Resettlement Planning Document Due Diligence Report Loan Number: 2796 and Grant Number: 0267 NEP June 2012 Nepal: Decentralized Rural Infrastructure and Livelihood Project- Additional Financing Ghupa-Sanghu Road Subproject Taplejung Prepared by the Government of Nepal The Due Diligence Report is a document of the borrower. The views expressed herein do not necessarily represent those of ADB s Board of Directors, Management, or staff, and may be preliminary in nature.
District Development Committee, Taplejung Office of District Development Committee, Taplejung District Technical Office, Taplejung Decentralized Rural Infrastructure and Livelihood Project-Additional Financing (DRILP-AF) District Project Office, Taplejung Decentralized Rural Infrastructure and Livelihood Project-Additional Financing (DRILP-AF) Detailed Project Report Ghupa-Sanghu Road Sub-Project Section III : Safeguards Volume II: Safeguard (Resettlement) June 2012
Due Diligence Report Gupha-Sanghu Subproject, Taplejung Section III, Volume II Due Diligence (Resettlement) TABLE OF CONTENTS 1 INTRODUCTION... 1 2 BACKGROUND OF THE SUBPROJECT... 1 3 DUE DILIGENCE FINDINGS... 2 3.1 Scope of Impacts by the Subproject... 2 3.2 Status of RP Implementation... 2 3.3 Outstanding Activities... 4 4 DRILP AF REQUIREMENTS... 4 5 CONCLUSION AND FURTHER ACTION... 5 APPENDIXES... 6 1. Minutes of DLRCC, GRC, Safeguard Desk formation 2. Letter of Endorsement for Safeguard Desk Formation LIST OF TABLES Table 1: Summary of Losses by the Sub-Project... 2 Table 2: Checklist of Safeguard Requirements... 3 Table 3: Compensation Disbursement and Deed Transfer Progress... 3 2
Due Diligence Report Gupha-Sanghu Subproject, Taplejung Section III, Volume I Due Diligence(Resettlement) 1 INTRODUCTION 1. This due diligence report is prepared in order to document the implementation and related issues of Ghupa-Sanghu Road Resettlement Plan (RP) prepared in Decentralized Rural Infrastructure Livelihood Project (DRILP). The due diligence report is prepared by resettlement team of Central Implementation Support Consultant (CISC) lead by Resettlement Advisor in close coordination with District Implementation Support Consultant (DISC) and District Technical Office (DTO). 2. The major objective of the due diligence report is to examine safeguard issues and ensure appropriate mitigation measures are incorporated in the safeguard plan and project design. It documents the implementation progress status and commits to fulfill all outstanding activities within given time frame. This document reports the involuntary resettlement plan prepared, approved from ADB and its implementation in Ghupa-Sanghu subproject. 2 BACKGROUND OF THE SUBPROJECT 3. The construction of Ghupa-Sanghu Road in Taplejung was started under ADB funded DRILP. The road is located in south-western part of Taplejung district of Eastern Development Region. Although the road is taken as subproject of Taplejung District, the first 3 km section falls in neighboring Sankhuwasava District. The road starts at Ghupa Bazar of Nundhaki VDC in Sankhuwasabha District and ends at Sanghupati of Sanghu VDC of Taplejung District. The road length is 20.64 km. The subproject will establish linkage between Taplejung District to Koshi Highway through Sankhuwasava District which is more attractive and shorter route to reach market in the south. The distance from district headquarter of Taplejung, Phungliing, to reach Itahari, nearest trade center along the East-West Highway is reduced by nearly half compared to currently used motor-road. 4. The 20.64 km Ghupa-Sanghu Road is actually taken as first segment of bigger scope, Ghupa- Dovan Road of 42.43 km. Subproject Ghupa-Sanghu road directly affect 494 people of 84 households.the motorable track has been opened intermittently throughout section under Ghupa-Sanghu road sub project.however the road could not be completed in DRILP due to difficult geological formation and also due to budget constraints. Overall 2.6 km section of road remains as untouched section. The road sub project directly affects 119 families of 853 persons. The district intends to complete the remaining civil works and as such the road is included in the indicative list of road projects in DRILP AF. DDC has expressed intention to undertake road construction further to Sanghu. This due diligence report covers the Ghupha- Sanghu road for which the RP was prepared. 1
Due Diligence Report Gupha-Sanghu Subproject, Taplejung Section III, Volume II Due Diligence (Resettlement) 3.1 Scope of Impacts by the Subproject 3 DUE DILIGENCE FINDINGS 5. The Resettlement Plan (RP) of this subproject was approved by ADB on May 2008, prepared by the DDC with support of CISC. It basically includes the assessment of loss incurred by the subproject section and the degree of vulnerability of the affected families. There is no change in the affected families or affected plots. Additionally substantial compensation has been paid and other mitigation measures and requirements proposed in approved resettlement plan have been found fully addressed during implementation of resettlement plan as already reported in Verification Report. Hence the approved RP is sufficient to address the requirement of DRILP AF. Nonetheless additional requirements according to Project Administration Manual (PAM) of DRILP AF have been incorporated in this report. 6. The approved RP of Ghupa-Sanghu Road showed that resettlement impact was experienced by 494 people of 84 households in terms of use and need of additional land and other assets. During assessment survey, people showed willingness to donate their land; however land donation was accepted only from the eligible families through poverty analysis of those affected families. The approved RP has documented that 7.19 ha of private land need to acquire from the 84 affected families for the road construction. There was no private structures affected along the alignment but there were 6 public structures (Drinking water structures, Chautara, Irrigation canal) to be relocated and 49499 cardamom plants were compensated which is one of the major cash crops in the region. 7. Although every family along the alignment was willing for land donation, the socio-economic condition of the families revealed 2 household lost more than 10 percent of their total land holding and another 5 households' annual food security was found to be less than 9 months. Hence these families were not opted for land donation but compensated for their 5155.90 sqm of land area. Summary of losses incurred along the alignment according to approved RP is under Table 1. Table 1: Summary of Losses by the Sub-Project Nature of Loss Unit Total Remarks Land loss Ha 7.19 Land loss HH 84 Compensatory land Ha 0.52 (5155.90 sqm) Public structure No 6 Relocation required Cash crops No 49499 Cardamom plants Source: Resettlement Plan, 2008 3.2 Status of RP Implementation 8. After the approval of RP, DDC had started distribution of compensation, deed transfer and implementation of proposed trainings. Further safeguard requirements were met during the whole RP preparation and implementation process. Two formal meetings and several informal and were conducted with community and affected families at different dates and venues during resettlement surveys and resettlement plan preparation in 2008. The consultation included discussion about project benefits, entitlement matrix, land acquisition and donation procedures. Communities were well informed that road construction could reduce their walking 2
Due Diligence Report Gupha-Sanghu Subproject, Taplejung Section III, Volume II Due Diligence (Resettlement) time, enhance business opportunities and networks. The safeguard requirements as per RP and their present status are presented in following table 2. Table 2: Checklist of Safeguard Requirements SN Activity Status Notes and Progress 1 GRC, VWRCC and GRSC formation Achieved VWRCC and GRSC in each affected VDC 2 Notification about preferential employment for Achieved affected people in construction 3 Training need assessment and participant identification 4 Livelihood trainings implementation 100 % 5 Disbursement of compensation for land 100 % 6 Disbursement of compensation for trees 100 % 7 Disbursement of compensation for crops NA 8 Disbursement of compensation for private structure 9 Transfer of all deeds for road section to DRILP/DDC Source: DPO Reporting Achieved Trainings are completed 100 % Completed for private structures 100 % 9. The table shows most of the activities related to RP implementation have been substantially completed. Compensation payment has been completed for more than 90 percent and deed transfer has been done for more than 80 percent. Further physically displaced households were relocated at nearby plots which are nearly 500 m away from the affected land. The present status of implementation is summarized in following Table 3. Table 3: Compensation Disbursement and Deed Transfer Progress Indicator Unit RP data Progress Remaining Land Compensation sqm 5155.90 5155.90 0 Deed Transfer HH 84 84 0 Deed Transfer* plot 170 200 0 Public Structure Relocation No 6 2 0 Compensation Payment Land Compensation Rs 80971 80971 0 Cash crop Compensation* Rs 49499 114499 0 Total Amount 130470 195470 0 Source: RP Monitoring Report, 2011 * Compensation for Cardamom exceeded the amount proposed in RP and affected plot number also increased (owned by the same 84 families) due to alignment shift. This has been reported in External monitoring report and other monitoring reports and exit plan as well. 10. There was 15 different livelihood restoration trainings proposed in RP but demand assessment during training implementation showed 11 trainings were in demand by APs. Awareness raising trainings are all completed and a long with these income generation trainings which incorporated all the affected families. Livelihood trainings organized for the affected families are Electrical Training, Furniture Making, Sewing/Cutting, Cook/Hotel 3
Due Diligence Report Gupha-Sanghu Subproject, Taplejung Section III, Volume II Due Diligence (Resettlement) Management, and other short term agriculture related trainings like Commercial Vegetable Farming, Cardamom Farming House Wiring, Bee Keeping, Goat Raising. The completed trainings benefitted 332 participants from the affected families. 11. The absentee families reported in the approved RP are 23 households who were out of district at time of RP preparation. These absentee families were communicated and contacted during RP implementation and there is no due work related with absentee families. 3.3 Outstanding Activities 12. Total Rs 130470.00/ has been allocated for compensation in the approved RP which is completed in DRILP. Total of Rs 195470 was compensated to the affected families. There is no reserve fund to be explained as all the absentee families were reached and RP works have been completed. 13. Out of 6 different structures, 2 structures are already reinstated and relocation of remaining are included in DRILP AF and provisions have been made in the estimate of civil works to be undertaken under DRILP-AF. (refer Section II: Detail Engineering Survey, Design and Cost Estimate 4 DRILP AF REQUIREMENTS 14. The Resettlement Framework (RF) of DRILP AF states that compensation payment and livelihood restoration trainings of approved RP must be completed before starting the work at DRILP AF. In addition, formation of District Level Resettlement Coordination Committee (DLRCC), District Grievance Redress Committee (GRC) and safeguard desk need to be established at each district. 15. DLRCC, GRC and safeguard desk have been established in Taplejung with district authorities meeting on 11 April 2012 under the chair of Acting Local Development Officer of Taplejung, Rajesh Kumar Yadav. The committees have been decided with the position held in the district and not with the name holding the position. The decision on DLRCC, GRC and safeguard desk is given in following boxes. Minutes have been annexed. 4
Due Diligence Report Gupha-Sanghu Subproject, Taplejung Section III, Volume II Due Diligence (Resettlement) GRC Formation in Taplejung 1. Chair: Local Development Officer 2. Member: Representative from affected families 3. Member: Representative from VDC 4. Member: Representative from local level 5. Member: District Project Office DLRCC Formation in Taplejung 1. Chair: Local Development Officer 2. Member: Representative from affected families 3. Member: Representative from VDC 4. Member: District Land Revenue Office 5. Member: District Survey Office 6. Member: District Agriculture Office 7. Member: District Forest Office 8. Member: District Project Office 16. ToR for Social Safeguard has been decided to transfer to Planning and Administrative Officer of District Development Office, Taplejung for coordinating the safeguard activities effective from 12 April 2012. 5 CONCLUSION AND FURTHER ACTION 17. According to DRILP AF resettlement framework, social safeguard requirements in order to initiate work of DRILP AF have been achieved in Taplejung. There are no due-activities of DRILP to be carried out prior to the start of road construction. Hence the work on Ghupa- Sanghu Road subproject in DRILP AF can proceed from resettlement aspect. 5
APPENDIXES Central Implementation Support Consultant (CISC)
Minutes of DLRCC, GRC, Safeguard Desk Formation Page 1: Minute of DLRCC, GRC, Safeguard Desk formation Central Implementation Support Consultant (CISC)
Page 2: Minute of DLRCC, GRC, Safeguard Desk formation Central Implementation Support Consultant (CISC)
Page 3: Minute of DLRCC, GRC, Safeguard Desk formation Theme Translation This meeting is set up in order to form DLRCC, GRC and Safe Guard Desk in Taplejung for discussion and resolution of resettlement related issues. DLRCC and GRC is chaired by head of the district, LDO at the moment where, district land revenue, survey, agriculture, forest, respective VDC head and representatives from affected families will be member in the committee. Safeguard desk responsibilities have been decided to handover to Planning and Administrative Officer of DDC, Taplejung. Central Implementation Support Consultant (CISC)
Letter of Endorsement for Safeguard Desk Formation Theme Translation This letter is forwarded to Planning and Administrative Officer in DDC Taplejung informing that s/he is responsible for Social Safeguard Desk and its associated responsibilities. Central Implementation Support Consultant (CISC)