Integrated Water Resources Management Akhouryan River II

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In coordination with the BMZ, it was decided in 2021, at the request of the executing agency, to use the funds from Phase 2 to build the water reservoir (Phase 1). The executing agency is endeavoring to implement the measures from Phase 2 on its own. As part of the Integrated Water Resources Management (IWRM) Akhouryan River 1+2 project, the irrigation system on the Akhouryan River in the Shirak province in Armenia is to be expanded, made more efficient and embedded in a sustainable water use concept tailored to the river catchment area and its user groups. Two project phases are planned for the project. In Phase 1, a rudimentary dam built in the 1980s to store water for rural irrigation will be completed. In addition, a water management plan will be developed and implemented for the river catchment area in the Shirak province, taking into account the interests of all user groups of the upper Akhouryan River. Phase 2 of the project will involve the construction of additional pipeline systems for a pilot area and the conversion to efficient irrigation methods in the fields. The implementation of the water management plan, the transition to more productive agriculture and the capacity building of various stakeholder groups are being promoted as part of an accompanying measure. The aim of the first project phase (2014.67.950) is to make the use of the scarce resource of water along the Akhouryan River sustainable, taking into account various competing interests. The more consistent water availability even in dry years as a result of the new water reservoir and its integration into a coordinated water management plan is intended to reduce the vulnerability of the target group and the ecosystems to the effects of climate change and increase the income generated from agriculture (FZ module objective). In addition, by taking the needs of surrounding ecosystems (Lake Arpi National Park, wetlands, river ecology) into account in the management plans, a contribution is to be made to their protection and to the preservation of biodiversity in the region. The aim of the second phase is to contribute to increasing agricultural income and reducing the target group's vulnerability to the effects of climate change by connecting additional areas to the gravity irrigation system and introducing efficient irrigation techniques on a pilot basis (FC module objective). The FC measure thus contributes to sustainable and environmentally friendly management of regional water resources and an improvement in the environmental situation. It also has a positive effect on the level of self-sufficiency in the province of Shirak and thus contributes to the food security of the population. Overall, the project promotes the economic development of the rural region and supports the improvement of the living conditions of the population (overarching development policy objective). The target group of the project is the rural population, who will benefit from the more consistent water availability on up to 17,000 hectares of land (Phase 1) thanks to the new water reservoir, as well as the connection to the gravity irrigation system and the promotion of efficient irrigation techniques on around 740 hectares of land (Phase 2). Phase 1 includes around 38,800 people, the pilot region under Phase 2 around 2,900 people. In addition, the safety risk posed by the existing dam structure will be significantly reduced for the residents of downstream villages and outskirts of the city of Gyumri (around 800 people). The cost of building the dam, including consulting services and additional expenses, is estimated at EUR 77 million. The FC commitment for Phases 1 and 2 amounts to EUR 68.5 million. In addition, a grant of EUR 2 million will be made available to finance an accompanying measure.