The World Commission on Dams Report

Thank you for inviting me. It is very much in the spirit of the Commissions's report that this is not just a meeting not just of engineers, but of all those who have an interest in the building of dams.

There is a strong land compelling link between the profession of civil engineering and the elimination of poverty. So much of the development and progress in this country -- roads, bridges, railways, water supply, electric power -- is the result of the work of civil engineers. They have all contributed to the alleviation of the grinding poverty that once existed here.

I have heard it suggested that the challenge of engineering is to develop and utilise scientific knowledge and technology to meeting the needs of a complex society, but to do so in ways that are sensitive to society's constraints. And there are few issues more sensitive than the building of dams.

It is not surprising that dams arouse strong emotions. The stakes are very high. On the one hand there is a Government desperate to develop and on the other thousands, perhaps tens of thousands, of people who face the prospect of seeing the homes and villages in which they have lived for generations inundated.

To make matters worse, those who are called upon to sacrifice their homes and livelihoods are often not among those who share in the undoubted benefits that flow from the building of a new dam.

There is also the suspicion - and the Commission's report highlights some examples -- that governments in some developing countries have allowed themselves to be too easily persuaded by avaricious contractors to construct dams which do not live up to the original promise and which take little or no account of the environmental damage that the project entails. And what really rubs salt in the wound is that some of these controversial projects were stimulated by money and expertise from the aid budgets of developing countries which was supposed to used for the alleviation of human misery, not for adding to it.

This is the ethical minefield into which the Commission has boldly stepped - and let me say at once that the members of the Commission have done a remarkable job. The quality of the final report bears testimony to the dedication, diplomacy and wisdom of the chairman, Kader Asmal, now South African minister for Education, and formerly for Water and Forests. I would also like to commend the tireless work of Achim Steiner, who as Director General has been responsible for guiding and managing the process.

The report is an impressive achievement. Not least because 12 people, representing a range of views, have managed to reach consensus. I am glad to see that the report puts people at the centre. This is a consistent theme and it is the report's greatest strength. Dams are not seen as intrinsically good or bad, but as capable of delivering benefits. But they are not an end in themselves. The report assesses dams in terms of outcomes. What improvements do they make to the domestic water supply? To irrigation? Or to the reduction in flooding? And do these undoubted benefits outweigh the inevitable damage to homes, livelihoods and human rights? And, if so, how are they to be adequately compensated? These are the key questions.

In the past these issues have been ignored, or subordinated. This approach never worked. I hope it will be abandoned. As far as the British Government is concerned, it has been abandoned. And to make sure that it remains abandoned we have set up a cross departmental review to ensure that every agency of Her Majesty's Government is pulling in the same direction.

Internationally, the export credit agencies of 27 governments are working together to establish a common approach to environmental issues and the British Export Credit Guarantee Department is playing a leading role in these discussions. I understand that in December the Commission presented its report to an ECGD working group and that it provoked a lively discussion. As well it might. In the past export credit agencies have been among the key offenders in this area.
They have a responsibility to ensure that any dams they are called upon to support are capable of delivering the benefits promised and that these benefits clearly outweigh any social and environmental damage. If they don't, the dam should not be built.

While we are on the subject, I should perhaps say a word about the proposed Ilisu dam. Our Government has made it clear that we will only support Ilisu if a number of conditions are met. These conditions reflect the criteria identified by the Commission. They include:

• proper consultation and arrangements for the resettlement of the affected population and assurance that their needs are being properly taken into account;
• provision of upstream water treatment plants capable of ensuring that water quality is maintained;
• assurance that water flow to downstream states will be maintained at all times; (although the project does not involve diversion for irrigation, we need to be satisfied that an appropriate downstream flow will be maintained, particularly during impoundment);
• a detailed plan to preserve as much of the archaeological heritage of Hasankeyf as possible.

This project clearly raises very difficult questions. There has been an assumption in some quarters that the ECGD's decision has already been made. It has not. Steve Byers was very clear in setting out his conditions at the end of 1999. We have not yet had the views of the Turkish Government but let us hope that the forthcoming Environmental Impact Assessment Report will address these issues. This document will be made public before any final decision is made.

For our part the Department for International Development will offer support to governments in developing countries wanting to implement the Dams Commission report. We are willing to provide assistance on applying the criteria and implementing the guidelines. We will also support the assessment of development options and associated social environmental benefits and disbenefits. In addition, we are willing to assist with access to information to ensure an open and transparent consultation involving all interested parties.

Rest assured, we intend to build upon the good work of the Commission.