Minimum Condition and Performance Measures Guidelines includes Poverty Environment Linked Indicators

Background

Minimum Condition and Performance Measure (MCPM) system has been considered as an integral part of the overall governance reform system in Nepal. According to this system, the Government of Nepal annually adjusts the grants to be provided to local bodies (LB) based on their scoring in the MC/PM assessment. LB denotes to District Development Committee (DDC), Municipality and Village Development Committee (VDC). LBs that meet the MC and score high in PM are provided with an additional amount in the form of capital grants and vice versa. With an objective of improving LB performance through an incentive and penalty mechanism, adjusting the size of the grants to the expenditure and performance capacity in key functional areas of LBs and identifying the capacity gaps of LGs in different functional areas, the government of Nepal has adopted the MCPM system. Local Self Governance Regulation (LSGR) 1999 requires assessment of local bodies and permits subsidies to them to be expanded or reduced after having obtained recommendations from the Local Body Fiscal Commission and taking MCPM into considerations.

Environmental Consideration

MCPM Guidelines of DDC as well as Municipalities include a few environmental performance measure indicators. Moreover, number as well as marks allocated for environment performance measure indicators have increased over the years. The following sections compare the difference between DDC and Municipality Environmental MCPM indicators between 2009 and 2012. The MCPM of DDC comprises of 5 sectors and 46 indicators. The five category under performance measures include; i) Planning and program management, ii) Resource mobilization and fiscal management, iii) Budget release, expenses and program implementation, iv) Monitoring, evaluation, communication and transparency and v) Institutional management with clear roles and responsibilities.

Compare to 2008, DDC MCPM Guidelines - 2013 incorporates more performance indicators and marks related to environment. There were only two environmental performance indicators with a total mark of 2.25 in 2008 in DDC MCPM Guidelines. The environment related two indicators include ; i) Annual programs are to be designed based on sectoral development plan such as District Transportation Plan, District Agriculture Plan and ii) environment management fund needs to be established. The number of environmental performance measure indicators increased to four with a total of 8 marks in 2013. The indicators include; i) District Transportation Master Plan (DTMP) approved and implemented,  ii) Energy and environment management plan prepared for infrastructure development activities, micro hydro and energy development project formulated and implemented, local adaptation program planned and implemented, policy formulated from DDC council to use heavy equipments, iii) DDC has formulated policy for environment conservation, disaster risk reduction management and child friendly governance, budget allocated for implementing the policies and programs, and iv)Water, sanitation and health program plan, budget and declaration of open defecation free (ODF).

The MCPM of Municipality comprises of 5 sectors and 40 indicators. The five sectors include; i) Local Self Governance, ii) Financial management, iii) Planning and program management, iv) Institution and human resources development and v) Urban basic service management. While comparing Municipality MCPM Guideline of 2008 and 2012, it was revealed that there were only three environmental performance indicators with a total of 10 marks in Municipality MCPM Guidelines 2008. The environment related three indicators include ; 1) Sanitation and solid waste management following 3R principles - 4 marks, 2) Park, greenery and environment management - As per need of IEE/EIA and provisioned program, budget and human resources for environment management - 2 marks and 3) Disaster management plan developed and endorsed from Municipality Council - 4 marks.

Likewise, there are four environmental performance indicators with a total of 12 marks in Municipality MCPM Guidelines 2012. The indicators include i) Sanitation and solid waste management following 3R principles - 4 marks, ii) Environment management - As per need IEE/EIA implemented, road side plantation, environment awareness program, climate change adaptation activities, environment unit/section established, focal point with ToR identified, environment management fund developed and budget mobilized management - 4 marks, and iii) Emergency service/disaster management - Disaster management plan endorsed from Municipality Council, based on the plan annual plan formulated and approved from the council, fire brigade functional and disaster fund created and money deposited – 4 marks.

Findings  

·      Environmental performance measures indicators as well as marks have increased considerably over the years in both district and municipalities MCPM Guidelines.

·      DDC MCPM Guidelines introduced a few new environments friendly performance measure criteria such as climate change, local adaptation program, disaster risk management and policy for use of heavy equipment in 2012.

·       Municipality MCPM Guidelines 2012 introduced disaster management plan, environment awareness program, climate change adaptation activities, environment unit/section establishment and deputation of environmental focal point with terms and reference in energy and environment unit, establishment of environment management fund and budget mobilization criteria in performance measure.

Acknowledgement

Ministry of Federal Affairs and Local Development through Local Body Fiscal Commission has developed MCPM tool towards better mainstreaming poverty and environmental criteria in to local development plan and programs. The implementation effectiveness of the MCPM tools is yet to be assessed. Environmental and poverty linked criteria in the DDC and Municipality MCPM Guidelines were inserted with the support of Poverty Environment Initiatives.

 

 

References

·      GON,LBFC; 2013. Minimum Condition and Performance Measures (MCPM) Assessment Manual of District Development Committee (with revision and amendment)

·      GON,LBFC; 2008. Minimum Condition and Performance Measures (MCPM) Assessment Manual of District Development Committee

·      GON,LBFC; 2012. Manual for Assessment of Minimum Condition and Performance Measure (MCPM) of Municipalities

·      GON,LBFC; 2009. Manual for Assessment of Minimum Condition and Performance Measure (MCPM) of Municipalities with some revisions