NGOs IN THE GMS Involvement Related to Poverty Alleviation and Watershed Management Lao ...

42 Pages·2011·0.21 MB·English

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Regional Environmental Technical Assistance 5771
Poverty Reduction & Environmental Management in Remote Greater Mekong Subregion (GMS)
Watersheds Project (Phase I)

NGOs IN THE GMS
Involvement Related to Poverty Alleviation
and Watershed Management
Lao PDR
By
Gunilla Riska

CONTENTS
1 INTRODUCTION 3
2 GENERAL 3
3 LEGAL FRAMEWORK 3
4 COORDINATION 4
4.1 Government-NGOs 4
4.2 Networking among the NGOs 4
5 ROLE OF NGOs 6
5.1 International NGOs 6
5.2 International NGOs at selected watersheds 7
5.3 Local organisations 10
6 CONCLUSIONS 11
6.1 General Conclusions 11
6.2 Co-operation with RETA 5771 12
REFERENCES 14
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1 INTRODUCTION
The review of NGOs working with poverty alleviation and watershed management in some selected
watershed areas, has been done within the limited time of a short-term consultancy. The aim is to get an
understanding of the development of NGOs in Lao PDR to-day, with an aim to find organisations of interest
for the project in its second planning phase and during implementation.

2 GENERAL
The main increase in international NGO assistance occurred after the adoption of the New Economic
Mechanism (NEM) by the Government of Lao PDR in 1986. Although the Constitution of 1991 approves of the
establishment of associations and organisations local NGOs are not officially recognised.
The Government officially acknowledges the importance of international NGOs and their possibilities in
reaching vulnerable populations with efficient interventions, however, some mistrust still exist. The number of
international NGOs in Lao PDR is growing slowly compared to the situation in e.g. Vietnam and Cambodia
and there are to-day approximately 80 international NGOs present in Lao. The NGOs work in close co-
operation with specific government counterparts and can through the local government reach down to local
community and village level.
In the past, the work consisted of support to infrastructure development in rural areas as well on health,
humanitarian aid and relief, although agriculture also has been a major recipient for a number of years. Since
1996, integrated rural development has been the biggest recipient, with main focus on human resource
development. Assistance from the NGO community has increased more than ten times from USD 1.3 M in
1986 to more than USD 16 M in 1996 (UNDP, 1998).

3. LEGAL FRAMEWORK
Decree No 71/PM of April 28, 1998, pursuant to Law 01/95 and made public in English in May 1999, gives the
administrative framework for the operations on international NGOs in Lao PDR. The Ministry of Foreign Affairs
shall outline detailed regulations and recommendations on the application of this decree, which contains
information pertaining to operations, rights and obligations of international NGOs as well as minimum budget
specifications.
All matters pertaining to the activities of international NGOs are under the responsibility of the Ministry of
Foreign Affairs, Department of International Organisations.
According to the Constitution, adopted in 1991, it is possible to form associations and organisations, however
no law exists to implement the Constitution when it comes to local NGOs, which are still to be recognised by
the government. The few organisations which internationally could be defined as NGOs, and receive financial
support from international NGOs, are registered in line ministries in other capacities.

4. COORDINATION
4.1 Government-NGOs
Projects suggested by the NGOs for implementation have to be approved by the line Ministry, whereupon the
Ministry of Foreign Affairs issues official approval. The NGO personnel will then be designated to line
ministries, departments or government agencies. These authorities will have a say in the planning,
implementing and monitoring of the projects. The government has shown some openness to decentralising
decisions regarding community development supported by NGOs. Contracts for NGO development projects
go through provincial and district authorities. Some, confusion over the new procedures, however, still exists
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and has led to major delays for many projects.
A Memorandum of Understanding is signed between the NGO and the government agency responsible for
overseeing of the project.
The Government has a tight control on who is working in the NGOs, which e.g. are requested to hand in three
candidates when selecting new international staff. Decision on whom to employ is made by the Government.
This also goes for short-term consultants who will need a go ahead from the Ministry of Foreign Affairs based
on the recommendation of the line ministry. The approval of new projects and the decision on employment
often takes long time and the mechanism is considered bureaucratic by the NGOs.
Matters related to aid management, monitoring, supervising and managing foreign grants and loan-assisted
projects are designated to the newly constituted Committee for Investment and Foreign Economic Co-
operation (CIFEC). Functions related to planning and statistical co-ordination are assigned to the newly
created State Planning committee (SPC).
A Directory of NGOs present in Lao was published in 1997. An updated version will be due in July 1999.
4.2 Networking among the NGOs
Networking among the international NGOs is fairly weak, although the NGO community has made efforts to
co-ordinate activities and exchange ideas.
To improve co-ordination between NGOs, Government and other organisations an NGO Forum existed
between May 1994 and August 1996 when the permission to operate was withdrawn by the Government with
reference to the regulations to be drafted by the Government for the NGOs. Co-ordination between NGOs has
thereafter been done through informal meetings and sectoral co-ordination group meetings. Some of these
groups were established in the beginning of the 90’s. Participating in these sectoral groups are NGO staff,
and especially their Lao staff, personnel from other international organisations and government staff.
The following sectoral groups have been established:
(cid:1) Community Health Action Modular Participatory Approach (CHAMPA)
(cid:1) Gender Development Group (GDG)
(cid:1) HIV/AIDS Group
(cid:1) Lao Training Network (LTN)
(cid:1) Sustainable Agricultural Forum (SAF)
(cid:1) Technical Advisory Group (TAG)
SAF; Sustainable Agriculture Forum
SAF, which was established in 1991, is a membership organisation project providing training, workshops and
study tours to community development workers promoting sustainable agriculture. Members of SAF are:
CUSO, working in Laos since 1989; Community Aid Abroad (CAA), supporting community-based rural
development initiatives since 1988; CIDSE, operating in Laos since 1978; Japan International Volunteer
Centre (JVC) working in Laos since 1988, and Mennonite Central Committee (MCC) active in Laos since
1975. SAF is networking with Terra in Thailand and IIRR (International Institute for Rural Reconstruction) in
the Philippines.
CHAMPA Community Health Action Modular Participatory Approach
CHAMPA, which started in 1990 as a project under CIDSE, still remains under the legal umbrella of CIDSE,
although it is independent in terms of funding and management, and is looking for funding from international
NGOs outside Lao PDR. A consortium of approximately 15 NGOs support CHAMPA, which has developed a
national training strategy for village health volunteers. CHAMPA is networking within the CIDSE system.
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The Gender Development Group
To foster good relations and development for women, the Gender Development Group (formerly WID Group)
meets regularly to discuss gender issues and to improve co-ordination and co-operation among NGOs,
international organisations and the Lao Women’s Union. The group is under the umbrella of World Education.
HIV/AIDS Working Group
Co-ordinates and shares information on HIV and Aids among NGOs, international organisations and
Government officials. The group meets every three months.
Lao Training Network
Meets monthly to share experiences on training.
Technical Advisory Group
Networks among the NGOs and other projects working with irrigation schemes.
Different forms of regional networking exists; several of the international NGOs have regional linkages to draw
experience from other programmes in the region, some of them regularly exchange views and experiences
with colleagues in sister organisations in neighbouring countries. These are e.g. Care, Save the Children,
Oxfam, Action Faim, Food for the Hungry, NCA and CIDSE. E.g. NCA, which has established a Regional
Office in Vientiane, and is developing a NCA Regional AIDS Strategy through a network of individuals and
institutions in Lao PDR, Vietnam and Thailand and Myanmar. Co-operation with Cambodia will start this year.
In addition the networking with sister organisations other forms of regional networking exist, e.g. TERRA of
Thailand is which together with CUSO, Lao providing financial support to CFSU, the Community Forest
Support Group with CFP (The Community Forest Project) as an extension. CFP was established by the
Department of Forestry, being the implementing agency, to support Community Forestry Activities.

5. ROLE OF NGOs
5.1 International NGOs
Today there are some 80 international NGOs working in Lao PDR, either directly in projects financed by their
own organisations or as executing agencies for or in co-operation with bilateral or multilateral donors or
funders. Most of them have started operations during the 90’s.
The international NGOs in Lao PDR, work closely with government counterparts, mainly with the local
government but also national level and primarily through the Ministries of Agriculture and Forestry, Health,
Education, and the local organisations Lao Red Cross, Lao Women’s Union and to a growing extent with the
Lao Youth Union.
In the past the work consisted of support to infrastructure development in rural areas as well on health,
humanitarian aid and relief, although agriculture also has been a major recipient for a number of years.
Today, integrated rural development is the biggest recipient, with main focus on human resource
development. Strengthening the capacity of Lao partner-organisations, government as well as private is
considered a focal point.
In order to engage more Lao citizens in NGO work, many international NGOs are involving their local
colleagues directly in the operation of their organisations’ programmes and in two cases the international
NGOs are run by Lao citizens. Since 1997, CIDSE’s (Comite International pour le Development et la
Solidarite) country representative and core management team consists of local LAO nationals. This is a result
of CIDSE’s policy of encouraging local initiatives, the government’s supportive attitude, and the team’s
organisational and management capacity. Also Community Aid Abroad, CAA, is headed by a Lao citizen. The
government has recognised the benefits.
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NGOs have recognised the importance of women issues and gender matters and two NGOs, i.e. CAA and
SCF-A are working with Lao Women’s Union at central level while e.g. Japanese Volunteer Committee (JVS),
Quaker Services Laos (QSL), Save the Children Australia (SCFA), World Education (WE) and Family
Planning International Assistance (FPIA), CIDSE, SCF-UK, NCA and ESF work closely with local LWU units,
incorporating women-s concerns into their work both at provincial and lover levels. Many of these projects
have provided funds to women for vocational training, improvement of agricultural production, animal
husbandry and handicrafts; health education on basic hygiene and sanitation; environmental protection; and
non-formal education for improvement of literacy and life skills. More recently, activities have been developed
which specifically target gender issues.
Pure advocacy NGOs as e.g. in the neighbouring countries of Thailand and Cambodia are not present in Lao
PDR. The Government expects the NGOs to work in accordance with Government’s political framework and
do not accept critical voicing. However, introducing new ways of approaches, innovations and development
models is accepted.
NGO assistance has been relatively province directed. The major recipients of NGO assistance during 1997
were Vientiane province and municipality, and the provinces of Phongsaly, Savannakhet and Sayaboury.
Several NGOs implement projects or project components with financing from bilateral and multilateral
agencies.
Among the largest NGO contributors are World Vision, Care International, The Consortium, Handicap
International, Mines Advisory Group, Norwegian Church Aid, Quaker Service, and Save the Children-
Australia.
5.2 International NGOs at selected watersheds
The Lao mission to the RETA 5771 Mid Term Review meeting in February 1999 selected three watersheds to
be short-listed and further studied. These watersheds are Nam Ou in the province of Phongsaly, Se Kong in
Attapeu, and Nam Beng in Oudomxay province, with Nam Ou as first priority. Several NGOs are working in
these provinces, mainly with health and capacity building. The watershed of Nam Ou, located in Phongsaly
province is considered as the first priority of the watersheds. In addition the location for one possible regional
project between Lao PDR and Vietnam was identified in the Nam Ou watershed. Several NGOs with a long
history in Lao PDR work in these provinces.
5.2.1 Phongsaly province
The Mennonite Central Committee, which started operating in Lao PDR already in 1975, is involved in
integrated rural development activities as well as in strengthening the capacity of district Government staff
and Lao MCC staff. Save the Children UK, which also has a long history in Lao PDR – since 1972 – is
supporting Lao PDR through an education programme which assists the implementation of Government
reforms in upgrading teaching skills, school improvement and management and strengthening co-operation
between schools and community. SCF UK has a pre-school in-service training. The Church World Service is
assisting in the development of rural minority villages through non-formal education activities and programmes
which upgrade and train primary school teachers.
Save the Children, Australia Economic development; small micro credit programme
Church World Service Human resources development; assistance to a ethnic minority
Boarding school
Mennonite Central Committee Human resources development; support to primary schools, training
Health: malaria protection, birth spacing, clean water, TBC, training
Agriculture, forestry, fisheries: integrated rural development
Save the Children Fund, UK Human Resources development; pre-school in-service training
Enfants et Developpement Health; technical support
Source: Directory of NGOs in the Lao PDR, 1997
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5.2.2 Attapeu province
Several NGOs are operating in Attapeu province with issues mainly concerning health and human resource
development.
Health Unlimited is strengthening the provincial primary health systems through training and upgrading health
facilities. HU is also implementing a malaria programme.
The strategy is to work at all levels within the province. The International Red Cross Federation as well as The
Netherlands Red Cross are both operating in the region, providing support to Lao Red Cross in its priority
programmes.
Norwegian Church Aid Area development; Phouvong capacity building project
Human resource development;
Health Unlimited Human resource development Health;
Training of medical staff
IFRC, Switzerland Human Resource Development and economic development; training
Lao Red Cross Women’s Committees
Health and social development; HIV/AIDS education, Lao Red Cross Youth
Programme
Humanitarian , Disaster Preparedness and Relief
Japan Sotoshu Relief Committee Human Resource Development; distribution of environment equipment to
improve quality of education in schools
Netherlands Red Cross Supporting Lao Red Cross in its branch development
Programme incl. self help development activities
Save the Children Fund, UK Human Resource Development;
In-service training of teachers and administrators
World Education International Human Resource Development; community education
Damien Foundation Belgium Health; support to the national TBC programme
Source: Directory of NGOs in the Lao PDR, 1997
5.2.3 Oudomxay province
Also in Oudomxay province the main NGO activities concern health and capacity strengthening. Within the
health sector Care International, Enfants d’Ailleurs and Swiss Red Cross. Ed’A is implementing a health
project with the aim of improving the medical situation of mothers and children in two districts. The project
operates at provincial, district and village level.
Church World Service is assisting in the development of rural minority villages through non-formal education
activities in order to upgrade and train primary school teachers. Also Ecole sans Frontier, ESF, work with non-
formal education, e.g. training of trainers in literacy courses, and education and training on Credit and
Agriculture.
Forages for Smallholders Project works with the development of local systems of supply of planting material,
and training in forage agronomy, seed production and supply. The Quaker Service Laos, which began its work
in Laos in 1973, has two programmes in the province; A Community Development Programme which supports
villagers to identify, develop, implement and evaluate their own community development plans, and a Small
Scale Irrigation programme, which aims at helping farmers plan, construct and manage irrigation systems.
Damien Foundation Belgium Health; support to the national TBC programme
Care International Health; Sexually Transmitted diseases Education Material Proj.
Enfants d’Ailleurs Health; improved health for mothers and children
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Swiss Red Cross Health; training Red Cross Volunteers and Community
Church World Service Human Resource Development; teacher upgrading
Ecole sans Frontier Human Resource Development; training on credit and Agriculture,
training of trainers for literacy courses
Forages for Smallholders Project Human Resources Development; training in Forage Agronomy, Seed
production and Supply
Agriculture, forestry, fisheries; development of local systems of
supply of planting materials. Participatory development of forage
technologies
Japan Sotoshu Relief Committee Human Resource Development; development and distribution of
teaching materials for environment education
Quaker Service Laos Agriculture, forestry, fisheries; Community development programme
Area development; Small scale irrigation programme
Source: Directory of NGOs in the Lao PDR, 1997
5.3 Local organisations
According to the Constitution, community-based organisations, associations and foundations can be
established in Lao PDR on a voluntary and financially self-supporting basis. Some professional associations,
trade associations, religious associations, farmers associations, Red Cross etc are operating, however only
few some non-profit development oriented organisations are present.
One reason for this is that the Government does not yet approve of or understand the concept of local NGOs.
E.g. the non-profit aspect has led to discussions regarding taxation. As some mistrust towards the NGO
community in general exists, the local organisations fear that voicing their views will be considered negatively
by the government. They are not very happy to be quoted and prefer to work in isolation. Also their interest to
work with a loan-funded project is limited. Among those few organisations working with development matters
and who operate like NGOs are e.g. the Participatory Approach Training Centre, the Credit Group and the
Handicap Association.
However, in addition to these groups several mass organisations participate in development matters. They
are closely linked to the Party and have a network stretching from top level down to grassroots level.
Due to shortage of trained people in Lao, all local organisations face problems caused by lack of capacity,
competence and professionalism. This becomes more evident today, when the growing number of
internationally funded development projects are draining the resources of qualified staff.
Among the mass organisations, i.e. Lao Women’s Union, Lao Youth Organisation, Lao Patriotic Front for
Reconstruction, Lao Trade Union, the Women’s Union is of special interest for RETA 5771 as the Government
has specifically entrusted them with the task of upgrading the role and status of women and actively involving
them in the development process.
The Lao Women’s Union
Lao Women’s Union is constitutionally recognised as the country’s sole women’s organisation with an
institutional network throughout the country. As LWU has the responsibility for overseeing the implementation
of programmes related to women’s development it co-operates closely with other ministries, international
donors including NGOs. Not all NGOs, however, go through LWU.
From being a purely political organisation funded by the Government, LWU has moved to development work
at grassroots level. The government subsidies have been cut down and LWU is looking for funding elsewhere.
The union has an extensive grassroots network and reaches more than half of the adult population.
The Union has offices in the provinces as well as the districts. The staff is trained in participatory working
methods, project planning, implementation and monitoring.
Gender Resource Information and Development Centres
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LWU is responsible for establishing Gender Resource Information and Development Centres in four provinces
i.e. in Vientiane Municipality, Savannakhet, Sayaboury and Xiengkhuoang. The project, which is funded by
UNDP and NORAD, was approved by the Government in 1997. The centres will e.g. share information and
experiences on gender matters, promote gender knowledge through training and mass media campaigns.
Each GRID centre will have a resource library. The gathering of gender disaggregated data will be undertaken
in co-operation with National Statistics Centre.

6. CONCLUSIONS
6.1 General Conclusions
(cid:1) The development of NGO activities in Lao PDR has been slower than in the neighbouring countries but
the number has grown steadily during the last few years parallel with an increased understanding of
their importance from Government’s side. There are today more than 80 international NGOs present in
the country.
(cid:1) Legislation governing the work of international NGOs has recently been approved, although not yet
officially published. The NGOs have not been consulted in the work. Local NGOs are not yet
recognised.
(cid:1) There is a lack of systematic studies on NGO issues in Lao PDR and it is therefore difficult to assess
their contribution to the development process in the country. However experience from other countries
in the region has given ample proof of the very valuable work done by the NGO community. The
benefits of their work at grass roots level and the close co-operation with government officials in this
work including the aspect of built in capacity strengthening should be recognised as value added.
(cid:1) The relationship between the NGOs and the Government seems a bit strained, this experience was
also noted when preparing the ADB’s shifting cultivation project, and this has had an impact on the
possibilities of forming umbrella organisations and networking thus lessening the possibilities of co-
operation and exchange of experience.
(cid:1) Some of the international NGOs have mentioned the bureaucratic procedures and slow process of
approval of projects and personnel as obstacles in their work. Also budgetary aspects, i.e. the decision
that TA should be less than 50 % of the budget, and the say from local decision makers in matters
concerning planning, financing and implementation of the NGO projects, are according to some of the
smaller NGOs issues difficult to handle.
(cid:1) Although the mass organisations have a strong organisational network and are able to work with
national and international organisations, they still face difficulties caused by lack of competent
staff/members. This has also an impact on their possibilities of participating in the process of
developing new and innovative models for development; a work, which in neighbouring countries is
carried out by e.g. the local non-governmental organisations.
(cid:1) Quite a number of the NGOs have collaborated with multilateral donors, either by being the
implementing agency for specific projects or by receiving funding for special activities or components
6.2 Co-operation with RETA 5771
(cid:1) Some NGOs have expressed a clear interest in co-operating with RETA 5771, however there are also
organisations which are reluctant to work in projects supported with loan funding, referring to the big
investment programmes funded by the Banks. The interest of the mass organisations seems to be a bit
unclear. In discussions between RETA 5771 and the Lao Women’s Union they expressed no objection
to work with a bank project, however, they have proved to be more negative in discussions with some
other bank projects.
(cid:1) Some of the NGOs expressing a general interest in working with RETA 5771 emphasised that their
resources are scarce and they are usually fully occupied with their own activities, however if the
objectives of RETA are in line with their own philosophy and their objectives co-operation in some form
is of interest.
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(cid:1) The NGOs have widely varying capacities to implement project activities and there is need for further
discussions with the NGO community regarding co-operation and the modalities involved when there is
a clearer picture of the future project.
(cid:1) They see their role in a future co-operation as sub-consultants on special subjects, managers of sub-
projects, implementing partners and trainers. And mention fields such as community development,
environmental management, health, water, PRA and methodology approach.
(cid:1) The engagement of NGOs in the project has to be assessed depending on the components the future
project will include. In a long term involvement of an NGO, the possibilities to include the organisation
as a partner or a sub-consultant should be considered. This would have an impact on the overall
understanding of the development context and enhance the policy dialogue on poverty alleviation and
environmental issues.
(cid:1) The engagement of NGOs in the project has, however, to be seen in the light of the following comment
mentioned in the ADB study on NGOs in Lao:" as Bank projects are awarded through competitive
bidding, NGOs are ruled out from direct involvement because they are not permitted by the Lao
Government to undertake any commercial activities in the country. NGOs are regarded as tax/exempt
donors but the Lao Government, and the Government considers competitive bidding as commercial
activity. Hence, their local staff and expatriate staff cannot undertake any commercial activities in the
country. If NGO involvement is included for the tender of technical assistance projects, NGO staff
included cannot be based in the country." The UNDP is for example sub-contracting INGOs based in
Laos, Bangladesh and Thailand.
How strict the Government is following the rule stated above is unclear. There are cases when
exceptions have been made and there are cases when the Government directly has asked that certain
NGOs be involved in specific projects. Some of the NGOs, however stress that it would benefit their
work if the NGO input is mentioned at an early stage of the project planning, as permission to expand
their work to co-operation with other donors must be granted by the Government. There is a need for
the Bank to negotiate with the Government the possibility mechanism needed for including NGOs in
Bank projects.
(cid:1) In addition to operational collaboration, the project should consider the possibility of having a
consultative group consisting of NGOs and other organisations with an interest in the project
objectives, for discussions on methods and policies.

REFERENCES
The country report is based on interviews and the following literature:
1. Directory of NGOs in the Lao PDR. 1997
2. Development Co-operation Report 1997. UNDP. Vientiane April 1998.
3. Country Report on Women in the Lao PDR. National preparation Committee for the 4th World
Conference on Women .Beijing 1995
4. Jacquelin Chagnon. Women in Development. Lao PDR. Asian Development Bank. July 1996
5. Asian Development Bank. Shifting Cultivation Project.
6. Loes Schenk-Sandbergen and Outhaki Choulamany-Kamphoui. Women in rice fields and offices:
irrigation in Lao. Gender specific case-studies in four villages. Empowerment. 1995
7. Asian Development Bank. NGOs in Lao. Draft
8. Various booklets and Annual reports
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Regional Environmental Technical Assistance 5771
Poverty Reduction & Environmental Management in Remote Greater Mekong Subregion (GMS)
Watersheds Project (Phase I)

Annexes to
NGOs in the GMS – Involvement Related to
Poverty Alleviation and Watershed Mangement in Lao PDR

By Gunilla Riska

CONTENTS
A. ANNEX I: REVIEW OF SOME NGOs IN LAO PDR
1. Summary
2. Questionnaire
B ANNEX II: DECREE ON THE ADMINISTRATION OF NGOs

A. ANNEX I: REVIEW OF SOME NGOs IN LAO PDR
A study on some NGOs in Lao PDR has been carried out by a local researcher, Noukone One-Vathana, of Lao
Montgomery Watson. Emphasise was on contacting organisations working in line with the objectives of RETA
5771 with the aim to get an understanding of their capacity and interest to cooperate with the project.
The total number of environmental and development NGOs included in the review was 22. A letter of introduction,
project description and a questionnaire form to be filled in was sent to all. Filled in questionnaires were received
from 7 organisations. In addition the researcher interviewed local staff of 12 organisations. The summary includes
information from both the questionnaires and the interviews. The filled in questionnaires are included.
1. SUMMARY
1.1 List of NGOs based at Vientiane Received the questionnaires and responded
No. Abbreviations Acronyms
1. NCA Norwegian Church Aid (Norway)
2. CUSO Canadian Volunteer Organization
3. ZOA ZOA (The Netherland)
4. OXFAM Oxfam Solidarity Belgium
5. CIDSE Cooperation International pour le Development et la Solidarite
6. JVC Japan International Volunteer Center