation
System maintenance
On-farm construction
Technical advice
Production
Processing
Marketing
Risks assumed
Benefits assumed
Framework for Assessment of PPP
“Classic” core estate/outgrower model
Activity Government Firms Farmers
Authorization
Planning
Financing
System construction
System operation
System maintenance
On-farm construction
Technical advice
Production
Processing
Marketing
Risks assumed ? ? ?
Benefits assumed ? ? ?
Example: Tanzania: KPL
 In Southern Agricultural Growth Corridor of Tanzania
(SAGCOT) – launched in 2011 with 350,000 ha, up to 6.6
million ha total, co-chaired by Tanz Min of Ag & VP Unilever
 Focus on international agro-industrial development with most
land to be “freed up” from existing village lands
 Sample PPP: Kilombero Plantation Ltd (KPL, 2007 - 5818 ha),
joint ownership between AgDevCo (formerly InfEnergy), UK &
Rufiji Basin Development Authority; formerly (defunct)
(North) Korea Tanzania Agricultural Company (KOTACO), 2000
locals/squatters evicted/resettled (2nd time); 2.5 year challen-
ges for land title transfer; resistance to grow oil palm; inside a
Ramsar site; now leading rice producer in East Africa; plan for
large-scale irrigation
Example: Tanzania (KPL - SAGCOT)
Example: Tanzania (KPL - SAGCOT)
Four key actors:
MoA; LGA, KPL &
farmers
Multiple ministries
with multiple goals:
MoL & MoF get taxes,
MoW on sidelines
Donors on sidelines
Research well
connected
Farmers have some
influence over local
votes
1. Difficulty in Aligning Profit and Development
Objectives (food versus cash crops, f.ex.)
2. Information on Water Availability and Use
(competing uses, climate change)
3. Needs beyond Irrigation Infrastructure (training,
markets, inputs)
4. Land and Water Rights
5. Where is the Farmer?
6. Challenges to Build Trust
Key Challenges Identified

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Assessing Models of Public Private Parntership in Irrigation

  • 1. Uniting agriculture and nature for poverty reduction Assessing Models of Public Private Partnership in Irrigation Development (AMPPPIDA) Claudia Ringler, IFPRI (for Ruth Meinzen-Dick, Quinn Bernier and Elizabeth Bryan) Dupont Summit, Washington DC, Dec 4
  • 2. 1. Public Private Partnerships (PPPs) for irrigation is becoming a widely accepted model for financing irrigation, supported by the World Bank, IFC, ADB and directly by governments 2. Rationale: o Overcome the fiscal limits of government investment, bringing in private sector financing o Bring in private sector know-how and market linkages 3. Little knowledge on who wins and loses and how to ensure that PPP do not leave local populations worse off  ESRC-supported case studies in Ghana and Tanzania Background
  • 3. Framework for Assessment of PPP Balancing risks and responsibilities Activity Government Firms Farmers Authorization Planning Financing System construction System operation System maintenance On-farm construction Technical advice Production Processing Marketing Risks assumed Benefits assumed
  • 4. Framework for Assessment of PPP “Classic” core estate/outgrower model Activity Government Firms Farmers Authorization Planning Financing System construction System operation System maintenance On-farm construction Technical advice Production Processing Marketing Risks assumed ? ? ? Benefits assumed ? ? ?
  • 5. Example: Tanzania: KPL  In Southern Agricultural Growth Corridor of Tanzania (SAGCOT) – launched in 2011 with 350,000 ha, up to 6.6 million ha total, co-chaired by Tanz Min of Ag & VP Unilever  Focus on international agro-industrial development with most land to be “freed up” from existing village lands  Sample PPP: Kilombero Plantation Ltd (KPL, 2007 - 5818 ha), joint ownership between AgDevCo (formerly InfEnergy), UK & Rufiji Basin Development Authority; formerly (defunct) (North) Korea Tanzania Agricultural Company (KOTACO), 2000 locals/squatters evicted/resettled (2nd time); 2.5 year challen- ges for land title transfer; resistance to grow oil palm; inside a Ramsar site; now leading rice producer in East Africa; plan for large-scale irrigation
  • 7. Example: Tanzania (KPL - SAGCOT) Four key actors: MoA; LGA, KPL & farmers Multiple ministries with multiple goals: MoL & MoF get taxes, MoW on sidelines Donors on sidelines Research well connected Farmers have some influence over local votes
  • 8. 1. Difficulty in Aligning Profit and Development Objectives (food versus cash crops, f.ex.) 2. Information on Water Availability and Use (competing uses, climate change) 3. Needs beyond Irrigation Infrastructure (training, markets, inputs) 4. Land and Water Rights 5. Where is the Farmer? 6. Challenges to Build Trust Key Challenges Identified