Evaluation of canal maintenance project

Special evaluation covers the period 9/78-12/83 and is based on document review, site visits, and interviews with Government of Egypt Ministry of Irrigation and other project personnel. Despite an initial 18-month delay due to U.S. and GOE disagreements over the provision of TA, equipment testing requirements, and contractual commitments to U.S. suppliers, the project has exceeded all its 5-year targets. Four public companies have been provided with dredging, earthmoving, and support (e.g., trucks, spare parts, tools) equipment. For the two companies that first received equipment, canal/drain debris removal increased by 62% between 1979 and 1982; a total of 101 million cubic meters had been dredged/excavated by 1982, primarily for maintenance. With improved canal maintenance and water availability, some farmers have reported increased agricultural productivity. An unexpected benefit has been the use of AID-financed equipment to construct the new El Salaam Canal (i.e., Peace Canal) in the Sinai; also, a U.S. dredge is being used to maintain water exchange between the Mediterranean Sea and Lake Bardawil to permit continued lake fishing. The project has been hampered by: equipment problems (mostly resolved except for shop equipment); ineffective TA (e.g., a consultant approved the wrong order of trucks for shipment to the project); an inadequate project design which overestimated economic rates of return (e.g., from increased cotton production) and lacked a logframe to aid in evaluation; and poorly executed training plans which resulted in Egyptian company personnel receiving only limited field training by U.S factory representatives and no U.S. training. The project"s implementation problems highlight the need for a clear understanding of the terms of delivery, warranty, onsite training, etc. among host country personnel, consultants, and suppliers. It is recommended that funding be obtained to provide lacking equipment parts.