HL Deb 17 June 1993 vol 546 cc83-5WA
Lord John-Mackie

asked Her Majesty's Government:

What is the purpose of the Overseas Development Administration's planned bilateral contribution to the Arun III project in Nepal.

Baroness Chalker of Wallasey

We have made no bilateral commitment to the Arun III project. We have provided support to reinforce the road from Jogbani to Hile, which will form part of the access route to Arun, and stand ready in principle to provide up to a further £500,000 for upgrading of the existing road north of Dhankuta. Other United Kingdom aid commitments in the Arun region, notably in the field of community forestry, should contribute positively to the environmental management of the Arun project.

Lord John-Mackie

asked Her Majesty's Government:

Whether the Overseas Development Administration's grants from the Aid and Trade Provision are being considered for British companies bidding for contracts to build:

  1. (i) the dam and descending cabins;
  2. (ii) the power house and associated structures; and
  3. (iii) the access road, headrace tunnel and surge tank of the proposed Arun III project in Nepal.

Baroness Chalker of Wallasey

No Aid and Trade Provision grants are at present being considered for the proposed Arun III project in Nepal.

Lord John-Mackie

asked Her Majesty's Government.

Whether the Government are aware of the date on which the World Bank Executive Board is scheduled to consider the staff appraisal report on the Arun III dam project in Nepal and whether they will publish it.

Baroness Chalker of Wallasey

The World Bank, together with the other co-financiers, initiated its appraisal of the project in May. When the appraisal is completed, the Bank intends to disseminate updated information about the project to NGOs and other interested parties to facilitate informed discussion. Board presentation is tentatively scheduled for around the turn of the year. It is not the Bank's present practice to publish staff appraisal reports.

Lord John-Mackie

asked Her Majesty's Government:

Whether the Government will instruct the United Kingdom Director at the World Bank to ensure that objections to the economic analysis in the Least Cost Generation Plan are raised, and that proposed alternative economic analyses are considered, when the Arun III scheme is considered by the Executive Board.

Baroness Chalker of Wallasey

The Bank's appraisal process will consider the proposed alternative development strategies as part of the updating of system planning studies and the review of Nepal's overall power development programme. Any intervention by the UK Director at the World Bank will depend on what the Bank staff propose.

Lord John-Mackie

asked Her Majesty's Government:

Whether the Government will instruct the United Kingdom Director at the World Bank to recommend that the World Bank commission an independent appraisal of the proposal from Nepal's Alliance for Energy for small scale alternatives to the proposed Arun III project in Nepal.

Baroness Chalker of Wallasey

I understand that Nepal's Alliance for Energy met World Bank officials on 28th May, and that further discussions are likely. The Bank's appraisal process has yet to be completed.

Lord John-Mackie

asked Her Majesty's Government:

Whether the Government will publish the timetable for appraisal and approval by the Asian Development Bank of the proposed Arun III project in Nepal.

Baroness Chalker of Wallasey

The Asian Development Bank's appraisal of the proposed Arun III project began recently. The Bank expects to be in a position to submit a proposal to its board of directors around the turn of the year.