<p>The Angololo Water Resources Development Project (AWDP) is located on the trans-boundary Malaba River that is between Kenya and Uganda and it falls within the Sio-Malaba Malakisi (SMM) River Basin within the Lake Victoria sub basin. The Angololo project was identified by Kenya and Uganda in collaboration with Nile Equatorial Lakes Subsidiary Action Program (NELSAP) through its Sio Malaba Malakisi (SMM) River Basin Management (RBM) project. NELSAP-CU conducted its prefeasibility studies in 2010 with grant financing from the Royal Government of Sweden and the Royal Government of Norway. Following this identification study, the Governments of Kenya and Uganda formally requested NELSAP to integrate it into its pipeline of natural resources projects for further appraising and development. The project was approved during the 18th Nile Equatorial Lakes Council of Ministers (NELCOM) meeting held in Entebbe, Uganda on 13th October 2015 and was included into the African Development Bank (AfDB) pipeline (IOP) for the year 2016 – 18 to seek possible funding support. NELSAPCU/NBI was mandated in the signed MOU between Uganda and Kenya to support in mobilization of resources for preparation of the investment project. NELSAPCU approached AfDB Eastern Africa Regional Centre (EARC) for funding to undertake preparation studies. The project studies will consist of the following components: • Feasibility Study, Detailed Design and Preparation of Tender Documents; • Independent Environmental and Social Impact Assessment (ESIA) and Resettlement Action Plan (RAP) • Stakeholder engagements to validate project study outputs. Once proven economically viable, the project studies will proceed to Detailed Designs (DD), and preparation of tender documents.</p>
<p>1. Political risk: Both Kenya and Uganda have relatively stable political environments. However, potential policy and regulatory changes may occur due to an increased political efforts to expand government programs and manage debt sustainability, which could potentially affect implementation of the project.</p>
<p>2. Procurement and Implementation Delay risk: One of the majorpotentialrisks tothe project is the timely completion and delivery of outputs that could arise from procurement and implementation delays. This risk could derail the implementation schedule due to lengthy conclusion of procurement activitiesleading to award of contract to the successful firm. Delays could also be experienced during implementation of studies, potentially due to delays in access to sites, approval or data. Often times in regional project such as this one, validation of reports and issuance of approval of outputs can also be a source of delays as consensus will be required from both countries and other stakeholders. (Project Information Memorandum - Angololo Multipurpose Water Resources Development Project–Feasibility Studies, Detailed Design, Preparation of Tender Documents, ESIAand RAP, NEPAD -Infrastructure Project Preparation Facility (NEPAD –IPPF), October2018</p>