Development and Climate Change in Nepal. Focus on Water Resources and Hydropower

This document is an output from the OECD Development and Climate Change project, an activity jointly overseen by the EPOC Working Party on Global and Structural Policies (WPGSP), and the DAC Network on Environment and Development Co-operation (ENVIRONET). The overall objective of the project is to provide guidance on how to mainstream responses to climate change within economic development planning and assistance policies, with natural resource management as an overarching theme. This report presents the integrated case study for Nepal carried out under an OECD project on Development and Climate Change. The report is structured around a three-tier framework. First, recent climate trends and climate change scenarios for Nepal are assessed, and key sectoral impacts are identified and ranked along multiple indicators to establish priorities for adaptation. Second, donor portfolios in Nepal are analyzed to examine the proportion of donor activities affected by climate risks. A desk analysis of donor strategies and project documents as well as national plans is conducted to assess the degree of attention to climate change concerns in development planning and assistance. Third, an in-depth analysis is conducted for Nepal's water resources sector which was identified as most vulnerable to climate change. This part of the analysis also involved stakeholder consultation through an in-country workshop to identify key synergies and conflicts between climate change concerns and sectoral projects and plans