Asian Development Bank - Country Integrated Diagnostic on Environment and Natural Resources for Nepal

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COUNTRY INTEGRATED DIAGNOSTIC ON

ENVIRONMENT AND NATURAL RESOURCES FOR NEPAL

MAY 2020

Creative Commons Attribution 3.0 IGO license (CC BY 3.0 IGO)

2020 Asian Development Bank

6 ADB Avenue, Mandaluyong City, 1550 Metro Manila, Philippines

Tel +63 2 8632 4444; Fax +63 2 8636 2444

www.adb.org

Some rights reserved. Published in 2020.

ISBN 978-92-9262-167-4 (print), 978-92-9262-168-1 (electronic)

Publication Stock No. TCS200118-2

DOI: http://dx.doi.org/10.22617/TCS200118-2

The views expressed in this publication are those of the authors and do not necessarily reflect the views and policies of the Asian Development Bank (ADB) or its Board of Governors or the governments they represent.

ADB does not guarantee the accuracy of the data included in this publication and accepts no responsibility for any consequence of their use. The mention of specific companies or products of manufacturers does not imply that they are endorsed or recommended by ADB in preference to others of a similar nature that are not mentioned.

By making any designation of or reference to a particular territory or geographic area, or by using the term country in this document, ADB does not intend to make any judgments as to the legal or other status of any territory or area.

This work is available under the Creative Commons Attribution 3.0 IGO license (CC BY 3.0 IGO) https://creativecommons.org/licenses/by/3.0/igo/. By using the content of this publication, you agree to be bound by the terms of this license. For attribution, translations, adaptations, and permissions, please read the provisions and terms of use at https://www.adb.org/terms-use#openaccess.

This CC license does not apply to non-ADB copyright materials in this publication. If the material is attributed to another source, please contact the copyright owner or publisher of that source for permission to reproduce it. ADB cannot be held liable for any claims that arise as a result of your use of the material.

Please contact if you have questions or comments with respect to content, or if you wish to obtain copyright permission for your intended use that does not fall within these terms, or for permission to use the ADB logo.

Corrigenda to ADB publications may be found at http://www.adb.org/publications/corrigenda.

Note:

In this publication, $ refers to United States dollars.

On the cover: Nepal has grown significantly and developments take into consideration the importance of environmental conservation and cultural heritage (photos by Kiran Pandey, Madhup Shrestha, and Narendra Shrestha).

CONTENTS

Tables, Figures, and Boxes
Foreword
Acknowledgments
Abbreviations
Executive Summary
I.	INTRODUCTION
Study Background
Contemporary Development Narrative
The Study Approach
II.	THE ENVIRONMENTAL CONTEXT
Global Environmental Context
Environmental Goals of Nepal
Economy, Poverty, and Environment of Nepal
III.	THE STATE OF ENVIRONMENT
Forest and Biodiversity
Ecosystem and Biodiversity
Land Degradation
Water Resources and Energy
Urban Development
Pollution
Solid Waste Management
Transportation
Industrial Development and Pollution Control
Tourism
Climate Change
Disaster Risk
IV.	INSTITUTIONAL ARRANGEMENT FOR ENVIRONMENTAL SAFEGUARDS
Legislative and Policy Framework
Institutional Arrangement
Safeguard Capacity of the Federal Government Agencies
Legal and Regulatory Gaps
V.	MAINSTREAMING INCLUSIVE GREEN GROWTH
The Green Growth
Inclusive Green Growth Analysis
Inclusive Green Growth Challenges
VI.	INTEGRATED DIAGNOSTIC OF ENVIRONMENT AND NATURAL RESOURCES
Integrated Approach to Study Causes of Environmental Issues
Records from Stakeholder Consultation on Country Integrated Diagnostic on Environment and Natural Resources
Records of Provincial Stakeholders Consultation for Country Partnership Strategy Preparation
Findings from Integrated CauseEffect Analysis
VII.	ENVIRONMENTAL DIRECTIVES FOR COUNTRY OPERATION BY ACHIEVING INCLUSIVE GREEN GROWTH
Shift to Sustainable Infrastructure
Investing in Natural Capital
Strengthening Environmental Governance and Management Capacity
Responding to the Climate Change Imperative
VIII.	ROLE OF THE DEVELOPMENT PARTNERS IN SAFEGUARDS
ADBs Assistance in Environment, Climate Change, and Disaster Risk Management in Nepal
Development Partners Engagement in Environment, Climate Change, and Disaster Resilience Support in Nepal
IX.	KEY ISSUES AND CHALLENGES
X.	RECOMMENDATIONS
Common Recommendations
Sector Recommendations
Recommendations for the Nepal New Country Partnership Strategy

TABLES, FIGURES, AND BOXES

TABLES

Table VII-1-A: Sustainable Transport

Table VII-1-B: Clean Energy

Table VII-1-C: Sustainable Urban Services

Table VII-2-A: Forest and Natural Resource Management

Table VII-2-B: Agriculture and Food Security

Table VII-2-C: Integrated Water Resources Management

Table VII 3. Strengthening Environmental Governance and Management Capacity

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