Mekong Watch CATFISH TALES
5 August 2002 Issue #5
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CONTENTS
1. JAPANESE ODA POLICY NEWS: WORKING GROUP FOR MOFA REFORM ISSUES FINAL
REPORT (22 July 2002)
An advisory group to the Foreign Minister on how to reform the Ministry
included a call for environmental and social guidelines for grant aid in
its final report.
2. ADVOCACY IN JAPAN: BURMESE ETHNIC NATIONALITIES OPPOSE JAPANESE ODA TO
BURMA (22-26 July 2002)
Especially in light of escalating attacks on ethnic nationalities by the
Burmese military, representatives of two of Burma's ethnic nationalities
came to Japan to explain that the military regime is not yet committed to
democratization and human rights. They voiced their opposition to Japanese
ODA to Burma, pointing out in particular the grant for the Baluchaung No2
Hydropower Plant.
3. PROJECT UPDATE: JBIC VISITS ASPL PILOT PROJECT BUT FAILS TO MEET
CONCERNED GROUPS (May 2002)
Officials from JBIC went to Thailand to investigate concerns raised by
NGOs and local farmers regarding the negative impact of the Agricultural
Sector Program Loan (co-financed by ADB). They did not meet with those who
raised concerns, however, only going to the project site with Irrigation
Department officials and meeting villagers introduced by the officials.
4. TO SUBSCRIBE AND UNSUBSCRIBE
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1. Japanese ODA Policy News: WORKING GROUP FOR MOFA REFORM ISSUES FINAL
REPORT (22 July 2002)
The "Working Group for MOFA Reform" released its final report on 22 July
2002. This Working Group was established by the Ministry of Foreign
Affairs in February this year, and its members are from companies, an NGO,
the media, and academic institutions. Its main task has been to draw up
proposals for reforming the Japanese Ministry of Foreign Affairs (for a
basic explanation of the Working Group, please see Issue #1 of Catfish
Tales article 3 <http://www.mekongwatch.org/_archive/catfish/0/1.html>).
The Working Group addressed 10 broad categories of concern, including
Category 5--ODA efficiency and transparency. It remains to be seen how much
the Ministry will actually implement the final recommendations drawn up by
this Committee.
Among the recommendations for reform of ODA is the call for new
environmental guidelines for grant assistance. While Mekong Watch has been
following the grant assistance to repair the Baluchaung No2 Hydropower
Plant in Burma, grant aid which provided massive amounts of unnecessary
agricultural chemicals (which have now expired and have thus turned to
toxic waste) to countries in Africa was the target of broad criticism.
Largely due to the dissemination of information regarding this project and
the criticism that followed, there is an increasing awareness of the need
for guidelines for environmental and social factors of grant aid.
The midterm report or the working group called for environmental guidelines
for grant aid, similar to the new guidelines developed for the Japan Bank
for International Cooperation. The final report has kept this clause,
which reads: Based on the guidelines established by JBIC on April 1st
entitled, "JBIC Guidelines for Environmental and Social Considerations,"
environmental and social guidelines should be developed for Grant Aid.
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2. ADVOCACY IN JAPAN: BURMESE ETHNIC NATIONALITIES OPPOSE JAPANESE ODA TO
BURMA (22-26 July 2002)
Representatives of ethnic nationality organizations, the Karenni National
Progressive Party (KNPP) and the Karen National Union (KNU), together with
representatives of the National Council for the Union of Burma (NCUB) came
to Japan to lobby the Japanese government to halt assistance to the
military regime in Burma.
The KNPP and the KNU are two of the three largest ethnic nationality
organizations which do not have cease-fire agreements with the military
regime in Burma. The representatives who came to Japan expressed concern
that while Daw Aung San Suu Kyi was released from house arrest in early
May, the fact that attacks by the military regime in ethnic nationality
areas has intensified is a strong indication that the regime is not sincere
in making progress towards democratization.
The members of the delegation emphasized to the Foreign Ministry and
Members of Parliament that they met that in order for there to be a
peaceful transition to a democratic system of governance in Burma, the
dialogue between the military regime and Aung San Suu Kyi needs to be
expanded to include other political parties and ethnic nationality
organizations. The military regime, however, by failing to go beyond the
confidence building phase to begin political dialogue with Daw Suu and by
increasing attacks on the Karen, Karenni, and Shan, is making it clear that
they are not interested in either democratic reform or genuine
reconciliation with other ethnic groups.
The representatives of the KNPP, KNU, and NCUB who visited Japan urged the
Japanese government to halt ODA to Burma. They expressed disappointment
that the Japanese Foreign Minister is making an official visit to Burma at
this time. In a letter to Japanese Foreign Minister Kawaguchi, the NCUB
emphasizes that ODA should be withheld until there a clear time frame for
the dialogue process has been established.
In regard to the grant for the Baluchaung No2 Hydropower Plant Repairs, the
KNPP also submitted a letter to FM Kawaguchi demanding that an independent
monitoring mechanism be established to monitor for forced labor and other
human rights abuses, and that the results of monitoring be a central factor
in determining whether or not the next installments of the grant be given
to the regime. The KNPP emphasized that their concern is not forced labor
to be used to repair the plant itself. Their concern is the use of forced
labor by the Burmese military battalions stationed in the area to guard the
hydropower plant to provide services to their military camps (for more
information on the Baluchaung project, please see Catfish Tales Issue #1
<http://www.mekongwatch.org/_archive/catfish/0/1.html>).
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3. Project Update: JBIC VISITS ASPL PILOT PROJECT BUT FAILS TO MEET
CONCERNED GROUPS (May 2002)
Officials from the Japan Bank for International Cooperation (JBIC) went to
Thailand last May in order to visit a pilot project of the Agricultural
Sector Program Loan (ASPL), but failed to meet any of the local people and
NGOs who have been raising concerns about the pilot project and the ASPL
program as a whole.
The ASPL is a US$600 million loan co-financed by the Asian Development Bank
(ADB) and JBIC in 1999 with the purpose to enhance the productivity of
Thailand's agricultural sector. The ASPL is supposed to promote more
efficient distribution of resources and the restructuring of
agriculture-related government agencies. Many conditions were attached to
the ASPL, including introduction of water utility fees, ensuring cost
recovery of the irrigation system, and cutting subsidies to agriculture
inputs (fertilizers, pesticides, etc). Thai farmers and NGOs have
continued to voice strong opposition to the ASPL. They have emphasized
that the conditions required of this program will lead to a shift from
small-scale farming to large-scale, export-oriented production. This, in
addition to the imposition of water fees, will lead to the impoverishment
of farmers. In May 2000, more than three-thousand people gathered in front
of the ADB annual meeting in Chiang Mai and demanded the cancellation of
the ASPL.
Under the ASPL, a pilot project is being implemented in Chaing Rai Province
(northern Thailand) along the Lao River. This project includes the
renovation of irrigation facilities including weirs and waterways. As a
result of this pilot project, water fees are to be collected from farmers
to cover the cost of the construction needed to upgrade the facilities.
In March 2002, an NGO representative, who has supported local people in
their struggle to oppose the project, visited JBIC in Tokyo to raise
concerns about the pilot project. The concerns regarding this project
include the lack of participation by farmers in decision-making processes,
and unrealistic plans for cost recovery which actually lead to the
impoverishment of farmers. People along the Lao River have emphasized that
in spite of having effectively managed their own irrigation facilities for
more than 30 years, the Thai government has suddenly decided to come and
unnecessarily upgrade these facilities without consulting the farmers. In
addition, the Thai government is demanding payment from the farmers for a
project they consider unnecessary and unfair.
JBIC's visit to the pilot project was a direct result of the appeal made by
the NGO representative who visited Tokyo. And yet, when JBIC visited
Thailand, they did not contact this representative or any others who have
been raising concerns. Instead, they went to the site guided by officials
from the Irrigation Department and interviewed villagers introduced to them
by the officials.
While the outcome of JBIC's visit is not yet clear, it raises serious
questions regarding JBIC's commitment to understanding the problems related
to the ASPL and the pilot project. If JBIC were truly committed to ensure
that the projects it funds are relevant and useful to local communities,
one would think they would be interested in meeting those who have actually
raised concerns.
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