- The document analyzes the impacts of large-scale agricultural investments in sub-Saharan Africa on water resources, ecosystems, and livelihoods. It finds that over 3.4 million hectares were acquired for such investments between 2000-2012, with the largest areas in Ethiopia, Mozambique, Tanzania, Ghana, Mali, and Zambia. - Case studies in 6 countries found that land and water governance frameworks are separate and coordination is lacking. Investments have displaced some local land users and created some jobs, but impacts on hydrology and livelihoods were not always considered or monitored effectively. - The document concludes with 7 recommendations for governments around integrating water management into investment contracts,

1. Analysis of impacts of large scale investments in agriculture
on water resources, ecosystems and livelihoods
Timothy Olalekan Williams
Director, Africa
International Water Management Institute (IWMI)

2. Outline of Presentation
• Introduction
• Study Objectives
• Methodology
• Results
• Key messages

3. The context

4. Potential positive outcomes
• Increased agricultural productivity leading to
improved national food security and rural
household incomes.
• Infusion of capital, technology and know-how.
• Increased employment.
• Improved social amenities.

5. Potential negative
consequences
Displacement of current
land users
Water pollution and
river sedimentation

6. • AMCOW’s call for development of research-based
policy options for effective management of land
and water in large-scale agricultural land
investments (LSALIs).
• UNEP, GRID-ARENDAL and FAO enlisted IWMI to
conduct an analytical study to shed light on the
potential and actual impacts of LSALIs.
Study background

7. Study objectives
• Better understand the impacts of LSIA on
 Water resources,
 Ecosystems
 Livelihoods
• Provide recommendations on policy options for
leasing agricultural land that takes water into
consideration and that will lead to:
 Equitable distribution of benefits
 Protection of ecosystem services.

8. Methodology: A three-prong approach
1. A sub-continental level analysis of drivers, extent,
characteristics and production activities of 148 LSALIs
in 22 SSA countries, based on Land Matrix database.
1. A field-level, case study analysis of 3 LSALIs each in 6
countries: Ghana, Mali, Ethiopia, Tanzania, Mozambique
and Zambia to examine the adequacy of policy and
institutional frameworks for guiding and managing such
investments.
2. A socio-hydrological simulation modeling exercise in Baro-
Gilo basin in the Gambella region of Ethiopia to assess
impacts of LSALI on water resources and evaluate trade-offs.

9. Key results at the
pan-continental level

10. • Based on the 148 LSALIs in 22 countries
analyzed, a total area of approximately
3.4 million hectares was acquired across
these countries during the period 2000-
2012.
• Ten countries accounted for 70% of this
acquisition.

11. • In 2000-12, ten countries accounted for 70% of LSLAs in SSA
• Area acquired in each of these countries > 100,000 ha

12. 15%
11%
9%
6%
5%4%
50%
Ethiopia
Mozambique
Tanzania
Ghana
Mali
Zambia
Others
(15%)
(11%)
(9%)
(6%)
(5%)
(4%)
(50%)
Percentage distribution of total area of LSALI
in SSA by country, 2000-2012

13. 0.00
10.00
20.00
30.00
40.00
50.00
60.00
1 000 - 10 000 10 000 - 50 000 50 000 - 100 000 > 100 000
%ofLSALIs
Land area (ha)
39%
7% 4%
Percentage distribution of LSALI by area (ha) in SSA,
2000-2012
50%

14. Total area under crop & livestock production
activities on LSALI farms by country, 2000-2012
0
50000
100000
150000
200000
250000
300000
Area(ha)
Countries
Biofuel
Food crop
Livestock

15. Key results – Detailed case studies

16. • In all the 6 study countries, land and water are
governed under separate but parallel policy, legal
and institutional frameworks.
• Within each framework, multiple property rights
regimes, including state property, customary property
and private property, coexist and are operated
simultaneously.
3. In Ghana and Zambia state and customary property rights
regimes are recognized in land matters. In Ethiopia, Mali,
Mozambique and Tanzania all land is vested in the state.
Land and water governance

17. Main government organizations with key roles in L&WG for LSALI in Mozambique

18. Water access and use rights
• In Mali, Mozambique, Tanzania and Zambia water access
and use rights are systematically included in LSALI
contracts. The main requirements are for the investors
to regularly pay water fees and to maintain secondary
or tertiary canals. In Ghana and Ethiopia water rights
are not often discussed at the time of land contract
negotiation.
• In all 6 study countries, the volume of water to be
extracted by LSALI is not usually specified and water
pricing, where it exists, is not related to volume extracted.

19. Hydrological simulations
• Unintended and potentially damaging long-term
consequences can occur, including
- increased stream flow variations
- groundwater recharge reduction
- increased flood risk.
• These may jeopardize livelihoods and ecosystem
services relied upon by other land and water users
(e.g. fisherfolks, pastoralists etc.) living around the
LSALIs.

20. Livelihood impacts
Variable
Ghana Mali Mozambique
LSALI LSALI LSALI
1 2 3 1 2 3 1 2 3
Prior
consultation
No No No No No No No No No
Displacement
of current
land users No Yes Yes Yes Yes No No No Yes
Employment
created No Limited Limited No No No Yes Limited Limited

21. Livelihood impacts
Variable
Ethiopia Tanzania Zambia
LSALI LSALI LSALI
1 2 3 1 2 3 1 2 3
Prior
consultation
No No No Yes Yes Yes Yes No No
Displacement
of current
land users
Not
known Yes Yes Yes Yes Yes No No No
Employment
created Not
known
Not
Yet
Not Yet Not
Yet
Yes
NU
Yes Yes
BL
Yes,
BL
Yes

22. Monitoring and assessment of impacts
6. In all 6 study countries the agencies charged with the
responsibility of monitoring compliance with economic,
social and environmental impacts and mitigation
measures are poorly funded and lack the capacity to
effectively perform their functions.
7. Parallel systems of land and water rights administration
and management, poor cross- sectoral coordination of
regulatory activities and inadequate capacity in relevant
government agencies hampered effective and
coordinated L&WG in all six study countries.

23. Actors/institutions typically involved in LSALI negotiations in Ghana

24. Seven Key messages:
0ptions for policy action

25. 1. Governments need to monitor and ensure that water
availability, use and management is factored into
(LSALI) contracts.
2. Water valuation is key to efficient and equitable
water use and management. Governments have
a key role to play in instituting frameworks and
policies for implementation of practical and
politically feasible water valuation systems.
3. Governments need to improve the coherence,
complementarity and coordination of land,
water and environmental policies

26. 4. Governments, through relevant national agencies,
need to commission and conduct detailed assessment
of the socio-hydrological implications of LSALI.
5. Investors need to adhere to the principles for responsible
investment in agriculture and food systems, including
adoption of inclusive business models.
6. Governments need to apply laws in the statute books to
revoke land not utilized.
7. Governments and investors need to fully disclose
information on LSALIs.

27. Thank you for your attention