Please find the attached Report regarding Chashma Right Bank Irrigation Project-Stage III (CRBIP-III) and Grievance Redress and Settlement Committee (GRSC). The report is based on my recent visit to the Chashma area and 7 villages from the 5 to the 10 of April 2003, interviews with local government officials, and interviews and email exchanges with staff of the Asian Development Bank (ADB).

The purpose of this report is to inform the Board members of the ADB of the following issues: i) the current status of the GRSC and concerns; ii) design failures of the CRBIP, subsequent damages, and other project-induced problems and concerns; and iii) the project-induced vulnerabilities and some of the demands of the local communities.

During my visit to Chashma area, I have observed the grave problems concerning the project design, and the urgency to address the project-induced vulnerabilities faced by the local communities. However, as described in this report, findings raise serious concerns regarding the effectiveness and legitimacy of the GRSC, as well as the will of those involved in designing the GRSC to provide satisfactory resolutions to the dispute. In this regard, I would like to draw your attention to the Requesters' demand in the Second Supplement to the Chashma Inspection Claim, dated 25 February 2003, as cited below:

The Requesters would like to present the following demands in the context of any insistence for negotiation and dialogue in the future…The GRSC should be redesigned in the light of the principles and guidelines provided by the World Commission on Dams Final Report. Most importantly, the project affectees should have fifty percent of the membership in the GRSC through direct nomination of their legitimate representative forums…

Besides the issue of an immediate and unconditional inspection, such demand of the Requester has not been addressed by the ADB. Please also refer to the attached "Summary of Criticism regarding the GRSC (Appendix 1)" based on the Second Supplement. I would like to ask you to use your means and influence to ensure that appropriate measures are taken to address the problems mentioned in this report.

Thank you very much for reviewing this report and your attention on this matter.

Sincerely yours,

SUGITA Rena
Program Staff
Sustainable Development and Aid Program
Japan Center for a Sustainable Environment and Society (JACSES)