The IMIP’s objective is to ensure sustained high growth in irrigated agriculture through efficient and sustainable management of large scale irrigation schemes, leading to high yields and higher cropping intensification.

The IMIP will rehabilitate water infrastructures of the Muhuri project for 60,258 hectares of gross areas in Purshuram, Phulgazi, Chhagyal Niayya, Feni Sadar, and Sonagazi Upazilas of Feni and parts of Mirsarai in Chittagong. The rehabilitation of water infrastructures will ensure sustainable operation and management of the Muhuri Irrigation Project.

Performance-based Irrigation management and agriculture support services will include:

• Contracting private irrigation management operators under  5  years performance-based management   This “Construction phase” irrigation management operators (C• IMO) will supervise modernization works, establish sustainable MOM and provide agricultural support services in MIP.
• Efficient management systems will be adopted to maximize water use efficiencies and develop sustainable and reliable irrigation service delivery.
• Viable and effective operations and maintenance (OM) cost recovery mechanisms will be setup to achieve a 100% cost recovery.
• The objective will be to bring the MIP scheme to the level  of profitability  and sustainability  required  for  enabling  the  recruitment of a long  term  (15  years) “Management phase” irrigation management operator (M-IMO)  through a PPP
• The project will also support the preparation of the long-term PPP transaction.

Irrigation system Infrastructure rehabilitation and modernization will include physical rehabilitation and modernization of irrigation infrastructure including:

• Repair of 450 km or canals and 22.6 km of coastal embankments with ancillary facilities;
• Development of 17,000 ha of  modern and highly efficient piped water distribution  system to improve timely water access and reduce water losses;
• Provision of prepaid card meters to allow water allocations  to  be based  on  a volumetric basis  and  ensure  full and transparent payment and accounting,
• Full electrification of the pumping to reduce the operational costs and increase management flexibilities and; (v)  pilot solar panels and pumps for 60ha

Support Improved Irrigation Management of Large Irrigation Projects

The  MOM  of  MIP  will be assigned to third-party  C-IMO  initially through five-year fixed-term performance-based management contracts.   During this period,   the   PMU,   the   C·IMO, and the Implementation Coordination Committee established for MIP (“ICC”) shall jointly undertake a public consultation program to understand the service delivery requirements of the beneficiaries of the Project. Following such consultation program, the PMU, the IMO, and the ICC shall collaborate with PMDC to develop a PPP pursuant to which the long-term management, operation, and maintenance (MOM) for MIP will be transferred to a third-party IMO. In undertaking this task, the PMDC will:

• Build capacity of the PMU to monitor IMO management
• Together with  the   IMO,  provide  support  for  the  public  consultation  program  and, more generally, for communication to assist the transition processes and ensure stakeholder understanding and
• Support the establishment of a PPP Cell within BWDB 10 monitor and manage the PPP contracts.
• Support the establishment of MIP ICC.
• Prepare reservoir operating guidelines for MIP in agreement with BWDB and Muhuri IMO Assist PMU with evaluating the performance of MIP’s first-term IMO.
• Assist the PMU with the development of a 2nd stage public-private  partnership modality,  suitable for MIP, that

Allocates risks and responsibilities among the stakeholders in the irrigation scheme in accordance with sound international practice; and

 Includes a transparent, objective, and comprehensive water service tariff regulation mechanism that is aimed at cost recovery and provides for a reasonable return on equity for the IMO concerned in accordance with sound international practice.

Assist PMU with the preparation of the contract and bidding documents and conduct or the bidding procedures pursuant to which the PPP will be tendered.

Develop, prepare, and support the endorsement of guidelines to support the long-term delegation of MOM activities for large irrigation projects to private sector operators including strategies for cost recovery.

To design a monitoring and evaluation (M&E) system appropriate for large scale irrigation projects. The M&E should incorporate irrigation efficiencies, OM funding and cost recovery, OM activities, agriculture financial and production estimates. The M&E system will be piloted by the IMO tor the MIP and later incorporated into the project plan for the TBP and GKIP and other large scale irrigation projects in Bangladesh